UPDATE 2-Straumann sales slip, sees no quick recovery

* Sales down 1 pct when stripping out currency effects

* Confirms guidance, sees FY sales at 730-740 mln Sfr

* Cautious outlook disappoints, shares fall 4 pct

(Rewrites throughout, adds CEO comments, analyst, share price)

By Sven Egenter

ZURICH, Oct 29, 2009 (Reuters) - Sales at Straumann (STMN.S), the world's second-largest producer of dental implants, fell a little more than expected in the third quarter, and it doesn't expect consumers to spend much more on their teeth until 2011.

The Swiss company, which has narrowed the gap on market leader Nobel Biocare (NOBN.VX) during the recession, has suffered less than rivals thanks to its less costly product mix, and it repeated its goal to win more market share.

But Straumann shares, which have risen 45 percent so far this year, were down 4.6 percent at 256 Swiss francs by 0912 GMT, while shares in Nobel, which reports results on Nov. 4, had fallen 2.5 percent.

"The results clearly show how difficult the dental implant market is and that Straumann cannot fully decouple," ZKB analyst Sibylle Bischofberger said.

Straumann said the market for implant, restorative and regenerative dentistry would fall by a mid-single digit percentage figure in 2009, and its chief executive did not expect it to return to pre-crisis growth rates soon.

"We think it's too early to talk about a significant recovery," Gilbert Achermann told Reuters. "We are still very cautious with regard to future developments."

Achermann said the market might grow slightly in 2010 and growth rates could reach high-single digit or low-double digit rates in 2011.


FALLING SALES

Straumann continued to outperform competitors such as U.S. companies Biomet and Zimmer (ZMH.N) in the third quarter with a 1 percent dip in sales when adjusted for currency swings.

Straumann's net revenue fell 5 percent compared with the third-quarter 2008 to 168 million Swiss francs ($164 million), the group said, taking its nine-month sales to 552 million, slightly below analysts' average forecast of 555 million in a Reuters poll.

Straumann gave the first quantitative guidance for 2009, saying full-year net revenue would be 730-740 million francs, below the average forecast in the poll of 751 million, and the operating (EBIT) margin would be around 22-24 percent.

Straumann shares trade at 24.7 times 2010 forecast earnings, a 22 percent premium over Nobel. ($1=1.025 Swiss Franc)


Dental implant maker's sales Q3 fall 5 pct to 168 mln Sfr

Water Fluoridation

Water fluoridation is the controlled addition of fluoride to a public water supply to reduce tooth decay. Fluoridated water has fluoride at a level that is effective for preventing cavities; this can occur naturally or by adding fluoride.[2] Fluoridated water operates on tooth surfaces: in the mouth it creates low levels of fluoride in saliva, which reduces the rate at which tooth enamel demineralizes and increases the rate at which it remineralizes in the early stages of cavities.[3] Typically a fluoridated compound is added to drinking water, a process that in the U.S. costs an average of about $0.92 per person-year.[2][4] Defluoridation is needed when the naturally occurring fluoride level exceeds recommended limits.[5] A 1994 World Health Organization expert committee suggested a level of fluoride from 0.5 to 1.0 mg/L (milligrams per liter), depending on climate.[6] Bottled water typically has unknown fluoride levels, and some more expensive household water filters remove some or all fluoride.[7]

Dental cavities remain a major public health concern in most industrialized countries, affecting 60–90% of schoolchildren and the vast majority of adults,[8] and costing society more to treat than any other disease.[9] Water fluoridation prevents cavities in both children[10] and adults,[11] with studies estimating an 18–40% reduction in cavities when water fluoridation is used by children who already have access to toothpaste and other sources of fluoride.[2] Although water fluoridation can cause dental fluorosis, which can alter the appearance of developing teeth, most of this is mild and usually not considered to be of aesthetic or public-health concern.[10] There is no clear evidence of other adverse effects. Moderate-quality studies have investigated effectiveness; studies on adverse effects have been mostly of low quality.[12] Fluoride's effects depend on the total daily intake of fluoride from all sources. Drinking water is typically the largest source;[13] other methods of fluoride therapy include fluoridation of toothpaste, salt, and milk.[14] Water fluoridation, when feasible and culturally acceptable, has substantial advantages, especially for subgroups at high risk.[8] The U.S. Centers for Disease Control listed water fluoridation as one of the ten great public health achievements of the 20th century;[15] in contrast, most European countries have experienced substantial declines in tooth decay without its use, primarily due to the introduction of fluoride toothpaste in the 1970s.[3] Fluoridation may be more justified in the U.S. because of socioeconomic inequalities in dental health and dental care.[16]

Water fluoridation's goal is to prevent a chronic disease whose burdens particularly fall on children and on the poor.[17] Its use presents a conflict between the common good and individual rights.[18] It is controversial,[19] and opposition to it has been based on ethical, legal, safety, and efficacy grounds.[20] Health and dental organizations worldwide have endorsed its safety and effectiveness.[3] Its use began in the 1940s, following studies of children in a region where higher levels of fluoride occur naturally in the water. Researchers discovered that moderate fluoridation prevents cavities,[21] and it is now used by 5.7% of people worldwide.[19]

Good olive oils that don't cost a lot

Good-quality, cheap olive oil does exist. We tried nine olive oils—nothing over $20 per liter, with most bottles hugging the $10 price point. Some of us chose the bread-dipping technique; others believed a spoon was more official. Which oils were mellow? More intense and spicy? The most like water?

Best Mellow Oil
Fairway ($8.99 for 1 liter): The New York mini-chain of markets sells this as their in-house brand of straight-forward olive oil both online and in stores. It's smooth, soft, and pretty neutral. If you can't handle the throat-grabbing intensity of peppery oils, this one will make you feel safe. Good for cooking.

Best Bitter, But Not Crazy Bitter Oil
Goya ($3.99 for 250 mL): The Hispanic packaged foods brand might be more familiar for canned beans, but they also make a not-too-intense olive oil. If you like buttery olive oils, but are ready to branch out into the crazier world of bitter, more dramatic flavors, this is a good place to start. It's not too spicy but still has a grassiness that gets your attention. Good for bread dipping.

Best Bang for Buck
Trader Joe's Spanish ($7.49 for 1 liter): Spanish olive oils are usually cheaper than Italian olive oils because those touted Italian olives get all the attention. This Trader Joe's Spanish EVOO—they sell a variety but admittedly, we fell for this pretty tree artwork—had a well-rounded flavor. Earthy but not too bitter, it'll leave your mouth slightly puckered—nothing too uncomfortable. Good for salad dressings.

Most Expensive And Just So-So
Colavita ($5.29 for 250 mL): Buying the adorable mini bottle made this same like a decent bargain, but it was actually the priciest one per-mL we tried. Though it had a nice, olive-rich taste (always a good thing when you're talking olive oils) it wasn't that exciting. Nothing harsh to say here, it's just not the best value.

Best All-Around
Whole Foods 365 Organic ($6.99 for 500 mL): We all came together in support of this guy. It has a nice sharpness up front with hints of bell pepper, but won't choke you with bitterness. Dunk bread into this and go to town drizzling it over salads—this is a winner.

Least Memorable
Bertolli ($8.99 for 500 mL): As I type this, wait there is nothing to type. Because it was that life-changing! For all the fat in olive oil, you should at least walk away with a memory. Maybe it's fine for cooking, but bread-dipping? Eh. Be skeptical of the actor dude's Italian accent on those Bertolli commercials.

Most Like Water
Filippo Berio Extra Light Tasting Olive Oil ($4.29 for 250 mL): In all fairness, they warned us about the "extra light" part. But why does it have to look so much like water? A pale yellow, slightly contaminated-looking water, but still. Do you really contain olives? Really? C'mon, are you just corn oil playing a little game of pretend? The "tasting" part threw us off since as one person noted, "it tasted like invisible."

What Would You do with Nine Leftover Bottles?

Bake an olive oil cake? Make french fries from scratch?