Central European Distribution Corp. (fka CEDCQ)

[Bart Myers]

Citigroup has published a research report on Central European Distribution Corporation (NASDAQ: CEDC) after participating in the company's most recent conference call.

In the report, Citigroup writes "After CEDC published 4Q10 results on March 2011, the shares shed ~45% in a little over a week. The collapse went beyond the 4Q10 EPS miss ($0.17/share vs. consensus $1.09) caused by a combination of failed execution and one-off factors. Reduced FY11 guidance (at the midpoint, FY11 EPS target was ~28% below initial FY10 expectations) explained much of the fall, in our view. However, we believe a combination of an absence of a profit warning after what we would have considered a material event in November, director share sales in December, an ill-timed change of auditors and the technical breach of debt covenants resulting from a poor quarter also contributed."


Read more: http://www.benzinga.com/analyst-ratings/analyst-color/11/03/923255/update-citigroup-lowers-pt-on-cedc-to-17#ixzz1GaTP2reM