New Mexico Attorney General makes $2.25 million settlement over EpiPen pricing

SANTA FE, New Mexico (KVIA) -- New Mexico Attorney General Raúl Torrez said the state reached a $2.25 million settlement over claims a pharmaceutical company had "unfair and anticompetitive practices" with EpiPen Auto-Injector products. The New Mexico Department of Justice said Wednesday the state made the resolution with Mylan Inc.

The EpiPen Auto-injector treats severe alergic reactions.

The state DOJ said claims came from Mylan's pricing and business practices, including marketing and pricing decisions, violated several state consumer protection and antitrust statues.

NM DOJ said the state alleged Mylan violated the New Mexico Unfair Practices Act, Antitrust Act and Fraud Against Taxpayers Act. Mylan denied any wrongdoing or liability.

Under the agreement, Mylan's payment will go to investigation costs, programs, personnel training and health care needs, the NM DOJ said.

Additionally, Mylan and the State will collaborate to raise awareness about a program that provides free EpiPen devices to schools. Mylan will also donate up to 10,000 EpiPens to the state for the next four years, the state DOJ said.

NM DOJ said Mylan will increase its co-pay coupon for the generic EpiPen from $35 to $40 (subject to conditions). The state DOJ said it will reduce out-of-pocket costs.