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Bergen Brunswig Ousts CEO
Orange, Calif. Bergen Brunswig removed Donald Roden as president and chief executive officer in November, replacing him with Robert Martini, chairman and former CEO, until a successor can be found. No reason was given.
The news accompanied announcement of the company's fourth-quarter and fiscal 1999 results. For the fiscal year ended Sept. 30, net earnings were $70.6 million, or 59 cents a share, compared with $3.1 million, or 3 cents a share, in fiscal 1998. The company recorded a fourth-quarter net loss of $28.5 million, or 21 cents a share, compared with a loss of $64.2 million, or 63 cents a share, the previous year. Officials said earnings were affected by lower-than-expected results at the Stadtlander and PharMerica subsidiaries and by a reserve provision for Bergen Brunswig Drug Co. of $15.7 million in the fourth quarter and of $18.2 million for the fiscal year. The company took a $53.7 million charge related to receivables at the two subsidiaries. Bergen has also been hit with several class-action lawsuits accusing it and some of its officers of misrepresentation in the acquisitions of the subsidiaries.
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