MyTravel unlikely to restate previous accounts

Link: Audit controversy grows at MyTravel

The company, the UK’s largest tour operator, has seen its share price plummet after it announced two profit warnings in a fortnight.

Last week MyTravel revealed a potential £50m hole in its accounts after it announced a £12m downgrade due to poor summer trading, an £8m downgrade as result of ‘reconciliations’ when it closed UK accounts and ‘potential revisions to accounting estimates’ of between £15m to £30m, which may result in a further downgrade.

A spokesman for MyTravel declined to comment but it is understood the reported restatement of the company’s accounts is unlikely to happen.

A detailed review of the Group’s commercial activities and financial processes is currently underway.

Pressure is also growing from investors for current finance director David Jardine to step down. He used to work for Andersen – now replaced by Deloitte & Touche – before joining the tour operator.

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