The three pharmaceutical firms who manufacture the best-selling erectile dysfunction drugs Viagra, Cialis and Levitra have received a heavy fine after they were convicted of price fixing their drugs in Switzerland.
The Swiss Competition Commission have ruled that the three firms, Pfzier, Eli Lilley and Bayer AG must pay a total f 5.7million francs (or $5.7 million) for breaching Swiss competition law. It has not been revealed how much each company must individually pay.
All the companies refuted the allegation. A spokeperson from Eli Lilley, manufacturers of Cialis, said that the company believed that the public price recommendation for the drug was in line with Swiss competition law, while Bayer released a statement said that they were exploring how they could challenge the fine. Pfizer’s spokeperson said that the firm did not believe the decision would survive a court examination.
The case first came to the public’s attention when the three companies claimed that the cost of the three drugs had risen drastically, leading the SCC to suspect that the suggested prices were far too high.
The Swiss have been watching the case with great interest and the findings of the SCC are likely to cause huge embarrassment to the pharmaceutical firms. With their reputations under threat, they are likely to fight tooth and nail against the fine.