Sarbox costs plummet by 23%
US corporates shave a significant amount off Sarbanes-Oxley compliance costs for the second consecutive year
The cost of complying with the controversial
nosedived by almost a quarter last year for large US companies.
A survey of 200 companies commissioned by
International showed that costs fell to $2.9m (£1.45m) in 2006 from just
under $3.77m. The results focussed on US companies with at least $75m in annual
Most of the savings came from a 10% cut in internal hours and the fees paid
to outside lawyers and consultants, the annual survey found. The first study in
2004 showed that companies had to weather average costs of $4.5m.
Hours put in by outside auditors also fell but their overall fees for
certifying compliance with the corporate responsibility law fell less than 1%.