Has the settlement been approved?

The Court approved the settlement on October 13, 2005, though appeals are possible.

When would I get my payment and how much?

We are unable to estimate when the settlement fund will be distributed and how much each eligible class member will receive.

Why did I receive a Notice in the mail?

If you are a consumer, you received the Notice of Pendency and Proposed Settlement of Class Action, Motion for Attorneys Fees and Settlement Hearing (“the Notice”) because you previously requested documents regarding this class action. If you purchased the brand name drug Relafen® or its generic version nabumetone during the period September 1, 1998 through June 30, 2003, you may be entitled to money as part of the proposed Settlement. You are not being sued.

If you are a Third-Party Payor (“TPP”), you received the Notice as part of a general informative mailing to many Third-Party Payors.

What is the lawsuit about?

Relafen® is a brand name drug of a class of drugs known as non-steroidal anti-inflammatory drug, or NSAID. It is generally prescribed for such conditions as chronic arthritis. A number of consumers and Third-Party Payors (such as insurance companies and employee benefit plans) filed class action lawsuits against Defendants GlaxoSmithKline PLC, SmithKline Beecham Corporation d/b/a GlaxoSmithKline, Beecham Group PLC and SmithKline Beecham, PLC.

The lawsuits allege Defendants used lawsuits against their competitors to keep them from selling low-cost generic versions of Relafen®. Plaintiffs allege that as a result, Defendants could charge much higher prices for the drug and the Plaintiffs paid millions of dollars in overcharges. No question is raised about the safety or effectiveness of Relafen®. Defendants contend that their lawsuits were meritorious and were filed to enforce legitimate patent rights, not to delay generic competition.

Who is part of the Class?

This Settlement covers the following group: All persons or entities in the United States who purchased Relafen® and/or its generic alternatives (known as nabumetone) during the period of September 1, 1998 through June 30, 2003 for consumption by themselves, their families, members, employees, insureds, participants, or beneficiaries (the “Class”).

What are the terms of the Settlement?

In essence, the Defendants will pay the Class $75 million, upon which interest will accrue (“Settlement Fund”) split as follows: $25 million for payments to consumers and $50 million for payments to TPPs, minus $8 million, which has been paid to a certain opt-out group called the Settling Health Plans (“SHPs” or “SHP Group”) in order to resolve their claims. Please see the Notice for more details.

Does this involve the safety or effectiveness of Relafen®?

No. This settlement is solely regarding the cost of Relafen®, not the effectiveness or safety.

How do I know if I am part of the Settlement?

The settlement provides money to people and entities (together called “Class Members”) who paid for any portion of the price of the prescription anti-inflammatory Relafen® or a generic called nabumetone from September 1, 1998 through June 30, 2003, and who qualify under the Settlement. To get a payment, you must fill out a claim form and have it postmarked to the Claims Administrator no later than July 29, 2005. Even though the filing deadline has passed, we encourage you to file a Claim Form as soon as possible as the Judge may accept late claims.

Do I need to submit supporting documentation?

The Class Member does need to submit supporting documentation, some examples of what would be acceptable are an Explanation Of Benefits (EOB) from the insurance company, a note from the doctor, or a receipt.

What kind of supporting documentation can I submit?

Some examples of acceptable types of supporting documentation are an Explanation Of Benefits (EOB) from your insurance company, a note from your doctor, a copy of a prescription bottle label with your name and the date it was filled, or a receipt of payment.

Why is this a Class Action?

In a Class Action, one or more people, called Class Representatives, sue on behalf of people who have similar claims. The people or entities who filed the suit and the people on whose behalf the suit was filed are Class Members. One court resolves the issues for all Class Members, except for those who exclude themselves from the Class.

Who/What is a Third-Party Payor (TPP)?

TPPs include insurance carriers, self-insured organizations that pay for some or all of the purchase price of the prescription for their employees or insureds.

Should I stop taking my Relafen®?

Only upon the advice of your doctor. This settlement does not involve the safety or effectiveness of Relafen® in any way.

Why is there a Settlement?

The Court did not decide in favor of the Plaintiffs or Defendants. Instead, both sides agreed to a Settlement. That way, they avoid the cost and risk of a trial, and the people affected will get compensation. The Class Representatives and the attorneys representing the Class Representatives think the Settlement is best for all Class Members.

What are my choices as a Class Member?

You can file a claim or simply do nothing if you do not want to participate. If you remain a member of the Class, you can fill out a Claim Form and send it to the Claims Administrator. If you meet the requirements of being a Class member, and the minimum purchase amount in certain states, your Claim Form will be approved and you will receive a check that is your share of the Settlement Fund. If you remain in the Class, you will be giving up all other claims against these Defendants in connection with Relafen or any form of nabumetone as fully set forth in the attached release. The release is in necessarily accurate legal language so read it carefully.

What do I have to do to remain a member of the Class?

You will automatically be considered part of the Class unless you opt-out. However, to receive any money from the Settlement, you must fill out a Claim Form and send it to the Claims Administrator postmarked no later than July 29, 2005. Even though the filing deadline of July 29, 2005 has passed, we encourage you to file a Claim Form as soon as possible as the Judge may accept late claims.

How do I Opt-Out?

The deadline to Opt Out has expired. All requests had to be postmarked no later than April 15, 2005 in accordance with the Notice of Pendency and Proposed Settlement of Class Action.

Can I have my own lawyer?

You are represented by the appointed class counsel as listed in the notice, however, you can be represented by your own lawyer for which you will have to pay.

If I stay in the Class and accept the Settlement, what claims am I giving up?

If the Settlement is finally approved by the Court, then the lawsuit will be dismissed. You and all members of the Class will be releasing all claims under federal and state law which you may have against Defendants and others concerning Relafen® as set forth in the full text of the release included on the last page of this Notice.

When does the Court rule on the Settlement?

On September 28, 2005, Judge William G. Young of the United States Distrit Court for the District of Massachusetts granted final approval to a $75 million class action settlement for the benefit of consumers and Third-Party Payors who paid for branded and generic versions of the arthritis medication Relafen® during the period September 1, 1998 through June 30, 2003.  However, the approval will not become final for 30 days upon the expiration of the appeals-filing period.

What happed at the Fairness Hearing?

On May 4, 2005, Judge William G. Young of the United States District Court for the District of Massachusetts conducted a fairness hearing on the proposed $75 million class action settlement. The Court overruled some objections, but requested further briefing on others. The deadline for submitting claims is July 29, 2005 and the Court may or may not make its decision prior to that date. Even though the filing deadline of July 29, 2005 has passed, we encourage you to file a Claim Form as soon as possible as the Judge may accept late claims.

Can I object to the Settlement?

The deadline to file your objections has expired. All requests had to be postmarked no later April 25, 2005 in accordance with the Notice of Pendency and Proposed Settlement of Class Action.

How do I object?

The deadline to file your objections has expired. All requests had to be postmarked no later April 25, 2005 in accordance with the Notice of Pendency and Proposed Settlement of Class Action.

Can I participate in the Fairness Hearing?

The Hearing already took place on May 4, 2005.

How will the attorneys be paid?

At the Fairness Hearing, counsel for Plaintiffs and the Class will ask the Court to approve an award of attorneys’ fees of no more than 33 1/3% of the Settlement Fund and reimbursement of litigation expenses including the cost of notice and administration. Plaintiffs’ counsel may make a further application to the Court for attorneys’ fees and expenses. All awards of attorneys’ fees and expenses shall be paid exclusively out of the Settlement Fund.

How much will my payment be?

Under the Settlement, the Recognized Claim amount of consumer and Third-Party Payor Class Members will be calculated based on purchases in various states, as follows:

State of Purchase	Percentage of Relafen® and Nabumetone Purchases	Proposed Minimum Payment
District of Columbia, Arizona, California, Illinois, Iowa, Massachusetts, Nebraska, Nevada, South Dakota, Tennessee, Vermont, West Virginia and Wisconsin	Consumer: 82.5% TPP: 41.25%	$55
Florida, Maine, Michigan, Minnesota, North Carolina and North Dakota	Consumer: 60% TPP: 30%	$40
Hawaii	Consumer: 90% TPP: 45%	$100
New Mexico	Consumer: 85% TPP: 42.5%	$75
New York	Consumer: 52.5% TPP: 26.25%	$35

 

State of Purchase	Percentage of Relafen® Purchases	Proposed Minimum Payment
Alabama, Alaska, Arkansas, Colorado, Connecticut, Delaware, Georgia, Idaho, Indiana, Kansas, Kentucky, Louisiana, Maryland, Mississippi, Montana, Missouri, New Hampshire, New Jersey, Ohio, Oregon, Oklahoma, Pennsylvania, Rhode Island, South Carolina, Texas, Utah, Virginia, Washington, Wyoming and Territories of the United States.	Consumer: 9.2% TPP: 4.6%	None (and pro rated claim must exceed $20 to qualify for payment)

These figures have been calculated based on an evaluation of the strength of claims, which vary by state, as reflected in the orders and opinions of the Court. If there is not enough money to make the proposed minimum payment, consumers will share in the available funds on a pro-rated basis in relation to the size of their Recognized Claim, although reduced minimum payments may be ordered by the Court. TPPs will also share the available funds on a pro-rated basis in relation to the size of their Recognized Claim. The costs of notice, administration and attorneys’ fees and costs will also be paid out of the Settlement Fund, subject to approval by the Court.

These terms are defined in the Settlement Agreement and, taken together, refer to total amounts spent on Relafen® and/or its generic alternatives (known as nabumetone) during the period of September 1, 1998 through June 30, 2003, less any payments from a prescription drug benefit plan or other insurance.

Minimum payments are for consumers only, and only if there is enough money to pay them.

Because of certain court rulings, purchases in these states may submit claims only for purchases of branded Relafen® during the period of September 1, 1998 through June 30, 2003, not generic alternatives (known as nabumetone).

In addition, the sum of $500,000 has been set aside to provide indirect benefits to Class Members in these states, at the discretion of the Court.

How can I get payment?

Simply fill out the Claim Form provided in the Notice no later than, and have it postmarked by July 29, 2005. Even though the filing deadline of July 29, 2005 has passed, we encourage you to file a Claim Form as soon as possible as the Judge may accept late claims.

Can I make a Third-Party Payor Claim as a Class Member and also as a duly authorized agent (such as a Third-Party Administrator, Pharmacy Benefits Manager, etc.) of another Class Member?

Yes. Please complete one Claim Form as a Class Member and a separate Claim Form for the Class Member(s) for whom you are authorized to submit a claim. (Please note: you can include multiple Class Members on a single Claim Form when filing as an agent.) If you are filling out the form for yourself as a Class Member, use your own Federal Employer Identification Number (FEIN). If you are filling it out as a duly authorized agent for another party, you must supply your FEIN as well as the name and FEINs for each Class Member for whom you are filing.

I’m not sure whether I would be considered a Class Member or an Agent for a Class Member?

If you are filing a claim on your own behalf as, for example, an HMO, insurance company, health & welfare fund, or employer plan, you should complete the Claim Form as a Third-Party Payor Class Member. If you are filing the claim on behalf of other entities or as a recordkeeper, then you should fill in the claim as an agent of a Class Member.

Will a photocopied Claim Form be considered valid?

Yes, as long as there is an original signature (not photocopied).

What am I giving up to get a payment?

Unless you exclude yourself, you are staying in the Class, and that means that you can’t sue, continue to sue, or be part of any other lawsuit about the legal issues in this case. It also means that some of the Court’s orders may apply to you. A further description of the release is included in the Claim Form.