Background You are a member of the Board of Directors of the Upjohn Corporation. The company has called a Special Meeting of the Board to provide some guidance as to what should be done with one of the company's products, a drug named \"Panalba." Panalba is a xed-ratio (containing a combination of drugs) antibiotic drug sold by prescription. It has been on the market for over 12 years and has been highly SuCCESSJl for the company. It now accounts for over 250 million dollars per year, which is 14 percent of Upjohn's gross profit in the United States. Prots from foreign markets, where Panalba is marketed under a different name, are roughly comparable to those in the US. Over the past 25 years, there have been numerous medical researchers (e.g., the M's Council on Drugs} that have objected to the sale of the vast majority of xed-ratio drugs. The basic argument against these drugs is: (1) there is no evidence that xed-ratio drugs provide improved benets over single drugs, and (2) the possibility of detrimental side effects, including death, is at least doubled. These researchers, for example, have estimated that Panalba is contributing to approximately 22 to as many as 50 unnecessary deaths per year, deaths that could have been prevented if the patients had used a substitute, single drug made by one of Upjohn's competitors. Due to the difculties of proving a denitive cause-effect relationship, however, Panalba (as well as other xed-ratio drugs) have remained on the market and many doctors continue to use them. These drugs offer a type of \"shotgun\" approach for the doctor who is unsure of his or her diagnosis. Recently, based on their review of the situation, a National Academy of Science-National Research Council Panel, a group of highly-respected, impartial scientists, recommended unanimously that the Food and Drug Administration {FDA} ban the sale of Panalba. One of the members of the panel was quoted in the press noting, \"There are few instances in medicine when so many experts have agreed unanimously and without reservation {about banning Panalba)\" These experts were clear that while any drug has the possibility of dangerous side effects, the costs associated with the xed-ratio Panalba drug clearly outweighed the possible benets. This Special Board Meeting was called due to an emergency situation. The FDA had just informed Upjohn of its intent to ban Panalba in the US. and wanted to give the company a chance for nal appeal. Should the ban become effective, Upjohn would have to stop all sales of Panalba and attempt to remove inventories from the market. Upjohn has no close substitute for Panalba, so doctors would switch their patients to substitute drugs readily available from other companies. The selling price of these substitute drugs is roughly the same as the price for