Five accompanying tables referred to in the April 23, 2002 PolyMedica report.
_________________
asensio.com
___________________________________________________________________________________________________________________
Asensio & Company, Inc.
PolyMedica Corporation
Table I: Monitor Market Survey
Maker
Model
Product
Manufacturer's per unit List Price1
Average Retail Price2
Retail margin
High retail price
Low retail price
Diabetic express.com
Mail-order margin
Abbott Diagnostics
Medisense
Precision QID
39.95
49.95
25.03%
49.95
49.95
49.95
25.03%
Precision Xtra
59.95
73.48
22.57%
76.99
69.97
64.95
8.34%
Sof-Tac
180.00
199.98
11.10%
199.99
199.97
194.95
8.31%
Optium3,4
46.29
Roche Diagnostics
Accu-Chek
Advantage
55.00
65.24
18.62%
69.99
59.99
59.95
9.00%
Complete
95.00
113.49
19.46%
119.99
104.97
97.95
3.11%
Compact
60.00
74.49
24.14%
79.99
69.97
64.95
8.25%
Active
15.00
19.24
28.23%
19.99
16.97
17.95
19.67%
Home Diagnostics
Prestige
LX
9.95
co-branded IQ
14.49
14.99
13.99
Bayer
Glucometer
Elite XL4
54.71
59.99
48.99
49.95
DEX
68.74
72.99
61.99
64.95
Johnson & Johnson
Lifescan
One Touch Basic
52.49
54.99
49.99
44.95
One Touch Sure Step
63.99
67.99
59.99
59.95
One Touch Profile
106.06
109.99
102.13
97.95
Therasense
Freestyle
Freestyle4
73.28
74.99
71.57
64.95
1. Wholesale list prices from each manufacturer.
2. Average of two to four retail prices found on Walgreens.com, CVS.com, Eckerd.com, Riteaid.com and Savon.com.
3. PolyMedica's sales agent offers the Medisense Optium and a Home Diagnostics monitor for "free."
4. Diabeticexpress.com offers the Medisense Optium, Elite XL and Therasense Freestyle for free with purchase of 100 test strips.
Prepared by: Asensio & Company, Inc.
Date: April 23, 2002
___________________________________________________________________________________________________________________________________
Asensio & Company, Inc.
PolyMedica Corporation
Table II: Test Strip Market Survey
Maker
Model
Product1
Manufacturer's per unit List Price2
Estimated Retail Price3
Retail margin
Diabetic express.com
Mail-order margin
Abbott Diagnostics
Medisense
Precision QID
34.50
43.99
27.51%
36.46
5.68%
Precision - 100 pack
63.50
79.99
25.97%
64.95
2.28%
Roche Diagnostics
Accu-Chek
Advantage
34.25
39.49
15.30%
35.95
4.96%
Comfort Curve
34.75
44.99
29.47%
36.99
6.45%
Compact - 51 pack
35.00
42.99
22.83%
37.95
8.43%
Active
23.75
29.99
26.27%
25.95
9.26%
Simplicity
33.50
44.99
34.30%
35.99
7.43%
Instant
31.00
39.99
29.00%
33.99
9.65%
Easy
33.00
38.99
18.15%
35.99
9.06%
Home Diagnostics
Prestige
CVS4
8.90
24.95
64.30%
Prestige
27.50
Bayer
Glucometer
Elite
35.59
Elite - 100 pack
61.99
Johnson & Johnson
Lifescan
One Touch
39.49
Therasense
Freestyle
Freestyle
39.99
35.99
Freestyle - 100 pack
69.99
64.99
1. Fifty count packages, unless otherwise inicated.
2. Wholesale list prices from each respective manufacturer. Pharmaceutical Buyers, Inc. (a drug store buying group)
contract price is $24.50 or 29% less than the $34.50 manufacturer's list price for Precision QID test strips.
3. Retail prices from Walgreens.com and CVS.com.
4. Estimate of wholesale cost to CVS.
Prepared by: Asensio & Company, Inc.
Date: April 23, 2002
___________________________________________________________________________________________________________________________________
Asensio & Company, Inc.
PolyMedica Corporation
Table III: Medicare National Procedure Code Summary1
Monitors2
Test Strips3
Year
Allowable Payment
Actual Payment Amount
Number of payments
Average allowable
Average payment
Allowable Payment
Actual Payment Amount
Number of payments
Average allowable
Average payment
2001 4
23,171,073
17,444,823
355,621
65.16
49.05
611,570,298
465,142,685
16,820,147
36.36
27.65
2000
20,375,715
15,297,108
326,039
62.49
46.92
496,259,892
376,384,934
14,205,270
34.93
26.50
1999
21,626,083
16,199,834
370,998
58.29
43.67
408,834,855
310,500,315
12,176,811
33.57
25.50
1998
18,229,238
13,958,409
308,868
59.02
45.19
314,254,352
240,943,289
9,878,573
31.81
24.39
1997
9,369,968
7,093,931
151,970
61.66
46.68
252,063,695
192,526,475
6,772,083
37.22
28.43
1994 5
102,000,000
1. All figures are from CMS' National Healthcare Expenditures & Statistics
2. Medicare procedure codes:
E0607: Blood glucose monitor home
E0609: Blood glucose monitor with special features
3. Medicare procedure code:
A4253: Blood glucose/reagent strips
4. Monitor and test strip information in 2001 is 95% complete.
5. Data from June 2000 Department of Health and Human Services' Office of Inspector General report.
Prepared by: Asensio & Company, Inc.
Date: April 23, 2002
______________________________________________________________________________________________________________________________________________________
Asensio & Company, Inc.
PolyMedica Corporation
Table IV: Assigned allowances by Medicare1,2
Monitors
Test Strips3
DMERC Region
Ceiling
Floor
Ceiling
Floor
A
66.49
66.49
38.32
32.57
B
66.49
66.49
38.32
33.88
C
66.49
66.49
38.32
33.06
D
75.80
66.49
38.41
32.57
Country wide
75.80
66.49
38.41
32.57
1. As of April 1, 2002 Medicare rules do not allow beneficiaries to buy equipment and supplies and submit the receipt for reimbursement by Medicare.
Supplier must submit the beneficiaries' claims.
2. Medicare pays 80% of allowable prices. Suppliers are required by law to bill the beneficiary for the remaining 20% co-insurance amount.
3. Monitor procedure code E0609
3. Per box of 50 test strips; double for a 100ct package.
Prepared by: Asensio & Company, Inc.
Date: April 23, 2002
___________________________________________________________________________________________________________________________________ |
