Auditor author of Daewoo-FSO's riches to rags story
After an audit of financial statements of car manufacturer Daewoo-FSO,
the company's net profit of zl. 9 million for 1999 turned into a zl. 50
million loss, an anonymous source from the company told Gazeta Wyborcza.
The change is a result of reserves being created on the advice of the
auditor, for dubious contracts. The final results are to be approved by
the shareholders' meeting slated for Sept. 28. The Treasury Ministry owns
slightly over 10% of Daewoo-FSO, with the majority held by Daewoo Motor of
South Korea. In related news, negotiations regarding the takeover of
Daewoo Motor by Ford Motor Co. are rather slow. Talks on the price of the
deal had not yet even begun said Jang Sae Chan, head of the Daewoo
Restructuring Committee. (Gazeta Wyborcza, page 19)
