AIDS Healthcare Foundation 'Horrified' as Abbott Blacklists Thailand From New Drugs

In Response to the Thai Government's Recent Move to Issue a Compulsory License for Abbott's Kaletra, a Move Intended to Save the Lives of Its People, Drug Giant Refuses to Issue Any New Drugs in Country Already Hard-Hit by AIDS Epidemic US' Largest HIV/AIDS Healthcare, Prevention and Education Provider Says Abbott's Cold-Hearted Move Punishes Poor People in Need; Underscores Drug Company's Greed

LOS ANGELES, March 13 /PRNewswire/ -- AIDS Healthcare Foundation (AHF), the US' largest HIV/AIDS healthcare, prevention and education provider, which operates free AIDS treatment clinics in the US, Africa, Latin America/Caribbean and Asia, today excoriated US drug giant, Abbott Laboratories for its heartless decision to blacklist the country of Thailand by withdrawing its new drugs' applications from that country's government review process -- a move which in essence deprives Thailand and its citizens of access to any new Abbott medications.

Abbott's move came as a mean-spirited retaliation following Thailand's recent move to issue compulsory licenses on some lifesaving drugs, including Kaletra, an anti-retroviral drug manufactured by Abbott that is used in the treatment of HIV/AIDS. World Trade Organization (WTO) regulations include flexibilities and provisions that allow governments to issue compulsory licenses without consulting the foreign patent owner if the country deems it necessary and appropriate to protect the health of its citizens.

"This is a new low, and I am horrified that Abbott would deprive poor people in need of lifesaving medications, particularly for those living with HIV/AIDS, in a country as hard-hit by the epidemic as Thailand," said Michael Weinstein, AIDS Healthcare Foundation's President. "The Wall Street Journal recently ran a blistering expose on Abbott on the front page which revealed just how down and dirty this company gets to keep its market share and drive business to its overpriced drugs and products.

In Washington, a congressional oversight committee is moving toward an investigation of Abbott's price gouging and policies. At the same time, Abbott has the hubris to blacklist a courageous country like Thailand simply trying to do the right thing for its people. Astounding."

After Thailand issued the compulsory license for Kaletra earlier this year, Abbott began negotiating price reductions with Thai officials. Thailand appeared to be willing to engage in negotiations, but Abbott would only take $200US off the $2,200US price (per patient yearly). It is estimated that with Thailand's compulsory license, a generic version of Kaletra can be produced for around $1,000 per patient yearly.

The initial impact of Abbott's move to block its new drugs from being approved for use in Thailand could be devastating. The urgent issue for HIV/AIDS patients revolves around the heat-stable form of Abbott's drug, Kaletra, (called Aluvia), which is currently in the process of being approved for use in Thailand. With today's decision, Abbott is likely to revoke the application for governmental approval for that drug in Thailand.

"Without Aluvia in the arsenal of drugs to fight HIV/AIDS, Thailand will now have to maintain expensive cold storage for the drug, and poorer infected populations, who often cannot afford refrigeration, will continue to go without access to any form of Kaletra," said Homayoon Khanlou, MD, AIDS Healthcare Foundation's Associate Director of Medicine. "With drug resistance a major concern for those living with HIV, consistent access to such lifesaving medications is crucial."

"It is our understanding that in issuing the compulsory license, the Government of Thailand acted in accordance with all international regulations, including paying a royalty to Abbott for all sales of generic Kaletra," said Terri Ford, AIDS Healthcare Foundation's Director of Global Advocacy.

"AIDS Healthcare Foundation treats people all over the world in our free clinics, and we know how desperately these drugs are needed. I am saddened by this heartless move by Abbott, and urge the company to consider keeping their lifesaving drugs available to those whose lives are actually in need of saving in Thailand and elsewhere."

In the Asia-Pacific region, AIDS Healthcare Foundation currently

provides free anti-retroviral treatment through its clinics in India, China

and Cambodia, and is opening a center in Vietnam.

SOURCE AIDS Healthcare Foundation (AHF)

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