2016-03-15 18:26

Valeant Plunges the Most Ever on Forecast Cut, Warning Over Debt

Luco Jacksono (Reuters /Scanpix) nuotr.
Luco Jacksono (Reuters /Scanpix) nuotr.
Valeant Pharmaceuticals International Inc. shares plunged Tuesday morning in their worst day ever, falling 42 percent after the company cut its 2016 forecast, reported a weak fourth quarter and said it risked breaching some of its debt agreements if it can’t file its annual report in time.

During a two-hour call with analysts, Chief Executive Officer Mike Pearson was questioned about why he was the right man to lead the drugmaker. Adding to the company’s problems, during the call it corrected its press release issued hours before, saying that one measure of earnings would actually be lower than it had stated.

“How can we be confident in what you’re saying about the business, given you were positive in December, and January?”

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