March 30, 2009
BY SANDRA GUY Business Reporter
Walgreen Co. said Monday it will withdraw 44 of its 111 pharmacies in Washington state from that state's Medicaid program -- representing more than 60 percent its Medicaid business in Washington -- due to what it called "extreme reimbursement cuts." The withdrawal is slated to start May 1.
Washington state will start on April 1 cutting the price it will pay for brand-name medications under a new Medicare reimbursement rule, which the Deerfield-based Walgreen says will "severely" impact the "economic viability of doing business in Washington." Kermit Crawford, Walgreen's senior vice president of pharmacy, said, "We have made the decision to stop filling Medicaid prescriptions in these pharmacies after long and careful deliberations." Walgreen officials say pharmacies have identified $90 million in potential savings that could be realized in more effective medication management rather than by cutting payments to pharmacies.
A spokesman for the governor's office said the state is working with other pharmacies to fill the gap Walgreen will create, and that Gov. Chris Gregoire regrets the inconveniences that dealing with a $9 billion budget deficit will require.
Walgreens withdrawing stores from Wash. state's Medicaid program :: CHICAGO SUN-TIMES :: Business
Posts
No comments:
Post a Comment