 |
 |
Merck to Provide Free Medicines for Low-Income Medicare Beneficiaries Who Exceed Discount Card Cap February 12, 2004 02:45 PM US Eastern Timezone WHITEHOUSE STATION, N.J.--(BUSINESS WIRE)--Feb. 12, 2004-- Merck Will Also Compete for Eligible Beneficiaries' Business Through Competitive Discounting Merck & Co., Inc. announced today that the company will provide its medicines free for low-income Medicare beneficiaries who exhaust their $600 transitional assistance allowance in Medicare-endorsed drug discount cards. This action is consistent with Merck's longstanding Patient Assistance Program, which provides free medicines to patients who lack drug coverage and cannot afford their medicines. In addition, Merck intends to participate in Medicare-endorsed drug discount cards by offering discounts on Merck medicines for eligible Medicare beneficiaries enrolled in these programs. Through these efforts, Merck hopes to contribute to the success of the Medicare-endorsed drug discount card program, and to provide beneficiaries who might not otherwise be able to afford them with access to Merck medicines. "Providing our medicines for free when low-income seniors have exhausted their $600 allowance is the right thing for patients and the right thing for Merck. It will ensure that patients can continue to benefit from Merck medicines even after exhausting their $600 benefit," said Merck Chairman, President and Chief Executive Officer Raymond V. Gilmartin. "We also hope it will help ensure the success of the Medicare-endorsed discount card program, which we believe is an important first step in realizing the full benefits of pharmaceutical coverage for Medicare beneficiaries in 2006. Merck fully supports the new drug discount card program and looks forward to competing to gain our medicines' inclusion in the card programs." "The Medicare-endorsed drug discount cards will provide savings of 10 to 25 percent for seniors, with low-income seniors receiving another $600 in savings," said Secretary of the U.S. Department of Health and Human Services Tommy G. Thompson. "I applaud Merck for taking a leadership role and helping ensure the success of the new Medicare-endorsed discount cards until the comprehensive prescription drug benefit is available for seniors." James Firman, president and chief executive officer of The National Council on the Aging, praised the program, "This is very good news for Medicare beneficiaries who use Merck medications and who qualify for the new Medicare transitional assistance benefit." The National Council on the Aging is a national network of organizations and individuals dedicated to improving the health and independence of older Americans, increasing their continuing contributions to communities, society and future generations, and building caring communities. The Merck Program and the Medicare-Endorsed Cards Will Benefit Millions Under the program announced by Merck today, once a beneficiary has exhausted his or her $600 transitional assistance allowance, Merck will provide its medicines free to that beneficiary's discount card plan. Merck expects that after the transitional assistance is exhausted, the dispensing pharmacy may charge the beneficiary a fee consistent with its contractual arrangements with the discount card sponsor for processing, dispensing and counseling services. Merck will receive no portion of any such fee paid by the beneficiary. Under the Medicare-endorsed drug discount card program, set to begin in June and last through 2005, Medicare beneficiaries with incomes below 100 percent of the Federal Poverty Level ($8,980 per year for an individual; $12,120 for a couple) will pay just 5 percent of the cost of their medicines with the remaining 95 percent coming from their $600 allowance. Medicare beneficiaries with incomes between 100 percent and 135 percent of the Federal Poverty Level ($12,123 per year for an individual; $16,362 for a couple) will pay 10 percent of the cost of their medicines with the remaining 90 percent coming from their $600 allowance. According to the federal Centers for Medicare and Medicaid Services, approximately 7.4 million seniors and persons with disabilities are expected to sign up for one of the Medicare-endorsed cards. Of these, approximately two-thirds, or 4.7 million Medicare beneficiaries, are expected to receive the $600 in annual transitional assistance. These 4.7 million beneficiaries would be eligible for free Merck medicines if they exhaust their $600 transitional assistance in either 2004 or 2005. Merck's Patient Assistance Program Remains Available Merck currently provides its medicines free through its Patient Assistance Program to Americans of all ages who lack pharmaceutical coverage and cannot afford their medicines. Those with incomes of $18,000 or less for individuals, $24,000 or less for couples, or $35,000 or less for a family of four qualify. In addition, those with incomes exceeding these amounts may qualify for free medicines by asking their physician to request the medicine based on special circumstances. In 2003, Merck provided free medicines to more than 600,000 Americans. About Merck Merck & Co., Inc. is a global research-driven pharmaceutical products company. Merck discovers, develops, manufactures and markets a broad range of innovative products to improve human and animal health, directly and through its joint ventures. Forward-Looking Statement This document contains "forward-looking statements" as that term is defined in the Private Securities Litigation Reform Act of 1995. These statements involve risks and uncertainties, which may cause results to differ materially from those set forth in the statements. The forward-looking statements include statements regarding product development. No forward-looking statement can be guaranteed, and actual results may differ materially from those projected. We undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future events, or otherwise. Forward-looking statements in this document should be evaluated together with the many uncertainties that affect our businesses, particularly those mentioned in the cautionary statements in Item 1 of our Form 10-K for the year ended Dec. 31, 2002, and in our periodic reports on Form 10-Q and Form 8-K (if any) which we incorporate by reference. Contacts: Merck & Co., Inc. Media: Chris Loder, 908-423-3786 Anita Larsen, 908-423-6022 or Investor: Mark Stejbach, 908-423-5185 SOURCE: Business Wire (press release) http://tinyurl.com/yvw75 * * * ---------------------------------------------------------------------- To sign-off Parkinsn send a message to: mailto:[log in to unmask] In the body of the message put: signoff parkinsn