The number one drug maker Pfizer said it is buying number twelve drug maker Wyeth for a reported $68 billion. If this sounds like the economic melt down of the financial industry, wall street and the automotive industry join the club. Pfizer also announced they plan to cut 8,000 jobs thru 2011 and a total of approximately 11,500 more from the combined total, reported the Associated Press. Another blow to the economy and the job market.
Analysts saw no benefit for consumers. Pfizer had a $2.3 billion legal settlement over allegations it marketed pain reliever Bextra and possibly other products for indications that had not been approved. The transaction is supposed to cut cost and make Pfizer more competitive and of course increase their profits. But in the final analysis what this buy out will do is transfer wealth from the average worker to the executives and CEO's of the newly structured company. One almost predicts the layoffs in the future will exceed those already announced and the combined companies will offer our economy nothing positive.
This mega deal should be stopped by the Federal Trade Commission and the Justice Department. It will result in a monopoly whereby only the executives and CEO's will benefit and will do nothing to help the economy or the average worker. It will also guarantee future large increases in the price of their products.
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