John Bos to Nancy Hamant: PBMs, STRS, Caremark & Medco

Good Morning Nancy,

Thank you for the Wall Street Journal article on transparency with the PBM's. This article demonstrates that it CAN BE DONE! The PBM's work for STRS and not STRS working for the PBM's. Unfortunately, Caremark and Medco have not learned this important lesson.

It is interesting to note that the Caterpillar group model has Walgreen's as one of the 3 players that have agreed to the "new rules". Walgreen purchased Jack Eckert Drug Stores (A large Florida chain) several years ago. Eckert had a PBM in place and Walgreen is using this basis to expand rapidly into the PBM business. They also have a provision in their contract that if the PBM fails to ship promptly, the prescription can be filled at any Walgreen facility on a temporary basis. They will not charge the provider or the patient extra for this service.

It is refreshing to note that every day there is another group of states or companies that are working together to solve the prescription drug problem. Unfortunately, not one of the Ohio active or retiree groups have been mentioned in these reform movements. It is my sincere hope that the board members of ALL FIVE retirement systems will consider changes in the current system. Caremark continues with their disasterous reputation. However, I am not certain that Medco or Express Scripts are an improvement in cost. Either would be an improvement in customer service.

Thanks for the carbon copy of the article. Hopefully STRS will eventually learn that we are VERY UNHAPPY CAMPERS regarding Caremark.

God Bless!

John Bos
10/11/05