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Senate report hits Glaxo stock

GlaxoSmithKline’s shares fell sharply yesterday after US senators published a highly critical report into the side effects of its diabetes drug Avandia. Shares in the pharmaceuticals giant tumbled more than two per cent as the senators said two American drug safety reviewers recommended the medicine be pulled from the market amid concerns about its links to increased risk of heart attacks.The developments added to fears of expensive litigation against Glaxo by patients claiming to have suffered from side effects. Avandia comprises about 1.5 per cent of Glaxo’s annual £28.4 billion sales. The shares fell 2.6 per cent to 1203.5p.