Hard to Believe I’m Reading This
Just got this in an e-mail from Money/CNN:
GM says lack of controls over financial reporting could make turnaround difficult. Details soon.
Who’d have thought….? ….. and how does this happen at what was long considered one of the best-controlled (note that I didn’t say best-run) companies anywhere?
UPDATE: Here’s a quick hit:
General Motors warned investors Thursday that its internal controls over financial reporting are ineffective and could make a turnaround of the troubled automaker difficult.
The company made the statement in its annual 10-K report of results for 2006, filed early Thursday with the Securities and Exchange Commission. GM said in the filing that management has recognized the problem and is taking steps to correct them.
The filing showed the company making money in the fourth quarter and 2006, with its global automotive operations returning to profitability. But a financial hit from its the subprime mortgage business left results short of forecasts.
