Bristol-Myers Squibb
Encyclopedia
Bristol-Myers Squibb often referred to as BMS, is a pharmaceutical company
, headquartered in New York City
. The company was formed in 1989, following the merger of its predecessors Bristol-Myers and the Squibb Corporation. Squibb was founded in 1858 by Edward Robinson Squibb in Brooklyn, New York, while Bristol-Myers was founded in 1887 by William McLaren Bristol
and John Ripley Myers
in Clinton
, New York (both were graduates of Hamilton College).
Lamberto Andreotti became the company's CEO
on May 4, 2010. Former CEO James M. Cornelius remains chairman of the Board of Directors.
Bristol-Myers Squibb manufactures prescription pharmaceuticals in several therapeutic areas, including cancer, HIV/AIDS, cardiovascular disease, diabetes, hepatitis, rheumatoid arthritis and psychiatric disorders. Its mission is to "discover, develop and deliver innovative medicines that help patients prevail over serious diseases."
BMS' primary R&D sites are located in Princeton, New Jersey
(formerly Squibb) and Wallingford, Connecticut
(formerly Bristol-Myers), with other sites in Hopewell and New Brunswick, New Jersey, and in Braine-l'Alleud, Belgium, and Tokyo.
A major restructuring involves focusing on the pharmaceutical business and biologic products along with productivity initiatives and cost-cutting and streamlining business operations through a multi-year program of on-going layoffs. As another cost-cutting measure Bristol-Myers also reduced subsidies for health-care to retirees and plans to freeze their pension plan at the end of 2009.
In November 2009, Bristol-Myers Squibb announced that it was "splitting off" Mead Johnson Nutrition by offering BMY shareholders the opportunity to exchange their stock for shares in Mead Johnson. According to Bristol-Myers Squibb, this move is expected to further sharpen the company's focus on biopharmaceuticals.
In 1999, President Clinton awarded Bristol-Myers Squibb the National Medal of Technology, the nation's highest recognition for technological achievement, "for extending and enhancing human life through innovative pharmaceutical research and development and for redefining the science of clinical study through groundbreaking and hugely complex clinical trials that are recognized models in the industry." In 2005, BMS was among 53 entities that contributed the maximum of $250,000 to the second inauguration of President
George W. Bush
.
BMS is a Fortune 500 Company (#114 in 2010 list). Newsweek's 2009 Green Ranking recognized Bristol-Myers Squibb as 8th among 500 of the largest U.S. corporations. Also, BMS was included in the 2009 Dow Jones Sustainability North America Index of leading sustainability-driven companies.
In August 2009, BMS acquired the biotechnology
firm Medarex
as part of the company's "String of Pearls" strategy of alliances, partnerships and acquisitions. In October 2010, the company acquired ZymoGenetics, securing an existing product as well as pipeline assets in hepatitis C, cancer and other therapeutic areas.
trees on United States
territory for the manufacture of chemotherapy
drug paclitaxel
(Taxol). Current paclitaxel production comes from renewable sources. BMS also held the original paclitaxel license, but there are now multiple generic producers.
," or the practice of offering excess inventory to customers to create higher sales numbers. The company has since settled with the United States Department of Justice
and Securities and Exchange Commission, agreeing to pay $150 million while neither admitting nor denying guilt.
According to an FTC
consent order filed in 2003, the company
The company has also been sued in this matter by state attorneys general to recover monetary damages.
As part of a Deferred Prosecution Agreement, the company was placed under the oversight of a monitor appointed by the U.S. Attorney in New Jersey. In addition, the former head of the Pharma group, Richard Lane
, and the ex-CFO
, Fred Schiff, were indicted for federal securities violations.
An investigation of the company was made public in July 2006, and the FBI raided the company's corporate offices. The investigation centered around the distribution of Plavix and charges of collusion
.
On September 12, 2006, the monitor, former Federal Judge Frederick B. Lacey, urged the company to remove then CEO Peter Dolan over the Plavix dispute. Later that day, BMS announced that Dolan would indeed step down.
The Deferred Prosecution Agreement expired in June 2007 and the Department of Justice did not take any further legal action against the company for matters covered by the DPA. Under CEO Jim Cornelius, who was CEO following Dolan until May 2010, all executives involved in the "channel-stuffing" and generic competition scandals have since left the company.
Pharmaceutical company
The pharmaceutical industry develops, produces, and markets drugs licensed for use as medications. Pharmaceutical companies are allowed to deal in generic and/or brand medications and medical devices...
, headquartered in New York City
New York City
New York is the most populous city in the United States and the center of the New York Metropolitan Area, one of the most populous metropolitan areas in the world. New York exerts a significant impact upon global commerce, finance, media, art, fashion, research, technology, education, and...
. The company was formed in 1989, following the merger of its predecessors Bristol-Myers and the Squibb Corporation. Squibb was founded in 1858 by Edward Robinson Squibb in Brooklyn, New York, while Bristol-Myers was founded in 1887 by William McLaren Bristol
William McLaren Bristol
William McLaren Bristol was one of the two co-founders of Bristol-Myers Squibb. Myers and Bristol founded the company that would evolve into an international pharmaceutical giant in Bristol's hometown of Clinton, New York in 1887. Bristol graduated from Hamilton College in 1882....
and John Ripley Myers
John Ripley Myers
John Ripley Myers was one of the two co-founders of Bristol-Myers Squibb. Myers and Bristol founded the company that would evolve into an international pharmaceutical giant in Clinton, New York in 1887. Myers also graduated from Hamilton College in 1887....
in Clinton
Clinton, Oneida County, New York
Clinton is a village in Oneida County, New York, United States. The population was 1,952 at the 2000 census. It was named for George Clinton, a royal governor of the colony of New York....
, New York (both were graduates of Hamilton College).
Lamberto Andreotti became the company's CEO
Chief executive officer
A chief executive officer , managing director , Executive Director for non-profit organizations, or chief executive is the highest-ranking corporate officer or administrator in charge of total management of an organization...
on May 4, 2010. Former CEO James M. Cornelius remains chairman of the Board of Directors.
Bristol-Myers Squibb manufactures prescription pharmaceuticals in several therapeutic areas, including cancer, HIV/AIDS, cardiovascular disease, diabetes, hepatitis, rheumatoid arthritis and psychiatric disorders. Its mission is to "discover, develop and deliver innovative medicines that help patients prevail over serious diseases."
BMS' primary R&D sites are located in Princeton, New Jersey
Princeton, New Jersey
Princeton is a community located in Mercer County, New Jersey, United States. It is best known as the location of Princeton University, which has been sited in the community since 1756...
(formerly Squibb) and Wallingford, Connecticut
Wallingford, Connecticut
Wallingford is a town in New Haven County, Connecticut, United States. The population was 43,026 at the 2000 census.- History :Wallingford was established on October 10, 1667, when the Connecticut General Assembly authorized the "making of a village on the east river" to 38 planters and freemen...
(formerly Bristol-Myers), with other sites in Hopewell and New Brunswick, New Jersey, and in Braine-l'Alleud, Belgium, and Tokyo.
A major restructuring involves focusing on the pharmaceutical business and biologic products along with productivity initiatives and cost-cutting and streamlining business operations through a multi-year program of on-going layoffs. As another cost-cutting measure Bristol-Myers also reduced subsidies for health-care to retirees and plans to freeze their pension plan at the end of 2009.
In November 2009, Bristol-Myers Squibb announced that it was "splitting off" Mead Johnson Nutrition by offering BMY shareholders the opportunity to exchange their stock for shares in Mead Johnson. According to Bristol-Myers Squibb, this move is expected to further sharpen the company's focus on biopharmaceuticals.
In 1999, President Clinton awarded Bristol-Myers Squibb the National Medal of Technology, the nation's highest recognition for technological achievement, "for extending and enhancing human life through innovative pharmaceutical research and development and for redefining the science of clinical study through groundbreaking and hugely complex clinical trials that are recognized models in the industry." In 2005, BMS was among 53 entities that contributed the maximum of $250,000 to the second inauguration of President
President of the United States
The President of the United States of America is the head of state and head of government of the United States. The president leads the executive branch of the federal government and is the commander-in-chief of the United States Armed Forces....
George W. Bush
George W. Bush
George Walker Bush is an American politician who served as the 43rd President of the United States, from 2001 to 2009. Before that, he was the 46th Governor of Texas, having served from 1995 to 2000....
.
BMS is a Fortune 500 Company (#114 in 2010 list). Newsweek's 2009 Green Ranking recognized Bristol-Myers Squibb as 8th among 500 of the largest U.S. corporations. Also, BMS was included in the 2009 Dow Jones Sustainability North America Index of leading sustainability-driven companies.
In August 2009, BMS acquired the biotechnology
Biotechnology
Biotechnology is a field of applied biology that involves the use of living organisms and bioprocesses in engineering, technology, medicine and other fields requiring bioproducts. Biotechnology also utilizes these products for manufacturing purpose...
firm Medarex
Medarex
Medarex is an American biotechnology company owned by Bristol Myers Squibb and based in Princeton, New Jersey. The company has manufacturing facilities in Bloomsbury and Annandale, New Jersey, and research facilities in Milpitas and Sunnyvale, California. Medarex specializes in therapeutic...
as part of the company's "String of Pearls" strategy of alliances, partnerships and acquisitions. In October 2010, the company acquired ZymoGenetics, securing an existing product as well as pipeline assets in hepatitis C, cancer and other therapeutic areas.
Pharmaceuticals
The following is a list of key pharmaceutical products:- Abilify (aripiprazoleAripiprazoleAripiprazole is an atypical antipsychotic and antidepressant used in the treatment of schizophrenia, bipolar disorder, and clinical depression...
) - AtriplaAtriplaEmtricitabine/tenofovir/efavirenz is a fixed-dose combination drug for the treatment of HIV infection. It combines Gilead Sciences's tenofovir and emtricitabine with Bristol-Myers Squibb's efavirenz into a fixed-dose pill...
(efavirenzEfavirenzEfavirenz is a non-nucleoside reverse transcriptase inhibitor and is used as part of highly active antiretroviral therapy for the treatment of a human immunodeficiency virus type 1....
/emtricitabineEmtricitabineEmtricitabine , with trade name Emtriva , is a nucleoside reverse transcriptase inhibitor for the treatment of HIV infection in adults and children....
/tenofovir) - Avalide (irbesartanIrbesartanIrbesartan is an angiotensin II receptor antagonist used mainly for the treatment of hypertension. Irbesartan was developed by Sanofi Research...
-hydrochlorothiazideHydrochlorothiazideHydrochlorothiazide, abbreviated HCTZ, HCT, or HZT, is a first-line diuretic drug of the thiazide class that acts by inhibiting the kidneys' ability to retain water. This reduces the volume of the blood, decreasing blood return to the heart and thus cardiac output and, by other mechanisms, is...
) - Avapro (irbesartanIrbesartanIrbesartan is an angiotensin II receptor antagonist used mainly for the treatment of hypertension. Irbesartan was developed by Sanofi Research...
) - Baraclude (entecavirEntecavirEntecavir INN , abbreviated ETV, is an oral antiviral drug used in the treatment of hepatitis B infection. It is marketed under the trade name Baraclude ....
) - Coumadin (warfarinWarfarinWarfarin is an anticoagulant. It is most likely to be the drug popularly referred to as a "blood thinner," yet this is a misnomer, since it does not affect the thickness or viscosity of blood...
) - Erbitux (cetuximabCetuximabCetuximab is a chimeric monoclonal antibody, an epidermal growth factor receptor inhibitor, given by intravenous infusion for treatment of metastatic colorectal cancer and head and neck cancer.- Distribution :Cetuximab is manufactured and distributed in North America by ImClone and Bristol-Myers...
) - Ixempra (ixabepiloneIxabepiloneIxabepilone is an epothilone B analog developed by Bristol-Myers Squibb as a cancer drug.It is produced by Sorangium cellulosum.-Pharmacology:It acts to stabilize microtubules....
) - Mucomyst (Acetylcysteine)
- Nulojix (belataceptBelataceptBelatacept is a fusion protein composed of the Fc fragment of a human IgG1 immunoglobulin linked to the extracellular domain of CTLA-4, which is a molecule crucial for T-cell costimulation, selectively blocking the process of T-cell activation...
) - Onglyza (saxagliptinSaxagliptinSaxagliptin , previously identified as BMS-477118, is a new oral hypoglycemic of the new dipeptidyl peptidase-4 inhibitor class of drugs. Early development was solely by Bristol-Myers Squibb; in 2007 AstraZeneca joined with Bristol-Myers Squibb to co-develop the final compound and collaborate on...
) - Orencia (abataceptAbataceptAbatacept is a fusion protein composed of an immunoglobulin fused to the extracellular domain of CTLA-4, a molecule capable of binding B7. Abatacept is a selective costimulation modulator as it inhibits the costimulation of T cells...
) - Plavix (clopidogrelClopidogrelClopidogrel is an oral, thienopyridine class antiplatelet agent used to inhibit blood clots in coronary artery disease, peripheral vascular disease, and cerebrovascular disease. It is marketed by Bristol-Myers Squibb and Sanofi-Aventis under the trade name Plavix. The drug works by irreversibly...
) - Reyataz (atazanavirAtazanavirAtazanavir, marketed under the trade name Reyataz by Bristol Myers, is an antiretroviral drug of the protease inhibitor class...
) - Sprycel (dasatinibDasatinibDasatinib, previously known as BMS-354825, is a cancer drug produced by Bristol-Myers Squibb and sold under the trade name Sprycel. Dasatinib is an oral multi- BCR/ABL and Src family tyrosine kinase inhibitor approved for use in patients with chronic myelogenous leukemia after imatinib treatment...
) - Sustiva (efavirenzEfavirenzEfavirenz is a non-nucleoside reverse transcriptase inhibitor and is used as part of highly active antiretroviral therapy for the treatment of a human immunodeficiency virus type 1....
) - Yervoy (ipilimumabIpilimumabIpilimumab , marketed as Yervoy, is a drug used for the treatment of melanoma, a type of skin cancer. It is a U.S...
)
Taxol
At one time, BMS held the solitary contract to harvest the bark of endangered yewTaxus brevifolia
Taxus brevifolia is a conifer native to the Pacific Northwest of North America. It ranges from southernmost Alaska south to central California, mostly in the Pacific Coast Ranges, but with an isolated disjunct population in southeast British Columbia, most notably occurring on Zuckerberg Island...
trees on United States
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
territory for the manufacture of chemotherapy
Chemotherapy
Chemotherapy is the treatment of cancer with an antineoplastic drug or with a combination of such drugs into a standardized treatment regimen....
drug paclitaxel
Paclitaxel
Paclitaxel is a mitotic inhibitor used in cancer chemotherapy. It was discovered in a U.S. National Cancer Institute program at the Research Triangle Institute in 1967 when Monroe E. Wall and Mansukh C. Wani isolated it from the bark of the Pacific yew tree, Taxus brevifolia and named it taxol...
(Taxol). Current paclitaxel production comes from renewable sources. BMS also held the original paclitaxel license, but there are now multiple generic producers.
Products under development
The following is a selective list of investigational products under development:- ApixabanApixabanApixaban is a compound being investigated as an anticoagulant. It is a direct factor Xa inhibitor. It is presently undergoing phase III trials in the prevention of venous thromboembolism, together with a number of related competing compounds, such as rivaroxaban...
- NecitumumabNecitumumabNecitumumab is a monoclonal antibody and an antineoplastic. It binds to the epidermal growth factor receptor . , two Phase III clinical trials are planned to investigate its effects on non-small cell lung carcinoma....
- Brivanib
- XL184 In June 2010, BMS returned the rights to develop & market XL184 to Exelexis.
- DapagliflozinDapagliflozinDapagliflozin is an experimental drug being studied by Bristol-Myers Squibb in partnership with AstraZeneca as a potential treatment for type 1 and 2 diabetes...
Scandals and allegations
The company was involved in an accounting scandal in 2002 that resulted in a significant restatement of revenues from 1999–2001. The restatement was the result of an improper booking of sales related to "channel stuffingChannel stuffing
Channel stuffing is the business practice where a company, or a sales force within a company, inflates its sales figures by forcing more products through a distribution channel than the channel is capable of selling to the world at large. Also known as "trade loading", this can be the result of a...
," or the practice of offering excess inventory to customers to create higher sales numbers. The company has since settled with the United States Department of Justice
United States Department of Justice
The United States Department of Justice , is the United States federal executive department responsible for the enforcement of the law and administration of justice, equivalent to the justice or interior ministries of other countries.The Department is led by the Attorney General, who is nominated...
and Securities and Exchange Commission, agreeing to pay $150 million while neither admitting nor denying guilt.
According to an FTC
Federal Trade Commission
The Federal Trade Commission is an independent agency of the United States government, established in 1914 by the Federal Trade Commission Act...
consent order filed in 2003, the company
- engaged in a series of anticompetitive acts over the past decade to obstruct the entry of low-price genericGeneric drugA generic drug is a drug defined as "a drug product that is comparable to brand/reference listed drug product in dosage form, strength, route of administration, quality and performance characteristics, and intended use." It has also been defined as a term referring to any drug marketed under its...
competition for three of Bristol's widely-used pharmaceutical products: two anti-cancer drugs, Taxol and PlatinolCisplatinCisplatin, cisplatinum, or cis-diamminedichloroplatinum is a chemotherapy drug. It is used to treat various types of cancers, including sarcomas, some carcinomas , lymphomas, and germ cell tumors...
, and the anti-anxiety agent BuSpar. Bristol avoided competition by abusing federal regulations to block generic entry; deceived the U.S. Patent and Trademark Office (PTO) to obtain unwarranted patent protection; paid a would-be generic rival over $70 million not to bring any competing products to market; and filed baseless patent infringementPatent infringementPatent infringement is the commission of a prohibited act with respect to a patented invention without permission from the patent holder. Permission may typically be granted in the form of a license. The definition of patent infringement may vary by jurisdiction, but it typically includes using or...
lawsuits to deter entry by generics.
The company has also been sued in this matter by state attorneys general to recover monetary damages.
As part of a Deferred Prosecution Agreement, the company was placed under the oversight of a monitor appointed by the U.S. Attorney in New Jersey. In addition, the former head of the Pharma group, Richard Lane
Richard Lane
Richard Lane is the name of:* Richard Lane ; 17th century barrister and Lord Keeper of the Great Seal of England* Richard Lane , 19th century English architect...
, and the ex-CFO
Chief financial officer
The chief financial officer or Chief financial and operating officer is a corporate officer primarily responsible for managing the financial risks of the corporation. This officer is also responsible for financial planning and record-keeping, as well as financial reporting to higher management...
, Fred Schiff, were indicted for federal securities violations.
An investigation of the company was made public in July 2006, and the FBI raided the company's corporate offices. The investigation centered around the distribution of Plavix and charges of collusion
Collusion
Collusion is an agreement between two or more persons, sometimes illegal and therefore secretive, to limit open competition by deceiving, misleading, or defrauding others of their legal rights, or to obtain an objective forbidden by law typically by defrauding or gaining an unfair advantage...
.
On September 12, 2006, the monitor, former Federal Judge Frederick B. Lacey, urged the company to remove then CEO Peter Dolan over the Plavix dispute. Later that day, BMS announced that Dolan would indeed step down.
The Deferred Prosecution Agreement expired in June 2007 and the Department of Justice did not take any further legal action against the company for matters covered by the DPA. Under CEO Jim Cornelius, who was CEO following Dolan until May 2010, all executives involved in the "channel-stuffing" and generic competition scandals have since left the company.