Tech Data announced that the Audit Committee of its board, on the recommendation of management, and after discussion with the company's independent accountants, Ernst & Young, concluded that the company will restate some or all of its previously issued quarterly and audited annual financial statements for the fiscal years 2011 and 2012, and some or all of the quarters of fiscal year 2013, including Q4 and FY13 earnings release dated March 4. Accordingly, investors should no longer rely upon the company's previously released financial statements and other financial data relating to these periods. In addition, the company will likely seek a 15-day filing extension for its Annual Report on Form 10-K for FY13. The company anticipates that the restatement will be made to correct improprieties primarily related to how the company's U.K. subsidiary reflected vendor accounting. The Company estimates that the restatement will reduce previously reported consolidated operating income by an aggregate amount of approximately $30M-$40M, and consolidated net income by an aggregate amount of approximately $25M-$33M, over the three fiscal year periods. These preliminary estimates are based on currently available information and are subject to change during the course of the company's ongoing investigation. As a result of this investigation, the company is in the process of evaluating deficiencies in its internal controls over financial reporting.
- Investment & Company Information