Business Context and Reporting Period
This Form 8-K is a current report filed by Western Asset Global Corporate Defined Opportunity Fund Inc. on August 10, 2017. The filing primarily addresses a change in the registrant's certifying accountant.
Financial Metrics
The filing text does not provide specific values for revenue, profit, cash flow, margins, debt, or liquidity. This report is a disclosure of corporate governance changes rather than a financial performance statement.
Material Changes
- Resignation of Auditor: KPMG LLP resigned as the independent registered public accounting firm on August 14, 2017, at the request of the Fund.
- Engagement of New Auditor: The Fund's Board of Directors approved the engagement of PricewaterhouseCoopers LLP (PwC) as the new independent registered public accounting firm for the fiscal year ending October 31, 2017, effective August 14, 2017.
- Audit History: KPMG's reports for the fiscal years ended October 31, 2016, and October 31, 2015, contained no adverse opinions, disclaimers, or qualifications.
Management Commentary and Risks
The Fund explicitly stated that the selection of PwC does not reflect any disagreements with or dissatisfaction regarding the performance of KPMG. The filing confirms that during the two most recent fiscal years and the subsequent interim period through August 14, 2017:
- There were no disagreements between the Fund and KPMG on accounting principles, practices, financial statement disclosures, or auditing scope.
- There were no "reportable events" as defined by Regulation S-K.
- There were no prior consultations with PwC regarding accounting principles, audit opinions, or matters involving disagreements or reportable events.
Key Facts for Investor Verification
- Verify the effective date of the auditor transition (August 14, 2017) and the specific fiscal year PwC is covering (ending October 31, 2017).
- Review the attached Exhibit 16.1 (KPMG's letter to the SEC) to confirm the auditor's agreement with the Fund's disclosures regarding the lack of disagreements.
- Confirm that no "reportable events" or undisclosed disagreements occurred during the interim period leading up to the resignation.