340B Health


in 340B Health News Releases

WASHINGTON, D.C.— The global drug giant Merck says it will stop providing 340B discounts to hospitals on drugs dispensed at community-based pharmacies if they do not start handing over millions of pharmacy patient claims to the company by Sept. 1. The following statement is attributed to 340B Health President and CEO Maureen Testoni:

“Merck’s threat to withhold 340B drug discounts from hospitals partnering with community pharmacies will cause irreparable harm to safety-net providers and the patients living with low incomes they serve. Drug companies should not impose conditions on hospitals eligible for 340B discounts, including demanding access to patients’ drug claims. Merck’s leaders should withdraw their threat and continue to abide by the law.

The federal government has made it clear that such actions are in violation of federal law and must stop. Yet numerous drug companies have gone to court to block the government from enforcing the law. The Department of Health and Human Services (HHS) must act swiftly to halt these harmful actions and protect patients living with low incomes, in rural communities, and with life-threatening conditions. HHS Secretary Becerra should direct any companies that flout the law to restore 340B pricing for all eligible drugs and repay all overcharges, and he should refer the companies for financial penalties for knowingly and intentionally violating the law. The time to act is now.”

Contact: Richard Sorian at richard.sorian@340bhealth.org or 202-536-2285.