Hard.One@ncar.UCAR.EDU (Hard One) (09/19/89)
Does anyone know the actual cost of manufacturing AZT now? Since the drug had
already been FDA approved, I can not understand the outrageous price being
charged for the drug. I have heard that the actual cost is five cents per
dose. Can someone supply the correct figure and a published source if
possible.
--
Uucp: ...{gatech,ames,rutgers}!ncar!noao!asuvax!stjhmc!280!14!Hard.One
Internet: Hard.One@f14.n280.z1.fidonet.orgphil@wubios.WUstl.EDU (J. Philip Miller) (09/20/89)
In article <27222@shemp.CS.UCLA.EDU> asuvax!stjhmc!f14.n280.z1.fidonet.org!Hard.One@ncar.UCAR.EDU (Hard One) writes: >Does anyone know the actual cost of manufacturing AZT now? Since the drug had >already been FDA approved, I can not understand the outrageous price being >charged for the drug. I have heard that the actual cost is five cents per >dose. Can someone supply the correct figure and a published source if >possible. > In the last several days Burrows Welcome has announced a 20% reduction in the wholesale cost of AZT. Specifically mentioned in several of the news accounts of this was the fact that the manufacturing costs were NOT public information. In general the R&D costs and the marketing costs dominate the selling price rather than the manufacturing costs. -phil -- J. Philip Miller, Professor, Division of Biostatistics, Box 8067 Washington University Medical School, St. Louis MO 63110 phil@wubios.WUstl.edu - Internet (314) 362-3617 phil@wubios.wustl - bitnet uunet!wucs1!wubios!phil - UUCP C90562JM@WUVMD - alternate bitnet
Wounded.Bird@f38.n135.z1.fidonet.org (Wounded Bird) (10/02/89)
> In the last several days Burrows Welcome has announced a > 20% reduction in the > wholesale cost of AZT. Could it be true that the reason they reduced the price is that AZT is losing its effectiveness?? That's one thing I heard.. Kenny, prior to the recent release of the Azt efficacy study , the doseage for AZT was begun at 200mg every 4 hours diminishing to 100mg every 6 hours as blood tests indicated anemia and liver function tests became abnormal. At the initial rate (200mg every 4 hours) you go thru 96 pills every 8 days or roughly 370 a month. I only bought them once at K-Mart and they were $174.50 for 100. That's almost $700 a month. My insurance covers it but I couldn't afford to lay out the $700 constantly waiting for reimbursement. My insurance company is now paying directly to a pharmacy so I do not know what their cost is now. The NIH has taken alot of heat (justifiably in my opinion) for allowing a drug company to charge an exhorbitant price for a drug whose development was paid for by the taxpayers years ago. They are now including a reasonable cost clause in future contracts for sole distributorship. Since the latest AZT study recommends that those who test positive for HIV but show no symptoms also take AZT, it is assumed that the FDA will soon give it's approval for AZT in these cases. When that happens the market for AZT becomes enormous and a 20% wholesale price reduction becomes meaningless compared to the potential profits and PR from the cut. DDI may in the future be a competitor to AZT but at the present time the ONLY way you can get it is through the compassionate use program AND you MUST NOT be able to take AZT. So it would appear that AZT has no competition at this time. My intuition tells me not to be surprised if the FDA and the drug companies work together to keep up the profit margins. -- Uucp: ...{gatech,ames,rutgers}!ncar!noao!asuvax!stjhmc!135!38!Wounded.Bird Internet: Wounded.Bird@f38.n135.z1.fidonet.org