as nyse cah s & p 500 component industry pharmaceuticals founded 1971 headquarters dublin ohio u.s. area served worldwide key people george s. barrett chairman and ceo products medical and pharmaceutical products and services revenue us 102.5 billion 2015 1 operating income us 2.10 billion 2015 1 net income us 1.22 billion 2015 1 total assets us 30.1 billion 2015 1 total equity us 6.26 billion 2015 1 number of employees 35 000 2 3 2015 website cardinalhealth.com cardinal health inc. is an american fortune 500 health care services company based in dublin ohio . the company specializes in distribution of pharmaceuticals and medical products serving more than 100 000 locations . 3 the company also manufactures medical and surgical products including gloves surgical apparel and fluid management products . in addition it operates the nation s largest network of radiopharmacies . 4 cardinal health provides medical products to over 75 percent of hospitals in the united states . 5 in december 2013 it was announced that cardinal health would team up with cvs caremark which would form the largest generic drug sourcing operation in the united states . the venture was named red oak sourcing and began operations in july 2014 . 6 contents 1 history 1.1 acquisitions 2 controversy 2.1 restatements 2.2 dea investigation into oxycodone diversion 3 cardinal health foundation 4 references 5 external links history edit founded in 1971 as cardinal foods by robert d. walter the company was initially a food wholesaler . after acquiring the bailey drug company in 1979 it began wholesaling drugs as cardinal distribution incorporated . the company went public on the nasdaq stock exchange in 1983 and subsequently began a long string of acquisitions and mergers . in 1988 walter sold cardinal health s food operations to roundy s. 7 from 1991 to 1996 the company s sales grew from 1.2 billion to 8.9 billion . 8 in a case study for harvard business review mary teagarden describes cardinal health in this period as one of a handful of large u.s. companies that had achieved earnings per share growth in excess of 20 percent for 15 years straight . 9 the company changed its name to cardinal health in 1994 and became the third largest pharmaceutical wholesaler in the united states . 7 10 r. kerry clark a former executive and vice chairman at procter & gamble was appointed president and ceo in april 2006 with robert d. walter retaining chairmanship of the board . 11 in september 2008 the company announced clark and walter would retire and george s. barrett would become the chairman and ceo . 12 13 cardinal health completed the spin off of its clinical and medical products and nuclear businesses into an independent medical technology company called carefusion in 2009 with david schlotterbeck as ceo . 14 15 cardinal health is now traded on the nyse under symbol cah . 16 as of july 2016 it is ranked 21 on the fortune 500 list with fy2016 annual revenue of 102.5 billion . 17 the firm employs 34 000 people worldwide . 18 acquisitions edit in 1995 medicine shoppe international st. louis est. 1970 the country s largest franchise of retail pharmacies was acquired . the merger represented the first non distribution acquisition by cardinal health . 19 the following year the company acquired pyxis corporation a company that developed automated pill dispensers for hospitals for 867 million . 20 in a 1997 competition between cardinal health and mckesson corporation cardinal health planned to purchase bergen to which mckesson responded with a bid to purchase amerisource . instead amerisource and bergen merged into amerisourcebergen . 21 later that year cardinal health completed the acquisition of owen healthcare the second largest provider of pharmacy management services in the u.s. at the time . 22 in 1999 the firm acquired the chicago based medical products manufacturer and distributor allegiance healthcare formerly a division of baxter healthcare . allegiance made surgical drapes gloves and gowns and distributed customized arrangements of medical supplies called custom sterile packs and procedure based delivery systems . 23 during 2001 the company spent approximately 30 billion on acquisitions including bindley western industries wholesale distributor of pharmaceuticals based in indianapolis . 19 in april 2006 cardinal health purchased niagara falls based parmed pharmaceuticals for 40.1 million . parmed s focus of selling medicine in smaller quantities complements cardinal health s distribution to bigger hospital and drug store chains . in june 2007 the firm announced the completion of a tender offer for viasys healthcare . 24 in june 2010 cardinal health announced plans to expand its presence in specialty pharmaceutical services with an agreement to purchase healthcare solutions holding for 517 million . 25 in december 2010 the company acquired kinray one of the last independent pharmaceutical wholesalers in the united states increasing cardinal health s presence in the independent pharmacy market by 40 percent . 26 kinray had annual revenue of over 3.5 billion and served about 2 000 independent retail pharmacy customers . 26 from 2010 to 2014 cardinal health acquired 18 companies including yong yu a chinese drug distributor . cardinal health teamed up with cvs to form red oak sourcing the largest generic drug sourcing operation in the united states in july 2014 when the companies started buying generic drugs around the world to sell in u.s. markets . 5 in march 2015 cardinal health signed an agreement to acquire johnson & johnson s cordis medical division a cardiology and endovascular device manufacturer for 1.94 billion . cordis largest market is in the united states but the manufacturer employs approximately 3 000 people around the world and 70 percent of its sales are international . 27 28 the acquisition was completed on october 4 2015 . 29 controversy edit restatements edit in september 2004 cardinal health announced to restate past results for fiscal 2001 2002 2003 and the first three quarters of 2004 downward after an accounting review and an ongoing federal investigation . in 2005 in connection with the audit committee s conclusions reached in september and october 2004 the company made certain reclassification and restatement adjustments to its fiscal 2004 and prior historical consolidated financial statements . 30 according to the wall street journal analysts called the restatement decision troubling yet limited in scope . 31 dea investigation into oxycodone diversion edit see also drug diversion in 2008 cardinal health agreed to pay 34 million in civil penalties to settle dea allegations that it failed to report suspicious orders of hydrocodone . the fine followed a 10 month dea suspension of a lakeland florida distribution facility and two others in new jersey and washington . 32 on february 2 2012 the drug enforcement administration again suspended the license of the firm s lakeland distribution center to distribute controlled substances on charges that it had allowed four florida pharmacies to purchase excessive amounts of controlled substances in particular oxycodone . 33 cardinal health obtained a restraining order against the suspension but the suspension was upheld on february 29 by a federal district court because the court agreed with the dea that cardinal health s activities represented an imminent danger to the public . 34 the company stated that it blocked two of the pharmacies brooks pharmacy in bonita springs florida and gulf coast medical in panama city florida and notified the corporate owners of the two pharmacies that were part of national chains two cvs stores in sanford florida . 33 cardinal health foundation edit the cardinal health foundation is the charitable arm of cardinal health . the company makes annual product donations of over 9 million through international relief organizations and provides up to 1 000 in matching funds for every cardinal health employee that makes a charitable donation . 35 in 2008 the foundation established its e3 grant program . 36 over the past seven years the foundation has invested more than 7.15 million in funding to 241 hospitals health systems or other health related organizations . 1 cardinal health also supports organizations such as ronald mcdonald house charities and was named benefactor of the year at the 2011 corporate caring awards . 35 in 2015 the foundation contributed 3 million to the solutions for patient safety project which has raised over 11 million nationally for efforts to improve safety initiatives in children s hospitals . 37 references edit a b c d e f financial statements for cardinal health inc. google finance . google.com . retrieved june 10 2015 . cardinal health annual report pdf . cardinal health annual report . june 30 2015 . a b wartenberg steve february 28 2015 . cardinal health moving some dublin jobs to philippines . the columbus dispatch . retrieved june 10 2015 . about cardinal health . a b wartenberg steve november 6 2014 . turnaround succeeding cardinal health says . the columbus dispatch . retrieved june 10 2015 . berkrot bill 10 december 2013 . cvs cardinal health form u.s. generic drug venture . reuters . retrieved 11 december 2013 . a b executive interview bob walter . journal of healthcare contracting . march 2005 . retrieved june 10 2015 . the 9 billion company nobody knows . bloomberg business . march 2 1997 . retrieved june 10 2015 . teagarden mary b. march 11 2009 . cardinal health inc. case study a . hbr.org . harvard business school . retrieved may 20 2016 . wankel charles 2009 . encyclopedia of business in today s world a c. 1 . sage publications . retrieved june 10 2015 . walter steps down at cardinal health p & g exec takes over . columbus business first . april 17 2006 . retrieved june 10 2015 . ghose carrie october 6 2008 . next cardinal health ceo sees bright future after spinoff . columbus business first . retrieved june 10 2015 . wartenberg steve may 19 2013 . cardinal health s ceo uses background to think outside the box . the columbus dispatch . retrieved june 10 2015 . cardinal health to name spinoff after carefusion line healthcare it news . february 18 2009 rhea shawn september 2 2009 . cardinal health completes carefusion spinoff . modern healthcare . retrieved june 10 2015 . cardinal health inc nyse cah . fortune 500 list for 2016 . fortune 500 fortune 500 cardinal health profile . fortune 500 a b cardinal health inc. history . international directory of company histories . 50 . st. james press . 2003 . retrieved june 10 2015 . freudenheim milt february 8 1996 . cardinal deal to buy pyxis in stock swap . the new york times . retrieved june 10 2015 . mckesson plans to buy rival amerisource reuters september 24 1997 accessed july 20 2011 . cardinal health to purchase owen healthcare . the new york times . november 28 1996 . retrieved june 10 2015 . learning the business from the ground up an interview with steve inacker dc velocity q & a cardinal health acquires viasys for 1.5 b . healthcare it news . may 14 2007 . retrieved june 10 2015 . taulli tom june 9 2010 . cardinal health pays 517 million for obscure specialty pharma firm . daily finance . retrieved june 10 2015 . a b dinah wisenberg brin cardinal health to purchase kinray wall street journal november 19 2010 wartenberg steve march 3 2015 . cardinal health to acquire cordis for 1.9 billion . the columbus dispatch . retrieved june 10 2015 . cardinal health to buy j & j s heart business for 1.94 b . fox business . march 2 2015 . retrieved june 10 2015 . http www.prnewswire.com news releases cardinal health completes acquisition of cordis 300153418.html cardinal health inc 10 q quarterly report . burton thomas m. september 14 2004 . cardinal health to restate net citing bulk revenue accounting . the wall street journal . the wall street journal . retrieved may 17