CVS, Express Scripts Cut Ties with Valeant-linked Pharmacy

It also asked them to use the identification number of a different pharmacy if an insurer wouldn’t work with Philidor. The pharmaceutical firm has lost roughly half of its market value in just over two weeks. Federal prosecutors have subpoenaed documents tied to its drug pricing and other policies.

Pearson told investors this week that if Valeant made a decision to cut links to Philidor it “would slow our growth but not dramatically”. Earlier in the week, Valeant announced plans to form an ad hoc committee that would be tasked with investigating the allegations related to the company’s association with Philidor. The pharmacy, which has been under scrutiny for its business practices, is closely associated with the drug maker who have used it to distribute its products. “We have lost confidence in Philidor’s ability to continue to operate in a manner that is acceptable to Valeant and the patients and doctors we serve”. The Company is engaged in developing, manufacturing, and marketing a range of branded, generic and branded generic pharmaceuticals, over-the-counter (OTC) products, and medical devices (contact lenses, intraocular lenses, ophthalmic surgical equipment, and aesthetics devices), which are marketed directly or indirectly in over 100 countries.

OVERSEAS: France’s CAC 40 fell 0.3 percent to 4,873.33 while Germany’s DAX shed 0.4 percent to 10,757.02 after official figures showed the eurozone’s inflation rate was a muted 0 percent in October. He added that investors are forgetting the “rest of Valeant’s business”. These risks and uncertainties include, but are not limited to, risks and uncertainties discussed in the Company’s most recent annual or quarterly report and detailed from time to time in Valeant’s other filings with the Securities and Exchange Commission and the Canadian Securities Administrators, which factors are incorporated herein by reference.

The move comes after allegations last week that Valeant Pharmaceuticals worldwide Inc.is using the pharmacy to pad its financial results.

A spokesman for CVS Health, the nation’s second-largest pharmacy benefit provider, says the company terminated its business with Philidor because it didn’t comply with terms of a provider agreement.

Ackman, meanwhile, toiled in vain in the company’s defense in a specially convened conference call.

Still, Valeant’s forays into the specialty pharmacy world still won Ackman’s approval on the call. The company offered earning per share of $0.94 while its 539.00 million shares were outstanding. More information about Valeant can be found at www.valeant.com. “We believe reports of wrongdoing at Philidor weakens Valeant management’s credibility, further harms the company’s already tarnished reputation, and that these developments exacerbate potential legal, regulatory, and reputational headwinds for the company”, the ratings agency wrote. Philidor, whose sole client is Valeant, will be shutting down operations imminently. Philidor makes up about 6.8 percent of Laval, Quebec-based Valeant’s revenue, according to the drugmaker. Such an arrangement is rare in the industry. That’s no longer the case. And the medicines weren’t drugs requiring special handling, pharmacists say.

PARTLY CLOUDY: First Solar, the biggest US solar company, advanced $5.15, or 10.1 percent, to $56.14 on a bigger-than-expected profit and more revenue. As for HLF specifically, it could inflict a few more short-term pain for Ackman, if option bears head for the exits amid these gains. Ackman did not immediately address the altered prescriptions accusation. Valeant shares, meantime, finished the session down almost 16 percent at $93.77.