Novell delays financial results due to SEC inquiry
- 06 December, 2007 09:27
Novell on Wednesday said it has postponed announcing its fiscal fourth quarter and year-end 2007 results due to a review by the US Securities and Exchange Commission into its accounting practices.
The Linux and open-source company was scheduled to report the results for the quarter and fiscal year ended Oct. 31, 2007, on Wednesday, but now has put them off until the SEC finishes its review. However, Novell does expect to file its Form 10-K for the current fiscal year before its due date of Dec. 31.
Novell said it received a letter from the SEC dated Aug. 7 regarding the company's Form 10-K for the fiscal year ended Oct. 31, 2006, and its Form 10-Q for the quarterly period ended April 30, 2007. The company responded in September but received another letter on Oct. 18 indicating that the SEC had reviewed Novell's first letter and would limit its future response to certain accounting matters.
Novell responded to the SEC's second letter on Nov. 7 and is currently awaiting word from the agency, the company said.
In a news release, Novell CFO, Dana Russell, said the company is "confident" of its accounting and working "diligently" with the SEC to respond to the agency's inquiries.