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CVS-Caremark Merger: Where Does it Leave Patients?

02.11.2006 21:30 Political Press Releases

To: National Desk

Contact: Carol Cooke of the National Community Pharmacists Association, 703-838-2686 or carol.cooke@ncpanet.org

ALEXANDRIA, Va., Nov. 2 /U.S. Newswire/ -- The National Community Pharmacists Association (NCPA) today warned that the recently announced merger plans of CVS Corp. and Caremark Rx Inc. could have a significant negative impact on patient access to the pharmacy of their choice. However, NCPA also called the planned merger an excellent opportunity for CVS to address the many problems that pharmacy benefit managers (PBMs), like Caremark, have caused community pharmacies and their patients, and urged the company to take action to clean up PBM abuses.

"As a major retail pharmacy player, CVS knows what PBMs like Caremark have done to patient choice, access, and service," said NCPA Executive Vice President and CEO Bruce Roberts, RPh. "PBMs have done their best to destroy choice, access, and service through mandatory mail order-forcing patients to get their prescriptions from their letter carrier instead of their neighborhood pharmacist."

In a joint press release, CVS and Caremark said the planned merger is expected to "create significant benefits for employers and health plans through more effective cost management and innovative new programs, and for consumers through expanded choice, unparalleled access, and more personalized services."

"If that turns out to be the case, that's good," Roberts said. "Our members are not afraid of fair competition, but CVS will have a lot of work to do to hold Caremark's feet to the fire on those issues."

NCPA specifically challenged CVS to:

-- Make the PBM process transparent so that employers, health plans, regulators, and consumers can see how their dollars are being spent.

-- Allow pharmacies to negotiate business contracts with PBMs so they aren't forced into take-it-or-leave-it deals that are bad for patients and pharmacists.

-- Allow patients to fill prescriptions for a 90-day supply at the retail level.

-- Stop the shrinking drug formularies that limit patient choice and add to red tape and appeals.

-- Put an end to mandatory mail order.

-- Abide by the state laws that guarantee insured consumers their choice of pharmacy.

-- Stop the unfair, self-dealing, and illegal practices of its PBM that have led to numerous investigations and lawsuits.

"PBMs have a sad history of forcing patients to get their prescriptions from out-of-state mail order warehouses and away from their local community pharmacist," Roberts said. "Tom Ryan of CVS has said he would be 'agnostic' -- or non-committal -- about where consumers fill their prescriptions. We will be watching closely to ensure that remains the case."

The National Community Pharmacists Association (NCPA), founded in 1898, represents the nation's community pharmacists, including the owners of more than 24,000 pharmacies. The nation's independent pharmacies, independent pharmacy franchises, and independent chains dispense nearly half of the nation's retail prescription medicines.

http://www.usnewswire.com/

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/© 2006 U.S. Newswire 202-347-2770/

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