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Drug Industry Group Threatens to Withdraw Support: http://prescriptions.blogs.nytimes.com/2010/01/15/drug-industry-group-threatens-to-withdraw-support/ New York Times - 1/15/2010
Drug, Biotech Research Spending Hangs Tough: http://www.businessweek.com/bwdaily/dnflash/content/aug2009/db20090827_362578.htm Business Week - 08/27/09
Biotech sees huge growth: http://news.bostonherald.com/jobfind/news/technology/view/20090827biotechs_see_huge_growth/srvc=home&position=also Boston Herald - 08/27/09
California Pharmacies Sue to Block Pfizer¡¦s Purchase of Wyeth: http://www.bloomberg.com/apps/news?pid=20601087&sid=a6_OPmE_owuc Bloomberg - 08/22/09
FDA News: Experimental Drug Access Expanded for Seriously Ill : http://www.bloomberg.com/apps/news?pid=20601202&sid=aKHz8GKCC_.0 Bloomberg - 08/12/09
Health Debate Turns Hostile at Town Hall Meetings : http://www.nytimes.com/2009/08/08/us/politics/08townhall.html?hp NY Times - 08/07/09
Merck Shareholders Approve Merger With Schering-Plough : http://www.businesswire.com/portal/site/home/permalink/?ndmViewId=news_view&newsId=20090807005317&newsLang=en Business Wire - 08/07/09
Head of Merck Vaccine Unit Retires Early as Deal Looms : A top Merck & Co. executive once viewed as a candidate to become chief executive of the drug maker has retired, possibly signaling a management shake-up ahead of Merck's planned purchase of Schering-Plough Corp.
Margaret McGlynn announced internally last week that she would retire as president of Merck's vaccine and infectious diseases unit, effective Nov. 1.
Merck spokeswoman Amy Rose said Ms. McGlynn decided it "was a good time to pursue many personal and professional aspirations." No successor has been named.
Ms. McGlynn, 49 years old, had been head of vaccines since 2005, and had occupied other leadership roles in her 26-year Merck career. She oversaw the launch of new shots including cervical-cancer vaccine Gardasil, which helped generate sharp sales growth for the vaccines unit in 2006 and 2007.
Her star was rising in early 2007 when BusinessWeek quoted Merck Chief Executive Richard Clark as saying Ms. McGlynn was "definitely CEO material." She was believed to be one of the internal candidates to succeed Mr. Clark, who reaches Merck's mandatory retirement age of 65 in 2011.
But Ms. McGlynn's tenure also was tarnished by problems in the vaccines business, including a slowdown in Gardasil sales and manufacturing snafus that limited supplies of certain vaccines.
Ms. Rose said Ms. McGlynn wasn't asked to leave; Ms. McGlynn wasn't available for an interview.
Sanford C. Bernstein analyst Tim Anderson said Ms. McGlynn's departure was unexpected.
"Our understanding is that over the coming weeks there could be a significant shake-up in the most senior ranks of the company, some of which could come as a surprise to investors," Mr. Anderson wrote in a research note. He added that while the moves may present a near-term distraction, they could enhance the long-term value of the postmerger Merck.
It is already known that Mr. Clark, the CEO, plans to continue in the top spot when the Schering-Plough deal closes, which is expected by year end. Merck has told employees that Mr. Clark expects to announce a new structure and leadership team by late August.
Mr. Clark said that from a CEO succession-planning standpoint, the addition of Schering executives "makes the senior leadership pool much stronger."
Separately, the company disclosed Monday that it expects to pay $80 million to settle litigation in which drug-benefit plans sought to recover their costs in paying for the former pain drug Vioxx.
About 190 claims by private, third-party payers are pending in New Jersey and federal courts. Merck said in a regulatory filing Monday it has reached an agreement in principle with the plaintiffs to settle the claims for $80 million.
Merck booked a charge in this amount for the second quarter.
The claims were brought by union health plans and other entities that paid for their members' Vioxx use in the years before Merck pulled it from the market because a study showed it increased the risk for heart attacks and related events.
Write to Peter Loftus at peter.loftus@dowjones.com
Wall Street Journal - 08/04/09
FDA Poised for More Aggressive Approach: http://www.washingtonpost.com/wp-dyn/content/article/2009/08/06/AR2009080601995.html The Washington Post - 08/06/2009
Animal Activists Expand Corporate Attacks : http://online.wsj.com/article/SB124958160495211821.html Wall Street Journal - 08/07/09
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