Pfizer Inc. (NYSE:PFE) CEO Condemns Clinton’s Pharmaceutical Proposal

Ian Read, Pfizer Inc. (NYSE:PFE) CEO, has noted that the proposal of Hillary Clinton, Democratic presidential candidate, to strictly regulate drug prices will have negative impacts for the pharmaceutical industry.

Story continues below

Read emphasized, “The Clinton approach to health care drives you to a one-payer system, and drives you to rationing, drives you to a place where most consumers don’t want to be.”

Politicians vs. Pharmaceutical Industry

Earlier this month, Clinton has presented a proposed policy that will enable the government to strictly monitor surges in drug prices and thoroughly oversee price hikes on older pharmaceutical products.

Clinton and other politicians have been criticizing price hikes on older drugs in the past few months.

Julie Wood, Clinton’s spokesperson, has clarified that the Democratic presidential nominee acknowledges and supports the role of pharmaceutical companies in advancing and innovating the healthcare system in the country. What Clinton denounces are the unreasonable price hikes for drugs that have long been available in the market, affecting the lifestyle and treatment of patients. She believes that pharmaceutical companies must not profit at the expense of patients’ needs.

Pfizer is not the only pharmaceutical company receiving the heat from Clinton. Last month, she called out the price hikes for EpiPen (epinephrine injection, USP), the allergy shot manufactured and commercialized by Mylan NV (NASDAQ:MYL). Last year, she had also scrutinized the aggressive price hikes imposed by Valeant Pharmaceuticals Intl Inc (NYSE:VRX).

Read’s Argument

On the other hand, Read has reiterated that prices of new treatments tend to decline once direct industry competition strengthens. Consequently, Read believes that value is enriched through strong investments in innovation.

Pfizer has ended Thursday’s session at $34.72. Prior to that, it has reached an intraday high of $34.81 and an intraday low of $34.62.

Meanwhile, Mylan has peaked at $40.78 before closing at $40.57. The stock has recorded an intraday low of $39.97.

On the other hand, Valeant Pharmaceuticals International has closed at $29.96 on Thursday after touching an intraday high of $30.58 and an intraday low of $29.72.

An ad to help with our costs