On Friday, Zale Corp. said it is under investigation by the SEC for accounting matters related to the restatement of its financial results. The Dallas Morning News reports that Zale said it is cooperating with the SEC’s Fort Worth office.
The probe relates to Zale’s September 2009 disclosure that its financial statements for 2007 and 2008 contain errors and “should no longer be relied upon.” Zale restated those results in its annual report filed Thursday.
The SEC is reportedly looking at
how Zale accounted for prepaid advertising, intercompany accounts receivable associated with its wholly owned insurance subsidiaries, bank account reconciliation and property taxes.
