The Wall Street Journal-20080130-Earnings Digest -- Health- Cardinal Health Inc-

Return to: The_Wall_Street_Journal-20080130

Earnings Digest -- Health: Cardinal Health Inc.

Full Text (121  words)

Cardinal Health Inc. posted a 56% drop in its fiscal second-quarter profit, mainly because of a year-earlier gain, and cut its full-year earnings forecast due in part to legal issues with the Drug Enforcement Administration. In the past two months, the DEA has suspended the licenses of three of Cardinal's 25 pharmaceutical- distribution centers. The agency cited Cardinal's failure to provide adequate safeguards against illegal subscriptions for the narcotic pain-reliever hydrocodone, more commonly known as Vicodin. Chief Executive R. Kerry Clark said the impact of these issues "may cost more than $30 million" for the full year. Cardinal Health cut its fiscal 2008 estimate for earnings from continuing operations to $3.75 to $3.85 a share from $3.95 to $4.15 a share.