The Channel logo

News

By | Paul Kunert 9th December 2013 16:59

Tech Data granted one more stay of execution by NASDAQ

Time to get accounts in order or get off the stock exchange, distie admits

The NASDAQ Panel has granted Tech Data a final extension until the end of March to get its accounts up-to-date or face an embarrassing and costly de-listing.

The tanker-sized wholesaler confirmed this in a brief filing today that it had until the 27th of that month to report restated results for each quarter in fiscal '14 ending January, as well as fiscal '11 and '12.

"The company must regain compliance with all the applicable requirements for continued listing on the NASDAQ Stock Market, including filing its outstanding annual and periodic reports with the SEC on or prior to March 27," Tech Data stated.

Quarterly results need to be filed with the SEC 40 days after the close of the period to keep the distie compliant with the stock market regulations.

As world + dog knows, the US-based company went public in March over "vendor accounting" errors, which is believed to be related to the return merchandise authorisation process and rebates.

Some middle management staff in the finance function were suspended as Europe CFO Marco Preda parachuted into the UK organisation to check out the procedures.

Auditors also took over the board room as they pored through the books to uncover the reasons for the anomalies.

Various NASDAQ-set deadlines came and went but Tech Data will need to hit the one in March, which it applied for in October, or potentially be booted from NASDAQ.

Tech Data previously estimated that restating the multi-year results will wipe up to $33m off its bottom line.

As revealed by us last month, Tech Data has brought in company veteran Kevin Corcoran as director of credit services and after sales management in a bid to further tighten the processes. ®

alert Send corrections

Opinion

Memristor_wafer

Chris Mellor

Execution warrant close to being signed for Fink's folly
Woman cuddles 'sly-looking' Fennec fox. Photo by Shutterstock
Cartoon of employee asking wky boss makes hium wear suspenders (while pincer through open trapdoor remains poised above his head) illustration by Cartoon resource for Shutterstock

Frank Jennings

It's not like my boss painstakingly nurtured the contacts, right?

Features

Girl and computer, photo via Shutterstock
Middle-class terror of engineering also part of problem
Nerd fail photo via Shutterstock
Shouting match
Single market vs. rest of the world