FAB Universal audit committee: Q2, Q3 reports "should no longer be relied upon"

|About: FAB Universal Corp. (FU)|By:, SA News Editor

As was previously announced, FAB Universal's (FU) audit committee has "concluded that the Company's unaudited interim consolidated financial statements" for Q2 and Q3 "should no longer be relied upon." (8-K)

Preliminary estimates indicate the undisclosed $16.3M VIE-issued bond underreported interest expense and inflated net income by $344K in Q2 and $476K in Q3, a $0.04/share overstatement from previously-reported EPS results.