YEMEN.
(HE)
WE'RE ALSO WORKING
NEW DETAILS --
...ON A PROPOSED MEGA
MERGER --- INVOLVING
WOONSOCKET-BASED C-
V-S HEALTH.
(M)
AS WE FIRST REPORTED
YESTERDAY -- THE
PHARMACY CHAIN PLANS
TO PURCHASE INSURANCE
GIANT "AETNA" FOR 69
BILLION DOLLARS ...
A MOVE WHICH WOULD
CREATE THE COUNTRY'S
THIRD LARGEST COMPANY
-- RIGHT HERE IN RHODE
ISLAND.
(HE)
EYEWITNESS NEWS
REPORTER KIM KALUNIAN
HAS BEEN WORKING THE
STORY ALL DAY.
SHE JOINS US LIVE NOW
WITH NEW DETAILS ON
WHAT THE DEAL COULD
MEAN FOR SOUTHERN
NEW ENGLAND.
(KK)
WELL THE DEAL HAS A
HUGE STICKER PRICE, 69
BILLION DOLLARS -- BUT
HOW THIS MERGER WILL
IMPACT YOUR WALLET --
WILL REMAIN TO BE SEEN.
Wherever we could save money
that's great
CVS SHOPPERS LIKE CHERI
MACEDO HOPEFUL THE
ANNOUNCED MERGER
BETWEEN THE WOONSOCKET
BASED PHARMACY GIANT AND
CONNECTICUT BASED HEALTH
U=INSURER AETNA COULD
MEAN CHEAPER
PRESCRIPTIONS AND
HEALTHCARE SERVICES.
If we can do things that are
more
affordable for people I think
that'd be
great.
IT WILL REMAIN TO BE SEEN
EXACTLY WHAT THE MERGER
COULD DO FOR PEOPLE'S
WALLETS, BUT IN A
CONFERENCE CALL MONDAY
MORNING CVS CEO LARRY
MERLOW SAYS THE MERGER
WILL REVOLUTIONIZE THE
CONSUMER HEALTHCARE
EXPERIENCE ---
Together we plan to build an
entirely new healthcare concept
based on the principles of
making
care easier to use and more
affordable.
CVS SAYS THEY'LL KEEP THEIR
HEADQUARTERS HERE IN
WOONSOCKET -- AND HINTED
THAT NEW JOB
THAT NEW JOBS COULD BE ON
THE HORIZON. CVS ALREADY
EMPLOYS 8,000 PEOPLE IN
RHODE ISLAND -- ROUGHLY
5,300 AT THEIR WOONSOCKET
HQ.
THE MERGER WOULD MAKE
THE COMPANY THE THIRD
LARGEST IN THE US -- BUT IT
STILL REQUIRES APPROVAL
FROM SHAREHOLDERS AND
REGULATORS.
This not the type of merger that
generally deeply concerns
antitrust
regulators.
ROGER WILLIAMS UNIVERSITY
LAW PROFESSOR CARL BOGUS
SAYS THE IDEA OF LOWER
PRICES FOR CONSUMERS
COULD ENTICE REGULATORS
TO FAVOR THE DEAL EVEN
MORE.
The traditional antitrust
doctrine is
very much about consumer prices
and total industry output.
AND THE GOVERNOR
SAYS SHE SPOKE WITH
CVS PRESIDENT AND CEO
LARRY MERLO ..
ABOUT THE DEAL THIS
WEEKEND -- WE'LL HAVE
HER REACTION COMING
UP NEW AT 6. KK EWN.
(M)
RIGHT NOW --
(HE)
NEW AT SIX --- WE'RE
HEARING FROM
GOVERNOR GINA
RAIMONDO, ABOUT C-V-S'
PROPOSED MEGA-
MERGER.
WE REPORTED LAST
NIGHT THAT
WOONSOCKET-BASED C-
V-S HAS REACHED A DEAL
TO BUY HEALTH
INSURANCE COMPANY
AETNA.
THE MERGER COULD PUT
ONE OF THE LARGEST
COMPANIES IN THE
COUNTRY, HERE IN RHODE
ISLAND.
EYEWITNESS NEWS
REPORTER KIM KALUNIAN
JOINS US LIVE FROM
WOONSOCKET WITH WHAT
ELSE THE MERGER COULD
MEAN FOR THE OCEAN
STATE.
MIKE, SHANNON -- CVS
SAYS THEY PLAN TO KEEP
THEIR HEADQUARTERS
RIGHT HERE IN
WOONSOCKET AND
HINTED THAT THERE
COULD BE NEW JOBS ON
THE HORIZON.
Our whole healthcare system
needs
to be changed and maybe this is
the
beginning
CVS SHOPPERS LIKE CHRIS
TOTOLO HOPEFUL THE MERGER
BETWEEN CVS AND
HARTFORD-BASED HEALTH
INSURER AETNA WILL MEAN
CHANGES AND SAVINGS IN THE
HEALTHCARE ARENA --
Together we plan to build an
entirely new healthcare concept
based on the principles of
making
care easier to use and more
affordable.
WHILE THE DIRECT IMPACT ON
CONSUMERS REMAINS TO BE
SEEN, CVS SAYS THEIR
HEADQUARTERS IS STAYING
PUT AND THE DEAL COULD
BRING MORE JOBS HERE TO
WOONSOCKET.
GOVERNOR GINA RAIMONDO
SAYS SHE SPOKE WITH THE
PRESIDENT AND CEO OF CVS
THIS WEEKEND, SAYING IN A
STATEMENT:
If approved, this appears to be
a
move that would significantly
strengthen the positioning of
one of
Rhode Island's most important
companies and could make health
care more affordable and
accessible
in Rhode Island and across the
nation.
THE MERGER WOULD MAKE
CVS THE THIRD LARGEST
COMPANY IN THE US -- BUT
ROGER WILLIAMS UNIVERSITY
LAW PROFESSOR CARL BOGUS
SAYS THAT'S NOT ALWAYS A
GOOD THING FOR WORKERS
OVERALL.
As companies swallow up each
other and we live in a society
with
fewer firms -- larger firms but
fewer
firms -- I think that that
reduces
freedom of choice.
AND WE ALSO ASKED
PROFESSOR BOGUS
ABOUT REGULATORY
APPROVAL FOR THIS
MERGER -- HE SAYS IT'S
NOT THE TYPE OF MERGER
THAT USUALLY RAISES
RED FLAGS FOR
ANTITRUST REGULATORS.
IN ADDITION TO
REGULATORY APPROVAL
THE DEAL WOULD ALSO
NEED STAKEHOLDERS TO
SIGN OFF -- IF THAT
HAPPENS THE SALE IS
EXPECTED TO CLOSE
SOMETIMES IN THE
SECOND HALF OF 2018. KK
EWN.