Valeant shares dropped by as much as 13% in premarket trading on Monday.
It’s a big day for the pharmaceutical giant. Ten of the company’s executives including CEO Michael Pearson are scheduled to hold a conference call later on Monday to respond to all the news of the past week.
To recap: Short-selling firm Citron Research asked whether Valeant was the next Enron. Citron alleged that the company used fake invoices to stoke its revenues through its relationship with Philidor, a specialty pharmacy.
Valeant issued a statement last week saying that all transactions with its network pharmacies were not included in its consolidated financial statements.
And on Monday morning, the company came out with another release saying that its Audit and Risk Committee and board confirmed “the appropriateness of the company’s related revenue recognition and accounting treatment.”
Valeant shares have fallen nearly 35% over the past week.