Drugmaker Shares Rise On Swine-flu Outbreak

DAMIAN J. TROISE

NEW YORK (AP) — The swine flu outbreak boosted shares of makers of of flu treatments, vaccines and tests Monday.

Though Wall Street remains concerned that swine flu could put a damper on any global economic recovery, several companies could benefit.

Gilead Sciences Inc., Roche, GlaxoSmithKline and other companies with a stake in flu treatments and detection will likely see revenue boosts if the swine flu outbreak continues to spread, several Wall Street analysts said.

The bug is already suspected in more than 100 deaths in Mexico, with more than 1,400 cases, mostly in Mexico City. It has spread to the U.S., with 40 confirmed cases, and cases are being investigated in Spain and Canada.

The U.S. government declared a health emergency and released 25 percent of Tamiflu and Relenza treatment courses from the national stockpile to make sure health care providers are ready for any escalation in cases.

Tamiflu, which is an oral treatment, was developed by Gilead, which receives royalties from the drug's maker, Switzerland-based Roche. Tamiflu is sold in Japan through a company mostly owned by Roche, while in India, Cipla makes a generic version.