Walgreens

Jason Rosenbaum, St. Louis Public Radio

Attorney General Chris Koster reached an agreement with Walgreens regarding overcharging consumers. 

Koster sued the pharmacy giant last year, contending that stores around the state were charging more than the prices displayed on shelves. His office’s lawsuit stated that the company was violating the state’s consumer-protection laws by “engaging in false, misleading and deceptive advertising and pricing schemes.”

Chris McDaniel, St. Louis Public Radio.

Updated 5:12 p.m. with comment from Walgreens.

Missouri Attorney General Chris Koster is accusing Walgreens of engaging in false and deceptive pricing schemes, that he said amounts to stealing. In St. Louis Tuesday, Koster announced a lawsuit against the company.

Koster had investigators go to stores across the state, and said they found display tags were often inaccurate, and that membership rewards didn’t always deliver on the price reduction.

Flickr/Stephen Cummings

Pharmacy chain Walgreens says it will begin filling prescriptions from customers in the Express Scripts network starting in September under a new multiyear contract between the companies.

Walgreen had stopped filling prescriptions for Express Scripts after a contract between the companies ended last year.

Shares of Walgreen Co. jumped 14 percent in premarket trading while Express Scripts shares rose 3 percent.

(via Flickr/teejay)

Missouri Attorney General Chris Koster says the state's Medicaid program will receive about $42,000 from a national legal settlement with Walgreen Co.

The settlement resolves complaints that Walgreen's improperly tried to get people to switch their prescriptions to its pharmacies. The company has agreed to pay civil damages totaling $7.9 million to states and the federal government.

Koster says that from early 2005 to June 2010, Walgreen Co. offered gift cards and gift checks to people who receive government health care to entice them to transfer their prescriptions.

Flickr/Stephen Cummings

If the two companies cannot agree on reimbursement rates for drugs by the end of the year, those who carry Express Scripts will not be able to get their prescriptions filled at Walgreens.

With more than 7,700 drug stores nation-wide Walgreens spokesman Michael Polzin says it could be a hardship for some customers.

(Rachel Lippmann/St. Louis Public Radio)

St. Louis-based pharmacy benefits manager Express Scripts Inc. said Wednesday that it is suing Walgreen Co., arguing the drugstore chain is trying to lure away its customers.

The lawsuit alleges that Walgreen is telling Express Scripts plan members, and especially Medicare Part D beneficiaries, that they will not be able to fill their prescriptions at Walgreen pharmacies unless they leave Express Scripts and switch to a new pharmacy benefits management plan. Express Scripts said this violates the contract between the two companies.

A processing floor at Express Scripts in north St. Louis County.
Rachel Lippmann/St. Louis Public Radio

The nation's largest drugstore chain is locked in a contract fight with one of the St. Louis area's  largest employers.

Walgreen Co. revealed during an earnings call today that it's planning to end its $5.3-billion-per-year relationship with Express Scripts Inc. on Jan. 1, saying it cannot reach a deal on the fees the pharmacy benefits manager pays to fill the prescriptions of Walgreen's customers.