Sulja Bros. Building Supplies, Ltd (SLJB)

[Waverider110]

waltczyk's post is still VERY relevant now!!!:

I like this part of his post: "I reviewed, with a junior staff, a billion dollar valuation, in few days time."


Posted by: waltczyk
In reply to: None Date:9/19/2006 6:05:32 AM
Post #of 113131

Well the CEO statement did provide me with new information, specifically, the "third party review" - to me, this is new information if one of the two audit firms is doing the review,

It is not new info if the review is being done by the investment firm which was PR'd back in August. As this imo would be standard practice.

Each review, auditor versus auditor, that I have participated in - centered around a valuation - which in this case, sljb, is a bit "strange".

I have participated in reviewing other auditors work and have had "my" work reviewed by other auditors. I am talking big 6 and big 4. While I have not done any "field work" in years, a review was considered a RARITY, very uncommon. This is based on experience outside the USA and in Europe. I am guessing here, but I would think that reviews would be more common outside the usa, but that is just a guess.

A review consists of basically, having all of the audited working papers ( countless binders ) and going through the process of the audit and seeing if you would have done or questioned things differently. In all of my review experience, the auditors are given a strict timeframe to conduct the review, competition does not want the reviewing firm in their offices for longer than necessary. I reviewed, with a junior staff, a billion dollar valuation, in few days time.

The end result of the reviews which i have participated in was in short, "yes, i agree to the process which the audited company carried out, and that their is no material error in the financial statements prepared". AND to just to slap the competitor a bit, we would adjust line items just to make adjustments. Again, these adjustments had no impact whats so ever.

But again, a review was for major bucks and done for VALUATION purposes.

i have never seen or heard of a review to be done on a yearend audit.

Maybe i am getting caught up to much in the word REVIEW, but......