an anthropomorphized red and blue pill illustrated in the style of the famous american gothic painting
Alex Hogan/STAT

Ed Silverman, a senior writer and Pharmalot columnist at STAT, has been covering the pharmaceutical industry for nearly three decades. He is also the author of the morning Pharmalittle newsletter and the afternoon Pharmalot newsletter.

And so, another working week will soon draw to a close. Not a moment too soon, yes? This is, you may recall, our treasured signal to daydream about weekend plans. Our agenda is still shaping up but we do know that we will be catching up on our reading, promenading with the official mascots, and hanging with a short person or two. We also hope to hold yet another listening party, where the rotation will likely include this, this, this, this and this. And what about you? The winter doldrums may be upon us, but this may also present an opportunity to enjoy the great outdoors by taking a brisk walk. Conversely, you could curl up in front of the telly to binge-watch a series or two. Or simply take stock of the universe as a changing of the guard nears. Well, whatever you do, have a grand time. But be safe. Enjoy, and see you on Tuesday, since we have an extended break due to a holiday on this side of the pond.

Medicare officials announced plans to negotiate the prices of blockbuster diabetes and weight loss drugs Ozempic and Wegovy, further complicating big decisions the Trump administration will have to make about how to cover the medications, STAT writes. The drugs are on a list of 15 whose prices will be negotiated this year in a program created by one of President Biden’s signature accomplishments, the Inflation Reduction Act. The inclusion of these high-profile medications could raise the public profile of the negotiation program, which has struggled to break through. Right now, Medicare is not allowed to cover Wegovy, the obesity drug, for weight loss alone, but the Biden administration released an eleventh-hour proposal to change that. The program can cover it for some conditions related to obesity, including heart disease, and covers Ozempic for diabetes. The choices facing the incoming Trump administration over weight loss drug coverage have massive consequences for the Medicare program, for patients, and for Novo Nordisk, which makes the drugs. Eli Lilly makes rival diabetes and weight loss drugs Mounjaro and Zepbound.

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Novartis filed a lawsuit accusing the Biden administration of unlawfully preventing the company from changing payment terms to some hospitals that participate in the 340B Drug Discount Program, the latest instance in which a pharmaceutical company has gone to court in recent months over such a dispute. In its lawsuit, the company argued the U.S. Health Resources and Services Administration has wrongfully interpreted a federal law concerning the use of rebates in the program, which was created to help hospitals and clinics care for low-income and rural patients. Novartis had an additional motive for filing its lawsuit. The company sells the Entresto heart drug, which was selected by Medicare for price negotiations. The agency wants manufacturers to ensure the 340B discount and maximum fair price under the Inflation Reduction Act are not applied to the same drug. By offering rebates instead of discounts, drug companies are trying to avoid this conundrum.

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