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Eye-Care Recall Reverberates on Wall Street

Product problem seen influencing bids for Bausch & Lomb

By M. Morris,  Newser Staff

Posted May 29, 2007 1:24 PM CDT

(Newser) – In the wake of reports linking its Complete MoisturePlus contact lens solution to a rare eye infection that can lead to blindness, Advanced Medical Optics has recalled the product. Competitor Bausch & Lomb's stock price dropped on the news, since the recall may put AMO's plans to enter the bidding war for B&L in jeopardy.

A CDC investigation disclosed Friday linked the solution to the infection. The problem appears to be an agent the solution fails to protect against, an ophthalmologist told CBS News, rather than contamination of the product itself. The infection is not related to the fungus that forced Bausch & Lomb to withdraw its ReNu with MoistureLoc solution from the market last year.

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 Lomb Inc., the eye-care product maker beset by product recalls and accounting woes, agreed to be acquired by private equity firm Warburg Pincus for about $3.67 billion in cash, the 154-year-old company said Wednesday. (AP Photo/Paul Sakuma)
Lomb Inc., the eye-care product maker beset by product recalls and accounting woes, agreed to be acquired by private equity firm Warburg Pincus for about $3.67 billion in cash, the 154-year-old company...   (Associated Press)
LIFE FAM-SELF-KIDSCONTACTS 1 AK
LIFE FAM-SELF-KIDSCONTACTS 1 AK   (KRT Photos)
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