Morning Briefing
Summaries of health policy coverage from major news organizations
Perspectives: The Drug Industry Really Doesn't Want You To Know It's Ripping You Off
Los Angeles Times: Drug Industry Lawsuit Shows It Wants To Keep Patients In Dark On Pricing
The drug industry really, really doesn't want you to know that it's ripping you off with frequent and questionable price increases for prescription meds. The Pharmaceutical Research and Manufacturers of America, the industry's main lobbying group, filed a lawsuit the other day seeking to derail a California law that will require 60 days' notice before drugmakers raise prices beyond a certain threshold. The law, SB 17, is set to take effect Jan. 1. (David Lazarus, 12/15)
Bloomberg: Pfizer Shareholders Are Already Enjoying The Fruits Of Tax Cuts
If you already know most of what's going to be in the GOP's tax bill, that it's going to pass, and that it's going to benefit you enormously, then why wait to start spending the proceeds? Pfizer Inc. announced Monday that its board had authorized a $10 billion share repurchase -- on top of an already authorized $6.4 billion -- and will be hiking its already generous dividend by 6 percent. The buyback isn't exactly a value play: Pfizer's share price is within 30 cents of its highest point since 2004. (Max Nisen, 12/19)
Forbes: Time For Big Pharma To Step Up Before The Drug Price Debate Rises Again
In today’s social and political climate, public opinion and public action can galvanize and turn on an issue in an instant. We’re seeing it right now as the personal misconduct of public figures eviscerates careers and upends personal lives. We saw something similar on the political front happen not too long ago in healthcare when the Affordable Care Act (Obamacare) was up for repeal earlier in the year and congressional town halls were flooded with agitated constituents flogging their GOP representatives. During the 2016 election cycle, the cost of drugs took center stage repeatedly between Martin Shkreli, Mylan Pharmaceuticals and the EpiPen price hikes, and Hillary Clinton’s Tweet that rattled the markets. (Steve Brozak, 12/18)
The Hill: Allowing Public Payers To Base Coverage On A Drugs Value Is An Effective Way To Cut Prices
In October President Trump reaffirmed his belief that “Prescription drug prices are out of control.” Food and Drug Administration (FDA) commissioner Scott Gottlieb is trying to speed the approval time for generic drugs, but otherwise the Trump administration has taken few steps to address the problem. It refused to comment on a recently released National Academy of Sciences report on policies to reduce drug spending. Now, Arizona and Massachusetts have presented the administration with an unprecedented opportunity to take action. (David Howard, 12/19)
Bloomberg: Don't Count On Gilead Buying Galapagos
Though Gilead Sciences Inc. has only just begun to absorb its $12 billion purchase of Kite Pharma Inc. in October, drums are already beating for another deal. The current buzz is about Galapagos NV, a European biotech that has a licensing deal with Gilead for its autoimmune drug filgotinib. Buyout rumors have cropped up because Galapagos exercised an option on Friday to co-promote filgotinib if the drug gets regulatory approval in parts of Europe, and because a lockup and standstill agreement tied to Gilead's stake in the company expires New Year's Eve. Galapagos shares rose nearly 9 percent on Friday, pushing its market cap to nearly 4 billion euros. (Max Nisen, 12/15)
