Congressman Jason Chaffetz says ''I don't know that I believe you'' to Mylan CEO Heather Bresch over the company's decision to dramatically increase the price of EpiPens. Rough Cut (no reporter narration).
ROUGH CUT (NO REPORTER NARRATION) U.S. lawmakers on Wednesday blasted Mylan NV Chief Executive Heather Bresch for sharply increasing prices for the EpiPen emergency allergy treatment at a congressional hearing in which Republicans and Democrats questioned the reasons behind rising U.S. drug costs. The House Committee on Oversight and Government Reform called Bresch to testify in the wake of public outrage over EpiPen, whose list price has risen to $600 for a pair of the devices compared with $100 in 2007. Several lawmakers noted EpiPen's growing profits over the same period as well as Bresch's annual salary, which has increased from around $2.5 million to more than $18 million. They also faulted the U.S. Food and Drug Administration for moving too slowly to allow competing products to reach the market. Bresch defended the price hikes, saying that after rebates, marketing costs and other expenses, Mylan earns about $100 for a pair of EpiPens. She emphasized that the company plans a half-price version of the device, that it provides them free to many schools and said that Mylan's generic medications combined have saved the U.S. healthcare system $180 billion in costs over a decade. The EpiPen is an automatic injector, delivering a dose of the generic medicine epinephrine through a quick jab in the thigh. It commands over 90 percent of the market, with no competition expected until next year at the earliest.