Valeant Isn't Going Broke, CEO Pearson Reassures Staff
- CEO sends memo to employees one day after shares plunged 51%
- `Restoring the public's confidence will take time,' he says
Valeant Works With Lenders to Find Ways to Waive Default
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Valeant Pharmaceuticals International Inc.’s embattled Chief Executive Officer Mike Pearson took a step to reassure his employees on Wednesday, saying in a memo to workers that the company won’t go bankrupt and apologizing for the recent turmoil.
The drugmaker’s shares plunged 51 percent on Tuesday after Valeant cut its 2016 forecast, reported weak preliminary fourth-quarter financial results and said it risked breaching some of its debt agreements if it can’t file its annual report in time. Pearson, who apologized for the company’s missteps during a two-hour conference call with analysts on Tuesday, had just returned from a two-month medical leave.