Eli Lilly sees higher-than-expected 2020

An Eli Lilly & Co. logo is seen on the cap of a pill bottle in this arranged photograph at a pharmacy in Princeton, Illinois. Eli Lilly on Tuesday forecast a higher-than-expected profit for 2020, citing growing demand for its medicines including diabetes drug Trulicity and psoriatic arthritis treatment Taltz. Lilly sees the possibility for two product approvals and up to three new launches in 2020. For fiscal year 2020, the company forecast sales between $23.60 billion and $24.10 billion. The co


An Eli Lilly & Co. logo is seen on the cap of a pill bottle in this arranged photograph at a pharmacy in Princeton, Illinois.
Eli Lilly on Tuesday forecast a higher-than-expected profit for 2020, citing growing demand for its medicines including diabetes drug Trulicity and psoriatic arthritis treatment Taltz.
Lilly sees the possibility for two product approvals and up to three new launches in 2020.
For fiscal year 2020, the company forecast sales between $23.60 billion and $24.10 billion.
The co
Eli Lilly sees higher-than-expected 2020 Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-12-17  Authors: fred imbert
Keywords: news, cnbc, companies, share, medicines, forecast, billion, eli, lilly, trulicity, 2020, pharmacy, higherthanexpected, expecting, sales, profit, sees


Eli Lilly sees higher-than-expected 2020

An Eli Lilly & Co. logo is seen on the cap of a pill bottle in this arranged photograph at a pharmacy in Princeton, Illinois.

Eli Lilly on Tuesday forecast a higher-than-expected profit for 2020, citing growing demand for its medicines including diabetes drug Trulicity and psoriatic arthritis treatment Taltz.

The drugmaker said it expects earnings per share between $6.70 and $6.80 on an adjusted basis for the next year. Analysts were expecting a profit of $6.63 per share, according to Refinitiv IBES data.

Lilly has been banking on drugs such as Trulicity and Taltz as it faces competition from cheap generic versions of its older medicines. However, sales from its newer drugs have been rocky in the last few quarters.

Trulicity sales have been crimped by high rebates that drugmakers pay to middlemen, such as pharmacy benefit managers, in order to make sure patients have access to their products.

Lilly sees the possibility for two product approvals and up to three new launches in 2020.

For fiscal year 2020, the company forecast sales between $23.60 billion and $24.10 billion. Analysts were expecting sales of $23.52 billion for the year.

The company’s Chief Executive Officer David Ricks said Lilly is expanding its arsenal of medicines focused on diabetes, oncology, immunology and neuroscience.

The drugmaker on Tuesday also cut its forecast for 2019 profit by 2 cents to a range of $8.57 to $8.67 per share, due to a charge related to the repurchase of debt and additional charges from global cost reduction initiatives.


Company: cnbc, Activity: cnbc, Date: 2019-12-17  Authors: fred imbert
Keywords: news, cnbc, companies, share, medicines, forecast, billion, eli, lilly, trulicity, 2020, pharmacy, higherthanexpected, expecting, sales, profit, sees


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Amazon Alexa will now remind you when to take your pills

Now that Amazon has put Alexa devices into millions of homes, the company is seeking ways to make the gadgets more useful. Starting this week, the voice assistants will be able to remind people when to take their medications. A Giant Eagle spokesperson told CNBC that any customer with an active prescription and an Alexa device can access the medication management skill on their Alexa app. Amazon announced in April that Alexa is HIPAA compliant, representing a big step for the company into the $3


Now that Amazon has put Alexa devices into millions of homes, the company is seeking ways to make the gadgets more useful.
Starting this week, the voice assistants will be able to remind people when to take their medications.
A Giant Eagle spokesperson told CNBC that any customer with an active prescription and an Alexa device can access the medication management skill on their Alexa app.
Amazon announced in April that Alexa is HIPAA compliant, representing a big step for the company into the $3
Amazon Alexa will now remind you when to take your pills Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-11-26  Authors: christina farr
Keywords: news, cnbc, companies, team, pills, amazon, alexa, wellness, voice, skill, medications, pharmacy, remind, health, medication


Amazon Alexa will now remind you when to take your pills

Now that Amazon has put Alexa devices into millions of homes, the company is seeking ways to make the gadgets more useful. Starting this week, the voice assistants will be able to remind people when to take their medications.

Amazon has partnered with Giant Eagle, a pharmacy chain with more than 200 locations across Pennsylvania, Ohio, Maryland, West Virginia and Indiana. A Giant Eagle spokesperson told CNBC that any customer with an active prescription and an Alexa device can access the medication management skill on their Alexa app.

In the battle for the connected home, Amazon, Google and Apple are building devices to help consumers manage their busy lives. Health is a lucrative but complicated market because of the regulations and privacy rules around managing sensitive health information on behalf of hospitals and pharmacies. Making the technology compliant with the Health Insurance Portability and Accountability Act can take years, and Amazon is already facing a backlash following reports this year that Alexa is listening to its users to improve functionality.

Amazon announced in April that Alexa is HIPAA compliant, representing a big step for the company into the $3.5 trillion health-care sector. Unlike its rivals, Amazon has a dedicated team working on health and wellness use cases, including medication management, for its voice assistant. Amazon, which also owns online pharmacy PillPack, said in a blog post on Tuesday that it’s still “day one” when it comes to all the various opportunities it can pursue in health.

“When we built the skill, we were thinking about all the different customer profiles, like the folks who skew older and are taking lots of medications, to the parents whose kids are juggling different medications,” said Rachel Jiang, who runs Amazon Alexa’s health and wellness team.


Company: cnbc, Activity: cnbc, Date: 2019-11-26  Authors: christina farr
Keywords: news, cnbc, companies, team, pills, amazon, alexa, wellness, voice, skill, medications, pharmacy, remind, health, medication


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Amazon adds new ‘Amazon Pharmacy’ branding to PillPack and promotes its CEO

Kyle Walsh | CNBCPillPack, the Internet pharmacy that Amazon acquired in 2018, has updated its logo and other paperwork to include a new “Amazon Pharmacy” brand, and sources say its CEO has been promoted to vice president within Amazon. Specifically, the group’s branding has changed from “PillPack, an Amazon company” to “PillPack by Amazon Pharmacy.” It’s the first public reference to Amazon Pharmacy, an entity that many analysts expect will eventually do more than mail delivery of medicines thr


Kyle Walsh | CNBCPillPack, the Internet pharmacy that Amazon acquired in 2018, has updated its logo and other paperwork to include a new “Amazon Pharmacy” brand, and sources say its CEO has been promoted to vice president within Amazon.
Specifically, the group’s branding has changed from “PillPack, an Amazon company” to “PillPack by Amazon Pharmacy.”
It’s the first public reference to Amazon Pharmacy, an entity that many analysts expect will eventually do more than mail delivery of medicines thr
Amazon adds new ‘Amazon Pharmacy’ branding to PillPack and promotes its CEO Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-11-15  Authors: christina farr
Keywords: news, cnbc, companies, service, amazon, branding, references, ceo, promotes, delivery, pillpack, customers, adds, pharmacy, updated, company, paperwork


Amazon adds new 'Amazon Pharmacy' branding to PillPack and promotes its CEO

Kyle Walsh | CNBC

PillPack, the Internet pharmacy that Amazon acquired in 2018, has updated its logo and other paperwork to include a new “Amazon Pharmacy” brand, and sources say its CEO has been promoted to vice president within Amazon. Specifically, the group’s branding has changed from “PillPack, an Amazon company” to “PillPack by Amazon Pharmacy.” It’s the first public reference to Amazon Pharmacy, an entity that many analysts expect will eventually do more than mail delivery of medicines through PillPack. Today, PillPack specializes in fulfilling multiple prescriptions and mailing them to customers in clearly labeled packages so they remember to take their pills at the appropriate times. Its customers tend to be older and on multiple medications. But Amazon could enter other areas of the sector by serving patients who have acute medical needs, or by adding a pharmacy to its retail stores, including Whole Foods.

The prescription drug market is worth more than $330 billion, making it a lucrative opportunity for Amazon along with its rivals including Walmart and Costco. These companies are all positioning themselves against traditional drug store chains, like CVS and Walgreens. Costco, as CNBC reported this month, is now piloting a mail delivery service with grocery delivery start-up Instacart, which offers both convenience and affordable prices to its members. In addition to the logo change, PillPack also recently filed paperwork that adds “Amazon Pharmacy” to the licensed name of its pharmacy fulfillment centers in New York, Texas, Florida, Arizona and New Hampshire, a company spokesperson told CNBC. The company said that there won’t be any service changes for existing or new customers, and that it will retain its own brand. But customers will be notified in the coming weeks with labels and printed materials that will include references to Amazon Pharmacy. The company also updated its help center page with references to PillPack by Amazon Pharmacy.

A slow integration


Company: cnbc, Activity: cnbc, Date: 2019-11-15  Authors: christina farr
Keywords: news, cnbc, companies, service, amazon, branding, references, ceo, promotes, delivery, pillpack, customers, adds, pharmacy, updated, company, paperwork


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Walgreens Boots Alliance has reached out to private equity firms to explore a deal

International drugstore chain Walgreens Boots Alliance has reached out to private equity firms about a deal to take it private, a person familiar with the situation told CNBC. Walgreens’ outstanding debt load, roughly $17 billion according to its most recent regulatory filing, may further complicate acquisition talks. A number of deals to buy retailers led by private equity firms in recent years have resulted in bankruptcy, like Toys R Us and Payless. In 2015, Walgreens attempted to acquire Rite


International drugstore chain Walgreens Boots Alliance has reached out to private equity firms about a deal to take it private, a person familiar with the situation told CNBC.
Walgreens’ outstanding debt load, roughly $17 billion according to its most recent regulatory filing, may further complicate acquisition talks.
A number of deals to buy retailers led by private equity firms in recent years have resulted in bankruptcy, like Toys R Us and Payless.
In 2015, Walgreens attempted to acquire Rite
Walgreens Boots Alliance has reached out to private equity firms to explore a deal Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-11-05  Authors: angelica lavito lauren hirsch, angelica lavito, in angelicalavito, lauren hirsch
Keywords: news, cnbc, companies, stores, pharmacy, alliance, earlier, retailers, roughly, equity, deal, company, reached, private, billion, explore, boots, firms, walgreens


Walgreens Boots Alliance has reached out to private equity firms to explore a deal

International drugstore chain Walgreens Boots Alliance has reached out to private equity firms about a deal to take it private, a person familiar with the situation told CNBC.

It could not be immediately confirmed what structure such a deal would take. The company has a market capitalization of approximately $55 billion, making it a large check for a single buyer. It has operations in both the U.S and Europe, a function of its acquisition of British pharmacy giant Alliance Boots in 2014

CEO Stefano Pessina has a roughly 16% stake in the company, according to data compiled by Factset.

Walgreens’ outstanding debt load, roughly $17 billion according to its most recent regulatory filing, may further complicate acquisition talks. A number of deals to buy retailers led by private equity firms in recent years have resulted in bankruptcy, like Toys R Us and Payless. Those retailers found themselves hamstrung by debt and unable to make the investments necessary to compete amid a rapidly changing retail landscape.

Walgreens, one of the world’s largest pharmacies with roughly 9,300 drugstores, is under its own pressure. Consumers increasingly shopping for drugstore staples like shampoo and vitamins online. Insurers are squeezing pharmacies, paying them less to fill prescriptions.

Shares of Walgreens have slid about 22% over the past 12 months.

In response, Walgreens is slashing costs. The company aims to trim more than $1.8 billion by fiscal year 2022. Walgreens earlier this year said it will close about 200 stores in the U.S., in addition to the 200 it will close in the U.K.

Amid challenges facing the industry, Walgreens’ peers have explored partnerships or consolidation. CVS Health and Aetna last year combined in a roughly $69 billion deal that combined CVS’ pharmacy and pharmacy benefits manager platform with Aetna’s insurance business

Walgreens explored a deal to buy AmerisourceBergen last year, but those early-stage explorations ended without an agreement.

In 2015, Walgreens attempted to acquire Rite Aid in a $17.5 billion deal that looked to bring with it 4,600 stores. Regulators, though, whittled the deal down to a purchase of 1,932 stores for $4.37 billion.

Walgreens is working with investment bank Evercore to explore whether it can put together a deal, Reuters reported earlier Tuesday. Reuters and Bloomberg earlier reported news of a potential deal, sending shares up more than 3%.


Company: cnbc, Activity: cnbc, Date: 2019-11-05  Authors: angelica lavito lauren hirsch, angelica lavito, in angelicalavito, lauren hirsch
Keywords: news, cnbc, companies, stores, pharmacy, alliance, earlier, retailers, roughly, equity, deal, company, reached, private, billion, explore, boots, firms, walgreens


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Retail discounter Fred’s files for Chapter 11 bankruptcy, to close all its stores

Discount retailer Fred’s announced Monday it is filing for Chapter 11 bankruptcy protection and closing all of its stores. The company said liquidation sales at retail locations will be completed over the next 60 days. The bankruptcy is a sign that cost-cutting measures such as the shuttering of hundreds of unprofitable stores and inventory clearance sales didn’t work. Fred’s has been reporting yearly losses since 2015, and it sold its pharmacy files to Walgreens in 2018. The company said it exp


Discount retailer Fred’s announced Monday it is filing for Chapter 11 bankruptcy protection and closing all of its stores. The company said liquidation sales at retail locations will be completed over the next 60 days. The bankruptcy is a sign that cost-cutting measures such as the shuttering of hundreds of unprofitable stores and inventory clearance sales didn’t work. Fred’s has been reporting yearly losses since 2015, and it sold its pharmacy files to Walgreens in 2018. The company said it exp
Retail discounter Fred’s files for Chapter 11 bankruptcy, to close all its stores Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-09-09  Authors: jasmine wu
Keywords: news, cnbc, companies, files, retail, pharmacy, walgreens, bankruptcy, company, sales, locations, chapter, close, freds, stores, work, discounter


Retail discounter Fred's files for Chapter 11 bankruptcy, to close all its stores

Discount retailer Fred’s announced Monday it is filing for Chapter 11 bankruptcy protection and closing all of its stores.

The company said liquidation sales at retail locations will be completed over the next 60 days.

The bankruptcy is a sign that cost-cutting measures such as the shuttering of hundreds of unprofitable stores and inventory clearance sales didn’t work. Fred’s has been reporting yearly losses since 2015, and it sold its pharmacy files to Walgreens in 2018. Merger talks with Walgreens and Rite Aid had also fallen through in June 2017 amid federal antitrust concerns, leaving the fate of the company uncertain.

“Despite our team’s best efforts, we were not able to avoid this outcome,” said CEO Joe Anto. “I want to thank all of our employees for their hard work and continued support of the Company as we wind-down our operations.”

The news is another step down in the retail sector’s long fall. Since 2017, once-giants such as Barneys, Sears, Toys R Us and Mattress Firm have also filed for bankruptcy. Some have been unable to emerge from the process, resulting in hundreds of store closures.

As of May 4, the company operated 556 discount merchandise stores in 15 states across the Southeast, according to a recent filing with the Securities and Exchange Commission. That included 169 full-service pharmacies.

The company said it expects to continue filling pharmacy prescriptions at most of its pharmacy locations. Fred’s has also filed a motion to enter into a proposed debtor-in-possession financing agreement with the company’s existing lenders, which would provide up to $35 million in new funding.


Company: cnbc, Activity: cnbc, Date: 2019-09-09  Authors: jasmine wu
Keywords: news, cnbc, companies, files, retail, pharmacy, walgreens, bankruptcy, company, sales, locations, chapter, close, freds, stores, work, discounter


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Amazon’s PillPack is battling with CVS and Walgreens over getting patient prescriptions

Amazon bought internet pharmacy PillPack last year, a deal that sent shares of pharmacy companies tumbling. To get people onto its mail-delivery service, PillPack needs patients to switch from their existing pharmacy, which often means transferring prescriptions from CVS or Walgreens, the two largest chains in the U.S. CVS and Walgreens are rejecting an increasing number of their requests, claiming that PillPack isn’t getting proper consent from patients. The company is already battling Surescri


Amazon bought internet pharmacy PillPack last year, a deal that sent shares of pharmacy companies tumbling. To get people onto its mail-delivery service, PillPack needs patients to switch from their existing pharmacy, which often means transferring prescriptions from CVS or Walgreens, the two largest chains in the U.S. CVS and Walgreens are rejecting an increasing number of their requests, claiming that PillPack isn’t getting proper consent from patients. The company is already battling Surescri
Amazon’s PillPack is battling with CVS and Walgreens over getting patient prescriptions Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-08-06  Authors: christina farr
Keywords: news, cnbc, companies, pillpack, transfers, requests, battling, transfer, patients, cvs, service, amazon, walgreens, prescriptions, getting, amazons, pharmacy, patient


Amazon's PillPack is battling with CVS and Walgreens over getting patient prescriptions

PillPack packet Source: PillPack

As Amazon bolsters its PillPack business to take on the prescription drug market, industry stalwarts CVS and Walgreens are vigorously defending their turf, setting up a protracted battle between the old guard and the new. Amazon bought internet pharmacy PillPack last year, a deal that sent shares of pharmacy companies tumbling. To get people onto its mail-delivery service, PillPack needs patients to switch from their existing pharmacy, which often means transferring prescriptions from CVS or Walgreens, the two largest chains in the U.S. But PillPack has run into a significant roadblock in getting those transfers approved. CVS and Walgreens are rejecting an increasing number of their requests, claiming that PillPack isn’t getting proper consent from patients. PillPack says it always gets patient approval before making transfer requests and blames the pharmacy giants for unfairly refusing to honor them, sometimes hanging up on PillPack’s pharmacists or throwing the request forms in the trash. “While incumbent pharmacies may be disappointed in the loss of business, it is unacceptable to make unsubstantiated allegations about PillPack’s practices while simultaneously creating systemic barriers that make it harder for a customer to switch pharmacies, ” PillPack spokeswoman Jacquelyn Miller told CNBC. The conflict has continued to escalate, with a source familiar with the matter telling CNBC that Amazon is documenting all cases of refused transfers. The incumbents are unwilling to roll over for Amazon in a market where a single customer, who often has chronic conditions and requires regular refills, can represent thousands of dollars of revenue a year through copayments and insurance coverage.

PillPack co-founders TJ Parker and Elliot Cohen.

PillPack, a licensed pharmacy service in 49 of 50 states, launched in 2014 with a service that neatly packages, labels and delivers medications every month with free shipping. CVS has followed with its own multi-dose packaging option for patients who need help taking multiple medications. Walgreens also has a home delivery program. The intensifying spat over transfers offers a window into the larger challenge Amazon faces as it tries to mimic its e-commerce playbook in the prescription medication world, where spending in the U.S. is approaching $500 billion a year. The company is already battling Surescripts, an e-prescribing network part-owned by CVS and Express Scripts, over a patient data dispute. Last month, Surescripts threatened to cut off a contract with a third party called ReMy Health, which gave PillPack access to data about patient prescription histories, and said it would turn the case over to the FBI. CVS says it’s not indiscriminately rejecting transfer orders, but rather is calling patients when a request is submitted to make sure the customer has asked for it. Many of these patients are older and unfamiliar with the new world of online shopping and mobile apps. The pharmacies say they’re only denying transfers when patients tell them they never signed up for PillPack or have never even heard of it. The issue can be particularly challenging for people with dementia who may not have intended to sign up or not remembered doing so. Brian Caswell, the owner of Wolkar Drug in Kansas, said he’s called patients about PillPack requests only to have them deny ever providing consent. “Could they have clicked on something online and forgot about it?” Caswell said. “It’s possible.” There could also be patients who did request a transfer to PillPack but are embarrassed to admit it when their pharmacist calls for confirmation.

Year-long dispute


Company: cnbc, Activity: cnbc, Date: 2019-08-06  Authors: christina farr
Keywords: news, cnbc, companies, pillpack, transfers, requests, battling, transfer, patients, cvs, service, amazon, walgreens, prescriptions, getting, amazons, pharmacy, patient


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Surescripts ups its battle with Amazon PillPack: ‘We are turning the matter over to the FBI’

Surescripts is upping its battle with Amazon-owned PillPack, accusing a third company of providing PillPack with patient prescription information “fraudulently,” and threatening to turn the matter over to the FBI. It’s the latest in a series of moves that could make it harder for Amazon to enter the prescription drug market. Amazon made its first steps into the space in 2018, when it acquired online pharmacy start-up called PillPack. A year later, Amazon is engaged in a tense battle with one of


Surescripts is upping its battle with Amazon-owned PillPack, accusing a third company of providing PillPack with patient prescription information “fraudulently,” and threatening to turn the matter over to the FBI. It’s the latest in a series of moves that could make it harder for Amazon to enter the prescription drug market. Amazon made its first steps into the space in 2018, when it acquired online pharmacy start-up called PillPack. A year later, Amazon is engaged in a tense battle with one of
Surescripts ups its battle with Amazon PillPack: ‘We are turning the matter over to the FBI’ Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-07-29  Authors: christina farr
Keywords: news, cnbc, companies, turning, ups, prescription, company, space, employee, latest, pharmacy, matter, battle, pillpack, amazon, fbi, surescripts


Surescripts ups its battle with Amazon PillPack: 'We are turning the matter over to the FBI'

Surescripts is upping its battle with Amazon-owned PillPack, accusing a third company of providing PillPack with patient prescription information “fraudulently,” and threatening to turn the matter over to the FBI. It’s the latest in a series of moves that could make it harder for Amazon to enter the prescription drug market.

Americans are spending an excessive amount on prescription drugs, the cost of which likely topped $330 billion in 2018. Amazon made its first steps into the space in 2018, when it acquired online pharmacy start-up called PillPack.

A year later, Amazon is engaged in a tense battle with one of the largest incumbents in the space. Surescripts is owned by a coalition of potential PillPack competitors, including CVS and ExpressScripts, and manages about 80% of all U.S. prescriptions. It is such a dominant force that in April, the Federal Trade Commission sued the company, alleging “illegal monopolization of e-prescription markets.”

The battle is the latest in a string of disputes between Amazon and the established pharmacy companies since the PillPack deal — a deal that sent shares of pharmacy owners and pharmacy benefit managers tumbling. Earlier this year, CVS filed a lawsuit against a former employee after he told the company he would be taking a job at PillPack. A judge blocked the employee from working for PillPack for 18 months.


Company: cnbc, Activity: cnbc, Date: 2019-07-29  Authors: christina farr
Keywords: news, cnbc, companies, turning, ups, prescription, company, space, employee, latest, pharmacy, matter, battle, pillpack, amazon, fbi, surescripts


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Amazon threatens to sue major pharmacy player if it prevents PillPack from accessing patient drug data

That comprehensive data comes indirectly from Surescripts, an electronic-prescribing company that’s owned by some of PillPack’s potential competitors, including CVS and Express Scripts. This week, ReMy indicated that it would cease working with PillPack in the coming days, people familiar with the matter said. “PillPack does not have an agreement with Surescripts that in any way covers the use of this important Protected Health Information,” the statement said. PillPack, in response, noted that


That comprehensive data comes indirectly from Surescripts, an electronic-prescribing company that’s owned by some of PillPack’s potential competitors, including CVS and Express Scripts. This week, ReMy indicated that it would cease working with PillPack in the coming days, people familiar with the matter said. “PillPack does not have an agreement with Surescripts that in any way covers the use of this important Protected Health Information,” the statement said. PillPack, in response, noted that
Amazon threatens to sue major pharmacy player if it prevents PillPack from accessing patient drug data Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-07-19  Authors: christina farr
Keywords: news, cnbc, companies, remy, week, drug, patient, information, data, pharmacy, surescripts, working, sue, prevents, health, pillpack, player, major, company, threatens


Amazon threatens to sue major pharmacy player if it prevents PillPack from accessing patient drug data

PillPack co-founders TJ Parker and Elliot Cohen.

Just over a year after buying online pharmacy PillPack for $753 million, Amazon is engaged in a bitter battle with an incumbent player in the pharmacy industry, which sources tell CNBC is working behind the scenes to prevent the company from accessing important patient data. PillPack’s pharmacy delivery service relies on its access to an accurate list of its patients’ medications, so it can properly inform them about health and safety risks, uncover any duplicate subscriptions and help them keep up with refills. That comprehensive data comes indirectly from Surescripts, an electronic-prescribing company that’s owned by some of PillPack’s potential competitors, including CVS and Express Scripts. According to two people familiar with the matter, PillPack was informed this week that it will soon be cut off from accessing that data via a third-party entity, ReMy Health — a move that could seriously complicate its business. Amazon is considering legal action against Surescripts to halt those efforts, said the people, who asked not to be identified because the deliberations are confidential. One person told CNBC that PillPack has already sent a cease-and-desist letter to Surescripts. It’s the latest in a string of disputes between Amazon and the established pharmacy companies since its purchase of PillPack in June 2018 — a deal that sent shares of pharmacy owners and pharmacy benefit managers tumbling. Last month, CVS filed a lawsuit against a former employee after he told the company he would be taking a job at PillPack. A judge blocked the employee from working for PillPack for 18 months.

Fighting the FTC

Spending on prescriptions in the U.S. is approaching $500 billion a year, and the industry has long been controlled by a handful of large players, who manage pricing and access to medications. Amazon’s jump into the market poses a serious threat to the status quo by giving the e-commerce giant relationships with health insurers and licenses to ship prescriptions to every state except Hawaii. The current imbroglio shows the tangled nature of the pharmacy web, and how hard the incumbents are working to keep control over data and stem a competitive threat. Surescripts manages about 80% of all U.S. prescriptions. It is such a dominant force that in April, the Federal Trade Commission sued the company, alleging “illegal monopolization of e-prescription markets.” Surescripts said last week that the FTC’s complaint “makes significant factual errors” about its business and the market, and it has filed a motion to dismiss the case. PillPack doesn’t contract directly with Surescripts for patient medication information, but goes through ReMy, which compiles the raw data from Surescripts, cleans it up and offers it to clients through an application programming interface. Because PillPack is not contracting with Surescripts, its communication has been with ReMy. This week, ReMy indicated that it would cease working with PillPack in the coming days, people familiar with the matter said. The companies started working together in 2017, the people said. “PillPack is productively working with partners across the healthcare industry to help people throughout the U.S. who can benefit from a better pharmacy experience,” said Jacquelyn Miller, a PillPack spokesperson. “While we’re not surprised when powerful incumbents try to undermine these efforts, we are confident that our collaborative approach to bring customers more choice, more convenience, and improved quality will ultimately prevail.” Surescripts said in a statement it’s committed to privacy and security and that medication history “can reveal a lot about an individual’s health status, including the most sensitive of healthcare conditions.” “PillPack does not have an agreement with Surescripts that in any way covers the use of this important Protected Health Information,” the statement said. Suresripts added that its portfolio does not include “any businesses where we are the source of medication history to retail pharmacies.”

Surescripts said its board, which includes executives from CVS and Cigna, became aware of the issue only after an inquiry with CNBC. PillPack, in response, noted that it has contracts in place to manage protected health information as a licensed pharmacy. “Prescription history is only requested upon consent of the customer, and is held to the same data handling standards as all patient health information handled by PillPack,” Miller said. “Further, PillPack is a covered entity, the same as a physician’s office, and is bound by all healthcare privacy laws.”

‘Makes health care more costly’


Company: cnbc, Activity: cnbc, Date: 2019-07-19  Authors: christina farr
Keywords: news, cnbc, companies, remy, week, drug, patient, information, data, pharmacy, surescripts, working, sue, prevents, health, pillpack, player, major, company, threatens


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This health investor shadowed Jeff Bezos and worked for Bill Gates — here’s what he learned

Neupert went on to Microsoft, his second stint at the company, where he led a new health solutions group. From a short time observing Bezos, he learned something that was fundamentally different at Amazon than at Microsoft. “He did what was the best thing for Amazon,” Neupert said. Electronic medical records systems were emerging but only a few large health systems, like Kaiser Permanente, were starting to shift over to vendors such as Epic Systems. One former Microsoft Health colleague, Sean No


Neupert went on to Microsoft, his second stint at the company, where he led a new health solutions group. From a short time observing Bezos, he learned something that was fundamentally different at Amazon than at Microsoft. “He did what was the best thing for Amazon,” Neupert said. Electronic medical records systems were emerging but only a few large health systems, like Kaiser Permanente, were starting to shift over to vendors such as Epic Systems. One former Microsoft Health colleague, Sean No
This health investor shadowed Jeff Bezos and worked for Bill Gates — here’s what he learned Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-07-19  Authors: christina farr
Keywords: news, cnbc, companies, amazon, jeff, bezos, shadowed, company, health, bill, microsoft, learned, neupert, investor, gates, systems, drugstore, pharmacy, worked, heres, dont


This health investor shadowed Jeff Bezos and worked for Bill Gates — here's what he learned

Jeff Bezos’s ambitions in health care are no longer a secret. Between the Haven partnership with J.P. Morgan Chase and Berkshire Hathaway, his company’s stealthy work in cancer research, investments in health clinics for employees and last year’s $753 million purchase of online drug seller PillPack, the Amazon CEO is openly taking on the $3.5 trillion health-care industry. While most of those developments are very recent, Bezos has had his eyes on this market for over two decades. Nobody knows that better than Peter Neupert, who became CEO of online pharmacy Drugstore.com in 1998, after Bezos recruited him for the job in tandem with Amazon’s investment in the company. It was the beginning of a long relationship between the two and their effort to apply emerging technologies to life sciences. Neupert went on to Microsoft, his second stint at the company, where he led a new health solutions group. He left in 2012 and has since been a sought-after advisor for hospitals, biotech companies and start-ups. “People are often approaching me for solutions,” Neupert, 63, told CNBC in a recent interview. “What I tell them is I don’t always have the right answers, but I do have a lot of scars and I’m happy to share those.” Bezos stepped off Drugstore’s board in 2001, and Neupert left the company three years later. But they’re both engaged, more than ever before, in advancing health care. Amazon is hiring aggressively at PillPack to become a major player in prescription delivery and is exploring a host of efforts to bring down the cost of care. Neupert is on the board of medical lab company LabCorp, as well as Adaptive Biotechnologies, which recently went public, and a couple early-stage ventures. He’s also on the board of trustees at the Fred Hutchinson Cancer Research Center. Meanwhile, Amazon is still a big part of Neupert’s life in other ways — he has two kids and a son-in-law who work at the company’s headquarters in Seattle. That’s where it all started for him 21 years ago.

Jumping to a dot-com

Neupert was working for Bill Gates at Microsoft, where he’d launched the MSNBC network as a joint venture with NBC. He was approached by John Doerr of venture capital firm Kleiner Perkins about a new start-up that aimed to sell prescription medicines, beauty products and over-the-counter drugs online. Doerr, an early Amazon investor and board member at the time, brought Bezos along for the recruiting meeting. “They were looking for someone who could take a 10-page business plan and turn it into a real business at a time when everyone was starting companies,” Neupert recalled. Leaving was a tough call. Microsoft was on a tear and would soon surpass General Electric as the world’s most valuable company, while Drugstore was an idea on a whiteboard backed by a cash-burning dot-com darling. So Neupert asked if he could shadow Bezos for a few days, following him around for conversations with board members, staff meetings and conference calls. Bezos agreed, and Neupert took the job. From a short time observing Bezos, he learned something that was fundamentally different at Amazon than at Microsoft. “I learned quickly from those days that opinions don’t matter,” Neupert said. “Data matters.” Bezos talked about A/B testing (comparing two versions of a design or project), rapid customer feedback and the importance of experimenting and failing. In April 1999, two months after Drugstore announced the investment from Amazon and Kleiner Perkins, Bezos and Neupert appeared together on Charlie Rose. The host asked Neupert why a consumer would rather buy from Drugstore than their local pharmacy.

‘Nobody likes to browse the Preparation H aisle’

“They don’t like waiting in line for the pharmacist up behind the glass counter,” Neupert said. “They don’t like shopping in public for very private things.” Bezos chimed in to say, “browsing for books is fun but nobody likes to browse the Preparation H aisle.” That was followed by a momentary pause and then Bezos’s signature — some say maniacal — laugh. Drugstore survived the dot-com bust but struggled to grow in an extremely fragmented business. Neupert left in 2004, five years before Walgreens bought the company for over $400 million and ultimately shut it down. Along the way, Amazon learned some key lessons that would benefit the company as it pursued a deal with PillPack many years later. One big realization was that the established pharmacy benefit managers (PBMs), the industry middlemen, would go to great lengths to protect the status quo.

Amazon founder and CEO Jeff Bezos in 1997 Paul Souders | Hulton Archive | Getty Images

Drugstore was shut out of the pharmacy business by Medco Health Solutions, one of the largest PBMs at the time, which meant it had no real way of selling prescription drugs. PillPack more recently experienced similar resistance from Express Scripts. Over time, Neupert saw glimmers of Bezos’s ruthless style, which investors and analysts have said is a primary driver to his success. During the dot-com crash, for example, Amazon stopped giving away its email marketing access list to Drugstore and start charging for it. “He did what was the best thing for Amazon,” Neupert said. “I didn’t like it at the time, but I ultimately respected it.”

Second act at Microsoft

After leaving Drugstore in 2004, Neupert wasn’t quite ready to give up on health care. Over the following months, he spent some time in Washington, D.C., paying close attention to regulators and pharmacy lobbyists. He observed how the major players had their own entrenched interests, which created a big problem for medical software. Record-keeping inside large hospitals and doctor’s offices was still run on a combination of paper and homegrown systems. Electronic medical records systems were emerging but only a few large health systems, like Kaiser Permanente, were starting to shift over to vendors such as Epic Systems. So much critical data was siloed. “It struck me that a few thousand people die every year because of adverse drug events, and a lot of that was down to a failure of systems engineering and software design,” Neupert said. That thinking brought Neupert back to Microsoft, where he saw an opportunity to build a business to help the health-care system with that problem. He kick-started a health unit, launching a product called HealthVault for consumers and health providers to aggregate medical information. One former Microsoft Health colleague, Sean Nolan, said the mission was ambitious and ahead of its time. “Peter was always drawn to big ideas,” Nolan told CNBC. “And he was never scared of challenging conventional wisdom.” While it’s still working on that mission today under corporate vice president Peter Lee, the consumer part of the equation failed to get much traction. Microsoft announced in April that it will shut HealthVault later this year. Lee said there are 72 projects he inherited from Neupert. “It’s remarkable how much energy he injected into the health-care space that really never left,” Lee said, in an interview. “It ranges from synthetic biology to radiology imaging. It was comprehensive. It’s surprising to me how much stuff Peter got started.”

Since leaving Microsoft in 2012, Neupert has advised numerous other health-tech companies. And he’s watching from the outside as Amazon battles the industry incumbents. “Bezos deeply understands pharmacy and all its complexities,” Neupert said. When he’s not sitting on boards, cycling or spending time with family, Neupert is often sharing advice with entrepreneurs. One thing he learned from Bezos is to write down your plan or approach to the market in a document and not in a bullet-pointed presentation, because complete sentences and paragraphs don’t leave much room for assumptions and interpretations. “In rapidly growing companies, this is essential for folks to stay on the same page,” he said.

‘Engage the regulators early’


Company: cnbc, Activity: cnbc, Date: 2019-07-19  Authors: christina farr
Keywords: news, cnbc, companies, amazon, jeff, bezos, shadowed, company, health, bill, microsoft, learned, neupert, investor, gates, systems, drugstore, pharmacy, worked, heres, dont


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Chewy stock rises after release of its first results since IPO, loss narrows in line with forecast

A dog sits in front of the New York Stock Exchange (NYSE) during Chewy Inc.’s initial public offering (IPO) in New York, U.S., on Friday, June 14, 2019. Chewy shares rose Thursday after the pet e-tailer reported first-quarter sales climbed 45% as its loss narrowed, in line with the forecast it issued at the time of its recent IPO. For the quarter ended May 5, Chewy said its loss narrowed to $29.6 million from a loss of $59.8 million in the year-ago period. Chewy’s growth initiatives include expa


A dog sits in front of the New York Stock Exchange (NYSE) during Chewy Inc.’s initial public offering (IPO) in New York, U.S., on Friday, June 14, 2019. Chewy shares rose Thursday after the pet e-tailer reported first-quarter sales climbed 45% as its loss narrowed, in line with the forecast it issued at the time of its recent IPO. For the quarter ended May 5, Chewy said its loss narrowed to $29.6 million from a loss of $59.8 million in the year-ago period. Chewy’s growth initiatives include expa
Chewy stock rises after release of its first results since IPO, loss narrows in line with forecast Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-07-18  Authors: lauren hirsch
Keywords: news, cnbc, companies, loss, forecast, release, york, ipo, quarter, stock, pet, rises, shares, chewy, sales, narrows, pharmacy, company, line, million, results


Chewy stock rises after release of its first results since IPO, loss narrows in line with forecast

A dog sits in front of the New York Stock Exchange (NYSE) during Chewy Inc.’s initial public offering (IPO) in New York, U.S., on Friday, June 14, 2019.

Chewy shares rose Thursday after the pet e-tailer reported first-quarter sales climbed 45% as its loss narrowed, in line with the forecast it issued at the time of its recent IPO.

For the quarter ended May 5, Chewy said its loss narrowed to $29.6 million from a loss of $59.8 million in the year-ago period. Chewy’s profitability has been a concern for some. Dog food is heavy, and therefore expensive to ship.

Sales rose to $1.1 billion from $763.5 million a year ago, continuing Chewy’s strong momentum with pet owners. The company reported roughly 11.3 million active customers for the quarter and $343 in net sales per active customer.

Chewy’s growth initiatives include expansion of its private label business and the launch of Chewy Pharmacy, an online pet pharmacy. In the first quarter, Chewy opened a pharmacy in its Phoenix, Arizona, fulfillment center. It also rolled out improvements to its mobile app.

The retailer recorded auto-ship sales of $743.9 million, up nearly 56% from the quarter prior.

The first-quarter results, which are in line with previous guidance set forth in the company’s prospectus for its June initial public offering, sent shares of Chewy up about 1% in aftermarket trading. Shares of the company are down 9.5% since its debut, which had valued the company at more than $14 billion.

Chewy, founded in 2011 by Ryan Cohen and Michael Day, calls itself the “largest pure-play pet e-tailer in the United States.” It has distinguished itself from many of its competitors with customer service that includes 24/7 access and two-day shipping of online orders.

PetSmart, which is backed by private equity firm BC Partners, acquired Chewy in 2017 for $3 billion.


Company: cnbc, Activity: cnbc, Date: 2019-07-18  Authors: lauren hirsch
Keywords: news, cnbc, companies, loss, forecast, release, york, ipo, quarter, stock, pet, rises, shares, chewy, sales, narrows, pharmacy, company, line, million, results


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