Company name: Mallinckrodt
Location: Hazelwood, MO
Annual sales (in millions): $860
Market share: 2.7%
President: Charles Bramlage
Brothers Edward, Otto, and Gustav Mallinckrodt began manufacturing fine chemicals for pharmaceutical products in 1867. The company has changed since then; in 2000, it was acquired by Tyco International. Then, in early 2006, Tyco announced it was dividing the conglomerate into three separate publicly traded companies in 2007, with Mallinckrodt operating within a stand-alone healthcare company to be named Covidien.
During its most recent quarter, Covidien as a whole reported an adjusted profit that beat estimates on better margins, but saw weak pharmaceutical sales, as Reuters notes. The pharma business saw sales of $507 million, down 6 percent from last year's third-quarter sales of $539 million. And generic products posted sharply decreased sales versus last year, primarily due to increased competitive activity, which is driving lower pricing, coupled with distributor inventory contraction, according to a company statement. Executives told analysts on a conference call that they expected 2010 pharmaceutical sales to be "well below" 2009 levels, as many of Covidien's older brands are facing expanded competition, Reuters reports.