SEC Filing Summary: Greatbatch, Inc. (Form 8-K)
Business Context and Reporting Period
This Form 8-K was filed by Greatbatch, Inc. on November 4, 2005. The filing addresses the company's results for the fiscal quarter ended September 30, 2005, and announces a material restatement of previously issued financial statements for the fiscal year 2004 and the first two quarters of 2005.
Key Financial Metrics
The filing text does not provide specific numerical values for revenue, profit, cash flow, margins, debt, or liquidity. It references a press release (Exhibit 99.1) for the Q3 2005 results, but the data is not included in the provided text.
Material Changes and Restatements
The company is amending its 2004 Form 10-K and 2005 Form 10-Qs to correct two accounting classifications:
- Reclassification of Auction Rate Securities: Securities previously classified as "cash and cash equivalents" will be reclassified as "short-term investments" to comply with SFAS No. 95, as these securities have maturities beyond three months.
- Deferred Tax Asset Adjustment: The company failed to record a deferred tax asset related to net operating losses from its 2004 acquisition of NanoGram. The correction will decrease long-term deferred income tax liabilities and correspondingly decrease goodwill.
Management confirmed that these corrections do not impact previously reported net income or equity.
Outlook, Risks, and Management Commentary
Management concluded that the financial statements in the 2004 Form 10-K and the 2005 Form 10-Qs (for periods ended March 31 and June 30) should not be relied upon until amended. The company expects to file the necessary amendments by the end of November 2005. These matters were discussed with the independent auditor, Deloitte & Touche LLP.
Investor Verification Checklist
- Verify the specific Q3 2005 financial results in the press release (Exhibit 99.1) referenced in the filing.
- Monitor the filing of amended 2004 Form 10-K and 2005 Form 10-Qs to confirm the reclassification of auction rate securities and the adjustment to goodwill and deferred tax liabilities.
- Confirm that the restatements do not alter net income or equity figures as stated by management.
- Review the liquidity implications of reclassifying auction rate securities from cash equivalents to short-term investments.