Business Context and Reporting Period
Company: Optical Cable Corporation
Filing Type: Form 8-K (Current Report)
Date of Report: February 15, 2016
Principal Event: Change in Registrant's Certifying Accountant.
Key Financial Metrics
This filing does not contain revenue, profit, cash flow, margin, debt, or liquidity data. The document focuses exclusively on the administrative change of the external auditor.
Material Changes
- Accountant Departure: KPMG LLP was notified on February 15, 2016, that it would not be reappointed as the principal accountant.
- New Appointment: Brown, Edwards & Company, L.L.P. was engaged as the new principal accountant on February 16, 2016.
- Approval: The change was approved by the Audit Committee of the Board of Directors.
- Audit History: The filing states there were no disagreements with KPMG LLP regarding accounting principles, financial statement disclosure, or auditing scope during the two fiscal years ended October 31, 2015, and the interim period through February 15, 2016.
- Report Status: KPMG's audit reports for the years ended October 31, 2015, and 2014, did not contain adverse opinions, disclaimers, or qualifications.
Guidance, Outlook, and Risks
The filing contains no financial guidance, management outlook, or discussion of specific business risks. The primary disclosure relates to the transition of audit services and the confirmation that no reportable events or disagreements occurred with the outgoing firm.
Investor Verification Checklist
- Verify the reasons for the change in auditors by reviewing the attached letter from KPMG (Exhibit 16.1).
- Confirm the qualifications and independence of the new auditor, Brown, Edwards & Company, L.L.P.
- Review the most recent 10-K or 10-Q filings for the actual financial performance metrics not included in this 8-K.
- Monitor future filings for any restatements or qualifications related to the transition period.