CareFusion Corporation Files Form 10 Registration Statement
31 Mars 2009 - 3:11PM
PR Newswire (US)
SAN DIEGO, March 31 /PRNewswire-FirstCall/ -- CareFusion
Corporation, the company that is expected to become public from the
spinoff of Cardinal Health's clinical and medical products
businesses, today filed a Form 10 registration statement with the
Securities and Exchange Commission (SEC) that contains detailed
information about the company as a standalone entity. The Form 10
filing outlines Cardinal Health's plan to spin off at least 80
percent of the outstanding common stock of CareFusion through a pro
rata distribution to Cardinal Health's shareholders, with Cardinal
Health retaining the remaining shares. Cardinal Health will divest
its shares of CareFusion within five years after the spinoff. This
proposed spinoff structure is intended to address the volatility in
credit market conditions and provide additional flexibility in the
capital structures of Cardinal Health and CareFusion. Also included
in the Form 10 are historical financial statements for CareFusion
for fiscal years 2006-2008, a management discussion and analysis of
results of operations, a list of its executive officers and other
customary legal and financial disclosures for the new company.
Additional information, including CareFusion pro forma financial
statements, will be provided in future filings. "The Form 10 marks
a major milestone on the road to launch CareFusion as a public
company focused on the safety and quality of care," said David
Schlotterbeck, Cardinal Health vice chairman and future chief
executive officer of CareFusion. "While we continue to target the
summer of 2009 to complete the spinoff, some of the conditions to
completing the spin are not within our direct control, which may
push the spinoff to later in the year. As we work to complete the
spinoff, we remain very focused on serving CareFusion's global
customers and managing our near- and long-term business
objectives." The completion and timing of the spinoff are dependent
on a number of factors, including the Form 10 being declared
effective by the SEC and the Cardinal Health board of directors
declaring a dividend of CareFusion stock to Cardinal Health
shareholders. Other conditions to completing the spinoff include a
ruling from the Internal Revenue Service that the spinoff will
qualify as a tax-free transaction, CareFusion securing the
necessary debt financing and both companies' debt being rated as
investment grade. The satisfaction of some conditions will depend
in part on credit market conditions at the time of the required
financial transactions. Cardinal Health's goal is to complete the
spinoff later this calendar year, but no assurance can be provided
as to the timing of the planned spinoff or that all conditions to
the spinoff will be met. For fiscal 2008, ended June 30, 2008,
CareFusion reported revenue of $4.5 billion and operating earnings
of $725 million. The company will report financials based on two
reporting segments. The Critical Care Technologies segment includes
Cardinal Health's infusion, dispensing and respiratory care
businesses, and the Medical Technologies and Services segment is
comprised of Cardinal Health's infection prevention, surgical
instruments, and diagnostic and monitoring products businesses.
Fiscal 2008 revenue for the Critical Care Technologies segment was
$2.6 billion, with segment profit of $512 million. The Medical
Technologies and Services segment reported fiscal 2008 revenue of
$1.9 billion and $213 million in segment profit. Consistent with
SEC guidelines, the historical financials included in the Form 10
are provided on an "as managed" basis and include certain
businesses that will be retained by Cardinal Health after the
spinoff. Historical financials may not necessarily reflect what
CareFusion's results of operations would have been had it been a
separate, standalone company. Executive officers for CareFusion
named in the filing are Schlotterbeck, 61, chairman and chief
executive officer; Dwight Winstead, 60, chief operating officer;
Cathy Cooney, 57, executive vice president of human resources;
Vivek Jain, 37, president of medical technologies and services;
Thomas Leonard, 41, president of dispensing technologies; Joan
Stafslien, 44, executive vice president, general counsel and
secretary; and Carol Zilm, 54, president of critical care
technologies. The company is making progress in its search for a
chief financial officer. The Form 10 Registration Statement is
accessible through the SEC's database of online corporate financial
information by searching under CareFusion at http://www.sec.gov/. A
copy of the Form 10 filing will also be available on the investor
page at cardinalhealth.com. Q3 Earnings Cardinal Health plans to
release third-quarter results for fiscal 2009 on Thursday, April
30, prior to the opening of trading on the New York Stock Exchange.
The company has scheduled a webcast and conference call for April
30 at 8:30 a.m. EDT to discuss results of the quarter. To access
the call and corresponding slide presentation, visit the investor
page at cardinalhealth.com or dial 617-213-4852, passcode 62189581.
Participants are advised to pre-register at the investor page at
cardinalhealth.com or to dial into the call at least 10 minutes
prior to the start time. Pre-registrants are issued a pin number
that provides faster access to the live call. Presentation slides,
an audio replay and a transcript will be archived on the Web site
after the conclusion of the meeting. The audio replay will also be
available until 5 p.m. EDT on May 4 by dialing 617-801-6888,
passcode 77373130. About CareFusion Corporation CareFusion
Corporation is currently a wholly owned subsidiary of Cardinal
Health and is expected to become a public company through a
separation of Cardinal Health's clinical and medical products
businesses. The global company is expected to have annual revenues
approaching $4 billion(1) and will serve the health care industry
with products and services that help hospitals improve the safety
and quality of health care. With a focus on breaking the cycle of
harmful medication errors and reducing hospital-acquired
infections, CareFusion develops market-leading technologies
including Alaris(R) IV pumps, Pyxis(R) automated dispensing and
patient identification systems, MedMined(TM) electronic infection
surveillance service, AVEA and Pulmonetic Systems ventilation and
respiratory products, Jaeger and SensorMedics pulmonary products,
ChloraPrep(R) infection prevention products and V. Mueller(R)
surgical instruments. CareFusion employs more than 16,000 people
across its global operations. The company intends to apply to have
its shares of common stock listed on the New York Stock Exchange
under the ticker symbol "CFN." About Cardinal Health Headquartered
in Dublin, Ohio, Cardinal Health, Inc. (NYSE:CAH) is a $91 billion,
global company serving the health care industry with products and
services that help hospitals, physician offices and pharmacies
reduce costs, improve safety, productivity and profitability, and
deliver better care to patients. In addition to the businesses that
are expected to be spun off as CareFusion, Cardinal Health also
manufactures medical and surgical products and is one of the
largest distributors of pharmaceuticals and medical supplies
worldwide. Ranked No. 19 on the Fortune 500, Cardinal Health
employs more than 40,000 people on five continents. More
information about the company may be found at
http://www.cardinalhealth.com/. (1)The estimate of the pro forma
revenue for the clinical and medical products company that is
expected to be spun off is an estimate of the revenue for
CareFusion for the 12 months ending June 30, 2009 in accordance
with generally accepted accounting principles and includes
adjustments expected to reflect CareFusion as a stand-alone entity.
This estimate is based on Cardinal Health's previously announced
revenue expectations for fiscal 2009 and on assumptions that
management currently believes are reasonable, but actual revenue
for CareFusion may vary materially from this estimate. Cautions
Concerning Forward-Looking Statements This news release contains
forward-looking statements addressing the planned spinoff of
Cardinal Health's clinical and medical products businesses as a
separate company, the divestiture by Cardinal Health of any
retained shares of CareFusion, and the expected financial results
of CareFusion after giving effect to the spinoff, each of which is
dependent upon future events or developments. These matters are
subject to risks and uncertainties that could cause actual results
to differ materially from those projected, anticipated or implied.
These risks and uncertainties include uncertainties regarding the
planned spinoff of the clinical and medical products businesses as
a new standalone entity, including the timing and terms of any such
spinoff and whether such spinoff will be completed, the timing of
the divestiture of any shares of CareFusion retained by Cardinal
Health and uncertainties regarding the impact on CareFusion and the
market for its securities if the spinoff is accomplished. In
addition, Cardinal Health and CareFusion are subject to additional
risks and uncertainties described in CareFusion's Form 10 and
Cardinal Health's Form 10-K, Form 10-Q and Form 8-K reports
(including all amendments to those reports) and exhibits to those
reports. Except to the extent required by applicable law, Cardinal
Health and CareFusion undertake no obligation to update or revise
any forward-looking statement. DATASOURCE: Cardinal Health, Inc.
CONTACT: Media: Troy Kirkpatrick, +1-614-757-6225, , or Investors:
Sally Curley, +1-614-757-7115, , both of Cardinal Health, Inc. Web
Site: http://www.cardinalhealth.com/
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