Feeds

Brocade to fix two years of earnings after audit

Stock snafu

  • alert
  • submit to reddit

Top 5 reasons to deploy VMware with Tegile

Brocade is to restate two years worth of financial statements after discovering that it improperly accounted for stock-based employee compensation.

The storage networking firm today said that an internal audit turned up two specific ways in which it miscalculated the stock compensation. In one case, it granted stock to new hires on their acceptance date instead of the day they actually started work. In another, it granted part-time workers similar stock deals prior to their being hired as full-time workers. Brocade doesn't expect to report material changes to revenue for the periods in question, which are its 2002 and 2003 fiscal years.

"Our core business remains strong and the restatement does not affect the underlying fundamentals of our business," said Brocade's CEO Greg Reyes.

Shares of Brocade were down more than six per cent to $6.47, at the time of this report.

Brocade, which makes switches for storage networks, will delay the filing of a financial statement with the US Securities and Exchange Commission, as it sorts out this matter. It, however, expects to report its first quarter of 2005 earnings on time on Jan. 29. ®

Related stories

Apple ships Xsan 64-bit cluster file system
IBM taps Emulex for cheap Fibre Channel
Rumours of Tape's death exaggerated

Beginner's guide to SSL certificates

More from The Register

next story
Ellison: Sparc M7 is Oracle's most important silicon EVER
'Acceleration engines' key to performance, security, Larry says
Oracle SHELLSHOCKER - data titan lists unpatchables
Database kingpin lists 32 products that can't be patched (yet) as GNU fixes second vuln
Lenovo to finish $2.1bn IBM x86 server gobble in October
A lighter snack than expected – but what's a few $100m between friends, eh?
Ello? ello? ello?: Facebook challenger in DDoS KNOCKOUT
Gets back up again after half an hour though
Hey, what's a STORAGE company doing working on Internet-of-Cars?
Boo - it's not a terabyte car, it's just predictive maintenance and that
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.
The next step in data security
With recent increased privacy concerns and computers becoming more powerful, the chance of hackers being able to crack smaller-sized RSA keys increases.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.