Audit Integrity Corrects and Upgrades Mylan Inc`s Bankruptcy Probability Ranking after Correcting for Thomson Reuters` Stock Pricing Error

* Reuters is not responsible for the content in this press release.

Mon Oct 5, 2009 9:30am EDT

Independent Research Firm Reaffirms Findings of Other Companies Most Likely to
File for Bankruptcy Including Hertz Global Holdings
LOS ANGELES--(Business Wire)--
Audit Integrity, an independent financial research and risk modeling firm,
announced today that it has revised and upgraded Mylan Inc`s bankruptcy
probability ranking. Due to a stock pricing error made by data provider Thomson
Reuters, Mylan was erroneously placed among the companies most likely to go
bankrupt over the next twelve months. 

Audit Integrity`s bankruptcy model is comprised of multiple data factors with
various weightings, including the volatility of a company`s stock price. After
releasing its bankruptcy model, Audit Integrity discovered that Thomson Reuters
mistakenly applied a dividend issue to Mylan`s common stock instead of its
preferred stock. The error significantly skewed the calculation Audit Integrity
used to determine Mylan`s stock volatility. Audit Integrity informed Thomson
Reuters of the error and it has subsequently been corrected. 

"We deeply regret our error, and we sincerely apologize to Mylan for the
inadvertent misrepresentation," said Jack Zwingli, Audit Integrity`s CEO.
"Thomson Reuters is a highly reliable and respected supplier of stock pricing
information and this error is an aberration. We are confident that we can
continue to reliably use the service going forward, but nevertheless we have
implemented additional data checking processes." 

Audit Integrity recently released the findings of its newly launched bankruptcy
model, which calculates the statistical likelihood that publicly-traded
companies will file for bankruptcy. The model is designed as a risk measurement
tool for insurance companies, auditors and institutional investors, who have a
greater concern about companies` financial solvency risks and likelihood of
going bankrupt. The model uses objective information and a proven modeling
approach that has yielded highly predictive results. 

Business bankruptcy filings during the first six months of 2009 are up more than
60 percent from a year ago. While bankruptcy is a relatively low incidence
event, corporate stakeholders use bankruptcy models to identify companies with
financial distress issues that fall short of bankruptcy but are still of great
concern. 

Mr. Zwingli said Audit Integrity has manually re-verified the data used to
determine the pricing data and the rankings of the 19 other companies with a
market capitalization in excess of $1 billion that it previously identified as
statistically most likely to go bankrupt and stands behind its earlier findings.
One of those companies, New Jersey-based Hertz Holdings, has sued Audit
Integrity and Mr. Zwingli for defamation and trade libel because of its
bankruptcy ranking. 

"Given the 24 pages disclosing extensive financial and business continuity risks
contained in Hertz`s most recent 10-K, we are incredulous that Hertz has chosen
to squander its shareholder resources by filing a frivolous lawsuit," Mr.
Zwingli said. "Many of the arguments it makes to support its claim of sound
financial health actually support our model`s findings. Taking actions such as
accounting changes, selling assets, restructuring and downsizing are clear
warning signs of financial distress and raise legitimate concerns about the
company`s well-being." 

About Audit Integrity

Founded in 2002, serving investors, insurers, auditors and corporate finance
professionals, Audit Integrity is a leading independent research firm that rates
more than 12,000 public companies in North American and Europe based on their
corporate integrity. In addition to its flagship Accounting and Governance Risk
(AGR) ratings, Audit Integrity also forecasts bankruptcy risk, class action
litigation risk, material financial restatement risk, and equity performance
risk. The statistical correlation of these ratings has been confirmed by
internal and third-party tests. Audit Integrity has offices in Los Angeles and
New York City. For more information, please visit www.auditintegrity.com.

Starkman & Associates
Jeffrey Richardson, 212-252-8545, ext. 11
jrichardson@starkmanpr.com
or
James Cheston, 212-252-8545, ext. 22
jcheston@starkmanpr.com

Copyright Business Wire 2009

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