Dive Brief:

CVS pharmacy services subsidiary Omnicare has filed for Chapter 11 bankruptcy after being hit with a $949 million federal judgment over improper billing of government healthcare programs.

Omnicare claimed up to $500 million in assets and between $1 billion and $10 billion in debts in its bankruptcy petition with a Texas court on Monday.

Omnicare has brokered an agreement to receive $110 million in debtor-in-possession financing, a type of loan which it expects will allow it to continue operating through the bankruptcy process, the company said.

Dive Insight:

In July, a federal judge ordered Omnicare to pay $948.8 million in penalties and damages after determining that the company, which provides pharmacy services to long-term care and post-acute facilities, illega

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