AKRON (April 12)—Goodyear has completed an investigation into its overseas accounting operation and likely will record a reduction of about $65 million in net income for the results it originally posted between 1997 and 2003.
The investigation revealed that net earnings would be reduced another $10 million, most of it from the firm's European Union business, which will be added on to the $55 million reduction announced earlier, the company said. Goodyear now plans to file its 2003 10-K report and its amended 2002 10-K by mid-May.
The accounting probe was launched in early December, and on March 9 the company said it was taking disciplinary actions against several managers in its European Union operation.
Because the tire maker will not file its annual report by April 19, as required in its loan agreements, Goodyear is in discussions with lenders to extend its filing deadline by 30 days. In the absence of an extension, the company would not be able to access the funds.