Rare Disease Day: FDA to Offer Orphan Drug Development Workshop

A rare or orphan disease is defined in the US as one that affects fewer than 200,000 at any given time. It is estimated that there are 6000 to 8000 rare diseases in the world today. Because the number of patients afflicted with orphan diseases is so small, drug companies have historically been reluctant to invest money to discover and develop new treatments for them. The dearth of treatments for rare diseases induced Congress to pass the Orphan Drug Act in 1983 which provided market exclusivity, tax breaks and incentives and regulatory help for companies to development new drugs for orphan disease indications.

While many current blockbuster drugs including recombinant human insulin, growth hormone and erythropoietin originally garnered regulatory approval after receiving orphan status in the late 1980s, most big pharma and biotechnology companies (except Genzyme) largely abandoned orphan drug development until recently. The renewed interest in orphan drug development has been primarily driven by the demise of big pharma’s blockbuster business model that began in the early 2000s. The search for new, non-blockbuster drugs and fresh markets is what induced Pfizer, the world’s largest pharmaceutical company, to recently inked a multimillion dollar deal with Protalix Biotherapeutics, a small biopharmaceutical company developing a new treatment for Gaucher disease—an orphan indication.

Because of renewed interest and the ever increasing need for new orphan drugs, the FDA’s Office of Orphan Products Development is offering an Orphan Drug Designation Workshop that will provide a unique opportunity for all potential drug sponsors—including biotechnology companies, pharmaceutical firms and academic institutions—to learn about the application process for orphan drug designation.

The National Organization for Rare Disorders (NORD) is a co-sponsor of the workshops, which will take place on February 25-26 at Keck Graduate Institute and August 3-4 at the University of Minnesota.

Participants are encouraged to bring specific product proposals for at least one candidate orphan drug that holds promise for the treatment of a rare disease. A significant portion of the workshop will be dedicated to preparing applications, including one-on-one guidance sessions with FDA staff members. FDA will keep product and disease information confidential.

Final applications can be submitted to the FDA at the close of each workshop. For information or to register:

FDA Workshop Brochure
Registration for the February Workshop

Finally, February 28th is Rare Disease Day. The event is sponsored by the EURODIS a European advocacy group that promotes awareness and research for rare diseases. NORD and Discovery Health are also sponsoring the day.

Until next time....

Good Luck and Good Job Hunting!!!!!!!!!

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The Job Search: How to Stand Out in the Crowd

It goes without saying that the competition for jobs in the life sciences industry is extremely fierce. This means that job candidates must use whatever means possible to differentiate themselves from the hundreds, perhaps thousands, of others applying for the same job!

While I have written numerous posts on how job candidates can stand out from their peers, I discovered an insightful article that summarizes my advice in a single post. Like I said, there are no revelations here; just a convenient way to jog your memory as the job search slogs on!

Click here to read the post.

Until next time...

Good Luck and Good Job Hunting!!!!!!! 

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Top 50 Healthcare and Medical IT Blogs

Healthcare informatics (HCI) is one of the fastest growing professions in the US. This is because the Obama administration has allocated billions of stimulus dollars to create electronic healthcare records (EHR) in an attempt to reduce healthcare costs. To qualify for EHR stimulus monies organizations must develop a plan and then take steps to implement it! Not surprisingly, because of the short ramp up phase for EHR, the number of available jobs far outstrips the numbers of qualified and skilled employees to fill them.

The acute shortage of qualified HCI employees resulted in a cover story in the December 2009 issue of Health Informatics entitled “Got People?” It is a great read and provides insights into the types of employees that HCI companies are looking to hire.  The EHR Initiative will likely create over 500,000 new jobs in the next few years. For those of you, who may be interested in pursuing a career in HCI, check out this list of the top 100 HCI companies to work for.

While there is a growing need for qualified persons to work in HIT, the field resembles a rapidly moving target with emphasis on different aspects shifting almost daily. To that end, it is extremely important to stay abreast of this rapidly changing industry. There is no shortage of bloggers in the HIT space and the Health Sensei over at the Health Sense Blog recently compiled a list of the top 50 HIT blogs that are worth following to stay abreast of the field. As an added benefit, the list is broken down into individual specialties within HIT.

Those of you who are already working in the field or considering HIT as a career choice ought to check out the list!

Until next time...

Good Luck and Good Job Hunting!!!!

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One-Hundred Year Old Scotch Whisky Found in Antarctica

I was introduced to single malt Scotch whisky about six years ago after my in-laws returned from a distillery tour of Scotland. Never a scotch drinker, after sampling a variety of brands, I decided that Islay single malts, most notably Lagavulin and Caol Ila, were my favorites. Over the past few years, several of my friends and I have been searching for the ultimate single malt.I thought that the Macallan 30 year old that my father-in-law received for his 90th birthday was pretty special.

Imagine my surprise after learning that a team of New Zealand scientists recovered five crates of 100 year old Mackinlay’s whisky from the ice below an Antarctic hut once used by the famed polar explorer Ernest Shackleton. While Mackinlay is a blend whisky and not a single malt, its age alone is extraordinary and impressive! Although some of the bottles had cracked because of the ice, the team who found them - restorers working on the hut - said they were sure the crates contained intact bottles "given liquid can be heard when the crates are moved".

Whyte & Mackay, which owns the McKinlay brand and supplied the whisky for Shackleton, launched the bid to recover the bottles for samples to test and decide whether to relaunch the defunct spirit. The drinks group's master blender Richard Paterson described the find as "a gift from the heavens for whisky lovers". He added,

"If the contents can be confirmed, safely extracted and analyzed, the original blend may be able to be replicated"

"Given the original recipe no longer exists, this may open a door into history."

Shackleton's expedition ran short of supplies on its long ski trek to the South Pole from the northern Antarctic coast in 1907-1909 and turned back about 100 miles short of its goal.

His loss—our gain!

 

Glaxo Continues to Remain Tight-lipped About Looming Job Cuts

Many people, most notably GlaxoSmithKline employees, assumed that GSK management would disclose at its earning call yesterday how many people would lose their jobs in the company’s next round of job cuts announced earlier this week. Surprisingly, management decided not to announce the breadth and depth of layoffs ostensibly increasing the drama and anxiety of its employees about the cuts.

Management’s decision not to disclose the number of employees who would lose their jobs after publicly announced that it would cut up to 4,000 jobs means one of two things according to Jim Edwards of the BNET blog.

“Either that GSK itself has not finished calculating it; or that management believes there’s some sort of PR advantage to not actually saying out loud what everyone already knows.”  

Based on public statements made by GSK spokespeople, Edwards has identified several vulnerable areas where jobs are likely to be cut. These include R&D across the board and one therapeutic area, neuroscience. According to bloggers and insiders who leaked information to the public, the asthma drug Advair may be at risk, as well as metabolic disease product development and sales representatives. Also, there will be reporting structure changes and less emphasis will be place on new product launches in the US. The recent decision to not seek US regulatory approval for GSK’s new, pneumococcal vaccine Synflorix, despite garnering EU approval tends to substantiate this idea.

Elimination of neuroscience as a therapeutic area of interest for GSK was clearly enunciated when the company mentioned during the earnings call

 “Today, we have announced proposals to cease discovery research in selected neuroscience areas, including depression and pain.”

Today, GSK announced that it would close a research center in Verona Italy that specializes in neuroscience research. Approximately 500 workers will lose their jobs after the facility is closed. Unions representing the Italian workers also disclosed in an e-mail message that six facilities worldwide besides Verona will also be closed by GSK.

Less obvious, but clearly written between the lines was the statement made about R&D.

"We have ‘externalised’ approximately 30% of GSK’s discovery research. We are already conducting discovery research with 47 external partners. Our goal is to further increase the level of externally sourced compounds in our pipeline …"

"… We are also looking to reduce R&D infrastructure costs."

Perhaps what may be most troubling to GSK employees who ultimately lose their jobs is the $900 million or more spent on legal fees over the past year. GSK didn’t disclose why the company had incurred such enormous legal bills.

The recent spate of layouts doesn’t mean that any big pharma companies are in financial trouble. As previously mentioned, most of the layoffs are based on future economic predictions and projections which may or may not be realized. Companies are cutting staff and implementing cost savings measures simply to bolster their stock prices and give investors their expected ROI. The economic downturn has provided pharma companies with excellent cover to downsize at will without anybody asking any tough questions. While I feel the pain of workers who have either lost or soon will lose their jobs, the downsizing taking place over the past three years has been a long time in the making. I suspect that many well paid veteran employees turned a blind eye to the internal changes and cues that may have signaled their ultimate demise. 

While downsizing will likely have its anticipated short term effects i.e. bolster flagging stock share prices, it will ultimately hurt the future economic prospects of most big pharma companies. This is because pharma companies will lose many of the talented and experienced workers whose previous hard work and sacrifices contributed to their past successes.  When are the overpaid pharma executives going to realize that it is the rank and file, not them that bring creativity, innovation and ultimately financial rewards to their stakeholders?

Until next time...

Good Luck and Good Job Hunting!!!!!!!!!

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Bristol Myers Squibb: Downsizing With a Twist

The past couple of weeks have been awful for employees at AstraZeneca and GlaxoSmithKline after both companies announced massive worldwide layoffs. Interestingly, the downsizing that has taken place at Bristol-Myers Squibb (BMS) in recent years has escaped notice; mainly because media attention has been focused on the sale of two of its non-pharmaceutical divisions, Convatec and Mead Johnson. The sale of these two divisions brought in roughly $8.0 billion giving BMS one of the largest cash reserves among major pharmaceutical companies. 

BMS announced two years ago that is would cut its global work force by 10 percent by 2011. Layoffs and cost cutting measures at BMS have been mainly driven by the impending patent expiry of the blockbuster anti-clotting agent Plavix and several other drugs. Plavix reportedly accounts for a disproportionate amount of the company’s annual sale revenues. Despite its new found largess, the company continues to eliminate jobs and shed employees. To make matters worse, BMS confirmed today (as reported on both Pharmalot and the WSJ Health Blog) that it will eliminate pay raises in 2010 for the people who still have jobs at the company. Luckily, bonuses were not eliminated. But as most people who work at big companies will tell you, bonuses are not guaranteed and discretionary. Check out the 2008 total compensation packages (salary, stock options, stock awards, pension etc).

2008 Total Compensation for BMS Executives
Name Title Compensation ($)
James Cornelius CEO/Chairman of the Board 25,037,768
Anthony Hooper Pharmaceutical Division President 6,047,495
Elliot Sigal Divisional President/CSO/Executive VP 9,643,489
Lamberto Anderottis COO/Executive VP 10,755,297

While I don’t profess to have the credentials to be the CEO of a major pharmaceutical company, it doesn’t make sense to me to freeze the salaries of employees who are already overly anxious about whether or not they will have jobs when the next round of layoffs take place. Isn’t morale already bad enough?  Does management think employees will be at the top of their games and willing to work hard if they are constantly worrying whether or not tomorrow may be their last day of work?  Of course, naysayers will say that BMS employees should suck it up because they at least have jobs. However, I contend that management ought to invest a portion of the $8.0 billion in its employees rather then use it to buy several more companies to convince Wall Street analysts that BMS is truly a “next generation biopharmaceutical company.”  After all, employees are any company’s most valuable asset!

Until next time....

Good Luck and Good Job Hunting!!!!!!!!!

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Cruel and Unusual Punishment: "Debarking" Your Dog

There was a very disturbing article on the front page of today’s New York Time about an increasingly popular practice of debarking dogs by people who live in urban areas like New York City. Debarking is accomplished by severing a dog’s vocal cords. The practice may be more widespread than reported because of nuisance pet policies imposed on apartment owners by co-op boards in the city. According to the article, the surgery usually leaves the animal with something between a wheeze and a squeak in lieu of a bark.               

While I am not a card carrying animal rights activist and find excessive barking annoy, I am a dog owner and a biologist who strongly believes in evolution. And, as far as I am concerned, if dogs weren’t meant to bark they wouldn’t! Taking away a dog’s only means of verbal communication (one of my dogs “whines” when she needs to go out and the doggy door is shut) is, in my opinion, detrimental to a dog’s physical and behavioral well being. As one animal behaviorist said in the article:

“Dogs are usually barking because of some frustration. It’s frustrating to be a sheepdog with no sheep. What I’d be concerned about is, if you are debarking a dog and it has an underlying happiness.”

Proponents of the procedure say that it is a harmless procedure and dogs that have been debarked don’t act any differently than they did before the operation. Luckily, many younger veterinarians have deemed that the surgery unnecessary and unethical and refuse to perform it.

My first experience with debarking was after I inadvertently purchased my two dogs from the daughter of a notorious and nefarious New Jersey-based puppy mill breeder. I learned that it is not uncommon among puppy mill owners, to silence their dogs to prevent detection by authorities by shoving metal rebar down their throats. The repeated assaults on a dog’s vocal cords caused scarring and sometimes rupture which, in turn, renders the animal unable to bark. Imagine my outrage when I read that some veterinarians knowingly and willingly perform this surgery because pet owners requested that it be done!

I think the practice of debarking is repugnant, reprehensible and not justified in any circumstances. If your dark has a barking problem, hire an animal behaviorist or call Cesar Milan, aka the Dog Whisperer. It is likely there is an underlying behavioral problem or cause of the problem that can be fixed by behavior modification or pharmacological interventions. Debarking surgery is a convenient and facile solution for pet owners who say they love their dogs but are unwilling to spend the time and effort required to solve the problems. 

In conclusion, if dogs weren’t meant to bark then they would not have when they first appeared on the planet!!!

Until next time...

Good Luck and Don't Forget to Hug Your Puppy Today!!!!

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Job Cut Update: GlaxoSmithKline Mum on Number of US Jobs that will be Lost

Despite the announcement late last week in the London Sunday Times that GlaxoSmithKline (GSK) will eliminate 4000 jobs worldwide, company official are refusing to disclose the number of worker who will lose their jobs in the US. Cuts are expected throughout the US including GSK’s R&D facilities in the Philadelphia, PA area and at its US headquarters in Research Triangle Park, NC which employs roughly 5,000 people.

GSK officials typically refuse to share detailed information on how layoffs affect its Triangle work force. Nearly a year ago, the company cut an undisclosed number of workers at a customer response center in RTP. GSK announced a first cost-cutting initiative in October 2007, eliminating thousands of jobs worldwide, and then it expanded that effort in February 2009 with many hundreds losing jobs at it North Carolina facilities in RTP and nearby Zebulon.

This coming Thursday is expected to be pink slip day at GSK.

Until next time....

Good Luck and Good Job Hunting (forget RTP)!!!!!!!

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Why Generic Drug Companies Will Dominate Future Pharmaceutical Markets

The loss of over 200,000 pharmaceutical jobs over the past three years has been mainly driven by the anticipated loss of revenue from blockbuster drugs that will lose patent protection by 2013. While drug makers frequently cite blockbuster patent expiry as the reason for the need to downsize, they rarely provide the business and economic metrics, numbers and statistics that have influenced their decisions. 

Patricia Van Arnum, Senior Editor of Pharmaceutical Technology wrote a fascinating article in this month’s issue of Pharmaceutical Technology Europe that skillfully outlined the economic forces that are driving branded pharmaceutical companies to downsize and reorganize. According to the article, in October 2009 the pharmaceutical intelligence firm IMS estimated that the global pharmaceutical market is expected to growth 4-6% in 2010 and reach $825 billion. Market growth at an annual rate of 4-7% is expected to continue through 2013 and the size of global pharmaceutical market is projected to exceed $975 billion. The US pharmaceutical market, the largest in the world, is expected to drive much of this growth. However, the growth of the American market is only expected to be 3.5% in 2010. In market contrast, China’s pharmaceutical market is expected to increase by a staggering 20% per year and contribute 21% to the overall growth of the global pharmaceutical market by 2013. 

While prospects for the US market are better than originally anticipated, the loss of nearly $137 billion in revenues in 2013— because of patent expiry of blockbuster products—coupled with fewer new drug approvals are the factors that will limit the growth of the global pharmaceutical market to single digits through 2013 and likely beyond. Some of the drugs slated to lose patent protection by 2013 include Lipitor (atorvastatin) by Pfizer, Plavix (clopidogrel) by Sanofi-Aventis and Bristol-Myers Squibb and Seretide/Advair (salmeterol and fluticasone) by GlaxoSmithKline. Lipitor, Plavix and Seretide were the number one-, two- and foruth best-selling drugs in 2008 with global sales of $13.7 billion, $8.6 billion and $7.7 billion respectively.

The increasing growth of the generic pharmaceutical industry is best reflected in the concomitant growth of merchant active pharmaceutical ingredient (API) manufacturing industry. In the API world, there are two types of manufacturers; the so-called captive API producers or companies that exclusively manufacture APIs for finished, branded products and merchant manufacturers which are third party providers of APIs. Over the past four years or so, the growth of the merchant API market for generic products has substantially outpaced the growth of the API for innovator products. For example, from 2004-2008 the merchant market for generics grew at an average annual rate of 9.1% from $12 billion in 2004 to $17 billion in 2008 according to a recent report by the Chemical Pharmaceutical Association (CPA). In contrast, the CPA determined that the merchant market for innovator/branded APIs only increased at an average annual rate of 4.4% from $16 billion in 2004 to $19 billion in 2008. Looking ahead, the worldwide market for merchant APIs is projected to grow at an average annual growth rate of 6.8% through 2013 to about $50 billion. During this period, growth of innovator APIs is expected to be about 1.8% whereas the growth of generic API is expected to be a robust 11.4%.

The US is currently the largest market for generic APIs and consumed roughly 22.9% of the total global demand for generic APIs in 2008. China, which is the second largest consumer of generic APIs, consumed 19.2%. While the US is expected to remain the largest consumer of both innovator and generic APIs, China is projected to become the largest consumer of generic APIs in 2013 capturing a 26% share of the total generic API market (the US will be number 2 with 20.5% market share).

According to industry analysts, China, India, Latin America and Central and Eastern Europe (most notably Russia), represent attractive growth opportunities for generic APIs. India and China now account for roughly 25% of the global generic market and demand in these countries is expected to remain strong for the foreseeable future as the middle class continues to emerge. To that end, China is projected to have the highest average annual growth rate at 18.4% and India’s market will grow by 14% through 2013. Similar growth is expected for the Eastern European, Russian and Brazilian generic API markets.

While the economic size of emerging generic markets is still small compared with those of the US, Western Europe and Japan, it signals that generic drugs will likely drive the future growth of the pharmaceutical industry. The lack of innovation and rising costs of branded, prescription drugs in developed nations is the main driving force behind the rapid emergence of the generic drug industry. That said, is it any wonder why Pfizer is thinking about entering the generic pharmaceutical business and that Western drug companies are shedding scientists and sales people in the US and Europe and growing the sizes of their R&D and sales force staffs in Asia, Eastern Europe and Latin America? Honestly, if I had any money left to invest, I would seriously be considering traded generic pharmaceutical manufacturers—their future success is almost guaranteed!

Until next time...

Good Luck and Good Job Hunting!!!!!!!

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The Carnage Continues: GlaxoSmithKline to Slash an Additional 4,000 Jobs

GlaxoSmithKline (GSK) Britain’s largest pharmaceutical company today announced it plans on slashing 4,000 jobs over the coming months. The bulk of the cuts will be in America and Europe, and are part of the company’s efforts to shift resources away from low-growth territories into parts of the world with greater scope to expand sales, most notably Asia. GSK’s currently employs 99,000 workers worldwide. The reduction in headcount will be combined with a drive to make the company’s research and development more cost-efficient. 

While the job losses will not be as severe as those announced last week by its rival Astra Zeneca, they will provide further depressing news for a sector that is fighting to contain costs as it reduces its reliance on big-selling blockbuster drugs, many of whose patents will expire in the next two to three years.

The pipeline of new drugs at GSK is much deeper than at many of its rivals, say industry analysts. The company’s roster of planned launches includes Menhibrix, a vaccine to combat meningitis, and Benlysta (belimumab), a novel, monoclonal antibody treatment for systemic lupus erythematosus that it is co-developing with Maryland-based, Human Genome Sciences. In total, the group has more than 30 products in the advanced stages of development and testing.

While GSK continues to develop new drugs, it has increasingly been turning to emerging markets to find and sustain corporate growth. This has meant that thousands of jobs have already been sacrificed in the West, although the company is adding staff elsewhere. For example, it recently cut 2,000 sales jobs in America but added 1,500 staff in China. Also, GSK’s vaccine division has suffered a few regulatory setbacks with its pneumococcal vaccine Synflorix and its cervical cancer vaccine Cervarix. The loss of market share in these areas has put additional financial pressure on the company.

Like many of its competitors, GSK is looking to other divisions of the company to cover projected losses in the pharmaceutical sector. Recently, GSK has shifted a lot of its attention to its consumer products division, which owns brands such as Lucozade and Ribena soft drinks, Aquafresh and Sensodyne toothpaste, and over-the-counter medicines such as Panadol painkillers and Alli, a weight-loss pill. Analysts predict the division will have raised its annual sales 18% to £4.7 billion. A deal signed last year to increase sales of Lucozade in China has provided the blueprint for how the company would like to develop the consumer healthcare side of its business.

Similarly, last week, Sanofi-Aventis, a French rival, announced a joint venture with Minsheng Pharmaceutical Group, a Chinese company, to sell vitamin pills and nutritional supplements. Also, Pfizer recently announced it would bid for the possibility of purchasing the financially-troubled German generics manufacturer Ratiopharm; signaling the possibility that the world's largest branded pharmaceutical manager may be toying with the idea of getting into the generics business.

Late last year I predicted that more pharmaceutical company employees would loss their jobs. Sadly, this prediction has come true. That said, I am surprised at the scope and size of the layoffs that have already taken place in 2010. I suspect that more layoffs are likely in the near future if the economy doesn’t turn around anytime soon.

Hat tip to Ed at the Pharmalot blog!

Until next time...

Good Luck and Good Job Hunting (try medical devices or biotech)!!!!!!!!

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