Morning Briefing
Summaries of health policy coverage from major news organizations
Patents Tension Comes To A Head As Government Sues Gilead Over Profits From Taxpayer-Funded HIV Prevention Drug
The New York Times: Trump Administration Sues Gilead, Maker Of H.I.V.-Prevention Drugs
The Trump administration on Wednesday sued Gilead Sciences, a pharmaceutical company that sells H.I.V.-prevention drugs that can cost patients up to $20,000 a year, accusing the company of earning billions from research funded by taxpayers without paying taxpayers back. The government said the company infringed upon patents owned by the Department of Health and Human Services, and had refused attempts by the department to license its patents and collect royalties. The company sells two drugs, Truvada and Descovy, that can be taken once daily to prevent H.I.V. infection, a strategy called pre-exposure prophylaxis, or PrEP. (Victor, 11/7)
The Washington Post: U.S. Sues Drugmaker Gilead Sciences Over Patent On Truvada For HIV Prevention
In a news release Wednesday night, HHS said Gilead had ``willfully and deliberatively induced infringement of the HHS patents.’’ The department said as a result, ``Gilead has profited from research funded by hundreds of millions of taxpayer dollars and reeped billions from PrEP’’ through the sale of Truvada and a newer Gilead drug, Descovy. Despite efforts by the government to reach an agreement, the department said, ``Gilead has repeatedly refused to obtain licenses for the use of the HHS patents.’’ (Rowland, 11/6)
CQ: Grassley: 'Modifications' Underway For Senate Drug Price Bill
A new version of the Senate Finance Committee’s sweeping drug pricing bill may include some tweaks, but will not back off on a provision limiting prices to inflation rates, Chairman Charles E. Grassley said Wednesday. The Iowa Republican did not say when the new bill would be released, but it will likely include sweeteners for reluctant GOP members as Grassley works to build support within the party. (Clason and McIntire, 11/6)
In other pharmaceutical news —
Stat: The Alzheimer's Drug Discovery Foundation Predicts New Drugs By 2025
To the average observer, the Alzheimer’s Drug Discovery Foundation couldn’t be further from achieving its mission of finding a treatment or cure for Alzheimer’s. But the group’s executive director, Dr. Howard Fillit, tells a different story. (Florko, 11/7)
Stat: Regeneron To Buy Back $1 Billion In Stock, But Hell Has Not Yet Frozen Over
Regeneron Pharmaceuticals yesterday announced it would spend $1 billion buying its own stock, a move that was both unremarkable and remarkable at the same time. Stock buybacks, like patent thickets and price increases, are pretty de rigueur in the drug industry, after all. But not so for Regeneron. As Piper Jaffray analyst Christopher Raymond described the move: “Not as dramatic as hell freezing over, but it’s close.” (Garde, 11/6)
Stat: Takeda's Dengue Vaccine Appears Effective, But The Story Is Nuanced
In the wake of controversy over a Sanofi (SNY) dengue vaccine, Takeda (TAK) Pharmaceuticals is betting its own effort will meet a largely unmet medical need and, in the process, become a best-selling product. But preliminary results released on Wednesday suggest the company has more work to do to ensure its vaccine does not encounter the same problems that have hobbled its rival. A key hurdle Takeda must clear is to demonstrate that its own vaccine is not hindered by an issue that has clouded Sanofi’s Dengvaxia vaccine, which can actually make future cases of the mosquito-borne virus more severe in people who were not previously infected. (Silverman, 11/6)
Boston Globe: Senate Leaders To Offer Antidote For High Drug Costs
Massachusetts Senate leaders on Thursday will propose new legislation they say targets the high cost of prescription drugs, giving state officials the power to study and propose what they consider fair values for expensive medicines. The bill — the Senate’s first major foray into a broader debate on Beacon Hill over health care — also would cap out-of-pocket costs for insulin, the lifesaving drug used by many patients with diabetes. (Dayal McCluskey and Stout, 11/7)
