The Securities and Exchange Commission is investigating recent warnings on earnings by Baxter International, Deerfield, Ill., Baxter officials said. The company is cooperating fully, the officials said. Earlier this month Baxter warned of lower earnings and disclosed plans to restructure its plasma operations. Baxter announced second-quarter results today and because of a $200 million charge for the restructuring reported net income of $49 million, or 8 cents per share, down from $204 million, or 33 cents per share, in the year-ago period. Baxter said the charge covers severance costs for about 3,200 employees, or 6% of Baxter's workforce. That's 700 more layoffs than the company announced July 2 along with its intent to close more than two dozen plasma collection centers. -- by Cinda Becker
Baxter says SEC investigating earnings warnings
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