King to restate financial results

King's restatement of its financial results for the past two-and-a-half years will shift certain product return expenses from 2004 to reporting periods in 2003 and 2002, thereby boosting revenue and income in the current year. Restatement was necessary due to "methodological flaws" concerning the timing of expense recognition for product returns, King said. The action could threaten Mylan's pending acquisition of King; Mylan has the option of withdrawing from the deal if King makes a restatement (1"The Pink Sheet" Nov. 1, 2004, p. 21)...

King's restatement of its financial results for the past two-and-a-half years will shift certain product return expenses from 2004 to reporting periods in 2003 and 2002, thereby boosting revenue and income in the current year. Restatement was necessary due to "methodological flaws" concerning the timing of expense recognition for product returns, King said. The action could threaten Mylan's pending acquisition of King; Mylan has the option of withdrawing from the deal if King makes a restatement (¹ , p. 21)....