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Friday, February 7, 2020

Stericycle offloads environmental unit to Harsco

Stericycle (NASDAQ:SRCL) has agreed to sell its Domestic Environmental Solutions business, excluding the healthcare customer and unused consumer pharmaceutical take-back services, to Harsco (NYSE:HSC) for $462.5M in cash.
The transaction includes the division’s Manufacturing and Industrial Services and the retail portion of Hazardous Waste Services, which together employ approximately 2,000 team members across 61 facilities.
SRCL +0.9% premarket
https://seekingalpha.com/news/3539629-stericycle-offloads-environmental-unit-to-harsco

Catalyst Biosciences up 13% premarket on positive FIX data

Catalyst Biosciences (NASDAQ:CBIO) announces positive results from an open-label Phase 2b clinical trial evaluating its next-generation Factor IX (FIX) therapy, Dalcinonacog Alfa (DalcA), in six patients with severe hemophilia B. The data were presented at EAHAD in The Hague.
28 days of daily subcutaneous dosing with DalcA showed FIX levels of more than 12% with steady-state levels up to 27% after 14 days with no bleeds. [For comparison purposes, FIX levels are <1% in people with severe hemophilia B].
No anti-drug antibodies were detected and no serious adverse events were reported. Three subjects experienced injection site reactions, the majority (n=2 in this case, apparently) being mild and resolved without consequences.
Pharmacokinetic and pharmacodynamic data supporting the use of its subcutaneous FVIIa marzeptacog alfa (activated) (MarzAA) in acute or on-demand settings were also presented.
Shares up 13% premarket on light volume.
https://seekingalpha.com/news/3539622-catalyst-biosciences-up-13-premarket-on-positive-fix-data

Gilead Sciences Expects FY20 EPS of $5.15 to $5.55

Gilead Sciences Inc. (GILD) said it expects earnings for fiscal 2020 to be between $5.15 and $5.55 a share.
On an adjusted basis, the biopharmaceutical company expects full-year earnings in the range of $6.05 to $6.45 a share.
The company also projects product sales to be between $21.8 billion and $22.2 billion for the year.

https://www.marketscreener.com/GILEAD-SCIENCES-4876/news/Gilead-Sciences-Expects-FY20-EPS-of-5-15-to-5-55-29940995/

Blue collar boom? College grads, baby boomers winners in Trump’s economy

U.S. President Donald Trump rolled out an eye-catching statistic in his State of the Union address Tuesday: the wealth held by the poorest half of American households increased three times as fast as the wealth held by the “1%” since he became president.

That’s true, according to Federal Reserve data.
On average, Americans have seen a 17% jump in household wealth since Trump’s election, while wealth at the bottom half has increased 54%.
“This is a blue collar boom,” Trump also said Tuesday. That’s less apparent. The biggest winners on a dollar basis were a familiar group – whites, college graduates, and people born during the “baby boom” between 1946 and 1964.
Since December 2016, President Barack Obama’s last full month in office, average household wealth has increased $15.8 trillion, but the vast majority went to groups that have tended to accumulate wealth in the past.
Even with a 54% increase in their household wealth under Trump, the poorest half of American households, around 64 million families, still have just 1.6% of household “net worth.”
HALF OF AMERICA
Net worth combines the value of assets like real estate and stocks and subtracts liabilities like mortgage loans and credit card balances.
Because America’s bottom 50% are starting from such a small base, given the enormous disparities in wealth in the United States, even large moves in their fortunes do little to dent the overall distribution. In dollar terms as of the end of September 2019, that latest data available from the Fed, the combined net worth of the poorest half of families was $1.67 trillion out of total U.S. household wealth of $107 trillion.
Here is what the Fed’s Distributional Financial Accounts have to say:
Historically, 17% growth in household wealth over 11 three-month “quarters,” or nearly three years, is pretty standard. There have been 110 such periods since the Fed’s data series begins in mid-1989, and the most recent ranks 55th, squarely in the middle.
On a quarterly basis, compound growth in household wealth since 1989 has averaged 1.39%. Under Trump it is slightly less, at 1.34%.
The bottom half of households saw their net worth rise by 54% under Trump, from $1.08 trillion to $1.67 trillion. That’s compared to an 18% rise for the top 1%, who control roughly a third of the total household wealth in America, or around $34.5 trillion.
Even after those gains, that works out to average net worth of around $26,000 for the bottom half of households versus around $27 million for the ones at the top.
Much of that increase among the bottom half was due to increases in real estate, not stocks, after a resurgence in home ownership rates that began in 2016.
Wages for lower-skilled jobs have of late been rising faster than those for higher-skilled occupations. But it takes time for income to be saved and translate into wealth. Since Trump took office, households headed by a college graduate captured 75% of the net worth gains, or around $11.88 trillion.
They represent about a third of all households, according to the Fed survey on which the data series is based.
Overall, households headed by a high school graduate, a group on the front lines of Trump’s pledge to restore blue collar fortunes, lost $0.4 trillion in net worth during his time in office. Those households represent about a fourth of the total.
A BABY BOOMER BOOM
Generationally, households with a head born from 1946 to 1964 did not get fooled again, as the 1971 rock anthem pledged. The title of Trump’s speech was “The Great American Comeback.” It could just as easily have been “OK Boomer, What About the Rest of Us?”
Baby boomers under Trump, himself a member of that generation, captured around $10 trillion of recent wealth gains, or about two-thirds of the total.
The Fed survey’s demographic estimates are as of 2016, and the population would have changed slightly since then. In 2016 about 36% of household heads (in the case of mixed-sex couples the Fed considers the man to be the head, in same-sex couples it is the oldest of the two) were headed by a member of the baby boom.
Wealth accumulates with time, and older people would tend to have a larger base to start with. But for millennials, those born between 1981 and 1996, the last three years of booming markets have meant an extra half trillion dollars only, spread across about 20.6% of households. GenX’ers, born between 1965 and 1980, got about 21% of the gains, and made up roughly 26% of households. The pre-baby boom “Silent Generation” got 16% of the gains, roughly in line with that group’s share of households.
Analyzed by race, the data told a familiar story of inequality. About 84% of recent wealth gains accrued to the 64% of households that self-identified to the Fed as white.
About 4.6% of wealth gains went to the 14.5% of households that identified as black, and 3.8% to the 10.1% of households that identified as Hispanic.

https://www.marketscreener.com/news/Blue-collar-boom-College-grads-baby-boomers-big-winners-in-Trump-s-economy–29957916/

China delays trade data; S&P cuts growth forecast

Due to the ongoing coronavirus outbreak, China has delayed trade figures for January and said it would combine the data with next month’s release.
The epidemic has also led to growth forecasts being cut, with S&P Global Ratings revising its estimation of China’s GDP growth for 2020 from 5.7% before the outbreak to 5%.
“Coronavirus will have a larger negative effect on the global economy than the SARS outbreak,” added IHS Markit, explaining that China accounted for 4.2% of the global economy in 2003 vs. 16.3% of the world’s GDP today.
https://seekingalpha.com/news/3539589-china-delays-trade-data-s-and-p-cuts-growth-forecast

Thursday, February 6, 2020

China opens second new hospital for coronavirus patients


Leishenshan Hospital
China completed the construction Thursday of the second of two hospitals built in record time in Wuhan to isolate and treat patients of the coronavirus, which has killed more than 560 people since emerging in a local market.
The 1,600-bed Leishenshan (meaning Thunder God Mountain) Hospital was ready to accept patients three days after the opening of the 1,000-bed Huoshenshan (Fire God Mountain) Hospital, which was built in just eight days with prefabricated wards.
Meanwhile, the first group of patients was expected to begin testing Remdesivir, a new antiviral drug, on Thursday after clinical trials were approved.
Word of the trials had boosted the stock price of the drug’s maker, American biotechnology company Gilead Sciences Inc.
Antivirals and other drugs can reduce the severity of the virus, but “so far, no antivirals have been proven effective,” said Dr. Thanarak Plipat, deputy director-general of Thailand’s Disease Control Department of the Health Ministry.
He said there were a lot of unknowns, “but we have a lot of hope, as well.”
Meanwhile, China moved people with milder symptoms into makeshift medical facilities at sports centers, exhibition halls and other public venues.
Wuhan also had another 132 quarantine sites with more than 12,500 beds, according to the official Xinhua News Agency.
Chinese health officials reported 563 deaths and another sharp spike in the number of confirmed cases to 28,018.
Outside mainland China, at least 260 cases have been confirmed, including two deaths in Hong Kong and the Philippines.
The Chinese National Health Commission said the number of infected patients who were “discharged and cured” stood at 1,153 as of Thursday.


Details weren’t provided, but milder cases have been seen in younger, healthier people.
The youngest patient is a baby who was born Saturday in Wuhan and confirmed positive just 36 hours after birth.
“The baby was immediately separated from the mother after the birth and has been under artificial feeding. There was no close contact with the parents, yet it was diagnosed with the disease,” Dr. Zeng Lingkong, chief of neonatal diseases at Wuhan Children’s Hospital, told China’s state broadcaster CCTV.
Zeng said other infected mothers have given birth to babies who tested negative, so it was not yet known if the virus can be transmitted in the womb.
That “still needs further study,” he said.
https://nypost.com/2020/02/06/china-opens-second-new-hospital-for-coronavirus-patients/

VA Tests Keto Diet in Diabetic Patients; Skeptics Raise Red Flags

A partnership between the Department of Veterans Affairs and Silicon Valley startup Virta Health Corp. is focusing attention on the company’s claim that it provides treatment “clinically-proven to safely and sustainably reverse type 2 diabetes” without medication or surgery.
The assertion is at the heart of an ongoing debate about the keto diet’s effect on diabetes. Some diabetes experts are skeptical of Virta’s promise and are expressing concerns that the company’s partnership with the federal government is giving the diet too much credence.
The agreement has helped raise the national profile of Virta, a fledgling health company that has developed a proprietary system of remote coaching and monitoring for people with Type 2 diabetes to help them follow the keto diet, which is high in fat and low in carbohydrates.
Despite its strict requirements, the keto diet has gained popularity in recent years with consumers and studies noting it helps shed pounds and can lead to improved health. But the company’s claim about reversing diabetes is unusual. Type 2 diabetes is often linked to excess weight, and the company said its studies suggest that significant weight loss through keto can lower patients’ blood sugar and need for diabetic medications.
The diet has won support among some diabetes researchers and patient groups. But other public health advocates are concerned that the science of treating diabetes with a keto diet is not well studied. They worry about keto’s effect on the heart and the paucity of vegetables and fruits generally in the diet.
In a press release announcing the collaboration, VA Secretary Robert Wilkie said Virta’s regimen would help the department create “a more comprehensive approach to care.”
Under the accord, Virta is providing its services free to about 400 VA patients for a year while federal officials evaluate the service and their health.
In November, Virta announced in a news release that the initial 90-day results were promising. It said veterans reported weight loss, reduced blood sugar and lower reliance on diabetes medication.
But Virta declined to provide KHN with underlying data, citing the need to protect patient information. It did arrange an interview with its then-chief counsel and vice president of finance, Anand Parikh. He said he expected the partnership with the VA to soon expand. Parikh, who left the company in December, said that future government collaboration will likely involve payment to Virta but that it was too early to estimate a price. The treatment currently costs other patients $370 per month, plus a one-time $500 initiation fee.
A VA spokesperson did not respond to detailed written questions concerning the partnership.
The VA runs the country’s largest integrated health care system and is considered a leader in diabetes careRoughly 25% of its patients have the disease, which is twice the national average. Inside the VA, diabetes is the leading cause of blindness, renal disease and amputations.
Neither Gottheimer nor his staff returned repeated requests for comment about what prompted his letter.

Virta’s Studies Find Benefits Of Keto

Virta officials first floated the idea of a partnership during President Barack Obama’s administration. A deal was finalized last year after former Rep. Jeff Miller (R-Fla.), who is now a Washington lobbyist, signed up to work for the company. Miller retired from his seat in January 2017 after serving as the powerful chairman of the House Veterans’ Affairs Committee for six years.
The day after registering as a lobbyist for Virta, Miller sent a note to Darin Selnick, then a senior VA political appointee, with proposed language for an agreement between Virta and the VA, according to emails obtained through the Freedom of Information Act. Selnick reviewed it, then passed it along to an official in the VA’s research department.
Parikh said the VA thoroughly evaluated Virta’s research before the deal was done. The partnership was announced in May.
Virta was founded in 2014 by venture capitalist Sami Inkinen after doctors told him he had signs of a prediabetes condition. Joining him were Dr. Stephen Phinney and Jeff Volek, who researches low-carb diets. The two had written a book about the Atkins diet, which also emphasizes severely limiting carbohydrates and instead turning to some high-fat foods.
A spokesperson for the American Diabetes Association declined to comment on Virta’s treatment regimen but pointed to an article in its magazine that noted some benefits of a keto diet, such as lowering blood sugar and weight, while listing its potential drawbacks, including missing nutrients, risk of dehydration and high cost.
Still, many health experts said there is little evidence the diet can produce long-term results that ameliorate diabetes.
Moreover, some studies suggest that low-fat or plant-based nutrition, like the Mediterranean diet, produces similar results and has fewer health risks. The VA’s clinical guidelines for diabetes care, while acknowledging potential benefits of low-carb diets like keto, make clear that “the evidence in support of the Mediterranean diet was more uniform and robust than that for the lower carbohydrate dietary approaches.”
Proponents of the keto diet note that a vegetarian option is also available.
Virta’s website lists six research papers as proof that the company’s assistance for diabetes results in significant improvements in various clinical markers of diabetes, including obesity and blood sugar levels.
The papers were peer-reviewed, yet they are all based on a single, non-randomized clinical trial of 262 patients, which was funded by Virta. Among the authors of these papers are Volek and Phinney.
In April, two Virta consultants co-authored a journal article reviewing various studies and said they showed low-carb diets were “effective in reversing diabetes in the short term.”

Concerns About Missing Nutrients In The Diet

Dr. Randall Stafford, who directs Stanford University’s Program on Prevention Outcomes and Practices, reviewed Virta’s research and called the results “encouraging.” Yet he said the comparison group — called the “control” in scientific circles — was “fairly useless, given that it was composed of people who did not want to change their diets.”
Stafford said results don’t suggest that Virta’s treatment alters diabetes.
“My interpretation is that the keto diet is a temporizing measure, not a cure,” he said.
In April, the Physicians Committee for Responsible Medicine, a nonprofit research and advocacy organization that advocates for plant-based diets, urged Wilkie in a letter to cancel the Virta partnership.
“The company’s approach is to place patients with diabetes on a low-carb ketogenic diet,” the letter reads. “At best, this type of diet may act as a ‘Band-Aid’ for diabetes, yet it carries serious health risks,” including higher cholesterol levels and nutrient deficiencies.
large study by the European Society of Cardiology published in 2018 found those who ate a low-carbohydrate diet were at greater risk of coronary heart disease, stroke and cancer.
In an opinion article in the Journal of the American Medical Association, Dr. Shivam Joshi, a lifestyle medicine physician associated with NYU Langone Health, suggested that Virta’s April review of studies should “be interpreted with caution” as the group of participants was self-selecting and said the review “presents an overly enthusiastic narrative” that passed over studies critical of the ketogenic lifestyle.
“Any diet can be effective when bundled with intense lifestyle interventions,” Joshi said in an interview. “The real question needs to be over the long-term benefits of the diet itself.”
Neither Gottheimer nor his staff returned repeated requests for comment about what prompted his letter.

Virta’s Studies Find Benefits Of Keto

Virta officials first floated the idea of a partnership during President Barack Obama’s administration. A deal was finalized last year after former Rep. Jeff Miller (R-Fla.), who is now a Washington lobbyist, signed up to work for the company. Miller retired from his seat in January 2017 after serving as the powerful chairman of the House Veterans’ Affairs Committee for six years.
The day after registering as a lobbyist for Virta, Miller sent a note to Darin Selnick, then a senior VA political appointee, with proposed language for an agreement between Virta and the VA, according to emails obtained through the Freedom of Information Act. Selnick reviewed it, then passed it along to an official in the VA’s research department.
Parikh said the VA thoroughly evaluated Virta’s research before the deal was done. The partnership was announced in May.
Virta was founded in 2014 by venture capitalist Sami Inkinen after doctors told him he had signs of a prediabetes condition. Joining him were Dr. Stephen Phinney and Jeff Volek, who researches low-carb diets. The two had written a book about the Atkins diet, which also emphasizes severely limiting carbohydrates and instead turning to some high-fat foods.
A spokesperson for the American Diabetes Association declined to comment on Virta’s treatment regimen but pointed to an article in its magazine that noted some benefits of a keto diet, such as lowering blood sugar and weight, while listing its potential drawbacks, including missing nutrients, risk of dehydration and high cost.
Still, many health experts said there is little evidence the diet can produce long-term results that ameliorate diabetes.
Moreover, some studies suggest that low-fat or plant-based nutrition, like the Mediterranean diet, produces similar results and has fewer health risks. The VA’s clinical guidelines for diabetes care, while acknowledging potential benefits of low-carb diets like keto, make clear that “the evidence in support of the Mediterranean diet was more uniform and robust than that for the lower carbohydrate dietary approaches.”
Proponents of the keto diet note that a vegetarian option is also available.
Virta’s website lists six research papers as proof that the company’s assistance for diabetes results in significant improvements in various clinical markers of diabetes, including obesity and blood sugar levels.
The papers were peer-reviewed, yet they are all based on a single, non-randomized clinical trial of 262 patients, which was funded by Virta. Among the authors of these papers are Volek and Phinney.
In April, two Virta consultants co-authored a journal article reviewing various studies and said they showed low-carb diets were “effective in reversing diabetes in the short term.”

Concerns About Missing Nutrients In The Diet

Dr. Randall Stafford, who directs Stanford University’s Program on Prevention Outcomes and Practices, reviewed Virta’s research and called the results “encouraging.” Yet he said the comparison group — called the “control” in scientific circles — was “fairly useless, given that it was composed of people who did not want to change their diets.”
Stafford said results don’t suggest that Virta’s treatment alters diabetes.
“My interpretation is that the keto diet is a temporizing measure, not a cure,” he said.
In April, the Physicians Committee for Responsible Medicine, a nonprofit research and advocacy organization that advocates for plant-based diets, urged Wilkie in a letter to cancel the Virta partnership.
“The company’s approach is to place patients with diabetes on a low-carb ketogenic diet,” the letter reads. “At best, this type of diet may act as a ‘Band-Aid’ for diabetes, yet it carries serious health risks,” including higher cholesterol levels and nutrient deficiencies.
large study by the European Society of Cardiology published in 2018 found those who ate a low-carbohydrate diet were at greater risk of coronary heart disease, stroke and cancer.
In an opinion article in the Journal of the American Medical Association, Dr. Shivam Joshi, a lifestyle medicine physician associated with NYU Langone Health, suggested that Virta’s April review of studies should “be interpreted with caution” as the group of participants was self-selecting and said the review “presents an overly enthusiastic narrative” that passed over studies critical of the ketogenic lifestyle.
“Any diet can be effective when bundled with intense lifestyle interventions,” Joshi said in an interview. “The real question needs to be over the long-term benefits of the diet itself.”
https://www.medscape.com/viewarticle/924871#vp_1