Chip maker Broadcom said its internal review has uncovered discrepancies in its accounting for stock options grants, finding that certain options awarded between 2000 and 2002 were not actually allocated or had not received formal company approval as of the original accounting date. As a result, Broadcom said it would restate earnings as far back as 2000. None of the stock options were awarded to co-founders, top executives or board members, the company said. Broadcom expects to record an additional non-cash expense of more than $750 million for stock-based compensation for the years 2000 to 2003. The expense will not impact the company's financial condition and will be offset by a rise in additional paid-in capital, Broadcom said.
To read more about Broadcom's re-statement of financials:
- check out this release