Friday, April 20, 2007

Part D Drug Prices Soar and So Do Drug Maker Profits

It's really been a good week for drug makers. Not so great for seniors facing high prescription drug bills. Consider this interestesting pair of stories today.

A new report by Families USA shows the prices for drugs in the Part D program are rising at four times the inflation rate. This mirrors earlier findings on what seniors enrolled in Part D are really facing.

Not so coincidentally, the Associated Press reports that first quarter profits for three top pharmaceutical companies showed double-digit jumps. One analyst, Steve Brozac with WBB Securities says, "The demographics lean toward the pharmaceutical industry, no doubt about it."

After this week's Senate negotiation vote it's clear Washington does too.

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