Medarex Restates Past Losses Per Share >MEDX
Feb 9, 2007 18:11:14 (ET)
Medarex Inc. (MEDX) on Friday restated some losses for the years 2003 through 2005 and the quarter ended March 31, 2006, after finding that incorrect measurement dates were used for stock option grants.
The Princeton, N.J., biopharmaceutical company released an amended annual report for the year ended Dec. 31, 2005, an amended report for the first quarter ended March 31, 2006, and reports for the second quarter ended June 30, 2006, and the third quarter ended Sept. 30, 2006.
The company said its net loss for the third quarter widened to $45.9 million, or 37 cents a share, from a restated $23.7 million, or 21 cents a share, for the corresponding period of the previous year.
Its second-quarter net loss widened to $41.4 million, or 34 cents a share, from a restated $31.3 million, or 28 cents a share, for the same period in the previous year.
The company's loss for the first quarter ended March 31 narrowed to $36.6 million, or 33 cents a share, from a restated $47.3 million, or 44 cents a share, for the same period in 2005.
Medarex last June began investigating past stock options practices, it said in Friday's filings. Management concluded that incorrect measurement dates were used for certain equity awards in past periods, the amended annual report said.
Management found that the cumulative noncash stock-based compensation expense and related payroll tax liabilities with regard to past equity awards was about $36.6 million, the report said.
Recorded noncash, stock-based compensation expense and related payroll-tax liabilities totaled about $2 million each in 2005 and 2004, $4.5 million for 2003, and about $28.1 million prior to 2003, according to the report.
The company also corrected immaterial errors identified in prior years related to the amortization of premiums and discounts related to its marketable securities.
Its net loss for 2005 was restated to $1.34 a share compared with a previously reported $1.32 a share, the annual report said.
The 2004 net loss remained at $2.29 a share.
The 2003 net loss was restated at $1.72 a share from $1.65.
Medarex shares closed Friday at $13.02, down 3 cents.
-Greg Wright, Dow Jones Newswires; 202-862-3546; gregory.wright@dowjones.com
(END) Dow Jones Newswires
February 09, 2007 18:11 ET (23:11 GMT)
|
