FTC Must Break Up CVS Caremark: Consumer Groups

Law360, New York (April 15, 2011, 4:34 PM EDT) -- Consumer groups urged the Federal Trade Commission in a letter Thursday to unwind the $27 billion deal that created CVS Caremark Corp., claiming the transaction has reduced competition and raised prices for consumers.

The letter to FTC Chairman Jon Leibowitz said there was strong evidence that the merger, which combined a drugstore chain with a pharmacy benefit management company, has harmed consumers. Forcing a divestiture was the best way to fix the competitive problems caused by the merger, the groups said.

The groups — Consumer Federation...
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