Anthem Responds to U.S. District Court’s Decision on Acquisition of Cigna
INDIANAPOLIS–(BUSINESS WIRE)–Feb. 9, 2017– Anthem, Inc. (NYSE: ANTM) today commented on the decision by the U.S. District Court for the District of Columbia granting the Department of Justice’s request to block Anthem’s proposed acquisition of Cigna Corporation (NYSE: CI). The company promptly intends to file a notice of appeal and request an expedited hearing of its appeal to reverse the Court’s decision so that Anthem may move forward with the merger, which was approved by over 99% of the votes cast by the shareholders of both companies.
“Anthem is significantly disappointed by the decision as combining Anthem and Cigna would positively impact the health and well-being of millions of Americans – saving them more than $2 billion in medical costs annually,” said Joseph R. Swedish, Chairman, President and Chief Executive Officer, Anthem. “Anthem has been a leader in providing individuals with access to high quality, affordable healthcare. Our decision to acquire Cigna is grounded in our commitment to this goal and to leading our industry during this period of dynamic change. If not overturned, the consequences of the decision are far-reaching and will hurt American consumers by limiting their access to high quality affordable care, slowing the industry’s shift to value based care and improved outcomes for patients, and restricting innovation which is critical to meeting the evolving needs of healthcare consumers. Moving forward, Anthem will continue to work aggressively to complete the transaction while remaining focused on serving as America’s valued health partner, delivering superior health care services to our approximately 40 million members with greater value at less cost.”
Federal court blocks Anthem-Cigna health insurer merger citing anti-trust
February 8, 2017
SACRAMENTO, Calif. – Today California Insurance Commissioner Dave Jones issued the following statement following the federal court decision blocking the proposed Anthem-Cigna merger:
“Today’s federal court decision to block the merger of two of the nation’s largest health insurers is a significant win for consumers who need more choice, not less, in an already highly concentrated health insurance market. Bigger was definitely not better when it comes to the Anthem-Cigna merger.
Last year I held an extensive public hearing on the proposed merger. After reviewing all the evidence, I concluded the Anthem-Cigna merger was bad for consumers and businesses, and bad for health insurance and health care markets. I issued detailed findings of fact and law and urged the U.S. Department of Justice to sue to block this merger because it is anti-competitive and would harm California consumers, businesses, and the California health insurance market.
Allowing a merger between two of the largest health insurers in the country would have increased the price of health insurance, and decreased choice and the quality of healthcare for consumers and businesses. I am very pleased the federal district court entered a decision consistent with my findings and legal conclusions that the Anthem-Cigna merger is anti-competitive.
Competition helps restrain prices, provides choice, and improves quality. The Anthem-Cigna merger would have reduced competition in a market already dominated by just a few health insurers.”
Insurance Commissioner Dave Jones