A New Class of Malaria Drugs: The Coartem Breakthrough from Novartis

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A New Class of Malaria Drugs: The Coartem Breakthrough from Novartis and its Chinese Partners Hans Rietveld, Director, Global Access and Marketing, Malaria Initiative, Novartis Pharma AG Workshop on Access and Benefit Sharing, Bonn, 26 May 2008 Agenda Malaria An African Tragedy A new class of antimalarials building on Chinese Traditional Medicine A short overview of the Coartem program 2 The Coartem Initiative Workshop Access and Benfit Sharing Bonn, 26 May 2008 1

Malaria: An African Tragedy! 40% of the world population at risk Malaria index 300-500 million clinical cases per year (80% of cases in Africa) At least 1 million deaths per year (more than 90% in Africa) Children and pregnant women are most at-risk Economic burden to African countries is about USD12 billion/year Source: WHO Roll Back Malaria 2003 3 The Coartem Initiative Workshop Access and Benfit Sharing Bonn, 26 May 2008 Strategy against Malaria Malaria can be prevented and controlled by three main strategies: Insecticide Spraying Control of the mosquitoes by spraying and drainage of areas where they live Indoor residual insecticide spraying (IRS) Insecticidetreated Bed Nets (ITN) Drug Treatment ACT (artemisinincombination therapies) Coartem (artemether lumefantrine) is the first WHO pre-qualified fixeddose ACT to be included on the WHO s Model List of fessential lmedicines i 4 The Coartem Initiative Workshop Access and Benfit Sharing Bonn, 26 May 2008 2

The Issue of Resistance 60-70% Treatment Failures! Drug resistance has increased rapidly: Suboptimal dosing Misuse and poor prescribing habits Lack of compliance to the proper dosing regimen by patients 120 100 80 60 40 20 0 mefloquine quinine chloroquine sulphadoxinepyrimethamine (SP) 1975 1976 1978 1980 1982 1984 1986 1988 1990 1992 1994 Serious drug resistance to established therapies e.g. chloroquine and SP exists in much of Africa and South-East Asia (60-70% treatment failure rates); resistance already seen with amodiaquine, especially in East Africa World Health Organization (WHO) called for use of artemisinin correctly in combination therapies; in January 2006, WHO called for terminating the distribution and sale of artemisinin monotherapies 5 The Coartem Initiative Workshop Access and Benfit Sharing Bonn, 26 May 2008 WHO Malaria Treatment Guidelines (2006) Artemether-lumefantrine Artesunate-amodiaquine amodiaquine Artesunate-mefloquine* Artesunate-SP (sulfadoxine-pyrimethamine) *There is currently insufficient safety and tolerability data on artesunate plus mefloquine at the recommended dose of 25mg/kg in African children. Trials with mefloquine monotherapy (25mg/kg) have raised concerns of tolerability in African children 6 The Coartem Initiative Workshop Access and Benfit Sharing Bonn, 26 May 2008 3

Agenda Malaria An African Tragedy A new class of antimalarials building on Chinese Traditional Medicine A short overview of the Coartem program 7 The Coartem Initiative Workshop Access and Benfit Sharing Bonn, 26 May 2008 A Three-Day Cure to Fight Malaria is Available Now! Artemisinin-based Combination Therapy (ACT) is the best available treatment ACTs are the only effective treatment in drug resistant areas and are recommended by WHO as first line therapy Novartis ACT, Coartem, is the first fixed-dose artemisinin combination prequalified by WHO Coartem provides: Prompt control of fever in as little as 24 to 36 hours Rapid parasite clearance stopping disease propagation Cure rates >96% after only three days of therapy! Good tolerance throughout treatment 8 The Coartem Initiative Workshop Access and Benfit Sharing Bonn, 26 May 2008 4

Coartem History The active ingredient in Coartem, artemisinin, is a plant-derived product from sweet wormwood or Artemisia annua Artemisinin is an ancient Chinese medicine used in modern practice First used 168 B.C., Coartem was discovered in 1967 by the Chinese to treat malaria-stricken soldiers during the Vietnam war O O O O O 9 The Coartem Initiative Workshop Access and Benfit Sharing Bonn, 26 May 2008 Coartem Development and Manufacturing Development of Coartem resulted from collaboration between Novartis (Ciba-Geigy) and Chinese partners in 1994- first collaboration of its kind in Chinese history Significant technology transfer from Novartis to Chinese partners underway since 1994 The product is manufactured by Chinese manufacturers and Novartis in China and USA according to Good Manufacturing Practices (GMPs) The product was pre-qualified by WHO and included on WHO Model List of Essential Medicines in 2002 Prof Zhou Yi-qing 10 The Coartem Initiative Workshop Access and Benfit Sharing Bonn, 26 May 2008 5

Collaboration Structure between Novartis and its Chinese Partners CITIC Technology Provides - Project management - Liaison management for Novartis and Chinese partners KPC Kunming Pharmaceutical Factory Institute Of Microbiology and Epidemiology of the Academy of Military Medical Sciences ZMC Supplies Artemether Owns IP Supplies Lumefantrine 11 The Coartem Initiative Workshop Access and Benfit Sharing Bonn, 26 May 2008 In 2005, Novartis Took Unprecedented Steps to Ensure Delivery of Millions of Coartem Treatments Expanded artemisinin production in China and Africa Transferred chemical production from Switzerland to China Dedicated pharmaceuticals production/packaging in Suffern, NY 12 The Coartem Initiative Workshop Access and Benfit Sharing Bonn, 26 May 2008 6

ACT Production: More Complex than Most Drugs Jan Apr Aug Nov Feb Raw Materials/Drug Substances Drug Product Seeds secured from prior Autumn Planting of seeds in nursery, plantation in fields, growing, harvest Artemisinin - 7 months Production Lumefantrine Up to 7 months Extraction Artemisinin 1 month Production Artemether 2 months DS Tabletting shipment 1 month 1 month Packaging 1 month Shipping to country 1 month Minimum total of 14 months lead time, if capacities are established Contracts Artemisinin Contracts Lumefantrine Content of leaves known Delivery of finished product 13 The Coartem Initiative Workshop Access and Benfit Sharing Bonn, 26 May 2008 Novartis Commitment to the Fight Against Malaria In May 2001, Novartis committed to a unique public-private agreement with WHO To make Coartem available without profit for distribution to public sector agencies in malaria-endemic developing countries To supply Coartem, procured through WHO with funds from donors; grants are provided by the Global Fund to Fight AIDS, Tuberculosis and Malaria (Global Fund) to public sector agencies To establish sustainable supply chains for distribution In September 2006, Novartis reduced the average price of Coartem from USD 1.57 to USD 1.00 to help expand access to medicine In April 2008, Novartis reduced the average price to USD 0.80 And...patients in the public sector receive Coartem for free! 14 The Coartem Initiative Workshop Access and Benfit Sharing Bonn, 26 May 2008 7

The Frame in Which We Operate The challenge of unprecedented scale-up In millions of treatments Deliveries 100 90 80 Excess production capacity Produced, but not picked up in 2005 Production meets demand but still frequent stock outs at health facility levels 100 100 70 60 50 Erratic Orders 62 7% 66 40 30 20 Global Policy Uncertain Funding Uncertain Supply Challenges 33* 580% 10 4 0.2 0.1 1.3 125% 9 0 2001 2002 2003 2004 2005 2006 2007 *14 mio Tx were ordered for delivery in 2005, but only 9 mio were picked up 15 The Coartem Initiative Workshop Access and Benfit Sharing Bonn, 26 May 2008 ACT Adoption in Africa 16 The Coartem Initiative Workshop Access and Benfit Sharing Bonn, 26 May 2008 8

Training of Healthcare Professionals Coartem/WHO Field training Materials consisting of: Training manual Detailed cards Surgery posters Produced in 5 official languages and many local languages. All distributed for free in conjunction with WHO 17 The Coartem Initiative Workshop Access and Benfit Sharing Bonn, 26 May 2008 Coartem s Impact on Patients Novartis scaled up production capacity from 4 million treatments in 2004 to 62 million treatments in 2006, a 15-fold increase over two years! Since 2001, >160 million treatments delivered which contributed to saving estimated 450,000 lives Novartis, along with its partner Medicines for Malaria Venture, is committed to the development of a pediatric formulation to be launched in 2008 18 The Coartem Initiative Workshop Access and Benfit Sharing Bonn, 26 May 2008 9

Saving Precious Lives An Achievable Goal in Malaria 19 The Coartem Initiative Workshop Access and Benfit Sharing Bonn, 26 May 2008 10