San Diego, CA -- (ReleaseWire) -- 09/18/2012 -- A current investor in shares of McKesson Corporation (NYSE:MCK) filed a lawsuit against certain directors of McKesson Corporation over alleged breaches of fiduciary duties.
Investors who are current long-term stockholders in shares of McKesson Corporation (NYSE:MCK), have certain options and should contact the Shareholders Foundation at mail(at)shareholdersfoundation.com or call +1(858) 779 - 1554.
The plaintiff alleges that the defendants failed to do their job and caused McKesson Corporation to report high prices for pharmaceuticals that resulted in higher drug costs for millions of consumers and exposed McKesson Corporation to hundreds of millions in liability.
McKesson is a large drug wholesaler that sells drugs to pharmacies who then sell them to consumers and the prices pharmacies pay to McKesson and other wholesalers are based on a published price called the "wholesale acquisition cost", so the complaint.
The plaintiff says that the wholesale acquisition cost is a price set by drug manufacturers and published in commercial price directories such as First Databank,Inc. and wholesalers, such as McKesson, then use the wholesale acquisition cost to set the price they charge to pharmacies.
The plaintiff alleges that starting sometime in late 2001, McKesson entered into a continuous and systematic scheme with First Databank to fraudulently inflate the price of more than 400 brand-name drugs.
The plaintiff says that McKesson Corporation entered into numerous legal settlements involving allegations that McKesson schemed to rig prices. The plaintiff says that defendants caused the Company to engage in grave violations of law, consequently tarnishing the Company’s reputation and triggering over $770 million worth of liability
McKesson Corporation (NYSE:MCK) reported that its Total Revenue rose from over $106.63 billion for the 12 months period that ended on March 31, 2009 to over $122.73 billion for the 12 months period that ended on March 31, 2012, and that its Net Income over the respective time periods increased from $823 million to $1,403 million.
Shares of McKesson Corporation (NYSE:MCK) grew from as low as $34.94 per share in November 2008 to as high as $94.88 per share in July 2012.
On September 12, 2012, NYSE:MCK shares closed at $87.08 per share, roughly $10 below its current 52 week High.
Those who are current long-term stockholders in shares of McKesson Corporation (NYSE:MCK), have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
3111 Camino Del Rio North - Suite 423
92108 San Diego