USA —California Governor Gavin Newsom has announced the withdrawal of a US$54 million contract with Walgreens, a major pharmacy chain after it was revealed that the company would not sell an abortion pill by mail in certain conservative-led states.
The contract had been for the purchase of specialty pharmacy prescription drugs for California’s prison health care system, including antiviral and antifungal drugs and medication for congestive heart failure, and had provided Walgreens with approximately US$54 million.
The contract was set to expire on April 30, but Newsom ordered state officials not to renew it.
In response to the controversy, Newsom’s office stated that the state will purchase the needed drugs elsewhere.
Governor Newsom also emphasized his commitment to protecting reproductive rights, stating that “California will not stand by as corporations cave to extremists and cut off critical access to reproductive care and freedom.”
Newsom also stated on Twitter that California would not do business with “any company that cowers to the extremists and puts women’s lives at risk.”
He further noted that the state, which is on track to be the fourth largest economy in the world, would use its market power to defend the right to choose.
Walgreens has since issued a statement indicating its plan to dispense the abortion pill, called mifepristone, in jurisdictions where it is legally permissible to do so.
Walgreens also emphasized its commitment to providing legally approved medications to patients and to serving the communities in which it operates.
Mifepristone is a pill used to end early pregnancy, approved for use by the U.S. Food and Drug Administration (FDA) in 2000 for pregnancies up to 10 weeks.
Today, medication abortions are the most common abortion method in the U.S. with more than half of all abortions in the U.S. done using pills, according to the Guttmacher Institute, a research group supporting abortion rights.
However, the use of mifepristone and other abortion pills has become a highly contested issue in the U.S., especially after the U.S. Supreme Court overturned federal protections for the right to an abortion in 2020.
This has led to increased attacks on abortion pills, with bills targeting them and a pending lawsuit in Texas seeking to revoke FDA approval of mifepristone.
More than a dozen states have since passed restrictions on the use of abortion pills, with these laws being challenged in court.
Attorneys general from 20 states, mostly with Republican governors, have warned pharmacy chains Walgreens and CVS that they could face legal consequences if they sell abortion pills in their states.
In response, Walgreens confirmed that it would not dispense the drug in these states.
Retail pharmacies have found themselves in a difficult position amidst the ongoing abortion debates in the U.S.
While some pharmacies have faced controversy and legal challenges for refusing to stock or dispense certain medications, such as emergency contraceptives, others have been targeted for providing access to abortion pills.
Many companies are wary of getting involved in politically charged issues, particularly in states where they may face reprisals from lawmakers or customers.
As a result, some retail pharmacies have been hesitant to take a clear position on abortion and related issues.
This reluctance to take a stand has been compounded by the fact that GOP leaders have recently targeted businesses for their political stances.
Companies ranging from Disney to investment funds have faced criticism and boycotts from Republican lawmakers and supporters, leading some businesses to try to avoid controversy whenever possible.
Overall, the abortion debate in America has created a difficult situation for retail pharmacies, which must balance the demands of customers, regulators, and lawmakers, while also trying to maintain their bottom line and avoid political controversy.
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