SEC probing Barnes & Noble accounting
December 7, 2013 | 12:08 pm
Barnes & Noble has been hit with more bad news.
On Friday, it was revealed the SEC was investigating B&N’s accounting, according to an Associated Press report in USA Today.
According to the report, the SEC told the book company it was looking into two issues: the company’s restatement of earnings announced in July and an allegation from an employee who said that B&N improperly allocated some information-technology expenses between its Nook and retail segments.
B&N said in a July filing that it had restated results from the fiscal years ending in April 2011 and 2012 due to material errors in the financial reports for those periods, according to the AP report.
B&N said it was notified on Oct. 16 that it would be investigated.
The company’s stock took a hit on Friday, dropping to $14.43 down $1.96 or nearly 12 percent.