PracticeAuditCallaway hits KPMG into the rough

Callaway hits KPMG into the rough

Golf club manufacturer, Callaway Golf, famous for its Big Bertha titanium driver, has fired its auditor KPMG, which replaced disgraced firm Andersen in March this year.

Link: Read how Andersen collapsed

The decision was taken by the audit committee of Callaway following a dispute over how to account for a $17m reduction in reserves, and announced in a telephone conference call yesterday.

The company said it had gone with KPMG to the SEC to resolve the issue, but could not reach agreement. As a result, Callaway said it had decided to bring in ‘fresh eyes’ to look at the matter.

The company will now only file its third quarter earnings a month later, after having to wait for a report from its new auditor Deloitte Touche Tohmatsu.

Callaway was one of many US companies forced to change its auditor, after the demise of Andersen, which no longer has a license to audit in the US and is rapidly crumbling.

Related Articles

Is predictive analytics the end of the annual audit?

Audit Is predictive analytics the end of the annual audit?

1d Martin Herron, MHA MacIntyre Hudson
Auditors ‘in the dock’ over Carillion as report calls for Big Four break-up

Audit Auditors ‘in the dock’ over Carillion as report calls for Big Four break-up

6d Emma Smith, Managing Editor
PCAOB sanctions former Deloitte Turkey CEOs over altered documents

Audit PCAOB sanctions former Deloitte Turkey CEOs over altered documents

2w Alia Shoaib, Reporter
KPMG South Africa to review past audit work amid fresh scandal

Audit KPMG South Africa to review past audit work amid fresh scandal

1m Alia Shoaib, Reporter
FRC introduces £10m sanctions for Big Four firms

Audit FRC introduces £10m sanctions for Big Four firms

1m Alia Shoaib, Reporter
Ukraine’s PrivatBank files $3bn claim against PwC

Audit Ukraine’s PrivatBank files $3bn claim against PwC

2m Alia Shoaib, Reporter
Grant Thornton to exit FTSE 350 audit market, citing Big Four dominance

Audit Grant Thornton to exit FTSE 350 audit market, citing Big Four dominance

2m Alia Shoaib, Reporter
Big Four dominate FTSE 250 audit market in Q1 rankings

Audit Big Four dominate FTSE 250 audit market in Q1 rankings

3m Alia Shoaib, Reporter