Major settlement of conspiracy case against
First Databank for fixing brand name drug prices

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Will result in rollback of most brand name drug prices saving up to $4 billion in Rx savings
for health plans nationally and will change the way drugs are priced in the future

The DC 37 Health & Security Plan along with three other union benefit funds was a named plaintiff and class representative of all benefit plans throughout the country in this case.

DC 37 Executive Director Lillian Roberts - "We're proud to have taken a lead role in protecting our members' vital prescription drug benefit. The corrupt pricing practices uncovered in this lawsuit bled money from all union benefit plans and ultimately from our members' pockets."

According to Rosa Esperon, Administrator of the DC 37 Health & Security Plan, "from 2002-2005 this conspiracy cost our benefit plan and others like it throughout the country billions of dollars in unnecessary drug spending every year."

Facts Concerning the Proposed Settlement with First Databank

• Forces First Databank to roll back the "average wholesale price" of 95% of all brand name drugs sold at retail pharmacies by 4% at a projected savings nationwide of $4 billion dollars.
• Will require more transparent pricing of branded drugs in the future.
• This settlement will enable DC 37's benefit plan to continue to provide a good prescription drug benefit to our members and their families at an affordable cost.
• The settlement of this lawsuit demonstrates that DC 37 is willing to take on the big moneyed interests in the courts when we have cause to believe they are engaging in unlawful practices that harm our members economically.

According to Ms. Roberts, "We trust that those entities that are involved in the production, pricing and distribution of prescription drugs will heed our efforts in this case and cease their upward manipulation of the price we all pay for prescription drugs. But, if they don't stop their unlawful greed, we'll be seeing them in the courts."

District Council 37 represents 121,000 members in more than 1,000 job titles from 56 local unions.