Cyberonics Delays Filing Annual Report

Cyberonics officials said this week that they will delay filing its annual report with the Securities and Exchange Commission (SEC) pending a review of its past stock option grants and possible related accounting issues, according to the Associated Press.
   The Houston, TX-based medical device manufacturer was the subject of an informal inquiry by the SEC in June related to its stock option grants, and was also subpoenaed by the U.S. Attorney’s Office for the Southern District of New York.
   Cyberonics, unlike many companies who are under internal or federal investigation for timing option grants to coincide with share price lows in order to inflate profits, was alleged by a Wall Street analyst to have timed its stock option grants to coincide with positive news that would likely boost the share price.