DUBLIN, Ohio, December 23, 2016 — Cardinal Health, a global healthcare services and
products company, today announced that it has reached a nationwide settlement with the federal
government, resolving the outstanding civil penalty portion of the company’s 2012 administrative
settlement with the U.S. Drug Enforcement Agency (DEA). The 2012 settlement resulted in a two
year suspension of Cardinal Health’s registration to distribute controlled substances from its
Lakeland, Fla. distribution center, but did not at the time resolve the Government’s civil penalty
claims.
Under this settlement, Cardinal Health has agreed to pay $44 million to the Department of Justice
(DOJ) to resolve this matter. The DOJ, including the DEA and the United States Attorneys’ Offices
for the M.D. Florida, the Southern District of New York, the District of Maryland, and the W.D.
Washington and all other districts across the country have agreed to take no further administrative
or civil action on these and related matters. Cardinal Health had previously disclosed the civil
fines claims and a related accrual of $44 million in its public securities filings.
“These agreements allow us to move forward and continue to focus on working with all
participants in addressing the epidemic of prescription drug abuse,” said Craig Morford, Chief
Legal and Compliance Officer, Cardinal Health. “To combat the scourge of opioid abuse
successfully, this must be a collaborative effort that includes all parties -- the regulators, who set
and license supply; the manufacturers, who produce medications; the physicians, who treat
patients and prescribe medications; and the pharmacists, who fill those prescriptions. Collectively,
we must focus on combatting the ever-changing tactics employed by those determined to divert
medications for illegitimate use. Cardinal Health is committed to working with both public and
private partners to do our part and find solutions.”
Cardinal Health employs a large organization dedicated to maintaining and continuously
improving a sophisticated anti-diversion program that includes advanced analytics, technology,
and the deployment of teams of anti-diversion specialists and investigators embedded within our
supply chain. The company also sponsors and leads numerous efforts used for education and
prevention of abuse, including our Generation Rx program which has reached more than 600,000
people across the country.
About Cardinal Health
Cardinal Health, Inc., a global health services and products company, brings scaled solutions that
help our customers thrive in a changing world. We improve the cost-effectiveness of healthcare
through solutions that improve the efficiency of the supply chain; optimize the process and
performance of healthcare; provide clinically proven, daily use medical products and pharmaceuticals; and connect patients, providers, payers, pharmacists and manufacturers for
seamless care coordination and better patient management. Backed by nearly 100 years of
experience, we rank among the top 50 on the Fortune 500 and among the Fortune Global 100. We
support our partners with more than 37,000 employees in nearly 60 countries worldwide. For more
information, visit cardinalhealth.com and @CardinalHealth on Twitter.
SOURCE Cardinal Health
Media: Ellen Barry, (614) 553-3858, ellen.barry@cardinalhealth.com or Investors: Lisa Capodici, (614) 757-5035, lisa.capodici@cardinalhealth.com