Cancer Drugs Emerging as Top Driver of Specialty Drug Spending
-- Deep pipeline, new targeted therapies to drive oncology drug spending -- New cancer treatments expected to hit market soon -- Medco opens center for specialized oncology care, marking Breast Cancer Awareness Month
FRANKLIN LAKES, N.J., Oct. 8 /PRNewswire-FirstCall/ -- Cancer
treatments are on track to become the biggest driver of specialty
pharmacy spending as its contribution to overall drug spending hit
five percent for the first time in the first half of 2009,
according to Medco Health Solutions, Inc. (NYSE: MHS) . Oncology specialty drug spending
increased 15.1 percent last year, trailing only medications for
autoimmune conditions and multiple sclerosis as a specialty drug
growth driver. Driven by medications that can cost tens of
thousands of dollars per course of therapy and a deep pipeline of
new targeted products with fewer side effects than traditional
chemotherapy, worldwide sales of these medications are expected to
reach $80 billion by 2012.
"Targeted cancer therapies have dramatically reshaped oncology
and greatly benefited cancer patients," said Dr. Robert S. Epstein,
Medco's chief medical officer. "The newer cancer drugs improve
survival rates since they target what fuels the cancer's growth. As
some may extend life, they may be used for longer periods of time
and improve quality of life for millions of patients. Due to the
higher costs of these treatments, however, proper selection and
dosing is extremely important."
Combinations of oral oncology drugs and injectable monoclonal
antibodies from the biotech industry are big drivers of drug
spending and this trend is likely to continue as existing
treatments gain additional approvals and new drugs reach the
market.
Presently more than 800 drugs are under investigation for
treatment of cancer, which is expected to be diagnosed 1.48 million
times this year. Early detection and more effective, well-tolerated
medications are allowing some cancers to behave like chronic
diseases. According to the American Cancer Society, cancer patients
today are living longer than a generation ago with the five-year
relative survival rate for all cancers combined between 1996-2004
reaching 66 percent, up from 50 percent between 1975-77.
Nearly all the cancer drugs approved by the Food and Drug
Administration in the last four years have cost more than $20,000
for a twelve-week course of therapy, while some individual
treatments can cost $10,000 per month. Oncology drugs are projected
to account for 9 percent of all prescription pharmaceutical
spending growth between 2009 and 2011.
To help manage the drug spend in the biotech drug category, in
which many of the cancer treatments reside, a regulatory pathway to
make lower-cost, generic versions - biosimilars - of these drugs is
now under consideration in Congress. If approved, generic biotech
drugs could lead to significant savings once the original brand
drug loses patent.
Breast cancer drugs to hit market
Many oncology agents in late stage clinical development and
several expected to receive approval in 2010 or 2011 will likely
have a significant effect on specialty drug spending. Breast cancer
could have an array of new treatments, including vandetanib
(Zactima(TM)), motesanib, lonafarnib (Sarasar®), and pazopanib.
Several of these drugs may be initially approved for other forms of
cancer.
Supportive Care
Supportive care therapies that help manage the side effects of
other cancer treatments represent a considerable share of
cancer-related drug costs. In the case of side effects from breast
cancer treatment, several treatments that suppress estrogen can
contribute to the risk for osteoporosis, and oral or injectable
osteoporosis drugs can reduce the risk of skeletal problems and
bony metastasis. Chemotherapy and radiation treatments can create
additional side effects and new drugs have entered the market to
treat those problems. Drugs to treat anemia and neutropenia, both
side effects associated with chemotherapy, have been on the market
for years. However, supportive care therapies need special
attention. Clinicians and patients need to be aware of the safety
concerns associated with anemia treatments that require close
attention to hemoglobin levels, and consideration of the risk of
thrombosis or growth of some tumor types.
Medco Opens Specialized Oncology Care Center
Marking October as the 25th Anniversary of Breast Cancer
Awareness Month, Medco is making a major commitment to advancing
cancer care with the opening of the oncology Medco Therapeutic
Resource Center® (TRC) in its new Indianapolis pharmacy. The
oncology TRC will focus on the specialized treatment of patients
with common cancers such as leukemia, breast, lung, prostate and
colon, as well as pediatric cancers. In addition, Medco's new
oncology TRC will assist those who are prescribed specialty drugs
to maintain or improve their quality of life.
About Medco
Medco Health Solutions, Inc. (NYSE:MHS) is pioneering the world's most
advanced pharmacy® and its clinical research and innovations
are part of Medco making medicine smarter(TM) for more than 60
million members.
With more than 20,000 employees dedicated to improving patient
health and reducing costs for a wide range of public and private
sector clients, and 2008 revenue exceeding $51 billion, Medco ranks
45th on the Fortune 500 list and is named among the world's most
innovative, most admired and most trustworthy companies.
For more information, go to http://www.medcohealth.com/.
This press release contains "forward-looking statements" as that
term is defined in the Private Securities Litigation Reform Act of
1995. These statements involve risks and uncertainties that may
cause results to differ materially from those set forth in the
statements. No forward-looking statement can be guaranteed, and
actual results may differ materially from those projected. We
undertake no obligation to publicly update any forward-looking
statement, whether as a result of new information, future events,
or otherwise. Forward-looking statements in this press release
should be evaluated together with the risks and uncertainties that
affect our business, particularly those mentioned in the Risk
Factors section of the Company's Annual Report on Form 10-K and
Quarterly Reports on Form 10-Q filed with the Securities and
Exchange Commission.
Source: Medco Health Solutions, Inc.
CONTACT: Ann Smith, Medco Health Solutions,
+1-201-269-5984,
Ann_Smith@medco.com; Janet
Schiller or Bill Borden, Coyne Public Relations,
+1-973-316-1665, both for Medco Health Solutions
Web Site: http://www.medcohealth.com/
Posted: October 2009
