Average Consumer Unlikely To Get Any Benefit From Pfizer’s Decision To Roll Back Steep Drug Increases
The company won glowing praise from the White House after it decided to delay its price hikes, but experts say the move is not going to make a big difference to any of the players involved -- including the consumers. Meanwhile, congressional Democrats want more information on the deal between Pfizer and President Donald Trump. And, while the president had success with one company doesn't mean the rest aren't going ahead and raising their prices.
Stat:
What Pfizer, Trump, And Consumers Got Out Of A Surprising Deal
After months of pledging he would get pharmaceutical companies to lower their prices, President Trump can now say that he pressed the CEO of a major drug maker, Pfizer, to back down on a series of price hikes. Pfizer, in turn, has earned glowing praise from Trump and his administration and will likely not suffer much, if at all, financially. (Merhson and Swetlitz, 7/11)
The Hill:
Top Dem Demands More Details On Pricing Deal Between Pfizer And Trump
The top Democrat on the Senate Finance Committee is demanding details on an agreement between President Trump and drug company Pfizer to temporarily hold off on drug price increases. ... Pfizer announced Tuesday evening it would defer previously announced price increases on 100 drugs following "an extensive discussion" with Trump to give the administration more time to work on its plan to lower costs. (Hellmann, 7/11)
Bloomberg:
Many Drugmakers Ignore Trump—And Raise Prices Anyway
President Donald Trump succeeded in convincing Pfizer Inc. to hold off on price increases it had planned for this month. But the pharmaceutical giant wasn’t the only drug company seeking to charge more for its products in recent days. In the first 10 days of July, at least ten other drugmakers and biotechnology companies raised prices on at least 20 brand-name medicines, a review of pricing data from Rx Savings Solutions and Bloomberg Intelligence shows. (Langreth and Koons, 7/12)
In other pharmaceutical news —
Reuters:
Pfizer Separates Consumer Health Unit In Business Rejig
Pfizer Inc announced plans on Wednesday to reorganize into three units, separating its consumer healthcare business that the U.S. drugmaker has been trying to sell since last year. The company said it is still looking for options for the lower-margin, non-core consumer healthcare business that makes products ranging from painkiller Advil to lip balms and is worth about $15 billion. (Mishra, 7/11)
The Wall Street Journal:
Pfizer To Reorganize Business Units
Pfizer has been reviewing strategic options for the consumer health-care business, which sells brands like Advil pain medicine, Centrum vitamins and ChapStick lip balm, since last year. The company expects to make a decision regarding the business this year. Pfizer said the changes will go into effect next year and don’t affect its 2018 guidance or its capital-allocation plans. (Prang, 7/11)
Stat:
Lawmaker Probes Trump Official Over Potential Conflicts With CAR-T Maker
A congressional lawmaker is investigating the role that a former Gilead Sciences (GILD) lobbyist played in the Trump administration and its efforts to develop a payment model for a pricey new Novartis cancer drug. The focus of the inquiry is Joseph Grogan, who joined the Trump administration in early 2017 as associate director of health programs at the Office of Management and Budget, where he was working on a “pay-for-performance” program for the Novartis (NVS) drug, called Kymriah. (Silverman, 7/11)
Bloomberg:
After Feuding With Drug Middlemen, Startup Fields A Competitor
Blink Health, a startup that helps patients shop for low-cost prescription drugs online, has helped set up a new pharmacy-benefit administration firm after big drugstore operators balked at filling orders placed through the service. Blink said on Wednesday that it had partnered with former officials of Express Scripts Holding Co. to create Blue Eagle Health, which it characterized as an alternative to large pharmacy-benefit managers who have been criticized by the Trump administration for their role in driving up drug costs. (Langreth, 7/11)
