On Friday, The Wall Street Journal ran an excellent analysis on how/why Merck is restructuring its research and development operations:
online.wsj.com/article/SB1000142 … 71132.html
Note that “The company has had some R&D pipeline setbacks in the past couple of years, including negative study results for heart drugs Tredaptive and vorapaxar, as well as a delay in filing for regulatory approval of a new bone-building drug, odanacatib.”
And let’s not forget Merck’s possibly carcinogenic diabetes drug Januvia, about which Paul D. Rheingold, senior partner in the law firm of Rheingold, Valet, Rheingold, McCartney & Giuffra LLP – which today announced what is believed to be the world’s first lawsuit on this front (http://www.prnewswire.com/news-releases/suit-filed-for-pancreatic-cancer-by-use-of-byetta-januvia-and-janumet-211812061.html), said:
“It appears to us that there has been over promotion and under warning by the sellers of these and other drugs in the incretin category.”
Couple that with the billions in settlement money Merck will most likely have to put for the deadly Propecia fiasco and you realize that they have no choice but to brace for a storm.