18.05.2006 13:50:00
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Omnicare Files Lawsuit Against UnitedHealth Group and PHS/Prescription Solutions for Antitrust Violations and Fraud
In its complaint, Omnicare is seeking damages, injunctive reliefand reformation of certain contracts to redress the substantialinjuries caused by an alleged conspiracy between United andPacifiCare/Prescription Solutions in violation of federal and stateantitrust laws. Omnicare also alleges that the United andPacifiCare/Prescription Solutions conspiracy defrauded Omnicare inviolation of state law causing damage to Omnicare.
In its complaint, Omnicare alleges, among other things, thatduring the pendency of United's acquisition of PacifiCare in 2005,United and PacifiCare/Prescription Solutions conspired to illegallyand fraudulently coordinate their negotiations with Omnicare forMedicare Part D contracts as part of an effort to defraud Omnicare andfix prices in violation of federal and state antitrust laws. Thecomplaint further alleges that, as part of this illegal conspiracy,after United negotiated a Medicare Part D contract with Omnicare thatcontractually obligated United to provide long term care patientprotections and included fair reimbursement rates, United, among otherthings, made fraudulent representations to induce Omnicare to enterinto a separate contract with PacifiCare/Prescription Solutions thatwas much less favorable to long term care patients and Omnicare byindicating that this separate contract would only coverPacificCare's/Prescription Solutions' Medicare Part D plans and notthe United plans. The complaint also alleges that United intended allalong to move its Medicare Part D plans from its contract withOmnicare to the PacifiCare/Prescription Solutions contract, which itdid following the closing of its acquisition of PacificCare.
Omnicare, Inc. (NYSE: OCR), a Fortune 500 company based inCovington, Kentucky, is a leading provider of pharmaceutical care forthe elderly. Omnicare serves residents in long-term care facilitiesand other chronic care settings comprising approximately 1,437,000,beds in 47 states, the District of Columbia and Canada. Omnicare isthe largest U.S. provider of professional pharmacy, related consultingand data management services for skilled nursing, assisted living andother institutional healthcare providers as well as for hospicepatients in homecare and other settings. Omnicare's pharmacy servicesalso include distribution and patient assistance services forspecialty pharmaceuticals. Omnicare offers clinical research servicesfor the pharmaceutical and biotechnology industries in 30 countriesworldwide. For more information, visit the company's Web site atwww.omnicare.com.
In addition to historical information, this press release containscertain statements that constitute "forward-looking statements" withinthe meaning of the Private Securities Litigation Reform Act of 1995.These forward-looking statements are made on the basis of management'sviews and assumptions regarding business performance as of the timethe statements are made, and management does not undertake anyobligation to update these statements. These forward-lookingstatements include, but are not limited to, all statements regardingthe intent, belief or current expectations regarding the mattersdiscussed or incorporated by reference in this document (includingstatements as to "beliefs," "expectations," "anticipations,""intentions" or similar words) and all statements which are notstatements of historical fact. Forward-looking statements, togetherwith other statements that are not historical, involve known andunknown risks, uncertainties, contingencies and other factors thatcould cause results, performance or achievements to differ materiallyfrom those stated, including, but not limited to, the risks anduncertainties described in the Company's reports and filings with theSecurities and Exchange Commission. Should one or more of these risksor uncertainties materialize or should underlying assumptions proveincorrect, the Company's actual results, performance or achievementscould differ materially from those expressed in, or implied by, suchforward-looking statements. Readers are cautioned not to place unduereliance on these forward-looking statements, which speak only as ofthe date hereof. Except as otherwise required by law, the Company doesnot undertake any obligation to publicly release any revisions tothese forward-looking statements to reflect events or circumstancesafter the date hereof or to reflect the occurrence of unanticipatedevents.
For more information on Omnicare, Inc, visit www.omnicare.com.
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