KHN Morning Briefing

Summaries of health policy coverage from major news organizations

Amgen Agrees To $25M Settlement After Kickback Allegations

The biotech drug maker was accused of paying kickbacks to increase sales of its anemia drug Aranesp.

The Associated Press/Los Angeles Times: Amgen Will Pay $25 Million To Resolve Kickback Case 
The U.S. Department of Justice said Tuesday that biotech drug maker Amgen Inc. will pay $24.9 million to resolve claims it paid kickbacks to increase sales of its anemia drug Aranesp. The Justice Department said Amgen paid kickbacks to Omnicare Inc. and PharMerica Corp., which sell drugs to long-term care providers such as nursing homes and hospitals, and Kindred Healthcare Inc., which runs long-term acute-care hospitals and nursing and rehabilitation centers (4/16).

And Johnson & Johnson reported its first quarter profits are down --

The Associated Press/Washington Post: Johnson & Johnson's 1Q Profit Down 10.6 Pct As Higher Costs Offset Rising Drug, Device Sales 
Johnson & Johnson’s first-quarter profit fell by just over 10 percent as increased sales were offset by higher costs for production, marketing and administration, plus charges for litigation and other items. The maker of No More Tears baby shampoo, prescription drugs and surgical tools said Tuesday repeatedly during a conference call with analysts that revenue for a wide range of products is being hurt by "pricing pressures" from insurers and government health programs (4/16).

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