They bought an out-of-patent drug (Sodium Seconal) which is used in physician assisted suicide - and after the California government passed laws to make the above legal they jacked the price up to $3000.
The Skeptic goes one step further - and points out consistent with Valeant's business model there is a copay coupon so that you, dear patient, are not out of pocket, whilst your insurance provider takes the hit.
So, if you want to die with dignity there is a coupon for that:
9 comments:
I like that, unlike the drug's users, the coupon "never expires"!
Dying is a difficult matter. Should not be attempted by amateurs under any circumstances...
On the other hand, this product is rarely used for termination of life but rather as a pre-surgical sedative. Go ask your anesthetist what their fee is the next time you go under. MANY times the cost of secobarbital.
Ciao
This is almost a philosophical question, but at what point does Valeant become a contrarian value stock? It's already pretty much universally hated now. But one suspects there's still another shoe (or few) to drop when/if criminal charges are filed over their Philador debacle and another leg down for the stock. Will that mark a bottom? How far is down?
Time will reveal all.
Dent: the bottom is, unfortunately, zero. If the bear case is correct, VRX is encumbered by too much debt and the equity will be wiped out in Chapter 11 proceedings.
Suspect the insurance companies will be very happy to pay $3000 one off, compared to what they would be up for in palliative care bills!
But agree that this is blatant abuse of market power....amazing it can happen in a free market economy like USA....
But being out of patent won't the price hike tempt a manufacturer to whip out a generic competitor? I guess the separation of the decision-maker from the payer (the insurer) means the market disciplines don't apply.
Markets in everything, seen on marginal revolution blog
http://www.yakimaherald.com/news/death-with-dignity-doctors-thwart-drugmaker-s-price-hike-with/article_cd4abc24-f962-11e5-b1b2-8b4df867a1d9.html
Coupon states:
Never Expires... almost laughing out loud, for a product that will help you expire.
VRX may expire before the coupon as well.
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