Attorney General's News Release

January 27, 2003

Drug companies that overcharged for Cardizem CD will pay $80 million restitution under 50-state settlement

Jefferson City, Mo. — Attorney General Jay Nixon today announced that Missourians will benefit from a proposed $80 million settlement involving the popular heart medication Cardizem CD. The 50-state settlement resolves an antitrust lawsuit filed by state Attorneys General in May 2001 against Aventis Pharmaceuticals Inc., Andrx Corp. and affiliated entities.

The lawsuit alleged that Aventis and Andrx illegally agreed that Andrx would stay off the market with a less expensive generic version of the drug Cardizem CD in return for Aventis paying Andrx nearly $90 million. Delays in bringing the generic drug to market resulted in higher prices for consumers and governmental agencies, according to the lawsuit.

Under the settlement, Aventis and Andrx must pay $80 million into a fund that will compensate consumers, state agencies, and insurance companies who overpaid for Cardizem CD and its generic equivalents between 1998 and January 2003. The settlement is in addition to a $110 million settlement reached earlier between the companies and drug wholesalers involving the same allegations.

The proposed settlement was filed today with the U.S. Federal District Court in Detroit and requires approval from the court to become effective. If approved, the states will implement a claims administration process this summer for consumers who purchased Cardizem CD or its generic equivalent at any time between January of 1998 and January 2003.

Missouri consumers are expected to receive more than $400,000 in restitution through the 50-state settlement.

Inquiries from consumers should be directed to consumer@ago.mo.gov or 1-800-392-8222 (from within Missouri) or 573-751-3321 (outside Missouri).

All media inquiries should be directed to Press Secretary John Fougere.

E-mail      Phone: 573-751-8844         Fax: 573-751-5818