Tylenol scare causes run on other products
NEW YORK (AP) — In the week after seven people
died from taking cyanide-laced Tylenol capsules, sales
of other over-the-counter pain relievers jumped 10
percent And for many consumers, an aspirin-free
product was hard to find.
‘‘There's a lot of empty space on the shelves," says
Howard Diener of Rite Aid Corp , which has 1,020 drug
stores in 18 states. Until 12 days ago, one of every three
dollars spent on non-prescription pain relievers went to
Tylenol.
American Home Products Corp. is one company
rushing to fill the void left by the withdrawal of Tylenol
capsules from the market It has boosted production of
Anacin 3, an aspirin-free pain reliever that had been a
distant second to Tylenol in sales. Plants in New Jersey
and Indiana that normally operate two shifts are now
working around the clock, the company says, to meet
an ‘‘unprecedented" demand
The company is continuing a series of television
advertisements in which Tylenol is mentioned by name
In one ad, a woman complaining of a headache says,
“My doctor said no aspirin. With this headache, I guess
I’ll take Tylenol.”
A companion advises her to take Anacin 3 instead
"Right,” chimes in an anouncer, "like Tylenol, Anacin 3
is 100 percent aspirin free." Both Tylenol and Anacin 3
contain acetaminophen instead of aspirin
John Wood, spokesman for American Home
Products in New York, says similar ads have been
broadcast since January and the company has not
changed its advertising to capitalize on the troubles of
Tylenol.
"No change is planned," Wood added
Tylenol is still sold in tablet and liquid forms, and its
manufacturer has offered to exchange any capsules for
tablets or cash
The potential for Anacin 3 to claim a larger share of
the market for over-the-counter pain relievers has not
escaped notice on Wall Street From Sept 29 — a day
before it became known that Extra-Strength Tylenol
capsules had been contaminated with cyanide — until
Monday, the stock of American Home Products climbed
13 8 percent to a one-year high of 47V
In the period, the Dow Jones Industrial Average was
up 11 8 percent
"Investors in a bull market will seiie on anything
and here you have a huge void left by Tylenol." says
David Paisley, an analyst with Merrill Lynch
"I think in the wake of the Tylenol scare, most
consumers would want a recognizable brand name
The name 'Anacin' is as prestigious as just abbut any
Anacin 3 is the only available nationwide (aspirin-free)
competitor to Tylenol." Paisley says.
All Anacin products, including those with aspirin,
made up 12 3 percent of the $1 2 billion U S market for
over-the-counter pain relievers, the so-called analge
sics. according to Advertising Age magazine That s
about a third of Tylenol's previous market share
Figures tor the market share of aspirin-free Anacin
3, introduced in 1977, were not available
The Marketing Fact Book, published by Information
Resources of Chicago, reports that sales of all over
the-counter pain relievers jumped 10 percent in the
week after the discovery of the tainted Extra-Strength
Tylenol capsules
"Regular aspirin products picked up most of the
share," says George Garrick of Information Resources
"The week before, they represented 63 percent of
analgesics; the week after they went up to 89 percent ”
Reagan assures Suharto America an ally
WASHINGTON (AP) - Pres Ronald
Reagan assured Indonesian President
Suharto on Tuesday that the United
States will not let its ties with China
undermine the security of American al
lies in Southeast Asia
Reagan also expressed sympathy with
Suharto's concern about the growing
power in the region of the Soviet Union,
the principal supporter of the communist
government of Vietnam
Visiting the United States for the third
time since he took office in 1966, Suharto
was hailed by Reagan as "a senior sta
tesman of Asia" whose country is "an
important force for peace, stability and
progress
After an elaborate welcoming cer
emony and a 21-gun salute, Suharto
conferred with Reagan for 90 minutes in
the Oval Office Sitting in wing chairs,
they posed for pictures in front of a
blazing fire
A senior U S official, briefing reporters
afterward, said countries in the region
are concerned about "a potential threat
from China, not necessarily an existing
one We understand these concerns "
The official said the Association of
Southeast Asian Nations (ASEAN) is the
foundation of U S policy in the region
The United States is not going to let its
relations with any other country get in the
way or in fact constitute a security
threat to ASEAN," he said
Administration officials refused to dis
cuss whether the talks between Reagan
and Suharto touched on two sensitive
areas — civil unrest and alleged mass
killings by security forces on East Timor,
an Indonesian island, and the lack of a
U S ambassador in Indonesia
The senior official, speaking on the
condition that he not be identified, said
the United States relies on "quiet di
plomatic discussions” of human rights
questions However, the official said the
Indonesian government "is very much
aware of administration policy on this."
In advance of Suharto's visit, several
members of Congress urged Reagan to
express concern to the Indonesian
leader about the residents of East Timor
The official said the subject of a U S
ambassador in Jakarta was the topic of
"sensitive diplomatic discussions" and
that there "will be an announcement
subsequently."
The post has been vacant for nearly a
year, and efforts to fill it have not
produced results because of what some
officials call “a comedy of errors.”
In their private talks, Reagan assured
Suharto that he would give sympathetic
consideration to requests for aircraft and
naval vessels to protect the approaches
to Indonesia and ife more than 13,500
islands, the senior official said.
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