NACDS and NCPA Applaud Federal Trade Commission's "Second Request" to Investigate Proposed Express Scripts-Medco Merger

Share |

Emphasize Merger's Anticompetitive Consequences & Potential Harm to Consumers

Alexandria, Va. - September 2, 2011

The National Association of Chain Drug Stores (NACDS) and National Community Pharmacists Association (NCPA)—which represent a near totality of the nation's pharmacy community—today commended the U.S. Federal Trade Commission (FTC) for issuing a "second request"—further investigation of the proposed merger of Express Scripts, Inc. and Medco Health Solutions, Inc.

NCPA Executive Vice President and CEO B. Douglas Hoey, RPh, MBA, and NACDS President and CEO Steven C. Anderson, IOM, CAE, issued the following joint statement:

"This is an important step in the careful consideration of a proposed merger that would have anticompetitive effects on patients, consumers, the market and the entire healthcare delivery system. As we indicated to the FTC in our formal letter, NACDS and NCPA are concerned that the merger would result in a consolidated pharmacy benefit manager (PBM) with excessive market power, ultimately to the detriment of consumers. As community pharmacies whose primary concern is patient well-being, we are concerned about the threat posed by the planned merger to patient care and pharmacy access. We will support the continued and comprehensive investigation of this issue."

The National Association of Chain Drug Stores (NACDS) represents traditional drug stores, supermarkets, and mass merchants with pharmacies—from regional chains with four stores to national companies. Chains operate 39,000 pharmacies, and employ more than 2.7 million employees, including 118,000 full-time pharmacists. They fill nearly 2.6 billion prescriptions annually, which is more than 72 percent of annual prescriptions in the United States. The total economic impact of all retail stores with pharmacies transcends their $830 billion in annual sales. Every $1 spent in these stores creates a ripple effect of $1.96 in other industries, for a total economic impact of $1.57 trillion, equal to 11 percent of GDP. NACDS represents 137 chains that operate these pharmacies in neighborhoods across America, and NACDS members also include more than 900 pharmacy and consumer packaged goods suppliers and service providers, and over 60 international members from 23 countries. For more information about NACDS, visit

The National Community Pharmacists Association (NCPA®) represents the interests of America's community pharmacists, including the owners of more than 23,000 independent community pharmacies, pharmacy franchises, and chains. Together they represent a $93 billion health-care marketplace, have more than 315,000 employees including 62,400 pharmacists, and dispense over 41% of all retail prescriptions. To learn more go to or read NCPA's blog, The Dose, at

Ask Your Family Pharmacist TM