SunEdison, the largest renewable energy company in the world, is again delaying the filing of its 10-k annual report.
In a release Wednesday, the company said it has still not resolved accounting issues that led to the delay of the report and it will take longer than the 15-day allotment that expired Tuesday to resolve the matter.
The company said that the “material weakness” in the company’s accounting was due to “deficient information technology controls in connection with newly implemented systems.” This has caused delays in the review by both the company’s internal audit team and its independent auditor KPMG.
This news is merely another blow for SunEdison, which has seen its stock drop by more than 90% since July. Most recently, its CFO step down on March 11. Hedge fund giant David Tepper launched a lawsuit against the company.
In response to the news SunEdison shares are crashing again, down about 17% in pre-market trading.
Here’s the full release from SunEdison:
MARYLAND HEIGHTS, Mo., March 16, 2016 /PRNewswire/ — SunEdison, Inc. (NYSE: SUNE), the largest global renewable energy development company, announced today that it is delaying the filing of its Annual Report on Form 10-K for the year ended December 31, 2015 beyond the extended due date of March 15, 2016.
The scope of work required to finalise the Company’s financial statements included in the 2015 Annual Report on Form 10-K has expanded due to the identification by management of material weaknesses in its internal controls over financial reporting, primarily resulting from deficient information technology controls in connection with newly implemented systems. Because of these material weaknesses, additional procedures are necessary for management to complete the Company’s annual financial statements and related disclosures, and for the Company’s independent registered accounting firm, KPMG LLP, to finalise its audits of the Company’s annual financial statements and the effectiveness of internal controls over financial reporting as of December 31, 2015. In addition, the investigation by the Audit Committee, previously disclosed by the Company on Form 12b-25 filed with the Securities and Exchange Commission on February 29, 2016, concerning the accuracy of the Company’s anticipated financial position previously disclosed to the Company’s board of directors, has not yet been finalised.
To date, the additional procedures performed as a result of the material weaknesses identified and the investigation by the Audit Committee have not resulted in the identification of any material misstatements or restatements of the Company’s audited or unaudited consolidated financial statements or disclosures for any period previously reported by the Company.
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