Chapter 700 326: Taming Capital

"Besides, I have a way to shut Sanders up."

A cunning glint flashed in Leo's eyes.

"I'll bundle this proposal with the long-term goal of universal healthcare. I'll frame the delayed retirement as a way to build up funds, a tactical retreat to achieve the greater objective of true, free universal healthcare in the future."

"For the Progressives, a promise of utopia is all they need to tolerate the compromises of today."

"This is the art of politics, Vance."

"Use the slogans of the left to do the work of the right."

Vance looked at Leo, and something in his expression shifted.

"Alright."

Vance took a deep breath.

"If you can really make this happen, we can make a concession."

"We'll resume our shipments and give the Mutual Aid Alliance our best discount."

"But."

Vance added,

"We can't completely pull out of the pharmacy benefit management business in Pennsylvania. We need to retain at least half of the market share, and we must have a say in your new system."

Vance extended a hand to Leo.

Leo looked at the extended hand but did not shake it.

He quickly conferred with Roosevelt in his mind.

"Half the market share? Sounds like a decent compromise," Leo murmured.

Roosevelt's voice was ice-cold.

"Leo, there's no such thing as peaceful coexistence in this world."

"Without scale, there is no sovereignty," Roosevelt continued. "Only by taking the entire market can you achieve true economies of scale and negotiate rock-bottom prices with the pharmaceutical companies. If you only have half, you'll forever be nothing more than a second-rate distributor."

"In the end, this dual-track system will turn your Mutual Aid Alliance into a charity case, while the giants maintain their prestige by monopolizing high-end and new drugs."

"Your narrative of industrial dignity will be shattered."

"So, reject him."

Leo withdrew his gaze.

"No."

Leo leaned back against his pillow, his tone calm but firm.

"Not a single inch."

Vance was stunned, his outstretched hand frozen in mid-air.

"What? Leo, don't be greedy. We already promised to resume shipments, and we're even willing to lower our prices..."

"This isn't about price."

Leo stared Vance in the face.

"In Pennsylvania, there can only be one mind running pharmacy benefit management, and that mind must be the Mutual Aid Alliance."

"I don't need partners. You can be our suppliers, but you will absolutely not be our decision-makers."

"I want one hundred percent. Complete and total control."

Vance's expression darkened, and his breathing grew heavy.

"You're trying to force a fight to the death. Without our system for support, your little shoestring operation won't be able to process the reimbursement claims for millions of people."

"Then let's find out."

Leo's voice was quiet, but it held the reckless air of a gambler betting it all.

"Don't forget the chip I've put on the table: the national retirement age cap. Once that bill passes, it will open up a market worth hundreds of billions of US dollars."

"Vance, do you dare go back to your board and tell them that you lost the ticket to a market worth hundreds of billions because you couldn't part with some chump change in Pennsylvania?"

Vance gritted his teeth, his mind racing as he frantically ran the numbers.

The retirement age bill Leo proposed was too tempting. It was the kind of strategic expansion the entire industry dreamed of.

If he sacrificed the entire cake just to hold on to his position in Pennsylvania, he really would have no way to answer to the pharmaceutical industry he represented.

'But the question is, can I really trust Leo's word?'

Everyone could see Leo's potential. Barring any major setbacks, him getting a seat in Congress was practically a sure thing.

Once in Washington, Leo would definitely have the power to push a bill involving hundreds of billions of dollars in profit.

'But as a shrewd businessman, I can't bet everything on an uncertain future.'

'I also need some immediate gains to show the board and the shareholders.'

'If I walk out of this hospital room today having traded away our market share in Pennsylvania for nothing more than an empty promise, I won't be seen as a hero back at the office. I'll be seen as a fool who sold out the company's core interests.'

'Any dog could have made that kind of "deal." What would that say about my value?'

"In principle, we agree to your terms."

Vance's tense shoulders relaxed.

"But we have our own demands. Leo, this deal can't look too easy."

"If we simply announce that we're cooperating with you, legislatures in the other forty-nine states will have identical bills on their desks tomorrow."

Vance leaned in, staring into Leo's eyes.

"So, you're going to have to play along with a little show we're putting on."

"Through a series of maneuvers, we're going to make it look like the administrative costs of implementing this in Pennsylvania are astronomically high."

"We need to show the other states that the price of following your example is more than they can bear."

Leo leaned back on his pillow, his expression unchanged.

"So, what's the script?"

"We'll deploy our legal team to launch a constitutional challenge."

Vance held up one finger.

"We'll sue the Pennsylvania State Government for violating the takings clause of the Constitution. We'll accuse the state-established pharmacy benefit manager of illegally interfering with private property and federal patent rights."

"Our lawyers will argue that the state's PBM legislation conflicts with the federal Employee Retirement Income Security Act, or with federal Medicare regulations."