Pfizer Won't Let Go

The cardiovascular risk boogeyman is everywhere. First it struck Merck's (NYSE: MRK  ) Vioxx. Then Pfizer's (NYSE: PFE  ) Celebrex. Now, studies have shown that the painkiller Naproxen, sold by Bayer (NYSE: BAY  ) under the brand name Aleve as well as in generic form, may be connected to increased risk of cardiovascular damage.

In the midst of the mayhem, Pfizer has decided to stand behind Celebrex and keep it on the market. But the pharmaceutical giant has also determined that Celebrex should no longer be advertised to consumers. Its shares were pounded again Monday following its revelation that it would pull such ads.

Pfizer's decision contrasts sharply with Merck's, and there appears to be good reason for the distinction. Merck may have had some indication that Vioxx had cardiovascular-related issues well before withdrawing the drug, according to the International Herald Tribune. Pfizer, meanwhile, was highly confident in the safety of Celebrex. Previous studies had not given any indication that the medicine carried a heart risk. Pfizer seems to find the new data on the drug nothing short of baffling.

While Pfizer's call may differ from Merck's, the net effect could be the same, at least in the near term. Doctors and patients alike are alarmed, and sales of Celebrex will probably drop precipitously. Until the Food and Drug Administration rules on Celebrex, the medicine will remain in limbo.

Still, Pfizer is evidently betting the panic will abate and Celebrex will survive at its lowest dose levels. The chances for this look reasonable, especially given the study suggesting that even a commonplace painkiller such as Naproxen carries some risk. Unfortunately, Pfizer will by no means emerge from this situation unscathed. While most Celebrex users take the drug at lower concentrations, the medication was prescribed for certain patients at the higher doses that have been linked to heart problems. The worst for Pfizer is by no means over, although it may not get as bad as some think.

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Fool contributor Brian Gorman is a freelance writer living in Chicago. He does not own shares of any companies mentioned here.