FDA issues skin warning about alcoholism therapy

Federal regulators warned doctors about severe skin reactions seen in patients taking an injectable treatment for alcoholism made by Cambridge-based Alkermes Inc. and marketed by Cephalon Inc. The Food and Drug Administration said physicians and patients should watch for swelling, infection, and other complications at the point where the drug is injected. The agency stressed that doctors must use the proper needle to administer Vivitrol and inject it directly into muscle, not into fatty tissue. Nearly 200 reports of skin problems have been reported to the agency from patients taking the drug. A Cephalon spokeswoman said the company believes some of the problems resulted from improper injection of the drug. (AP)

A vice president of defense contractor Raytheon Co. sued the Waltham company and one of its top executives in US District Court in Boston, contending she is a victim of race and sex discrimination. Cassandra Matthews, a vice president at the company, charged in the suit that Raytheon and her superior, chief information officer Rebecca Rhoads, subjected her to a hostile work environment for not conforming "to a meek and subservient stereotype." Raytheon said that it believes the claims are without merit. (Reuters)

Plexus Corp., a provider of electronic manufacturing services, including mechanical, electronic, and software design, said it will close its Ayer manufacturing plant and transfer work to other facilities, primarily in Neenah, Wis., where the company is headquartered. Plexus says it expects to close the plant by March, resulting in the loss of about 170 jobs. Chief financial officer Ginger Jones says the company expects to save $4 million to $5 million annually by closing the plant. (AP)

A provider of text-imaging technology, Monotype Imaging Holdings Inc., of Woburn, said second-quarter net income rose 63 percent, meeting analysts' estimates, on a drop in interest expenses. Income grew to $3.2 million from $2 million in the year-earlier period. On a per-share basis, profit was 9 cents, versus a year-before loss of $4.95, which included a $16.5 million charge. In the latest quarter, earnings were reduced 4 cents a share because of a mainly noncash loss of $1.2 million, related to foreign currency exchange losses, and about $700,000 that was related to increased expenses associated with the secondary offering of securities. Revenue gained 12 percent to $28.8 million from $25.8 million. On average, analysts polled by Thomson Financial expected earnings of 9 cents per share on sales of $28.3 million. (AP)

Irving Forest Product's Pinkham Saw Mill in Aroostook County, Maine, is being permanently closed, resulting in the loss of 64 jobs. Spokeswoman Mary Keith said workers were briefed on plans to close the mill on Aug. 25. The company cited the ongoing slump in home construction, a 97 percent increase in fuel costs, and a 40 percent increase in transportation costs since 2000. The company said a fire that destroyed part of the mill on Monday accelerated the timetable. (AP)

Microsoft Corp. issued fixes for 26 security holes in its programs, the highest number in two years. The updates prevent hackers from exploiting flaws in applications such as Internet Explorer, Microsoft said. Microsoft issues fixes for security holes on the second Tuesday of every month. Microsoft also issued updates for programs such as Word 2002, Word 2003, and Excel 2000. The company rated 17 of the 26 flaws as critical, meaning hackers can assume control of users' PCs. (Bloomberg)

Tween Brands Inc. said it's converting nearly 600 Limited Too stores to its lower-priced Justice brand as cost-conscious parents steer their children toward more heavily discounted stores. The move will give the Justice chain about 900 stores when the conversion is completed. After the change, the teen clothing chain will no longer operate its Limited Too stores in the United States, ending the brand's two-decade history as a shopping mall stalwart. In addition to the stores being converted, the company will close about two dozen Limited Too stores. The desire for cheaper apparel was dragging down the company's performance, as comparable sales - an important retail industry metric - fell 11 percent at the Limited Too during the second quarter. Same-store sales fell just 3 percent at Justice. (AP)