Follow-Up on Bill Gates Foundation

[andyfox]

Bill Gates yesterday pledged $258,300,000 for a multipronged attack on what he called the "forgotten epidemic" of malaria, which kills 2,000 African children a day.

The lions' share of grants--$107,600,000 goes to the nonprofit Malaria vacine Initiative, working with United Kingdoms' GlaxoSmith Kline to complete testing and licensing of its experimental malaria vaccine. In tests to date, the vaccine prevented 30% of clinical cases and 58% of deadly attacks in African children.

Months of negotiations between Mr. Gates and the grantees were held to secure pricing and access guarantees by GlaxoSmithKline and others so that products will be widely available to poor people in developing countries.

"We cannot expect to make a profit in the traditional sense," said Glaxo Chief Executive Officer Jean-Pierre Garnier, because needy recipients can't pay market price for hard-to-develop vaccines. "I do it because it's the right thing to do and . . . because it's a very exciting adventure for our scientists."

An additional $100,000,000 in grants will go to the Medicines for Malaria Venture, a nonprofit group helping to develop better, lower-cost treatments based on the scarce and costly artemisinin and other compounds. "Our goal is drugs that cost $1 or less per person treated," said Chris Hentschel, CEO, noting his group has 20 malaria drugs in development, with six in clinical trials.

A third grant of $50,700,000 will go the Innovative Vector Control Consortium for the creation of safer, more effective insecticides and products, such as insecticide-treated bed nets.

Gates called it "a disgrace" that malaria deaths have doubled in the past 20 years.

Another example of someone with deep-deep pockets who seems to have a social conscience. I'd like to think that if I had a gazillion dollars I'd do more with it than just build an $85mm "home."

The cynic in me questions the "sincerity/concern" of the GSK CEO...

[ QUOTE ]
"We cannot expect to make a profit in the traditional sense," said Glaxo Chief Executive Officer Jean-Pierre Garnier, because needy recipients can't pay market price for hard-to-develop vaccines. "I do it because it's the right thing to do and... because it's a very exciting adventure for our scientists."

[/ QUOTE ]

I can't help but wonder if the "profit in the traditional sense" reference actually means, "We're cutting our margin because this is the biggest friggin' order we ever got from one source! Cool it, shareholders!"