Poor Genentech. Their shares dropped nearly 5 percent in early trading Wednesday after reporting a profit for the fourth quarter that failed to beat Wall Street expectations.
The South San Francisco-based biotech company reported a 64 percent increase in its fourth quarter profit after the markets closed on Tuesday, yet that still wasn't good enough to replicate its recent history of surpassing expectations.
To add to their misery is a pending "whistleblower" lawsuit filed by an ex-employee.
Paul McDermott, who worked for Genentech in Falmouth, Maine, until last year, filed a lawsuit in July 2005 in U.S. District Court in Maine alleging the companies' marketing practices surrounding Rituxan defrauded government health- care programs. The suit has just recently become public.
Insiders' view: money for old rope. Biogen Idec are also cited.
Read more here: i won
No comments:
Post a Comment