July 06, 2005
The New El Nino: Sarbanes-Oxley
Remember when everything that happened was due to El Nino? Well think of Sarbanes-Oxley as the new El Nino. People are blaming lower earnings, no interest in M&A and even considering de-listing.
See excerpt from an article here:
"Sarbanes-Oxley Costs Drag on Car-Mart ResultsBy Lance TurnerArkansasbusiness.com Daily Report - 7/6/05 12:04:51 PM
America's Car-Mart Inc. of Bentonville on Wednesday reported that quarterly income and earnings per share decreased 7 percent from the same quarter last year as Sarbanes-Oxley compliance costs weighed on results.
The used-car dealership chain said revenue increased 16 percent to $55.2 million, up from $47.7 million during the same quarter last year. But quarterly income and diluted earnings per share fell to $4.3 million and 36 cents, respectively, down from $4.6 million and 39 cents during the same quarter last year.
In a news release, Car-Mart attributed the income and earnings decrease to "external Sarbanes-Oxley compliance-related costs" of $700,000 during the quarter, with no such costs during the same quarter last year."
Sounds like they chould have managed their project better. $700K for a company that size is high. They probably were not familiar with the Compliance Playbook(tm).
To rapidly and cost effectively manage your Sarbanes-Oxley Compliance project, click on www.issuescentral.com\meth1.htm and learn more about the Sarbanes-Oxley Compliance Playbook(tm) or call (800) 410-6681 ext 114.
See excerpt from an article here:
"Sarbanes-Oxley Costs Drag on Car-Mart ResultsBy Lance TurnerArkansasbusiness.com Daily Report - 7/6/05 12:04:51 PM
America's Car-Mart Inc. of Bentonville on Wednesday reported that quarterly income and earnings per share decreased 7 percent from the same quarter last year as Sarbanes-Oxley compliance costs weighed on results.
The used-car dealership chain said revenue increased 16 percent to $55.2 million, up from $47.7 million during the same quarter last year. But quarterly income and diluted earnings per share fell to $4.3 million and 36 cents, respectively, down from $4.6 million and 39 cents during the same quarter last year.
In a news release, Car-Mart attributed the income and earnings decrease to "external Sarbanes-Oxley compliance-related costs" of $700,000 during the quarter, with no such costs during the same quarter last year."
Sounds like they chould have managed their project better. $700K for a company that size is high. They probably were not familiar with the Compliance Playbook(tm).
To rapidly and cost effectively manage your Sarbanes-Oxley Compliance project, click on www.issuescentral.com\meth1.htm and learn more about the Sarbanes-Oxley Compliance Playbook(tm) or call (800) 410-6681 ext 114.
