Amgen 2010 Annual Report Download - page 167

Fiduciary Committee. Pursuant to the parties’ stipulation, the Ramos matter has been stayed pending the outcome of
the Harris matter appeal. Oral argument before the Ninth Circuit on the plaintiffs’ appeal of the California Central
District Court’s dismissal of the plaintiffs’ claims occurred on May 8, 2009. On July 14, 2009, the Ninth Circuit
reversed the California Central District Court’s decision and remanded the case back to the district court. In the
meantime, a third ERISA class action was filed by Don Hanks on June 2, 2009 in the California Central District
Court alleging the same ERISA violations as in the Harris and Ramos lawsuits.
On October 13, 2009, the California Central District Court granted plaintiffs Harris’ and Ramos’ motion to be
appointed interim co-lead counsel. Plaintiffs filed an amended complaint on November 11, 2009 and added two
additional plaintiffs, Jorge Torres and Albert Cappa. Amgen filed a motion to dismiss the amended/consolidated
complaint on December 16, 2009. Plaintiffs filed their opposition on January 19, 2010. The motion to dismiss was
argued on February 11, 2010. On March 2, 2010, the California Central District Court dismissed the entire lawsuit
without prejudice. Plaintiffs filed an amended complaint on March 23, 2010. Amgen then filed another motion to
dismiss on April 20, 2010. On June 16, 2010, the California Central District Court entered an order dismissing the
entire lawsuit with prejudice. On June 24, 2010, the plaintiffs filed a notice of appeal with the Ninth Circuit.
Petitioner’s opening brief was served on December 20, 2010 and Amgen’s answering brief was filed on February 2,
2011. No date has been set for oral argument.
Third-Party Payers Litigation
On June 5, 2007, the United Food & Commercial Workers Central Pennsylvania and Regional Health &
Welfare Fund v. Amgen Inc. (the “United Food Matter”), on June 7, 2007 the Vista Healthplan Inc. v. Amgen Inc. (the
“Vista Healthplan Matter”), on June 14, 2007, the Painters District Council No. 30 Health & Welfare Fund v.
Amgen. Inc. (the “Painters Matter”), on August 8, 2007, the Ironworkers v. Amgen Inc. (the “Ironworkers Matter”),
on August 15, 2007, Watters (State of Michigan) v. Amgen Inc. (the “Watters Matter”), and on August 28, 2007,
Sheet Metal v. Amgen Inc. (the “Sheet Metal Matter”), putative class action lawsuits, were filed by third-party
payers against Amgen in the California Central District Court. In each action, the plaintiff alleges that Amgen
marketed its anemia medicines, EPOGEN»and Aranesp», for “off-label” uses, or uses that are not approved by the
FDA, and claims that, as a result, the plaintiff paid for unwarranted prescriptions. Specifically, the complaints allege
that Amgen promoted EPOGEN»and Aranesp»for: treating cancer patients who are not on chemotherapy; treating
quality of life symptoms associated with anemia, such as fatigue; and reaching hemoglobin targets above the FDA-
approved level. Each plaintiff asserts claims under California’s consumer protection statutes and for breach of
implied warranty and unjust enrichment and plaintiffs seek to represent a nationwide class of individuals and
entities.
On October 29, 2007, in the United Food Matter, the Vista Healthplan Matter and the Painters Matter, a motion
to dismiss and a motion to transfer each of the three cases were heard before California Central District Court. On
November 13, 2007, the United Food Matter was transferred to the U.S. District Court for the Middle District of
Pennsylvania, the Vista Healthplan Matter was transferred to the U.S. District Court for the Southern District of
Florida and the Painters Matter was transferred to the U.S. District Court for the Northern District of Illinois. On
December 4, 2007, the Watters Matter was transferred to the U.S. District Court for the Eastern District of
Michigan. On January 25, 2008, the Ironworkers Matter was transferred back to the U.S. District Court for the
District of New Jersey (the “New Jersey District Court”). On February 4, 2008, the California Central District Court
heard defendants’ motion to dismiss and motion to transfer the Sheet Metal Matter back to the U.S. District Court
for the Middle District of Pennsylvania.
On January 10, 2008, plaintiffs in the United Food Matter brought a motion before the Judicial Panel on MDL
seeking to have the five third-party payer lawsuits consolidated into one MDL case and assigned to the U.S. District
Court for the Northern District of Illinois. Defendants filed an opposition to the MDL consolidation motion on
February 3, 2008.
F-45
AMGEN INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)