The problem with this, as Bloomberg notes, is that Bresch once decried the tactic of companies releasing authorized generic versions of their own drugs as a greedy scheme to destroy the generic drug market.
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Mylan has been the target of a flood of criticism from consumers, medical groups and politicians for raising the price of its brand name EpiPen, which is used to treat severe allergic reactions, by 400 percent since 2007.
It will hit shelves within several weeks at a list price of $300 for a two-pack carton in dosages of either 0.15 milligrams or 0.30 mg, the company said. The US Food and Drug Administration keeps track of all of the authorized generics that the makers of original branded products have created.
Introducing a generic “is a way to do it without making enemies with a bunch of Fortune 25 companies who control your fate”, he said.
In 2007, when Mylan acquired the drug, a two-pack cost about $100.
The announcement regarding creating generic version of the drug is the pharmaceutical company’s second step in less than a week to counter the backlash generated after they had over announced a steep hike in the price for the drug. The company has subsequently been accused of price gouging, attracting the ire of consumers, lawmakers, doctors and at least one disgruntled celebrity endorser. For instance, customers of Express Scripts Holding Co., the nation’s largest prescription benefits manager, pay $73.50 on average, a price the company has kept fairly stable for a couple years.
However, those concessions did little to remedy the public’s scorn, largely because the product’s list price didn’t change.
Under vast scrutiny and criticism, Mylan CEO Heather Bresch comments that this move is a simpler alternative than rolling back the price nearer to its original cost.
The company said Monday that its US subsidiary will put out a generic version of the EpiPen that will have a list price of $300 for a two-pack – about half the current price.
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“Investigations are still vitally necessary into possible antitrust lawbreaking, and I will press for Senate hearings as well as FTC subpoenas”, Blumenthal said in a statement.
