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Gov. Newsom: California pulls back renewal of Walgreens contract

Walgreens store
Posted at 2:26 PM, Mar 08, 2023

California is pulling back its renewal of a multi-million-dollar contract with Walgreens, following the company’s preemptive decision not to dispense the abortion medication Mifepristone in 21 states, including states where abortion remains legal.

This is according to a press release sent on Wednesday from Gov. Gavin Newsom's press office.

On Monday, Gov. Newsom called for the review of all contracts between the state and Walgreens and Wednesday's announcement is a result of that ongoing review.

“California will not stand by as corporations cave to extremists and cut off critical access to reproductive care and freedom,” said Gov. Newsom in a press release.

The contract between the California Department of General Services and Walgreens allows the state to procure specialty pharmacy prescription drugs, primarily used by the California Department of Corrections and Rehabilitation and its correctional health care system.

On Wednesday, at Gov. Newsom’s directive, the California Department of General Services gave formal notice that it is withdrawing a planned renewal of that agreement set to take effect on May 1, and instead will explore other options for furnishing the same services.

Under this contract, Walgreens has received about $54 million from the state.