Lower dose will have to work

Human Genome Sciences Inc. has been developing Albuferon, a long-acting interferon alpha and albumin fusion protein, with the idea that it would provide administration and efficacy advantages over pegylated interferon. Last week, the clinical data yielded the second blow to the hoped-for advantages of the compound, as an independent DMC recommended the company drop the 1,200 µg Albuferon arms in the open-label Phase III ACHIEVE 1 and ACHIEVE 2/3 trials after seeing an increase in serious pulmonary adverse events.

Investors reacted by lopping 44% off HGS's market cap, leaving it at $789 million (see Ebb & Flow, A14). ...