Fun with Drugs 01/08/04 |
Did you ever wonder how much it costs a drug company for the active
ingredient in prescription medications? Some people think it must cost a
lot since many drugs sell for more than $2.00 per tablet. We did a
search of offshore chemical synthesizers that supply the active ingredients
found in drugs approved by the FDA. As we have revealed in past issues
of Life Extension, a significant percentage of drugs sold in the United
States contain active ingredients made in other countries.
In our independent investigation of how much profit drug companies
really make, we obtained the actual price of active ingredients used in some
of the most popular drugs sold in America. The chart below speaks for itself.
BRAND NAME OF DRUG
CONSUMER PRICE 100 TABS
COST OF GENERAL ACTIVE INGREDIENTS
PERCENT MARKUP
Celebrex 100 mg .........$130.27 ......$0.60
............21,712%
Claritin 10 mg
..............$215.17 ......$0.71 ...........30,306%
Keflex 250 mg............. $157.39
......$1.88 .............8,372%
Lipitor 20 mg ,,,,...........$272.37 ......$5.80
.............4,696%
Norvasc 10 mg............ $188.29 .......$0.14 .........134,493%
Paxil 20 mg ..................$220.27 ......$7.60
...........2,898%
Prevacid 30 mg ...........$44.77
.........$1.01 ..........34,136%
Prilosec 20 mg ............$360.97
.......$0.52 ..........69,417%
Prozac 20 mg ..............$247.47 .......$0.11 ........224,973%
Tenormin 50 mg.......... $104.47 ........$0.13 ..........80,362%
Vasotec 10 mg ...........$102.37
........$0.20 ..........51,185%
Xanax 1mg ...................$136.79
......$0.024 .......569,958%
Zestril 20 mg
...................$89.89 .....$3.20.............2,809%
Zithromax 600mg .......$1,482.19
......$18.78 ...........7,892%
Zocor 40mg .................$350.27
.........$8.63 ...........4,059%
Zoloft 50mg ..................$206.87 .........$1.75
.........11,821%
Since the cost of prescription drugs is so outrageous, we thought everyone
should know about this. It pays to shop around. This helps to solve the mystery as to why they can afford to put a Walgreens on every corner.
On Monday night, Steve Wilson, an investigative reporter for channel 7
News in Detroit, did a story on generic drug price gouging by
pharmacies. He found in his investigation, that some of these generic
drugs were marked up as much as 3,000% or more. Yes, that's not a
typo...three thousand percent!
So often, we blame the drug companies for the high cost of drugs, and
usually rightfully so. But in this case, the fault clearly lies with the
pharmacies themselves. For example, if you had to buy a prescription and
bought the name brand, you might pay $100 for 100 pills. The
pharmacist might tell you that if you get the generic equivalent, they
would only cost $80, making you think you are saving $20. What the
pharmacist is not telling you is that those 100 generic pills may have
only cost him $10!
At the end of the report, one of the anchors asked Mr. Wilson whether or
there were any pharmacies that did not adhere to this practice, and he
said that Costco consistently charged little over their cost for the
generic drugs.
I went to the Costco site, where you can look up any drug, and get its
online price. It says that the in-store prices are consistent with the online
prices. I was appalled. Just to give you one example, lets look at Compazine, which helps prevent nausea in chemo patients. The generic equivalent costs $54.99 for
60 pills at CVS. I checked the price at Costco, and I could have bought 100
pills for $19.89. For 145 of my pain pills, I paid $72.57. I could have
got 150 at Costco for $28.08.I would like to mention, that although Costco
is a membership type store, you do NOT have to be a member to
buy prescriptions there, as it is a federally regulated substance. You just tell
them at the door that you wish to use the pharmacy, and they will let you in.
staff out...
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