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Why Deal Accounting Matters

Executive Summary

The pharmaceutical industry is well past the time when licensing was seen as merely a supplement to the internal R&D program. Now, it often plays a more important role than the company's internal R&D. As dealmaking becomes a bigger part of the overall pipeline building program, investors will require greater clarity from companies who now can bury external dealmaking costs in one-time write-offs or aggregated clash flow numbers.
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