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Fall 2013 Shareholder Report Highlights: Legal Update: 2-3 New TPBC Board Members: 4 Support GPAC: 5 APRx Generic Edge | Website: 6 Shareholder Retreat Wrap-up: 7 Preferred Vendors & Partners: 8-9 Valued Shareholders, In an era increasingly defined by shrinking margins on dispensing, it is critical that your member-owned cooperative do everything we can to defend your right to compete, help you manage expenses and find new revenue channels. That’s why American Pharmacies is taking our challenge of preferred networks for Medicare Part D plans to the U.S. Supreme Court (page 2). It’s why we established our Generic Edge program to warn you about impending price increases on generics and to identify buying opportunities that save you money (page 6). It’s why we continue to partner with vendors that can help you cut expenses and increase the cash business in your store. Check out our Healthy Pals partnership (formerly Pet-RITE) with Prodigy Animal Health to see how you can gain a solid foothold in the lucrative pet wellness market with top-quality products and great margins (page 9). And learn more about how our two newest preferred vendors – RelayHealth and APRx CAPS – can help improve your reim- bursements and reduce the impact of audits (page 8). Amid all the challenges and changes that we are addressing, one thing remains constant: Ameri- can Pharmacies continues to experience strong growth due to our unique value proposition. We are The Total Solution for independent pharmacy: superior wholesaler economics, un- equalled legal and legislative advocacy, and groundbreaking partnerships and programs to im- prove your cash flow. The proof is in the numbers – October 2013 was a record revenue month for us and it looks even stronger moving forward, with six new pharmacies coming on board on Nov. 1 alone. As a result, we are adding a seventh sales representative to our staff! Clearly, our value is resonating strongly in the independent market. Our advocacy arm, Texas Pharmacy Business Council, is earning national attention for its high level of engagement on many fronts, its proven results and most of all for its professionalism and strategic focus. TPBC welcomes three new at-large members to its Board next month. (page 4). On behalf of our Board of Directors and staff, thank you for your continued membership and support, which empower us to defend the business model of independent pharmacy. Mike Gohlke, President American Pharmacies Protecting the Economic, Political and Legal Interests of Independent Pharmacy November 2013 President Mike Gohlke Board of Directors Chairman Robert Kinsey, R.Ph. Tyler Vice Chairman Mike Muecke, R.Ph. Bay City Secretary/Treasurer Ray Carvajal, R.Ph. San Antonio Past Chairman Vance Oglesbee, R.Ph. Fairfield Lynn Everett, R.Ph. Waco Alton Kanak, R.Ph. Katy Joe Ochoa, R.Ph. Edinburg Bruce Rogers, R.Ph. Victoria Dennis Song, R.Ph. Flower Mound Executive Staff President, American Pharmacies Mike Gohlke Vice President, Sales & Operations Laird Leavoy Vice President, Generics John Cooper Executive Director, Texas Pharmacy Business Council Michael Wright
Transcript
Page 1: Protecting the Economic, Political and Legal Interests of ... · increases on generics and to identify buying opportunities that save you money (page 6). It’s why we continue to

Fall 2013 Shareholder Report Highlights:

■ Legal Update: 2-3■ New TPBC Board Members: 4■ Support GPAC: 5 ■ APRx Generic Edge | Website: 6■ Shareholder Retreat Wrap-up: 7■ Preferred Vendors & Partners: 8-9

Valued Shareholders,

In an era increasingly defined by shrinking margins on dispensing, it is critical that your member-owned cooperative do everything we can to defend your right to compete, help you manage expenses and find new revenue channels. That’s why American Pharmacies is taking our challenge of preferred networks for Medicare Part D plans to the U.S. Supreme Court (page 2). It’s why we established our Generic Edge program to warn you about impending price increases on generics and to identify buying opportunities that save you money (page 6).

It’s why we continue to partner with vendors that can help you cut expenses and increase the cash business in your store. Check out our Healthy Pals partnership (formerly Pet-RITE) with Prodigy Animal Health to see how you can gain a solid foothold in the lucrative pet wellness market with top-quality products and great margins (page 9). And learn more about how our two newest preferred vendors – RelayHealth and APRx CAPS – can help improve your reim-bursements and reduce the impact of audits (page 8).

Amid all the challenges and changes that we are addressing, one thing remains constant: Ameri-can Pharmacies continues to experience strong growth due to our unique value proposition. We are The Total Solution for independent pharmacy: superior wholesaler economics, un-equalled legal and legislative advocacy, and groundbreaking partnerships and programs to im-prove your cash flow. The proof is in the numbers – October 2013 was a record revenue month for us and it looks even stronger moving forward, with six new pharmacies coming on board on Nov. 1 alone. As a result, we are adding a seventh sales representative to our staff! Clearly, our value is resonating strongly in the independent market.

Our advocacy arm, Texas Pharmacy Business Council, is earning national attention for its high level of engagement on many fronts, its proven results and most of all for its professionalism and strategic focus. TPBC welcomes three new at-large members to its Board next month. (page 4).

On behalf of our Board of Directors and staff, thank you for your continued membership and support, which empower us to defend the business model of independent pharmacy.

Mike Gohlke, PresidentAmerican Pharmacies

Protecting the Economic, Political and Legal Interestsof Independent Pharmacy

November 2013

President Mike Gohlke

Board of DirectorsChairman

Robert Kinsey, R.Ph. Tyler

Vice ChairmanMike Muecke, R.Ph.

Bay City

Secretary/TreasurerRay Carvajal, R.Ph.

San Antonio

Past ChairmanVance Oglesbee, R.Ph.

Fairfield

Lynn Everett, R.Ph. Waco

Alton Kanak, R.Ph.Katy

Joe Ochoa, R.Ph. Edinburg

Bruce Rogers, R.Ph. Victoria

Dennis Song, R.Ph. Flower Mound

Executive StaffPresident,

American PharmaciesMike Gohlke

Vice President, Sales & Operations

Laird Leavoy

Vice President, GenericsJohn Cooper

Executive Director, Texas Pharmacy

Business CouncilMichael Wright

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APRx Exhausts Legal Options in Medicaid Managed Care Challenges Texas Supreme Court Denies Petition on Payment RatesOn Nov. 22, the Texas Supreme Court denied APRx’s petition to overturn a July 12 appeals court decision dismissing APRx’s second Medicaid lawsuit against Texas HHSC. APRx had filed the petition on August 26, asking the Supreme Court to require the agency to determine reimbursements to Medicaid pharmacies through a methodology established in the open with public input and not in secret and at the sole discretion of a PBM.

The Third Court of Appeals in Austin had heard arguments in February from APRx Outside Counsel Miguel S. Rodriguez in the appeal of our law-suit to require HHSC to fairly regulate Medicaid reimbursement to Texas pharmacies, as state law requires. Rodriguez argued that HHSC is obli-gated by state law to establish rules and standards governing the determination of medical assistance (Medicaid) pay-ments made to pharmacy providers, even if those payments are made by managed care organizations (MCOs) and PBMs.

On July 12, the Appeals Court essentially ruled that: American Pharmacies’ interpretation that HHSC has to regulate man-aged care reimbursements is reasonable as is HHSC’s interpretation that it does not have to regulate those reimbursements. Because HHSC governs the Medicaid program, the appeals court gave its interpretation deference and allowed it to stand.

APRx Loses Ruling, But Wins Vital Outcome in Managed-Care Transition Case Although the Texas Third Court of Appeals denied American Pharmacies’ appeal in lawsuit against HHSC over its procedural handling of the carve-in of pharmacy benefits into Medicaid managed care, the court made it clear that HHSC must comply with public notice and comment requirements when adopting changes in policy in order to ensure the public is properly aware. The court ruled on June 27 that APRx has no authority to sue HHSC over the transition, but its ruling stated that HHSC must – as APRX contended in the suit– follow state rule-making requirements for public notice and comment when it adopts policy changes like the pharmacy carve-in.

APRx had filed suit in Travis County in August 2011 over HHSC’s failure to comply with state procedural requirements for meaningful public notice and comment concerning its waiver request to CMS and the carve-in of Texas Medicaid drug ben-efits into managed care. HHSC submitted the waiver request before enabling legislation was signed and three months before its effective date, and without providing proper public notice or a meaningful opportunity for public comment.

Appearing before Judge Stephen Yelenosky of the 345th District Court in November, 2011, HHSC challenged the court’s au-thority to hear the case, arguing that it lacked authority to hear APRx’s legal challenge for various reasons, and that any chal-lenge to HHSC was improper before the managed care program took effect March 1, 2012. Judge Yelenosky granted HHSC’s plea and dismissed the case. APRx then appealed the ruling to the Third Court of Appeals in Austin.

The Appeals Court essentially agreed with APRx’s position on most of the contested issues: It found that (1) state law requires HHSC to comply with rule-making requirements whenever it adopts a “change in policy”; (2) HHSC adopted a “change in policy” when it decided to carve-in the prescription drug benefit into Medicaid managed care; and (3) HHSC failed to comply with rule-making requirements when it made the decision to adopt this change in policy. Though it agreed with these arguments by APRx, the Court found APRx did not have the power to sue for HHSC’s non-compliance.

APRx Legal Defense Fund

Stand Up & Join the Fight Help APRx Legal Defense Fund Reach Its $250,000 Goal APRx is proud to be a 100% member-owned cooperative and the PROVEN LEADER of legislative, legal, and regulatory initiatives to defend Texas independent pharmacy. Our lawsuits are critical to protect your business model, but they are costly and we need your help. Please support us by contributing to the APRx Legal Defense Fund (LDF).

To contribute by check, please mail donations to: APRx Legal Defense Fund, 802 N. Carancahua St., Suite 1830, Corpus Christi, TX 78401. To donate online by credit card, go to: www.aprx.org | Issues & Advocacy | Support GPAC.

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APRx Inching Closer to Open Trial in CVS RICO SuitAPRx is slowly moving closer to an open trial in its landmark 2010 lawsuit against CVS Caremark that alleges RICO viola-tions and trade secret misappropriation (RICO = Racketeer Influenced & Corrupt Organizations Act).

In February 2013, the 5th U.S. Circuit Court of Appeals rejected CVS-Caremark’s appeal of a Feb. 11 federal court ruling that most of our RICO lawsuit against CVS must be heard in open court. CVS Caremark has continuously sought to send the entire case to arbitration to keep the suit out of the public eye. CVS-Caremark elected not to appeal the 5th Circuit ruling to the U.S. Supreme Court, meaning the case will now proceed to open trial on the merits of the issues.

On September 13, APRx dismissed Caremark LLC as a defendant in the lawsuit to avoid arbitration and to proceed directly against the remaining defendants. CVS opposed that action, and during an October 2 status conference on the issue, U.S. Magistrate Judge Nancy Johnson ordered both parties to submit briefs before ruling on the matter. Judge Johnson expressed her belief that any ruling involving the three parent company defendants would need to interpret contractual provisions in the Caremark LLC provider manual. As such, she stated that all such issues should be first arbitrated.

CVS’s opposition brief was due by Nov. 5. Johnson’s ruling on the matter will be in the form of a recommendation to U.S. Dis-trict Judge Gregg Costa, which he can either accept or reject.

The class-action suit was filed in September 2010 by six APRx board members on behalf of all non-CVS pharmacies. The lawsuit alleges that CVS Caremark violates the firewall between its retail pharmacy and PBM entities as required by the Federal Trade Commission when it approved the CVS-Caremark merger in 2007. Instead, the lawsuit alleges, the combined company built an information technology platform that straddles all its business segments, capturing in-depth patient data for market-ing and other purposes in violation of HIPAA patient privacy laws, resulting in the misappropriation and misuse of independ-ent pharmacy data for the benefit of CVS Pharmacy stores.

The plaintiff pharmacies are asking the court for the following relief on behalf of all non-CVS pharmacies:1. That CVS Caremark refrain from violating the privacy rights of patients; and2. That CVS Caremark not use patient information against the pharmacy that supplied it: the plaintiffs claim CVS Care-

mark uses this information to obtain new customers and to scout and acquire new pharmacy locations.

High Court to Decide Outcome of Suit Challenging Preferred Rx Networks American Pharmacies has petitioned the U.S. Supreme Court to reverse the decision of the Fifth U.S. Circuit Court of Appeals in the federal lawsuit APRx filed against CMS to stop the use of illegal preferred pharmacy networks in Medicare part D plans.

APRx contends that the Fifth Circuit’s May 1 decision erroneously interprets Medicare law as prohibiting APRx’s claims and erroneously requires APRx to prove that it cannot find and recruit four or more Medicare Part D patients – each taking the identical expensive prescription drug and each willing to sue CMS on APRx’s behalf. The High Court has never required such a stringent qualifying standard to sue to challenge a Medicare regulation.

APRx filed its federal suit in July 2011 against the U.S. Department of Health and Human Services and CMS for allowing illegal, anti-competitive, preferred pharmacy networks that violate the Medicare Act’s mandate for fair competition. The APRx lawsuit asserts that CMS’ preferred network model violates Congress’ Any Willing Pharmacy Requirement by allowing preferential treatment of some in-network pharmacies. For example, the Humana Walmart Preferred network allows Walmart pharmacies to charge lower co-payments for drugs than non-preferred pharmacies in the same network are allowed to charge.

“The Preferred Pharmacy Rule illegally stifles competition by giving an inherent advantage to a single provider,” APRx President Mike Gohlke said. “It literally stacks the deck against us by limiting our ability to compete.”

The suit asked the federal court to declare the Preferred Pharmacy Rule illegal and order it set aside. In December 2011, U.S. District Judge Nelva Gonzales Ramos held that her court lacked jurisdiction to hear APRx’s claims. APRx appealed that ruling to the U.S. 5th Circuit Court of Appeals, which denied the appeal in May.

APRx is convinced that we have a strong appeal, but there is no guarantee that the U.S. Supreme Court will hear the case. Because its accepts only 75-80 petitions from the 10,000+ it receives annually, many cases of merit are not heard by the court.

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3 At-Large Directors Named to TPBC Board Geographic Representation Improves With Trio From Corpus Area, Longview & San Angelo

Three at-large members of American Pharmacies have been appointed to two-year terms on the Texas Pharmacy Business Council Board of Directors. The three new directors are pharmacy owner and advocacy leader Bill Moore of Sinton; San Angelo pharmacy owner Doug Eakman and Longview pharmacy owner Mike Pemberton.

The other members of the TPBC Board are Chairman Bruce Rogers, R.Ph., of Victoria; Vice Chairman Mike Muecke, R.Ph., of Bay City; Ray Carvajal, R.Ph., of San Antonio; and Joe Ochoa, R.Ph., of Edinburg.

Moore is a familiar face to Texas independents. A 50-year veteran of independent pharmacy, he has owned and operated Moore’s Pharmacy in Sinton since 1965 and also owns pharmacies in Corpus Christi and Bee-ville. A graduate of the University of Texas School of Pharmacy, he is a past president and board member of Texas Pharmacy Association, and past chairman and board member of TPA’s then-Academy of Independent Pharmacists.

He has testified multiple times before the Texas Legislature and State Board of Pharmacy, and has traveled to Washington to meet with members of Congress.

San Angelo native Doug Eakman has been an independent pharmacy owner for 40+ years. A graduate of the University of Houston College of Pharmacy, he is CEO of Pecos Street Pharmacy Inc., which operates Medical Arts Pharmacy and Medi-Mart Pharmacy in San Angelo. His father, Chick, started Medical Arts in 1957. His wife, Mary – also a UH pharmacy grad – is pharmacist in charge at Medi-Mart Pharmacy.

Doug has served on the board of the West Texas Pharmacy Association for more than 20 years, and is cur-rently WTPA’s treasurer. He is also a board member for First Financial Bank San Angelo.

Mike Pemberton R.Ph., is a graduate of the UH College of Pharmacy and serves on the Dean’s Advisory Council. Mike and his wife, Jeannie, purchased Louis Morgan Drug #1 in 1975 and he still serves as president and pharmacist in charge at the Longview pharmacy. He is a former director and vice-chairman of the then-Academy of Independent Pharmacies at Texas Pharmacy Association and is past-president of the East Texas Pharmacy Association.

Mike also serves as a board member of Data Rx Management, Inc. He has been a member and advisor on many pharmacy boards throughout his career.

TPBC Executive Director Michael Wright said the three new directors add vital experience and political skills to the Board.

“Bill Moore has been a champion of Texas pharmacists for decades,” Wright said. “And Doug Eakman and Mike Pemberton are proven spokesmen for independents in their areas of the state. We are excited to move forward with a strong lineup of com-mitted leaders who have a strategic outlook on advocacy.”

After hearing hours of testimony, the Texas State Board of Pharmacy decided earlier this month not to eliminate the current 1:3 pharmacist-technician ratio and to recommend instead a 1:4 ratio in Class A & B pharmacies and 1:8 in Class G pharma-cies. The Board also appointed a task force to study technician duties and education requirements.

New proposed rules for the two ratios will be published in the December 2013 Texas Register and will be open for public comment. The Board will take up the proposed rules at its February 2014 meeting.

TPBC opposed the elimination of the current ratio for Class A & B and instead recommended a 1:4 ratio. In his testimony, TPBC Executive Director Michael Wright outlined TPBC’s opposition on the grounds of patient safety, as did new TPBC Board member Bill Moore, who pointed that no study has been done to document the need or to assess the risk of increased errors.

Both TPBC and American Pharmacies submitted letters opposing elimination of the ratio and advocating an interim change to 1:4 pending further study on the issue. At TPBC’s urging, State Sens. Charles Schwertner, R.Ph.; Leticia Van de Putte, R.Ph.; and Jane Nelson wrote letters aligned with TPBC’s position, as did Texas Pharmacy Association and NCPA.

Bill Moore, R.Ph.

Doug Eakman, R.Ph.

Mike Pemberton, R.Ph.

State Board Moves Toward TPBC-Backed 1:4 Technician Ratio

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Join the Fight. Support GPAC. These are critical times for independent pharmacy and the patients we serve. Powerful, well-funded PBMs are using managed care to limit the scope of pharmacy practice, cut payments, stifle competition and restrict patient choice. These issues are shaped by elected leaders — many new in office — who usually don’t understand your profession or your business model.

GPAC is the political action committee of American Pharmacies. Contributions to GPAC are used for: Financially aiding legislators and candidates who understand community

pharmacy’s vital role and support our issues; Helping elected leaders understand how their decisions affect the

economic and competitive welfare of independent pharmacy; Holding events to recognize and support the legislative friends of Texas

community pharmacy; and Educating APRx members and other community pharmacists about the

impact of the political process on our business model.

It’s Easy to Contribute to GPAC Just fill out the pledge form below and send it to APRx. You can contribute immediately by check or credit card, or specify a donation amount to be withheld from your annual APRx shareholder dividend/rebate payment. However you pay, you are doing your part to ensure the economic viability of independent pharmacy in meeting patient needs.

YES ─ I Will Contribute:

802 N. Carancahua St., Suite 1830 Corpus Christi, TX 78401 877-634-5445 Toll Free

Fax: 361-887-6111 www.aprx.org

GPAC Get Involved Today to Protect Your Business Model, Fair Competition And Patient Rights

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Generic Edge Helps You Manage Price VolatilityAfter several years of broad-based price declines that have averaged more than 10% a year, price inflation is increasingly rearing its ugly head in the expanding generic drug market.

According to an analysis published recently by Drug Channels, about one-third of all generic drugs in the U.S. market have risen in price over the past 12 months, some of them astronomically. Prices for a select few -- such as doxycycline tablets and capsules, albuterol sulfate tablets and clomipramine capsules -- have soared by margins of 2000% to 6000%+ from November 2012 to November 2013.

Although many factors are at play, the primary trigger for generic in-flation has been growing supply shortages. Also, the steep discounts common in the generic market from increased utilization of new generic drugs is slowing as patent expirations slow considerably from 2012, the so-called year of the “patent cliff.”

APRx launched its Generic Edge program in July to keep you abreast of product supply developments, impending price increases and great buy-ing opportunities that we identify in prescription and OTC products with our two wholesalers -- AmerisourceBergen and McKesson.

Our Vice President of Generics, John Cooper, works hard daily to analyze market and supply developments to identify buying opportu-nities to save you money and to insulate your margins against rapidly rising generic costs while MAC prices adjust.

Our Generic Edge web page and our Generic Insider email alerts bring you vital economic information about:

■ Product shortages that are likely to result in price increases;■ Generic product launches & projected discounts from brand;■ Pricing trends & dynamics that indicate wholesale cost in-

creases are likely;■ Price decreases by one or both wholesalers; and

Quickly shifting prices in the generics market mean that buying op-portunities may appear and disappear suddenly, so always place or-ders through your wholesaler as quickly as possible to take advantage.

On average, it takes more than 37 days for MACs to be adjusted for reimbursements when there is a generic price increase, and it often can take longer. If we identify that a price increase is imminent on a particular generic product, we recommend that you protect your mar-gins by purchasing enough inventory to carry you through this period of lagging reimbursement.

To learn more about the Generic Edge program, contact your APRx sales representative. You can also visit our Generic Edge web page at www.aprx.org/business-center/aprx-generic-edge for important news about generic price trends, upcoming generic launches and patent expirations, and password-protected information on projected 2013-14 price increases on branded drugs.

How to Access Your NewAPRx Member Account❶ Click on the red log-in button at the top right of

the home page at www.aprx.org.

❷ For user name, enter the email address at which you receive communications from APRx. Your default password is aprX_teMp@1 (characters are case-sensitive). Click the red log-in button.

❸ Logging in takes you to your profile screen, which displays your name and stockholder information, log-in information and GPAC/Legal Defense Fund contributions. First, change your password to something secure and unique, and be sure to keep a record of it hidden away.

❹ Clicking on the “My Pharmacies’” tab takes you to a screen listing each pharmacy you own. You can click on the pharmacy name(s) to edit/up-date the address and contact data for each.

❺ Clicking on the “Directory’” tab takes you to a searchable alphabetical list of APRx members.

❻ Need help with logging in or have a question about using your member account? Just send an email to [email protected] for assistance.

APRx will continue to add capabilities and functions to our website to bring you more news, resources and usable data about your business.

Expert Legal & Business AdviceFrom hiring and firing employees to surviving on-site audits to understanding new HIPAA guidelines, we’ve got expert business and legal articles on keeping your business running as smoothly as possible. Find it all under the Busi-ness Center pull-down tab at www.aprx.org.

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Not even the drenching downpours that chased golfers off the TPC San Antonio courses Friday afternoon could dampen the enthusiasm of the 300+ attending our 2013 Shareholder Retreat, held Sept. 21-22 at the J.W. Marriott San Antonio Hill Country Spa & Resort.

Pharmacists from Texas, New Mexico, Louisiana and Mississippi connected with friends and colleagues, played golf, learned important information, picked up CE hours and enjoyed the many attractions of the J.W. Marriott. The meeting received major funding support from AmerisourceBergen and McKesson.

Total attendance jumped by 75+ from the 2012 event, with about 150 independent phar-macies represented, up from 120. The 2013 event offered expanded CE offerings and special activities for spouses and kids.

Special guests of APRx at the event were Lamar Pritchard, dean of the University of Hou-ston College of Pharmacy; Executive Director Joe DaSilva of Texas Pharmacy Association; and Executive Director Peter Stokes of the Mississippi Pharmacists Association.

More than 70 attendees took to the TPC San Antonio courses on Friday for a foursomes tournament, but heavy rain chased all but a few stalwarts off the fairways. Friday afternoon, APRx VP for Generics John Cooper gave a CE session on the dynamics of the generic drug market. The first day ended with an even-ing reception with vendors in the Exhibit Hall.

APRx VP of Sales Laird Leavoy welcomed attendees Saturday morning, then gave way to Outside Legal Counsel Miguel S. Rodriguez of Taylor Dunham LLC for a CE session on APRx’s legal initiatives, including the landmark RICO lawsuit against CVS Caremark. After the session, Rodriguez and APRx Legal Counsel Amanda G. Fields gave an important update on the Sept. 1 imple-mentation of the MAC transparency and audit reform bills passed by TPBC.

TPBC Executive director Michael Wright conducted a CE session on TPBC’s highly successful legislative session, followed by a shareholder update conducted by Leavoy, Cooper and Communications Director Chuck Waters. After lunch with vendors in the Exhibit Hall, attendees could take the afternoon off or attend a repeat of the CE session on generics.

The intermittent heavy rain and forboding skies lingered through midday Saturday, but a cold front swept away the clouds and left cool, clear and starry skies for the Saturday night banquet, held outside on the Marriott Lawn. Almost 200 gath-ered for an evening reception, then feasted on sea bass, lobster, prime rib, roast chicken, salads, side dishes and desserts. Afterward, many danced under the stars to the eclectic sounds of the Fletcher Goodman Band.

As always, both the conference and the hotel received high marks from attendees. Be sure to mark your calendars for next year’s Shareholder Retreat, to be held at the same hotel on September 26 & 27, 2014. Early registration starts in November!

Attendance Jumps at Shareholder Retreat Golf, Expanded CE, Networking & Hotel Attractions Lure 300+ to J.W. Marriott in San Antonio

Mark Your Calendar: 2014 Shareholder Retreat Sept. 26-27, 2014

Above: APRx President Mike Gohlke (right) with UH Pharmacy Dean Lamar Pritchard and his wife, Judy. Right: Board member Vance Oglesbee (far right) with (R-L) TPBC Consultant Greg Herzog, TPA Executive Director Joe DaSilva and TPBC Executive Director Michael Wright.

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Welcome to Our Newest Preferred Vendors

To survive and thrive, independent pharmacies must find profitable new revenue channels; improve connec-tivity with patients, suppliers and payers; and carefully manage expenses. American Pharmacies has nego-tiated agreements with leading companies to offer you high-quality resources to address all these needs.

The American Pharmacies Preferred Vendor designation is your guarantee that a company meets our high standards for top-quality products and service, value and commitment to our members.

APRx CAPS provides a comprehensive approach to inde-pendent pharmacy’s need for reliable assistance with third-party audits and audit prevention training.

For just $290 a year, you’ll receive step-by-step assistance in dealing with audits -- everything from on-call phone coun-seling, drafting correspondence for the stores, assisting in appeals to on-site assistance.

As an APRx CAPS member, you will receive: ■ The Monthly Maze newsletter with relevant, contem-

porary articles and information about audits.■ Pharmacy Manual – Provides vital information to

help you prepare for audits, prevent audits and miti-gate potential recoveries by PBMs and processors.

■ Rescheduling Service –There are times when the dates or deadlines are inconvenient or interfere with your operations and even unplanned occurrences in the pharmacy.

■ Audit Specialist and Consultation Line –A toll-free phone number has been provided for your conveni-ence: 1-855RxAudit (855-792-8347).

■ Audit Report Review. ■ Pharmacy Training & Education – APRx CAPS will

offer customized training suggestions based on data compiled from your actual audit experiences.

■ Pharmacy Advice and Audit Assistance – All mem-ber pharmacies have access to an Audit Specialist, who will give advice and assistance for all aspect of an audit and training.

■ Mediation with Third-Party Auditors.

Don’t know what to say or ask for when dealing with a third-party payor during an audit? CAPS’ experienced experts know what to ask and how to say it on your behalf.

APRx CAPS will empower your pharmacy to take control with training & preventive steps. Call 855-792-8348 (toll-free) today to get started

with their friendly, expert staff.

RelayHealth’s Pharmacy’s solutions suite manages the na-tion’s largest pharmacy network, providing essential health-care connectivity to retail pharmacies, pharmaceutical manufacturers and payers.

Managing prescription claims and reimbursements can be a complex and time-consuming process that distracts your staff from providing quality customer service. But what if you could increase reimbursement accuracy while also improv-ing pharmacist workflow and efficiency?

With RelayRx™ Reimbursement Performance from Relay-Health, your pharmacy can:

■ Improve accuracy of third-party reimbursements by using multiple claims auto-edits built specifically for community pharmacies. This includes identifying and reporting on instances where the AWP has increased on claims that were paid using outdated prices.

■ Support patient adherenceby providing prescription co-pay assistance to your patients - at no cost to your pharmacy.

■ Help prevent medication errors & improve wellnessby notifying your staff of manufacturer alerts or poten-tial adverse drug interactions and facilitating compli-ance with REMS guidelines.

■ Help improve workflow & efficiency by automating the prior authorization (PA) request process, so your staff spends more time focusing on patient needs and less time on PA paperwork.

Reimbursement Performance will give your pharmacy the tools to improve patients’ experience, maximize reimburse-ment accuracy, and improve patient safety and audits.

SPECIAL OFFER:The first 100 pharmacies that enroll in the RelayRx Reim-bursement Performance Program by Dec. 13, 2013, will receive $50 off their first-month invoice.

Call RelayHealth Solutions Advisor Kim Cleary at 1-800-225-5632 ext. 2284, or email

[email protected]: Kim Cleary

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APRx

What Our Members Say About American Pharmacies & TPBC

Your APRx Sales Team

Laird LeavoyVP, Sales & Operations817-296-2710 | [email protected]

Ryan Gevara Sales Director956-245-7971 | [email protected]

Chris BenestBusiness Development Manager903-244-4480 | [email protected]

John Foley Business Development Manager972-369-6104 | [email protected]

Nathan RawlsBusiness Development Manager956-497-9823 | [email protected]

Marissa LansfordBusiness Development Manager806-786-7478 | [email protected]

American Pharmacies802 N. Carancahua, Suite 1830Corpus Christi, Texas 78401

877-634-5445 Toll FreeFax: 361-887-6111www.aprx.org

APRx

“When you protect independent pharmacy, you protect the entire profession of pharmacy. These legislative victories would not be possi-ble if you didn’t have the caliber of people you

do on your staff and board of directors.”

Ron GarzaDeLeon’s Pharmacy, Corpus Christi

President, Coastal BendPharmacy Association

APRx Legal Team Has Diverse Expertise From taking on important lawsuits in federal court to consulting on TPBC’s legislative efforts to helping members navigate audit, MAC and insurance issues, the APRx legal team keeps busy defending independent pharmacy. APRx General Counsel Amanda G. Fields and APRx Outside Legal Counsel Miguel Rodriguez are involved in a variety of activities:

u Arguing APRx’s lawsuits addressing CVS Caremark, preferred networks and Medicaid managed care;

u Helping draft and negotiate TPBC’s successful MAC and audit reform bills;u Giving advice on responding to MedImpact collection efforts; andu Helping members with difficult audit situations

Questions or problems? Contact the Legal Team at [email protected] or [email protected].

On the Move APRx Value & Message Resonating Well Beyond TexasAPRx has built a strong rep-utation as the leading force fighting for the independent pharmacy business model in Texas. It was inevitable that word of our economic, legal and legislative strength spread from the Lone Star State.

APRx now is nearing 40 stockholder members in Louisiana, Oklahoma and New Mexico, and we are expecting many more.

“TPBC is passing bills that benefit all us independents and working hard at HHSC and other state agencies to win some badly needed regulatory chang-

es as well. I’m proud to be part of an organization that is so successful on our behalf and does it in such a positive, proactive way.”

Bill Moore Moore’s Pharmacy, Sinton, TX


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