CVS Caremark Corporation faces long term shareholder investigation

Dec. 1, 2009 - PRLog -- A lawsuit on behalf of investors, who purchased their Caremark Corporation (Public, NYSE-CVS) shares between May 5, 2009 and November 4, 2009, alleging violations of Federal Securities Laws by Caremark Corp. and others is currently pending in the United States District Court for the District of Rhode Island. In addition an investigation on behalf of long term investors of Caremark Corporation (Public, NYSE-CVS), who currently hold their CVS shares, focusing on potential claims against certain directors and officers of Caremark Corporation  was announced.

If you are a current long-term investor in CVS Caremark Corporation , you have certain options and you should contact the Shareholders Foundation, Inc at:

Email: mail@shareholdersfoundation.com  or at: +1 (858) 779 – 1554

An investor in CVS Caremark Corporation has filed a lawsuit against CVS Caremark and others over alleged violations of Federal Securities Laws by issuing between May 5, 2009 and November 4, 2009 numerous positive statements regarding CVS Caremark’s financial condition, business and prospects and failing to disclose operating problems in the PBM business, the more than $6 billion in contractual losses for 2010 and the adverse impact this would have on its 2010 financial results. According to the complaint, CVS Caremark Corporation disclosed that the Federal Trade Commission (“FTC”) had begun a “nonpublic investigation” in August 2009 into whether CVS Caremark Corporation’s business practices and service offerings violated antitrust laws. Among the business practices of CVS Caremark Corporation that the FTC is reportedly investigating is the improper use of pricing and patient data from its retail pharmacy operations to steer its PBM members to CVS stores, so the lawsuit.  Then on November 5, 2009, CVS Caremark Corporation issued a press release announcing the disclosures of the adverse material facts concerning the PBM business and their adverse impact on CVS Caremark's financial results for 2010, and the FTC investigation. In response to this press release, the price of CVS common stock fell 20% to close at $28.87.
CVS Caremark Corp, located in Woonsocket, RI, is a provider of prescriptions and related healthcare services in the United States. It is a pharmacy services company and drives value for its customers through its approximately 6,900 CVS/pharmacy and Longs Drug retail stores. CVS Caremark Corporation with a Market Cap of $42.94billion reported in 2007 Total Revenue of $76.3295billion with a Net Income of $2.637billion and in 2008 Total Revenue of $87.4719billion with a Net Income of $3.2121billion. Shares of CVS Caremark Corporation (CVS) traded recently at $30.44 per share, down from its 52weekHigh of $38.27 per share and over $43 per share in 2008.

Those who current long-term investor in CVS Caremark Corporation , have certain options and should contact the Shareholders Foundation, Inc at::

Email: mail@shareholdersfoundation.com  or at: +1 (858) 779 – 1554

Shareholders Foundation, Inc.
Trevor Allen
3111 Camino Del Rio North - Suite 423 –
92108 San Diego
Tel:+1-(858)-779-1554
Fax:+1-(858)-605-5739
mail@shareholdersfoundation.com
www.ShareholdersFoundation.com
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Advertising. The Shareholders Foundation, Inc. is an investor advocacy group. We do research related to shareholder issues and inform investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. At Shareholders Foundation, Inc. we are in contact with a large number of shareholders. We believe that together we can combine the interests of many investors, and use the size of our interest as leverage against the giant corporations. We offer help, support, and assistance for every shareholder. We help investors find answers to their questions and equitable solutions to their problems. The Shareholders Foundation, Inc. is not a law firm. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.