MERCK MAY ENTER DEVICE MARKET

The new CEO of Merck recently told a group of analysts that the company might enter the device and diagnostics market as a way to increase the company's value.

CEO Richard Clark mapped out options for the company to stem the tide of declining earnings, JP Morgan analyst Chris Shibutani said. The company is facing a downturn due to generic competition and the withdrawal last year of its painkiller Vioxx, which accounted for $2.5 billion in annual sales. The company is facing more than 5,000 lawsuits from former Vioxx users and their families, who allege the drug caused heart attacks and strokes.