BUSINESS
April 12, 2012 | By David Sell, INQUIRER STAFF WRITER
An Arkansas judge fined Johnson & Johnson more than $1.1 billion Wednesday because the health-care giant's Janssen subsidiary marketed the antipsychotic drug Risperdal in misleading ways through that state's Medicaid system. The award, if upheld on appeal, could reverberate through the many courts in which J&J is fighting lawsuits about the drug, which was approved only for schizophrenia and bipolar mania but was prescribed for other ailments. "This is the third one in a row that they've lost, and when you see a pattern like this, sometimes discretion is the better part of valor when you're trying to decide about settling," said University of Richmond law professor Carl Tobias, who specializes in product liability.
BUSINESS
April 4, 2012 | By David Sell, INQUIRER STAFF WRITER
Health-care giant Johnson & Johnson said Tuesday that it plans to sell the trauma segment of its medical-device division for $280 million to Biomet Inc. in hopes of satisfying European Union antitrust concerns about J&J's acquisition of device-maker Synthes Inc. J&J is planning to integrate Synthes and the other pieces of DePuy Orthopaedics. "DePuy Orthopaedics Inc. has received a binding offer from Biomet, a leading, diversified orthopedic company, by which Biomet will acquire the DePuy Orthopaedics' worldwide trauma business," J&J spokesman Bill Price said by e-mail.
BUSINESS
February 26, 2012 | By David Sell, Inquirer Staff Writer
Alex Gorsky got a promotion Tuesday, but the challenge confronting the next chief executive officer of Johnson & Johnson is visible in some of the other jobs that still need filling at the global health-care company's facility in Fort Washington, home to some of its most iconic brands. Manufacturing Supervisor . Consent Decree Management Office Facilitator, Product Development & Validation . Director of Marketing - US OTC Pain . Gorsky lives in Bucks County, like outgoing CEO Bill Weldon, and commutes across the Delaware to the J&J headquarters in New Brunswick.
BUSINESS
February 22, 2012 | By David Sell, Inquirer Staff Writer
Johnson & Johnson chief executive officer Bill Weldon, 63, will retire in April, after a string of product recalls that have embarrassed the health-care giant in recent years. Alex Gorsky, 51, one of two vice chairmen, will succeed Weldon at the company's annual meeting. Gorsky edged out fellow vice chair Sheri McCoy for the top spot with the company, which had $65 billion in sales with such names as Band-Aids and Tylenol, along with medical devices and pharmaceuticals. The last big acquisition on Weldon's watch - and one of the biggest in health care in 2011 - was the as-yet-unfinalized $21.3 billion takeover of the medical-device manufacturer Synthes Inc., which has operations in Chester County.
BUSINESS
January 25, 2012 | By David Sell, Inquirer Staff Writer
The McNeil Consumer Healthcare plant in Fort Washington, Montgomery County, will not resume production until at least 2013, Johnson & Johnson's chief executive officer, Bill Weldon, said Tuesday as the company reported 2011 full-year and fourth-quarter financial results. Recalls, repairs, litigation, and costs related to the acquisition of Synthes Inc. played a big part in J&J's profit dropping 88.8 percent in the fourth quarter of 2011 compared with the same period a year earlier.
NEWS
January 23, 2012
The United States spends about $2.6 trillion per year on health care, or about 17.4 percent of our gross domestic product - more than most developed nations without correspondingly good results. The Justice Department has increased prosecution of health-care fraud, which can physically harm patients and fiscally injure taxpayers, against individuals or multinational companies. Philadelphia is a center for that fight because there are many health-care companies in the area.
BUSINESS
January 6, 2012 | By Margaret Cronin Fisk, Jef Feeley, and David Voreacos, Bloomberg News
Johnson & Johnson will pay more than $1 billion to the United States and most states to resolve a civil investigation into marketing of the antipsychotic Risperdal, according to people familiar with the matter. J&J, the world's largest health-products company, reached an accord last week with the U.S. attorney in Philadelphia, according to the sources, who were not authorized to speak about the matter. It doesn't resolve negotiations over a possible criminal plea, they said. The U.S. government has been investigating Risperdal sales practices since 2004, including allegations that the company marketed the drug for unapproved uses, J&J has said in Securities and Exchange Commission filings.
BUSINESS
January 5, 2012 | By David Sell, Inquirer Staff Writer
The little boy was 2 years old, and his name was River. On the night of July 22, 2010, he had a fever. Mothers and fathers worry about little boys with fevers, so Katy Moore gave her son Very Berry Strawberry Children's Tylenol. Within 30 minutes, he was spitting up blood. By the next day, he was dead from liver failure. In a lawsuit filed in Philadelphia Common Pleas Court, Daniel and Katy Moore of Ellensburg, Wash., southeast of Seattle, blame Tylenol's manufacturer, Johnson & Johnson Inc., and its McNeil Consumer Healthcare subsidiary, which has a plant and headquarters in Fort Washington, Montgomery County.
BUSINESS
December 23, 2011 | By David Sell, Inquirer Staff Writer
Patients and profits are often on opposite sides of the cost equation for pharmaceutical companies. That was evident this week, when Johnson & Johnson decided not to help an international nonprofit organization that tries to help provide AIDS drugs in poor nations at cheaper prices by making patent-protected drug formulas available to lower-cost manufacturers. J&J said three drugs, including one whose research was partially funded by U.S. taxpayers, would not be released to the Medicines Patent Pool.
NEWS
December 15, 2011
Synthes Inc. shareholders, meeting at the company's headquarters in Solothurn, Switzerland, voted to approve the proposal by Johnson & Johnson to take over Synthes for $21.3 billion in cash and stock. Synthes has facilities and a U.S. headquarters in Chester County. The companies hope to close the deal in the first half of 2012. "The shareholders approved the proposal to adopt the agreement and plan of merger as outlined in the invitation," Synthes said in a statement. The European Union is reviewing the deal to examine the antitrust effects on the market for screws, plates and other devices to fix bones broken through trauma or wear and tear.