LOS ANGELES, July 23, 2004 (PRIMEZONE) -- A copy of the Complaint is available from the United States District Court for the Southern District of Ohio or from Glancy Binkow & Goldberg LLP. Please contact us by phone to discuss this action or obtain a copy of the Complaint at (310) 201-9150 or Toll Free at (888) 773-9224, by email at info@glancylaw.com, or visit our website at www.glancylaw.com.
On July 9, 2004, Glancy Binkow & Goldberg LLP filed Civil Action No. 04-597 against Cardinal Health, Inc. ("Cardinal" or the "Company") (NYSE:CAH) and certain of its senior officers on behalf of purchasers of Cardinal securities between October 24, 2000 and June 30, 2004, inclusive (the "Class Period"). Glancy Binkow & Goldberg LLP is continuing its investigation into Cardinal's misconduct.
The Complaint charges Cardinal and certain of the Company's executive officers with violations of federal securities laws. Plaintiff claims that defendants' omissions and material misrepresentations concerning Cardinal's operations and financial performance artificially inflated the Company's stock price, inflicting damages on investors. The complaint alleges that defendants failed to disclose and/or misrepresented that: (1) the Company manipulated aspects of its accounting practices to continuously portray profitability to the market; (2) the Company held inventory for an average of two months, and reaped exorbitant profits from price inflation; (3) the Company improperly accounted for $22 million recovered from vitamin makers accused of overcharging Cardinal by booking such recoveries as revenue when the antitrust cases had not been resolved; (4) the Company's pharmaceutical distribution business falsely classified certain revenues as either operating revenue or revenues from bulk deliveries to consumer warehouses; (5) the Company's financial results were in violation of Generally Accepted Accounting Principles and the Company's own accounting interpretations on revenue recognition, as a consequence of the aforementioned practices; (6) the Company lacked adequate internal controls; (7) the Company's earnings per share were materially inflated; and (8) as a result of the above, the Company's financial results were artificially inflated at all relevant times.
If you wish to discuss this action or have any questions concerning this Notice or your rights or interests with respect to these matters, please contact Michael Goldberg, Esquire, of Glancy Binkow & Goldberg LLP, 1801 Avenue of the Stars, Suite 311, Los Angeles, California 90067, by telephone at (310) 201-9150 or Toll Free at (888) 773-9224 or by e-mail to info@glancylaw.com.