Teva Reaches Agreement With Kentucky to Settle the State’s Price Fixing Claims
TEL AVIV, Israel & PARSIPPANY, N.J.--(BUSINESS WIRE)-- Teva Pharmaceuticals, a U.S. affiliate of Teva Pharmaceutical Industries Ltd. (NYSE and TASE: TEVA), has reached agreement with the Attorney General of Kentucky to settle the state’s price-fixing claims against Teva. Under the terms of the settlement, Teva will pay the state $1.407 million, and the state will dismiss all of its claims against Teva and its affiliates once payment has been made.
This is the sixth settlement of price-fixing claims that Teva has reached in the U.S. to date. Each settlement, including this settlement with Kentucky, has followed the same framework, with Teva agreeing to pay each state an amount proportional to its share of the national population (approximately $1,000,000 for each 1% share of the national population). And Teva’s $1.407 million payment to Kentucky falls within the estimated provision that Teva’s management recorded in the third quarter of 2022, related to this litigation.
The Company is pleased to put Kentucky’s claims behind us, and we believe the amounts included in the settlements to date reflect our position on the allegations against us, which we continue to deny. We remain focused on delivering high-quality medicines to the patients around the world who need them, while also working cooperatively with state regulators to resolve legacy litigation matters in the United States, including these cases. We are in discussions with additional states to settle these cases within the framework outlined above.
Teva Pharmaceutical Industries Ltd. (NYSE and TASE: TEVA) has been developing and producing medicines to improve people’s lives for more than a century. We are a global leader in generic and innovative medicines with a portfolio consisting of over 3,500 products in nearly every therapeutic area. Around 200 million people around the world take a Teva medicine every day, and are served by one of the largest and most complex supply chains in the pharmaceutical industry. Along with our established presence in generics, we have significant innovative research and operations supporting our growing portfolio of innovative medicines and biopharmaceutical products. Learn more at www.tevapharm.com.
Cautionary Note Regarding Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which are based on management’s current beliefs and expectations and are subject to substantial risks and uncertainties, both known and unknown, that could cause our future results, performance or achievements to differ significantly from that expressed or implied by such forward-looking statements. You can identify these forward-looking statements by the use of words such as “should,” “expect,” “anticipate,” “estimate,” “target,” “may,” “project,” “guidance,” “intend,” “plan,” “believe” and other words and terms of similar meaning and expression in connection with any discussion of future operating or financial performance. Important factors that could cause or contribute to such differences include risks relating to: our ability to reach additional agreements with other U.S. states on price-fixing claims against Teva, other compliance, regulatory and litigation matters, including scrutiny from competition and pricing authorities around the world, including our ability to successfully defend against the U.S. Department of Justice criminal charges of Sherman Act violations, our ability to successfully compete in the marketplace, our substantial indebtedness, our business and operations in general, including, the impact of global economic conditions and other macroeconomic developments and the governmental and societal responses thereto; other financial and economic risks, and other factors discussed in this press release, in our Quarterly Report on Form 10-Q for the first quarter of 2023, and in our Annual Report on Form 10-K for the year ended December 31, 2022, including in the sections captioned "Risk Factors.” Forward-looking statements speak only as of the date on which they are made, and we assume no obligation to update or revise any forward-looking statements or other information contained herein, whether as a result of new information, future events or otherwise. You are cautioned not to put undue reliance on these forward-looking statements.
Ran Meir (267) 468-4475
Sanjeev Sharma (973) 5241908
Kelley Dougherty (973) 658-0237
Yonatan Beker (973) 2647378
Source: Teva Pharmaceutical Industries Limited