Reference

AMET works diligently to keep the following information updated with the most current medical aesthetic news.  This information has been supplied by numerous sources. AMET is not affiliated with any such sources, and the information provided does not reflect the views of AMET.  The function of this page is to simply provide information, and AMET does not accept responsibility or liability for any views/claims/rumors/errors that appears herein.  

11/19/2009
Senate bill weighs on Allergan, Medicis
Allergan Inc. and Medicis Pharmaceutical Corp. led drug stocks lower early Thursday as shares of the dermatology-products makers fell on news that a new bill proposed by Senate Democrats would levy a 5% excise tax on elective cosmetic procedures.
Senate bill weighs on Allergan, Medicis

By Val Brickates Kennedy, MarketWatch
BOSTON (MarketWatch) -- Allergan Inc. and Medicis Pharmaceutical Corp. led drug stocks lower early Thursday as shares of the dermatology-products makers fell on news that a new bill proposed by Senate Democrats would levy a 5% excise tax on elective cosmetic procedures.

The NYSE Arca Pharmaceutical Index (DRG 300.22, -3.12, -1.03%) and the NYSE Arca Biotechnology Index (BTK 868.01, -17.09, -1.93%) were both down 1.4% at 298.94 and 872.60, respectively.
Shares of Allergan (AGN 58.70, -1.34, -2.23%) were down 3% at $58.15, while shares of Medicis (MRX 23.40, -0.54, -2.26%) fell over 4% to $22.89.

On Wednesday, Senate Democrats proposed a 5% tax on cosmetic procedures, beginning in 2010, as a way to help fund a massive overhaul of the U.S. healthcare system.

Allergan markets the popular wrinkle-fighters Botox and Juvederm, in addition to such products as Natrelle breast implants. Medicis sells a Botox-like product called Dysport, along with the dermatology fillers Restylane and Perlane.

Shares of Swiss conglomerate Roche (RHHB.Y 39.44, -0.81, -2.01%) were down 2% at $39.54.

On Wednesday, an advisory panel of the Food and Drug Administration voted against recommending the agency approve Roche's asthma therapy Xolair for children aged six to 11. The product is already approved for use in patients 12 and over.

Shares of Poniard Pharmaceuticals (PARD 2.10, -0.28, -11.77%) tumbled 10% to $2.14 after rocketing earlier in the week.

On Tuesday afternoon, Poniard shares soared on favorable Phase II clinical data for its chemotherapy picoplatin in the treatment of advanced colorectal cancer. The company added that results from the product's Phase I trial indicated no significant cardiac safety issues.

Val Brickates Kennedy is a reporter for MarketWatch in Boston.

http://www.marketwatch.com/story/senate-bill-weigh...

back to reference main