[Ip-health] Drug Makers Differ Strongly in Policies for Low-income Countries: Index lets investors select most socially responsible producers

[Mike Palmedo]

http://www.atmindex.org/news/drug_companies_differ_strongly_in_policies_for=
_low-income_countries

Drug Makers Differ Strongly in Policies for Low-income Countries: Index
lets investors select most socially responsible producers

HAARLEM, THE NETHERLANDS (June 16, 2008) =97 The world=92s largest
pharmaceutical companies differ strongly in their efforts to provide
millions of people in low-income countries with better access to
affordable drugs and vaccines.

Some major companies are making solid strides, for example by developing
new medicines against previously neglected diseases, says the Access to
Medicine Foundation, an independent non-profit organization that
unveiled a global Access to Medicine Index today.

At the same time, other companies are lagging behind in adapting similar
policies.

=93Rather than looking at the pharmaceutical industry as a black box, the
Access to Medicine Index finds good practices within individual
companies and holds them up as shining examples to others,=94 said Wim
Leereveld, the Index=92 founder.

The Index will also give governments, researchers and NGOs that work to
increase poor people=92s access to healtcare the opportunity to find
suitable industry partners, he added.

New tool for socially responsible investors

The Access to Medicine Index measures and rates efforts by individual
drug companies to increase the number of people that have access to
effective and affordable medicine. The Index ranks twenty of the world=92s
largest drug companies, offering investors and other stakeholders a new
and powerful tool with which to take pharmaceutical companies=92 social
responsibility record into account.

The first Access to Medicine Index identifies GlaxoSmithKline (United
Kingdom) as current industry leader when it comes to improving access to
drugs and vaccines. Following in its footsteps are Novo Nordisk
(Denmark), Merck & Co. (NJ, USA), Novartis (Switzerland), and
Sanofi-Aventis (France).

Eight criteria

The Access to Medicine Index rates dozens of indicators grouped into
eight main criteria. These include companies=92 management of policies
increasing access, the amount of research and development in the
=91neglected diseases=92 area, patenting and licensing policies and the use
of fair pricing systems. The intricate methodology was developed after
extensive consultations with representatives from governments, research,
NGOs and drug companies.

=93For global pharma companies, managing access to medicine is a complex
and daunting challenge,=94 commented Matthew Kiernan, CEO of Innovest
Strategic Value Advisors, which carried out the Index research; =93We view
companies who do it best as better managed and more far-sighted overall,
and therefore more attractive to strategic, long-term investors.=94

About access to medicine

One out of three people on the planet lacks good access to essential,
reliable and affordable medicine. According to estimates, increasing
such access could save the lives of 10 million people each year. The
Access to Medicine Foundation believes the responsibility to increase
access is shared by all, including pharmaceutical companies, which own
vital pieces of knowledge, technology and infrastructure.

About Socially Responsible Investing

The Access to Medicine Index is at present supported by twelve of the
world=92s leading institutional investors, together managing assets worth
more than USD 1.2 trillion. They have welcomed =93the project=92s efforts t=
o
develop a tool which [..] may be useful to assess the long-term value of
pharmaceutical companies.=94

About the Access to Medicine Foundation

The Access to Medicine Foundation is a fully independent, non-profit
organization based in The Netherlands. Up until now, the foundation has
received funding from the European Agency for the Development and Health
(Aedes), the UK Department for International Development (DFID), the
Dutch Ministry of Foreign Affairs (DGIS), Rabobank, SNS Reaal, Oxfam
Netherlands, Cordaid, the Interchurch organization for global
development (ICCO) and the Humanist Institute for global development
(HIVOS).

About Innovest Strategic Value Advisors

The Access to Medicine Index is published by the Access to Medicine
Foundation. Research for the Index was carried out by Innovest Strategic
Value Advisors (NY, USA), a global investment research firm specializing
in sustainability indicators. Leading global health experts contributed
to the development of the Index; its methodology will be reviewed each year=
.

--
Mike Palmedo
Research Coordinator
Program on Information Justice and Intellectual Property
American University, Washington College of Law
4910 Massachutsetts Ave., NW Washington, DC 20016
T - 202-274-4442 | F 202-274-0659
mpalmedo@wcl.american.edu