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Morning Briefing

Summaries of health policy coverage from major news organizations

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Friday, Oct 28 2016

Full Issue

Pentagon Paid Millions More Buying EpiPens At Retail Prices

The Defense Department gets a discount on EpiPens dispensed at military treatment facilities and by mail order, but nearly half of its spending was at retail pharmacies where it most recently paid an average of $509 for EpiPen and $528 for EpiPen Jr two-packs. In total, the Pentagon paid about $54 million more than it should have from 2009 to 2016.

Reuters: EpiPen Price Hikes Add Millions To Pentagon Costs

Mylan NV's price hikes on EpiPens have added millions to U.S. Department of Defense spending since 2008 as the agency covered more prescriptions for the lifesaving allergy shot at near retail prices, government data provided to Reuters shows. Pentagon spending rose to $57 million over the past year from $9 million in 2008 - an increase driven both by volume and by price hikes that had a bigger bite on prescriptions filled at retail pharmacies, according to the previously unreported data. (10/28)

Reuters: Mylan EpiPen: One Piece Of A Complicated U.S. Pricing System

The complex U.S. system for drug pricing creates wide variation in what people pay for the same prescription medications, such as Mylan NV's EpiPen. A Reuters review of government data found that Mylan's price hikes on the lifesaving allergy shot have increased spending for the U.S. Defense Department, based on its arrangements for covering drug costs. Here's how drug pricing works for different constituencies. (10/28)

In other news about the EpiPen-maker —

Stat: FTC Seeks Review Of A Court Ruling On Generic Drug Competition

A four-year-old case is now lodged in a federal appeals court in Philadelphia where Mylan Pharmaceuticals — and the agency — are urging a review of an example of product hopping. The term is used to describe modest reformulations that are made to a medicine, but without offering any substantive therapeutic advantages. Generic companies say such moves are a subterfuge designed to extend patents. Brand-name drug makers maintain such improvements are legitimate. In this instance, Warner-Chilcott, which is now owned by Allergan, added a line, or “score,” to its Doryx acne tablets. The company has contended that scoring served a useful consumer purpose by allowing patients to more easily divide their pills. (Silverman, 10/27)

This is part of the Morning Briefing, a summary of health policy coverage from major news organizations. Sign up for an email subscription.
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