Showing posts with label Current News. Show all posts
Showing posts with label Current News. Show all posts

April 24, 2015

Gilead uses Georgia as free-drug testbed for hepatitis C elimination

Provided by Reuters

Health | Wed Apr 22, 2015 11:58am EDT

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Gregg Alton, Gilead's executive vice president, corporate and medical affairs, speaks with the media during a news conference in New Delhi September 15, 2014.

LONDON | By Ben Hirschler

LONDON (Reuters) - Gilead Sciences is seeking to convince governments and multilateral agencies worldwide that hepatitis C can be eliminated with a demonstration project in Georgia offering free drugs to all those who need them.

The unprecedented program will make the Caucasian country a testbed for uprooting the liver-destroying disease, using Gilead's highly effective but costly pill Sovaldi, plus its newer product Harvoni once approved.

Georgia has the world's third highest prevalence of hepatitis C, after Egypt and Mongolia, with nearly 7 percent of adults carrying the virus. It also has a wide range of viral variations and different types of patients.

What is more, the country is a manageable size, with a population of around 5 million, and has viral screening systems, making it ideal for scientific study, according to Gregg Alton, the U.S. drugmaker's head of corporate and medical affairs.

"It is a nice country for us to evaluate," he said in a telephone interview on Wednesday from the European Association for the Study of the Liver annual meeting in Vienna.

The scheme, which has the backing of the U.S. Centers for Disease Control and Prevention, will cover an initial 5,000 patients in 2015, with a second phase treating up to 20,000 a year.

Gilead's hepatitis C drugs, and rival products from the likes of AbbVie, can cure hepatitis C but are out of reach at Western prices to patients in poor countries, with a single Sovaldi pill costing $1,000 in the United States.

While Gilead has slashed the price for several low-income countries to $300 per bottle of 28 pills, it also wants to involve international donors in a broad eradication drive.

"We will take the Georgia data to other countries around the world to really make the case that investment can fundamentally change the disease over time," Alton said.

Alton admits the scheme may prompt other governments to ask for free drugs as well, but he said it was unrealistic to simply give away product globally. Instead, he wants to see international funding along the lines of the Global Fund to Fight AIDS, Tuberculosis and Malaria.

"Gilead cannot cure hepatitis C globally on our backs alone. There have to be other players that come in and make that investment," he said.

(Editing by William Hardy)

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April 23, 2015

FDA to revisit its policies on homeopathic products

Provided by The Washington Post

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Homeopathic remedies, derived from plants, minerals and other substances, often are tailored to individual patients. (iStock)

By Brady Dennis April 18

Homeopathy has long been a magnet for controversy, earning a devoted following among patients who insist its remedies are safe and effective, while attracting criticism from many doctors and researchers who say its treatments offer no more help than a placebo.

After problems within the industry in recent years, the Food and Drug Administration says it wants to revisit how it oversees homeopathic products, which can be manufactured and marketed without prior approval from regulators.

Should the FDA regulate homeopathic remedies such as Cold-Eeze the same way it does over-the-counter drugs such as Advil? Should it hold products such as Zicam, which contains small amounts of zinc, to the same safety and efficacy standards that it requires for Tylenol?

Hundreds of public comments have poured in to the FDA ahead of two days of hearings that begin Monday. The agency said it wants more data to “better assess the risks and benefits” of homeopathic remedies, which have become a mainstay on modern pharmacy shelves, often sold alongside over-the-counter pharmaceutical drugs. Stores such as Whole Foods feature sections of homeopathic remedies aimed at treating conditions including allergies and heartburn.

The FDA has not made any decisions about whether to change how it approaches homeopathic products, said Cynthia Schnedar, director of the Office of Compliance at the FDA’s Center for Drug Evaluation and Research. “At this stage,” she said, “we are gathering information about whether to adjust our current enforcement policy.”

The FDA has issued nearly 40 warning letters since 2009 to companies making homeopathic products, Schnedar said.

Last month, the agency warned consumers not to rely on over-the-counter asthma products labeled as homeopathic, saying they have not been evaluated for safety and effectiveness. In 2009, the FDA warned consumers to stop using several types of Zicam cold remedies after reports of more than 130 cases of people losing their sense of smell; the company issued a recall. The following year, Hyland’s Teething Tablets were recalled after reports of reactions in some children; the tablets later were reintroduced with a new formulation.

Homeopathic medicines have had the same legal status as regular pharmaceuticals since 1938, when then-New York Sen. Royal Copeland, who was a trained homeopath, helped shepherd a landmark food and drug law through Congress.

In the 1970s, lawmakers directed the FDA to review the safety and effectiveness of over-the-counter medications. But the agency deferred reviewing homeopathic treatments at the time and last evaluated its policies in 1988. It has allowed most prescription and non-prescription homeopathic products to go to market without prior approval.

Homeopathy traces its founding back two centuries to German doctor and chemist Samuel Hahnemann — whose statue, incidentally, has been in downtown Washington, east of Scott Circle, since 1900.

A key principle underpinning the practice of homeopathy is the notion that “like cures like,” or that substances that create certain symptoms in a healthy person can help to cure diseases with similar symptoms. Homeopathic remedies, derived from plants, minerals and other substances, often are tailored to individual patients. Many treatments are diluted to the point that there is little or no active ingredient remaining. The dilution, which homeopaths believe triggers an immune response in the body, has led skeptics to claim that the practice amounts to little more than selling water and wishful thinking.

The National Institutes of Health has said that there is “little evidence to support homeopathy as an effective treatment for any specific condition,” and that “several key concepts of homeopathy are inconsistent with fundamental concepts of chemistry and physics.”

Last month, Australia’s National Health and Medical Research Council concluded that “there are no health conditions for which there is reliable evidence that homeopathy is effective.” The organization found that there were “no good-quality, well-designed studies with enough participants” to determine whether such treatments were more effective than a placebo.

Edzard Ernst, an emeritus professor at the University of Exeter in England and an outspoken homeopathy critic, said in an e-mail, “There is an appalling amount of misinformation out there, targeted at the often naive consumer.”

He said that the FDA should require homeopathic products to meet the same standards as other medications. “This is a most dangerous situation, and has to be corrected in the interest of public safety,” he said.

Given such criticisms, the FDA’s decision to revisit the issue has worried advocates of homeopathy, who fear that any broad new regulations might unfairly cripple the industry.

“Obviously, people are alarmed and wondering what the FDA is up to,” said Jennifer Jacobs, who practiced homeopathy for 30 years and is now a clinical assistant professor of epidemiology at the University of Washington School of Public Health. “It seems to me that they have bigger fish to fry.”

Jacobs said that homeopathic remedies have a long history of overall safety, particularly when compared with the harmful side effects caused by many conventional drugs. In addition, she said, homeopathic remedies shouldn’t be dismissed merely because science lacks a clear explanation for why they have helped patients.

“It’s foolish to think we understand everything about physics and chemistry at this point in time,” Jacobs said. “Just because we don’t understand exactly how they work doesn’t mean we won’t be able to in the future.”

Ronald Whitmont, a homeopathic doctor in New York and president of the American Institute of Homeopathy, said his organization supports the FDA’s actions to crack down on poor manufacturing practices. “There are always bad apples in the manufacturing world, and they need to be policed just like in any other industry,” he said. “We are behind the FDA. Their concern is our concern.”

But he said he hopes the hearing doesn’t turn into a debate about the legitimacy of homeopathy itself, which has a long safety record and a growing list of ardent patients nearly two centuries after it began.

“Since homeopathy has been in existence, there have been detractors who said this couldn’t possibly work,” Whitmont said. “If it doesn’t work, why is it used worldwide by millions of people? Why isn’t it going away?”

Brady Dennis is a national reporter for The Washington Post, focusing on food and drug issues.

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April 11, 2015

Janssen Therapeutics Announces Support for Organizations Focused on Improving Care and Treatment for People Who Inject Drugs Living with HIV and/or Hepatitis C

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Latest Program Extends Company's Ongoing Commitment to Supporting Underserved Populations in the United States

TITUSVILLE, N.J., April 1, 2015 /PRNewswire/ -- Janssen Therapeutics, Division of Janssen Products, LP (Janssen), today announced the recipients of funding from a special request for applications (RFA), "Improving Care and Treatment for People Who Inject Drugs Living with HIV and/or Hepatitis C."

Eight United States-based organizations each will receive a one-year charitable contribution to enhance access to healthcare and treatment for people who inject drugs living with HIV and/or hepatitis C.

Injection drug use is at the core of the HIV and hepatitis C epidemics, attributed as the third most frequently reported risk factor for HIV infection1,2,3,4 and the primary cause of hepatitis C in the United States.5 Successful treatment of HIV and hepatitis C among people who inject drugs is important to reduce virus-related complications and the likelihood of transmitting the virus(es) to others.6,7

In response to the significant unmet need among people who inject drugs living with HIV and/or hepatitis C in obtaining access to comprehensive healthcare in the face of multiple barriers, Janssen awarded charitable contributions of up to $40,000 each to recipient organizations in support of community- and peer-based models to improve care and address documented barriers to treatment.

The recipients comprise a diverse range of organizations, including:

"We're committed to helping improve access to care and treatment by addressing significant unmet needs in at-risk populations facing multiple, persistent barriers," said Nefertiti Greene, president, Janssen Therapeutics. "As a leader in infectious diseases, we're honored to support these organizations in their efforts to enhance linkages to treatment and care for this often underserved part of the HIV and hepatitis C communities."

United States-based 501(c)(3) tax-exempt organizations were eligible to submit proposals. Submissions were assessed on their potential to improve access to and retention in care for people who inject drugs, and to link diagnosed patients to medical treatment and supportive care through a multi-disciplinary, partnership-based model.

About Janssen Therapeutics Commitment to Supporting Community Organizations
As part of its overall support of community organizations, Janssen Therapeutics funds endeavors addressing unmet needs for underserved populations in the HIV and hepatitis C communities while providing private sector funding to community-based organizations.

The company periodically issues focused RFAs to address significant unmet care or access needs among underserved populations living with HIV and/or hepatitis C to help stimulate new models of care and services and to enhance organizational capacity. This is the eighth funding initiative since 2008, contributing more than $3.2 million to community-based and national HIV/AIDS and hepatitis C service organizations.

To learn more, visit http://www.janssentherapeutics-grants.com.

About Janssen Therapeutics
At Janssen, we are dedicated to addressing and solving some of the most important unmet medical needs of our time in HIV, hepatitis C and other infectious diseases. Driven by our commitment to patients, we develop innovative products, services and healthcare solutions to help people throughout the world. Headquartered in Titusville, New Jersey, Janssen Therapeutics, Division of Janssen Products, LP, is one of the Janssen Pharmaceutical Companies of Johnson & Johnson. Visit www.JanssenTherapeutics.com for more information and follow us on Twitter at @JanssenUS.

1 National Center for HIV/AIDS, Viral Hepatitis, STD, and TB Prevention, Centers for Disease Control and Prevention. CDC Fact Sheet: HIV and AIDS in America: A Snapshot. 2012.

2 Prejean J, Song R, Hernandez A, Ziebell R, Green T, et al. Estimated HIV Incidence in the United States, 2006–2009. PLoS ONE. 2011;6(8): e17502.doi:10.1371/journal.pone.0017502.

3 Recommendations for prevention and control of hepatitis C virus (HCV) infection and HCV-related chronic disease. Centers for Disease Control and Prevention. MMWR Recomm Rep. 1998;4: 1–39.

4 Centers for Disease Control and Prevention. Monitoring selected national HIV prevention and care objectives by using HIV surveillance data–United States and 6 U.S. dependent areas–2010. HIV Surveillance Supplemental Report. 2012; 17(No. 3, part A). Available at http://www.cdc.gov/hiv/library/reports/surveillance/2010/surveillance_Report_vol_17_no_3.html. Accessed March 31, 2015.

5 Seeff, L.B., 2009. The history of the "natural history" of hepatitis C (1968–2009). Liver Int. 29 (Suppl. 1), 89–99.

6 AASLD/IDSA/IAS-USA. Recommendations for testing, managing, and treating hepatitis C. Available at www.hcvguidelines.org. Accessed March 23, 2105.

7 Panel on Antiretroviral Guidelines for Adults and Adolescents. Guidelines for the use of antiretroviral agents in HIV-1-infected adults and adolescents. Department of Health and Human Services. Available at http://aidsinfo.nih.gov/contentfiles/lvguidelines/adultandadolescentgl.pdf. Accessed March 23, 2015.

Media contact:
Lisa Vaga
Office: (609) 730-2020
Mobile: (908) 670-0363

SOURCE Janssen Therapeutics

RELATED LINKS
http://www.JanssenTherapeutics.com

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March 20, 2015

Charity attacks Gilead over hepatitis C drug restrictions

Wed Mar 18, 2015 4:18pm EDT

(Reuters) - Charity Medecins Sans Frontieres has accused U.S. drugmaker Gilead Sciences Inc GILD.O of restricting access to its breakthrough hepatitis C drug Sovaldi in developing countries as it tries to protect profit margin in wealthier nations.

MSF, also known as Doctors Without Borders, said Gilead's restrictions aimed to stop discounted supplies of Sovaldi being diverted to patients from rich countries, but that the effort had resulted in "multiple restrictions and demands" on people receiving treatment in poor countries.

It said Gilead was excluding people without national identity documents, a move that hurts migrants, refugees and marginalized patients.

"We're seeing Gilead trying everything it can to squeeze every last drop of profit out of some middle-income and (high-income) countries, and millions of people with hepatitis C will have to pay the price," said Rohit Malpani, Director of Policy and Analysis at MSF's Access Campaign.

Gilead said in developing countries it operates a system of tiered pricing and voluntary generic licensing to help enable access to its hepatitis C medicines.

"As part of these efforts, the company works to ensure that the medicines reach their intended recipients with patient access our primary goal," a Gilead spokesman said.

Sovaldi, which is far more effective and better-tolerated than older treatments, has come under fire for its $1,000-a-pill price tag in the United States. It racked up $10.3 billion in sales for Gilead in its first year on the market.

Gilead said it is in discussions with 11 generic drugmakers to identify strategies for supplying 91 developing nations. But activists have said such deals would not ensure access to several middle-income countries where health authorities will struggle to provide treatment to patients.

"We will continue to seek input on all areas of our access program as it evolves, and make any improvements as needed," Gilead said.

In a statement on Wednesday ahead of a meeting between Gilead and the generics producers, MSF urged the companies to reject a program under which it says the U.S. drugmaker keeps people in developed and some middle-income countries, where Sovaldi's cost is "exorbitant," from accessing cheaper copies.

"MSF is greatly concerned that this program will establish an ugly precedent and will be introduced in all countries where the company and its generic licensees sell the drug," the charity said.

About 150 million people in the world live with chronic hepatitis C, most of them in low- and middle-income countries.

(Reporting by Zeba Siddiqui in Mumbai and Bill Berkrot in New York; Editing by Marguerita Choy)

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November 10, 2014

How Gilead and Price Controls Played a Supporting Role in the Midterms

By Chris Versace

Published November 10, 2014 FOXBusiness

The defeat of more than a half dozen sitting Democratic senators last Tuesday marks the first time since 1980 that the GOP has been able to unseat more than two incumbents in a single night.

As political consultants and opinion leaders look for what caused the shellacking Democrats took at the polls, a number of answers stand out: The lack of quality job creation, stagnant wages, a mixed at best foreign policy and other would be initiatives. But let’s not forget that consumers tend vote with their wallets and from there we have to consider the impact of ObamaCare. According to a Wall Street Journal review of proposed 2015 insurance rates in the 10 states that have completed their filings, in all but one of them, the largest health insurer in the state is proposing to increase premiums between 8.5% and 22.8% for next year.

Taking a look back, since 2010, when the president's health care proposal was passed by a strict party line vote, 28 U.S. Senators have either lost their election, retired or died. One more seems destined to join the list, Sen. Mary Landrieu, (D-LA), when her runoff election is completed in December. Those numbers are truly historic and give credence to the damage the law has done to the Democratic Party. Detractors warned the law would lead to price increases in health care premiums, shortages of doctors, price controls and ultimately, rationing of care.  The warnings on price controls have begun to take root.

Commenting on its September quarter earnings, health care company Humana said investments in ObamaCare health care exchanges and state-based contracts as well as increased costs related to a new hepatitis C treatment weighed on the company’s earnings. According to the Centers for Disease Control hepatitis C can cause cancer or cirrhosis of the liver, affects 3.2 million Americans and kills 15,000 a year. One of the vendors of that new hepatitis C treatment is biopharmaceutical company Gilead Sciences (GILD) with its new drug Sovaldi. To date, 117,000 patients have been treated with Sovaldi, which shows that the drug has received amazing reception despite some concerns about the pricing.

Controversy surrounding high-cost drugs is nothing new and it has been around for years. After the Food and Drug Administration approved Sovaldi, which can cure hepatitis C, but costs about $1,000 a pill, the controversy was reignited. Basic economics dictates that if investors cannot recoup their investments, they will shift their dollars into other fields and areas.  Bringing a drug to market, thanks in part of the red tape imposed by the government itself is costly -- according to the Tufts Center for the Study of Drug Development the total cost of bringing a new drug to market is now $1.2 billion due in part to regulatory compliance and litigation expenses.

Health insurance companies were already bristling over the cost of Gilead's $84,000 hepatitis C cure Sovaldi and are going apoplectic over the company's next-generation version, Harvoni, which is priced at $94,500.  Because the new version replaces multiple companion drugs that are no longer required Gilead’s pitch is the new drug is actually less expensive. Sovaldi is often combined with other treatments bringing the total cost closer to $150,000 per patient.

Rather than the industry players settling the issue through negotiation, health plans are turning to Congress to step in and arbitrarily limit prices, which could undermine the investment that is critical to developing new cures. It should come as no surprise that three members of the House Energy and Commerce Committee dispatched a letter to the chairman demanding that Gilead’s executives be hauled before the committee to justify their pricing.

This past May, The National Coalition on Health Care (NCHC) launched the ‘Campaign for Sustainable Rx Pricing’ and has inserted itself in the national debate about drug pricing. Looking at the coalition’s membership -- 85 organizations includes major businesses, labor unions, insurers, providers, state based benefit programs, and consumers -- as well as the President and CEO John Rother’s background -- long time EVP for Policy, Strategy, and International Affairs at AARP -- it comes as little surprise it is calling for government intervention to control the price of the drug.

The argument for price controls fails every reliable economic theory in the book. Ten years ago, the late-Milton Friedman joined over 150 of his peers in arguing against them. In their words, “Drug price controls are more difficult to remove than other price controls. Controls on oil and other products often tend to be limited or short-lived, as voters eventually object to the resulting shortages and distortions. The effects of drug price controls, however, are far more difficult to observe because they mainly affect medicines that haven’t been invented yet."

When innovators are on the cusp of major advances in cancer, diabetes, HIV/AIDS and hepatitis C, among others, arbitrarily limiting the economic rewards and incentives for a major breakthrough make it more difficult to raise capital, stunt innovation, and hurt patients who rely on new advances. While Sovaldi costs upwards of $150,000 when bundled with other drugs, that pales in comparison to the costs associated with not treating hepatitis C. In other words, a cure, even an expensive one, for hepatitis C is far less costly than ongoing treatment. If a company can not recoup on its investment efforts across its entire product portfolio and generate a profit while doing so in order to benefit its shareholders then few companies would be willing or able to develop potentially break through products, particularly in the health care industry.

Remember too, the principal advocate for price controls -- the NCHC -- represents labor unions, insurers and other benefit program providers and is funded in part by the health insurance industry’s trade association, America’s Health Insurance Plans (AHIP), the Pharmaceutical Care Management Association, and the American Hospital Association. To say they might have a vested interest in price controls is more likely than not.

From a policy standpoint, the most important thing for health policy to accomplish is to get the incentives right for new cures to be developed and made available to improve and extend people’s lives.  That should mean stream lining regulation as well as fostering competition and choice.  Price controls would do the exact opposite, and Congress should reject the rent-seekers calling for them to get involved in a pricing dispute between industry players who are perfectly capable of negotiating for themselves.

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June 19, 2014

Nearly Three-Quarters of Surveyed Primary Care Physicians are Unfamiliar with Approved Direct Acting Antivirals for Hepatitis C Virus

Press Release

June 19, 2014, 1:36 p.m. EDT

The Majority of Surveyed Primary Care Physicians Expect to Refer HCV Patients to a Specialist for Care, According to Findings from Decision Resources Group

BURLINGTON, Mass., June 19, 2014 /PRNewswire/ -- Decision Resources Group finds that less than one-third of surveyed primary care physicians (PCPs) are familiar with the first-generation hepatitis C virus (HCV) protease inhibitors, Vertex's Incivek and Merck's Victrelis, despite the fact that these direct acting antivirals have been marketed in the U.S. since 2011. Furthermore, approximately three-quarters of surveyed PCPs are unaware that Janssen/Medivir's Olysio and Gilead's Sovaldi recently received FDA approval for the treatment of HCV infections, highlighting an opportunity for drug marketers to increase their prescriber pool by raising awareness of the current HCV treatment options among PCPs.

Other key findings from the U.S. Physician and Payer Forum report entitled: Primary Care Physicians in an Interferon-Free World: How Will the Availability of Safer and More Effective Oral Therapies Impact the Role of PCPs in Treating HCV Patients? :

  • Physician receptivity to emerging all-oral, interferon (IFN) -free therapies: Although more than half of surveyed specialists feel comfortable with the idea of PCPs prescribing all-oral, IFN-free regimens to treatment-naive HCV patients with minimal liver damage, approximately one-third of surveyed PCPs expect to always refer these patients to a specialist for care.

  • Managed care organization (MCO) responsiveness to new HCV treatment guidelines: More than half of surveyed MCO pharmacy and/or medical directors (PDs/MDs) are aware of the American Association for the Study of Liver Diseases' treatment guidelines and the majority of them report that these guidelines have impacted their organization's willingness to reimburse or give favorable formulary status to HCV regimens recommended in these guidelines.

  • Use of formulary restrictions as a mechanism for cost control: Among the majority of PDs/MDs whose MCOs include Gilead's Sovaldi on formulary, these payers estimated that more than one-third of large commercial health plans and nearly half of Medicare Advantage plans restrict Sovaldi to prescription by specialists only, thereby preventing PCPs from utilizing this agent.

Comments from Decision Resources Group Analyst Hannah E. Cummings, Ph.D.:

  • "Most surveyed PCPs follow up with their specialist-referred patients with suspected or confirmed HCV infection and estimate that nearly one quarter of referred patients are lost in follow up. Similarly, most specialists report having PCP-referred patients who never appear for their exam; these physicians estimate 15 percent of PCP-referred patients do not follow up. Our findings suggest that referral to specialists represents a barrier to accessing care for some HCV patients. Therefore, direct HCV treatment by PCPs could help maximize the number of patients retained in care." 

  • "The high price of Sovaldi is a major concern among payers, many of whom have spent tens of millions of dollars on this drug within the first quarter of 2014. Surveyed MCOs anticipate that even greater prescribing restrictions will be placed on emerging interferon-free therapies, which will represent a notable barrier to wider PCP involvement."

About Decision Resources Group Decision Resources Group offers best-in-class, high-value information and insights on critical issues within the healthcare industry. Clients rely on this analysis and data to make informed decisions. Find out more at www.DecisionResourcesGroup.com .

All company, brand, or product names contained in this document may be trademarks or registered trademarks of their respective holders.

For more information, contact:

Decision Resources Group Christopher Comfort
781-993-2597 
ccomfort@dresourcesgroup.com

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SOURCE Decision Resources Group

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Counting The Cost: Hepatitis C Treatment In Asia

Provided by Asian Scientist Magazine

By Rebecca Tan | Editorials
June 17, 2014

Counting-The-Cost-Hepatitis-C-Treatment-In-Asia

How should decisions about the cost effectiveness of hepatitis C treatments be made? Rebecca Tan finds out what the experts think at the inaugural Singapore Hepatitis Conference held at Suntec Singapore Convention and Exhibition Center from 6-7 June 2014.

AsianScientist (Jun 17, 2014) – When drug manufacturer Gilead announced that its new hepatitis C drug, Solvaldi® (generic name, sofosbuvir) had been approved by the United States Food and Drug Administration, the news was met with both relief and outcry. A simple, once-a-day oral pill compatible with existing therapies and able to treat hepatitis in 90 percent of patients, Solvaldi® is a highly desirable drug that could make a significant difference to the 200 million patients chronically infected with the hepatitis C virus (HCV) around the world. However, many have questioned the price tag of US$84,000 for a standard 12-week course of treatment, which works out to a staggering US$1,000 per pill. From the point of view of the individual patient and governmental health agencies, is Solvaldi® worth it?

As it turns out, the answer to this question is not straightfoward, as Asian Scientist Magazine found out from a panel of experts at the Singapore Hepatitis Conference 2014, held at Suntec Singapore Convention and Exhibition Center from 6-7th June. The pressing issue of the cost effectiveness of HCV therapies was discussed in the session titled Issues in HCV eradication in Asia, chaired by Rajender Reddy, professor at the University of Pennsylvania and director of the Viral Hepatitis Center in the US, and Qin Ning, director of the Institute of Infectious Disease at Tongji Hospital in China.

Peculiarities of the disease

The decision whether or how to treat HCV infection is strongly influenced by features unique to the disease itself. First of all, it is estimated that up to 90 percent of HCV carriers are asymptomatic. This means that carriers go untreated for many years, and only come to know of the underlying HCV infection when they show up at the clinic with liver cirrhosis or end-stage liver cancer. Therefore, doctors have to decide between treating patients with expensive drugs in the absence of symptoms, meaning that some cost would be wasted on individuals who would not have gone on to develop debilitating disease; or waiting until the disease begins to worsen and only treating those patients.

The situation is made more complex by the fact that the cost effectiveness of HCV treatments is also influenced by variables such as life expectancy and the use of transplants to treat liver disease, factors which differ widely across Asia-Pacific.

“One of the more surprising things we found was that a country’s life expectancy decides whether or not HCV treatment is cost effective,” said Dr. Dan Yock Young, head of the Department of Gastroenterology and Hepatology at the National University Health Systems.

“If you have a life expectancy of less than 65 years, you don’t need to treat for HCV. This is because the burden of disease occurs later in life; chronic HCV patients typically manifest symptoms only after the age of 65. In countries with low life expectancy, the chances of dying from violence or diseases such as cholera are much higher. In other words, doctors can cure HCV with drugs, but it would make no difference to survival,” said Dr. Dan.

Counting-The-Cost-Hepatitis-C-Treatment-In-Asia-2

Dr. Dan Yock Young speaking at the panel discussion Issues in HCV eradication in Asia.

However, in countries like Taiwan where the rate of liver transplants is high, treating the disease earlier with drugs is actually more cost effective as the alternative of transplantation surgery and lifelong immunosuppressants is relatively more expensive.

“With less cirrhosis, less liver cancer and less transplants, more expensive drugs can be more cost effective in the long run,” Dr. Dan said. “Furthermore, if you don’t treat, or start with cheaper drugs, there is the added cost of re-treatment at a later stage.”

On a positive note, a polymorphism in the IL-28B gene common in the Asian population favors the clearance of HCV, leading to a high sustained virologic response (SVR), which is the absence of HCV RNA in the blood of patients at least 24 weeks after discontinuing treatment. According to the panelists, this makes it more cost effective to treat patients in an Asian population as they respond better to directly acting antivirals (DAAs), often the first line of treatment for HCV.

Diversity in access to drugs

Naturally, price and purchasing power are major determinants of cost effectiveness as well. However, gross domestic product (GDP) per capita and standards of healthcare vary widely across Asia. Political pressure can bring down the price of HCV drugs, as seen in the successful lobbying for generic versions of the drug Viread in India, China and Thailand which do not observe the patent in force in other countries. While this may benefit developing countries in the short run, it has been argued that it could ultimately hurt drug discovery in the long run as research on new drugs are disincentivized, the panel noted.

Another way that drugs can be made more affordable is through government subvention or subsidies. Whether governments subsidize the treatments or people pay with private insurance, the net cost to society is the same. However, subventions can influence the take up rate, and may help lower the burden of disease.

The devil, of course, is in the details: how much should governments subsidize and for which drugs? Hepatitis is a complex disease with many different genotypes and patient subpopulations. For example, patients with HCV genotype 1 are less responsive to the standard pegylated interferon treatment and require an additional antiviral drug called Ribavarin. Newer drugs such as Solvaldi can be used without interferon treatment, but are much more expensive.

“Two percent of the world’s population is infected with HCV. One of the biggest ironies is that 90 percent of those patients are outside the US and Europe, but access to care mainly occurs within US and Europe and the drugs that are being developed cater to that market,” said Dr. Shamir Shah, director of Global Hospitals in Mumbai, India.

Another barrier preventing patients in Asia from accessing newly developed hepatitis drugs are stringent regulatory requirements. Many countries in Asia require clinical trials to be done in their own populations before the drug can be approved. Therefore, it may take years for drugs already in the market in the US and Europe to reach Asia. Participants at the discussion suggested that this might be expedited by collaborations with Asian universities and research institutions, or multi-center trials where some of the trials are done in Asia.

In the meantime, Gilead has made statements indicating that it might retail Solvaldi® in India at 42 times less than the US price, or US$2,000 for a full course of treatment. However, whether or not a significant drop in price is sufficient to make treatment cost effective also depends on many other factors. As the discussion showed, the price of the treatment ultimately needs to be weighed against the burden of the disease to make an accurate assessment of cost effectiveness.

Asian Scientist Magazine is a media partner of Suntec Singapore Convention & Exhibition Center.

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May 16, 2014

Public health boards fail to prioritise hepatitis C

Alistair Kleebauer

Nursing Standard. 28, 37, 0-0. http://dx.doi.org/10.7748/ns.28.37.0.2837992

Published online: 16 May 2014

Health and wellbeing boards in England are failing to make the hepatitis C virus (HCV) a priority despite an increase in hospital admissions and deaths from the virus, according to the HCV Action network and the charity Hepatitis C Trust.

Both groups said the failure constituted a ‘serious public health issue’ and that their evidence showed just three of the top ten areas with the highest prevalence have a detailed needs assessment of hepatitis C, which is recommended by the National Institute for Health and Care Excellence.

Their report found that 52 per cent of health and wellbeing boards fail to mention hepatitis C at all in their joint strategic needs assessments or in their joint health and wellbeing strategies.

Public Health England (PHE) data show that deaths from hepatitis C-related end-stage liver disease and hepatocellular carcinoma, a hepatitis C-related cancer, are rising year-on-year, from 89 in 1996 to 326 in 2012.

HCV Action’s chair and consultant hepatologist at Nottingham University Hospitals NHS Trust Stephen Ryder said: ‘The report highlights the alarming gap between the prevalence of hepatitis C and the way health and wellbeing boards prioritise the diagnosis and treatment of the virus.’

For read the full report, go to: www.hepctrust.org.uk/Resources/HepC%20New/Documents/Hepatitis%20C%20in%20JSNAs%20Final%20Report%20May%2014%20PDF.pdf

To comment on this story email letters@rcnpublishing.co.uk

Source

May 15, 2014

Helping Patients with Liver Disease Choose Wisely

As in every field of medicine, there are certain tests and procedures that patients with liver disease and their physicians should discuss to ensure they are truly necessary and will improve care. The AASLD is proud to partner with the ABIM Foundation's Choosing Wisely® campaign to identify specific tests, procedures, and treatments that may be unnecessary and may even cause harm.

AASLD has made recommendations on a wide range of liver conditions that affect patients with:

  • Cirrhosis and small varices
  • Hepatitis encephalopathy
  • Hepatitis C virus
  • Benign focal liver lesions

View the specific recommendations [PDF]

AASLD's list was developed by a group of experts to broadly represent varying practice settings and subspecialty expertise within the field of hepatology after soliciting the input of the entire AASLD membership. The recommendations that AASLD made are based on the most current evidence found in scientific literature.

Health care in America often includes practices that may provide little, if any, benefit to patients. Some estimate that up to 30 percent of health care spending goes toward duplicative or unnecessary interventions. The Choosing Wisely® campaign of the ABIM Foundation is one way of encouraging conversations between physicians and patients to avoid these unnecessary tests or procedures and improving overall health.

Since launching in April 2012, nearly 100 national, regional and state medical specialty societies, health collaboratives and consumer groups have become Choosing Wisely partners. The campaign has released 54 lists covering more than 250 tests and procedures that the specialty society partners say are overused or inappropriate.

“AASLD is pleased to be working with the ABIM Foundation to help streamline the care of our patients with liver disease and spark conversations with their physicians about the care that is best for them,” said Adrian M. Di Bisceglie, AASLD president.

To view the specific recommendations, click here. [PDF]To learn more about Choosing Wisely and to view the complete lists and additional detail about the recommendations and evidence supporting them, visit www.ChoosingWisely.org.

###

About the ABIM Foundation
The mission of the ABIM Foundation is to advance medical professionalism to improve the health care system. We achieve this by collaborating with physicians and physician leaders, medical trainees, health care delivery systems, payers, policy makers, consumer organizations and patients to foster a shared understanding of professionalism and how they can adopt the tenets of professionalism in practice. To learn more about the ABIM Foundation, visit www.abimfoundation.org, read our blog blog.abimfoundation.org, connect with us on Facebook or follow us on Twitter.

About Choosing Wisely®
First announced in December 2011, Choosing Wisely® is part of a multi-year effort led by the ABIM Foundation to support and engage physicians in being better stewards of finite health care resources. Participating specialty societies are working with the ABIM Foundation and Consumer Reports to share the lists widely with their members and convene discussions about the physician's role in helping patients make wise choices. Learn more at www.ChoosingWisely.org.

Source

April 11, 2014

$1,000-a-Day Hepatitis C Miracle Drug Gets a Major Price Cut, Just Not In the U.S.

Provided by The Wire

By Polly Mosendz
4 hours ago

lead_large

Health department workers in New Hampshire set up a temporary clinic to handle a hepatitis C outbreak in 2012. (AP PHOTO/JIM COLE)

India, Egypt and Brazil have secured access to Sovaldi, the incredibly effective, but also incredibly expensive hepatitis C treatment, for one percent of its cost in America. The 12-week treatment program that runs U.S. insurance companies $84,000 per cycle, will be just $840 in those nations. Burma, Kenya, Mozambique and Iran will pay slightly more: $900 for the full treatment program, or 1.1 percent of the standard price. 

However, American insurance companies, which have bristled at the price being charged by the drug's maker, Gilead Sciences, will continue to pay full freight. In fact, they will essentially be subsidizing the cost for less developed nations where need is greater, but ability to pay is far less.

The majorly reduced price will be especially beneficial to Egypt, which has one of the world’s highest rates of hepatitis C infections. The government has treated more than 350,000 patients at their own expense in the last six years. Wahin Doss, a member of the National Hepatology and Tropical Medicine Institute in Egypt, spearheaded the treatment program, which had a 50% success rate. Doss was instrumental to negotiating the deal with Gilead.

While the company initially wanted a higher rate, they settled at one percent due to the size of the market: “We told them we could compensate price for volume, said Doss. "All companies want to enter Egypt because of the huge market, but we are not letting them in unless they offer good prices. We hope to treat a million patients in Egypt.”

The company’s reduced prices came after the World Health Organization worked with Gilead directly to help spread the drug's usage. So what determines who gets a discount and who doesn't? It's simple. Gilead admits their “global pricing model is based on a country’s ability to pay.” 

_1_000-a-Day_Hepatitis_C_Miracle_Drug-0e4155a6810b22cdd84244f278645089

While the countries that most need and cannot afford the drug were greatly helped, many other nations may not be able to negotiate such as low price. Isabelle Meyer-Andrieux, an advisor at Doctors Without Borders, finds that “a major concern for us is the price for middle-income countries,” such as Ukraine and China. Meyer-Andrieux believes that the wealthier countries, which had a lower rate of hepatitis C infection, will earn Gilead enough to subsidize the reduced price in developing countries: “They don’t have to treat so many patients to reimburse the $11 billion.” Of the 130 million to 185 million people in the world with hepatitis C, about ninety percent of them reside in the world’s poorest nations, as this 2013 article from the journal Science shows.

The World Health Organization hopes that with the price will be further deceased for middle income countries through tiered pricing and generic versions of the medication. So far the tiered pricing has set the British cost to $57,000 for a full treatment, Germany to $66,000 and Canada to $55,000.  Though the tiered pricing certainly offers some reduction in cost, many health leaders are left unimpressed by the so-called discounts. “When you're starting from such an exorbitant price in the U.S., the price Gilead will offer middle-income countries like Thailand and Indonesia may seem like a good discount. But it will still be too expensive for many of these countries to scale up treatment”, said Rohit Malpani of Doctors Without Borders.

As for the $1,000 a day American price for the extremely effective (and life-saving) medication, Gilead is holding firm that they “think the price is fair. It’s a one-time cost that is your lifetime cost.” In a letter on March 20, Representative Henry Waxman called for Gilead to explain their United States pricing structure to Congress, as part of an inquiry that remains ongoing.

Source

April 10, 2014

U.S. drug industry group defends price of Gilead hepatitis drug

Thu Apr 10, 2014 10:34pm IST

* Gilead drug costs $84,000 for 12-week treatment

* Insurers, WHO, congressmen critical of pricing

* New drugs feature high cure rates, few side effects

By Susan Heavey

WASHINGTON, April 10 (Reuters) - The leading U.S. pharmaceutical industry trade group on Thursday defended the cost of Gilead Sciences Inc's new hepatitis C drug, Sovaldi, saying such treatments offer a priceless breakthrough for patients with the liver-destroying virus.

"Their lives, in short, will be transformed," Pharmaceutical Research and Manufacturers of America (PhRMA) President John Castellani said at the group's annual meeting in Washington. "The value to these patients, and to their loved ones and society - you can't put a price tag on it."

Gilead's Sovaldi costs about $84,000 for a 12-week course of treatment, or $1,000 a day.

That has drawn fire from health insurers, including state Medicaid programs, as well as U.S. lawmakers who are investigating Sovaldi's hefty price tag. This week, the World Health Organization joined the chorus of those seeking affordability for such drugs.

While Gilead has said it is working to offer lower prices in dozens of developing countries, critics say such treatments should cost hundreds of dollars, rather than tens of thousands. Another treatment from Johnson & Johnson that some doctors have been combining with Sovaldi as other new medicines advance toward approval, costs about $66,000.

Sovaldi, which was approved by the U.S. Food and Drug Administration late last year, is well on track to post record-breaking sales in its first year on the market.

Analysts with Capital Alpha have said 2014 sales of the drug could reach up to $15 billion, a figure that would top peak sales of Pfizer Inc's cholesterol fighter Lipitor, which had been the world's top-selling medicine before its patent protection lapsed.

As many as 150 million people worldwide, including about 3.2 million in the United States, have hepatitis C, which is caused by contact with contaminated blood, often through shared needles by drug abusers or, prior to routine blood screening, from blood and organ transplants.

Many people can carry the virus for decades before symptoms appear. But if untreated, it can cause serious liver damage and lead to cirrhosis, liver cancer, the need for a liver transplant or death.

"For the first time, 150 million people who are chronically infected with hepatitis C can be treated and cured of this terrible disease," Castellani said.

He said debate over the price of new anti-viral drugs to treat the chronic condition, and the value they bring to patients, has gone "askew," and warned that researching and developing them comes at a high cost to manufacturers.

Defenders of the new medicines point out that older current multi-drug regimens cost at least as much, cure about 75 percent of patients, require 24 or 48 weeks of treatment and have miserable side effects that lead many to delay or discontinue treatment.

The newer medicines being developed by several companies have demonstrated in clinical trials cure rates well in excess of 90 percent with minimal side effects and will require 12 weeks or fewer of treatment.

Those companies, including AbbVie Inc, Merck & Co and Bristol-Myers Squibb Co, are likely to be drawn into the pricing controversy as their new medicines edge closer to approval amid fears that millions of patients will now come forward to seek treatment, causing a massive cost burden to insurers and governments.

Merck and Bristol-Myers presented new hepatitis C data on Thursday at a major liver disease meeting in London . Gilead, AbbVie and others will also present clinical trial data at the meeting.

"Policy makers ... need to value innovation and stop implying that it comes cheap," Castellani said.

Foster City, California-based Gilead, which paid $11 billion to acquire the company that had the rights to Sovaldi, has said it is working with government officials and others to help create a globally tiered pricing structure.

That plan includes licensing the drug to three or four Indian generic manufacturers to allow sale of the medicine at lower prices in some 60 developing nations.

Separately on Thursday, Indian generic drugmaker Natco Pharma Ltd called on the government to deny Sovaldi a patent in India, a source with knowledge of the matter said, potentially clearing the way to launch a much cheaper version of the drug.

(Additional reporting by Bill Berkrot in New York; editing by Matthew Lewis)

Source

April 8, 2014

Gilead aims to license hepatitis C drug to 3-4 Indian firms

By Ben Hirschler
LONDON  Tue Apr 8, 2014 11:42am EDT

(Reuters) - Gilead Sciences aims to license its new hepatitis C drug Sovaldi to three or four Indian generic manufacturers to allow sales of the medicine at lower prices in some 60 developing nations.

Clifford Samuel, head of access operations and emerging markets at the U.S. drugmaker, told Reuters he expected to have deals in place shortly with the Indian firms, which would be able to produce the drug in high volumes and at low margins.

Gilead is under pressure to address the high cost of its breakthrough pill, which is the first of a new wave of drugs that have been shown to raise cure rates and cut treatment duration without the side effects of current injections.

"We're in the midst of discussions right now. We're nailing down the geographical scope, and we should have these licenses in place and ready to go in short order," Samuel said on a visit to London for an international liver conference.

He said Gilead was looking to strike deals with firms that had proven experience in producing generic versions of its HIV/AIDS drugs, such as the Indian division of Mylan.

The Foster City, California-based company has been operating a similar voluntary licensing programme for many years for low-cost HIV drugs, which covers 112 countries.

Under the hepatitis C plan, Indian-made generics would be available in most of sub-Saharan Africa, selected Asian countries including India, Pakistan and Myanmar, and some smaller developing nations.

Gilead is also working to establish "tiered pricing" for Sovaldi in other low- and middle-income countries, Samuel said.

The company struck the first such tiered pricing deal last month in Egypt, where it has agreed to supply the government at just over 1 percent of the U.S. price, or $300 for a 28-day bottle against $28,000.

For India, the company is currently discussing a price of $2,000 based on 24 weeks of treatment, although no final deal has been reached, Samuel added.

Egypt has the world's highest prevalence of the liver-destroying hepatitis C virus, which is spread through blood, making it an obvious first market for more affordable, tiered pricing.

"We're targeting key, high-prevalence countries like India, Pakistan and Egypt. We are sitting down with them and looking at differential pricing," Samuel said.

Gilead's tiered pricing will not apply, however, to some large middle-income countries with significant hepatitis C populations such as Ukraine and China, which are viewed as commercial market opportunities.

In the United States, Sovaldi's price tag of $84,000 for a 12-week course of treatment has been described by one health provider as "outrageous", while U.S. lawmakers have written to the firm demanding an explanation of the price.

(Editing by Jane Baird)

Source

April 2, 2014

Exclusive: Costs to public of $84,000 hep C drug ‘outrageous' - Kaiser

By Deena Beasley
LOS ANGELES  Wed Apr 2, 2014 3:41pm EDT

(Reuters) - Kaiser Permanente, the biggest U.S. health maintenance organization, said it is using Gilead Sciences' new hepatitis C drug, Sovaldi, even though its $84,000 treatment price is "outrageous."

The medication is widely viewed as a breakthrough that can cure a majority of hepatitis C patients, often within 12 weeks. Analysts project 2017 sales of $9.1 billion, according to Thomson Reuters Pharma.

But Gilead has come under fire, from insurers and Congress, for Sovaldi's $1,000-a-pill price at a time when U.S. healthcare spending is under scrutiny and President Barack Obama's Affordable Care Act aims to make health coverage accessible to everyone.

The company says Sovaldi should create huge savings for the healthcare system over time by preventing complications from liver disease and transplants, but declined requests for evidence to back up those claims. A Gilead executive told Reuters last week that it had an agreement to discount the drug for the Kaiser network, based on their recognition of the long-term benefits.

In an interview, Kaiser officials disputed that view. Kaiser is using Sovaldi "not because we see this as a high-value, cost-effective approach," said Dr. Sharon Levine, associate director of the Permanente Medical Group. "It's because this is a therapy that represents a substantial improvement over existing therapies ... It's an outrageous price for a therapy that has huge public health implications."

She called Kaiser's discount on Sovaldi "modest" and said state Medicaid programs and private health insurers "are going to have to make very serious tradeoffs just based on a single manufacturer's decision on pricing a drug because they can."

Gilead officials declined to comment.

Hepatitis C, estimated to infect about 3.2 million Americans, is a blood-borne virus that can cause severe liver damage.

LAWMAKERS SEEK PRICING INFORMATION

Democratic lawmakers in the House of Representatives, led by California's Henry Waxman, have asked Gilead to explain Sovaldi's pricing. The company said it met with committee staff on Monday.

The public call to Gilead from Congress has sent shock waves through the biotech investment community, raising concerns that other leading drugmakers could face pressure on pricing new medicines. Over the past month the Nasdaq Biotechnology Index has fallen more than 8 percent.

Insurers and state officials running the Medicaid health program for the poor fear a multibillion-dollar tab from Sovaldi alone.

Investment bank Leerink Partners estimates the drug's cost could trim as much as 10 percent from the earnings of publicly traded health insurers.

Kaiser, a nonprofit, said Sovaldi will be a material portion of its drug budget - a cost ultimately born by members and employers who pay insurance premiums.

"It comes back to the question of who benefits at a time when there is enormous pressure to ensure that the cost of healthcare, the cost of providing access to cures doesn't bankrupt all of the rest of the investments that the country needs to make," Levine said.

(Reporting by Deena Beasley; Editing by Michele Gershberg and Prudence Crowther)

Source

March 31, 2014

Gilead says has discounted hepatitis C drug for some health plans

By Deena Beasley
Sat Mar 29, 2014 12:13pm EDT

(Reuters) - Gilead Sciences Inc, under fire for pricing a new hepatitis C drug at $1,000 a pill, has discount agreements with a number of health insurers, a company executive said in an interview.

The medication, Sovaldi, has a list price of $84,000 for a 12-week course of therapy and is seen as a breakthrough in the treatment of the serious liver disease.

It has been shown to raise cure rates and cut treatment time with fewer side effects than older medicines, but critics maintain that a price of $1,000 each is too high for an easy-to-make pill needed by millions of Americans.

On March 20, Democratic lawmakers led by California Representative Henry Waxman asked Gilead to explain the price tag, and a meeting with the company is scheduled for next week.

Health insurers and state Medicaid programs for the poor are pushing for further discounts, fearing a multibillion-dollar pricetag from treating most hepatitis C sufferers with Sovaldi and similar new medicines likely to be approved in coming years.

Gilead shares have dropped 9 percent in the last week on concerns over the pushback on drug pricing. The news has also weighed on other biotechnology companies that are banking on their ability to command high prices for new treatments.

"It's the volume (of patients) payers are looking at here. It's not the price," said Gregg Alton, Gilead's executive vice president, corporate and medical affairs. "A lot of them are looking for a discount, but I think the real issue here is how many patients they now have in their plans that need hepatitis C treatment."

The Centers for Disease Control and Prevention estimates that about 3.2 million Americans are infected with hepatitis C, a liver-destroying virus transmitted through blood.

If each were treated with full-priced Sovaldi, the cost would be $269 billion. Gilead already provides a mandated discount off its list price to U.S. government health plans and insurers at about 23 percent.

Alton said the company has deals for "supplemental discounts" for government-funded agencies such the Veterans Administration and the Department of Defense, on top of the 23 percent. He would not provide details.

He said the VA, which accounts for about 10 to 15 percent of the hepatitis C population in the United States, has been "proactive" in recognizing the need to treat the disease, which can lead to liver failure and necessitate liver transplants.

He estimated that patients eligible for Medicaid, the government-funded health plan for the poor, account for another 10 to 15 percent of Americans with hepatitis C.

Alton singled out health maintenance organization Kaiser Permanente for taking action to secure Sovaldi, also at a discount, for its patients.

"We have an arrangement with Kaiser that works very well for both of us," the Gilead executive said. "They recognize that if they make the investment today, they get all the benefit."

He said that is because many Kaiser patients stay for many years with the organization known for quality, integrated care, even into retirement when they qualify for a managed Medicare plan. So Kaiser's upfront investment treating hepatitis C will pay off years later by averting future costs of liver disease. Kaiser officials were not immediately available for comment.

But many traditional insurers can't rely on the same kind of stability among their policyholders, who tend to switch health plans more frequently, meaning they cannot be sure of the same savings over time.

"One of the challenges we have with some insurers is that the benefits may not come to them," the Gilead executive said. "No matter how we price this product, the benefits and the savings are going to come later."

Alton also sees the concerns over a deluge of patients demanding immediate treatment as unlikely to materialize.

"Most of the patients are not diagnosed, and many aren't seeking care currently," he said. "This is going to take some time."

ISI Group analyst Mark Schoenebaum noted on Friday data showing that new prescriptions of Sovaldi had dropped 5 percent in the past week. He estimated that Gilead's 2014 U.S. sales of Sovaldi, which was approved by the Food and Drug Administration late last year, will total as much as $9 billion even if it sees no new prescription growth.

(Reporting By Deena Beasley; Editing by Michele Gershberg, Tom Brown and David Gregorio)

Source

March 21, 2014

Gilead offers Egypt new hepatitis C drug at 99 percent discount

By Maggie Fick and Ben Hirschler
CAIRO/LONDON  Fri Mar 21, 2014 4:10pm EDT

(Reuters) - Gilead Sciences, facing mounting criticism over the high price of its new hepatitis C pill Sovaldi, has offered to supply the medicine to Egypt at a 99 percent discount to the U.S. price.

While the drug will still cost $900 for a 12-week course of treatment, that is a fraction of the $84,000 charged for a course of treatment in the United States.

The high price tag in America prompted questions from U.S. lawmakers on Friday, after U.S. health insurers said they were seeking help from state health officials to foot the bill.

Gilead said it was "pleased to have finalized an agreement" for the introduction of Sovaldi in Egypt, which has the highest prevalence rate of hepatitis C in the world.

"We believe Sovaldi could have a major impact on public health in Egypt by significantly increasing the number of people who can be cured of hepatitis C," Gregg Alton, head of corporate and medical affairs at Gilead, said in an emailed statement.

Egyptian health minister Adel El-Adawi said Cairo had struck a deal with U.S.-based Gilead for the government to buy Sovaldi for $300 for a one-month box, according to a recent report on the state news agency MENA.

That would imply a cost of $900 if Sovaldi is used as part of a 12-week drug regimen, although the cost would be higher if it was used for 24 weeks, which is also an option based on different drug combinations.

El-Adawi said Gilead's offer would apply to Sovaldi supplies used in government clinics, adding that access programmes would start in the second half of 2014, following completion of registration procedures in Egypt.

Sovaldi is in the vanguard of a wave of pills which could cure the liver-destroying disease in millions of people worldwide, or even eradicate it entirely. But that will only happen if the new therapies are affordable enough to allow widespread use.

Nowhere is the problem more acute than in Egypt, which has the world's highest prevalence of the virus, following the use of poorly sterilized needles in campaigns dating back to the 1970s to stamp out the parasitic disease schistosomiasis.

Like HIV, hepatitis C (HCV) can be spread through blood, often via contaminated needles.

The World Health Organization estimates that more than 150 million people worldwide are chronically infected, most of them in developing countries, putting them at risk of cirrhosis and liver cancer.

Other companies such as Johnson & Johnson, AbbVie, Bristol-Myers Squibb and Merck & Co are also developing oral treatment regimens for HCV that have shown dramatic results in clinical trials, while reducing the need for debilitating interferon injections.

Doctors and industry analysts believe the new drugs will transform HCV treatment - and prove hugely profitable. In the developed world, they are tipped to become major blockbusters, with consensus sales forecasts for Sovaldi alone standing at $9.1 billion in 2017, according to Thomson Reuters Pharma.

But the risk of a gulf in access between patients in the rich and poor parts of the world is causing alarm among health campaigners who warn of a potential re-run of the battle over HIV drugs in Africa more than a decade ago.

Medecins du Monde, a non-profit group that provides medical care around the world, highlighted Egypt as a country in dire need of the new hepatitis C drugs in a report this week.

Gilead has also said it plans to license Sovaldi to a number of Indian generic pharmaceutical manufacturers, which would be able to sell lower-priced copies of the medication.

(Additional reporting by Deena Beasley; Editing by James Dalgleish)

Source

Democratic Leaders Request Briefing by Gilead on Hepatitis C Drug Pricing

image

Mar 20, 2014

Today Ranking Member Henry A. Waxman, Health Subcommittee Ranking Member Frank Pallone, Jr., and Oversight and Investigations Subcommittee Ranking Member Diana DeGette sent a letter to Gilead Sciences Inc. Chief Executive Officer John C. Martin to request a briefing on pricing of the company’s recently approved Hepatitis C drug, Sovaldi.  Reports indicate that Gilead intends to sell Sovaldi at $84,000 per treatment, which will affect coverage for patients with public or private insurance. 

FDA approved Sovaldi in December 2013 after the drug received an FDA Priority Review and Breakthrough Therapy designation, which is intended to expedite review of drugs for serious or life-threatening conditions.

The full text of the letter is available below and online here.

                                                                                             March 20, 2014

Dr. John C. Martin, PhD
Chief Executive Officer
Gilead Sciences Inc.
333 Lakeside Drive
Foster City, CA 94404

Dear Dr. Martin:

We are writing to request a briefing from Gilead Sciences Inc. to answer important questions about the pricing of the company's recently approved Hepatitis C drug, Sovaldi. 
A breakthrough treatment for Hepatitis C could result in significant public health benefits.  Approximately 3.2 million Americans have a chronic Hepatitis C infection, and the illness causes approximately 15,000 deaths in the United States annually.  There is no vaccine for Hepatitis C, which causes fatal cirrhosis or liver cancer in up to 5% of affected individuals.

There is evidence that Sovaldi could be a breakthrough treatment.  According to FDA, “Sovaldi was effective in treating multiple types of the hepatitis C virus. … demonstrat[ing] efficacy in participants who could not tolerate or take an interferon-based treatment regimen and in participants with liver cancer awaiting liver transplantation, addressing unmet medical needs in these populations.”

Our concern is that a treatment will not cure patients if they cannot afford it.  Reports indicate that Gilead intends to sell Sovaldi at $84,000 per treatment.  In cases where Sovaldi is prescribed with other treatments the costs could be even higher.  According to a recent Reuters report, “many doctors are requesting a $150,000 combination of Sovaldi … and Olysio.”

These costs are likely to be too high for many patients, both those with public insurance and those with private insurance.  Because Hepatitis C is “concentrated in low-income, minority patients,” the affordability problems are likely to be particularly acute for state Medicaid programs and those patients served by these programs.  Colorado and Pennsylvania have already announced that their Medicaid programs will be limiting use of the new drug to “only the sickest patients,” such as those already suffering from liver disease.  California’s Medicaid program is still considering how and when to reimburse for the drug.  The large pharmacy benefit manager Express Scripts has said it is “encouraging some doctors in its networks to delay prescribing Sovaldi.”  Even in cases where public or private insurers pay for the medication, it will impose substantial costs on taxpayers and could cause premium increases for those with employer or individual coverage.

The extraordinarily high cost of your drug raises additional concerns because of the role of the federal government in speeding its approval.  In April 2013, Gilead submitted a New Drug Application to the Food and Drug Administration for approval of Sovaldi for the treatment of Hepatitis C.  As part of the request, Gilead filed for and received a Priority Review and Breakthrough Therapy designation, which reduces the FDA review goal date from ten to six months.  This designation is awarded to medicines that meet certain criteria, including “that the drug may have substantial improvement on at least one clinically significant endpoint over available therapy.”  The FDA approved Sovaldi on an expedited basis on December 6, 2013.

This history raises many questions about Gilead's approach to pricing this drug and the impact the high cost may have on public health.  In order to address these issues, we ask that you brief Committee staff on a number of key questions, including:

(1)        The methodology used by Gilead to establish Sovaldi's pricing.
(2)        The extent to which Gilead is providing discounts to low-income patients and to key government or private-sector purchasers of the drug.
(3)        The value to the company of the expedited review provided under the Priority Review and Breakthrough Therapy designation and how any savings provided by the expedited review factored into pricing decisions for the drug.
(4)        The public health impact of insurers’ and public health programs’ decisions not to cover Sovaldi for all patients with Hepatitis C.

We ask that you provide this briefing no later than April 3, 2014.  Please contact Brian Cohen of the Committee staff at (202) 225-3641 if you have any questions.

Sincerely,

Henry A. Waxman
Ranking Member

Frank Pallone, Jr.
Ranking Member
Subcommittee on Health

Diana DeGette
Ranking Member
Subcommittee on Oversight and Investigations

Related Documents:

Letter to Dr. John C. Martin, CEO, Gilead Sciences Inc., from Ranking Members Henry A. Waxman, Frank Pallone, Jr., and Diana DeGette (March 20, 2014) .

Source

March 19, 2014

Gilead's HCV Challengers Near The Starting Gate

By AMY REEVES, INVESTOR'S BUSINESS DAILY
Posted 05:28 PM ET

Though still in the early days since its Dec. 6 approval, Gilead Sciences' hepatitis C drug Sovaldi may be enjoying one of the most massive drug launches of all time. Current consensus calls for sales of $4.6 billion this year — and the whisper numbers are running even higher.

This doesn't surprise Wall Street, as Sovaldi provides a faster, safer and stronger alternative to a punishing yearlong regimen of interferon. But as analysts obsessively watch the weekly prescription numbers grow, they're also eyeing data from Sovaldi's potential challengers in a market that's estimated at $20 billion a year and growing.

Bristol-Myers Squibb's (BMY) daclatasvir grabbed headlines last April when a phase two trial combining it with Sovaldi scored a 100% cure rate.

A12c_140320_345_png

But Gilead (GILD) elected not to pursue the combo further. Instead, it's studying Sovaldi in combination with its similar drug ledipasvir, so that it can co-formulate the two into a single pill and not share the market.

Bristol, however, filed in the European Union for approval of daclatasvir "for use in combination with other agents, including sofosbuvir" (the generic name for Sovaldi), and was granted accelerated review there in early January. The firm plans to submit a similar filing to the Food and Drug Administration soon.

Sovaldi Sets New Standard

In October, Bristol filed to approve a combo of daclatasvir with another of its drugs, asunaprevir, in Japan, which has an unusually high rate of hepatitis C virus (HCV) infection due to a formerly tainted blood supply.

Douglas Manion, Bristol's vice president of development, virology and Japan, says that the dual regimen scored good results, but its 24-week duration is looking like yesterday's news now that Sovaldi has set a 12-week standard. He hopes that will be resolved by a triple therapy involving daclatasvir, asunaprevir and a drug dubbed BMS-791325, co-formulated into one pill to be taken twice a day, now in phase three testing.

Ultimately, however, he does not expect a single regimen to conquer the others because not all patients are the same.

Treating Toughest Patients

"Daclatasvir has been studied with so many different drugs, it's used in all genotypes (of the hepatitis C virus) and all patient populations — especially the toughest-to-treat populations," Manion said. "These are going to be liver-transplant patients, genotype 3 patients, patients with cirrhosis, and ultimately patients with decompensation."

Decompensated cirrhosis, the worst form of liver damage that can result from HCV, usually results in liver transplant or death.

The decompensated group was one population not included in AbbVie's (ABBV) six phase three trials of its "3D" regimen combining three antiviral agents. AbbVie also stuck to the most common genotype, genotype 1. It did very well in the trials, with cure rates ranging from 90% to 100%. The company plans to file in the U.S. during the second quarter and hit the market late this year.

In one respect it will have nearly caught up with Gilead, because current FDA guidelines on Sovaldi recommend that it be used with interferon in genotype 1, unless the patient can't tolerate interferon. Gilead is banking on its sofosbuvir-ledipasvir combo to be its first official interferon-free genotype 1 treatment — also expected to launch later this year after a Feb. 10 filing.

Barry Bernstein, AbbVie's vice president of infectious disease development, touted 3D's strong safety profile and the fact that it cured upward of 92% of patients with compensated cirrhosis.

"We believe that the regimens will provide an option for any genotype 1-infected patient," Bernstein told IBD.

AbbVie, Bristol-Myers and Gilead are all expected to report final study details at the International Liver Congress, meeting in London April 9-13. Company officials are keeping mum on which studies will be presented, but abstracts will go online March 24. (Late-breaking abstracts, which appear right before the conference, often have the hottest data.)

Next-Generation Regimes

Further down the road, even more drugs are on the way.

AbbVie and partner Enanta Pharmaceuticals (ENTA) are already working on a next-generation regime that will treat more genotypes and also be simpler to take. (A common criticism of the 3D is that it's more complicated than Gilead's promised pill-a-day routine.)

Earlier this month, Merck (MRK) also reported very strong phase two results for its two-drug combo for genotype 1 patients, some of whom were co-infected with HIV. Johnson & Johnson (JNJ) last October acquired three HCV drugs from GlaxoSmithKline (GSK), which it hopes to combine with its already approved Olysio into an all-oral regimen.

Sovaldi, meanwhile, has lately been under pressure both for its $1,000-a-pill price tag and concerns about sustainability — after all, one outcome of finding a curative drug is that the patient population eventually shrinks.

Still, Morningstar analyst Damien Conover says Gilead has a first-mover advantage and such strong trial data that it likely will be the biggest player for the indefinite future.

"I think we'll have Gilead representing 50% of the hep C market," he told IBD. "AbbVie will take the lion's share of what's remaining."

Source

Early Uptake by Physicians Establishes Gilead's Sovaldi as a Defining Hepatitis C Virus Therapy in an Increasingly Competitive Market

Sovaldi-Based Regimens Will Capture More than Half of the Genotype 1 Treatment Share In the Next Six Months, According to Findings from Decision Resources Group

BURLINGTON, Mass., March 19, 2014 /PRNewswire/ -- Decision Resources Group finds that, for the treatment of hepatitis C virus (HCV) infections, regimens containing Gilead's Sovaldi account for approximately 30 percent of the patient treatment share across key genotypes at one month after launch. Regimens containing Janssen's Olysio capture less than 10 percent of the genotype 1 patient treatment share two months following its launch. Surveyed HCV specialists are also expecting to further increase their uptake of Sovaldi among their genotype 1, 2 and 3 patients, with Sovaldi regimens accounting for the majority of the patient treatment share, while the genotype 1 treatment share for Olysio is expected to be nearly 20 percent in the next six months. Additionally, survey data show that gains for Sovaldi and Olysio are at the expense of Vertex's Incivek and Merck's Victrelis – a finding underscored by interviewed specialists indicating discontinuing future use of first-generation protease inhibitors.

Other key findings from the report entitled LaunchTrends: Sovaldi and Olysio US Wave 1:

  • Sovaldi and Olysio combination: Over 10 percent of surveyed HCV specialists reported prescribing the off-label Sovaldi and Olysio combination regimen.
  • Olysio non-prescribers: Nearly 10 percent of surveyed Olysio non-prescribers do not plan to ever prescribe Olysio, while none of the surveyed specialists indicated they would not prescribe Sovaldi.
  • Patient warehousing: Surveyed specialists reported increases in both the number of HCV patients under their care and number of patients on active treatment, suggestive of de-warehousing of patients for new regimens.
  • Patient influence on uptake: HCV specialists reported recently receiving general inquires and/or prescription requests for Olysio and Sovaldi; prescribers were more likely to report receiving patient requests for the new agents as opposed to non-prescribers, suggestive of possible patient influence on uptake.

Comments from Decision Resources Group Director Brenda Perez-Cheeks, Ph.D.:

  • "Although Olysio performs well in our benchmarking analysis when compared with the launches of Incivek and Victrelis, its launch has been largely overshadowed by the market entry of Sovaldi, a drug with key advantages over Olysio. Sovaldi prevails in every key metric evaluated in this study, including frequency of sales representative contact. Olysio is going to face an uphill battle in capturing market share in the genotype 1 space. Marketing efforts and message targeting of HCV specialists is an area where Janssen will have to be competitive with Gilead in order to promote Olysio' s uptake in this key market segment."
  • "Cost is the leading prescribing barrier for both Olysio and Sovaldi. Although most surveyed prescribers did not indicate major payer obstacles, many non-prescribers reported experiencing reimbursement obstacles, suggesting that reimbursement is a barrier to prescribing. With the impending availability of several safe and highly efficacious all-oral interferon-free regimens, especially for genotype 1 infections, cost will emerge as an important differentiator, and follow-on therapies will have to offer competitive pricing to penetrate this highly dynamic space."

About Decision Resources Group
Decision Resources Group offers best-in-class, high-value information and insights on critical issues within the healthcare industry. Clients rely on this analysis and data to make informed decisions. Find out more at www.DecisionResourcesGroup.com.

All company, brand, or product names contained in this document may be trademarks or registered trademarks of their respective holders.

For more information, contact:
Decision Resources Group
Christopher Comfort
781-993-2597
ccomfort@dresourcesgroup.com

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SOURCE Decision Resources Group

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