Accidents happen, but that's no comfort to investors. Canadian drug concern Biovail's
We all know investing has inherent risks. After all, that's why SEC filings have an entire section devoted to risks and uncertainties for any given company. This is a good reminder that freak accidents can feed into quick reversals of fortune.
According to the company, the shipment was worth $10 million to $20 million. While it also said some of the substance involved in the accident may be salvaged, it still has to be sent back for testing.
Other snafus that sullied Biovail's outlook include reduced pricing of the company's generic version of ulcer drug omeprazole by its distributor and late shipments of its medication Cardizem CD, due to backlogs.
Wellbutrin, which is marketed in the U.S. by Biovail partner GlaxoSmithKline
Due to these developments, Biovail now expects revenues for its third quarter to be $215 million to $235 million, as opposed to the $260 million to $300 million previously anticipated. The stock skidded nearly 18% in Friday's trading.
Spills and chills are better suited for action movies than watching a stock move, and investors will likely be shaken up by this news for quite some time.
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