Thursday, May 26, 2016

"Walgreens Reportedly Struck Theranos Deal Without Verifying the Tech" (WBA)

Very troubling. 
Except to the plaintiffs attorneys.
From Fortune:
 Walgreens  WBA -1.13%  reportedly failed to adequately verify that embattled blood lab startup Theranos’ proprietary Edison finger prick testing technology worked as advertised, saddling the pharmacy giant with a business partner staring down mounting troubles. 
The drugstore chain struck its Theranos deal in 2013 under the leadership of former CEO Greg Wasson, who was reportedly eager to invest in a potentially revolutionary new technology to grow sales prior to the completion of Walgreen’s merger with Switzerland’s Alliance Boots. The partnership was a big win for Theranos, which was seeking a respected pharmacy ally to boost its brand and technology. 
Less than three years later, Walgreens has halted its expansion plans for using Theranos’ blood testing services beyond the 41 “Wellness Centers” in Arizona and California where they currently operate and is reportedly looking to dump its partner altogether in the wake of reports that its technology doesn’t work as advertised and growing scrutiny from both federal regulators and federal prosecutors. Walgreens operates about 8,000 pharmacies across the country. 
According to the Wall Street Journal, researchers at Johns Hopkins University who were paid to test the Edison device on Walgreens’ behalf back in 2011 were unable to do so because Theranos never delivered it to them. ...MORE