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Saito v. McKesson HBOC, Inc.
Citation:806 A.2d 113 (2002)
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On October 17, 1998, McKesson Corporation entered into a stock-for-stock merger agreement with HBO & Company (HBOC). On October 20, appellant, Noel Saito, purchased McKesson stock. The merger was consummated and the combined company was renamed McKesson HBOC, Incorporated. In 1999, McKesson HBOC reduced its revenues and the restatements were all attributed to HBOC accounting irregularities. Saito and other plaintiffs alleged that McKesson’s directors breached their fiduciary duties of care and by failing to monitor the company’s compliance with financial reporting requirements.
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