Electronics for Imaging is in process of evaluating its internal controls
Electronics for Imaging is in the process of completing an assessment of the timing of recognition of revenue. The assessment is related to certain transactions where a customer signed a sales contract for one or more large format printers and was invoiced, and the printer were stored at a third party in-transit warehouse prior to delivery to the end user. In addition, the company is in the process of completing an assessment of the effectiveness of its current and historical disclosure controls and internal control over financial reporting. The company expects to report a material weakness in internal control over financial reporting related to this matter and to report that its disclosure controls were not effective in prior periods. The company currently expects that the total aggregate revenue for the periods under review will not be materially different from the aggregate revenue that was previously reported for those periods, taking into account any revenue from the prior periods that may be moved into the current or upcoming periods. The Audit Committee of the Company's Board of Directors is conducting an independent review related to the matter and has retained independent professionals to assist in that review.