TOP STORY
If it hadn’t been already, Theranos is officially on death watch now in the wake of a report that the company has told CMS that it has invalidated two years of blood-test results from the, ahem, “revolutionary” Edison testing devices.
Theranos has thrown out all Edison test results from 2014 and 2015, according to an anonymous source cited by the Wall Street Journal. The former darling of Silicon Valley also has sent “tens of thousands” of corrected results reports to physicians and patients, including for some tests run on traditional lab devices.
“That means some patients received erroneous results that might have thrown off health decisions made with their doctors,” the Journal reported.
Theranos apparently made the admission to head off sanctions threatened by CMS, including a two-year ban from blood testing for founder and CEO Elizabeth Holmes. But hasn’t the damage been done already? — The Wall Street Journal
Here at MedCity News, we’re thinking Journal reporter John Carreyrou may be in line for a Pulitzer Prize for unmasking the shenanigans at Theranos.
A Deep-dive Into Specialty Pharma
A specialty drug is a class of prescription medications used to treat complex, chronic or rare medical conditions. Although this classification was originally intended to define the treatment of rare, also termed “orphan” diseases, affecting fewer than 200,000 people in the US, more recently, specialty drugs have emerged as the cornerstone of treatment for chronic and complex diseases such as cancer, autoimmune conditions, diabetes, hepatitis C, and HIV/AIDS.
LIFE SCIENCES
Speaking of companies being investigated for questionable business practices, wouldn’t you know that Valeant has revealed that three executives are in line for $10.8 million in bonuses this year? — STAT
Medtronic has bought the gynecology division of Smith & Nephew for $350 million and is investing as much as $52 million in Mazor Robotics, maker of a robotically assisted surgical system for spine operations. — Minneapolis Star Tribune
The FDA has approved the first new treatment for advanced bladder cancer in nearly three decades, Genentech’s Tecentriq (atezolizumab). — CBS News
Foundation Medicine has sued Guardant Health, claiming patent infringement over a next-generation DNA sequencing test. — GenomeWeb
Sixteen hospitals in the U.S. are testing a Swedish-made device that “reconditions” donor lungs outside the body before transplantation. — MassDevice
PAYERS-PROVIDERS
UnitedHealth Group’s OptumRx has won a $4.9 billion PBM contract with California Public Employees Retirement System, the nation’s largest pension fund. — San Francisco Business Times
The Crohn’s & Colitis Foundation of America and RMEI Medical Education are doing something rather remarkable: Including patients in new CME curriculum on inflammatory bowel diseases. — PR Newswire
Could sexism be to blame for limits to practice authority for nurse practitioners in some states? — STAT
TECHNOLOGY
Indianapolis-based startup SpeechVive, which is designing speech devices for people with Parkinson’s disease, has brought in $2.3 million in grant money and venture capital. — Xconomy
Population health management technology startup Virtual Health has closed an unspecified investment round led by Edison Partners. — PR Newswire
POLITICS
More than half of the $97 million in budget cuts announced by Gov. Sam Brownback (R-Kansas) on Wednesday will come from Medicaid. That will trigger a loss of an additional $72 million in federal matching funds. — The Wichita Eagle
It seems as if the same Washington lobbying firm wrote nearly identical opening statements for two different witnesses in a congressional hearing on prescription drug costs this week. — Los Angeles Times
A LITTLE BIT EXTRA
Jody Schoger, one of the three founders of the Breast Cancer Social Media tweet chat and a longtime blogger and patient advocate, has died following a recurrence of the disease. — BCSM.org
