Modern Healthcare

Yeah, and what happens when the kid wants his ding dongs back?

 

Nothing that elective.

 

Mylan announced they are going to offer a generic epipen at half price.

 

I still don't understand why this thing costs $600 and the "generic" will cost only $300. It is a dollar worth of medicine in a $2 plastic syringe. I understand covering other costs, etc. But why on this one product?

The whole thing just smells incredibly fishy to me, and I am not sure I can be convinced otherwise.

 

I don't think that's the pricing and certainly doesn't cover RnD, which was egregiously expensive, no doubt.

 

The EpiPen has been around for 40 years, and only recently skyrocketed in costs. I don't think this is an RnD issue with the EpiPen.

 

I'd say it's high because you generally sell only one package to each individual every two to three years

 

They expire after a year. You think the average person stretches that?

 

Once a year, if you are honoring the expiration date.

 

Meh. Every change to the delivery and the formulation requires a brutal FDA process.

 

And that I can understand. But the spike is odd, don't you think? They were charging a certain amount for decades, then the rights to the brand were sold to Mylan in 2007 and suddenly the prices start going up and up and up.

I am sure it is a systemic issue, and not just Mylan. But it is very ugly looking, to me.

 

Well there you go. Obama did it.

 

Mylan's exec board has a stock kicker that hits if they get their earnings per share up to a certain amount by March 2018, I believe. It'd net the board a couple million, but that'd be one hell of a long play, since they started raising the price so long ago.

 

It was undoubtedly a part of the purchase analysis.

 

Prices of yachts and Leer jets aren't what they were 10 years ago. Paying for politicians isn't cheap either.

 

not to far off. apparently mylan gets 50% of the purchase price while 5 years ago it was 90%.

 

The CEO said something about trying to get a % from insurance increasing price? I think?

 

A vial of epinephrine and a 1cc syringe is $10. It's a sub-Q injection. Not as convenient but a hell of a lot cheaper.

 

I don't think I would want to have to pull out a syringe, draw 1cc of epinephrine, remove the air from the syringe, and then inject if I am having an attack.

Unless you can pre-load the syringe, but I would think that would not be possible, hence the invention of the EpiPen in the first place. And I think this shows that the EpiPen has no business costing $600.

 

It's only a subcutaneous injection so there is really no worry about flicking air bubbles out of the syringe. Air bubbles really don't cause any issue in the fatty layer underneath the skin where the epinephrine is administered but I see your point.