FOR IMMEDIATE RELEASE

CONTACT:
Deleisa Johnson
Vice President, Public Relations
National Community Pharmacists Association 100 Daingerfield Rd
Alexandria, VA 22314
(703) 683-8200
Deleisa.Johnson@ncpanet.org



THE PBM GAME IS UP - 10/11/05


Alexandria, Virginia - August 10, 2005 The game is up for the nation's
largest pharmacy benefit managers (PBMs). A coalition of 52 large
employers, organized by the HR Policy Association, announced today that
they have had enough of secret PBM operations, which cost employers,
and the patients they represent, millions of dollars each year. The
companies, which represent 5 million lives and $3.7 billion in annual
drug spending, have endorsed a purchasing model that holds PBMs to a
high standard of transparency -- requiring PBMs to disclose and pass on
acquisition costs and manufacturer rebates.

"The nation's community pharmacists join with these companies in
calling for greater transparency of PBM operations," said Bruce
Roberts, R.Ph., executive vice president and CEO of the National
Community Pharmacists Association (NCPA). "NCPA has been working
diligently to shine a light on the secretive practices of PBMs, and on
how this veil of secrecy increases costs for payors, patients, and
pharmacists.

"We praise these 52 companies and the HR Policy Association for using
their collective power to invoke change in the way PBMs operate today,"
Roberts said. "We also applaud the three PBMs - Aetna Pharmacy
Management, MedImpact Healthcare Systems Inc., and Walgreens Health
Initiatives - that have taken this bold step and agreed to meet the
transparency standards set forth by this coalition. The full
transparency standard will make prescription drugs more affordable for
all."

While this coalition of companies is using its combined clout to bring
about change in the PBM industry, community pharmacists are prohibited
by federal antitrust laws from joining together to do the same.
However, legislation introduced in the House by Reps. Jerry Moran
(R-Kan.) and Anthony Weiner (D-N.Y.), H.R.1671, the Community Pharmacy
Fairness Act, would change that. When enacted, H.R.1671 would allow
independent community pharmacists to collectively negotiate the terms
of their third-party (PBM) contracts, without fear of violating
antitrust statutes.

Forty-seven bipartisan supporters of this legislation have signed on as
co-sponsors. The bill will help level the playing field between PBMs
and community pharmacists, allowing pharmacists to provide better
patient care and access to more affordable medicines.

"The PBM industry's continued resistance to efforts by those paying the
bills - employers, health plans, patients, and state and federal
government - to illuminate its operations and business practices
validates our case that the secretive business practices employed by
PBMs drive up the cost of prescription drugs by limiting access to
affordable medicines," Roberts said. "The goal of NCPA and the nation's
community pharmacists is to expose PBM practices to the light of day,
bring about meaningful change in the current PBM-controlled benefit
system, and ultimately, ensure that patients receive the highest
quality medications and care at the lowest cost."

The National Community Pharmacists Association (NCPA) represents the
nation's community pharmacists, including the owners of more than
24,000 pharmacies. The nation's independent pharmacies, independent
pharmacy franchises, and independent chains represent an $84 billion
marketplace, dispensing nearly half of the nation's retail prescription
medicines.