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Zacks Industry Outlook Highlights: The Medicines Company, Optimer Pharma and Cubist Pharma

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For Immediate Release


Chicago, IL – August 10, 2012 – Today, Zacks Equity Research discusses the U.S. Pharma & Biotech, including The Medicines Company (MDCO - Free Report) , Optimer Pharma and Cubist Pharma .



A synopsis of today’s Industry Outlook is presented below. The full article can be read at



A major event that will have a significant impact pharma and biotech stocks is the upholding of the Patient Protection and Affordable Care Act (ACA) by the Supreme Court in late June 2012. The Act, popularly referred to as “Obamacare,” passed through Congress in 2010, represents major changes in the nation’s healthcare sector.

The Act will provide coverage to 32 million uninsured Americans, make healthcare facilities more affordable, expand coverage for customers with pre-existing health conditions and keep a check on health insurers. The healthcare reform aims to end the discrimination policy of insurance companies, create competition amongst insurers through the establishment of health insurance exchanges, add value to the overall healthcare system and reduce premiums.

The upholding of the Act is a big win for pharma companies as the coverage base will increase.

Meanwhile, the signing of the Gaining Antiobiotic Incentives Now (GAIN) Act should benefit companies pursuing the development of novel antibiotics. Once approved, these products will enjoy an additional five years of marketing exclusivity. Companies that should benefit from this Act include The Medicines Company (MDCO - Free Report) , Optimer Pharma and Cubist Pharma among others.

Another important event in the past few weeks was the signing of the Food and Drug Administration Safety and Innovation Act (FDASIA) of 2012. This new law includes the reauthorization of the Prescription Drug User Fee Act (PDUFA), under which the FDA is provided with funds and resources needed to ensure the smooth and timely review of drugs.


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