CURE-2002-03-26.doc - Yale University

oculoplaniaballtownBiotechnology

Dec 1, 2012 (4 years and 8 months ago)

188 views



1


Contact:

Marcia Valente, CURE

Michele Baer, Noonan Russo/Presence

(860) 529
-
3120

(212) 696
-
4455 ext. 278

mvalente@curenet.org

m.baer@noonanrusso.com



EMBARGOED UNTIL 6:00 P.M. EST MARCH 26, 2002



ECONOMIC REPORT FINDS THAT CONNECTICUT'S BIOSCIENCE CLUS
TER
CONTINUES TO MATURE AND DELIVER IMPRESSIVE ECONOMIC IMPACT

-

R&D Investment Increased 139 Percent In Past Six Years



-

Despite A National Economic Downturn, Connecticut’s BioScience Companies


Created Nearly 500 New Jobs in 2001


-

Connecticut
-
Based P
harmaceutical Companies Account for More Than


12 Percent of All R&D Dollars Spent By Pharmaceutical Companies



ROCKY HILL, Conn., MARCH 26, 2002



Connecticut
-
based BioScience research and
development (R&D) investment in 2001 totaled $3.6 billion, an 18

percent increase over
2000, according to the Seventh Annual Economic Report of Connecticut United for
Research Excellence (CURE), Connecticut’s BioScience Cluster. The report, titled “2001
Gains and Future Opportunities,” was released Tuesday evening at
Yale University, and
was followed by a reception attended by executives from Connecticut
-
based
biotechnology and pharmaceutical companies, as well as state government officials and
academics.


The report highlights several economic indicators that demonst
rate the tremendous and
sustained growth of the BioScience industry in Connecticut, including:




2

-

Connecticut’s BioScience Cluster total R&D investments increased 139 percent to
$3.6 billion between 1995 and 2001, the time since data have been available. T
he
most significant growth, 437 percent to $277 million, was noted in the
biotechnology sector.


-

Companies reporting from the biotechnology sector raised nearly $557 million in
private and public capital last year despite a difficult financial environment
nationally.


-

Connecticut
-
based pharmaceutical R&D companies now account for more than
12 percent of all R&D dollars spent by the nation’s pharmaceutical companies.


-

Total Cluster employment in 2001 increased 3 percent to nearly 16,500 persons,
creating
an additional 471 jobs over the previous year. The average R&D annual
salary for BioScience employees held steady at approximately $63,000.


“The BioScience Cluster has an impressive reputation of growth and success. It is a key
sector which continues t
o demonstrate that Connecticut’s economy is technology
-
driven
and well
-
positioned for continued future expansion,” said Governor John G. Rowland.
“Many of our Connecticut BioScience companies are developing truly leading
-
edge
therapies, products and techn
ologies that help treat people today, and undoubtedly will
play a major part in improving medicine and quality of care in the future.”


As R&D investments increased in 2001, so too did the need for space. Occupied
laboratory space within the Cluster also
grew during 2001 by nearly 400,000 square feet
or 8 percent, to a total of 5.6 million square feet. The biotechnology sector noted the
largest increase at 18 percent, adding nearly 90,000 square feet for a 2001 total occupied
lab space of 589,000 square f
eet.


"The BioScience Cluster is making significant contributions toward Connecticut's

economic future," noted Department of Economic and Community Development
(DECD) Commissioner James F. Abromaitis. "The State has committed itself to

being an attractive

place for BioScience companies to build their businesses,



3

and we remain steadfast in our commitment to this key industry."


Clinical studies investments increased 22 percent during 2001 to nearly $512 million
from $418 million in 2000. The most significa
nt growth (55 percent to more than $41
million from $26.7 million) occurred in the biotechnology sector.


For the first time, data were collected regarding clinical milestones in the biotechnology
sector. Reporting companies noted work on 25 Phase I, II
, and III clinical trials, a 57
percent increase from 2000. Seven new INDs (investigational new drug applications)
were filed in 2001 as compared to two in the previous year.


Biotechnology companies exchanged unused R&D tax credits to the State of Con
necticut
for 65 percent of their face value during the years 2000 and 2001, for a total
reimbursement of $10.5 million and $6.3 million respectively. In comparison,
Connecticut biotechnology companies invested $503 million in R&D spending during
the same
period, nearly 30 times the amount reimbursed by the State. The exchange, a
tax program which is a national model for the industry, represents a source of capital
not available to biotechnology companies in Connecticut only two years ago.


"The report's i
mpressive findings, including the R&D tax credit information, offer solid
evidence of the interrelated aspects of the BioScience Cluster. These data further
demonstrate the importance of industry and state collaboration, and show the success
story of BioS
cience in Connecticut," stated Peter Mueller, Ph.D., co
-
chair of CURE and
senior vice president for research and development at Boehringer
-
Ingelheim
Pharmaceuticals, Inc. in Danbury.


During the past year each BioScience job supported another 3.15 jobs el
sewhere in the
state's economy representing a total impact of nearly $6.4 billion. Mark Thompson,
Ph.D., Associate Dean of Quinnipiac University's School of Business conducted the
independent "input
-
output" analysis of the BioScience data.


Highlights of

this analysis note that in 2001, Connecticut's BioScience Cluster:



4



Generated the employment of 14,167 people in the state through indirect impacts
or initial spending;



Generated another 21,237 jobs through induced impacts, or changes in the
regional econo
my;



Ultimately affected a total of almost 52,000 jobs.


The majority of jobs created outside of BioScience through indirect and induced impacts
on the economy are in services (16,180) and retail trade (9,346).


The top six industry sectors most affecte
d by the BioScience Cluster and its employees
from 1995 to 2001 included:




Services, up 153 percent, from 6,391 to 16,180;



Retail trades, up 247 percent, from 2,695 to 9,346;



Finance, insurance and real estate, up 181 percent, from 642 to 1,806;



Transporta
tion, communication and public utilities, up 215 percent, from 416
to 1,310;



Manufacturing, up 1,136 percent, from 401 to 4,957;



And construction, up 248 percent, from 275 to 956.


William G. Rice, Ph.D., co
-
chair of CURE and president and CEO of Achillion

Pharmaceuticals, Inc. in New Haven, said, “Each year the Cluster adds an impressive
number of direct and indirect jobs toward the state's economy. Perhaps equally
important are the Cluster's ultimate products
-

medicines and treatments from
Connecticut's

BioScience research laboratories that heal and assist hundreds of millions
of people worldwide."


Now in its seventh year, the CURE Economic Report has become the recognized
benchmark measuring Connecticut’s BioScience Cluster’s development. The

compani
es and institutions included in this Seventh Annual Economic Report were:
Achillion Pharmaceuticals, Inc.; Alexion Pharmaceuticals, Inc.; Bayer Corporation;
Boehringer Ingelheim Pharmaceuticals, Inc.; Bristol
-
Myers Squibb Company; Cellular
Genomics; CuraG
en Corporation; Genaissance Pharmaceuticals, Inc.; Ikonisys, Inc.;


5

Institutes for Pharmaceutical Discovery; Molecular Staging, Inc.; Neurogen Corporation;
Pfizer Inc; Protein Sciences Corporation; PhytoCeutica, Inc.; Purdue Pharma LP; Rib
-
X
Pharmaceuticals
; the University of Connecticut; Vion Pharmaceuticals, Inc.; and Yale
University.


Founded in 1990, CURE has been, since 1998, the organizational center of Connecticut’s
BioScience Cluster, in partnership with the state Department of Economic and
Community

Development. CURE’s membership includes the majority of the state’s
biotechnology companies, all five pharmaceutical companies with major facilities in the
state, all of its academic and research universities and colleges, many of its health care
institu
tions and systems, supporting agencies, businesses and organizations and several
of its voluntary health organizations.



(EDITOR’S NOTE: The charts below provide the details of R&D investments over a
one
-
year and a six
-
year period, and a six
-
year comparis
on of total indirect and
induced jobs. Please feel free to use them to illustrate your story on the Seventh
Annual Economic Report of CURE, Connecticut’s BioScience Cluster.)



2001 Connecticut's BioScience Cluster Economic
Report Card













One
-
year comparison





R&D Expenses

Year end 2000

Year end 2001

Total growth

% Growth

Biotechnology Companies

226,154,159


277,210,873


51,056,714

23%

Pharmaceutical Companies

2,434,900,000


2,904,933,799


470,033,799

19
%

Academic Institutions

391,231,208


429,893,436


38,662,228

10%

Total R&D Expenses

$3,052,285,367

$3,612,038,108

$559,752,741

18%











Six
-
year comparison





R&D Expenses

Year end 1995

Year end 2001

Total growth

% Growth

Biotechnology Companies

51,625,000


277,210,873


225,585,873

437%

Pharmaceutical Companies

1,202,300,000


2,904,933,799


1,702,633,799

142%

Academic Institutions

259,150,000


429,893,436


170,743,436

66%

Total R&D Expenses

$1,513,075,000

$3,612,038,108

$2,098,963,108

139%








6

Six
-
year comparison of total indirect and induced jobs supported by
Connecticut’s BioScience Cluster


Year end 1995

Year end 2001

% Growth

Services

6,391

16,180

153%

Retail Tra
des

2,695

9,346

249%

Finance, Insurance and Real
Estate

642

1,806

181%

Transportation,
Communications and Public
Utilities

416

1,310

215%

Manufacturing

401

4,957

1136%

Construction

275

956

248%




###