Purdue Pharma proposes $10 billion plan to come out of bankruptcy

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Pharma, The company that makes OxyContin filed its bankruptcy plan last night, And here is the plan, the company itself will be dissolved. A new organization will be created that will direct profits to help people. Hurt by the opioid epidemic. Now, two dozen states immediately rejected this plan to help answer why NPR's addiction correspondent Brian Mann is with us. Hi, Brian. Hey. Good morning, Noel. How did Purdue Pharma described this plan working overtime. Yes. So what the company's president Steve Miller says, is that a new company is going to be created from the ashes of produce farmer that's going to essentially exist to benefit the public. The sack lawyers will have no roller ownership. And over time, this new firm will generate hundreds of millions of dollars, much of it from selling OxyContin, which they say they can do ethically and safely. Will also produce medicines that will go to help people suffering from opioid addiction, and they saved a total value of all that overtime will be roughly $10 billion. Members of the Sackler family also issued a statement late last night, saying, this plan offers and I'm quoting here. An important step toward providing help to those who suffer from addiction. It was clearly thought through. Why did so many states come out and rejected? Offhand? Yeah, there were months of negotiations leading up to this and a big complaint from state attorneys general, most of them Democrats, Noel is that produce farmer and its owners. Seculars. They're gonna only offer of about $500 million, right. At first. The rest of the cash payments, including $4.2 billion promised by the Sackler is themselves. That would be spread out slowly in installments that would be paid over most of the next decade. And that slow pace really angers critics like Maura Healey, she's attorney general in Massachusetts. What the sacristy are offering essentially is a way for the payments to be structured. That makes it convenient for them. They get to keep their billions of bank accounts and make money and use the interest to pay. You know, the state's out over time. Well there OxyContin fortune keeps growing. And there's one other rub here for critics, and that's the fact that a lot of that $10 billion in value that produce farmer talks about it doesn't actually come in the form of cash, which communities really need to pay for addiction programs. And said the plan envisions providing low cost addiction treatment drugs like people, Morphine and the lock zone, which this new spinoff company they hope to create, would make and sell at a discount.

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