FTC Pressures Warner Chilcott

Shares of Warner Chilcott(WCRX Quote) dropped Tuesday as the Federal Trade Commission stepped up its criticism of a deal between the drugmaker and Barr Pharmaceuticals(BRL Quote).

The FTC, 34 states and the District of Columbia previously sued Warner Chilcott for what they allege was an anticompetitive agreement in which Barr was the sole supplier to Warner Chilcott of an oral contraceptive called Ovcon 35. Earlier this month, Warner Chilcott stopped shipping Ovcon 35 and began replacing it with a chewable version of the contraceptive.

Shortly after midnight Tuesday, Warner Chilcott issued a press release saying that the FTC had filed a new legal motion which said the company's strategy would harm consumers because the Barr deal blocked the selling of a generic version of Ovcon 35. The FTC sought a preliminary injunction requiring Warner Chilcott to continue shipping Ovcon 35. ...