McKesson ‘Tentatively’ Narrows Investor Suit Over Generic Prices

McKesson Corp. and two former executives scored a partial win against securities fraud claims over an alleged industrywide scheme to inflate generic drug prices, when a federal judge in San Francisco indicated he planned to narrow the proposed investor class action.

Judge Charles R. Breyer “tentatively” granted partial summary judgment for the drug distributor Wednesday, saying the pension fund leading the case failed to tie its stock market losses in late 2016 to allegedly false statements McKesson made about the source and sustainability of its soaring earnings.

Any decline in McKesson’s stock price after news broke of a Justice Department ...