8-KOther Events

AGILENT TECHNOLOGIES, INC. 8-K Report, Corporate Update (Sep 29, 2014)

Filed September 29, 2014For Securities:A

Summary

Agilent Technologies, Inc. (A) has announced the closure of investigations by both the U.S. Securities and Exchange Commission (SEC) and the U.S. Department of Justice (DOJ) concerning sales practices through third-party intermediaries in China and compliance with the U.S. Foreign Corrupt Practices Act (FCPA). These investigations stemmed from an internal probe initiated in September 2013. The SEC's Division of Enforcement has concluded its investigation without recommending enforcement action against the Company, and the DOJ has closed its inquiry, acknowledging Agilent's voluntary disclosure and diligent investigation. This news is significant for investors as it brings resolution to a potential legal and financial overhang that has been present since late 2013. The closure of these investigations, particularly without any enforcement action from the SEC or DOJ, removes a substantial source of uncertainty and potential liability for Agilent. Investors can now have increased confidence in the company's governance and compliance practices, allowing for a clearer focus on its ongoing business operations and future growth prospects.

Key Highlights

  • 1Investigations by the SEC and DOJ into Agilent's China sales practices and FCPA compliance have been closed.
  • 2The SEC's Division of Enforcement will not recommend enforcement action against Agilent.
  • 3The DOJ has closed its inquiry, recognizing Agilent's voluntary disclosure and thorough internal investigation.
  • 4This filing resolves a significant legal and compliance concern that was first disclosed in September 2013.
  • 5The resolution removes uncertainty regarding potential fines, penalties, or sanctions.
  • 6This development is expected to be viewed positively by investors, reducing risk and enhancing confidence.

Frequently Asked Questions

The investigations pertained to certain sales of Agilent's products through third-party intermediaries in China and the compliance of Company employees in China with the U.S. Foreign Corrupt Practices Act (FCPA) and other applicable laws.

No, the SEC's Division of Enforcement stated it did not intend to recommend any enforcement action against the Company, and the DOJ closed its inquiry without adverse action, citing Agilent's voluntary disclosure and thorough investigation.

Agilent first disclosed the initiation of its internal investigation in its Form 10-Q filing on September 6, 2013.

The closure of these investigations is a positive development for investors as it removes significant legal and financial uncertainty surrounding the company. This resolution reduces the risk of potential fines or sanctions and allows investors to focus on Agilent's core business performance and future growth.