Major drugmakers sign pricing agreements with Medicare despite ongoing legal battles

Merck, AstraZeneca, Bristol Myers Squibb, and other major manufacturers have agreed to negotiate prices with Medicare despite lawsuits trying to block the program.
Companies that don't negotiate could face heavy taxes or be excluded from selling their drugs through Medicare and Medicaid.
A federal judge recently declined to issue a preliminary injunction to halt the negotiations, allowing the program to move forward as planned.
The pricing agreements between Medicare and drugmakers are set to conclude on August 1, 2024, with the first negotiated prices published September 1, 2024.
Medicare expects to achieve significant drug price reductions through this unprecedented negotiation process.