News Update
March 10, 2010

Longtime API Leader to Retire

Cheryl Oxley has spent the last 30 years in the offices of Angus Productions Inc. (API), managing production of the cornerstone publication, the Angus Journal, and meticulously overseeing advertising and other API services. On April 30, however, the retiring livestock publishing veteran will exit the doors of the Saint Joseph, Mo., headquarters for the last time as an employee, leaving award-winning publications and decades of service to the Angus industry.

“Working closely with the API team, managing the production aspects of the Angus Journal and watching it grow has been a memorable life experience,” Oxley says. “I love our magazine, and I’m proud to have been a part of API’s many accomplishments.”

Oxley began her career at API in 1979 as a typesetter for the first issue of the Angus Journal under ownership of the American Angus Association.® Working long days and late nights with the small magazine crew, she subsequently earned a position as advertising and production manager and helped steer the organization through significant changes — the transition from cut-and-paste to computer desktop publishing; acquisition of the Angus Beef Bulletin and its development as an advertising medium; introduction of the Special Services Department, which now produces more than 600 pieces per year; and development of the Web Services Department, offering web site design, hosting and other online services. Read more.

Secretary Vilsack Announces Cattlemen’s Beef Board Appointments

On March 10 Agriculture Secretary Tom Vilsack announced 36 appointments to the Cattlemen’s Beef Promotion and Research Board. All appointees will serve three-year terms beginning immediately.

Newly appointed members representing cattle producers are Barbara Jackson, Arizona; Willem Bylsma, California; Darrel Sweet, California; Robert Buck, Colorado; Jeffrey Clausen, Iowa; Dean Black, Iowa; Daniel Herrmann, Kansas; Larry Olten, Kansas; Genevieve Lyons, Louisiana; Andrew Salinas, Michigan; John Schafer, Minnesota; David McCormick, Mississippi; Kevin Frankenbach, Missouri; Kristy Lage, Nebraska; Judith Reece, Nebraska; Annalyn Settelmeyer, Nevada; Tamara Ogilvie, New Mexico; Ernest Harris, North Carolina; Thomas Woods, Oklahoma; James Kesler, South Carolina; Danni Beer, South Dakota; Linda Gilbert, South Dakota; Robert Reviere Jr., Tennessee; Larry Pratt, Texas; Andrea Reed, Texas; Rudolph Tate, Texas; Bruce Dopslauf, Texas; Laurie Munns, Utah; Jane Clifford, Vermont; Larry Echols, West Virginia; Martin Andersen, Wisconsin; Randall Geiger, Wisconsin; and Spencer Ellis, Wyoming.

Newly appointed members representing importers are Alberto Senosiain, Florida; Andrew Banchi, Pennsylvania; and Scott Hansen, Virginia.

In 2009, according to the U.S. Department of Agriculture (USDA) statistics, there were an estimated 950,000 farms with cattle representing approximately 93.7 million head of cattle at the beginning of 2010. Top-producing states included Texas, Kansas, Nebraska, California and Oklahoma.

The Board oversees collection of the $1-per-head checkoff on all cattle sold in the United States, and $1-per-head equivalent on imported cattle, beef and beef products. In addition, the Board contracts with established national, nonprofit, industry-governed organizations to implement programs of promotion, research, consumer information, industry information, foreign marketing and producer communications.

The 106-member Board is authorized by the Beef Promotion and Research Act of 1985. The secretary selects the appointees nominated by beef, veal, dairy and importers certified organizations.

USDA’s Agricultural Marketing Service (AMS) oversees operations of the Board.

For a full list of the members, visit www.usda.gov/wps/portal/!ut/p/_s.7_0_A/7_0_1OB?contentidonly=true&contentid=2010/03/0117.xml.

— Release by USDA.

Sanofi-aventis and Merck to create a Global Leader in Animal Health

Sanofi-aventis and Merck & Co. Inc. announced today, March 10, 2010, that sanofi-aventis has exercised its option to combine Merial with Intervet/Schering-Plough, Merck’s Animal Health business. The new joint venture will be equally owned by Merck and sanofi-aventis. The formation of this new animal health joint venture is subject to execution of final agreements; antitrust review in the United States, Europe and other countries; and other customary closing conditions. The completion of the transaction is expected to occur in approximately the next 12 months.

“The upcoming combination of Merial and Intervet/Schering-Plough is an exciting opportunity for sanofi-aventis to create with Merck a leading company in the Animal Health strategic and growing sector,” said Christopher Viehbacher, CEO of sanofi-aventis. “I am convinced that, together, we will create strong value in bringing broader and improved offerings in both pet and production animal segments. This transaction represents another consistent milestone in our diversification strategy to bring sustainable growth to sanofi-aventis.”

“Merck has been in the animal health business for well over six decades and through this new joint venture, we will bolster our diverse portfolio and create a new global competitor poised for growth,” said Richard Clark, Merck chairman, president and CEO. “This new joint venture delivers on Merck’s commitment to customer focus by creating one of the broadest portfolios of animal health products and services in pharmaceuticals and biologics for millions of customers who include farmers, veterinarians and pet owners. The planned joint venture will have an attractive geographical network of global technology and expertise to provide health solutions based on customers’ needs, which often vary regionally.”

The enterprise value of Merial has been fixed at $8 billion and the enterprise value of Intervet/Schering-Plough at $8.5 billion, leading to a true-up payment of $250 million to Merck to establish a 50/50 joint venture. An additional amount of $750 million will be paid by sanofi-aventis, as per the terms of the agreement signed July 29, 2009. All payments, including adjustments for debt and certain other liabilities will be made upon closing of the transaction. This new joint venture will offer a broader portfolio of animal health products and services in pharmaceuticals and biologics, as well as the ability to capitalize on growth opportunities in all fields and countries around the world.

The worldwide animal health market reached $19 billion in 2008. Products for companion animals accounted for 40% of total sales while products for production animals accounted for the remaining 60% of total sales. This market is expected to grow at around 5% per year over the next five years, driven by a growing demand for animal proteins, as well as strong consumer needs for companion animal health care.

The companies said that both Merial and Intervet/Schering-Plough will continue to operate independently until the closing of the transaction.

— Release by Merck & Co.

— Compiled by Mathew Elliott, assistant editor, Angus Productions Inc.