Summary
Cardinal Health Inc. (CAH) has filed this Form 8-K to provide updated financial information as of June 30, 2005, and for the three fiscal years ending on that date. The primary adjustments involve the reclassification of its sterile pharmaceutical manufacturing business in Humacao, Puerto Rico, as discontinued operations. This change aligns with accounting standards (SFAS No. 144 and EITF Issue No. 03-13) following the decision to close these operations and sell associated assets. Furthermore, the company has revised its methodology for allocating corporate costs to its reportable segments. These adjustments, which were previously detailed in the September 30, 2005 Form 10-Q, have been applied retroactively to prior periods. Importantly, both the reclassification of discontinued operations and the changes in corporate cost allocation had no impact on Cardinal Health's reported net earnings or net earnings per common share.
Key Highlights
- 1Reclassification of Humacao, Puerto Rico sterile pharmaceutical manufacturing business as discontinued operations.
- 2Updated financial statements reflect the impact of closing and selling Humacao operations.
- 3Adoption of new accounting standards (SFAS No. 144, EITF Issue No. 03-13) for discontinued operations.
- 4Modification in the allocation methodology for corporate costs to reportable segments.
- 5Prior period financial results have been restated to reflect these changes.
- 6No impact on reported net earnings or net earnings per common share due to these reclassifications.