express scripts

Shares of the big three pharmacy benefits management (PBM) companies--Medco, Express Scripts and Caremark--were all lower this morning after a federal appeals court upheld a Maine law that forces PBMs to reveal information about their business dealings with drug companies. PBMs receive rebates from drug companies for guaranteeing position of brand-name drugs on their formularies, and this practice has been very controversial. The law also requires PBMs to act in the best interest of their …

These appear to be halcyon days for the big PBMs. Their various mergers and IPOs are completed, there are more and more drugs coming off patents enabling them to save more money by using generics and the Medicare Part D drug coverage gives them a whole new market among seniors. By yesterday, the share prices of the big three--Medco, Caremark and Express Scripts--were up more than 50 percent for the year so far, with Express Scripts stock up more than 150 percent.

But today Medco …

Pharmacy benefits manager Express Scripts released a report today which argues that the healthcare system could save $20 billion if healthcare providers switched to commonly available generic drugs instead of using more expensive brand name medicines. The company's Generic Drug Usage Report looks at costs for about 3 million people participating in its network across six drug classes, including NSAIDS, cholesterol fighting statins, GI drugs and antidepressants. Express Scripts estimates …

In another noteworthy development, Deutsche Bank analyst Barbara Ryan said that Express Scripts is removing Pfizer drugs from its preferred formulary. The pharmacy benefits manager refused to comment on the development, but the signs suggest the report is credible. According to the report authored by Ryan, Express Scripts will give preference to generics over four drugs made by Pfizer, including the cholesterol drug Lipitor, blood pressure medicine Norvasc, ED treatment Viagra and …

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> A new CDC report finds that 2.5 million kids in the US are receiving drug-based …

One of the "Big 3" PBMs, Express Scripts, said that it has extended its alliance with IT outsourcing firm EDS through 2010. The IT services giant, which has been trying to extend its healthcare business away from dependence on a few major Blues plans in recent years, provides Express Scripts with various IT services,
including mainframe and midrange hosting, communications networking and Web
hosting. Release

Aetna numbers please Wall Street
Good numbers from Aetna gave big name health plans a lift yesterday, as investors decided the good news was all the evidence they needed to jump back on board. Health plan stocks were up, with Aetna rising 5 percent. Things are equally upbeat in the PBM sector, where good numbers from Express Scripts this week have prompted a run of good old fashioned exuberance on the part of traders. Story

Express Scripts said it will pay $1.3 billion for Florida specialty pharmacy company Priority Healthcare. The move is expected to strengthen St. Louis-based Express Scripts' position in a field it entered only a year ago with the acquisition of CuraScript. Analysts say the recent trend toward therapies delivered at homes and in doctors' offices make the specialty business an attractive buy. Some estimates suggest the specialty pharmacy sector could double in the next few years, with the …

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> PBM Express Scripts declares a 2-for-1 stock split. Story

> In Illinois, lawmakers agree to a $500,000 cap in malpractice cases. …