that is joshua smiley, eli lilly cfo.ing up, mark stoeckl ceo, and bonnie wongtrakool, western asset management. this is bloomberg. ♪ ♪ alix: goldman sachs raises and warns. earnings estimates need to come s&p and see 3400 for the next year, while others crash and burn. trump says the u.s. has all the cards. the president says if and when he wins the white house in 2020, any trade deal with china will be a lot tougher than the ones officials are looking at now. central banks try and race to the bottom. says hispresident amlo country's interest rates are too high. policymakers looking at the fed as it kicks off its today fomc meeting. david: welcome to -- it's two-day fomc meeting. david: welcome to "bloomberg daybreak." president trump saying they haven't lived up to their bargain in buying a cultural product. alix: not only maybe they don't need it as much, because it is all about the pigs. you don't have the pigs because of the swine, so you don't need the soybeans to feed the pigs. david: the other half of the deal as

a big example, eli lilly.hat is unique here is that it is actually selling off drugs that they develop. the question is, if you do that, you might get a return on them, but you are also losing substantial cash flow. merck, they do have a subset of kind of interesting older branded drugs that are dragging on sales. if they get rid of those, they are almost entirely dependent on one medicine. that is a pretty scary proposition and i think why they might not follow pfizer even though you hear some analysts saying they should move on. caroline: the hope is that you can just concentrate on earnings. how is it looking to you? time: it is an interesting to be covering the sector. i think a lot of eyes are looking toward washington. we are seeing legislation being proposed out of the senate, bipartisan legislation. it is specific to drug prices and that would be a headwind for the industry at large. alsong forward, we are china,g about trade, growth opportunities. romaine: going back to the m&a for a second, even prio

eli lilly reporting, the drugmaker earning $1.50 a share for the second quarter revenue came in abovestimates. lilly raised its full-year earnings forecast. the stock is just loving this number it's up a penny. >> in the first quarter they raised the full-year guidance as well now they're also raising it once again. quarter on quarter raises in terms of the full-year guidance. >> if they beat in the quarter, they should go up commensurate for the year if they don't, people say, well, you beat in the quarter, you're not raising your year guidance >>> coming up, a lot more to come trade talks kicking off in china with billions of dollars in tariffs hanging in the balance we have the latest straight ahead. >>> and would you give up control for your children to save money on college tuition? unusual question, but it's what some wealthy parents are doing we'll explain next as we head to break, a look at yesterday's s&p 500 winners and losers through the at&t network, edge-to-edge intelligence gives you the power to see every corner of your growing business. from using feedback to innovate.

merck's shares finished higher and eli lilly lower. meg tir rrell takes a look. ular, a vaccine called proquad, driven by demand amid the record measles outbreak in the nate. lilly's results were boosted by drugs for cancer and rheumatoid ars as well as a new drug fo migraine. it came despite cialis facing generic copies after loss of patent >> what we need to do is invent new things at a r fastere than we lose the patents. >> reporter: the companies raised their forecast for the ul full-year rest following similar moves from johnson & johnson johnson & johnson a bristol-myers. the upbeat tone from the industry is at odds with gt wash, where the price of prescription drugs are being focused. alex azard joi the administration after leaving lilly. >> i am working with congress te change rules of the road so they have the financial incentives to have prices go >> democratics are focused on the issue as well and with a iacond set of preside debates tonight investors are bracing for the impact on stocks. >> i think the democratics will come outhe ll-out the merger anno

he's an award-winning teacher and the author of many books eli lilly, lynching in the heartland. for the boys and american woman in world war ii. book is recent

excuse me, eli lilly, excuse me, how much does this cost? they don't tell you because it's shocking sometimes for them to tell you that some of these drugs cost thousands of dollars, and perhaps getting rid of that little red patch on your elbow of psoriasis isn't worth $5,000 a month, if you knew the price. so senator grassley and i put in the bill last year and passed it in the senate. how about that? it happens so rarely around here. we passed in the senate a bill which required the drug companies to disclose the actual list price that they list for the cost of the drug. passed the senate and it got killed in a conference with the house when the pharmaceutical companies came napped said we don't want to tell anybody what these drugs cost. so then i get an interesting call from the trump administration. notice i'm on the democratic side of the aisle so i'm surprised. dr. azar calls me from health and human services and says we like your bill. the president wants to make your bill a law. so we're going to pass a rule that requires drug comp

nejra: i know you are looking at eli lilly numbers as well.en standout. one hundred 70 companies only s&p 500 porting this week, the biggest being apple, but you have numbers from eli lilly. scarlet: rising 1% in trading after the full year eps will be 567 25 77. full-year adjusted eps forecast has been boosted and the stock is rising. at cfo will be on bloomberg 7:30 a.m. in new york. nejra: the u.s. trade team has arrived in shanghai for talks with their counterparts but expectations remain low. always says difficulties ahead could affect the -- huawei says difficulties ahead could affect the future of their company. liang: we don't know when the u.s. will make the decision on android and when that will come, so we have to make reparations for our products. we will evaluate our strategy for the overseas market. if we are not able to use android, we have the ability to develop our own operating system and ecosystem to become a basis as a server to the customers. nejra: that was liang hua speaking with tom mackenzie, great work. what do you wa

21 billion to their beat, which speaks to the fact companies are stocks up in this time look at eli lillymember, bernie sanders referred to pharmaceutical executives as murderers. he was talking about insulin, companies who raise the price of insulin over time. that missed estimates in the quarter. so did another older insulin from the company not all the insulin products missed estimates, but they're not printing money on these things as much as wall street expectations thought it was going to >> very interesting. not just little tiny hair's breath misses. that's $30 million right there meg tirrell, thank you very much >>> bill griffeth has our cnbc news update and he'll be joining me in a minute over here >> double duty right now thank you very much, tyler air force general john hyten has denied sexual assault allegations against him. he did that before the senate confirmation hearing >> i'm intensely aware of the allegations made against me concerning one of the most serious problems in the military, sexual assault it's been a painful time for my and my family, but i want to state to y

i know a little bit about the eli lilly product. it's called humalog. humalog was introduced in the american market in 1999. an insulin product. and the charge was about $20 to $30 for a dosage -- a vial, i should say, which is used as a dosage for those with type one diabetes, type two diabetes. about $31. so here we are 20 years later. how much is that same vial? $329. remember, this was a drug discovered almost 100 years ago. remember those who could have capitalized and made a fortune off of it surrendered their patent rights. how did we reach this point where this drug in 20 years is ten times more than it cost when it was introduced? it's the same drug from the same company. why has it gone up so much in price? because they can do it. because these pharmaceutical companies have the power to raise their prices, and people like that little girl in my office from jerseyville, illinois, who broke down in tears can't control how much that price will be. and they need this to survive. so now you must ask yourself what are other companies paying for exac

i >> reportestatements to the newshour and in public testimony, eli lilly, novois prdk and sanofi blame deductible insuranns and payments to pharmacy middlemen for the out-of-pocket costs borne by patients. for example, sanofi said, "we believe loweringe ist prices alll not necessarily result in lower out-of-pocket tcosts for most patients pharmacy. this is why we have not dropped the list pricef our insulins." the companies all say they offer couponand discounts to help defray the price of insuli the patients we taed to said it was difficult to qualify for these assistance programs. some 16 hours later, the bus crosses the border to canada, arriving well after midnight in london, ontario. >> we made it! >> reporter: the next mornin the logistical problems continue for nystrom. multiple pharmacies have turned the group away, not wadiing the meattention. >> the insulin's here, let's go and get it! >> reporter: the group finally loads onto the bus and heads off to a local walmart. at a pharmacy inside, one by one, they fill their prescriptions, some filming on their cell phones. >> buy ni

other notable companies reporting include eli lilly, under armour, mastercard, and pfizer. mostly lower yesterday with banks, retailers, and communications companies taking the brunt of the selling. the dow finished up 28 while the s&p 500 lost four. the nasdaq gave up 36. >>> uber is slashing hundreds of jobs. the ride-hailing service says it is laying off 400 staffers from its marketing unit. that's about one-third of that division which had more than 1,200 people. the cuts are expected to take place in multiple offices around the world. uber employs almost 25,000 people worldwide. the ride-hailing company has been under increased financial pressure since disappointing ipo in may. in the first three months of 2019, the company lost over a billion dollars. >>> european budget airline ryan air is looking at flight cuts and job losses if deliveries of boeing 737 max jets keep being delayed. the carrier's ceo says it was supposed to get 58 max jets by next summer. ryan air now expects only 30 by then. the faa grounded boeing 737 max jets in march following two deadly crashes

i couldn't afford my insulin because eli lilly and others refuse to control the cost of insulin. it almost cost my sister her life. price gouging is killing people. these pharmaceutical companies are committing murder and getting away with it. you all as leaders have some say so in making a change. while young people continue to die from rationing, you're just as responsible as people profiting over their lives. change for this issue won't be a sprinlt. the marathon continues. and as a patient advocate like me, i will not stop speaking out until you find a way to put an e end to the insulin crisis in america. no matter how long it takes, we will build numbers and demanding change because our lives depend on it. >> thank you very much. miss holt. >> chair cummings, ranking member jordan, members of the committee, thank you for inviting me to share my story. my name is pamela holt. i am from grainger, indiana, just outside of south bend. at the age of 40, i was suddenly widowed when my husband died from a sudden heart attack. i raised three children on my own. i was fortunate at th

qualcomm, there is credit suisse, fiat chrysler, eli lilly, and the in the big pharma announce whatoulda talked about merger with its drug unit, off label or off patent deal. that could be announced as early as monday. that is expected to cause the entire field of generic companies to rally. that could bring these three companies alone a lot higher, put them in the spotlight. anticipated move, we get 45% of the company. it is really a boost for the generics. look up the other names because we not only have tech but also food companies and big oil, chevron and exxon at the end of the week, beyond meat, a new ipo that will have its first report. then you have big titans like -- former titans like general electric and kraft heinz. what they have to say about the economic crosscurrents and the trade situation will be of interest to investors as well. focus on one of the current titans, apple. what is expected? su: a lot of analysts are expecting lower profit, flat sales. some are very much focused on what they say will be the services. as apple moves away from its sales of iphones, what it

taylor: i want to talk about eli lilly, which we heard from this morning.hing that stood out to me --that you have the top line they were managing to boost their forecast for earnings per share. does that concern you that they are cutting back on r&d or reinvestment in the company they see better than expected bottom line even though you are not going the top line is fast? riley: the cfo told me that they are investing heavily in r&d. earnings for lily this morning was a bit of a complicated one. overall you will see that investment still. guy: how much of a headwind is the dollar for this sector? riley: it has been a slight headwind. every company has taken into account. again, all focused is on washington and broadly generic drug pricing headwinds. something else we reported today, mylan is part of an ongoing investigation from state ag's into alleged generic drug price fixing. the doj has had a half-decade-long probe into this matter as well. you will see additional two gals surrounding the generic industry unravel today. -- additional details surroundin

he's an award-winning teacher and the author of many books eli lilly, lynching in the heartland. doughnuts for the boys and american woman in world war ii. book is recent hoosiers, a new history of indiana, which is on display outside. many years he co-edited the indiana university press series and culture, tory which included a book he edited comparative history's of the midwestern states. very proud, in a modest hoosier way that the mystery association bestowed on him the lifetime award.ement i have known jim many years, is student, his student back at indiana university and solid stify that he has midwestern values, unfailing unflagging ecency, work ethic and solid common sense. jim represents the best of what be midwestern but he's never roman tied midwestern history. being e ourselves on nice, but we don't always live up to that ideal. today jim will be speaking on darker side of the midwestern past. he'll be talking about who is an american, the rise and fall of ku klux klan in the midwest. [applause] >> thank you all for coming out this morning and listening to a not be as

we'll get reports from merck, under armour, procter & gamble and eli lilly before the bell.y for apple after the close. it's tuesday, july 30, 2019. one more day in july, i think. "squawk box" begins now. ♪ >>> live from new york where business never sleeps, this is "squawk box." >>> good morning welcome to "squawk box" on cnbc. we're live at the nasdaq market site i'm andrew ross sorkin along with joe kernen and melissa lee. becky has the day off today. the dow looks like it would open off about 40 points. nasdaq down about 28 points. the s&p 500 also looking off, but we'll call it 6 1/2 points for now. let's show you what's happening overnight in asia. a board of green arrows across nge board.

merck, eli lilly and amgen sued claiming that the rule could confuse consumers.rug makers argue that list prices don't reflect the actual cost as they don't take into account discounts and rebates goi negotiated the judge says that the rule exceeds the trump administration's authority a spokesperson says that they are disappointed and will work with the justice department on the next legal steps >> kate, thank you very much >>> when we come back on this show, hong kong leaders bowing to pressure from the people. and of course those mass protests over that controversial extradition bill with china. we go live to hong kong next >>> and then china's super mario sized problem as another key electronics company says it is moving some of its operations elsewhere. >>> and later, before he takes tourists to space, richard branson is reportedly taking virgin galactic to wall street that all still ahead the ai i need? it's gotta scale across my business. starting here, in procurement, helping us find the right suppliers. then here in logistic, to avoid disruptions! here in

benefits manager, of course it's got an insurer in there a huge retail. >> what an opportunity for eli lillyss the migraine drug is really not as effective as people think on acute care this is a good moment for lilly. i've been so stupid owning that. i've been trying to buy stuff at cvs every day to boost that quarter. >> yeah, my family seems to have bags coming from cvs a lot although, they're going to get rid of those plastic bags, maybe. >> single-use plastic bag, forget about it. >> and the receipts. >> love the receipts >> the millennials hate the paper they use millennials are amazing. i mean, wow. they hate dow chemical so much >> this was a $70 stock not that long ago >> you have amazon in the front of the store, right? >> yeah. >> hurting them. then in the back of the store, you have the rebates, but the rebates looks like they're back. and by the way, the front of the store is run better than it used to be. you talked to brian cornell, he likes -- remember, there's a cvs in target. and it's doing okay. david, it's a wellness company can walgreens ever be a wellness company when t

eli lilly down 4%. pfizer down two and change. merck down nearly 5%. they're all worried about that, back to the s&p 500 for just a second. i don't know how much closer we can get to 3,000. we're a shade off of that. maybe when everything settles that is over the level. that is meaningful metric here. that is 500 stocks. not just 30 for the dow. thatconnell: that is a record, gerri. maybe one hat a day. jeff sica joins us and adam johnson. adam, we've been through this a million times. back to dow, 10,000, whatever it is, we get to round numbers people say it doesn't matter. sometimes there is some sort of psychological significance to gerri's point, whatever is going on in the world, there bs on the s&p 500, what is your take? >> round numbers mean a whole lot right now, connell. i know we've been saying this for a year, especially it is true right now. so much cash on the sidelines, interactive brokers. not as big as charles schwab, td ameritrade. their client accounts have more money, more cash in them than they have ever had in their history. you k

>> caller: always like to pick up high quality stocks eli lilly down probably about -- >> among the highestlity i think david ricks is doing terrific you have to ride out the problems with the president and drug companies i would start to position here and buy a little more if it breaks 100 and that, ladies and gentlemen, is the conclusion of the lightning round! [ buzzer ] >> announcer: lightning round is sponsored by td ameritrade hey, ian. you know, at td ameritrade, we can walk you through your options trades step by step until you're comfortable. i could be up for that. that's taking options trading from wall st. to main st. hey guys, wanna play some pool? eh, i'm not really a pool guy. what's the hesitation? it's just complicated. step-by-step options trading support from td ameritrade don't miss your gto experience our most advanced safety technology on a full line of vehicles. now, at the lexus golden opportunity sales event. lease the 2019 es 350 for $379 a month, for 36 months, and we'll make your first month's payment. experience amazing. >>> evan months ago a lot of people start

merck, eli lilly, amgen among the drug companies arguing exactly that in court.ge siding with the companies, hitting pause on a new rule from the white house that was supposed to go into effect today. deirdre bolton is live in the newsroom with the details which is where the devil always is, deirdre. >> as always, melissa. a federal judge ruled that the trump administration overstepped its authority. this is where the courts were coming from, in this case, in trying to get drug companies to feature prices. more than likely it is not going to end here. the government will continue to fight this issue with the department of justice. trump advisor kellyanne conway said the president is not a quitter. he is very fond of the rule that would koppel drug manufacturers to list their prices on tv. again what are they hiding? we want transparency. a lily spokesperson says the company is happy with the judge's ruling, not a huge surprise there. pharmaceutical companies spend big ad dollars to increase chances of potential patients asking their doctors for brand name drugs.

platforms they use in their phone every day but they don't have great direct relationships with eli lillyon and politicians know that. that's why when they're going after the big drug companies they're not going after specific targets. they're kind of just saying those that are responsible for the opioid crisis or whatever epidemic it is. and that's kind of giving these drug companies a little bit of leg room. >> for now. sara fischer, thank you so much. i appreciate you joining me. >>> next, she didn't act like a rape victim. i'm going to say that one more time. she didn't act like a rape victim. that is the startling headline of an op-ed by a military veteran who writes a disturbing account of how rape is treated in the military. we'll be speaking to that veteran about why most survivors don't report rapes and instead choose to suffer and recover in silence. if you have moderate to severe plaque psoriasis, every day can begin with flakes. it's a reminder of your struggles with psoriasis. but what if your psoriasis symptoms didn't follow you around? that's why there's ilumya. with just 2

. >> bret: your sick critics would say that if you are the president of eli lilly, you are ahead of onearmaceutical country that during that time saw the tripling of insulin prices. how we give the guy to spearhead this effort? >> and all the drug pricing system works and how the drug supply channel works. it's actually my inset knowing how that channel has devolved over the last two decades that enabled us to make this change. this historic shift saying you know what, the global supply chain of drugs and drug distribution has modified in the last 20 years to the point that we think this actually can be done safely. we can break through the orthodoxies and the talking points that said for so long it's unsafe, it can't be done safely. it can't result in savings to consumers and instead we can open the door for states, for pharmacies, and for wholesale distributors to come in with plans to actually make this work for the benefit of the american people. >> bret: you know, it's not just the democratic candidates would often talk about the pharmaceutical industry in a negative way. here's pr

administration scraps a drug plan designed to limit rebates insurance companies receive from drugmakers, eli lillying a tumble on today's decision but the president indicated there are more proposals in the pipeline to reshape the sector. where do you place your bets on this pete >> i'm not a happy camper on the fact i'm long on pfizer, merck and a couple of names long in the space. i think it will create an opportunity because they put a good hurting on day one of the news, right? it is a good shot to the down side so i'm looking at it saying, you know what, usually there's no one-day events normally. i will give it two, three days and see what p has out of these, but it feels oversold in terms of the reaction for them on the other side i think some of the providers, i think there's plenty of upside still after a day like today whether it is cigna or names like united health. >> you are in one, right, karen? >> i'm in anthem i had anthem for a long time, bought some when the democrats sort of were talking about dismantling the whole structure, and then sold it probably -- well, too early. but i w

eliminate drug rebates the insurance stocks are gaining on this news as you can see, big pharma, eli lilly, pfizer, merck, all down on that news >> seema, thank you. >>> welcome to "the exchange." i'm kelly evans. as the markets have been climbing higher, powell's dovish tone has continued, even after the june cpi report showed core consumer prices jumping. let's drill down on all of this with steve liesman we've also just heard now from barkann, from the fed. fed speak in general and we'll hear, you know, from corals here shortly as well. what do yomakeu of all these moves today? >> i think that there was no daylight between powell day one and powell day two he very much reiterated the ideas that have led the market to believe there's an interest rate cut on the way. he didn't really incorporate anything about that hot or inflation report this morning. or even the strong jobless claims numbers that continue to accentuate the negative with the trade uncertainties out there. the low inflation problems and the global economic weakness the question going in was, hey, what is he going to tell

what i'm waiting for is for pence to step up and say, wait a second, eli lilly is a great company.ch. apparently taking on the pharmacy benefits will cost a couple hundred billion he doesn't want that but going after the drug companies is easy. it's easy. j&j there was a recommendation today, very, very positive j&j has a lot of oncology. lilly is down to 105 oh, my oh, my they just had good news about -- for acute for the migraine drug. 105? that's extraordinary that's very surprising wow. people just -- i guess people feel it's going to be an endless battle where he will pick seven or eight companies. >> there's a sense that the plan b, so to speak, of how he's going to address this could be just as -- just as vicious >> well, we are seeing the cignas of the world got a big boost but the health care story, these companies were all about to report good numbers, i was very excited about them with the exception of dollar exposure it won't matter if the president is after them. j&j is down, very positive piece. what does that tell you? the money is going right back to tech holy cow >

know, eli lilly did the same thing with animal health.ustry that is getting there more focused -- getting them more focused. anna: scarlet, we are getting more headlines coming through. scarlet: let's take a look. in terms of mylan's headlines, the company says fire -- pfizer share holds -- says pfizer shareholders would get more than 57% of the company. upjohn will issue $12 billion in debt prior to separation, and upjohn will be split off to pfizer shareholders. sam, do you know what a reverse trust transaction is? cuff.o, not off the sorry. scarlet: it sounds complicated. sam: it does sound complicated. let me go back to my desk and ask other folks what they can make out of this. now seeingr is revenue at 50's -- $52.5 billion. they are also getting us adjusted eps. 2.76 2.86. it sounds like they are bringing down expectations. sam: if upjohn is leaving the business, they are simply adjusting for that. at the end of the day, i think this is the right thing to do for pfizer. it is good they found a home for it. it creates a behemoth. an

so merck, eli lilly, amgen, a trade group for advertisers brought the suit.rson says the company is happy with the judge's ruling. more than likely there is going to be a bit of ping-pong playing here, because the government will continue to fight issues in the courts. trump advisor kellyanne conway says the president is not a quitter. he is very fond of the rule that would compel drug manufacturers to list their prices on tv. she asks, what are they hiding? we want transparency. 88% of voters by the way, favor a government initiative mandating that insurers hospitals, doctors, other providers disclose the costs of their services and discounted or negotiating at rates, according to a survey. the center for american political studies did it at harvard. it was done in conjunction with the "harris poll.." according to our proprietary research, neil, we remember as we were covering the midterms elections, health care is the number one most important issue, nothing to do with party. this is the one apparently people did vote on, will vote on in 2020. neil, back to

eli lilly is good, merck is really good, but good for milean, because they have mylan was in a permanent. but pfizer, i thought if they offloaded this, people would like it, but no one seems to care. >> okay. jim cramer, we'll see you in just four minutes from now. >> thank you. >> and don't miss "squawk on the street" tomorrow we'll be joined by mohamed el erian, chief economic adviser at allianz, on set to discuss much with him tomorrow. back in a moment t not when to u. do i use aflac when the kids get slime in the plumbing? no. that's home owner's insurance. slime in my motorcycle. no. that's motorcycle insurance. slime everywhere? ughhh nooo, there's no insurance for that. do they help when i have bills health insurance doesn't cover? yeah! that's it! aflac! gross guys. get help with expenses health insurance doesn't cover. get to know us at aflac.com >>> final check on the markets, flat up about 2.5 on the dow, the s&p down a little over a point, nasdaq down 295. a big week in terms of corporate reports. we've got the big jobs number on friday and the fomc meeting on tuesday and we

eli lilly, profit getting a boost from its diabetes drug but that's not helping the stock. trulicity, that's it. they got some boost from that but the stock is down just 20 cents at $108.51. >>> we've got the dow industrials looking to go down about 100 points at the opening bell. what's this story on huawei? susan: you know it's on the u.s. trade blacklist, but huawei, despite this continued u.s. campaign, apparently sales jumped more than $58 billion in the first six months of this year. it's being boosted by growth in its smartphone business because they are the second largest smartphone shipper, overtaking apple last year. of course, the 5g network as well helping them. stuart: 58% up. susan: no, $58 billion. stuart: oh, thank you. susan: which is big. stuart: show me the share price of beyond meat. i know you have seen this a couple times this morning but look, it's down now 15%. i want to bring in dr. mark siegel. i got a question for him. plant-based or real meat, which is better for you? you tell me. >> plant-based is much lower in saturated fats. theoretically, a v

merck, eli lilly and amgen sued claiming the rule could confuse consumers. drug makers have argued that list prices don't reflect the actual costs the junlgts sadge says that th responsibility to act lies in congress hhs says they are disappointed and will work with the justice department on the next legal steps. >> those ads drive me crazy anyway any buy a song you don't want to hear anymore and they -- they do the oh, oh, oh -- and i don't need it whatever the hell it is. it is for some minor thing but the list of side effects -- sounds like you may not survive the side effects for this mine or thing that they are trying to selling to you that your doctor prescribes it. so why are you selling me ten times every break on something i'm trying to watch -- >> didn't that tell you how profitable it must be if a very small percentage of people out there might ask their doctor for it it is amazing. >> and the actors that they have got in the ridiculous things that no one would ever say >> or do like two different bathrooms >> i like that at least they went there

now we did have the big drugmakers like amgen, eli lilly and merck basically suing the hh s saying thisoes against our first amendment rights as well but they were required by law, by the white house to basically list the prices of the drugs if it cost more than 35 author a month and according to the 10 most-consumed drugs that would be about $488 or $16,000 a month you would have seen labeled on some of those popular drug ads. stuart: but now you can't. a judge says no, hhs over reached so you can't do that. >> well the drug company says these are not the prices that the patients pay anyways and if you put 16,000 on the screen they might be saying well actually i can't afford that so i opt go get treatment. stuart: was america always like that? where every single thing, the administration wanted to do was challenged in court and overruled? was it always like this? >> no it wasn't. it wasn't but when -- stuart: you've got a foul face looking at me. no, i agree. we're seeing it more and more often. everybody is protesting. stuart: i can't believe it. >> yeah, it's across-the-board. why i

in 1999, one of the major insulin drugs called humalog made by eli lilly was selling for $21 a vial. that's 20 years ago. 1999, $21 a vial. the price today, $329 a vial. what has caused this dramatic increase? there is nothing that's happened with this drug. it's the same drug. and, i might add, eli lilly of indianapolis, indiana, is selling this same insulin product, humalog, in canada for $39. $329 in the united states, $39 in canada. and these families told me they were lucky to have health insurance that covered prescription drugs -- sounds good -- except that they each had large co-pays. $8,000 a year. and what it meant was that for this young girl, this beautiful little girl who was in my office with juvenile diabetes, they would spend $8,000 a year at the beginning, the first three months of the year for her three months of insulin before the health insurance kicked in and started paying for it. and of course there are families that aren't so lucky. they don't have health insurance to pay for their drugs. so what are we going to do about it? it happens to be something the unit