Restatement trends continue

Overall, the number of financial restatements fell in 2007 for the first time since 2001, reports WebCPA. That could be seen as good news, indicating more companies have adapted to Sarbanes-Oxley requirements, and that the information is of higher quality. The best news on this front is from bigger companies who have had five years to move down the learning curve. The news from smaller companies is slightly less upbeat. In 2007, 72 percent of restatements came from smaller companies, compared with 68 percent in 2006 and 58 percent in 2006. As section 404b starts to kick in next year, we may see that climb even higher. But overall, this is good news.  

For more:
- here's the WebCPA article