Printer Friendly
The Free Library
22,728,043 articles and books

KCS Announces Delay in Filing of Form 10-K and Adjustment for Pre-2003 Deferred Tax Balance Error; No Effect on Earnings in Intervening Years.



KANSAS CITY, Mo. -- Kansas City Southern ("KCS KCS

keratoconjunctivitis sicca.
" or the "Company") (NYSE NYSE

See: New York Stock Exchange
:KSU (Key Service Unit) The cabinet that contains the electronics for a key telephone system. See key telephone system. ) announced today that during the preparation of its year-end financial reports for 2005, certain errors were identified in the calculation of the Company's deferred income tax balances that arose in the years prior to 2003. The Company has determined that its deferred tax liability balance at December 31, 2002, and subsequent dates was understated by approximately $8 million. The Company has also determined that the errors had no material impact on earnings as reported in the annual periods ended December 31, 2003, 2004 and 2005. Accordingly, the Company expects that its consolidated financial statements Consolidated Financial Statements

The combined financial statements of a parent company and its subsidiaries.

Notes:
Because consolidated financial statements present an aggregated look at the financial position of a parent and its subsidiaries, they enable you to gauge
 to be included in its Annual Report on Form 10-K for the year ended December 31, 2005, will include an adjustment to its previously presented consolidated balance sheets to reflect reductions of its retained earnings at December 31, 2002, and subsequent periods of approximately $8 million, with corresponding increases in its deferred income taxes payable.

The Company expects that management's assessment of the effectiveness of internal controls over financial reporting as of December 31, 2005, to be included in the Company's annual report on Form 10-K, will indicate the existence of a material weakness in the Company's internal controls relating to its corporate tax function. The Company is developing a plan of remedial action to address the weaknesses in internal controls identified with respect to the proper reporting of income taxes.

As a result of the above described matters, the Company requires additional time to finalize its financial statements and disclosures to be included in its Form 10-K and obtain the appropriate reports from KPMG KPMG Klynveld Peat Marwick Goerdeler (accounting firm)
KPMG Kaiser Permanente Medical Group
KPMG Keiner Prüft Mehr Genau (German)
KPMG Kommen Prüfen Meckern Gehen
 LLP LLP - Lower Layer Protocol , the Company's independent registered public accounting firm. Accordingly, the Company has filed with the Securities and Exchange Commission a notification of late filing on Form 12b-25 extending the deadline to file the Company's Annual Report on Form 10-K for up to 15 days. The Company expects to make the filing within the 15-day extension period.

Headquartered in Kansas City, Mo., KCS is a transportation holding company that has railroad investments in the U.S., Mexico and Panama. Its primary U.S. holding includes KCSR KCSR Kansas City Southern Railway Company
KCSR Kansas City Street Racing
, serving the central and south central U.S. Its international holdings include Kansas City Southern de Mexico, serving northeastern and central Mexico and the port cities of Lazaro Cardenas, Tampico and Veracruz, and a 50 percent interest in Panama Canal Railway Company, providing ocean-to-ocean freight and passenger service along the Panama Canal. KCS' North American rail holdings and strategic alliances are primary components of a NAFTA NAFTA
 in full North American Free Trade Agreement

Trade pact signed by Canada, the U.S., and Mexico in 1992, which took effect in 1994. Inspired by the success of the European Community in reducing trade barriers among its members, NAFTA created the world's
 Railway system, linking the commercial and industrial centers of the U.S., Canada and Mexico.
COPYRIGHT 2006 Business Wire
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2006, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

 Reader Opinion

Title:

Comment:



 

Article Details
Printer friendly Cite/link Email Feedback
Publication:Business Wire
Date:Mar 17, 2006
Words:437
Previous Article:Fitch Rates Hillsborough County, Florida's $60MM Rfdg Revs 'AA-'.
Next Article:Fitch Rates Hillsborough County, Florida Cap Improv Prog Refs 'AA'.
Topics:



Related Articles
Kansas City Southern Reports Higher Fourth Quarter and Year to Date 2003 Earnings.
KCS Files Form 10-K with SEC; Reports Final Earnings Results for 2002.
Kansas City Southern Reports Second-Quarter 2003 Earnings.
Kansas City Southern Reports Year-to-Date and Fourth Quarter 2003 Earnings.
KCS Files 2003 Form 10-K with SEC; Reports Final Earnings Results for 2003; KCS to Seek Renewed Authority From Mexican Competition Commission.
Kansas City Southern Railway Experiences Record Fourth Quarter and Year-End 2004 Performance; Reduction in Future Mexican Tax Rates.
AES To Delay Filing of 2004 Annual Report on Form 10-K.
Curis Announces Delay in Filing Form 10-Q for Third Quarter of Fiscal 2005; - Curis Files Form 12b-25 with the SEC -.
Capital Senior Living Corporation Files Form 12b-25.
Click Reports Thirteenth Consecutive Quarter of Increased Revenue and Twelfth Straight Quarter of Profitability; Click Commerce Reports Q2 2006...

Terms of use | Copyright © 2014 Farlex, Inc. | Feedback | For webmasters