Subject: Calgen, Inc

From: rae@neuron
Date: 18 Jun 1995 19:27:05 GMT

Calgene, Inc.

OVERVIEW
Calgene is best known for its FLAVR SAVR tomatoes (the first FDA-approved
genetically engineered food), which were introduced commercially in the
summer of 1994. However, in the near term, a large proportion of the
company revenues are likely to be from vegetable oil development. Big name
companies, including Procter & Gamble and Nippon Steel, provide monetary
support for vegetable oil transgenic research because many consumer
products contain vegetable oil or use vegetable oil in their manufacturing
processes. Also, Calgene, in cooperation with Rhone-Poulenc, is making
progress in developing cotton plants (BXN) that incur less damage when
treated with the herbicide Buctril (made by Rhone) and need fewer repeat
treatments than do traditional varieties. 
     The company was founded in 1980 in Davis, California, by entrepreneur
Norman Goldfarb and UC-Davis professor of agronomy Ray Valentine (who
remains on the company's science advisory committee). It explored using
recombinant DNA to breed plants, especially vegetables, fruits, and
grains. In 1986 Calgene went public. Its Stoneville Pedigreed Seed
subsidiary is the 2nd largest supplier of cotton planting seed in the US.
Calgene has at least 62 patents, 29 of which have been issued in the US;
the company has applied for about 158 additional patents. Thomas
Churchwell, subsidiary Calgene Fresh's president and Calgene VP, owns
14.3% of Calgene stock.
     Despite the company's and the FDA's long investigation of the FLAVR
SAVR tomato, naysayers still raise the specter of favorite cult movie
Attack of the Killer Tomatoes. Many demand the fruit be labeled as
genetically engineered. In 1994 Calgene revenues rose to $39.4 million
while losses were almost $42.8 million. Some of this loss was associated
with the FLAVR SAVR tomato's marketing delay. 

Nasdaq symbol: CGNE
FY ends: June 30 

WHO
Chairman and CEO: Roger H. Salquist, age 52, $280,673 pay
President and COO:  Roderick N. Stacey, age 48
VP; President, Calgene Fresh: Thomas L. Churchwell, age 51, $182,154 pay
VP; President, Oils Division: Andrew M. Baum, age 37, $169,538 pay
VP Research: Vic C. Knauf, age 41, $132,029 pay
VP; SVP, Cotton Division: John L. Callahan, age 47
VP and Chief Patent Counsel: Elizabeth Lassen, age 34
VP Finance and Secretary: Michael J. Motroni, age 38 
VP Human Resources: Bill Higgins
Auditors: Ernst & Young

WHERE
HQ: 1920 Fifth St., Davis, CA 95616
Phone: 916-753-6313
Fax: 916-753-1510

WHAT
Selected Products and Products Being Developed
BXN cotton
Cotton seed
FLAVR SAVR tomatoes (MacGregor's brand)
Genetic process for improving flavor and texture in frozen, dehydrated,
and dried foods

Subsidiaries
Ameri-Can Pedigreed Seed Company
Bioseeds International
Calgene Chemical
Calgene Fresh
Delinting and Seed Treating Company
NobleBear, Inc.
Osmotica Foods
Plant Genetics
Stoneville Pedigreed Seed Company

KEY COMPETITORS
Agway
Cargill
Delta & Pine Land
DNA Plant Technology
DuPont
Enzo Biochem
Lubrizol
Monsanto
Southern States Co-op
Staple Cotton Cooperative

HOW MUCH
                                 1988     1989     1990
Sales ($ mil.)                   23.6     28.6     27.6
Net income ($ mil.)             (5.3)    (6.8)    (7.4)
Income as % of sales                -        -        -
Earnings per share($)          (0.66)   (0.82)   (0.95)
Stock price - high($)            8.13     8.75    10.38
Stock price - low($)             5.50     5.63     4.25
Stock price - close($)           6.63     8.75     6.25
P/E - high                          -        -        -
P/E - low                           -        -        -
Dividends per share($)           0.00     0.00     0.00
Book value per share($)          4.27     6.55     5.62
Employees                           -      280      274

                                 1991     1992     1993
Sales ($ mil.)                   26.1     21.9     29.3
Net income ($ mil.)            (27.0)   (19.9)   (25.6)
Income as % of sales                -        -        -
Earnings per share ($)         (2.54)   (1.42)   (1.13)
Stock price - high ($)          11.75    20.63    20.63
Stock price - low ($)            5.13     9.63     9.88
Stock price - close ($)          9.88    20.63    13.13
P/E - high                          -        -        -
P/E - low                           -        -        -
Dividends per share ($)          0.00     0.00     0.00
Book value per share ($)         3.86     1.83     2.70
Employees                         226      282      373

1993 Year-end:
Debt ratio: 16.0%
Return on equity: -
Cash (mil.): $39.8
Current ratio: 2.81
Long-term debt (mil.): $3.7
No. of shares (mil.): 24.4
Dividends:
  1993 average yield: -
  1993 payout: -
Market value (mil.): $320.5
R&D as % of sales: 51.1%
Advertising as % of sales: -

Hoover's Handbook Database, Copyright (C), 1994, The Reference Press,
Inc., Austin, Tx.

Transmitted:  94-12-30 17:25:36 EST