Apple May Restate Profits
Apple May Restate Profits
by , 8:40 AM EDT, August 4th, 2006
Apple Computer issued a warning on Thursday that it may have to restate financial statements to account for past stock option grants. At issue are some back dated stock option grants that were issued between 1997 and 2001.
Apple issued a statement that says in part "The Company will likely need to restate its historical financial statements to record non-cash charges for compensation expense relating to past stock option grants. The Company has not determined the amount of such charges, the resulting tax and accounting impact, or which periods may require restatement. Accordingly, the Company today filed a Form 8-K stating that the financial statements and all earnings and press releases and similar communications issued by the Company relating to periods commencing on September 29, 2002 should therefore not be relied upon."
The investigation is still underway, so Apple is delaying the filing of its Form 10-Q for the quarter that ended July 1, 2006.
Apple first announced that it had discovered some irregularities in stock option grants at the end of June. The company hired independent counsel to investigate the matter further. In early July, two law suits were brought against the company over the irregularities.
Apple stock is currently trading in the pre-market at US$69.59, down 2.22 (3.19%).
If you are interested in Apple's stock, join our forum members in the Apple Finance Boards, a moderated forum for Apple Investors and people who are interested in Apple's financial dealings. For other stories regarding Apple's stock activity, visit our updated Apple Stock Watch Special Report.
- Mon,12:40 PM
- Three Ways to Protect your Apple Watch (and One Way Not To)
- Mon,8:25 PM
- Apple CEO Tim Cook Congrats Denver Broncos with Tweet
- 8:15 PM
- Firewatch Release on February 9th for Mac, Windows, Linux, PlayStation 4
- 7:53 PM
- Intego Warns of Fake Flash Update that Installs Scareware
- 5:30 PM
- Infographic for Spotting Fake Apple Watches
- 5:00 PM
- TMO Background Mode: Interview with The Wirecutter’s Editor at Large Glenn Fleishman
- 4:34 PM
- AppDelete Uninstaller for Mac: $4
- 2:33 PM
- Apple Files for Mistrial in VirnetX Patent Infringement Case
- 1:19 PM
- TMO Daily Observations 2016-02-08: Apple’s Error 53, Future Apple Watch Sensors
- 11:05 AM
- Apple Quietly Rolls Out 2013 Mac Pro Video Repair Program
- 10:16 AM
- Apple: Error 53 is About Security, not Bricking iPhones
- Sun,4:17 PM
- MGG 591: If You Had a JBOD Would You Hold It Against Us?