Article: Appling the Screws To the FDA.

In the wake of the Vioxx scandal, Congress is beginning to put the heat on the Food and Drug Administration and its drug approval process. After FDA officials were subjected to a grilling by the Senate finance committee, Smith Barney last week issued a healthcare policy report that stated, "The FDA will likely become more cautious about approval of new drugs." If so, drug stocks could weaken, and Wall Street's deal flow in the sector could slow. Should investment bankers be worried?

With domestic pharmaceutical sales topping $154.6 billion in 2003, according to the Milken Institute in Santa Monica, Calif., much is at stake. But at least one investment banker ...

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