Ag Rosenblum, Bipartisan Coalition Of 30 States Announce $1.37 Billion Settlement With Kroger (Fred Meyer And Other Brands) Over Its Pharmacies’ Role In Opioid Crisis

Attorney General Ellen Rosenblum, whose office played a leadership role in a bipartisan coalition of thirty state attorneys general, announced today the completion of a $1.37 billion national settlement agreement with Kroger, addressing the grocery chain's pharmacies' role in the opioid crisis. Oregon will receive up to $40 million for opioid abatement, with payments anticipated to begin early next year.

In addition, Kroger has agreed to injunctive relief that requires its pharmacies to monitor, report, and share data about suspicious activity related to opioid prescriptions. Kroger owns and operates stores under its own name and under the name of subsidiaries in 36 states, including all Fred Meyer and QFC stores across Oregon.

"This settlement with one of the pharmacy giants in Oregon is a crucial step forward in the rebuilding of trust between Fred Meyer and its pharmacy customers in Oregon," said Attorney General Rosenblum. "I'm proud of my team, led by David Hart, Assistant Attorney in Charge of Opioid Litigation and Recovery/Pharmaceutical Fraud, for its role in leading these negotiations. The funds provided will help communities across Oregon respond to and recover from the opioid crisis, though the damage done and the lives lost can't be undone."

In 2022, the Oregon legislature created an Opioid Settlement Prevention, Treatment and Recovery Board (PTR Board), administered by the Oregon Health Authority and overseen by a board of health policy experts and state and local government representatives. The PTR Board administers the state's 45% share of funds that are to be used to address substance use disorder and invest in an evidence-based state system to collect, analyze, and publish data about the efficacy of substance use prevention, treatment, and recovery services across the state. The other 55% from each settlement goes directly to Oregon cities and counties and must be used to address substance use disorder.

In just the past three years, the Oregon Department of Justice has led or joined onto 10 multi-state agreements with pharmaceutical companies (including manufacturers and distributors), pharmacy chains, and consultancies that provided those companies with sales and marketing tactics that worsened the crisis. Those judgments secured billions of dollars nationally and upwardsof $645 millionfor Oregon to fund opioid abatement and recovery.