Attorney General's News Release

October 20, 2004

Missourians who purchased anti-depressant to receive refunds under settlement announced by AG Nixon

Jefferson City, Mo. — Missourians who bought the anti-depressant drug Remeron could soon receive refunds under a nationwide settlement announced today by Attorney General Jay Nixon.

Nixon and attorneys general from across the nation filed a preliminary settlement with drug maker Organon USA Inc. and its parent company, Akzo Nobel N.V., in New Jersey federal court. The settlement resolves allegations contained in an accompanying complaint that Organon delayed the introduction of a generic version of Remeron, resulting in higher prices for consumers.

Based on estimates, Missouri consumers are expected to receive more than $150,000 in refunds. The Missouri Medicaid program also will be reimbursed under the $36 million nationwide settlement.

"This drug maker abused the system to stifle competition, effectively taking money out of the pockets of thousands of Missourians," Nixon said. "By taking swift action against this company, we're helping lower prescription drug costs, and we are putting other companies on notice that these monopolistic practices will not be tolerated."

The settlement is the result of a 10-month investigation. The attorneys general alleged Organon delayed listing the patent with the U.S. Food and Drug Administration to push back the availability of lower-cost generic substitutes, resulting in higher prices to those who paid for the drug. Organon also allegedly misled the FDA about the scope of a new "combination therapy" patent it had obtained in order to extend its monopoly.

If the court approves the settlement, the attorneys general will establish a claims process for consumers who purchased Remeron or its generic equivalent between June 15, 2001, and the present. Missouri also will be among states receiving money for damages incurred by the state's Medicaid program.

In addition to resolving claims brought by state attorneys general, the settlement resolves a private class action lawsuit. The court must approve the settlement before it becomes final.

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