Bristol-Myers Gets Conditional Drug OK

Bristol-Myers Squibb Co. moved closer to Food and Drug Administration approval of the Abilify schizophrenia drug, which may be the company’s next big product.

The drug maker said it is in discussions with the FDA, which sent a letter indicating that the product may be approved after certain issues are resolved. The company didn’t reveal what concerns the FDA raised in the letter. Bristol-Myers said it expects FDA approval of Abilify this year.

Abilify might be Bristol-Myers’s most important introduction since its Plavix heart drug, approved in the U.S. in 1997, analysts say. Setbacks with heart and cancer drugs, once considered potential blockbusters, have left the company more dependent on Abilify. Analysts say peak annual sales could reach about $700 million.

Bristol-Myers shares fell 95 cents to $24 on the New York Stock Exchange.