Rabu, 26 Desember 2007

Leap Wireless to restate financial results (Reuters)

NEW YORK (Reuters) - Leap Wireless International Inc (LEAP.O) said on Wednesday it restated some annual and quarterly financial statements from 2004 to 2006 to correct errors related to the timing of revenue recognition. The errors had no impact on operating income or net income, it said.

The mobile phone service provider understated revenue and operating expenses in two periods in 2004 as well as all of 2005 and 2006.

It also understated service revenue because of a timing error for several periods in 2004 and 2005 and overstated it in 2006.

Leap understated service revenue in 2005 and overstated it 2006 because it incorrectly recognized revenue for some customers who disconnected their service.

(Reporting by Avishek Mishra in Bangalore and Robert MacMillan in New York; Editing by Derek Caney)

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