Dura Expects Loss in Fourth Quarter

Dura Pharmaceuticals Inc. warned that it is likely to report a fourth-quarter loss because of troubles spinning off some older drugs to another producer. The maker of respiratory drugs also said it will pay Bristol-Myers Squibb Co. more than $130 million for rights to two injectable antibiotics, which it expects to double sales of branded drugs and boost earnings next year. But the San Diego-based company said it will probably take charges of 43 to 47 cents in the latest quarter, related to problems in spinning off drugs to DJ Pharma, a company that Dura helped set up in July, resulting in a loss. Before the charges, however, Dura expects to meet analysts’ forecasts of 16 cents a share for the quarter. In a conference call with analysts, the company said it expects to report per-share earnings “in the low-70-cent range” in 1999, better than the 68 cents analysts were expecting. The company’s shares fell 44 cents to close at $11.50 on Nasdaq. Dura made the announcements at the close of U.S. stock trading.