Biotech wants tax break

Biotech industry executives are beseeching Congress today (10 Dec) for a temporary change in the tax code that would give some struggling biotech companies a cash boost. The plan would funnel hundreds of millions of dollars to some biotechs in exchange for tax credits that the companies would not take if they make money next year and beyond. Nearly a third of publically traded American biotech companies have a six month's or less supply of operating cash, The New York Times linkurl:reported.;h

Andrea Gawrylewski
Dec 9, 2008
Biotech industry executives are beseeching Congress today (10 Dec) for a temporary change in the tax code that would give some struggling biotech companies a cash boost. The plan would funnel hundreds of millions of dollars to some biotechs in exchange for tax credits that the companies would not take if they make money next year and beyond. Nearly a third of publically traded American biotech companies have a six month's or less supply of operating cash, The New York Times linkurl:reported.;http://www.nytimes.com/2008/12/10/business/10biobail.html?_r=1&ref=business The industry would agree to a $30 million cap on the amount any one company can receive. The lead advocate in the efforts, Biotechnology Industry Organization (BIO), is trying to differentiate the biotech industry from other failing industries seeking bailouts. "This is not a question of our companies operating with what some perceive as a flawed business model," Alan Eisenberg, executive vice president of BIO, told the Times...




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