Skilled Healthcare (SKH) Group Completes Financial Restatement
Skilled Healthcare Group, Inc. (NYSE: SKH) announced the completion of its special investigation relating to the understatements of its accounts receivable reserves in its financial statements for the periods January 1, 2006 through March 31, 2009. The Company has completed the restatement of its consolidated financial statements for the three years ended December 31, 2008 and each of the quarterly periods from January 1, 2007 through March 31, 2009 and today filed an amended Annual Report on Form 10-K/A for the year ended December 31, 2008 and an amended Quarterly Report on Form 10-Q/A for the quarter ended March 31, 2009 with the Securities and Exchange Commission.
The special investigation confirmed, as previously reported, that management identified the errors through an internal review of its reserves for accounts receivable after a former senior officer of the long-term care segment left the Company for unrelated reasons. After determining that the former employee had acted in a manner inconsistent with the Company's accounting and disclosure policies and practices, management recommended to the Audit Committee that a restatement was required...The investigation found no evidence that anyone else within the Company knew of, or participated in, the improper conduct.
Cumulative charges against after-tax earnings for all periods affected between January 1, 2006 and March 31, 2009 were $8.4 million in the aggregate, consistent with the estimate that management provided on June 9, 2009 of between $8 million and $9 million. The accompanying tables provide a summary of changes to the consolidated income statement. Additional detail is provided in the Form 10-Q/A and Form 10-K/A filed today.
Create E-mail AlertRelated Categories
Corporate NewsStocks Mentioned
-0.13Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
