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Tuesday, January 11, 2011

Genzyme cuts 2011 view; refuses comment on Sanofi, (NASDAQ: GENZ), (SASY)

Biotechnology company Genzyme Corp (GENZ.O), the subject of an $18.5 billion hostile takeover bid from Sanofi-Aventis SA (SASY.PA), posted preliminary fourth-quarter earnings that fell short of Wall Street forecasts and cut its earnings outlook for 2011. Genzyme said the shortfall in quarterly earnings was due to lower-than-expected sales of Cerezyme, its drug to treat Gaucher disease. The company has failed to meet a series of earnings forecasts. This, combined with its reduced forecast, could make it harder for Genzyme to persuade Sanofi that it is worth more than the $69 a share offered by the French drugmaker.