Q -- HRSA 340B Prime Vendor Agreement

In accordance with HRSA 340B Prime Vendor Agreement, Section VIII, Terms effective September 10, 2004, the Agreement will be extended, through the exercise of Option Year Two, by one year (September 10, 2007 through September 9, 2008). HRSA’s 340B Prime Vendor (PV), Health Purchasing Partners International, has brought significant value to participating 340B safety-net hospitals and clinics during the first three years of the five year agreement with HRSA by performing tasks under the agreement, such as , negotiating for over 2600 brand and generic drug prices at 1 to 90 percent below the statutory 340B ceiling price, with an average of 17 percent below ceiling; negotiating drug wholesale distributor agreements with 12 national and regional distributors, including specialty wholesalers to address the special needs of smaller clinics for an average 7 percent reduction in distribution costs; and negotiating “other value added products and services” that include such items as vaccines, diabetic meters and strips and rapid HIV Test kits. THIS ANNOUNCEMENT IS NOT A NOTICE OF SOLICITATION