Raphael Stevens

Two blood thinners and a diabetes medication are the most widely used by Medicare enrollees among a list of 10 drugs that will be subject to price negotiations between manufacturers and Medicare. 
Bristol-Myers Squibb’s blood thinner Eliquis was the most used among Medicare enrollees, with 3.7 million beneficiaries using it.
The Biden administration unveiled the much-awaited list, officially kicking off a process that aims to control rising drug costs in the U.S.

Bottles of the drug Jardiance, made by Eli Lilly and Company, sit on a counter at a pharmacy in Provo, Utah, January 9, 2020.
George Frey | Reuters

Two blood thinners and a diabetes medication are the drugs most widely used by Medicare beneficiaries among a list of 10 drugs that will be subject to price negotiations between manufacturers and Medicare. 
The Biden administration unveiled the much-awaited list Tuesday, kicking off a process that aims to lower drug costs for older adults in the U.S. The list names drugs with the highest spending for Medicare Part D, which covers prescription medications, for the period from June 1, 2022, to May 31, 2023.

Bristol-Myers Squibb’s blood thinner Eliquis was the most widely used during that time period, with 3.7 million Medicare enrollees using it, according to a fact sheet from the Centers for Medicare and Medicaid Services, or CMS. 
Eliquis, co-developed by Pfizer, is used to prevent blood clotting and reduce the risk of stroke.
The second most used drug was Boehringer Ingelheim’s Jardiance, which lowers blood sugar for people with Type 2 diabetes. Nearly 1.6 million Medicare enrollees used Jardiance during the same time period, according to the fact sheet. 
Johnson & Johnson’s blood thinner Xarelto was third, as about 1.3 million beneficiaries used the medication during that time.

Medicare Part D also spent more on those three drugs during the time period than it did on the seven other medicines on the list. The plan spent $16.5 billion on Eliquis, roughly $7 billion on Jardiance and $6 billion on Xarelto, according to CMS.

In total, the 10 medicines accounted for $50.5 billion, or about 20%, of total Part D prescription drug costs from June 2022 to May 2023, CMS said.
Around 50.5 million patients are currently enrolled in Part D plans, according to health policy research organization KFF. More than 8.2 million use the 10 drugs on the list. 
Drugmakers have to sign agreements to join the negotiations by Oct. 1. CMS will then make an initial price offer to manufacturers in February 2024, and those companies have a month to accept or make a counteroffer. 
The negotiations will end in August 2024, with agreed-upon prices published on Sept. 1, 2024. The reduced prices won’t go into effect until January 2026.  More

Under Armour founder Kevin Plank had an unusual relationship with television anchor Stephanie Ruhle, according to court documents.
The relationship included private jet rides and access to confidential company information.
The revelations stem from a shareholder lawsuit.

Kevin Plank, now former CEO of Under Armour, during a CNBC interview on Mad Money on Feb. 28th, 2018.
Scott Mlyn | CNBC

Under Armour’s founder Kevin Plank forged an unusual relationship with television anchor Stephanie Ruhle that included trips on his private jet, access to confidential company information and a secret phone reserved just for their communications, court records show. 
The records, filed last week in connection with a shareholder lawsuit the athletic apparel company is facing in Maryland federal court, show that Ruhle, who was a Bloomberg reporter at the time, advised the company when it was facing negative coverage. Ruhle is now a nighttime anchor for MSNBC. Plank and Ruhle’s relationship previously came up in media coverage in 2019.

In January 2016, when Morgan Stanley published a research report that downgraded Under Armour’s stock and reduced its price target, Ruhle asked the apparel company’s executives for data that would contradict the report – and then advised they send it to media outlets like CNBC. 
“[T]his content is perfect just in case anyone decides to cover the Morgan [Stanley] thing – it combats any risk of negativity,” Ruhle wrote in the email, according to the filings.  
That afternoon, Ruhle questioned the Morgan Stanley report on Bloomberg’s air and referenced data points that Plank had gathered. 
A couple of weeks later, when Under Armour reported positive quarterly results, Plank emailed Ruhle “look at that stock!!!” and then helped her arrange an interview with basketball player and Under Armour athlete Stephen Curry the following day, records show. 
Plank, the current executive chairman of Under Armour, asked his former communications executive, Diane Pelkey, who now works for Chewy, to help set up the interview with Curry.

Plank later told her in an email that the Curry interview served as a “a great thank you” to Ruhle “for being the only member of media to get UA’s back when [Morgan Stanley] came out against us.”

‘We were friends’

The filings raise a host of ethical questions about both Plank and Ruhle and the boundary that reporters must keep between the powerful people that they cover. 
The two were both deposed earlier this year in connection with a shareholder lawsuit filed in 2017 that alleges Under Armour artificially inflated its share price and caused them to lose money. 
When asked during his deposition about the Morgan Stanley report, Plank said the two “had an understanding of trust.” 
“She didn’t trade in this, her family doesn’t trade in this. She’s simply giving me input,” Plank said, adding it was during the company’s quiet period.
He also referred to her as a “confidant” and “someone I get counsel from.”
“I would give her counsel on her career and she would give me counsel on things I was dealing with that were either banking or media or human nature in relation,” Plank said of their relationship.
Ruhle, for her part, admitted in the deposition that she flew on Plank’s private jet at least twice – once from Cannes, France, to New York and another time from New York to Baltimore. 
“We were friends,” said Ruhle. “And I covered his company.” 
When asked whether the flights on the jet were part of her work as a Bloomberg reporter or as a friend, Ruhle responded: “I was flying on his plane as myself, Stephanie Ruhle. I’m – I’m not really in a category one or the other.” 
A spokesperson for Under Armour said the filings have “no bearing” on the underlying shareholder lawsuit. 
“Plaintiffs and their counsel have obvious financial incentives to paint these documents in the most negative light. As we have stated, Mr. Plank has utilized confidential advice or counsel from a number of outside advisors from different fields of expertise, and that is what these documents show,” the spokesperson said. “Furthermore, none of the information was used improperly.”
As far as the shareholder lawsuit, the spokesperson said the claims are “meritless” and are “being defended vigorously.” 
MSNBC, which is not named in the lawsuit and didn’t employ Ruhle at the time, declined to comment on the matter. Ruhle and Bloomberg didn’t immediately respond for requests to comment.
Disclosure: CNBC and MSNBC are owned by NBCUniversal. More

As of Sunday, “Oppenheimer” has generated around $300 million at the domestic box office, the fifth-most this year, and topped $777 million globally, the fourth-highest, since its July 21 debut.
The film’s success comes at a time when major superhero movies and franchise sequels have underperformed.
“Oppenheimer” is Nolan’s third highest-grossing domestic release, behind Batman movies “The Dark Knight” and “The Dark Knight Rises.”

Valerie Macon | Afp | Getty Images

LOS ANGELES — Christopher Nolan’s films, from “The Dark Knight” to “Inception,” have been a force at the box office for a solid two decades.
But “Oppenheimer,” the director’s R-rated historical drama about the man who spearheaded the creation of the atomic bomb, has outpaced even the loftiest of expectations.

As of Sunday, the dizzying, dialogue-heavy three-hour epic has generated around $300 million at the domestic box office, the fifth-most this year, and topped $777 million globally, the fourth-highest, since its July 21 debut. And it continues to draw audiences.
In each consecutive weekend since its release, “Oppenheimer” has seen domestic ticket sales drop less than 45%. Typically, films will see box office receipts shrink by between 50% and 70%. In its most recent weekend, receipts shrunk just 23%.
And that’s without ever being the number one film at the domestic box office. Warner Bros.’ record-breaking “Barbie,” which opened the same weekend as “Oppenheimer,” has held the top spot for five out the of the last six weeks. “Barbie” is the highest-grossing domestic release of the year, and is looking to eclipse Universal’s “Super Mario Bros. Movie” as the top-grossing global film in 2023.
Universal is banking on the longevity of “Oppenheimer” at the box office, as it does not plan to make the movie available on streaming until February, which falls in what’s usually the thick of Oscar campaign season. The film itself, Nolan, and stars Cillian Murphy and Robert Downey Jr. are considered early favorites for next year’s Academy Awards.
Already, “Oppenheimer” was facing limited direct competition at the box office heading into the fall, but the ongoing dual labor strikes in Hollywood have pushed several films to dates later in the year or off the calendar completely.

Last week, Warner Bros. and Legendary Entertainment moved “Dune: Part Two,” which was slated for release in early November, to next year. The epic sci-fi film was expected to take the majority of premium format screens, but now, “Oppenheimer” can continue to hold several of those for weeks to come.
The film’s success also comes at a time when major superhero movies and franchise sequels have underperformed. Meanwhile, original storytelling has thrived, with Warner Bros.’ funky and metafictional “Barbie” and Angel Studio’s conservative-friendly “Sound of Freedom” dominating the box office.
Nolan himself has parlayed his success with Batman movies into the kind of big budget trust from studios to ambitious, twisty movies on a large scale, like “Dunkirk” and “Interstellar.”
“Oppenheimer” is Nolan’s third highest-grossing domestic release, behind 2008’s “The Dark Knight” and 2012’s “The Dark Knight Rises.” Globally, it’s his fourth-highest film, falling just shy of the $825 million “Inception” tallied in 2010. Both “The Dark Knight” and “The Dark Knight Rises” generated more than $1 billion at the global box office.

The Nolan touch

“Oppenheimer” director Christopher Nolan has called 70-millimeter IMAX film the “gold standard.”
Julien De Rosa | Afp | Getty Images

“I think it starts with the filmmaker,” said Jim Orr, president of domestic theatrical distribution for Universal Pictures. “We feel very privileged to be in business with Christopher Nolan. He crafted an extraordinarily compelling tale about one of the most significant events in human history.”
Nolan’s films have come to be event cinema. In several films, and particularly “Oppenheimer,” he has shied away from computer-generated images in favor of practical effects. His movies are also known for their thunderous soundscapes.
That’s why 37% of all tickets sold for “Oppenheimer” through Monday were for premium format screens like IMAX and Dolby, according to data from EntTelligence. Typically, these more expensive screens account for less than 15% of ticket sales for a film.
Notably, the average premium ticket price for “Oppenheimer” has been $16.90, while standard tickets for the film averaged at $11.68 a piece.
“IMAX has played a major role with audiences seeking out the biggest and best auditoriums, resulting in sellouts going into the sixth weekend of release,” said Shawn Robbins, chief analyst at BoxOffice.com. “Its box office performance in that format ranks among the best of all time, matched only by uber-franchise sequels like Avengers, Star Wars and Avatar.”
Nolan’s 70mm version of “Oppenheimer,” which has been a major driver of foot traffic to IMAX screens equipped to show it, has also broken records at one of Hollywood’s most legendary cinemas, the TCL Chinese Theatre. Within its first three weeks in theaters, “Oppenheimer” became the highest-grossing film release in the theater’s 97-year history.
It beat out 2015’s “Star Wars: The Force Awakens,” which made the record in 15 weeks. The influx in interest for “Oppenheimer” led that cinema to add 6 a.m. showings to satisfy demand.
Word of mouth has only benefitted the dialogue-heavy drama, with many non-target audiences heading to theaters to see it that typically wouldn’t have been drawn.
“The success of ‘Oppenheimer’ reflects a unique confluence of factors,” said Paul Dergarabedian, senior media analyst at Comscore. “The draw created by the reputation of one of the most well-respected movie directors, a perfectly executed marketing campaign, an inspired release date and an epic movie theater experience that elevated the film to event status.”
Disclosure: Comcast is the parent company of NBCUniversal and CNBC. NBCUniversal distributed “Oppenheimer.” More

3M is on the verge of ending the largest mass tort litigation in U.S. history, but it still faces other legal headaches.
The company is also awaiting approval for its $10.3 billion settlement over so-called forever chemicals.
To fund its settlements, 3M has cut costs, including through eliminating 8,500 jobs, or 10% of its workforce.

3M is on the verge of ending the largest mass tort litigation in U.S. history, but it’s still facing other expensive legal headaches.
The company said Tuesday that it settled with roughly 250,000 plaintiffs in a $6.01 billion deal. Military veterans and service members alleged 3M manufactured defective earplugs that resulted in hearing loss.

“I am confident that this more than $6 billion settlement will receive full and overwhelming support, not just because it holds 3M accountable, but more importantly, because it provides just and deserved compensation to our veterans,” Bryan Aylstock, the court-appointed lead plaintiffs’ counsel, told to CNBC over email.
While news of the settlement relieves one big legal overhang, 3M is still awaiting approval of its $10.3 billion settlement with water utilities over drinking water contaminated with substances known as “forever chemicals.”
That settlement, which is facing pushback from more than 20 states, only covers a subset of liabilities and does not include a growing list of states that have sued 3M. Nor does it include personal injury claims.
Capstone estimates 3M’s total PFAS liability risk is nearly $30 billion, beyond the existing settlements.

3M has also faced lawsuits from countries such as the Netherlands and Belgium over PFAS contamination. Europe continues to weigh a decision on whether to ban PFAS chemicals altogether. In the U.S., the Environmental Protection Agency is considering labeling PFAS a hazardous chemical. Experts say that could lead to more testing and a better understanding of just how pervasive the toxic chemical is.

To fund its settlements, 3M has cut costs, including through eliminating 8,500 jobs, or 10% of its workforce, this year.
The industrial giant is also planning to spin off its high-performing health-care business by the end of 2023 or early 2024. JPMorgan analyst Stephen Tusa expects that transaction to bring in $7 billion to $9 billion in cash flows for 3M.
Much debate has been centered around 3M’s dividend, which pays investors 6.1%. JPMorgan, UBS and RBC are among the Wall Street firms that have mentioned 3M’s dividend is at risk. “Our expectation is that 3M will lower the dividend following the spin-out of the Healthcare unit,” UBS analysts wrote in a note to clients Monday.
The timeline for the business transaction seems to be on track, with 3M announcing last week that Zimmer Biomet CEO Bryan Hanson will be joining the company as CEO of its health-care business.

3M company global headquarters. in Maplewood, Minnesota.
Michael Siluk | Universal Images Group | Getty Images

In that same announcement, it was revealed that current Chief Financial Officer Monish Patolawala added president to his title. In a note to clients, RBC analyst Deane Dray said “this arguably positions him as the heir-apparent to CEO Mike Roman.”
Roman has been leading 3M for five years. That includes the Covid pandemic, during which a shortage of the company’s N95 respirators quickly became a global crisis. He’s also had to oversee the company through the earplugs and PFAS litigation, plus pushback from a top shareholder on the underperformance in the stock.
Shares of 3M have fallen 48% since he was appointed CEO in 2018. During that same timeframe, the XLI Industrials ETF has rallied 50%.
The stock rose more than 1% on Tuesday. More