Bausch & Lomb Discloses Probe

CHICAGO (Reuters) - Eye-care products maker Bausch & Lomb on Wednesday disclosed an investigation into allegations of improper conduct at its Brazilian subsidiary and said related charges will sharply reduce quarterly earnings.

The company warned it may delay filing its third-quarter earnings report, due next week, as the board of directors' audit committee investigates whether executives at its BL Industrial Otica unit mischaracterized about $600,000 in expenses to fund a $1.5 million pension arrangement for themselves.

The Brazilian business, which makes contact lenses and markets a range of surgical and pharmaceutical products, accounted for about $20 million in 2004 net sales, which is less than 1 percent of Bausch & Lomb's total revenues.....

Bausch & Lomb, based in Rochester, New York, said...