The federal government is presently pursuing a two-fold strategy to reduce drug costs in the United States. While it is unclear whether and how these proposals will be implemented, the policies could have a negative impact on the pharmaceutical industry and on our ability to receive revenues for Papzimeos or any other product candidate that we commercialize. The federal government has threatened to impose significant tariffs on pharmaceutical manufacturers that do not adopt pricing policies such as most favored nation pricing, which would tie the price for drugs in the United States to the lowest price in a group of other countries. In response, multiple manufacturers have reportedly entered into confidential pricing agreements with the federal government.
