Navigation Links
Dramatic Price Increases in Brand Name Drugs Spur Shareholders to Action

NEW YORK, April 27, 2011 /PRNewswire-USNewswire/ -- As the skyrocketing costs of brand name drugs leave millions of Americans skipping doses or abandoning their prescriptions, investors representing 14 faith and health care organizations are petitioning the nation's top pharmaceutical companies to re-examine pricing for commonly used drugs like Lipitor, Plavix and Celebrex in an effort to make them more affordable.

The group is citing several benchmarking reports including one from the General Accountability Office this past February that found branded drugs consistently outpacing generics relative to inflation (6.3% vs. 3.8%). ICCR members are asking management for pricing that hews closer to the consumer price index, a strategy they believe is a more accurate reflection of value and a more sustainable policy over the long term.

The Centers for Medicare and Medicaid Services projects that U.S. prescription drug spending will grow 93% during 2008-2018, exceeding all major categories of health expenditures. AARP reports that the branded prescriptions most widely used by Medicare patients increased 9.7%, far exceeding the cost for other consumer goods in the last 12 months: prices for generics during the same time period fell. A November 2010 report from Deloitte Consulting concluded that the issue will intensify, and that current pricing practices are not sustainable.

"The evidence from all the studies is clear," said Ed Gerardo, director, Community Commitment and Social Investments of Bon Secours Health System, Inc. "Measures must be taken to control costs and bring transparency into the drug pricing equation."

Resolutions are on the ballots at the nation's top pharmaceutical companies including Johnson and Johnson, Abbott, Bristol-Myers Squibb and Pfizer, requesting that management utilize a combination of approaches to keep drug prices at reasonable levels.

ICCR members have been in dialogue with pharmaceutical companies for decades on issues of access and affordability.

Cathy Rowan, consultant to Trinity Health, said, "Many of us represent health care systems with missions to enhance the health of the communities they serve.  We would like to see the pharmaceutical companies in which we invest have access to medicines at the heart of their business strategies."

"This isn't about charity or foregoing a profit," said Laura Berry, Executive Director of ICCR. "Our members expect that the companies they invest in espouse policies, pricing and otherwise, that promote both justice and sustainability while enhancing shareholder value. The absence of clear and reasonable pricing policies is neither just for consumers nor sustainable as a business practice."

Barbara Aires, coordinator, Corporate Responsibility, the Sisters of Charity of St Elizabeth, said, "It's hard to justify these increases in this economy. More and more, people have to choose between buying groceries and picking up their prescriptions and when people can't afford to take their medicines they get sick, straining an already fragile health care system. Our company needs a rational pricing policy that keeps branded products affordable and accessible to consumers yet will remain competitive to generics when patents expire."

Susana McDermott
Director of Communications, ICCR

About the Interfaith Center on Corporate Responsibility (

Currently celebrating its 40th year, ICCR is the pioneer coalition of active shareholders who view the management of their investments as a catalyst for change.  Its 300 member organizations with over $100 billion in AUM have an enduring record of corporate engagement that has demonstrated influence on policies promoting justice and sustainability in the world.

SOURCE Interfaith Center on Corporate Responsibility
Copyright©2010 PR Newswire.
All rights reserved

Related medicine technology :

1. PNH Patients Treated with Soliris(TM) Experienced Dramatic Reduction in Blood Clots During Clinical Trials
2. Emisphere Announces Second Study Demonstrating Dramatic Increases in Absorption of Oral B12 Using eligen(R) Technology at Lower Doses
3. Carpet One Floor & Home Continues Making Dramatic Strides in Funding Breast Cancer Research and Awareness
4. Emisphere Presents Dramatic Clinical Evidence Demonstrating New Approach to Vitamin B12 Supplementation
5. NJ-Based Surgeon Helps Pioneer Dramatic Advance in Treating Damaged Discs
6. New CyberKnife Technologies Demonstrate Dramatic Reduction in Treatment Times
7. Resveratrol Longevity Science Makes Dramatic U-Turn, But Resveratrol Supplements Remain Unchanged
8. CRESTOR Demonstrates Dramatic CV Risk Reduction in a Large Statin Outcomes Study
9. Dramatic JUPITER Findings Fail to Sway Prescribing Behavior, Poll Shows
10. Tevas Azilect Use Dramatically Increases in Second-Line Therapy for the Treatment of Parkinsons Disease
11. FDA Warning Letters Caused Dramatic Decline in Sponsored Link Exposures, According to comScore
Post Your Comments:
(Date:10/13/2015)... 2015  Asterias Biotherapeutics, Inc. (NYSE MKT: AST), ... Therapy Catapult to advance development of large scale ... immunotherapy. Under the agreement, the Cell Therapy Catapult ... to support advanced clinical trials and eventual commercialization ... --> The Cell Therapy Catapult is a ...
(Date:10/12/2015)... -- Former White House Spokesman, and Drug Czar Public Affair Director, ... Robert Weiner , and Policy Analyst Daniel Sordello ... this is now a potential bipartisan campaign and debate issue ... Carly Fiorina to Rand Paul and ... they call "a shocker: 23 million need but do not ...
(Date:10/12/2015)... Ga. , Oct. 12, 2015  MiMedx Group, ... company utilizing human amniotic tissue and patent-protected processes to ... Wound Care, Surgical, Orthopedic, Spine, Sports Medicine, Ophthalmic, and ... revenue results for the third quarter of 2015, its ... the Company has secured a $50 million Senior Secured ...
Breaking Medicine Technology:
(Date:10/13/2015)... ... ... In an age where the cost of energy is rising, Susquehanna ... in 2009. The Williamsport Regional Medical Center (WRMC) campus has grown 50 percent since ... , According to Facilities Management Administrative Director Dieter Reichmann, this is the result ...
(Date:10/13/2015)... ... October 13, 2015 , ... NavaFit Inc. today announced the ... others to train with, participate in local fitness & sporting events, and stay ... , “As high medical costs drive us to get more serious about fitness and ...
(Date:10/13/2015)... ... October 13, 2015 , ... Altec Products, Inc., ... Sponsorship of Synergy 2015. The annual WennSoft KEY2ACT user conference will take place ... will unite customers, partners, WennSoft team members and sponsors to facilitate the sharing ...
(Date:10/13/2015)... ... October 13, 2015 , ... Georgia Partnership for TeleHealth ... throughout Georgia, along with affiliate organizations, Alabama Partnership for Telehalth (ATP) and Florida ... for Fall 2015. , Each of the three conferences share this year’s ...
(Date:10/13/2015)... ... October 13, 2015 , ... Local Gold’s Gym franchise owner, Bryce Berry, ... August 26. Berry, who owns and operates Gold's Gym Cheyenne in Cheyenne, ... Gyms in the United States. A brand leader in global fitness, Gold’s Gyms are ...
Breaking Medicine News(10 mins):