Billion dollar restatement for US drugs giant
Pharmaceuticals giant Bristol-Myers Squibb is to restate its accounts, lowering sales revenues by $2bn (£1.3bn).
The restatement will affect the accounts for 2002 and 2001 and will delay publication of the company’s third quarter results. The company also said sales for 2002 should be revised upwards.
The difficulties appear to stem from challenges to the company’s revenue recognition policy.
A statement from the company said: ‘The restatement is expected to reflect primarily adjustments in the timing of revenue recognition of the company’s USpharmaceutical sales to certain of its wholesalers.’