The U.S. flu vaccine crisis and Merck's recall of its anti-inflammatory drug Vioxx underscore the need for major health care reforms.

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In Australia last year, a flu vaccine which WAS also licensed in the U.S., called Afluria, seemed to cause an increase in febrile seizures in infants.

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Researchers in the United States have already taking steps to crack the genetic code of the virus behind the swine flu outbreak in order to produce a vaccine, U.S. officials said Wednesday.

CNN: WHO raises pandemic alert to second-highest level

Last year, the U.S. faced a shortage of flu vaccine due to manufacturing problems at a Chiron plant in Britain.

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Last year, the U.S. faced a shortage of flu vaccine due to manufacturing problems at a Chiron (nasdaq: CHIR - news - people ) plant in Britain.

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"The technology has advanced in recent years to a point that we believe it could help meet a surge in demand for U.S.-based vaccine for seasonal and pandemic flu, " HHS Secretary Kathleen Sebelius said in a statement last week.

CNN: CDC: U.S. may need 600 million swine flu vaccine doses

The U.S. Food and Drug Administration (FDA) approved the new swine flu vaccine for use in the United States on September 15, 2009.

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Last year, the U.S. flu shot market was so unappealing that only two players were producing injectable vaccine--leading to a serious shortage when one of them, Chiron, had to shut down its plant.

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Many of the region's pharmaceutical names were knocked back recently when swine flu vaccine orders were canceled by several European nations, so the latest news from the U.S. is "a short-term positive, " said Pope.

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