It’s been a tough year for Michael and Ackerman of Pershing, the hedge fund Valeant merged with. They both lost credibility, dignity and cold hard cash. Bummer.
The man at the helm of the embattled Valeant Pharmaceuticals, CEO Michael Pearson, has a case of pneumonia so severe that he’s temporarily (or is it permanent?) stepped down to recover.
What a tough year it’s been for him.
Is Valeant most famous for:
A. Raising the price on old generics by reclassifying them as ‘orphan,’ under the “Orphan Drug Act?”
B. The scandal that ensued when their price protecting relationship with a mail order dermatology pharmacy became public?
C. The ensuing media glare.
D. The subsequent 50% devaluation of Valeant stock since August.
E. All of the Above.
If you answered “All of The Above” you get 100%, which makes you a Winner unless you happen to be on one of the generics that got classified ‘orphan’ and repriced. But if you are on Medicaid, this won’t hurt you, as the taxpayer is known for picking up the tab.
But that doesn’t mean that we shouldn’t mobilize and write letters to our senators and congress people.
Young Wonderboy Martin Shkreli, out on a 5 million dollar bond has actually become more famous at the expense of the public, who assumes he’s the only one who is doing this. The rest of Big Pharma is publicly distancing themselves from him and pointing out, “He’s not representative of Us.”
What a laugh.
Lesson of the story? Look for an upcoming blog or article in IBPF on this, (High Pricing of Low Cost Generics and what we can do about it) and (Activism Made Easy) the followup.