Sweet boost to Andersen's confidence
Under-fire Andersen has received a boost after the board of FTSE-100 client Cadbury Schweppes, 'unanimously' recommended the firm be retained as its auditor.
The beverage giant, has recommended it continues its 12-year relationship with Andersen despite uncertainty over what the future may hold for the Big Five firm.
However, it added that it was remaining ‘prudent’ by reserving the ‘right to review the situation’. The recommendation has been sent to shareholders who will vote on it at the company AGM in May.
A spokeswoman for Cadbury, said: ‘We regard the Andersen audit work as rigorous, efficient and professionally done and are very satisfied, reflected in the unanimous recommendation to reappoint the firm.’
Andersen UK managing partner, John Ormerod, recently told Accountancy Age despite the firm not seeing a ‘vast number of new clients’, existing clients were coming back with additional work.
A spokeswoman for the firm, added: ‘We are delighted Cadbury Schweppes has decided to retain Andersen. And with the Airtours announcement last week, we are very encouraged that our clients remain supportive. Our main concerns are regarding our existing clients.’
Package holiday giant Airtours recently voted in favour of retaining the audit services of the firm, while a large number of additional Andersen clients will be voting before the end of March.