Omnicare Outlook Dicey

Some clients are suspicious of companies like Express Scripts already. They blame the companies, known as pharmacy benefit managers, for their growing drug bills.

Omnicare supplies drugs to nursing homes rather than to pharmacies or actual patients. But the company operates as a drug middleman as well -- and has attracted its share of controversy in the process.

Joel Gemunder, Omnicare's media-shy CEO, admitted as much when reviewing the company's recent setbacks at a Bear Stearns conference last month.

"When I grew up in the Bronx in the '50s, the common wisdom was that proper people appeared in the newspapers twice in their lives -- their wedding announcement and their obituaries," Gemunder stated. "Now, we've been in the press a bit more than twice. And by that measure, I suppose, you could say that we've had several lifetimes' worth of coverage over the last few months" alone.

Omnicare's stock has suffered dearly in the process. The shares, which peaked at $62.50 in December, slipped 34 cents to $42.50 on Monday.

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