1 00:00:02,120 --> 00:00:06,680 Speaker 1: Welcome to Prognosis. I'm Laura Carlson. It's day two d 2 00:00:06,840 --> 00:00:11,080 Speaker 1: and thirty three since coronavirus was declared a global pandemic. 3 00:00:11,880 --> 00:00:15,840 Speaker 1: Today's main story the White House is most visible and 4 00:00:15,920 --> 00:00:20,000 Speaker 1: coordinated response to the pandemic has been Operation Warp Speed, 5 00:00:20,360 --> 00:00:25,400 Speaker 1: the project to fast track vaccine development. Whether Trump wins 6 00:00:25,520 --> 00:00:28,560 Speaker 1: or loses on election day, the program could be our 7 00:00:28,600 --> 00:00:33,400 Speaker 1: best chance to get free from this outbreak if he 8 00:00:33,520 --> 00:00:38,000 Speaker 1: stays out of the way. But first, here's what happened 9 00:00:38,080 --> 00:00:50,720 Speaker 1: in virus News today. Supporters of President Trump chanted fire 10 00:00:50,800 --> 00:00:55,480 Speaker 1: Fauci at the president's campaign rally Sunday night. The President 11 00:00:55,520 --> 00:00:59,920 Speaker 1: made comments hinting he would fire Fauci, the director of 12 00:01:00,000 --> 00:01:04,760 Speaker 1: a National Institute of Allergy and Infectious Diseases, after the election. 13 00:01:05,800 --> 00:01:08,919 Speaker 1: It's the latest attack on Fauci from the Trump white House, 14 00:01:09,360 --> 00:01:13,160 Speaker 1: who criticized him on Sunday after Faucci warned in a 15 00:01:13,200 --> 00:01:16,560 Speaker 1: Washington Post interview that the country was heading for a 16 00:01:16,680 --> 00:01:22,280 Speaker 1: drawn out period of illness and death. Daily cases in 17 00:01:22,319 --> 00:01:27,720 Speaker 1: the US are surging as Tuesday's election approaches. The current 18 00:01:27,720 --> 00:01:31,400 Speaker 1: wave of cases is bigger than the one scene in 19 00:01:31,440 --> 00:01:35,160 Speaker 1: the spring. Goldman, Sachs and Deutsche Bank were among the 20 00:01:35,200 --> 00:01:39,800 Speaker 1: companies that told UK staff that all but essential employees 21 00:01:39,920 --> 00:01:45,160 Speaker 1: should work from home. England's nationwide lockdown will legally expire 22 00:01:45,200 --> 00:01:48,640 Speaker 1: on December two, but the government says it will look 23 00:01:48,680 --> 00:01:53,840 Speaker 1: at a range of indicators before easing restrictions. Large swaths 24 00:01:53,880 --> 00:01:59,080 Speaker 1: of Europe are also entering lockdown this week. Finally, a 25 00:01:59,160 --> 00:02:03,800 Speaker 1: coronavirus vaccine under development from cure vac NV showed a 26 00:02:03,840 --> 00:02:08,520 Speaker 1: good immune response in early trials, validating the biotech company's 27 00:02:08,600 --> 00:02:13,400 Speaker 1: research into messenger RNA's ability to train the body's defenses. 28 00:02:14,000 --> 00:02:18,440 Speaker 1: The most promising vaccine dose produced an immune response comparable 29 00:02:18,480 --> 00:02:22,359 Speaker 1: to that found and recovered patients in an early stage test, 30 00:02:22,919 --> 00:02:32,639 Speaker 1: according to the German company. And now for today's main story, 31 00:02:33,120 --> 00:02:36,720 Speaker 1: Operation warp Speed, the White House's effort to fast track 32 00:02:36,760 --> 00:02:41,000 Speaker 1: of vaccine for COVID nineteen appears to be the conspicuous 33 00:02:41,000 --> 00:02:46,040 Speaker 1: exception to the government's otherwise disastrous management of the pandemic. 34 00:02:46,760 --> 00:02:50,280 Speaker 1: The project has cleared bureaucratic hurdles and awarded more than 35 00:02:50,320 --> 00:02:55,000 Speaker 1: twelve billion dollars in vaccine related contracts, and has an 36 00:02:55,040 --> 00:03:00,040 Speaker 1: overall budget of as much as eighteen billion dollars. I 37 00:03:00,040 --> 00:03:04,240 Speaker 1: spoke with reporter Cynthia Coons, who wrote in Bloomberg Business 38 00:03:04,280 --> 00:03:17,280 Speaker 1: Week about what Operation Warp Speed is doing behind the scenes. So, 39 00:03:17,760 --> 00:03:23,280 Speaker 1: Operation Warp Speed formally described as a public private partnership, 40 00:03:23,440 --> 00:03:26,840 Speaker 1: but I was hoping you might just unpack this a little. 41 00:03:26,919 --> 00:03:31,760 Speaker 1: What is it exactly and how is it structured. Operation 42 00:03:31,840 --> 00:03:35,160 Speaker 1: Warp Speed is a combination of a number of different 43 00:03:35,200 --> 00:03:39,960 Speaker 1: government agencies that have come together, predominantly h h S, 44 00:03:40,080 --> 00:03:43,680 Speaker 1: the Health and Human Services Division of the Administration, and 45 00:03:43,800 --> 00:03:45,440 Speaker 1: the Department of Defense. So I think one of the 46 00:03:45,480 --> 00:03:48,080 Speaker 1: more interesting things we've uncovered in our reporting is just 47 00:03:48,160 --> 00:03:52,000 Speaker 1: how heavily involved the military is in the entire operation. 48 00:03:52,560 --> 00:03:55,360 Speaker 1: So it's basically a coming together of a variety of 49 00:03:55,360 --> 00:03:57,760 Speaker 1: different parts of the government that might typically be involved 50 00:03:57,760 --> 00:04:00,520 Speaker 1: in pandemic planning, but not necessarily in the sway. The 51 00:04:00,600 --> 00:04:04,120 Speaker 1: US government doesn't typically help build supply chains for vaccines 52 00:04:04,160 --> 00:04:07,400 Speaker 1: from scratch, but there's some expertise there within the government 53 00:04:07,440 --> 00:04:10,400 Speaker 1: that comes from the from the military that Operation Warp 54 00:04:10,440 --> 00:04:13,640 Speaker 1: Speed is drawing on to make this vaccine possible should 55 00:04:13,640 --> 00:04:20,039 Speaker 1: any of these vaccine candidates prove successful in combat and coronavirus. Now, 56 00:04:20,160 --> 00:04:25,000 Speaker 1: there have been many accusations that the Trump administration has 57 00:04:25,200 --> 00:04:32,120 Speaker 1: mismanaged the pandemic, perhaps with the exception being Operation Warp Speed. 58 00:04:32,480 --> 00:04:34,919 Speaker 1: And what, in your opinion do you think has led 59 00:04:35,000 --> 00:04:39,400 Speaker 1: to this, what has made this program work well? One 60 00:04:39,440 --> 00:04:42,000 Speaker 1: person said to me, which really stuck with me, was 61 00:04:42,040 --> 00:04:45,120 Speaker 1: that Warp Speed really plays to Trump's strengths that he 62 00:04:45,160 --> 00:04:48,279 Speaker 1: likes to manufacture things, that he likes to leverage his 63 00:04:48,320 --> 00:04:51,560 Speaker 1: relationships within the business world, and that's where Operation Warp 64 00:04:51,600 --> 00:04:56,320 Speaker 1: Speed really comes together. So well, it's definitely a conglomerate 65 00:04:56,320 --> 00:05:00,240 Speaker 1: of different entities of the US government. The active and 66 00:05:00,279 --> 00:05:03,400 Speaker 1: the actual execution here is coming from the companies themselves, 67 00:05:03,440 --> 00:05:05,680 Speaker 1: and so the government has given out billions and billions 68 00:05:05,680 --> 00:05:09,400 Speaker 1: of dollars of contracts to these companies, Companies like Maderna, 69 00:05:09,520 --> 00:05:13,359 Speaker 1: companies like Astra, Zeneca, J and J. They're large companies 70 00:05:13,400 --> 00:05:16,080 Speaker 1: that are recipients of Operation Warp Speed money that they're 71 00:05:16,160 --> 00:05:18,960 Speaker 1: using to help offset the costs of these very expensive, 72 00:05:19,080 --> 00:05:21,240 Speaker 1: large trials that they need to do to prove the 73 00:05:21,279 --> 00:05:24,320 Speaker 1: vaccine is safe. So so in some sense that part 74 00:05:24,400 --> 00:05:26,880 Speaker 1: of it plays to Trump's strengths, and another another part 75 00:05:26,880 --> 00:05:29,920 Speaker 1: of it is very very good people have been appointed 76 00:05:30,040 --> 00:05:32,400 Speaker 1: to the extent that months of SLOUGHI, who is a 77 00:05:32,480 --> 00:05:35,960 Speaker 1: vaccine executive at Glaxo Smith client who spent years working 78 00:05:35,960 --> 00:05:39,760 Speaker 1: on vaccines for public health crises, is running this operation. 79 00:05:40,360 --> 00:05:44,159 Speaker 1: Having his expertise someone like him has been really pivotal. 80 00:05:44,279 --> 00:05:46,359 Speaker 1: And there are also very high level people within the 81 00:05:46,400 --> 00:05:49,160 Speaker 1: military who have done a lot of logistics and operational 82 00:05:49,240 --> 00:05:52,240 Speaker 1: support in major endeavors in the past. And so this 83 00:05:52,360 --> 00:05:55,279 Speaker 1: combination of bringing in top talent in some of these 84 00:05:55,360 --> 00:05:59,000 Speaker 1: very niche areas and this idea that Trump really liked, 85 00:05:59,040 --> 00:06:02,400 Speaker 1: this company driven a approach made Operation work Speed that's 86 00:06:02,480 --> 00:06:08,520 Speaker 1: very unique, somewhat potentially positive outlier in the broader federal 87 00:06:08,560 --> 00:06:13,839 Speaker 1: government response to COVID. And so let's get into perhaps 88 00:06:14,240 --> 00:06:17,680 Speaker 1: the most public element right now of Operation Warp Speed, 89 00:06:17,680 --> 00:06:22,600 Speaker 1: that is with vaccine development. How exactly has Operation Warp 90 00:06:22,640 --> 00:06:27,400 Speaker 1: Speed been involved with choosing and of course supporting some 91 00:06:27,480 --> 00:06:32,200 Speaker 1: of the various coronavirus vaccine candidates. One of the principal 92 00:06:32,200 --> 00:06:34,760 Speaker 1: things Operation Warp Speed has done has given They've given 93 00:06:34,760 --> 00:06:38,160 Speaker 1: a lot of money to big companies to support big, 94 00:06:38,279 --> 00:06:40,560 Speaker 1: large scale trials, and you see some of the companies 95 00:06:40,600 --> 00:06:44,480 Speaker 1: doing six phase three trials. So the government has given 96 00:06:44,480 --> 00:06:47,200 Speaker 1: away a decent amount of money in that regard. The 97 00:06:47,240 --> 00:06:49,640 Speaker 1: other really interesting thing that we came upon was the 98 00:06:49,640 --> 00:06:52,480 Speaker 1: amount of work the government had been doing to really 99 00:06:52,960 --> 00:06:55,840 Speaker 1: help build the supply chain, so they have these They've 100 00:06:55,920 --> 00:06:58,800 Speaker 1: used the Defense Production Act much more so than we 101 00:06:58,839 --> 00:07:01,520 Speaker 1: initially realized, and and the way it works. As a company. 102 00:07:01,560 --> 00:07:03,560 Speaker 1: We talked to one small supplier of a type of 103 00:07:03,640 --> 00:07:06,640 Speaker 1: vial who said they had a power outage at their 104 00:07:06,680 --> 00:07:09,440 Speaker 1: supplier in Chicago in the middle of the summer and 105 00:07:09,560 --> 00:07:11,040 Speaker 1: they didn't know how much that was going to slow 106 00:07:11,080 --> 00:07:13,400 Speaker 1: them down, and so they brought this letter to the 107 00:07:13,400 --> 00:07:17,280 Speaker 1: head of legal affairs at the energy company who turned 108 00:07:17,280 --> 00:07:20,120 Speaker 1: the lights on. That was it. They just prioritize that 109 00:07:20,160 --> 00:07:22,640 Speaker 1: plan so that the work could get done to get 110 00:07:22,640 --> 00:07:25,760 Speaker 1: the vials produced to continue to the supply chain that 111 00:07:25,960 --> 00:07:28,960 Speaker 1: underpins the production of a vaccine would be up and running. 112 00:07:29,200 --> 00:07:31,120 Speaker 1: So it's been very interesting. I've been told that the 113 00:07:31,200 --> 00:07:34,679 Speaker 1: Army Corps of Engineers comes in and gets involved when needed. 114 00:07:34,720 --> 00:07:38,320 Speaker 1: They connects thedite permits. UH. The one of the main 115 00:07:38,360 --> 00:07:41,960 Speaker 1: companies we focused on was Emergent because their contract manufacturer 116 00:07:41,960 --> 00:07:44,400 Speaker 1: and they're working with J and J Astra and they've 117 00:07:44,440 --> 00:07:47,360 Speaker 1: worked with Novavax so that's a big component of the 118 00:07:47,400 --> 00:07:51,360 Speaker 1: whole Warp Speed production capacity. It's it's half of the 119 00:07:51,400 --> 00:07:54,040 Speaker 1: known companies right now that are working on vaccines are 120 00:07:54,040 --> 00:07:56,920 Speaker 1: working with Emergent and so in emergence case, they had 121 00:07:56,920 --> 00:08:01,680 Speaker 1: prop pieces uh supply um parts duck in Sweden and 122 00:08:01,720 --> 00:08:04,680 Speaker 1: basically the government got involved and lo and behold they 123 00:08:04,680 --> 00:08:07,920 Speaker 1: were able to expedite supply items that might not have 124 00:08:07,960 --> 00:08:11,120 Speaker 1: arrived until November December, and they got them in August. 125 00:08:11,400 --> 00:08:13,880 Speaker 1: So they're making vaccines right now. Whether or not we 126 00:08:13,960 --> 00:08:15,840 Speaker 1: end up getting those vaccines are going to depend on 127 00:08:15,840 --> 00:08:18,880 Speaker 1: the science, but the government's very much backing the production 128 00:08:18,880 --> 00:08:22,120 Speaker 1: of vaccines so that the supply is there. It's a 129 00:08:22,200 --> 00:08:25,040 Speaker 1: it's a big bet on at least being ready. If 130 00:08:25,080 --> 00:08:29,240 Speaker 1: one of these vaccines is successful. What happens in terms 131 00:08:29,400 --> 00:08:33,840 Speaker 1: of distribution. How will Operation warp Speed be involved with 132 00:08:34,360 --> 00:08:38,560 Speaker 1: if a vaccine is approved distributing it throughout the US. 133 00:08:39,600 --> 00:08:42,360 Speaker 1: Operation warp Speed is saying right now they are ready 134 00:08:42,760 --> 00:08:45,160 Speaker 1: so that a vaccine can start to be distributed within 135 00:08:45,240 --> 00:08:48,800 Speaker 1: twenty four hours of approval, which is quite rapid. They're 136 00:08:48,800 --> 00:08:52,520 Speaker 1: working with McKesson and some large pharmacy chains in order 137 00:08:52,559 --> 00:08:55,480 Speaker 1: to make sure that's possible. They're going to be tracking 138 00:08:55,679 --> 00:08:58,560 Speaker 1: as far as I understand the dosage so that people 139 00:08:58,640 --> 00:09:01,920 Speaker 1: are notified. Any of these vaccines are two dose, so 140 00:09:01,960 --> 00:09:03,760 Speaker 1: they're going to be notifying people if they need to 141 00:09:03,760 --> 00:09:06,200 Speaker 1: get their second dose of a given vaccine. They have 142 00:09:06,240 --> 00:09:09,120 Speaker 1: a legacy computer system from the c d C that 143 00:09:09,160 --> 00:09:12,520 Speaker 1: they're upgrading to make this sort of technology and tracking possible. 144 00:09:12,920 --> 00:09:15,720 Speaker 1: They're building the systems to be able to track utilization 145 00:09:15,760 --> 00:09:17,920 Speaker 1: and DOSA, be able to remind people if they need 146 00:09:17,960 --> 00:09:20,760 Speaker 1: to get a second dose. And they're very much focused. 147 00:09:20,800 --> 00:09:23,120 Speaker 1: They've been very public about this idea that they want 148 00:09:23,120 --> 00:09:25,200 Speaker 1: to make sure they reach all Americans, so they're going 149 00:09:25,240 --> 00:09:27,800 Speaker 1: to remote parts. They're trying to build the infrastructure so 150 00:09:27,840 --> 00:09:30,839 Speaker 1: that people in remote parts of the US, in maybe 151 00:09:30,920 --> 00:09:34,640 Speaker 1: rural America or islands, etcetera, are also able to get 152 00:09:34,679 --> 00:09:37,360 Speaker 1: the vaccine. There are no way focused on only making 153 00:09:37,400 --> 00:09:39,920 Speaker 1: this possible and the major metro centers where medical care 154 00:09:40,240 --> 00:09:43,520 Speaker 1: is obviously more abundant. So I'd say that's it also 155 00:09:43,600 --> 00:09:46,080 Speaker 1: been quite interesting to see how much attention has been 156 00:09:46,120 --> 00:09:50,120 Speaker 1: paid to that next leg of the journey. Of course, 157 00:09:50,120 --> 00:09:53,400 Speaker 1: we're we're looking at a week of a presidential election, 158 00:09:53,640 --> 00:09:56,840 Speaker 1: and and we may have a new administration um starting, 159 00:09:57,880 --> 00:10:01,800 Speaker 1: So how might the outcome of the elected effect Operation 160 00:10:01,840 --> 00:10:06,240 Speaker 1: Warp Speed. How might a Biden administration otherwise affect the 161 00:10:06,240 --> 00:10:10,400 Speaker 1: course of the program. So your question about distribution really 162 00:10:10,480 --> 00:10:13,319 Speaker 1: hits on this because my understanding is that the bulk 163 00:10:13,360 --> 00:10:16,240 Speaker 1: of Operation Warp Speeds work, at least from the perspective 164 00:10:16,240 --> 00:10:19,040 Speaker 1: of them, getting the supply chain built up is going 165 00:10:19,080 --> 00:10:23,080 Speaker 1: to be done by January, where we to have a 166 00:10:23,080 --> 00:10:26,760 Speaker 1: new president inaugurated at that point. Uh, the next job 167 00:10:26,840 --> 00:10:29,720 Speaker 1: really after that is going to be disseminating this. I 168 00:10:29,760 --> 00:10:32,200 Speaker 1: don't think any of these vaccines are likely to be 169 00:10:32,320 --> 00:10:36,680 Speaker 1: rolling out until so it is really going to fall 170 00:10:36,720 --> 00:10:39,280 Speaker 1: to the Biden administration if he were to succeed in 171 00:10:39,320 --> 00:10:43,040 Speaker 1: the election. This week. He has said to us through 172 00:10:43,040 --> 00:10:46,120 Speaker 1: a spokesman that a Biden administration be fully committed to 173 00:10:46,160 --> 00:10:50,000 Speaker 1: Operation Warp Speed. And I'm sure that the Trump administration 174 00:10:50,040 --> 00:10:52,800 Speaker 1: would be fully committed to Warp Speed to given that's 175 00:10:52,880 --> 00:10:56,240 Speaker 1: been there. This whole thing has come together under the 176 00:10:56,280 --> 00:10:59,720 Speaker 1: Trump administration. So really, I think the question of distribution 177 00:10:59,880 --> 00:11:04,040 Speaker 1: is is going to be what's left the piece of this. 178 00:11:04,480 --> 00:11:07,760 Speaker 1: I think either administration is going to be dedicated to 179 00:11:07,800 --> 00:11:10,800 Speaker 1: that piece of it. But definitely there could be some turmoil. 180 00:11:10,840 --> 00:11:13,560 Speaker 1: There could be high level departures and different people are 181 00:11:13,600 --> 00:11:15,880 Speaker 1: going to have to take over and take up the helm. 182 00:11:15,920 --> 00:11:18,040 Speaker 1: But I could see that being the only disruption is, 183 00:11:18,120 --> 00:11:20,720 Speaker 1: you know, any personnel turnover, if anyone were to leave, 184 00:11:21,120 --> 00:11:24,040 Speaker 1: if there's a different outcome where Biden wins the election. 185 00:11:30,080 --> 00:11:33,200 Speaker 1: That was Cynthia Coons and that's it for our show today. 186 00:11:33,559 --> 00:11:36,920 Speaker 1: For coverage of the outbreak from one bureaus around the world, 187 00:11:37,320 --> 00:11:41,760 Speaker 1: visit Bloomberg dot com slash coronavirus and if you like 188 00:11:41,880 --> 00:11:44,280 Speaker 1: the show, please leave us a review and a rating 189 00:11:44,520 --> 00:11:48,040 Speaker 1: on Apple Podcasts or Spotify. It's the best way to 190 00:11:48,080 --> 00:11:52,520 Speaker 1: help more listeners find our global reporting. The Prognosis Daily 191 00:11:52,640 --> 00:11:57,040 Speaker 1: edition is produced by Top four heads Jordan Gospore, Magnus 192 00:11:57,080 --> 00:12:02,320 Speaker 1: Hendrickson and me Laura Carlson. Today's main story was reported 193 00:12:02,320 --> 00:12:07,079 Speaker 1: by Cynthia Coons. Original music by Leo Sidrin. Our editors 194 00:12:07,080 --> 00:12:11,840 Speaker 1: are Francesco Levi and Rick Shine. Francesco Levi is Bloomberg's 195 00:12:11,880 --> 00:12:14,480 Speaker 1: head of podcasts. Thanks for listening.