Hewlett-Packard completed the purchase of customer and data management software company Autonomy for $11.1 billion in October 2011. Just over a year later, the computer giant devalued the purchase by $8.8 billion, and alleged that the owners of the UK-based Autonomy used accounting improprieties to seriously misrepresent the companys actual worth. Now, thanks to an audit of Autonomys 2010 and 2011 financial results performed by Ernst Young, HP says it has significant evidence that the British company reported unrealistic revenue and profit values prior to its purchase. Autonomys financials had been audited twice prior to its purchase by external firms KPMG and Deloitte.
Comments are closed.
