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| 8-K - FORM 8-K - MEDCO HEALTH SOLUTIONS INC | y92816e8vk.htm |
Exhibit 99.1
| Monday, September 26, 2011 Medco Extra: Merger will improve quality and efficiency of care The latest issue of Medco Extra is now available. Earlier this week, Medco Chairman and CEO Dave Snow and Express Scripts Chairman and CEO George Paz testified before a U.S. House of Representatives’ Subcommittee about the proposed combination of Express Scripts and Medco. Read testimony from key panel members and learn about the status of the FTC review. In other news, David Muzina, MD, national Practice leader, neuroscience therapeutic resource center, shares his insights on the latest breakthroughs with Alzheimer’s disease. Click here to access Cautionary Statement Regarding Forward-Looking Statements This document contains “forward-looking statements” as that term is defined in the Private Securities Litigation Reform Act of 1995. These statements, as they relate to Medco Health Solutions, Inc. or Express Scripts, Inc., the management of either such company or the transaction, involve risks and uncertainties that may cause results to differ materially from those set forth in the statements. No forward-looking statement can be guaranteed, and actual results may differ materially from those projected. Medco and Express Scripts undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future events or otherwise. Forward-looking statements are not historical facts, but rather are based on current expectations, estimates, assumptions and projections about the business and future financial results of the pharmacy benefit management and specialty pharmacy industries, and other legal, regulatory and economic developments. We use words such as “anticipates,” “believes,” “plans,” “expects,” “projects,” “future,” “intends,” “may,” “will,” “should,” “could,” “estimates,” “predicts,” “potential,” “continue,” “guidance” and similar expressions to identify these forward-looking statements. Actual results could differ materially from the results contemplated by these forward-looking statements due to a number of factors, including, but not limited to, the possibility that (1) Medco and Express Scripts may be unable to obtain stockholder or regulatory approvals required for the merger or may be required to accept conditions that could reduce the anticipated benefits of the merger as a condition to obtaining regulatory approvals; (2) the length of time necessary to consummate the proposed merger may be longer than anticipated; (3) problems may arise in successfully integrating the businesses of Medco and Express Scripts; (4) the proposed merger may involve unexpected costs; (5) the businesses may suffer as a result of uncertainty surrounding the proposed merger; and (6) the industry may be subject to future risks that are described in SEC reports filed by Medco and Express Scripts. The foregoing list of factors is not exhaustive. You should carefully consider the foregoing factors and the other risks and uncertainties that affect the businesses of Medco and Express Scripts described in their respective Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q and other documents filed from time to time with the Securities and Exchange Commission. Additional Information and Where to Find It In connection with the proposed merger, Express Scripts, Inc. will file with the SEC a registration statement on Form S-4 that will include a joint proxy statement of Medco and Express Scripts, and a prospectus of Express Scripts, as well as other relevant documents concerning the proposed merger. Stockholders are urged to read the registration statement and the proxy statement/prospectus contained therein regarding the merge r when they become available and any other relevant documents as well as any amendments or supplements to those documents, because they will contain important information. |
| You will be able to obtain a free copy of the proxy statement/prospectus, as well as other filings containing information about Medco and Express Scripts, at the SEC’s Internet site (http://www.sec.gov). You will also be able to obtain these documents, free of charge, in the Investor Relations portion of the Medco website at http://www.medcohealth.com under the heading “Investors” and then under “SEC Filings.” Copies of the proxy statement/prospectus and the SEC filings that will be incorporated by reference in the proxy statement/prospectus can also be obtained, free of charge, by directing a request to Investor Relations, 100 Parsons Pond Drive, Franklin Lakes, NJ, 07417, 201-269-3400. Participants in Solicitation Medco and Express Scripts and their respective directors and executive officers may be deemed to be participants in the solicitation of proxies from the stockholders of Medco in connection with the proposed merger. Information about the directors and executive officers of Medco and their ownership of Medco common stock is set forth in the proxy statement for the Medco 2011 annual meeting of stockholders, as filed with the SEC on Schedule 14A on April 8, 2011. Information about the directors and executive officers of Express Scripts and their ownership of Express Scripts common stock is set forth in the proxy statement for the Express Scripts’ 2011 annual meeting of stockholders, as filed with the SEC on Schedule 14A on March 21, 2011. Additional information regarding the interests of those persons and other persons who may be deemed participants in the merger may be obtained by reading the proxy statement/prospectus regarding the proposed merger when it becomes available. You may obtain free copies of this document as described in the preceding paragraph. |
| SEPTEMBER26,2011snow,PaztestifyBeforecongressionalPanel:MergerwillimprovequalityandefficiencyofcareM edco_Chairman_and_CEO_Dave_Snow_andDaveSnow,ChairmananDCeo,meDCo:Express_Scripts_Chairman_and_CEO“TO DAy,_THEREISASEnSEOfURGEnCyAMOnGAllGeorge_Paz_testified_last_week_before_theTHESEMAnyPARTICIPAnTSInO URHEAlTHCAREU.S._House_of_Representatives’SySTEM._WEAllknOWTHEfUTUREBElOnGSTOTHOSEWHODElIvERMOREfORl ESS._THEMERGERSubcommittee_on_Intellectual_Property,OfISPARTTHATCompetition_and_the_Internet_that_th eExPRESSSCRIPTSAnDMEDCOOfTRAnSfORMATIvEPROCESS.“proposed_combination_of_Express_Scriptsand_Medco_wil l_bring_clear_benefits_to_thenation’s_patients_and_public_and_privatepurchasers,_leading_to_safer,_b etter_andceo,exPressgeorgePaz,chairMananDmore_affordable_pharmaceutical_coveragescriPts:“WHOISTHERET OEnSURETHATTHEand_care_for_American_families.AMERICAnfAMIlyISGETTInGTHEBESTvAlUEfORITSMOnEy?_PBMSHEl PAMERICAnSGETTHEBEST“Combining_Medco’s_expertise_in_advancedPOSSIBlEDEAlWHIlEIMPROvInGSAfETy.“clinic al_pharmacy_with_Express_Scripts’PhotocourtesyoftheNationalParkServiceexpertise_in_behavioral_scienc e_will_create_anew_entity_that_is_uniquely_able_to_provide_significant_progress_towardclosing_gaps_i n_care,_saving_dollars_and_saving_lives._By_joiningtogether,_millions_of_members_served_by_both_of_o ur_companies_willreap_the_benefits_of_these_unique_and_complementary_programs:Complementaryexpertise increased_prescription_adherence_and_reduced_gaps_in_care,_resultingPaz_echoed_Snow_in_his_written_t estimony,_“By_bringingin_better_health_outcomes_and_lower_costs,”_Snow_testified._“Together,together _our_companies’_complementary_expertise_in_our_companies_will_focus_on_lowering_the_prices_customers _pay_forbehavioral_sciences_and_pharmacogenomics,_we_have_thetheir_medicines_and_improving_their_qua lity_of_care._And_by_deliveringpotential_to_truly_deliver_on_the_real_promise_of_personalizedon_that _promise_we_will_build_a_strong,_competitive_company_that_helpsmedicine:_ensuring_that_patients_get_ the_right_treatment_atmillions_of_people_to_live_longer,_healthier_lives,_while_supporting_thethe_ri ght_time_for_the_best_outcome.“nation’s_goal_of_a_sustainable,_affordable_healthcare_system.”(Contin uedonpage2)learnmoreaboutalzheimer’sDiseaseDementia_is_a_syndrome_defined_by_significantpre-clinical _AD._A_more_accurate_and_earlier_diagnosis_of_ADloss_of_cognitive_abilities—_most_commonlycould_all ow_for_earlier_intervention_with_potential_memory—_that_interferes_with_successfuldisease-modifying _drugs_that_would_have_a_significant_impactperformance_of_activities_of_daily_living._Moreon_the_liv es_of_patients_and_their_families._In_addition,than_four_million_Americans_are_affected_bypreventing _or_slowing_the_progression_of_AD_would_havedementia_with_an_associated_total_healthcare_costprofoun d_implications_for_public_health._The_new_criteria_andin_excess_of_$100_billion_every_year._Alzheime r’sguidelines_identify_two_categories_of_biomarkers_for_AD:disease(AD)_is_the_most_common_form_ofbio markers_showing_the_level_of_beta-amyloid_accumulationByDaveMuzina,dementia_in_the_elderly._One_in_e ight_Americansin_the_brain_and_biomarkers_showing_that_nerve_cells_in_theMD,nationalover_age65_years _has_AD,_which_is_the6thbrain_are_injured_or_actually_degenerating._The_mostPracticeleaDer,leading_c ause_of_death_in_the_U.S.promising_biomarkers_are_being_detected_through_specialneurosciencetheraPeu ticHistorically,_the_diagnosis_of_AD_has_been_basedtesting_of_cerebrospinal_fluid(CSf),_magnetic_res onanceresourcecenteron_the_clinical_identification_of_signs_andimaging(MRI),_and_nuclear_Medicine_te chniques.symptoms_indicative_of_the_disease._for_the_first_time_in27_years,_ledfor_now,_however,_cli nicians_and_their_patients_must_still_relyby_the_Alzheimer’s_Association_and_the_national_Institute_ on_Agingheavily_on_a_good_history_and_physical_examination_to_rule_in(nIA)_of_the_national_Institute s_of_Health,_new_criteria_and_guidelinesor_to_rule_out_dementias_such_as_Alzheimer’s._for_the_diagno sis_of_AD_have_been_published._The_new_criteria_includeidentification_of_three_stages_of_the_disease (pre-clinical_AD,_mildAdditional_resources,_including_information_about_localcognitive_impairment(MC I)_due_to_AD,_and_full-blown_dementia_due_toresearch_trials_and_biomarker_testing,_can_be_exploredAD )_and_the_presence_of_biomarkers._Biomarkers_could_be_used_tothrough_the_national_Alzheimer’s_Associ ation_atconfirm_a_clinical_diagnosis_of_MCI_or_dementia_due_to_AD,_althoughwww.alz.org/trialmatch_or 1-800-272-3900.their_greatest_positive_impact_may_be_in_the_early_detection_of_©2011_Medco_Health_So lutions,_Inc._All_rights_reserved._Medco_is_a_registered_trademark_of_Medco_Health_Solutions,_Inc. |
| medco_extrapage2Mergerwillimprovequalityandefficiencyofcare(continued)otherwitnesses“I_don’t_see_the _benefits_going_away._Actually,_Mr._Snow’sIn_addition_to_Snow_and_Paz,_there_were_four_other_witness es_atcompany,_Medco,_has_a_different_approach_to_the_the_hearing:_Joseph_lech,_R.Ph.(owner,_lech’s_P harmacy,_and_aadministration_of_drug_benefits_than_my_company,”_said_Paz._“Imember_of_the_national_C ommunity_Pharmacists_Association);think_they_are_both_verytoogood,_but_together,howbigiSbig?Dennis_W iesner,_R.Ph(senior_director_of_privacy,_pharmacy,_and“unDertheantitruStlaw,that’Snotgovernmental_af fairs_for_H-E-B,_a_supermarket_chain_in_Texas);combining_the_best_of_boththeiSSuethatweaDDreSS.theiS SueDan_E._Gustafson(a_partner_with_Gustafson_Gluek,_PllC);_and,companies,_I_believe_it_takesyouaDDre SSiS’DotheyhavetheStephanie_kanwit(counsel,_Manatt,_Phelps_and_Phillips,_llP).us_to_a_whole_new_leve l_ofmarketpowerthatwoulDpreCluDeclinical_expertise...“otherSfrombeingabletoenterthelech,_Wiesner_and _Gustafson_voiced_concerns_about_the_impactmarketplaCeanDofferCompetitiveof_the_merger_on_competitio n_as_wellSnow_affirmed_that_he_alsoplanS...“antitruStmergerlawiSabouttheimpaCtonCoStanDas_on_local_ pharmacies.did_not_see_any_benefits—CongreSSmanbobgooDlattequalityforConSumerS.it’Sgoing_away;_“we_ only_seeoftheChairmanhouSeSubCommitteekanwit_noted_that_she_was_not_notConCerneDwiththebenefits_adde d.“intelleCtualproperty,onimpaCtoninDiviDualtestifying_on_behalf_of_either_party,CompetitionanDthein ternetCompetitorSinthatbut_was_testifying_on_how_theCongress’rolepartiCularmarket.“federal_Trade_Com mission(fTC)_isCongress_does_not_vote_on_whether_or_not_to_approve_the—Stephaniekanwitlikely_to_vie w_the_merger,_which_willmerger_of_Express_Scripts_and_Medco;_that_is_the_federal_Tradebe_in_light_of _the_recently_passedCommission’s(fTC)_job._Congress_can_gather_information_andCounSel,manatt,phelpS& gauge_opinion_on_an_issue_and_present_that_data_to_the_fTC_forphillipSantitrust_regulations._She_sai d_thequestion_that_the_agency_willconsideration_in_its_deliberations.examine_is,_“Will_[the_proposed _merger]_substantially_lessenmediacoveragecompetition?“following_the_hearing,_there_was_significant, _but_balanced,She_explained_the_fTC_will_look_at_the_impact_on_cost_and_qualitymedia_coverage._Among _the_print_headlines:_“Express_Scripts,to_consumers_and_noted_that_the_agency_is_“very_knowledgeable “Medco_Rebut_Antitrust_Concerns_In_US_House_Hearing"_fromregarding_PBMs.Dow_Jones/TheWallStreetJourn al;“Express,_Medco_toutsavings,_competition_in_hearing"_from_Reuters;_“lawmakers_hearkanwit_testifie d_the_fTC_would_address_two_questions:(1)_theconflicting_predictions_about_impact_of_Express_Scr ipts -Medcoimpact_on_PBM_customers_and(2)_the_impact_on_retail_pharmacy.merger"_from_ModernHealthcare;_an d_“fighting_fire_with_fire:She_stressed_that_PBMs_need_retail_pharmacies_to_fulfill_accessESI,_Medco _debut_ad"_from_DrugStoreNews.requirements.StatusoftheftCreviewquestionsOn_Sept.2,2011,_Express_Scri pts_and_Medco_each_received_aDuring_the_question_andrequest_from_the_fTC_for_additional_information( a_“secondanswer_session,_one“ihaveSaiDbeforethatihaverarelymetamergerthatilikeD,butthiSiSoneilikereq uest”)._The_companies_anticipated_a_second_request,_and_willcongressman_asked_whatmorethantheoneStha tiDon’tlike.“respond_as_promptly_as_practicable._Medco_has_been_andbenefits_of_having_bothcontinues_ to_work_collaboratively_with_the_fTC_staff._companies_would_go_away—CongreSSmananDSubCommitteemembe ras_a_result_of_the_merger._JohnConyerS,Jr.CautionaryStatementRegardingForward-LookingStatements:Thi sdocumentcontains“forward-lookingstatements“asthattermisdefinedinthePrivateSecuritiesLitigationRefor mActof1995.Thesestatements,astheyrelatetoMedcoHealthSolutions,Inc.orExpressScripts,Inc.,themanagemen tofeithersuchcompanyorthetransaction,involverisksanduncertaintiesthatmaycauseresultstodiffermaterial lyfromthosesetforthinthestatements.Noforward-lookingstatementcanbeguaranteed,andactualresultsmaydiff ermateriallyfromthoseprojected.MedcoandExpressScriptsundertakenoobligationtopubliclyupdateanyforward -lookingstatement,whetherasaresultofnewinformation,futureeventsorotherwise.Forward-lookingstatements arenothistoricalfacts,butratherarebasedoncurrentexpectations,estimates,assumptionsandprojectionsabou tthebusinessandfuturefinancialresultsofthepharmacybenefitmanagementandspecialtypharmacyindustries,an dotherlegal,regulatoryandeconomicdevelopments.Weusewordssuchas“anticipates,“believes,“plans,“expe cts,“projects,“future,“intends,“may,“will,“should,“could,“estimates,“predicts,“potential,” “continue,“guidance“andsimilarexpressionstoidentifytheseforward-lookingstatements.Actualresultscoul ddiffermateriallyfromtheresultscontemplatedbytheseforward-lookingstatementsduetoanumberoffactors,inc luding,butnotlimitedto,thepossibilitythat(1)MedcoandExpressScriptsmaybeunabletoobtainstockholderorre gulatoryapprovalsrequiredforthemergerormayberequiredtoacceptconditionsthatcouldreducetheanticipatedb enefitsofthemergerasaconditiontoobtainingregulatoryapprovals;(2)thelengthoftimenecessarytoconsummate theproposedmergermaybelongerthananticipated;(3)problemsmayariseinsuccessfullyintegratingthebusinesse sofMedcoandExpressScripts;(4)theproposedmergermayinvolveunexpectedcosts;(5)thebusinessesmaysufferasa resultofuncertaintysurroundingtheproposedmerger;and(6)theindustrymaybesubjecttofuturerisksthataredes cribedinSECreportsfiledbyMedcoandExpressScripts.Theforegoinglistoffactorsisnotexhaustive.Youshouldca refullyconsidertheforegoingfactorsandtheotherrisksanduncertaintiesthataffectthebusinessesofMedcoandE xpressScriptsdescribedintheirrespectiveAnnualReportsonForm10-K,QuarterlyReportsonForm10-Qandotherdoc umentsfiledfromtimetotimewiththeSecuritiesandExchangeCommission.AdditionalInformationandWheretoFindI tInconnectionwiththeproposedmerger,ExpressScripts,Inc.willfilewiththeSECaregistrationstatementonForm S-4thatwillincludeajointproxystatementofMedcoandExpressScripts,andaprospectusofExpressScripts,aswell asotherrelevantdocumentsconcerningtheproposedmerger.Stockholdersareurgedtoreadtheregistrationstateme ntandtheproxystatement/prospectuscontainedthereinregardingthemergerwhentheybecomeavailableandanyothe rrelevantdocumentsaswellasanyamendmentsorsupplem entstothosedocuments,becausetheywillcontainimportant information.Youwillbeabletoobtainafreecopyoftheproxystatement/prospectus,aswellasotherfilingscontain inginformationaboutMedcoandExpressScripts,attheSEC’sInternetsite(http://www.sec.gov).Youwillalsobeab letoobtainthesedocuments,freeofcharge,intheInvestorRelationsportionoftheMedcowebsiteathttp://www.med cohealth.comundertheheading“Investors“andthenunder“SECFilings.“Copiesoftheproxystatement/prospectusa ndtheSECfilingsthatwillbeincorporatedbyreferenceintheproxystatement/prospectuscanalsobeobtained,free ofcharge,bydirectingarequesttoInvestorRelations,100ParsonsPondDrive,FranklinLakes,NJ,07417,201-269-3 400.ParticipantsinSolicitationMedcoandExpressScriptsandtheirrespectivedirectorsandexecutiveofficersm aybedeemedtobeparticipantsinthesolicitationofproxiesfromthestockholdersofMedcoinconnectionwiththepro posedmerger.InformationaboutthedirectorsandexecutiveofficersofMedcoandtheirownershipofMedcocommonsto ckissetforthintheproxystatementfortheMedco2011annualmeetingofstockholders,asfiledwiththeSEConSchedul e14AonApril8,2011.InformationaboutthedirectorsandexecutiveofficersofExpressScriptsandtheirownershipo fExpressScriptscommonstockissetforthintheproxystatementfortheExpressScripts’2011annualmeetingofstock holders,asfiledwiththeSEConSchedule14AonMarch21,2011.Additionalinformationregardingtheinterestsoftho sepersonsandotherpersonswhomaybedeemedparticipantsinthemergermaybeobtainedbyreadingtheproxystatement /prospectusregardingtheproposedmergerwhenitbecomesavailable.Youmayobtainfreecopiesofthisdocumentasde scribedintheprecedingparagraph. |