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 Home > News > SNHPA News Release - January 5, 2007
News Release
September 26, 2006
Contact:  Edith S. Marshall, Esq.
Phone:  202-552-5851
E-mail:  edith.marshall@safetynetrx.org


Hospitals Struggle To Access Key Blood Products at Affordable Prices
Survey of Safety Net Hospitals Shows Disparity Between Availability
of IVIG Product and Availability at 340B Pricing

Washington, D.C. - Hospitals serving large volumes of indigent and uninsured patients continue to have difficulty in accessing critical blood products used to treat patients with immune deficiency diseases, but have experienced even greater problems in obtaining the drugs at prices the hospitals are legally entitled to under a federal drug discount program, according to a new study. Intravenous immunoglobulin (IVIG), a treatment called "an immune system in a bag," is used to treat a host of immune system disorders. Under the federal "340B program," drug companies are required to provide discounts on outpatient pharmaceuticals for hospitals that provide high volumes of care to low-income patients. The survey results suggest that while there may be a supply shortage of IVIG products, the challenge of accessing IVIG at discounted prices is significantly more persistent and widespread than the difficulty in finding adequate supplies.

While almost 50% of survey respondents reported being unable to obtain sufficient IVIG to fulfill the needs of their patients at any price, a much larger percentage - almost 80% - reported inability to purchase any IVIG at 340B prices. It is clear, in short, that manufacturers are not offering legally obligatory 340B discounts on IVIG to qualified hospitals, even when product is available. "Whether or not there is an actual shortage of product on the IVIG market, the situation does not excuse the industry's failure to provide 340B pricing on IVIG that is readily available. Pointing to supply limitations as the reason 340B entities are forced to pay above 340B prices just doesn't wash," says SNHPA Executive Director Ted Slafsky.

A copy of SNHPA 's full report can be found at www.safetynetrx.org/public/documents/pdfs/IVIG_report.pdf.

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Federal Drug Discount and Compliance Monitor Learn more about The Monitor, a monthly publication covering the latest news in the 340B program and other federal drug discount programs.
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