Mylan overcharged for EpiPen, says CMS

The US Centers for Medicare and Medicaid Services (CMS) has shared its concerns with the 463% price increase charged by Netherlands-incorporated drugmaker Mylan (Nasdaq: MYL) on its EpiPen Auto-Injector (epinephrine injection, USP) over the course of four years.

Andrew Slavitt, acting administrator of the CMS, agreed with the concerns of Senator Ron Wyden over the issue, which saw Mylan’s chief executive Heather Bresch being summoned to Congress last month to answer questions on the price hikes.

"This incorrect classification has financial consequences for the amount that federal and state governments spend because it reduces the amount of quarterly rebates Mylan owes for EpiPen"