Walgreens and Express Scripts end dispute Walgreens and Express Scripts settled a heated dispute over fees, ending a breach between the biggest US pharmacy chain and the country's largest pharmacy benefits manager. Walgreens stopped filling prescriptions for millions of Express Scripts customers in January after the two companies failed to renew their agreement over how much Walgreens is paid for the prescriptions it fills. Express Scripts and other pharmacy benefits managers administer prescription drug plans for insurers and big companies, negotiating for lower prices from drug companies and pharmacies in a bid to bring down healthcare costs for consumers. Financial terms of the new contract were not disclosed on Tuesday, but the companies said it was a multiyear deal, and that Walgreens would begin filling Express Scripts orders again on September 15. Walgreens said the terms were consistent with the fees it paid other pharmacy benefits managers. The dispute eroded investor confidence in Walgreens, with analysts estimating the loss of Express Scripts customers could cost the pharmacy chain revenues of $10bn a year or more. Express Scripts customers accounted for 88m, or more than 10 per cent, of prescriptions filled at Walgreens last year. Sales at Walgreens began to slide, as customers took not only their drug buying but impulse purchases for groceries and home care products to other stores. In the seven months since the dispute began, Express Scripts customers have turned to rival pharmacy chains such as CVS Caremark and Rite Aid, which sought to take advantage of the dispute by advertising that they still worked with Express Scripts. "Whether [Express Scripts] prescription customers will all switch back to [Walgreens] now remains to be seen, but it seems likely that many have been lost permanently," said Carol Levenson of Gimme Credit, the research group. Walgreens" losses could have grown had the dispute not been resolved, as Express Scripts just completed its $29bn acquisition of Medco, another pharmacy benefits manager. Medco clients were never prevented from filling prescriptions at Walgreens, but analysts speculated that could have happened soon. Walgreens last month paid $6.5bn for a 45 per cent stake in Alliance Boots, the UK pharmacist. The two-stage deal will allow Walgreens to take full control of Alliance Boots, which was taken private five years ago in a £12bn deal led by Kohlberg Kravis Roberts and the company's chairman, Stefano Pessina. News of the deal sent Walgreens shares up 10.3 per cent to $34.16 by mid-afternoon in New York, while Express Scripts shares rose 1.9 per cent to $58.79. CVS shares were down 5.1 per cent to $45.97 and Rite Aid was down 5.5 per cent at $1.21.