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Analysis: Time for Cyberonics to Improve

Thursday, February 22, 2007 2:07:35 AM

CHICAGO (AP) - Recent months have been eventful and largely rough for Cyberonics Inc., including news the medical-device company is unlikely to win Medicare reimbursement approval for its depression-treatment system.

That follows probes over stock options grants, the related departure of top executives and a very public proxy fight over board members. Through it all, billionaire financier Carl Icahn became one of Cyberonics' biggest shareholders.

Icahn's entrance fueled speculation that Houston-based Cyberonics could be sold, helping to boost the flagging stock. Still, whether a sale looms or not, analysts believe Cyberonics needs to show investors how it plans to emerge from the haze and get back on track.


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