Apple Hospitality REIT, Inc. - Form 8-K Summary
Business Context and Reporting Period
This Current Report on Form 8-K was filed by Apple Hospitality REIT, Inc. (APLE) on February 19, 2024. The filing addresses a change in the Company's independent registered public accounting firm for the fiscal year ending December 31, 2024.
Key Financial Metrics
The filing text does not provide specific values for revenue, profit, cash flow, margins, debt, or liquidity. This report focuses exclusively on corporate governance regarding the audit firm.
Material Changes
- Accountant Change: The Audit Committee approved the appointment of KPMG LLP as the new independent registered public accounting firm, effective February 22, 2024.
- Dismissal of Prior Firm: Ernst & Young LLP (E&Y) was dismissed as the independent registered public accounting firm, effective February 22, 2024, following the completion of the audit for the fiscal year ended December 31, 2023.
- Selection Process: The change resulted from a competitive selection process in which E&Y was invited to participate but was not reappointed.
Guidance, Outlook, and Risks
The filing contains no financial guidance, outlook, or management commentary regarding future performance. Regarding risks and contingencies related to the change:
- No Disagreements: There were no disagreements between the Company and E&Y on accounting principles, practices, financial statement disclosure, or auditing scope during the fiscal years ended December 31, 2023 and 2022, or through February 22, 2024.
- No Reportable Events: There were no "reportable events" as defined by Regulation S-K during the same period.
- Audit Opinions: E&Y's audit reports for the fiscal years ended December 31, 2023 and 2022 did not contain adverse opinions, disclaimers, or qualifications.
- Consultations: The Company did not consult with KPMG regarding accounting principles or reportable events prior to their appointment.
Investor Verification Checklist
- Verify the effective date of the transition from E&Y to KPMG (February 22, 2024).
- Review the letter from E&Y to the SEC (Exhibit 16.1) to confirm their agreement with the Company's statements regarding the dismissal.
- Confirm that the 2023 and 2022 Form 10-K filings contain unqualified audit opinions from E&Y.
- Monitor future filings for the first audit report issued by KPMG for the fiscal year ending December 31, 2024.