Critical Path Restates Third Quarter, Fourth Quarter Downward

Critical Path (CPTH Quote) restated its reported earnings and revenue for the third and fourth quarters, citing a change in the accounting for software licensing transactions and other revenue recognition issues.

The troubled Internet messaging services company revised its third-quarter revenue downward to $35.3 million. Critical Path had previously reported revenue of $45 million for the quarter. The company also more than doubled its losses, revising the bottom line to a loss of $18.6 million, or 30 cents a share, excluding charges. Critical Path originally reported a loss of $8.7 million, or 14 cents a share. ...