said on Friday that it had completed its internal accounting investigation, and the company will restate its financial results from 1998 through 2000.
The network security company said its 1998 year-end net income will decrease by 3 cents a share, its 1999 net loss will narrow by 2 cents a share, and its 2000 net loss will widen by 16 cents a share. Additionally, the company said it will restate its Dec. 31, 2001 and March 31, 2002 balance sheets, but the results of operations for those periods are not impacted.
In a press release, the company said it found errors relating to the reclassification of tax liability accounts to general administrative liability accounts, the reclassification of tax liability accounts to administrative liability accounts, the reclassification of general and administrative liability accounts to marketing liability accounts, and the recording of a payment of a distributor in the balance sheet instead of reducing net income.
Network Associates said it expects to file the restated results by the end of June with the
Securities and Exchange Commission
, who began an investigation of the company in March.
Shares of Network Associates closed Thursday at $20.29 before the news.