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Covance Launches Managed Markets Services
Date:8/6/2013

PRINCETON, N.J., Aug. 6, 2013 /PRNewswire-FirstCall/ -- Covance Inc. (NYSE: CVD), one of the world's largest and most comprehensive drug development services companies, announced the creation of a new service offering focused on providing its biopharmaceutical and medical device clients support to effectively manage contracts in managed markets.  Steve Medina, Vice President, Managed Market Services, is leading this new effort.

Covance's managed markets services will help clients maximize value by improving controls and management of contract terms and associated payments.  The new service will also help biopharmaceutical and medical device clients obtain higher market share by gaining better visibility into contract performance with managed care organizations, group purchasing organizations, federal and state programs, and wholesalers.

The service targets a substantial need in the marketplace as chargebacks and rebates used in contracts account for as much as 20 percent of US gross sales for biopharmaceutical and medical device companies (approximately $50 billion a year).  Without the right controls and contracting processes in place, biopharmaceutical and medical device companies risk both revenue loss and potential penalties associated with a failure to comply with government regulations.  It is estimated that biopharmaceutical and medical device companies currently lose up to 4.4 percent of US revenue per year, or $11 billion a year, due to insufficient processes and contract management systems at a time when the economic environment for the sale of drugs and devices has never been more challenging.

"Covance is pleased to have invested in the expertise and technology to help biopharmaceutical and medical device clients prevent significant annual revenue losses from insufficien
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SOURCE Covance Inc.
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