Business Context and Reporting Period
Company: Ames National Corporation (ATLO)
Filing Type: Form 8-K (Current Report)
Date of Report: August 8, 2022
Principal Executive Offices: Ames, Iowa
Reporting Period: The filing addresses events occurring on August 8, 2022, regarding the 2022 audit cycle and the transition to the 2023 audit cycle.
Key Financial Metrics
This filing is a current report regarding a change in certifying accountant and does not contain financial statements, revenue, profit, cash flow, margin, debt, or liquidity data. The filing text does not provide a clear value for any financial metrics.
Material Changes Versus Prior Period
Change in Certifying Accountant: On August 8, 2022, the Company was informed by its current independent public accountant, CliftonLarsonAllen LLP ("CLA"), that CLA would decline re-appointment after completing the audit for the year ended December 31, 2022. This decision stems from CLA's determination to cease providing certain audit services upon completion of the 2022 audit cycle.
Selection Process: The Audit Committee has initiated a process to select a new independent public accountant for the 2023 audit cycle.
Historical Audit Status: CLA's audit reports for the years ended December 31, 2020, and 2021 did not contain adverse opinions, disclaimers, or qualifications regarding uncertainty, scope, or accounting principles.
Guidance, Outlook, Risks, and Contingencies
Disagreements and Reportable Events: The Company reported no disagreements with CLA regarding accounting principles, practices, financial statement disclosures, or auditing scope/procedures during the years ended December 31, 2020 and 2021, or the interim period through August 8, 2022. There were no reportable events as described under Item 304(a)(1)(v) of Regulation S-K.
Regulatory Compliance: The Company provided CLA with a copy of this disclosure and requested a letter indicating agreement with the disclosures. A letter from CLA dated August 12, 2022, is attached as Exhibit 16.1.
Important Facts for Investor Verification
- CliftonLarsonAllen LLP will not serve as the independent auditor for the 2023 audit cycle.
- The departure is due to CLA's internal decision to cease providing certain audit services, not due to disagreements with the Company.
- The Audit Committee is actively seeking a replacement firm for the 2023 audit.
- No material disagreements or reportable events occurred during the tenure of the departing auditor for the 2020 and 2021 fiscal years.
- Investors should monitor future filings for the appointment of the new independent public accountant.