A Victory For Pregnant Women

A little over two weeks ago I wrote a post about drug company greed. It concerned the drug Makena, made by KV Pharmaceuticals. The FDA gave that company the exclusive right to make the drug for the next seven years, even though compounding pharmacies have been compounding the drug in their stores for a while now (calling it 17p). These pharmacies have been selling the drug, which is taken intravenously once a week during pregnancy to prevent premature births, for about $10-$20 a dose.

Once they got the exclusive right to make the drug, KV Pharmaceuticals raised the price to $1500 a dose. Then they sent a letter to the compounding pharmacies demanding that they stop making the drug. It was an incredible display of greed by a drug company. They did not invent the drug -- just made the first company-produced and pre-compounded dosage, so they had no research costs to recoup. And the pharmacies that had been compounding the drug were making a profit by selling it at $10-$20 a shot.

Now a small jump in price, to cover the cost of production and shipping, could be understood. But a jump in price from $10 to $1500 a dose was absurd and could only be accounted for by corporate greed. They were going to take advantage of having the only FDA-approved source of the drug to gouge the public (that is, anyone who pays taxes or buys heal insurance). This is the kind of thing that drives insurance costs up -- whether its Medicaid or private insurance. And they could get their outrageous price because they were basically holding hostage the pregnant women in danger of having a premature birth.

But the drug company didn't count on one thing -- public outrage. A few news agencies and some blogs like this one joined with doctors in publicizing the price gouging. And it worked. The FDA has now said that the pharmacies that had been compounding the drug could continue to do so -- as long as the product they produce is safe. And they can continue to sell it at the old price.

The FDA now says it will not take any action against any pharmacies that compound the drug (as the drug company letter had threatened they would). This is the proper decision. This is not an example of a drug company inventing a drug and pharmacies trying to copy it. The pharmacies were already making the drug before the drug company put out its version.

The company, KV Pharmaceuticals, is also saying they will provide assistance for women who meet certain guidelines and are "exploring additional ways to help provide affordable access for all patients who are prescribed Makena." I have a suggestion for them. Just lower your stinking price to a reasonable level!

Thank goodness the good guys finally won one.