Express Scripts Inc. announced an agreement Thursday to buy larger rival Medco Health Solutions Inc., a combination that would handle the prescriptions of about 135 million people, more than one in three Americans.
That will give them even more clout in demanding discounts from drugmakers, who are dealing with falling or stagnant revenue as blockbuster drugs taken daily by millions are getting cheaper generic competition.
Pharmacy benefit managers process mail-order prescriptions and handle bills for prescriptions filled at retail pharmacies. They act as middlemen between employers offering prescription drug benefits and drugmakers, extracting significant discounts, often in exchange for giving their brands preferred status over rivals’ drugs. They also hold down costs with tiered copayments that nudge patients to buy generics or the lowest-cost brand names, and by reminding patients to take medicines as scheduled to limit costly complications.
Together, Express Scripts and Medco handled more than 1.7 billion prescriptions in 2010 and reported almost $110 billion in revenue. Read more…
PARIS – FRANCE’S debt will rise by about 15 billion euros (S$26.1 billion) by 2014 because of its contribution to a eurozone bailout for Greece, Prime Minister Francois Fillon said on Friday the day after the rescue deal was agreed.
‘French involvement can be estimated at 15 billion euros by 2014,’ as an ‘indirect result’ of the agreement, Mr Fillon said after a meeting of top politicians at his office to discuss the Brussels summit’s outcome.
French public debt at the end of the second quarter of 2011 was 1,646 billion euros, up 55 billion euros on the previous quarter and representing about 84.5 per cent of gross domestic product.
Eurozone leaders and private creditors agreed on Thursday to give Greece a new 159-billion-euro bailout, risking a potential default to prevent the debt crisis from spreading worldwide.
‘These decisions have no direct cost for our public finances,’ Mr Fillon said.
THE Albert Dock’s owner is hoping the opening of the new Museum of Liverpool this month will give it another boost, following a year that saw it return to profit.
The Albert Dock Company reported turnover for 2010 of £3.4m, up from £3.3m in 2009. Pre-tax profit stood at £340,000 – up from a £139,000 loss in 2009.
The value of the dock complex rose over the year. The group’s fixed assets were valued at £27m, up from £26.9m at the end of 2009.
The directors’ report said: “The Albert Dock continued to trade at an acceptable level with increased turnover from improved occupation and control over costs delivering enhanced year-on-year results.”
The Albert Dock’s parent company, Arrowcroft Holdings, saw losses narrow from £2.9m in 2009 to £2.6m in 2010.
Turnover rose from £7m to £15m, thanks to the sale of several properties. It raised £8.4m from th
NEW YORK – US STOCKS were a mixed bag as markets opened on Wednesday, with investors digesting a series of earnings reports, including blockbuster results from Apple, which enjoyed its best quarter ever.
The Dow Jones Industrial Average dropped 15.74 points (0.13 per cent) to 12,571.68 in the first five minutes of trading.
The broader S&P 500 rose 2.24 points (0.17 per cent) to 1,328.97, while the tech-heavy Nasdaq Composite gained 6.65 points (0.17 per cent) to stand at 2,833.17.
Apple shares pushed up the Nasdaq, surging 3.9 per cent after the tech giant reported late on Tuesday that its second-quarter profit more than doubled to US$7.31 billion (S$8.9 billion), thanks to booming sales for iPhones and iPads. — AFP
WIRRAL property firm Smith and Sons has sold 1 Hickmans Road, in Birkenhead, to Kent-based Darcy Spillcare, an international manufacturer and supplier of spill prevention and control products.
The 27,000 sq ft warehouse and office facility sits on a one-acre site, close to Peel Holdings’ proposed Wirral Waters development.
Discussions between Smith and Sons and Darcy Spillcare began early this year, with the Kent company keen to re-locate its manufacturing arm to the Wirral as part of the firm’s wider expansion plans.
Sean Seery, of Smith and Sons, said: “It’s great to see Wirral recognised by a southern-based business as the ideal location for a move in terms of manufacturing.
“Darcy Spillcare was very clear on the type of commercial property and site that it needed, and we are pleased to have worked alongside them to secure the sale of this fantastic facility.
“Wirral offers a wealth of opportunity in terms of commercial property and 1 Hickmans Road is a large site providing extensive internal floor space and external storage and carriage area.”
Darcy Spillcare’s new site’s operation is expected to open in September.
Richard Proctor, of Darcy Spillcare, said: “The opening of this new manufacturing facility stems from Darcy’s growth over the last few years, and will enable us to meet with the ever- increasing demands for our growing range of environmental protection products and services.
“By making this move, we hope to speed up our supply times, increase our product range and enhance research and development facilities.
“Overall, we believe our launch of the Birkenhead site will improve efficiency and overall allow us to deliver even better customer care.”
Established in 1935, Darcy specialises in spill prevention and control, and in the provision of solutions to help sites to achieve environmental compliance.
WASHINGTON – THE battle over raising the US debt ceiling appears to be frightening American consumers into pulling back spending, Goldman Sachs said in a report on Wednesday.
Consumer sentiment has been hit by fears that the political impasse over hiking the debt ceiling before government borrowing is maxed out on Aug 2 could force a crippling government shutdown or even a debt default, the investment bank’s research department said.
Goldman cited the University of Michigan consumer sentiment index, which plunged unexpectedly in its early July reading, as well as data showing sluggish consumer spending so far this year.
‘While it’s certainly possible that the drop in confidence reflects other factors… the extent, timing, and composition suggests that the uncertainty surrounding the debt ceiling is probably a contributing factor,’ the report said.
Apple is up 5 percent in premarket trading Wednesday after the company’s quarterly net income doubled. Sales of iPhones quadrupled in Asia, helping Apple trump analysts’ earnings estimates.
AMR Corp., the parent of American Airlines, Intel Corp. and American Express Co. are expected to report earnings later Wednesday.
Stronger profits from Coca-Cola and IBM along with apparent progress in raising the U.S. debt limit prompted a stock market rally Tuesday. The Dow gained 202 points, its best day this year.
Before the opening bell, Dow futures are up 67 points at 12,573. S&P 500 futures are up 7 points at 1,328. Nasdaq 100 futures are up 22 points at 2,411.
AN INFLUENTIAL think-tank is backing a Government proposal on business rates that Liverpool City Council claims could see it lose more than £80m a year.
Centre for Cities is backing the proposal that could see local authorities keep up to 60% of the business rates they collect and use it to promote economic growth.
Currently, all the money collected by councils goes straight to central government, which then redistributes it back in the form of direct grants.
A Government review, due to be published in the coming weeks, will propose bringing in the change from 2013.
Paul Brant, the deputy leader of Liverpool’s Labour-controlled council, told LDP Business the move would be “catastrophic” for the city.
“Areas like Westminster and the City of London would make massive gains because of the huge level of business rates they collect,” he said.
“If you have a depressed area like Liverpool, with fewer businesses, then it will obviously lose out.”
In the last financial year, Liverpool collected £175.5m in business rates and was given £284m by the Government.
Centre for Cities says in a report out today that allowing cities to keep between 40% and 60% of future tax made on business property would create a long-term incentive for areas to support development.
Chief executive Joanna Averley said: “The Government must not miss this opportunity to be radical in revising the business rates system.
“Reviewing the system will not only reward councils for being pro-growth, but it will also make a real difference to the people they represent because the money raised could be ploughed straight back into the community, into things like roads and schools.”
The report said the current system offered no direct financial incentive for cities to develop their business base.
But Cllr Brant hit back, saying the council was already working hard to grow business in the city.
He added: “Councils already have a powerful incentive to create jobs and Liverpool has already been at the forefront of attracting businesses to the city.
“We have been to the Shanghai Expo, we have the entrepreneurs conference coming here next year and we have been working with Peel on LIverpool Waters.”
Both Centre for Cities and the Department for Communities and Local Government claim mechanisms will be put in place to ensure councils would not lose out under the new formula.
A DCLG spokeswoman said: “Protections will be in place.
“In year one, funding will be based on what it is now, and then after that there will be tariffs and top-ups. It will be monitored to make sur