Eli Lilly in Zyprexa discussions

Eli Lilly has announced it is in “advanced” discussions to conclude the ongoing investigations being led by the US attorney’s office for the eastern district of Pennsylvania relating to past practices for the medication Zyprexa.

As a result of this, it states, it will record a charge of $1.415 billion (869.91 million pounds) in the third quarter of this year.

This equates to $1.29 per share.

Lilly states it has now incorporated an enhanced compliance programme which is designed to ensure the company’s global promotional and marketing practices are in full compliance with all laws and regulations.

Robert A Armitage, senior vice-president and general counsel for Lilly, states the company’s compliance programmes are “comprehensive” and demonstrate that compliance is a “top priority” for it.

He adds: “The government’s investigation of Zyprexa has been ongoing for five years and we now have a heightened sense of responsibility to all our stakeholders to intensify efforts to resolve these issues.”

Mr Armitage states moving discussions with the government forward is a step towards focusing Lilly on delivering high-quality, innovative medicines to serve unmet medical needs.

In recent days, Douglas Oberhelman was elected to Lilly’s board of directors.