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Eli Lilly

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Eli Lilly and Company is a pharmaceutical company based in Indianapolis, Indiana. It is the 149th largest corporation in the United States. It is best known for the anti-depressant Prozac. Other top drugs include Zyprexa (schizophrenia and bipolar disorder), Cymbalta (depression), Gemzar, Alimta (cancer), Humalog insulin and the osteoporosis medication Evista. The company also manufactures cardiovascular and anti-infective pharmaceuticals as well as animal health products. Eli Lillymarkets its products in 135 countries and is publicly traded on the New York Stock Exchange.

In the fiscal year ending in December of 2008, the company recorded sales of approximately 20.4 billion dollars and had a employed 40,500 employees. [1], [2]

Contents

Animal testing

Eli Lilly does animal testing.

Animals by species, numbers & location (United States)

  • Eli Lilly, Indianapolis, Indiana [3]

Numbers of primates being used & held (United States)

  • Eli Lilly, Indianapolis, Indiana [4]

Facility information, progress & USDA-APHIS reports

This facility performed animal experiments involving pain or distress but no analgesics, anesthetics or pain relievers were administered. For copies of this facility's U.S. Department of Agriculture-Animal Plant Health Inspection (APHIS) reports, other information and links, see also Facility Reports & Information, Eli Lilly. [5]

Contract testing

Eli Lilly contract tests out to SNBL, [6] an international contract research organization (CRO). Firms hire CROs to conduct toxicity animal testing for agrochemicals, petrochemicals, household products, pharmaceuticals and toxins. SNBL has a history of gross animal welfare violations. See also SNBL.

Monsanto sells U.S. Posilac (rBGH) division to Eli Lilly

In August 2008, Monsanto sold their Posilac division to Eli Lilly and Company for $300 million (who exclusively sold Posilac outside the US for 10 years before the acquisition.) [7], [8] Posilac creates additional Growth Factor One (IGF-1) in milk (a growth hormone which is identical in cows and humans). IGF-1 is considered to be a fuel cell for cancer growth and has been identified in the rapid growth cancer. The Food and Drug Administration (FDA) insists that IGF-1 is destroyed in the stomach. [9] However, if that were true, the FDA has proven that breast feeding cannot work. [10] It is worth noting that rBGH is banned in every industrialized country in the world except for the U.S., Mexico and Brazil. According to Dr. Michael Hanson of the Consumers Union of the U.S., there is strong scientific evidence to support potential health hazards of rBGH and a case for labeling dairy products that contain rBGH. [11] The FDA approved the use of bovine growth hormone (rbGH) for cows on February 4th, 1994. Both Europe and Canada turned down Monsanto's application for approval. [12] See also Food and Drug Administration, section 3.

Disclosure initiatives

In September 2008, Eli Lilly announced that it will begin reporting its payments to doctors in late 2009, using an online database. But the disclosure is limited to payments of more than $500 made for giving talks or advice to the company; payments for other services or gifts will not be included. Payments made before 2009 will also not be disclosed. Eli Lilly president and CEO John Lechleiter explained the move by stating, "We've learned that letting people see for themselves what we're doing is the best way to build trust." [13] [14]

Lilly announced its new registry of payments to doctors comes as Congress considered the Physician Payments Sunshine Act of 2007. The bill would require disclosure of any drug company payment to doctors of more than $25, whether the payment was for food, travel, entertainment, gifts, consulting fees or any other purpose. [15]

In May 2007, as the U.S. Senate Committee on Finance was investigating drug company grants to patient groups, Eli Lilly began disclosing its grants to U.S. nonprofit groups and educational institutions. [16]

Unethical drug studies, programs & partnerships

In 1994, the FDA chastised Lilly for using alcoholics in a drug study.[1]

In late March 2004, the U.S. Attorney in Pennsylvania announced it was investigating Lilly's marketing practices for three of its big selling drugs - Zyprexa ($4.3 billion), Evista ($922 million) and Prozac ($645 million).[2]

In August 2007, the St. Paul Pioneer Press reported that Minnesota spent $28 million on the Eli Lilly antipsychotic drug Zyprexa in 2005, for poor and disabled residents. Unlike other states, Minnesota does not require prior authorization for antipsychotic drugs, a practice that Eli Lilly opposes. Lilly funds Minnesota's state contract with Comprehensive NeuroScience, a service that "identifies doctors who are prescribing psychiatric drugs outside of recommended guidelines." [17] According to the Pioneer Press:

"In fact, none of the states with Lilly partnerships use prior authorization to manage antipsychotic drugs. ... Wisconsin had a contract with Lilly last year, when the state's Medicaid agency placed antipsychotic drugs, including Zyprexa, on the prior authorization list. State officials were informed shortly thereafter that Lilly was canceling the program."

Minnesota also requires "dose optimization", often resulting in less profit for drug manufacturers; for other antipsychotic medications, but not for Zyprexa. [18]

Tobacco issues

In 1989, Eli Lilly started marketing an anti-depressant drug called fluoxetine (Prozac) that, in addition to elevating mood, was noted to help smokers quit. [3][4]

Political contributions

Eli Lilly gave $582,350 to federal candidates in the 05/06 election cycle through its political action committee (PAC) - 27% to Democrats, 71% to Republicans. [19]

Lobbying

The company spent $3,700,000 for lobbying in 2006. $720,000 of this total went to eight outside lobbying firms, including Barbour, Griffith and Rogers, OB-C Group, Ricchetti Inc, and Capitol Hill Consulting. [20]

Lobbyists

Executive Compensation

According to Fierce Pharma, Eli Lilly's CEO, Sidney Taurel, was the ninth top wage earner in 2007 among pharmaceutical CEOs.

  • Total Compensation: $13M
  • 2007 Revenue: $15.7B
  • 2006 Revenue: $18.6B
  • Change: -15%
"Taurel earned $1.7 million in base salary in 2007, up from $1.6 million in 2006. However, his overall pay was down, from $15.2 million in 2006 to $13 million last year. He pulled in $7.04 million in stock and options, $4 million in incentives, and $215.044 in other compensation, which included $107,105 for use of the company's aircraft."[22]
Key executives and 2006 pay: [23]          Options
exercised
Sidney Taurel - Chairman & CEO    $1,650,000    $3,190,000
John C. Lechleiter - COO    $1,110,000    $269,000
Derica W. Rice - CFO    $615,000    $57,000
Steven M. Paul - Executive VP, Science and Technology    $916,000    $59,000

Executives & board

Key executives

  • John Lechleiter - Chairman, President & CEO
  • Derica Rice - SVP * CFO
  • Michael Heim- VP Information Technology, CIO

Selected board members

Contact

Lilly Corporate Center
Indianapolis, Indiana 46285
USA

Phone: 317-276-2000

Fax: 317-276-4878

Web address: http://www.lilly.com

Articles & sources

SourceWatch articles

References

  1. Company Description: Eli Lilly, Hoovers, accessed December 2009
  2. Fortune 500 list, CNN Money, accessed September 2007
  3. Indianapolis, Indiana, Humane Society of the United States, Research Facilities, accessed December 2008
  4. Numbers of Nonhuman Primates at U.S. Research Facilities, Humane Society of the United States, accessed May 2009
  5. Facility Reports and Information: Eli Lilly and Company, Indianapolis, IN, Stop Animal Exploitation NOW!, accessed October 2009
  6. Chris Halsne Monkey Boiled Alive At Research Lab, KIRO 7 Eyewitness News, February 2008
  7. What Is rBGH & rbST?, Sustainable Table, accessed December 2009
  8. Elanco Announces Acquisition of Posilac, PR Newswire, August 20, 2008
  9. IGF-1 and Milk Statement from FDA, Food and Drug Administration, accessed January 2009
  10. Dave Rietz Dangers of Milk and Dairy Products - The Facts, Rense.com, July 2002
  11. Dr. Michael Hanson rBGH & Monsanto's Recent IntimidationTactics, Organic Consumers Association, February 2003
  12. Robert Cohen Genetic Engineering: Paying The Price With Increased Cancer Deaths, The Notmilkman.com, accessed December 2009
  13. Jacob Goldstein, "Eli Lilly to Disclose Payments to Doctors," Wall Street Journal health blog, September 24, 2008.
  14. Press release, "Lilly CEO Lechleiter detailed registry plans at Indianapolis speech," Eli Lilly, September 24, 2008.
  15. "Lilly Will Disclose Doctor Payments," O'Dwyer's PR Daily (sub req'd), September 24, 2008.
  16. Avery Johnson, "Under Criticism, Drug Maker Lilly Discloses Funding," Wall Street Journal (sub req'd), May 1, 2007.
  17. Jeremy Olson, "Minnesota / Lilly link to state program questioned: Critics see a conflict of interest in drugmaker's health plan role," Pioneer Press (St Paul, MN), August 20, 2007.
  18. Jeremy Olson, "Minnesota / Lilly link to state program questioned: Critics see a conflict of interest in drugmaker's health plan role," Pioneer Press (St Paul, MN), August 20, 2007.
  19. 2006 PAC Summary Data, Open Secrets.
  20. Eli Lilly lobbying expenses, Open Secrets.
  21. Kathryn Dickey Karol, Freedom House, accessed September 2007.
  22. Top 17 Paychecks in Big Pharma: Sidney Taurel, Fierce Pharma, May 19, 2008
  23. Eli Lilly Key Executives, Yahoo Finance, accessed September 2007.
  24. Board of Directors, Eli Lilly, accessed September 2007.

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