Xerox Delays Filing for Audit Review

Xerox (XRX Quote - Cramer on XRX - Stock Picks) Monday delayed filing its annual report with regulators to review its books.

The copier giant has been dogged over the last year by liquidity problems, a botched reorganization and accusations of shoddy accounting, particularly in its Mexican operations. The Securities and Exchange Commission has said it would investigate Xerox's accounting practices in Mexico.

Monday afternoon, Xerox said it believes a fuller review of its financials is "appropriate," given the SEC probe, and that the audit committee of its board started an internal review last week, along with auditor KPMG. As a result, the company will file its 10-K as "quickly as possible," though Xerox didn't provide a date.

After dropping to $3.75 late last year, Xerox shares have recovered slightly. They rose a penny Monday to close at $6.