Mead Johnson Nutrition disclosed this week in an earnings call that the government’s investigation into possible violations of the Foreign Corrupt Practices Act continues to progress, but with no end in sight.
In 2013, the Securities and Exchange Commission launched an investigation into whether a Chinese subsidiary of the infant formula maker inflated formula prices in China. As part of its own internal investigation, Mead Johnson is reviewing whether certain expenditures made in connection with the promotion of its products may have violated company policies, as well as the FCPA.
“Our internal investigation has progressed,” said Chief Executive Officer Kasper Jakobsen in a Jan. 29 earnings call. “We’ve shared the results of our work, to date, with both the SEC and the Department of Justice, and we are responding to their request for additional information.”
“At this time, we can’t predict how or when the matter will be resolved,” Jakobsen added.
Pressed further about the matter, Jakobsen said it’s “too early” to provide further detail. “Obviously, it’s a priority for us to try and bring it to resolution as soon as we can.”