Oregon Department of Justice

Attorney General Ellen F. Rosenblum

Oregon Department of Justice - Attorney General Ellen F. Rosenblum
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AG Announces Settlement With 2 Drug Manufacturers Of Generic Children's Motrin

August 12, 2004

Attorney General Hardy Myers today announced the settlement of a civil law enforcement action with 49 other states and territories against Perrigo Company of Allegan, Michigan and Alpharma, Inc. of Fort Lee, New Jersey for alleged antitrust violations that resulted in the destruction of competition in the market for over-the-counter generic, store-brand versions of liquid suspension Children's Motrin. A complaint and settlement agreement will be filed in federal court. The Federal Trade Commission also announced today the Commission's approval of a lawsuit and settlement with Perrigo and Alpharma. The federal agency will file later this month in the same court.

"Once again, drug manufacturers have schemed to manipulate the marketplace," Myers said. "It's heartening to be part of civil enforcement actions against this industry that will benefit future antitrust efforts."

Under the agreement, Perrigo and Alpharma have agreed to make combined payments of $10,000 to each litigating state, and will be paying approximately $1 million into funds administered by the National Association of Attorneys General (NAAG) to support future antitrust endeavors.

Perrigo and Alpharma are the only two FDA-approved manufacturers of generic over-the-counter versions of liquid Children's Motrin, a drug product used to temporarily reduce fever and relieve minor aches and pains in children. The states contend that, in 1998, Perrigo and Alpharma entered into an agreement that gave Perrigo one hundred percent of the market for generic versions of this product. The lack of competition caused retail stores that sell store-brand products to pay more.

Motrin is a registered trademark of Johnson & Johnson, who is not a party in these actions.

Consumers wanting more information about this case may call the Attorney General's consumer hotline at (503) 378-4320 (Salem area only), (503) 229-5576 (Portland area only) or toll-free at 1-877-877-9392. Justice is online at www.doj.state.or.us.

Contact:

Jan Margosian, (503) 947-4333 (media line only) jan.margosian@doj.state.or.us |
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