In Re Pharmaceutical Industry Average Wholesale Price Litigation

FINDINGS OF FACT AND CONCLUSIONS OF LAW

SARIS, District Judge.

TABLE OF CONTENTS

Page

INTRODUCTION AND SUMMARY. 29

I. Findings of Fact.32

A. The Origins of Average Wholesale Price.32

B. Medicare Part B.33

C. Manipulating and Marketing the Spread.34

D. Cross-Subsidization.37

E. Patient, The Vulnerable Victim.38

F. Self-Administered Drugs.39

G. Knowledge in the Industry. 39

H. Mega-Spreads.40

I. The Government Pit Bull.41

J. The Demise of AWP as Government Pricing Benchmark.44

K. Stuck.45

L. The Plaintiffs/TPPs.46

1. Blue Cross/Blue Shield Class 2 and Class 3 Representative.46

2. Pipefitters: Class 3…