Dell announced this week it would be restating revenue for 2003 to 2006 -- to the tune of a $92 million loss. Blogging Stocks writer Brian White suggests this will be the last restatement from the computer maker, and that it should bring an end to a season of relative chaos for Dell -- a season full of investigations, firings, restatements and hirings:
This may be the last restatement for the company after it figured out that some senior managers and execs were cooking the books a bit to rev up quarterly earnings in order for the company to meet market expectations. How this happened for more than four years is still uncertain, as apparently former CEO Kevin Rollins as well as founder (and current CEO) Michael Dell were clueless to the accounting shenanigans.
What made the difference? White's conclusion is simple:
Perhaps now the company has some Sarbanes-Oxley compliance officers on board?
Hopefully he's right.