NATIONAL UNIVERSITY

M.F. JHOCSON, SAMPALOC, MANILA

COLLEGE OF BUSINESS AND ACCOUNTANCY

PFIZER INCORPORATED

Submitted by:
BARTOLABAC, katelyn
DALIDA, Analiza
GILBUENA, Hershey
STA ANA, Shiela Marie
SORIANO, Shela-Ann
TESORO, Chesney

December 14 2018
 NATIONAL UNIVERSITY
M.F. JHOCSON, SAMPALOC, MANILA

ARTICLE:
Pfizer Incorporated. "Bribe" Scandal in Philippines
July 15, 2009

An allegation that Pfizer attempted to "bribe" the government of the Philippines with 5
million discount cards to get a price control law postponed has developed into a full-blown
scandal in the archipelago nation. Pfizer denies there was an attempt to bribe anyone,
and yesterday described the allegations as "absurd”.
Pfizer executives did not turn up to an inquiry on the delay of the implementation of the
maximum retail price law. Representatives of Pfizer Philippines also failed to attend the
hearing. In a letter to the committee, Patricia Pascual, Pfizer's public relations officer,
said their officials have prior out-of-town appointments that cannot be rescheduled.
She apologized for "Pfizer's unavoidable absence in this public hearing."
Pfizer admitted in a statement that it had made an offer of 5 million discount cards on
its medicines, but said that offer came before the list of drugs affected by the MRP pricing
law emerged. “In our desire to have more Filipinos benefit from Pfizer's high-quality
medicines and patient care program, we have volunteered to partner with the Department
of Health to offer Sulit cards to 5 million more patients in national and local government
hospitals and community health centers by the end of the year. These discussions began
in May 2009, prior to the announcement of the list of products subject to Maximum Retail
Price. We are saddened that our sincere desire to help has been misconstrued as
bribery.”
Pfizer also admitted that it had offered to create some promotional posters featuring
President Gloria Macapagal Arroyo and the health secretary:
“Pfizer proposed to use DOH's own tag line 'To-DOH Kalusugan' to allow for the
participation of other stakeholders who would want to participate in any way in DOH's
efforts to expand its health programs for underserved Filipinos. It is for this reason that
these posters include the photo of Sec. Francisco Duque as the head of the sponsoring
government agency, and as is usual for DOH's programs, with the photo of the President
likewise included," the statement added.
Reiner Gloor, Executive director of Pharmaceutical and Healthcare Association of the
Philippines (PHAP) said at the bicameral hearing that the meeting was arranged by Albert
Mateo Jr, president and country manager of Pfizer Philippines. Other attendees in the
meeting were representatives from Roche, GlaxoSmithKline and Sanofi. He claimed that
the meeting centered on the proposed executive order on Maximum Retail Price (MRP)
and if it was possible to have alternatives to it. Prior to the announcement on the list of
 NATIONAL UNIVERSITY
M.F. JHOCSON, SAMPALOC, MANILA

Essential medicines that would subjected to MRP, the Pfizer offered to donate to the
government five million discount cards (sulit card) but this was rejected by Secretary
Duque. It was not clear why the company made the offer, Gloor said.
Among the folks declining to respond to the inquiry Monday:
[Senator Manuel Roxas II] said that the bicameral Quality Affordable Medicines
Oversight Committee has invited President Arroyo and her aides to shed light on reports
that she met with officials of a multi-national drug company and agreed to defer the
signing of a proposed executive order setting limits on the prices of 22 essential
medicines. Also invited to the hearing were Albert Mateo Jr., Pfizer president and country
manager; Mao Navoa, customer relations and Sulit Card director; lawyer Milette
Asuncion, director for public affairs and legal services; and lawyer Tinine Bautista,
corporate legal counsel.
BNET's take: What's going on here is political, with Filipino politicians clearly eager to
make the most of the government's missteps, so we should take these allegations with a
pinch of salt. Having said that, if Pfizer did make the discount card offer, and the offer of
free posters for the president (political posters are a heavily used election tool in foreign
countries); and if it emerged those offers were contingent upon delaying or cancelling the
MRP, then Pfizer could be in real trouble.

Reference:https://www.cbsnews.com/news/pfizer-bribe-scandal-in-philippines-heats-up-
company-offered-posters-to-the-president/