Replies to post #429784 on Amarin Corp Plc (AMRN)

[JRoon71]

RMB, in this case, it's a little unique. The situation I mentioned is more typical of when the generic product sells for REAL cheap, and the PBM doesn't make much money on it.

I only highlighted it to point out the fact that sometimes the "list" price is not the whole story with generics vs. brands and how PBM's look at them.

There may be other situations where they give preference to generics. For example, if a big generic manufacturer gives a PBM a "bulk" discount on multiple drugs. This is where Amarin would have trouble competing - we only have one drug. Companies like Hikma, DRL, Teva, etc. may have hundreds. So they can afford to offer some "loss leaders" to PBM's to get more business.

[Skipperdog11]

RMB-
"That is why it is hard to understand why brand V has been shut out by CVS Caremark in favor of GV. One would think the Generics cannot match a large discount since they operate on much lower margins."

I think this makes the recent departures of both CEO and CFO very easy to understand. Denner must be furious that allowing the above to happen most certainly throws a horrible wrench in plans to execute buybacks and shoot for listing compliance. I think this caused his plan B to be downgraded to plan C.

I am starting to think that the mid-November meeting is more of an attempt to rally the troops after the ER fallout.