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Biotech / Medical : MedImmune

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To: PENNY who wrote (22)3/30/1997 6:56:00 PM
From: Dr. Bob   of 416
 
Penny and all,

The shortage of RespiGam should not be a long term problem if the monoclonal antibody is effective - this can be made in much larger quantities in the new plant, presumably - but this is not a solution until the 1998-99 season, I am told by our local MedImmune rep. For the 1997-98 season, presumably, supply will be able to be increased somewhat; I am sure demand will be increased as well, so pricing can remain stable or increase a bit. Profits should be significantly higher (for this product only) because of lower costs; they spent a LOT on advertising, training, etc. this year - I haven't seen their figures, but I sure saw the rep and advertising materials a lot!

In the longer term, there IS a possible alternative, in the form of a vaccine. The problem with a vaccine is that it would probably not be effective until after the second shot, which might be at three or four months of age - and most kids who get seriously ill do so before that time. On the other hand, a significant portion of those who get ill are premies who acquire the infection after they leave the hospital, so if they could be immunized a couple times before they go....

Bottom line, as best I can guess, is that there will be a role for RespiGam or for the monoclonal antibody, if it works, for the forseeable future, but the market is not limitless, so MedImmune is wise not to kill the goose laying the golden eggs by pricing their product so high that people will look for any alternative, or use none at all. After all, they're interested in selling these same docs some of the other drugs they're developing, and they want to be seen as a idealistic, not opportunistic drug company!

Happy Easter to all!

Bob
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