Brazil has given Abbott 10 days to lower Kaletra price or they threaten to manufacture @ $0.68 saving $54 Mil/yr. Abbott charges Brazil reduced price of $1.17 dropped from $1.60 in 2002.ABT Brazil Kaletra sales about $100 Mil/yr but Kaletra is Abbott's 3rd largest selling drug with $896 Mil world-wide sales last year. Hope Miles is good at poker,this is a Brazil bluff.
Shouldn't yield to blackmail, as it will set a bad precident. However, what's the company's recourse? Similar situation last year with BMY one of its AIDS drugs. I don't remember the country. As I recall BMY folded.
Shouldn't submit to blackmail like we did when we all got our increases held up and MW posted on the pig report for highest increase in bonus. With his 400 million plus negotiations with the FDA this shouldn't be a problem. Let the stock drop everyone take a cut in pay boost the BOD bonuses and all is well again.
Pressure like this is the main reason I don't like pharmas. Who knows where a major time bomb is located? Without question it's out there. I am not sure of the form it will take. Dems winning more power is the main concern. It's just a game in which I'd rather not participate. The best management in the world won't be able to overcome it.