Healthy Skepticism Library item: 829

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Publication type: news

Canwest NEWS.
Firm to cut off drug supply: Hospitals owe thousands for Fabry drugs
Ottawa Citizen 2005 Feb 21

Full text:

A firm supplying Canadian hospitals with a drug that helps people living with Fabry disease says several provincial governments owe it $1.1 million.
Genzyme Canada Inc. said it has been filling orders for a drug called Fabrazyme since last November to hospitals in many provinces. The company has shipped $1.1 million worth of Fabrazyme and has been billing hospitals for the drug, but so far no hospitals have paid the tab.

“They have been getting all of the invoices, they are going to have to start paying them,” said Susanne Courtney, a spokeswoman for the company.

Alberta has not paid for 47 vials worth $293,750. Quebec owes $187,500 for 30 vials and Ontario owes $300,000 for 48 vials.

B.C. is arguing that it has a deal with Genzyme to provide the 53 vials ($331,250 worth) it has received since November for free.

But Courtney says there is no deal with B.C.

“It’s just plain fantasy,” she said. “There is no deal. If they can provide something in writing then we would love to see it. I don’t know where this is coming from.”

A B.C. Ministry of Health spokeswoman said they have tried to get the agreement with Genzyme in writing on numerous occasions but have been unsuccessful.
In Ontario, a provincial spokeswoman said there is no formal billing agreement with the company and the province was under the impression Genzyme was being a “good corporate citizen” by supplying the drug for the debilitating genetic disorder.

Earlier this month, Ontario Premier Dalton McGuinty asked that Genzyme continue supplying Fabrazyme for free until review results are released this spring. Genzyme rejected the request.

Fabrazyme costs about $25,000 a month, but patients were getting it for free until last November, when the Canadian Expert Drug Advisory Committee decided the drug was “not cost effective.”

By March 1, Genzyme can legally stop supplying the drug. Meanwhile, its competitor Transkaryotic Therapies, Inc. has offered hospitals free use of its Fabry drug until March 1.