Post by
chavez on Feb 21, 2000 6:47am
news flash
4 quit Aurora amid internal probe
SAN FRANCISCO (AP) - Four senior management officials at Aurora Foods Inc. have
resigned as the company prepares to investigate its internal accounting practices. The
company said Friday the following executives resigned: chairman and chief executive Ian R.
Wilson, vice chairman James B. Ardrey, executive vice president Ray Chung and chief
financial officer M. Laurie Cummings. Wilson and Ardrey also resigned from the company's
board of directors, the company said in a release. Officials at Aurora did not immediately
return a call seeking comment. The board has formed a special committee to investigate
Aurora's accounting practices that it expects will result in a non-cash charge to 1999
earnings. The accounting practices immediately under investigation relate primarily to the
accrual of trade promotion expenses in 1999. The committee has also asked outside advisors
to conduct a broader review of accounting practices for earlier periods. Aurora's brands
include Mrs. Butterworth's, Duncan Hines, Van de Kamp's and Chef's Choice. The
company has grown by acquiring well-known brands and revitalizing them with marketing
support, expanded distribution, and new product development. Trading in Aurora was halted
today on the New York Stock Exchange on the news. Shares closed Thursday at $7.31 1/4.
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