McKesson HBOC makes drastic changesThe board of directors at pharmaceutical supply and HIS firm McKesson HBOC has had enough with accounting improprieties at its Information Technology Business (formerly HBOC). Several key executives have
The board of directors at pharmaceutical supply and HIS firm McKesson HBOC has had enough with accounting improprieties at its Information Technology Business (formerly HBOC). Several key executives have resigned or been fired in the aftermath of the scandal.
The San Francisco-based company began by announcing the resignations of president and CEO Mark Pulido, and executive vice president and CFO Richard Hawkins, and the dismissal of Charles McCall.
In uncharacteristically strong language, the company also announced that four of its ITB unit executives had been dismissed immediately for cause: Albert Bergonzi, formerly president and CEO, David Held, CFO and controller, Jay Lupine, senior vice president and general counsel, and Michael Smeraski, senior vice president and head of enterprise sales.
In its first move toward rebuilding the ITB management team, the company named Graham King president of the unit, reporting to Hammergren.
Last months management changes arose out of the review of the ITB units accounts, which found that the division had overstated its revenues. McKesson HBOC is continuing its internal audit, and intends to publish restated financial information as soon as possible. Although it does not expect to be able to file its 10-K with the Securities and Exchange Commission by the June 30 deadline, it hopes to do so shortly thereafter.
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