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Feds Go After Mylan For Scamming Medicaid Out of Millions On EpiPen Pricing (arstechnica.com)

An anonymous reader quotes a report from Ars Technica: Over the nine or so years that Mylan, Inc. has been selling -- and hiking the price -- of EpiPens, the drug company has been misclassifying the life-saving device and stiffing Medicaid out of full rebate payments, federal regulators told Ars. Under the Medicaid Drug Rebate Program, drug manufacturers, such as Mylan, can get their products covered by Medicaid if they agree to offer rebates to the government to offset costs. With a brand-name drug such as the EpiPen, which currently has no generic versions and has patent protection, Mylan was supposed to classify the drug as a "single source," or brand name drug. That would mean Mylan is required to offer Medicaid a rebate of 23.1 percent of the costs, plus an "inflation rebate" any time Mylan raises the price of the brand-name drug at a rate higher than inflation. Mylan has opted for such price increases -- a lot. Since Mylan bought the rights to EpiPen in 2007, it has raised the price on 15 separate occasions, bringing the current list price to $608 for a two-pack up from about $50 a pen in 2007. That's an increase of more than 500 percent, which easily beats inflation. But instead of classifying EpiPen as a "single source" drug, Mylan told regulators that it's a "non-innovator multiple source," or generic drug. Under that classification, Mylan is only required to offer a rebate of 13 percent and no inflation rebates. It's unclear how much money Mylan has skipped out on paying in total to state and federal governments. But according to the state health department of Minnesota, as reported by CNBC, the misclassification cost that state $4.3 million this year alone.

124 of 198 comments (clear)

  1. Re:It's not innovative by Anonymous Coward · · Score: 2, Informative
  2. Simple Solution by AK+Marc · · Score: 4, Insightful

    The company claimed on official government forms for multiple years that the drug is a generic. Make it so. Job done. The government can do that.

    1. Re:Simple Solution by Anonymous Coward · · Score: 2, Insightful

      Yup. Expire the patent.

      There'll be clones on shelves in under a week.

    2. Re:Simple Solution by ShanghaiBill · · Score: 4, Informative

      The company claimed on official government forms for multiple years that the drug is a generic.

      The drug, epinephrine, is generic. It is adrenaline, which your body produces naturally. There is no patent stopping generic injectors, but so far none have been approved by the FDA. Teva submitted an injector, but the FDA denied approval for reasons that are not clear.

    3. Re:Simple Solution by ooloorie · · Score: 1

      The company claimed on official government forms for multiple years that the drug is a generic. Make it so. Job done. The government can do that.

      Why would the government do that? The government is responsible for these excessive prices in the first place.

      In May, the FDA actually attempted to hurt generics even more by "allowing them to change labels" relative to prescription drugs; that sounds harmless, until you realize that what that actually means is that it places generic drug manufacturers at huge risks and extra regulatory burdens.

      The FDA has got to be one of the most corrupt departments of the federal government.

    4. Re:Simple Solution by pthisis · · Score: 4, Informative

      The drug, epinephrine, is generic. It is adrenaline, which your body produces naturally. There is no patent stopping generic injectors, but so far none have been approved by the FDA.

      Yes, they have. Adrenaclick's been on the market (with FDA approval) for 5+ years, and costs like 1/4 what Epipen does.

      http://www.consumerreports.org...

      --
      rage, rage against the dying of the light
    5. Re:Simple Solution by donaldm · · Score: 5, Informative

      The company claimed on official government forms for multiple years that the drug is a generic.

      The drug, epinephrine, is generic. It is adrenaline, which your body produces naturally. There is no patent stopping generic injectors, but so far none have been approved by the FDA. Teva submitted an injector, but the FDA denied approval for reasons that are not clear.

      The patent on epinephrine expired Sep 11, 2005. Basically, the Epipen is a mechanism for delivery of the drug which could easily be likened to a simple auto-injection procedure or as it was known during the Second World War a Syrette .

      Yes, why don't we patent a device known for over 60 years, put a new coat of paint on it and (this is the most important part) wrap it up in legalese so that professional people who are supposedly peers have no idea what the new patent is about and get rich. It does help if a few palms are greased as well.

      --
      There ain't no such thing as proprietary standards only proprietary formats. Standards are by definition open.
    6. Re:Simple Solution by FrankHaynes · · Score: 1, Offtopic

      They abandoned adrenaline when hyronalin was discovered.

      --
      slashdot: A failed experiment.
    7. Re:Simple Solution by swalve · · Score: 1

      epinephrine is generic.

    8. Re:Simple Solution by Megol · · Score: 1

      Hello clueless idiot. No, the FDA isn't the problem as anyone that actually looked into this would know. Generics are available as the drug is available, other types of auto-injectors are available and *shock* there are even auto-injectors with the drug in question available!

      The problems are elsewhere like Mylan actively hindering places (schools++) that need to stock auto-injectors to use a competitor product, the FDA have nothing to do with that.

    9. Re:Simple Solution by Anonymous Coward · · Score: 1

      epipen was originally developed in the 1970s and its original patent was issued 1977. many of the patents ARE expired already, including enough to manufacture injectors based upon earlier (and some more recent) designs that were approved by the FDA.

    10. Re:Simple Solution by ooloorie · · Score: 1

      No, the FDA isn't the problem as anyone that actually looked into this would know. Generics are available as the drug is available, other types of auto-injectors are available and *shock* there are even auto-injectors with the drug in question available!

      The FDA puts limits on the circumstances under which people can substitute generics in prescriptions. Furthermore, government regulations have historically isolated consumers from the prices of such drugs, which is why there didn't use to be a lot of complaints.

      The problems are elsewhere like Mylan actively hindering places (schools++) that need to stock auto-injectors to use a competitor product, the FDA have nothing to do with that.

      The price increases have little to do with who stocks the injectors; the fact that schools stock them is a separate governmental failure. Furthermore, it is absurd to argue that a private company can "actively hinder" public schools from buying alternative products. How do you imagine that works? What public schools decide to buy is determined by public school administrators and politicians. So that problem is indeed not caused by the FDA, but it is still caused by politicians, public administrators, and regulators.

      Hello clueless idiot.

      Pleased to meet you, Mr. Clueless Idiot.

    11. Re:Simple Solution by um...+Lucas · · Score: 1

      Epinephrine is generic, their little dohickey gadget isn't though. Not trying to defend, but i don' think anyones trying to say epinephrine (adrenaline) is a proprietary medication. Otherwise we'd all be on the hook for licensing fees every time fight or flight kicks in.

  3. ban drug ad's on tv! by Joe_Dragon · · Score: 4, Insightful

    ban drug ad's on tv!

    1. Re:ban drug ad's on tv! by drsmithy · · Score: 3, Insightful

      Why would people not be aware of drugs available to them without drug ads on TV ?

      Do you not have doctors and pharmacists in your country ?

    2. Re:ban drug ad's on tv! by eric_harris_76 · · Score: 1

      Believe it or not, they are not all-knowing, nor all-telling.

      --
      There's no time like the present. Well, the past used to be.
  4. bout time by Snotnose · · Score: 1

    grumpycatgood.jpg. Send the CXX suite to prison for a few years, fine then the millions they made on the scam, and maybe it will slam on the brakes to other companies jacking up the price of generics that were discovered 50 years ago.

    1. Re:bout time by arbiter1 · · Score: 1

      Yea cause Daddy of the Current CEO is a Senate Democrat.

    2. Re:bout time by ooloorie · · Score: 1

      grumpycatgood.jpg. Send the CXX suite to prison for a few years, fine then the millions they made on the scam, and maybe it will slam on the brakes to other companies jacking up the price of generics that were discovered 50 years ago.

      The only reason they could jack up the prices so much is because the FDA and the federal government gave them the means and the monopoly to do so in the first place; and they did that because the company is politically well connected.

      All the posturing from politicians now is just because the scam has become a political liability.

  5. is my math wrong or? by arbiter1 · · Score: 1

    "bringing the current list price to $608 for a two-pack up from about $50 a pen in 2007. That's an increase of more than 500 percent," Is my math wrong or should is that increase more like 1200%?

    1. Re:is my math wrong or? by Jzanu · · Score: 3, Insightful

      Your math is off "$608 for a two pack" means $304 per pen. Compared to $50 per pen that is a 6-fold change equal to a 500% increase (500% + 100%).

  6. Get ready for another price increase! by Tolvor · · Score: 1

    $4.3M in fines... Lets see, increase the price of EpiPens by $200... Report it as a "research investment"...

  7. Was Already Approved For "Generic" Tier Rebates? by rsmith-mac · · Score: 2

    As much fun as it is to use Mylan as a punching bag these days, there's a final point in the Ars article that leads me to think this is hardly in the bag for the Feds.

    The question of whether Mylan had misclassified EpiPens came up during a recent Congressional hearing of the House Oversight and Government Reform Committee. Mylan CEO Heather Bresch, defending the company's prices at the hearing, stood by the classification. She noted that EpiPen was classified as a generic before Mylan bought the drug in 2007.

    And if that's true - that Medicare was already applying the âoenon-innovator multiple sourceâ rebate schedule to the EpiPen back in 2007 - then that makes this case a lot murkier. The Feds would then have to make a case as to why the drug can and should be reclassified at the higher âoesingle sourceâ tier. It's clear that in practice the EpiPen is a single source device, but the conflict at the heart of this is one of bureaucracy and not medical practices; the Feds would need to justify both the higher rate now, and why they're not culpable for approving the lower rate in the first place.

    Given how long that this is going on, I suspect that this isn't an easy case to prove, otherwise the Feds would have done it already. Instead it's probably being brought back up now to either apply additional pressure to Mylan, or to strike while the political iron is hot.

  8. Re:Isn't earning a profit part of capitalism? by Jzanu · · Score: 2

    Patents are enforced to protect innovation in research, not to protect price gouging on a generic drug in a particular form factor. Capitalism in concept is about minimizing the lost value from unmet demand and wasted supply (not everything can be salvaged). Additions onto that are political and ideological not practical. In fact the actions of Mylan are opposed to capitalism as they are setting overly high prices on a captive market (Medicaid recipients) - the result of which is double damage as it prevents users who need it from getting it, and for those who still buy it it deprives them of the other needs done without to due to the purchase.

  9. Re:It's not innovative by Sarten-X · · Score: 4, Informative

    Or, it could be not malice, but mere stupidity.

    It seems there's been a series of unfortunate events affecting Mylan's competitors:

    Will anyone ever give Mylan’s ($MYL) blockbuster epinephrine injection, EpiPen, a run for its money?

    That’s the question now that another potential competitor is out of the running. The FDA stiff-armed Adamis' ($ADMP) prefilled epinephrine syringe, asking for more data. Regulators want the San Diego-based company to expand a patient usability study and product stress testing studies included in the original application.

    The way Evercore ISI analyst Umer Raffat sees it, Adamis’ product wouldn’t have been “a large competitor” for EpiPen, given the difference between its prefilled syringe and Mylan’s more convenient injection pen device. But “Adamis could have added to managed care pressures,” through its stated strategy of acting as a discounted product.

    Instead, Mylan is home free--a status it must be getting used to, given the failures that have repeatedly befallen its competitors. Back in November, Sanofi's ($SNY) Auvi-Q hit a wall, when an injector fault triggered a hefty recall. Ultimately, the pharma giant yanked Auvi-Q from the market, and then bailed on its marketing partnership with developer PDL BioPharma ($PDLI), putting the med’s future up in the air. It was EpiPen's first real challenger in years.

    More recently, the FDA handed generics giant Teva ($TEVA) a rejection for its generic version of EpiPen, flagging “certain major deficiencies” in its letter to the Israeli pharma. With serious issues to work through, Teva said earlier this year that it expects its product to be "significantly delayed"--meaning it doesn’t expect a rollout before 2017.

    The FDA wouldn't have anything to do with the recall, and a request for more information isn't really a particularly effective use of corrupt power. Requests for more data happen all the time, so they're usually turned around pretty quickly. My money's on a perfect storm of chance events, and Mylan's taking the opportunity to capitalize on it.

    --
    You do not have a moral or legal right to do absolutely anything you want.
  10. Govt Price for EpiPens by Anonymous Coward · · Score: 1

    All, current government price for 1 box of EpiPen is $212 dollars. This is the VA/DoD contract pricing which is devoid of additional rebates only our wholesaler markup. Therefore, Mylan gets about $200 from each DoD script. So their profit on retail is double that of DoD/VA.

      ~DoD Pharmacist Manager

    1. Re:Govt Price for EpiPens by sjames · · Score: 1

      I guess the DoD is more responsible than Medicare.

  11. feds should go after themselves by ooloorie · · Score: 1

    The fact that Mylan can charge these prices is government regulations and government-granted monopolies.

    And it's hardly surprising why Mylan got this monopoly on a silver platter: they are politically well connected (with Democrats in this case).

    1. Re:feds should go after themselves by pthisis · · Score: 2

      The fact that Mylan can charge these prices is government regulations and government-granted monopolies.

      It's more dumb consumers and good marketing. There are cheaper alternatives like Adrenaclick available if you ask for a generic epinephrine auto-injector rather asking for Epipen by brand-name. See, e.g, Consumer Reports http://www.consumerreports.org...

      Meanwhile, if you’re looking for a low-cost alternative to the EpiPen, we recently recommended generic Adrenaclick, also referred to as an "epinephrine auto-injector."...In most states, to get the low-cost, EpiPen alternative, you can't use a prescription for "EpiPen" from your doctor. That's because pharmacists at your drugstore likely won't be able to automatically substitute the low-cost version if your prescription is written for EpiPen. Instead, ask your doctor to write a prescription for an "epinephrine auto-injector" or "generic Adrenaclick."

      --
      rage, rage against the dying of the light
    2. Re:feds should go after themselves by whoever57 · · Score: 4, Insightful

      If the pharmacist can't substitute the Adrenaclick for an EpiPen, then EpiPen isn't generic.

      --
      The real "Libtards" are the Libertarians!
    3. Re:feds should go after themselves by omnichad · · Score: 1

      if you ask for a generic epinephrine auto-injector rather asking for Epipen by brand-name

      This is really the doctor's decision and also their fault when they don't prescribe the generic name when they should know better.

    4. Re:feds should go after themselves by ooloorie · · Score: 1

      It's more dumb consumers and good marketing.

      It's not the consumer's fault. As you point out, if the doctor writes EpiPen, then the pharmacist can't substitute. Furthermore, the price increases happened while insurance mostly covered the costs.

      Personally, I make a point of getting the most expensive drugs out of my insurance company: under ACA, I am forced to overpay for my insurance, so I'm going to get any cent out of it that I can.

      Furthermore, the lack of more and better alternatives is the result of government regulation.

    5. Re: feds should go after themselves by Entrope · · Score: 1

      You maker the most expensive choice, and you complain that paying for it costs a lot. Brilliant logic.

    6. Re: feds should go after themselves by ooloorie · · Score: 1

      You maker the most expensive choice, and you complain that paying for it costs a lot. Brilliant logic.

      My choices have no influence on how much I pay. Furthermore, I am already forced to pay much more than I actually consume. Hence, when I do consume, I'm going to insist on the best and most expensive treatments and drugs I can get.

      And I'm not "complaining", I'm explaining to you why drug prices are high and insurance is so expensive, because I'm doing what everybody else is doing: it's the rational and reasonable thing to do. It's why the current system of ACA, FDA, insurance companies, and government regulations is not sustainable.

  12. Re:It's not innovative by ArchieBunker · · Score: 5, Informative

    That CEO was basically given a degree because of her father's political ties. https://en.wikipedia.org/wiki/...

    --
    Only the State obtains its revenue by coercion. - Murray Rothbard
  13. Re:Was Already Approved For "Generic" Tier Rebates by pthisis · · Score: 2

    And if that's true - that Medicare was already applying the âoenon-innovator multiple sourceâ rebate schedule to the EpiPen back in 2007 - then that makes this case a lot murkier. The Feds would then have to make a case as to why the drug can and should be reclassified at the higher âoesingle sourceâ tier. It's clear that in practice the EpiPen is a single source device

    Is it clear? There are other options out there (e.g. Adrenaclick), if you get your doctor to prescribe an "epinephrine autoinjector" instead of specifying "Epipen" by brand name. How different is that from other drugs? If you get a prescription for, say, Lipitor, can you fill that with a generic? Or can you only do that if you get a prescription for atorvastatin rather than the brand-name?

    http://www.consumerreports.org...

    --
    rage, rage against the dying of the light
  14. Re:Was Already Approved For "Generic" Tier Rebates by Swave+An+deBwoner · · Score: 2

    When you quintuple the price of an already expensive, widely purchased, life-saving device that is paid for largely by Medicaid and Medicare funds, you should expect that the government that is paying for your device will take notice and comb through the salient documentation to see if there is some possible legal problem with your price increase. Had the government not done so, we'd all be screaming that they were negligent in their financial oversight duties.

  15. Re:It's not innovative by pthisis · · Score: 4, Informative

    That list of problems with competitors fails to mention Impax's Adrenaclick, which has been FDA approved and sold in the US market freely since 2010; it's widely available (it's sold at Rite Aid, Walgreens, CVS, Walmart, Target, etc) and much cheaper than EpiPen.

    --
    rage, rage against the dying of the light
  16. Re:It's not innovative by goombah99 · · Score: 2

    No it's not generic. Yes it should be. But the FDA approval rolls up the drug and the dispenser and the generic versions of the Epipen have not been approved. There are other makers that do provide epinephren auto injectors but they have their own systemic approvals. So while it should be a generic, the very fact that no generics can get approved means it's not generic. Mylan of course knows this. I'd be unsurprised if they were behind creating unneccessary specs just to fail the generics.

    --
    Some drink at the fountain of knowledge. Others just gargle.
  17. Re:Isn't earning a profit part of capitalism? by pthisis · · Score: 1

    Patents are enforced to protect innovation in research, not to protect price gouging on a generic drug in a particular form factor. Capitalism in concept is about minimizing the lost value from unmet demand and wasted supply (not everything can be salvaged). Additions onto that are political and ideological not practical. In fact the actions of Mylan are opposed to capitalism as they are setting overly high prices on a captive market (Medicaid recipients)

    1. Medicare, not Medicaid
    2. Why is Medicare a captive market? Why don't they just buy one of the cheaper alternative ephinephrine autoinjectors (like Adrenaclick) instead of EpiPen?

    --
    rage, rage against the dying of the light
  18. The ROOF The Roof THE ROOF IS ON FIRE by laurencetux · · Score: 1, Interesting

    these clowns should get crucified for basically holding the public hostage

    1 RICO charges should be filed against the company and the execs (i think its called separately and corporately liable??)

    2 the IRS should do a full bore forensic audit on the paperwork for the last 7 years

    3 the company should be required to pay back every penny plus 25% of the increase

    4 their entire patent portfolio should be wiped and they should be required to assist any company currently in the same or semi related market on building a duplicate (in fact those patents should become PD)

    if this does cause the company to become bankrupt then the Execs should be bared from any medical business for the next 15 years (or just give them all a nice 10-20 in a not actually nice prison)

    next up for the Full Roman Treatment the guys that make Naloxone/Narcan

    1. Re:The ROOF The Roof THE ROOF IS ON FIRE by no-body · · Score: 1

      What to you want to do? The holy grail in US - and other's is money - the more one can squeeze out, the better. Where it comes from, what does it do, does not matter, those are the losers and not smart enough, so they are the problem.
      Look at airlines with their charges for non-refundable ticket returns. They can charge any obscene price they want. Many people just drop the game and the tickets can be sold again - profit. Read somewhere that 7 % of all non-refundable tickets will not be used - ok, so it's double sales on 7 % of those tickets sold, all a money game. Charging $ 400 (UA) for a re-booking - how much does an actual computerized transaction cost? $ 15 or so. OT this here but the underlying urge, more is never enough sure is there too.

    2. Re:The ROOF The Roof THE ROOF IS ON FIRE by thegarbz · · Score: 1

      Yes get the pitchforks and burn down what ultimately is a small part of a large system.

      The MyLan Epipen is available for $37 in Australia. What makes such a bastard of a company corrupt in your country but not in mine.

  19. Re:It's not innovative by plopez · · Score: 1

    If it's not innovative why is it patented?

    --
    putting the 'B' in LGBTQ+
  20. Drug Dealers by zamboni1138 · · Score: 1

    Drug Dealers steal money, film at 11.

  21. Re:It's not innovative by Anonymous Coward · · Score: 3, Insightful

    Epinephrine is old and is or should be generic. The auto injector is a drug delivery system, and should I think be treated separately.
    It could deliver any injectable drug no?
    That there are no effective competitors to Mylans EpiPen reeks of impropriety.
    This is capitalism at its finest. Every capitalist wants government mandates and protection for its monopoly. More money that way. When poor people get money from the government it is socialism, and when big business gets money from the government it is capitalism?

  22. unregulated greed by siamesevodka · · Score: 1

    I would suggest an investigation of Health insurance Companies and Big Pharma to see how interlocking the Boards of the companies are. Also source drugs from outside the United States. If you recall they passed laws to make you a criminal for going to Canada for your prescriptions. Call them all in for Congressional hearings and threaten to re-instate anti-trust laws on all involved Bust up the biggest of the bunch. Set down and tell the AMA that there will be more admissions allowed to medical school and there would be government incentives for more medical schools at Public universities. Make it so there are as many Doctors in this country as Subway sandwich shops. To make it more competitive for the consumer. It's sad that free market economies have gotten down to precisely controlled conspiracies to fleece the public. Physician heal thyself. Of course you will have to Jail the members of the house and senate for corruption on failing to investigate the corruption.

  23. It all comes back to the patent system by kaladorn · · Score: 5, Insightful

    With the patent system as it is, where genetic codes and proteins can be patented, and where protection for drug profits is long and deep, there are situations like this that come up that allow unscrupulous companies to hike drug costs ridiculously like these clowns at Mylan.

    Yes, many drug research efforts don't pan out. But Epinephrine has been out for a long time. Is anyone seriously going to try to tell me that $50 in 2007 became $304 in 2017? Even given the bogusly low inflation rates that are officially reported, that's insane.

    This is profiteering. If the company didn't need to profiteer in 2007, why do they in 2017? No good reason methinks.

    How about the definition of sole source is 'no equivalent product available at present'?

    And how about you cap the rates at which drug costs can increase unless the providers can show material evidence that their costs have escalated so much?

    I don't have $608 to shell out (US) for something I have to replace every 1-2 years. I'm carrying an old epi-pen that's probably not as efficacious now, but it's likely still better than no pen. I just can't afford the money to get a new one (let alone two, since protocol says you hit yourself with the first and about 30 minutes later the second if you haven't reached emergency medical care).

    This should be a true generic. There should be equipment whose patents have an earlier mandatory expiry because they exist in the space called 'in the interest of public health'. I'm not suggesting these guys shouldn't have got their money back, but seems to me they are well beyond that point now.

    On the other hand, this is exactly why the government or NGOs should be investing in some sorts of medical research in the public interest and making the product patents entirely open and available.

    Epinephrine isn't patented. Its the injector. This seems like the kind of thing a Gates Foundation or even the Government could underwrite the development of (and may have already for Atropine and the like in prior days, if we call those syrettes an early version). Make the injector patent available and then it truly is generic because epinephrine is not patented.

    The reality is that big Pharma has great lobbyists, political connections, and lawyers and the whole US patent system around biomedical issues defies any sort of common sense or rational thinking.

    I hear rumours of alternatives, but I'm not sure they are available beyond the US borders. The Epipen fiasco and the price rise has hit many of us living in other countries too, but I'm not sure any alternatives exist where I live. I am going to look into that now though.

    Patents should help protect innovation, but not form monopolies artificially (well, that may be other legislation that does that but that also needs looked at), should not have extensive duration, and should have clauses surrounding medical equipment that if the equipment price rises too quickly or if the provider becomes sole source, that the patent becomes licenseable by other companies for a very modest fee. At some point, the public interest has merit at least as great as profits for corporations.

    --
    -- Mal: "Well they tell you: never hit a man with a closed fist. But it is, on occasion, hilarious."
    1. Re:It all comes back to the patent system by swalve · · Score: 1

      While I completely agree that Mylan is a cunt here, aren't there other options besides an autoinjector? Like a vial and a 50mg syringe?

    2. Re:It all comes back to the patent system by Anonymous Coward · · Score: 1

      Learn to use a syringe and buy some cheap epinephrine vials.

      or do this: https://www.youtube.com/watch?v=ldFFJRdhVs8

  24. Re:It's not innovative by slashrio · · Score: 2

    Now, that's exactly what I mean. With such political ties it's quite possible the FDA has been influenced also in maintaining a monopoly for Mylan.

    --
    "Trump!!", the new Godwin.
  25. Re:It's not innovative by slashrio · · Score: 1

    ...and Mylan's taking the opportunity to capitalize on it.

    And might have a CEO incarcerated for being just a tad too greedy.

    --
    "Trump!!", the new Godwin.
  26. You're beyond help by Anonymous Coward · · Score: 1

    And you Americans respond to this, not with "This company is a bunch of unethical shitbags by raising the price of this livesaving medicine from $50 to $600, they should be imprisoned and the entire fucking system replaced with something better" but "Oh hey, it would have been ok if they'd given us a cut of the profit"

  27. I'm curious why pharma doesn't play hardball. by uncqual · · Score: 1

    Why would Mylan agree to such terms for Medicaid? If Mylan just says "This is the price, buy it, don't buy it, develop an alternative, approve an alternative -- we don't care. If you don't commit to buying some number of units, we may not be able to meet your demands so you will have to buy them at inflated prices on the secondary market. Let us know by next Tuesday.", then Medicaid needs to pay for it or declare that it's not a covered medication for those on Medicaid.

    Presumably Medicaid could institute a training program to teach injection without "autoinjectors" to everyone (patients, caregivers, responders in schools etc) who might need to use the "low-tech" solution. However, that would probably be much more expensive than paying list price.

    It seems that pharma, if they played their cards right, would discover that the government actually has little negotiating power since Medicare (especially) and Medicaid patients will go to their Congresscritters to complain if a drug isn't covered and their representatives would, for political rather than strictly medical or economic reasons, insist that the drug be available regardless of cost. For an example of how political forces result in bizarre outcomes, consider that Medicare covers late stage renal failure for those under 65 for some reason, but almost no other chronic and expensive conditions are covered for those under 65.

    --
    Why is there an "insightful" mod and why isn't it "-1"? If I wanted insight, I wouldn't be reading /.
    1. Re:I'm curious why pharma doesn't play hardball. by Falconhell · · Score: 1

      For the same reason every pharma company concedes massive bulk discounts in other countries.

    2. Re:I'm curious why pharma doesn't play hardball. by uncqual · · Score: 1

      The difference is, the US market is pretty much the last place they can actually make a profit when taking into account R&D costs of the successful drugs and the ones that never make it to market (or make it to market and result in lawsuits/settlements) so I would expect them to defend this last moat vigorously.

      Of course, maybe they figure that if the US consumer stops subsidizing other countries, they can just raise prices in other countries using the same strategy I expect they would be using now with Medicaid in the US.

      --
      Why is there an "insightful" mod and why isn't it "-1"? If I wanted insight, I wouldn't be reading /.
    3. Re:I'm curious why pharma doesn't play hardball. by uncqual · · Score: 1

      Sure, but should the government does that, thinking people will realize that it will be the end of new drug development in the US. The government would have to take over the manufacturing of drugs - mostly stealing IP from other countries. Over time, drug development (and of course production, but that's already often the case) would all be overseas covered by foreign patents. When the US started ignoring patents, a trade war would ensue with other countries imposing a tariff on US imports to compensate the foreign drug companies for the IP that the US stole from them (as they should).

      Mob rule really doesn't work out that well in spite of what progressives believe as private property rights are pretty important to motivating innovation.

      --
      Why is there an "insightful" mod and why isn't it "-1"? If I wanted insight, I wouldn't be reading /.
    4. Re:I'm curious why pharma doesn't play hardball. by sjames · · Score: 1

      Because if they do too much of that, they WILL be replaced and then the gravy train comes to a stop.

    5. Re:I'm curious why pharma doesn't play hardball. by uncqual · · Score: 1

      They would be "replaced" and drug development (which are pursued, which are not) would then be decided by risk adverse bureaucrats and special interest politicians (some famous person has rare disease X and that results in, irrationally, calls and "online petitions" to spend a lot of money on drugs to treat X -- thereby reducing spending on development of treatments for much more common diseases).

      This stifles innovation and, after 15 years or so, it will be obvious to all that the rate of improvements in medicine have slowed to a crawl and then it will take (at least) 15 more years to reverse this trend (by, again, allowing private enterprise to profit for a short time as the market will bear from their development efforts - perhaps via a Constitutional Amendment to give investors the confidence that the government won't come back and screw it up again).

      Remember, government and "conventional wisdom" are not always correct, often private businesses do a better job given the freedom to do so.

      --
      Why is there an "insightful" mod and why isn't it "-1"? If I wanted insight, I wouldn't be reading /.
    6. Re: I'm curious why pharma doesn't play hardball. by uncqual · · Score: 1

      Nope, that is you projecting your belief that everything can be done better by government.

      Governments work very quickly, although not economically efficiently, in times of major crisis (partially because they are so [in current times] so massive and have so many spare resources laying around, partially because they can and do spend money they don't have, partially because they are not driven by an explicit profit motive [assuming you don't count politicians' desires to be reelected as "profit motive"], partially because they can change the rules and/or use force without consequences as needed, and partially because they have little exposure to liability). The response to natural and man-made disasters like Katrina come to mind. The government could buy tens of thousands of toxic trailers without proper review -- and no one felt accountable. But, because of having more Coast Guard resources than they need, they could divert lots of crews/helicopters to picking people off of roof-tops.

      Governments generally work excruciatingly slowly and inefficiently in most other times. They tend to have inefficient, antiquated, cumbersome, and bureaucratic processes -- but they don't care much because the voters don't, each, have enough of a stake individually in the hundreds of thousands of such wasteful processes to notice and no single politician is accountable. In businesses, there is an accountable person - always the CEO and on down. In government, the blame gets distributed (for example, anything that goes wrong is blamed on Bush or the Republican Congress by liberals and on Obama by conservatives).

      For big infrastructure projects, government can take on risks that no private business would take on because when the project is over budget, government just keeps pouring money into it and few voters really care as the next generation will end up paying the bill. The only option for a private company in the same boat is to cancel the project or, perhaps, go bankrupt -- so it's hard for them to justify such projects. Sometimes these systems result in a the government pouring money down a sinkhole for many many decades -- for example, many mass transit systems lose money on every rider (in some cases, hiring a private cab for each rider would have saved money). Sometimes (perhaps the Big Dig is an example) the projects turn out okay on an operational basis but never could have been cost justified had the construction costs been known more accurately up front.

      Remember, the government was responsible for Flint water, the Vietnam war, numerous very expensive and completely failed IT projects, Freddie and Fannie, the Challenger, Columbia, and Apollo 1, ...

      If you want efficiency and accountability, government is unlikely to be the good place to look. If you want something high risk and/or done quickly without regard for cost, government is a great place to look.

      --
      Why is there an "insightful" mod and why isn't it "-1"? If I wanted insight, I wouldn't be reading /.
    7. Re:I'm curious why pharma doesn't play hardball. by Falconhell · · Score: 1

      Hows that kool aid taste?

    8. Re: I'm curious why pharma doesn't play hardball. by uncqual · · Score: 1

      Okay, lets just take Pfizer as an example. From their 2015 financial report...

            Research and development expenses: $7,690 million
            Cost of Sales: $9,648 million (Note this has nothing to do with sales in the marketing sense, this is what it costs to make/buy what they sell)
            Selling, informational and administrative expenses: $14,809 million (Note this includes most non-production and non-R&D costs including insurance, rent, shipping and handling, IT, executive compensation, property taxes, legal expenses, et al.)

      So, by the traditional sense, the "marketing budget" (which is some fraction of SG&A) isn't an "order of magnitude" greater than R&D expenses since, in common usage, the term "order of magnitude" implies a power of ten - i.e., at least 10x. It's well less than a factor of two.

      If someone goes on a rampage killing CxOs when the CxOs are following the law, of course those rampaging people should be put in prison for the rest of their lives or, if the state has the death penalty, executed -- just as if they killed you because they didn't like you. Do you support people who kill abortion doctors just because they perform legal abortions but the killers just don't like that?

      It's shocking to hear someone hoping for innocent people to be killed. Have you considered ISIS as a career?

      Of course I'm defending "those people" from jail time. They haven't broken any laws. Just as I would defend you from jail time because you exercise your First Amendment rights to speak out against them. Of course, I would not defend your right to incite people to riot and kill -- something you are edging up against -- as that is not protected First Amendment speech.

      --
      Why is there an "insightful" mod and why isn't it "-1"? If I wanted insight, I wouldn't be reading /.
    9. Re:I'm curious why pharma doesn't play hardball. by sjames · · Score: 1

      No, they would learn a valuable lesson and keep on going being more careful to be reasonable next time. The most likely replacement would be another company which would likewise learn that being reasonable is profitable.

      Keep in mind, market exclusivity is not a right.

  28. Re:*slow clap* by Pezbian · · Score: 1

    *cockpunch*

    She probably does not have one. A *cunt*punt* would be different.

    True, but it takes balls to be that boldfaced despicable. Like the asshole Mylan investor who modded me down with a Troll vote for my prior comment.

    Outside of Bloodhound Gang's "Right Turn Clyde" I've never heard of a dick with no balls, nor vice-versa. I could be wrong, of course.

    --
    In a world of the blind, the one-eyed man is king--and the two-eyed man is a heretic.
  29. UK NHS Price by Anonymous Coward · · Score: 2, Informative

    The UK NHS net prices for the 3 alternatives approved in the UK are:

    Emerald (iMed) £26.94
    EpiPen (Meda) £26.45
    Jext (ALK-Abelló) £23.99

    (aproximately US $30 to $35)

    https://www.evidence.nhs.uk/formulary/bnf/current/3-respiratory-system/34-antihistamines-hyposensitisation-and-allergic-emergencies/343-allergic-emergencies/anaphylaxis/adrenalineepinephrine

  30. Re:Was Already Approved For "Generic" Tier Rebates by Falconhell · · Score: 3, Informative

    Meanwhile, in the civilised world, our govenments negotiate huge bulk discounts, and prescrition drugs are subsidised to a fixed maximum.
    The best part, we spend less per capita than the US on healthcare. Go figure.

  31. Re:It's more than just EpiPen... by swalve · · Score: 1

    I can imagine that being quite true given the DEA's war on opioids.

  32. Re:Isn't earning a profit part of capitalism? by swalve · · Score: 1

    No.

  33. Re:Was Already Approved For "Generic" Tier Rebates by swalve · · Score: 1

    Every prescription I've ever gotten has had a thing on it that says that it can be filled with generic equivalents. And responsible, ethical doctors would never write a name brand on a prescription.

  34. Re:Isn't earning a profit part of capitalism? by sjames · · Score: 1

    TRhat's what it has become about in the U.S. because our government has to date shirked it's responsibility to regulate the market as recommended by Smith.

    They're supposed to make a profit, not a killing.

  35. Re:Was Already Approved For "Generic" Tier Rebates by Antique+Geekmeister · · Score: 1

    > And responsible, ethical doctors would never write a name brand on a prescription.

    There can often be subtle differences, including quality, packaging, and filler components, that make one version more effective for a specific patient. So yes, sometimes doctors do name a specific version of a medication for good medical reasons. "Generic" does not mean identical.

  36. Re:Was Already Approved For "Generic" Tier Rebates by Swave+An+deBwoner · · Score: 1

    Sometimes that may not be the best option for the patient however:

    "Generic antiarrhythmics are not therapeutically equivalent for the treatment of tachyarrhythmias" http://www.ajconline.org/article/S0002-9149(00)00715-3/abstract

  37. Brand name drug? by Dunbal · · Score: 1

    Epinephrine is not a "brand name drug". It's a hormone. Humans produce it. Animals produce it. It's been used medically for scores of years. It's as much of a "brand name" as insulin. Epi-Pen is the INJECTOR, not the drug itself. Now if you're going to tell me that no one else should be allowed to produce an auto-injector - ANY auto injector, because someone has a patent on one DESIGN, then America deserves this. Insulin syringe, 1:1000 epinephrine ampule 1cc, inject .5 cc subcutaneous or im and voila, the $4 "Epi-Pen".

    --
    Seven puppies were harmed during the making of this post.
    1. Re:Brand name drug? by ColdWetDog · · Score: 1

      You can make your own autoinjector - you just have to get the FDA to approve it. Not impossible, obviously, but expensive and time consuming. Several companies have done this but have run into trouble in manufacturing. It still isn't trivial to manufacture a sterile, idiot proof device.

      Complicating this is the bizarre US system of controlled uncontrol. Medicare / Medicaid cannot ask for discounts on drugs. That's the law (which certainly could be repealed, but somehow, hasn't been).

      Further, the generic autoinjectors are not 'type AB' which means that they haven't been shown to be bioequivalent. So a pharmacist can't substitute a generic epinephrine autoinjector for an 'Epi Pen', but the provider can write the script that way.

      And, of course, Mylan is a corporate douchebag and is trying to end run the system as fast as their fat little legs can carry them.

      Welcome to our world.

      --
      Faster! Faster! Faster would be better!
  38. Not seeing the forest for the trees by dnaumov · · Score: 1

    It makes me sad to read all these cries for supposedly needed increases in regulation and how supposedly the Mylan situation shows that "free market" failed. No, it shows entirely the opposite. The whole reason the situation is the way it is is BECAUSE OF vast amounts of regulations. The patent system needs a total reform and there needs to be a very through audit into the practices of the FDA.

  39. Re:It's not innovative by Anonymous Coward · · Score: 1

    Just because there is no competition does not give excuse to defraud government. It's government stupidity that led to having a patent system this stifling to begin with, so obviously firm regulation and price control is necessary to deal with it.

  40. Asking? by JBMcB · · Score: 1

    Ask your doctor for a generic? Sounds like work to me. It's much easier to pass a bunch of complicated regulations to force things to be cheaper so I don't have to do anything.

    --
    My Other Computer Is A Data General Nova III.
    1. Re:Asking? by jedidiah · · Score: 1

      I've never had to ask a doctor to prescribe a generic EVER. If there is a generic it just gets substituted by the pharmacist because that's how things actually work. If there is a generic, you don't really have to do anything.

      Why it seems to be case for this particular drug is certainly something worth examining.

      --
      A Pirate and a Puritan look the same on a balance sheet.
    2. Re:Asking? by ColdWetDog · · Score: 3, Interesting

      Because Adreanaclick's product is not recognized as a AB rated generic, meaning that it can't be directly substituted by the pharmacist. The physician can WRITE for the particular product, but they have to actually do that.

      For all of the Sturm Und Drang, I don't understand why the manufacturers of the other injectors and the mail order pharmacies don't run an advertising campaign to 'ask your doctor' to prescribe the specific product rather than 'Epi-Pen'.

      Yes, Mylan is a slime ball company but there are ways around this.

      --
      Faster! Faster! Faster would be better!
    3. Re:Asking? by Woldscum · · Score: 1

      I've never had to ask a doctor to prescribe a generic EVER. If there is a generic it just gets substituted by the pharmacist because that's how things actually work. If there is a generic, you don't really have to do anything.

      Why it seems to be case for this particular drug is certainly something worth examining.

      Wrong. The Pharmacist calls the prescribing Doctor. It is up to the Doctor to OK the swap to a generic drug. Then the doctor issues a NEW prescription for the generic drug. The new prescription is put into Pharmacy records. You never see it. Just like if you run out of refills. The same process happens.

    4. Re:Asking? by pthisis · · Score: 1

      I've never had to ask a doctor to prescribe a generic EVER. If there is a generic it just gets substituted by the pharmacist because that's how things actually work. If there is a generic, you don't really have to do anything.

      Whether or not the pharmacist is allowed or required to substitute a generic varies by state (e.g. it's mandatory in NJ and unlawful in OK, and up to the policy of the pharmacy in FL; and in states like HI/KY/NC/SC/TN the legality varies by drug).

      It also varies from case to case (in this case, while both are epinephrine pens they aren't AB substitutable according to the FDA, so even states that allow some substitution for brand-name medications wouldn't allow it here)

      There's literally no reason for a doctor to prescribe by brand name unless they believe it's one of the few cases where a particular brand is actually more effective: If the doctor prescribes the generic drug name, then it doesn't matter where you get it filled. You can get whatever brand is cheapest. If the doctor prescribes by brand name, then you're at the mercy of the local laws and regulations of the place that you fill it as to whether you can substitute or not.

      --
      rage, rage against the dying of the light
    5. Re:Asking? by HiThere · · Score: 1

      If it's an actual generic, I always get the switch happening automatically. But there are things which are essentially generic, but which are different. There is also corruption, like the withdrawal of generic colchicine from the market so that only the trademarked version of the same drug can be purchased, at a vastly increased price. It *was* a generic, but not anymore.

      This appears to be a case where each slightly different injector is considered a separate delivery system so it's not a generic equivalent. As such the drug+delivery system is not multiple source, and probably also not generic even though functionally it is equivalent. So you need a prescription for the precise brand, and if the pharmacy doesn't have that brand in stock, you don't get it.

      IOW, it's not generic and it's not multiple source, even though there are arguments as to why it should be.

      --

      I think we've pushed this "anyone can grow up to be president" thing too far.
    6. Re:Asking? by HiThere · · Score: 1

      Yes, but it's not clear to me that it's even possible to write a generic prescription for an epinephrine injector. It looks as if they were approved as separate drug+delivery systems, and thus the prescription may well need to specify which one.

      --

      I think we've pushed this "anyone can grow up to be president" thing too far.
    7. Re:Asking? by pthisis · · Score: 1

      It does not. People elsewhere in the thread have confirmed this, as does Consumer Reports:

      http://www.consumerreports.org...
      In most states, to get the low-cost, EpiPen alternative, you can't use a prescription for "EpiPen" from your doctor. That's because pharmacists at your drugstore likely won't be able to automatically substitute the low-cost version if your prescription is written for EpiPen. Instead, ask your doctor to write a prescription for an "epinephrine auto-injector"

      --
      rage, rage against the dying of the light
    8. Re:Asking? by HiThere · · Score: 1

      Thanks. I'll try to remember that if I ever think I need one.

      --

      I think we've pushed this "anyone can grow up to be president" thing too far.
    9. Re:Asking? by Woldscum · · Score: 3, Informative

      Nope it depends on the state you live in and its Board of Pharmacy rules. In this state the written prescription must match the drug issued. Period. For example if a Dr writes a script for Diovan for high blood pressure. Most insurance will not pay for the brand name drug. The pharmacist will talk to the patient then call the Dr and ask for a new script to be issued for the generic Valsartan. If the Dr says the Brand must be used. The Dr will do all of the "medically necessary" paperwork for the insurance co. The pharmacy just waits for the insurance co. to OK the charges online. 95% of the pain and time working in a pharmacy is dealing with the insurance companies.

      Good friend owns a pharmacy and at one time I had a pharmacy technician license.

  41. Genericize the trademark by Steve1952 · · Score: 1

    One problem is that the only word that people know how to use to describe Epipen-like injectors is, er, well "Epipen". Arguably the trademark word "Epipen" has become part of the standard English language like "Escalator", "Aspirin", "Jello" and the like. The trademark puts any competitor (present or future) at a huge disadvantage because they can't use the word Epipen, and the public doesn't know how to ask for anything else.

    Another big problem in this space is that the time and money to get FDA and insurance reimbursement approval for generic (off-patent) products huge. This creates a large barrier to entry and helps keep the cost of health products crazy high.

    1. Re:Genericize the trademark by lgw · · Score: 1

      You're wrong about Aspirin, BTW. Bayer lost the rights to that trademark (along with heroin) because they made chemical weapons for the Germans in WWI.

      --
      Socialism: a lie told by totalitarians and believed by fools.
    2. Re:Genericize the trademark by yuriklastalov · · Score: 1

      Somehow I don't think a price hike compares favorably with manufacturing WMDs as a reason for stripping trademark protections.

  42. Wicked logic by Ol+Olsoc · · Score: 1
    Reading the posts here, one comes up with a very interesting conclusion.

    Private company hikes prices by a lot, and scams the Guvmint.

    Which somehow becomes an indictment of "socialized" medicine, and showing how the private market is superior and honest and trustworthy.

    --
    The shepherds did so well protecting the flock that the sheep no longer believed that wolves existed.
  43. Well that would figure by Weaselmancer · · Score: 1

    You can cheat the citizens, but you can never cheat Uncle Sam. Doesn't matter if we get screwed, only if the government sees a loss. Then suddenly it becomes a priority.

    --
    Weaselmancer
    rediculous.
  44. Re:Isn't earning a profit part of capitalism? by Streetlight · · Score: 1

    Maybe I should have added my :/ sarcasm tag.

    One of the problems with medicine prices in the US is that the congress has prevented the US funded health insurance providers from negotiating prices of drugs. This included Medicare, Medicaid and others. Were this allowed it would likely reduce the cost of medicines paid by private insurers as well reducing premiums for employers and employees having employer subsidized health insurance. . One example of high priced drugs involves treatment of age related macular degeneration. There are apparently two drugs for its treatment, one costing about $70 per injection and another is thousands of dollars. In the UK, the expensive one cannot be used in the treatment but in the US the cheaper one is generally not used. Treatments for this condition can continue at six week intervals for many years. This becomes an extremely expensive treatment course. And of course, since the administration of the drug is in a clinic and Medicare will pay the cost including the margin to the clinic, clinics use the expensive drug enhancing the profit of the drug provider and the clinic and its physician owner.

    The usual justification for the high cost of medicines is that some of the profit can be used to research new treatments. This seems somewhat bogus because other countries allow governments to negotiate low prices for drugs. Are US consumers providing all the research funding for new drugs? I doubt it.

    --
    In a time of universal deceit, telling the truth is a revolutionary act. George Orwell
  45. Re:It's not innovative by Applehu+Akbar · · Score: 1

    The FDA should at least be required to "show its work" in any rejections. Exactly why did Teva, which is one of the largest generics manufacturers in the world market, have its product rejected?

    Then I would go farther and allow doctors and patients to make up their own minds about FDA-tested products, whether accepted or rejected. If a rejection was for some paperwork problem or a situation that applies only to a limited class of patients that does not include yourself, why not prescribe it anyway?

  46. Re:It's not innovative by silas_moeckel · · Score: 1

    Adrenaclick, the big problem is epipen has become a generic like keenex but pharmacists have to go through hoops to replace it with a competitor.

    --
    No sir I dont like it.
  47. Re:Isn't earning a profit part of capitalism? by ColdWetDog · · Score: 2

    2. Why is Medicare a captive market? Why don't they just buy one of the cheaper alternative ephinephrine autoinjectors (like Adrenaclick) instead of EpiPen?

    Because Congress said they could not do that. That's the ONLY reason. Repealing that little bit of nonsense would go a long way to decreasing the cost of healthcare in the US. At the expense of the Big Pharma companies.

    Funny that.

    --
    Faster! Faster! Faster would be better!
  48. Re:It's not innovative by Sarten-X · · Score: 1

    The FDA does give a full report with their rejections, but I don't have a copy of this particular one readily available. My best source is that I used to work in the pharmaceutical industry, in the process for getting new drugs to market. In short, it's a mess even without any accusations of corruption.

    I don't think I've ever heard of a modern drug getting approved on its first try (though that's also not where my experience focused). The most common reasons for retesting were things like imprecise side effect rates (two patients in the trial had a headache, so the whole trial needs to be 10x larger to reduce the margin of error) or a lack of documentation (you computed this incidence rate using the standard formula, but exactly what is that formula?).

    The problem with a user-centric approach is that you start having public health decisions being made by people with no understanding of what's actually happening. Physicians usually focus on diagnosis and treatment monitoring, not understanding the biochemical interactions of the drugs they recommend. Pharmacists understand the chemistry and interactions, but patient risk analysis and diagnosis is outside of their job. Add a layer of traditional American marketing on top of that, and you have a perfect market for snake-oil salesmen to promote insufficiently-tested medicines to doctors and patients who have no way of knowing how unsafe the medicine is. Doctors can be conned, too.

    --
    You do not have a moral or legal right to do absolutely anything you want.
  49. Milan deserves death by Dog-Cow · · Score: 1

    Every single Mylan employee who needs an Epipen should be found, their allergy triggered and left to die without an Epi.

  50. Re:It's not innovative by Rockoon · · Score: 1

    If you can't find the FDA rejection report in todays age if internet, pdf's, and so on, ... then it seems quite exceptional to claim that the report is "available."

    "Available" isn't supposed to mean it is in the bottom of a locked filing cabinet stuck in a disused lavatory with a sign on the door saying 'Beware of the Leopard.'"

    --
    "His name was James Damore."
  51. Re:It's not innovative by Rockoon · · Score: 1

    This is capitalism at its finest. Every capitalist wants government mandates and protection for its monopoly.

    Sure, blame the people that want things instead of the people that authorize those things.

    --
    "His name was James Damore."
  52. Re:It's not innovative by Applehu+Akbar · · Score: 1

    "The problem with a user-centric approach is that you start having public health decisions being made by people with no understanding of what's actually happening."

    I would hope to hell that my doctors have an understanding of what's actually happening! That's what med school and years of experience are for.

    Making FDA decisions advisory, rather than mandatory would preserve its essential testing function while taking corruption of the sort that is strongly suspected in the Epi-Pen case out of the equation.

    And on the FDA site, I see databases of approvals and lists of rejections, but no details on rejections. We should have as much detail on rejections as we have for approvals. The reason we're not seeing that information is that the federosaurus is terrified of the possibility of us making up our own minds - about anything.

  53. Re:It's not innovative by LeftCoastThinker · · Score: 1

    That is the problem for these single source drugs where someone can literally die if they don't have the drug. Do you fork over the $600 for the EpiPen that could save the life of a loved one in the case of anaphylactic shock, or not? Of course you do.

    The reality is that FDA regulators need to fix the price and peg the rate of price increase to inflation for products or drugs that get transferred or bought by another company. Mylan did not invent the EpiPen, and jacking the price of a lifesaving product like that from $50 to $600 is criminal profiteering, the same kind that lands people in jail during natural disasters. Mylan executives should be prosecuted under the same statute. They have no justification for the price increase, they were presumably profitable at $50. The design of the EpiPen did not change or become more expensive to produce in the last 10 years. Perhaps the best punishment would be to invalidate all of the patents surrounding the EpiPen based on the fact that Mylan has abused those patents and already extracted the maximum profit that society should tolerate, seeing that they did not even invent the damn things in the first place.

    When a drug first comes to market, there are very large costs that have to be recovered, and it is acceptable for drugs to be expensive. However, there is just no excuse for buying a 50 year old device from another company and then jacking up the price 5X just to make as much money as possible over threat of someone's life.

    --
    If you disagree, please post your argument. (-1, Overrated) isn't your personal censorship tool for views you don't like
  54. Re: It's not innovative by mandy2tom · · Score: 1

    Nobody cares You must pay, its the law! And they use your money to make laws to make you pay even more money !!!

  55. Re:It's not innovative by LeftCoastThinker · · Score: 1

    Epinephrine is old and is or should be generic. The auto injector is a drug delivery system, and should I think be treated separately.
    It could deliver any injectable drug no?
    That there are no effective competitors to Mylans EpiPen reeks of impropriety.
    This is DEMOCRAT CRONY capitalism at its finest. Every DEMOCRAT wants government mandates and protection for its monopoly. More money that way. When poor people get money from the government it is socialism, and when DEMOCRATS gets money from the government it is capitalism?

    FTFY. The CEO of Mylan Heather Bresch is the daughter of Democrat Govenor/Senator Joe Manchin. We already know that she lied about having an EMBA from WVU and used her fathers influence to get a fraudulent, backdated degree. After a big SNAFU over it, a number of WVU top executives had to step down. She is politically connected and likely behind the failures of the other injectors. The EpiPen was invented in 1977. The technology is ancient and simple and Mylan doesn't even make it, they buy it from Pfizer for $34.50 each...

    Capitalists want the government to ensure a fair and even playing field, not put their finger on the scale for one side. Corrupt businesses/CEOs may want unfair advantages, but they are not capitalists, they are criminals.

    --
    If you disagree, please post your argument. (-1, Overrated) isn't your personal censorship tool for views you don't like
  56. Re:It's not innovative by HiThere · · Score: 1

    Well, when my doctor wanted me to carry something like that around, he filled a couple of disposable syringes with adrenaline, put them in a plastic case, and said "Use them if you need to. They should be good for a year if you keep them sealed and don't get them too hot." He also wrote out a prescription for Epipen if I felt more comfortable with that approach. As I happens I never had to use them.

    --

    I think we've pushed this "anyone can grow up to be president" thing too far.
  57. Re:It's not innovative by HiThere · · Score: 1

    It's not multiple source unless there are multiple sources. I'd go further and say it's not multiple source unless there are multiple sources that are covered by the same prescription/insurance plan.

    If they want to not be considered single source, they need to be taking steps to ensure that there is actual competition.

    --

    I think we've pushed this "anyone can grow up to be president" thing too far.
  58. Re: I hope the fine is huge by HiThere · · Score: 1

    Massing in the streets, perhaps, but without the torches and pitchforks.

    --

    I think we've pushed this "anyone can grow up to be president" thing too far.
  59. Re:It's not innovative by ArtemaOne · · Score: 1

    This is the literal opposite of capitalism. This is corporatism. Capitalism involves heavy competition, which drives down prices. Skipped too much school?

  60. Drug? It's a device... by qeveren · · Score: 1

    They should simply rescind the patent as punishment for stiffing the government.

    --
    Don't just stand there, get that other dog!
  61. Re:Was Already Approved For "Generic" Tier Rebates by makomk · · Score: 1

    It may well have been a generic with multiple sources back in 2007. As I understand it, Mylan made some design tweaks, patented them, and then claimed that anyone making a generic version would be infringing on their new patents.

  62. Re:Meanwhile millions of diabetics.... by HiThere · · Score: 1

    Insulin shock is slow compared to anaphylactic shock, so your analogy fails. And insulin injection isn't intended to avert insulin shock, it's a potential cause of it (if you don't eat enough sugars afterwards). Even when insulin shock is coming on the normal treatment is to either eat some hard candies or drink a bit of glucose solution...not an injection.

    --

    I think we've pushed this "anyone can grow up to be president" thing too far.
  63. Re:It's not innovative by Anonymous Coward · · Score: 2, Interesting

    That's true. But, -according to the doctors I talk to- in most situations (unlike how it works with pretty much any other drug) a pharmacist may not substitute an Adrenaclick when presented with a prescription for an EpiPen. In order to be able to sell an Adrenaclick-brand autoinjector, the prescription needs to be written for either an "adrenaline auto-injector" or for an Adrenaclick.

    Rule-makers' stated reasoning is something along the lines of "We don't want people who've trained on one auto-injector to get confused if they're presented with another!". But from what I hear, the two are functionally identical.

  64. Drug Companies Only In It For The Money by WindowsStar · · Score: 1

    These Drug Companies are only in it for the money. Please shut them down or force them to provide reasonable pricing and provide CURES not a "drug" that makes you feel better that you have to use for your entire life making the drug companies trillions of dollars. I understand the EpiPen is a value and needed product, but come on $608 for a 2 pack that is outrageous!!

  65. Re:It's not innovative by Sarten-X · · Score: 1

    Perhaps I should clarify that statement by saying that the reports are available, but I don't care enough about this particular case to go find this particular report, just to satisfy what I see as a mob that complains about things they don't bother to understand.

    --
    You do not have a moral or legal right to do absolutely anything you want.
  66. Re:It's not innovative by Sarten-X · · Score: 2

    I would hope to hell that my doctors have an understanding of what's actually happening! That's what med school and years of experience are for.

    I have some very bad news for you, then...

    Since this is Slashdot, a car analogy may be best. If you take your precious high-performance sports car to a mechanic to find out why it's not getting the power that it should, he can look at the engine, perform tests and measurements, and tell you that your engine needs a fuel with a higher octane rating. He may not know precisely what an octane rating means chemically, or what chemical processes are taking place during combustion that affect the engine's performance, but he knows the cause of and solution for the symptoms presented.

    Similarly, a physician does not usually need to know all of the biological processes that a particular drug affects. Knowledge of common interactions and side effects is necessary, but not the rare effects or anything easily treatable. Basically, if the treatment isn't going to be worse than the disease, they don't need to waste their time or memory thinking about the minimal chance of a mild adverse reaction.

    This is not to disparage the medical professionals in any way, but only to clarify what the scope of their job requires. A programmer doesn't need to understand the particle physics that make semiconductors work, a carpenter doesn't need to know how to grow the wood he uses, and a doctor doesn't need to know every side effect for the 10,000 FDA-approved drugs he can prescribe today. Such knowledge just isn't necessary to be an expert in the field.

    Making FDA decisions advisory, rather than mandatory would preserve its essential testing function...

    ...but completely undermine the incentive to actually perform that testing thoroughly and ethically. After an effective marketing campaign, there's no difference between "submitted for FDA approval" and "approved by the FDA", even if the former really means the manufacturer submitted only a brief description of the drug and it was rejected immediately. If, even without approval, the drug can still be marketed and promoted and prescribed, then it's more cost-effective for the manufacturer to run damage-control PR spin after a bad reaction than to actually ensure their products are safe in the first place.

    And on the FDA site, I see databases of approvals and lists of rejections, but no details on rejections. We should have as much detail on rejections as we have for approvals. The reason we're not seeing that information is that...

    ...such information is rapidly out of date, and doesn't matter because doctors can't prescribe those drugs, anyway. The only purpose it serves is to terrorize the public with bad news about a drug that might eventually be considered safe, which in turn just makes it more difficult to convince patients that they should follow their prescribed treatment.

    If you want to follow what's going on, I'd recommend some industry publications, which usually strike a nice balance between the technical details and the ultimate impact.

    --
    You do not have a moral or legal right to do absolutely anything you want.
  67. Re:It's not innovative by Applehu+Akbar · · Score: 1

    A specialist MD develops an instinct for gleaning needed information from test data summarized as it has to be for the kind of testing the FDA organizes. On occasion he might make use of a side effect that might be useful for some small subset of patients, which may in time mature into an "off-label usage" that becomes generally known in medicine.

    Ability to prescribe any tested product, whether or not approved, would help push innovation in the long run. Some states already have "right to try" legislation allowing terminal patients to be prescribed any compound which has passed Phase I toxicity testing. Bootlickers hate Right To Try, but all I'm proposing is an extension of the increasingly popular concept to any informed patient.

    So long as FDA testing proves to be a good assurance of quality product, its reputation as a gold standard will retain value, so that products labeled "FDA Approved" will be worth, on the average, more than products that doctors grab from the middle of the testing process under my scheme. If they do not, then our testing protocols need a lot more work.

  68. Re:It's not innovative by Applehu+Akbar · · Score: 1

    If we keep on giving the FDA veto power over what products can come to market, then your brand of socialized price control is inevitable. How will patients feel about the rationing that always goes with such schemes? I would rather go in the opposite direction instead, stripping the FDA of its power to keep products off the market so that fully informed doctors and patients can decide for themselves how much risk to take.

    Sanofi's Auvi-Q injector was pulled because of 26 specific instances of dosage error out of all the patients that used the device. Since no injector can deliver more epinephrine than it contains, might you be willing to assume a small degree of dosage uniformity risk as the cost of a competitive market?

  69. Re:It's not innovative by Rockoon · · Score: 1

    Was that what you said when mortgages were handed out like candy?

    You mean those mortgages guaranteed by Fanny aka Federal Government?

    --
    "His name was James Damore."
  70. Re:It's not innovative by I75BJC · · Score: 1

    The head of the company is the daughter of a high-powered Democrat Senator. The head of the USA Federal Government is a high-powered Democrat President. That's two reason why a Democrat-led company would receive preferential treatment. A few years back, the news media called this "Crony Capitalism". Andy Jackson did this and history books call it the "Spoils System". To the winner goes the spoils. To the powerful goes the ability to beat the powerless. I'm surprised the Feds decided to do anything about this situation.

  71. There are (were) 2 competitors by KenHansen · · Score: 1

    There was the generic adrenepak and another whose name escapes me at the moment (it was the subject of an FDA recall), so it is *not* a single-source drug so the higher Medicaid rebate amount is not called for. It seems the real problem isn't the price of the epipen, it's that doctors are writing name-brand epipen prescriptions, locking patients into the higher-priced product. In most states pharmacists can not supply generic equivalents when provided with a name brand-specific prescription.

    1. Re: There are (were) 2 competitors by KenHansen · · Score: 1

      Forgot to add this link

  72. Re:It's not innovative by Sarten-X · · Score: 1

    A specialist MD develops an instinct...

    ...or so you hope. Unfortunately, I've worked with enough doctors who just don't care that I won't accept that as a blanket statement for the entire profession.

    ...all I'm proposing is an extension of the increasingly popular concept to any informed patient.

    But now you have to define what an "informed patient" is. I've also worked with enough patients who spent too much time with WebMD to accept that people can be well-informed just by reading a few articles on what they think applies to them.

    ...products labeled "FDA Approved" will be worth, on the average, more...

    As long as that label is honest and respected, sure... but there's nothing to stop a fly-by-night operation from selling a drug with a not-quite-approval label and unscrupulously allowing doctors and patients to interpret the labeling (and marketing) as though it were actually approved. That, in turn, dilutes the FDA approval process, because if you can sell your drug enough to become standard without the hassle of approval, why bother? Do you actively check for a UL label on all of your electronics?

    I hate to appeal to emotion, but the consequence here is literally peoples' lives. If it costs more to go through the FDA testing process, but saves the lives of people who would have been misinformed, is it worth the price? Conversely, do people deserve to die because they misunderstood the risks?

    --
    You do not have a moral or legal right to do absolutely anything you want.
  73. Re:It's not innovative by Applehu+Akbar · · Score: 1

    I didn't want to waste bandwidth by repeating my original proposal on FDA reform, but if you insist: the FDA would lose all powers to keep compounds and devices off the market. In return, every product submitted for FDA would bear a label indicating FDA Approved, FDA Rejected, or FDA In Testing. Each label would bear a QR code leading to online detail about the status of the product, including detail about rejection or the current in-test status. It would continue to be an offense to misrepresent the status of a product, and absence of a label would indicate a product not submitted to the FDA at all.

    I would expect that malpractice liability being what it is, most MDs and insurance carriers would insist on prescribing of FDA Approved products in ordinary cases. But if prescriptions can be written for compounds approved by the perfectly good testing authorities in Europe and Asia - if you really are in the business you must be aware of my wife's hometown, Basel, being the center of the world in advanced pharma development - then we will see a lot less gratuitous foot-dragging by the FDA.

    Were my reform would really prove its worth would be in situations of obvious corruption like the Epi-Pen trainwreck, the Colcrys debacle and the Daraprim dumpster fire. In cases like this allowing doctors to prescribe from the world market is not theoretical libertarian posturing, but a moral imperative.

  74. Re:It's not innovative by danbert8 · · Score: 1

    The consequence certainly is peoples' lives. How many lives are lost due to not being able to afford lifesaving medications and healthcare?

    --
    Yes it's an anecdote! Were you expecting original research in a Slashdot comment?
  75. Re:Isn't earning a profit part of capitalism? by mink · · Score: 1

    Patents are enforced to protect innovation in research, not to protect price gouging on a generic drug in a particular form factor. Capitalism in concept is about minimizing the lost value from unmet demand and wasted supply (not everything can be salvaged). Additions onto that are political and ideological not practical. In fact the actions of Mylan are opposed to capitalism as they are setting overly high prices on a captive market (Medicaid recipients) - the result of which is double damage as it prevents users who need it from getting it, and for those who still buy it it deprives them of the other needs done without to due to the purchase.

    Not just Medicare and Medicade. Schools are also required by law to have Epipens specifically (this law was passed before the large price hikes from what I remember). I see this situation as no different from the actions of people like Martin Shkreli.

    All these people arguing that all of this is just fine will one day require a life saving drug, and they might find the price of what was once easily affordable have increased to "all you have plus a lot more" just so that maximum profit can be extracted on threat of death. Who wouldn't go into debt to keep on living,

    --
    Well I've wrestled with reality for thirty five years doctor, and I'm happy to say I finally won out over it.