Pegylated Liposomal Doxorubicin and Docetaxel in Treating Women With Locally Advanced Breast Cancer That Can Be Removed By Surgery

DISEASE CHARACTERISTICS:

* Histologically or cytologically confirmed breast cancer using core biopsies

  * Locally advanced disease
  * Resectable disease
  * Fine needle aspiration cytology allowed and must demonstrate invasive adenocarcinoma
* No more than 8 weeks since initial cytologic or histologic diagnosis of breast cancer
* Tumor must meet the following criteria:

  * Palpable on clinical examination and confined to either the breast or to the breast and ipsilateral axilla
  * Measured clinically as greater than 2 cm in size (T2)
* Patients with skeletal pain are eligible if bone scan and/or roentgenological examination fail to disclose metastatic disease

  * Suspicious findings must be confirmed as benign by x-ray, MRI scan, or biopsy
* Hormonal status not specified

PATIENT CHARACTERISTICS:

Inclusion criteria:

* Female
* Menopausal status not specified
* ECOG performance status 0-2
* Life expectancy ≥ 10 years
* Platelet count ≥ 100,000/mm³
* ANC ≥ 1,500/mm³
* Hemoglobin ≥ 9.0 g/dL
* Bilirubin normal
* AST or ALT normal
* Alkaline phosphatase normal
* Serum creatinine normal
* Negative pregnancy test
* Fertile patients must use effective contraception (e.g., abstinence, intrauterine device, barrier device with spermicide, or surgical sterilization) during and for 3 months after completion of study therapy
* Normal cardiac function by LVEF or MUGA scan
* Patients with prior non-breast malignancies are eligible if they have been disease-free for ≥ 10 years

  * The following are allowed even if diagnosed within the past 10 years:

    * Squamous or basal cell carcinoma of the skin that has been effectively treated
    * Carcinoma in situ of the cervix that has been treated by operation only
    * Lobular carcinoma in situ of the ipsilateral or contralateral breast treated by segmental resection only

Exclusion criteria:

* Pregnant or lactating women
* Male patients
* Hyperbilirubinemia
* Female patients with 1 or more of the following conditions:

  * Ulceration, erythema, infiltration of the skin (complete fixation), or peau d'orange (edema) of any magnitude

    * Tethering or dimpling of the skin or nipple inversion should not be interpreted as skin infiltration
  * Ipsilateral lymph nodes that are clinically fixed to one another or to other structures (N2 disease)
  * Bilateral malignancy or a mass in the opposite breast suspicious for malignancy, unless there is biopsy proof that the mass is not malignant
  * Suspicious palpable nodes in the contralateral axilla or palpable supraclavicular or infraclavicular nodes, unless there is biopsy evidence that these are not involved with the tumor
* Nonmalignant systemic disease (e.g., cardiovascular, renal, or hepatic) that would preclude study therapy
* Active cardiac disease that would preclude the use of doxorubicin hydrochloride, including any of the following:

  * Documented myocardial infarction
  * Angina pectoris that requires the use of antianginal medication
  * History of documented New York Heart Association class II-IV heart failure
  * Valvular disease with documented cardiac function compromise
  * Poorly controlled hypertension (i.e., diastolic BP \> 100 mm Hg)

    * Patients with well-controlled hypertension and on medication are eligible for study
* Psychiatric or addictive disorders that would preclude obtaining informed consent

PRIOR CONCURRENT THERAPY:

Inclusion criteria:

* Concurrent noncancer therapies allowed if used for conditions other than breast cancer
* Adjuvant therapy after surgery allowed

Exclusion criteria:

* Prior radiotherapy, chemotherapy, immunotherapy, and/or hormonal therapy for breast cancer
* Prior anthracycline therapy for any condition
* Concurrent hormonal therapy including tamoxifen, aromatase inhibitors, or raloxifene
* Concurrent sex hormonal therapy including birth-control pills or ovarian hormonal replacement therapy
* Concurrent other cancer therapy
* Concurrent herbal or alternative therapies for breast cancer