Smith & Nephew plc (ADR) Under Investor Investigation Over Potential Foreign Bribery

If you are a current long term investor in Smith & Nephew plc (ADR) (NYSE:SNN), and/or have any information relating the investigation, you have certain options and you should contact the Shareholders Foundation, Inc.

To have your information reviewed for options and to recieve notifications about this investigation, please use this form. You may also send an email to mail@shareholdersfoundation.com, or call us at (858) 779-1554.

Company Name(s):

Smith & Nephew

Affected Securities:

NYSE: SNN

An investigation on behalf of current long term investors in Smith & Nephew plc (ADR) NYSE:SNN) in connection with possible violations of the U.S. Foreign Corrupt Practices Act was announced

Smith & Nephew plc, located in London, England, is a global medical devices business operating in the orthopedics, endoscopy and advanced wound management markets.

According to the investigation by a law firm the investigation on behalf of current long term investors in Smith & Nephew plc (ADR) (Public, NYSE:SNN) stocks focuses on potential violations of the U.S. Foreign Corrupt Practices Act (“FCPA”), which prohibits companies from making improper payments to foreign officials for the purpose of obtaining or keeping business. According to the Justice Department “The Foreign Corrupt Practices Act was enacted for the purpose of making it unlawful for certain classes of persons and entities to make payments to foreign government officials to assist in obtaining or retaining business. Specifically, the anti-bribery provisions of the FCPA prohibit the willful use of the mails or any means of instrumentality of interstate commerce corruptly in furtherance of any offer, payment, promise to pay…to a foreign official to influence the foreign official in his or her official capacity … to secure any improper advantage in order to assist in obtaining or retaining business for or with, or directing business to, any person.”

Smith & Nephew plc (ADR) reported in 2006 Total Revenue of $2.779billion, in 2007 $3.369billion, in 2008 $3.801billion, and in 2009 $3.772billion. Its Net Income went over the same time frame from $745million in 2006 to $472million in 2009.

Nearly a dozen companies have already settled foreign bribery charges with prosecutors in a string of cases that started in 2002. The Securities and Exchange Commission (SEC) has told Smith & Nephew and at least four rival makers of medical devices that they are being investigated over the sale of their products outside the US under the Foreign Corrupt Practices Act.

Shares of Smith & Nephew plc (ADR) (Public, NYSE:SNN) traded recently at $45.05 per share, down from its 52weekHigh of $54.11 per share, and $67.67 per share in 2008.