Wednesday, August 04, 2004

Today’s accounting lesson? Tell people when you change accounting policies!

Without admitting guilt, Halliburton agreed to pay a $7.5 million fine to the SEC. This investigation has drawn much attention because the reason for the investigation (questionable accounting practices) happened during John Cheney’s (current VP of US) reign as CEO. “The accounting change dealt with the way Halliburton booked cost overruns on projects….The actual change in accounting, the commission said, was permissible under generally accepted accounting principles, but the failure to inform investors that the change had been made - and of its effect on the company's reported profit - violated securities laws.” NY Times 8/4/2004

Score another one for increased transparency!!! :)


http://www.nytimes.com/2004/08/04/business/04halliburton.html
http://quote.bloomberg.com/apps/news?pid=10000103&sid=aHJV.RQF4R4k&refer=us
http://www.tucsoncitizen.com/index.php?page=business&story_id=080404d1_halliburton

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