Big Employers Join Forces in Effort to Negotiate Lower Drug Prices - To slow the rising cost of health coverage, 50 of the country’s largest employers are creating a buyers’ club to bargain directly with drug makers. [New York Times Healthcare News] I couldn’t help noticing that while many Medicaid programs pay AWP minus 10%, the price at the drugstore (for the example mentioned in the article) was below that price. This is why State’s have been suing drug manufacturers for price fraud. The manufacturers are required to give Medicaid the lowest rate. If everyone is paying less than Average Wholesale Price, AWP must not be the actual average price. I expect we’ll see more lawsuits and hundreds of millions of dollars being recovered by Medicaid programs.