Goodyear Finds More Accounting Problems

Goodyear Tire & Rubber Co. said it had discovered more accounting problems, forcing it to postpone a planned debt sale until next year and possibly unleashing additional labor problems for the top North American tire maker.

The company said the “possible improper accounting issues” had been discovered in Europe as part of an internal investigation, which is continuing.

It has not been determined whether the problems will have an impact on its financial statements.

The company said it would delay filing an amended 2002 10-K with the Securities and Exchange Commission until next year.

As a result, it will not be able to sell $250 million in debt and $75 million of equity by year-end as required by its contract with the United Steelworkers of America. The union has the right to strike as a result.

From Reuters