Scott Rubinsky

Nov 27, 2024 | jdsupra.com | Katherine Frank |Jeffrey Johnston |Scott Rubinsky

The Securities and Exchange Commission (SEC) recently announced that United Parcel Service Inc. (UPS) has agreed to pay a $45 million penalty for materially misrepresenting its earnings by improperly valuing its UPS Freight business unit. This settlement underscores the critical importance of disclosure controls, adhering to generally accepted accounting principles (GAAP), and the serious consequences of failing to record necessary – and known – impairments to goodwill.