Bear of the Day:Bear of the Day:
Our Bear of the Day recommendation is for Salix Pharmaceuticals (Nasdaq: SLXP), a specialty pharmaceutical company engaged in acquiring, developing, and commercializing prescription drugs used in the treatment of a variety of gastrointestinal diseases. The company suffered a major setback in December 2007 when the FDA granted approval to three generic versions of lead product Colazal. This is devastating news for Salix as Colazal was a significant contributor to both the top-and bottom-line. As such, we expect 2008 to be an extremely challenging year for the company with a significant decline in both revenues and earnings.