WASHINGTON, June 27, 2001 (PRIMEZONE) -- The Securities Sleuth, http://www.securitiessleuth.com, frequently analyzes corporate financial restatements so as to give its readers a "behind the scenes" look at what really happened.
The Sleuth has just published a report on Chronimed, Inc. (Nasdaq:CHMDE). This Company announced in mid-June that it would restate its financial results for each of the last seven quarters, and then followed this a week later with an earnings warning for the current quarter, due to a significant increase in its bad debt reserve. Earlier this month Nasdaq halted trading in this stock for over a week, and is now threatening it with delisting.
This report summarizes a careful review of the Company's past financial statements, its recent SEC filings, press releases and conference calls, and indicates that accounting system "irregularities" and management lapses may previously have masked serious problems in its business that are now emerging.
The Securities Sleuth is co-edited by Bob Davis and Mark McNair, the team that previously produced a site named by Forbes magazine as its favorite "Guard Dog'" on its "Best of the Web" list. (http://www.forbesbest.com/asp/category.asp?category=Guard+Dogs)
Davis is also the editor of The Napeague Letter (http://www.napeague.com), whose "Suspicious Stocks" column profiled "excessively-promoted" stocks. Bob's column has earned kudos for its analyses from Forbes, The Financial Times, Online Investor, Money Magazine and the San Francisco Chronicle. Mark McNair is an attorney in Washington, D.C., who previously worked for the SEC and whose practice focuses on securities class action litigation.