NEW YORK (AP) — Pfizer will book a charge of nearly $785 million after its Wyeth subsidiary reached a deal to resolve some litigation over the calculation of Medicaid rebates for its severe heartburn treatment Protonix.
The deal will resolve cases pending in federal court that centered on Wyeth's practices related to the rebates between 2001 and 2006, a few years before Pfizer acquired the drugmaker in 2009. Wyeth does not admit liability as part of the deal.
Pfizer says it is reissuing its fourth quarter and full-year results to reflect the charge, but adjusted results will change.
Pfizer Inc. also paid $55 million a few years ago to resolve allegations that Wyeth promoted Protonix for uses that were not approved by the Food and Drug Administration.
Pfizer shares are rising in premarket trading Tuesday.