Financial Restatement

Client Profile – Heavy Manufacturing – DOD Contractor

The Need

• Financial restatement and required SEC filings
• Revenue recognition deficiencies for government contracts
• Request extension of filing deadlines for NASDAQ compliance
• Develop accounting policies and procedures for SEC reporting
• Interim support for vacancies in key management roles

The Solution

• Deploy experienced technical and SEC reporting consultants to lead specific initiatives addressing  revenue recognition issues and begin the restatement process
• Provide experienced interim management support in key roles : CFO, Controller, SEC Reporting Director and Accounts Receivable Manager
• Develop, plan and then aggressively seek reporting extensions from NASDAQ to prevent delisting
• Develop accounting policies and procedures to standardize reporting and day-to-day operations

The Results

• NASDAQ provided the Client with a 180 day extension; this deadline was met and client was not delisted
• Client successfully restated its financial statements and filed all outstanding SEC Reports

Subsequent to the completion of the restatement and SEC filings, client re-engaged our team to assist with the reconstruction and roll-back of their inventory balances to prior years