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Consumers Union Urges FTC to Investigate Mylan for Possible Antitrust Violations


Wednesday, September 7, 2016

WASHINGTON, DC – Consumers Union, the policy and mobilization arm of Consumer Reports, today sent a letter urging the FTC to investigate Mylan for possible anti-competitive practices and antitrust law violations, noting troubling reports of Mylan’s efforts to undercut EpiPen competitors and suppress consumer choice.

Consumers Union describes the five-fold price hike of EpiPen as a “calculated decision by Mylan to exploit its monopoly power to enrich itself and its executives at the expense of the millions of consumers who use this life-saving drug and delivery system as a failsafe,” after a review of the situation produced no legitimate justification for the rapid price hikes. While the letter notes that taking advantage of a marketplace monopoly does not, by itself, violate antitrust laws, the consumer group calls into question several examples of Mylan potentially running afoul of the law.

“It is a violation for a company to maintain its monopoly power by sabotaging or undercutting efforts by competitors to give consumers a choice,” said George Slover, senior policy counsel for Consumers Union. “There are indications that Mylan may have resorted to questionable practices to block competition and sustain its monopoly. The FTC has the authority to prosecute anticompetitive marketplace abuses and we urge the Commission to thoroughly investigate and take appropriate action based on what it uncovers.”

New York Attorney General Eric Schneiderman yesterday announced an investigation into Mylan’s practices and Senators Klobuchar and Blumenthal have also called on the FTC to investigate the company’s conduct.

Visit ConsumersUnion.org to read the full letter.


Contact:  David Butler, dbutler@consumer.org or Kara Kelber, kara.kelber@consumer.org202-462-6262

Consumers Union is the policy and mobilization arm of Consumer Reports.  Consumers Union works for health reform, food and product safety, financial reform, and other consumer issues in Washington, D.C., the states, and in the marketplace. Consumer Reports is the world’s largest independent product-testing organization.  Using its more than 50 labs, auto test center, and survey research center, the nonprofit rates thousands of products and services annually.  Founded in 1936, Consumer Reports has over 8 million subscribers to its magazine, website, and other publications.