Santander has responded to the “accounting inconsistencies” revealed by Americanas in a note. The bank stated that any changes to the wording of the circularization letters were requested by the company and that all operations had been fully reported in the Central Risk System maintained by the Central Bank. The statement was in response to email exchanges submitted by the retailer to a Parliamentary Commission of Inquiry (CPI) investigating fraud within the company. Americanas has admitted that “the company’s financial statements were being defrauded by Americanas’ previous board of directors” and that it had sought to hide its true financial situation from the market.
Expanding on the significance of accounting inconsistencies in the financial industry, it is essential to understand the impact that transparency has on companies. Financial statements create a bridge of trust between the company and its investors and stakeholders. Anomalies can significantly impact a company’s stock price, and even minor discrepancies can lead to suspicion and mistrust. The repercussions can be even more pronounced in cases like Americanas, where potential fraud is involved.
Furthermore, accounting inconsistencies can significantly affect a company’s creditworthiness. Banks and investors view inconsistencies and discrepancies in financial statements as a red flag, making it challenging for the company to secure funding. Given how important credit is for companies, being seen as unworthy of credit can be detrimental.
Statistics show that companies that have accurate and reliable financial statements tend to perform better in the stock market. According to a study by McKinsey & Company, companies that have transparency in their financial statements on average have an extra 1.6x more market capitalization than those that don’t. This study shows us that investors are more willing to put their money into companies that have honest accounting practices.
In conclusion, accounting inconsistencies can have multifold consequences for companies. Impacts on their stock price, trust, creditworthiness, and market capitalization are just a few of the potential ramifications. It is crucial for companies, especially those that are publicly listed, to maintain transparency and accountability in their accounting. Companies that successfully do so tend to perform better both in terms of their financial health and relationship with their investors and stakeholders.
Summary: Santander has responded to the “accounting inconsistencies” revealed by Americanas in a note, stating that all operations had been fully reported in the Central Risk System maintained by the Central Bank. Americanas has admitted that “the company’s financial statements were being defrauded by Americanas’ previous board of directors”, showing the importance of transparency and accountability in a company’s accounting. Companies that have accurate and reliable financial statements tend to perform better in the stock market.
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Santander (SANB11) pointed out, in a note, that the “accounting inconsistencies” revealed by Americanas (AMER3) are now the “sole and exclusive” responsibility of the company.
The statement refers to email exchanges submitted by the retailer to the Parliamentary Commission of Inquiry (CPI) of the Chamber that is investigating fraud that occurred in the company.
The images projected during the testimony of the executive president, Leonardo Coelho, mention Santander and imply that the bank would have changed the wording of the circularization letters at the request of the company, to soften the mentions of financing debts known as “risk withdrawals”. ”. .
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In the note, the bank states that “according to the Essential Fact published today, Americanas admits that ‘the Company’s financial statements were being defrauded by Americanas’ previous board of directors.’ The company itself highlights the efforts of the previous board to hide the real result and the company’s financial situation from the market. This, in itself, emphatically proves that the sole and exclusive responsibility for ‘accounting inconsistencies’ rests with Americanas, through its former board of directors. Santander adds that the circularization letters are just one among many audit sources and that it has always fully reported all the balances of the company’s operations in the Central Risk System, maintained by the Central Bank, which could even be a audit source.
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Santander (SANB11): Inconsistências contábeis são de responsabilidade única da Americanas (AMER3)
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