Technology Potential

Projected Earnings from the BioClonetics’ passive immunotherapy have been calculated by an independent national consulting firm.  This analysis examines the expected potential profits from 2 perspectives: (1) considering sales only to North Americ and Western Europe and (2) considering sales to the major Markets including North America, Western and Central Europe, Eastern Europe and Central Asia, South and Southeast Asia and Latin America.  These potential earnings and underlying assumptions are set forth here: 

Potential Profit from Technology

Graph 1- Earnings/Graph 1 – Passive Immunotherapy – North America and Western Europe

Assumptions for Graph 1 - passive immunotherapy

Approximately 2.3 million potential patient populations with HIV/AIDS (North American and Western Europe) [1]

 ·         Assumes 1.5% annual increase in population growth over the forecast period

·         $8,000 treatment total cost per patient (single series of treatments for one year)

·         Assumes penetration of from 1% in year one to maximum of 15%

·         Assumes a reduction in the population group by the number treated

·         Cost of antibody -  $2400 ($100 for 24 treatments) –(actual cost of production to the Company of the antibody is expected to be far less than this very conservative estimate)


[1] https://www.aids.gov/hiv-aids-basics/hiv-aids-101/global-statistics/; UNAIDS Global Report on the AIDS Epidemic

Earnings – Passive Immunotherapy – Major Markets (North America, Western and Central Europe, Eastern Europe and Central Asia, South and Southeast Asia and Latin America)
A more appropriate market for the Company’s therapy includes the regions referred to as the “Major Markets”, including North American, Western and Central Europe, Eastern Europe and Central Asia, South and Southeast Asia and Latin America wherein there are 10.65 million HIV positive individuals.  Assuming a penetration rate of 1% rising to a maximum 15% over a five-year period, profit from making treatment available to these 9.5 million HIV positive individuals in the 7 major world markets would be $73.56 billion in the first 10 years.
 
The estimated earnings for this population group is shown below with the underlying assumptions presented below the graph.

Assumptions for Graph 2 – passive immunotherapy – 7 Major Markets

Patient Population:

Major Markets – HIV population[1]

North America – 2.3 million
Western and Central Europe - .85 million
Eastern Europe and Central Asia – 1.1 million
South and Southeast Asia (including India) – 4.8 million
Latin America – 1.6 million
Total – 10.65 million

Assumes 9.55 million potential patient populations with HIV/AIDS
·         Assumes 1.5% annual increase in potential population growth over the forecast period

·         $8,000 treatment total cost per patient (single series of treatments for one year only)

·         Assumes penetration of from 1% in year one to maximum of 15%

·         Assumes a reduction in the population group by the number treated


[1] https://www.aids.gov/hiv-aids-basics/hiv-aids-101/global-statistics/; UNAIDS Global Report on the AIDS Epidemic

Earnings/Graph 2 – Passive Immunotherapy – Major Markets (North America, Western and Central Europe, Eastern Europe and Central Asia, South and Southeast Asia and Latin America)

A vaccine against HIV has a much broader application and will produce significantly larger earnings.

An HIV vaccine.

Earnings Projections / Passive Immunotherapy
– North America and Western Europe
 
Approximately 2.3 million potential patient populations with HIV/AIDS (North American and Western Europe) [1]
[1] https://www.aids.gov/hiv-aids-basics/hiv-aids-101/global-statistics/; UNAIDS Global Report on the AIDS Epidemic

Looking only to the market in North America and Western Europe, the following earnings can be projected.  The controlling paramete giving rise to these projected earnings are set forth below the graphs.

Assuming a penetration rate of 1% rising to a maximum 15% over a five-year period, aggregate profit in the first 10 years from treating HIV- infected individuals in the U.S. and Western Europe would be $ 17.33 billion.