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EpiPen CEO: Blame the 'broken' system, not me   

Heather Bresch, the Mylan CEO under fire for skyrocketing EpiPen costs, believes Americans should redirect their anger toward a "broken" health care system.


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We are back with our health lead now, and after fierce backlash for allegedly putting profits well over people, the maker of the life-saving energy medication known as EpiPens said it would now slash the price by issuing coupons, covering, they say, about $300 for patients in health plans that have high out-of-pocket costs. EpiPens used by people with serious allergies during some of the most desperate moments in their lives, Mylan Pharmaceuticals increased the price of a paradigm from just around $100 in 2009 to as much as six times that today. Joining me now is CNN money correspondent Cristina Alesci. So Cristina, more than 3 million Americans, they carry them around, my sisters want them. They depend on them. Do these coupons actually solve the problem?

They solve the problem at the front, right? And this is out work. Basically, if you have an out-of-pocket expense of about $300, you are gonna get the drug for free, because it¡¯s a $300¡­It¡¯s a $300 credit, right? And also, this company also says that it¡¯s going to be expanding an assistant program, so if you are a family form making less than $97,000, you will get the drug for free. And it also says that it¡¯s planning ways to sell to customers directly. But to your point, these savings cards, these coupons don¡¯t apply a program like Medicare or Medicaid. Critics say that still means that taxpayers are bearing the brunt of these high prices, because at the end of the day, you are not reducing the price of the drugs, and that is at the core of what is going on because all pharmaceutical companies have been¡­you know, when their products are in high demand, they increase prices.

You know, the healthcare plans pay for it. Someone is paying for it, right? Because you are gonna pay into it. Heather Bresch, she is Mylan CEO. She is actually the daughter of Joe Manchin, democratic senator from West Virginia, Filing showed that her compensation doubled since 2012, of course as the drug price was going up. What¡¯s been her response?

Her response is ¡°it¡¯s not our fault¡±. It¡¯s Congress¡¯s fault. She vaguely, you know, blames this system where middle-men take a cut of the profits, right? But the bottom line is if they want to fix this problem, the bucks stop with them, right? because you can¡¯t rely on Congress. That¡¯s gonna take a X time. We¡¯ve seen the holdups there. They want to address this problem. They could take some money out of there. Profit margins which on this drug, I think we have on the full screen have increased substantially from 9% to about 55%, 9% in 2008 and 55% in 2014.

Six times.

And like I said: ¡°look, this is uncommon. This is industry practice and that is why it¡¯s going to become a political issue over the next couple of months.¡±

No question, Cristina Alesci, thanks very much.
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