Senate Investigation Blasts GSK Over Flovent Inhaler Pricing Scheme

By FieldPulse Staff · March 17, 2026

Tags: strategy, leadership

Senate investigation finds GSK avoided $367.6M in Medicaid rebates by discontinuing Flovent and replacing it with an authorized generic. Asthma hospitalizations rose 17.5% in three months after discontinuation.

Senator Maggie Hassan released a Senate Health Committee investigation report on March 17, 2026 finding that GlaxoSmithKline deliberately discontinued its Flovent inhaler and replaced it with an "authorized generic" version at prices that sidestepped approximately $367.6 million in Medicaid rebates in 2024 alone.

The report found that following Flovent's discontinuation, patients experienced a 17.5% increase in asthma-related hospitalizations in the three months after the drug was pulled from the market.

Hassan called the maneuver "egregious" and said GSK had "gamed the system" by exploiting a Medicaid rebate loophole that allows manufacturers to avoid rebate obligations on authorized generics.

GSK has not publicly commented on the specific rebate figure but previously defended the transition as offering patients a more affordable option.

The investigation is expected to fuel renewed congressional appetite for closing the authorized generic loophole, which multiple manufacturers have used in recent years.

Source: https://www.statnews.com/pharmalot/2026/03/16/asthma-patients-gsk-egregious-price-hikes-monopoly/