Deloitte says goodbye to Radian

Tue, 09 Oct 2007 06:59:59 -0400

In this era, whenever a top accounting firm decides to drop a client, you can bet the rumor will crank up. Case in point: Deloitte & Touche's decision to no longer serve as Radian Group's independent accountant after third-quarter earnings are filed. The market was awash in uncertainty, despite Radian's assurances that no major dispute led to the move, and the stock was pressured. CFO.com notes that the company filed its June 30, 2007 quarterly report before Deloitte had completed a review of interim financial statements. That may have been an issue. In any case, there will be times when such transitions are necessary, but we all have to acknowledge that they will be seen as red flags that investors and others will seize. It will be interesting to see who the new auditor is.

For more:
- here's the CFO.com article