Avon falls on report feds want to meet Jung

[July 31, 2012]  NEW YORK (AP) -- Shares of Avon fell 4 percent Monday after a published report suggested that federal prosecutors want to meet with former CEO Andrea Jung as part of a bribery investigation.

The company is currently involved in a years-long bribery investigation that led to the ouster of a vice chairman in January. The probe initially involved only executives in Asia, but it spread late last year as federal regulators began looking into the New York company's dealings with financial analysts.

A Wall Street Journal story on Monday, citing unnamed sources familiar with the matter, said that federal prosecutors are interested in speaking with Andrea Jung, the longtime CEO who vacated that post for the executive chairman post in April.

Avon declined to comment on the report. Its shares fell 65 cents, or 4 percent to $15.52 in midday trading. The stock is down about 7 percent since the beginning of the year.

Avon Products Inc. reports its second-quarter results on Wednesday.

[Associated Press]

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