We were disappointed to receive a warning letter on our Fajardo manufacturing facility earlier this year in March. We are working to address the items outlined in the warning letter and aim to get those resolved as quickly as possible.
Rather than speculate on timing, I will reassure you the revolution is a top priority for us; one we take seriously and are highly focused on.
As most of you probably have seen, early this week we learned the Judge’s decision at the Doryx trial. The Judge determined that our Doryx patent is valid, but not infringed by either Mylan or Impax. And consequently, we learned that Mylan entered the market with a generic equivalent of our Doryx 150.
Paul will discuss how this impacts our guidance. You should understand, we are committed to the derm space and plan to continue sales and marketing, R&D and business development efforts in this area.Speaking of business development, we issued a press release earlier this week disclosing our preliminary discussions with potential offers as well as our valuation of a broad range of strategic alternatives to enhance shareholder value. We will not, repeat, not comment further today on this topic. With that, let me turn it over to Paul for some thoughts about our first quarter financial performance. Paul Herendeen
Yes, thanks, Roger. As Roger mentioned, but I do want to reiterate, 2012’s off to a strong start with several of our key ramp brands delivering revenue growth in the quarter, including Estrace Cream, Loestrin franchise, Asacol and Atelvia. The performance of these key brands, coupled with favorable gross margins in the period and our success in gaining additional leverage over our operating costs, allowed us to deliver a solid growth in adjusted cash on our income in the quarter; up 9% compared with Q1 of last year.