GO
Loading...

Enter multiple symbols separated by commas

Apple Delays Annual Report Due to Options Probe

Apple Computer said it has delayed filing its annual report with the Securities and Exchange Commission due to its ongoing investigation into stock-option grants.

In a filing with the SEC, the company said it needs to restate historical financial statements to record charges for compensation related to past grants. As a result, Apple was unable to file its 10-K Form for the fiscal year ended Sept. 30 by the required filing date of Dec. 14.

The computer and iPod maker revealed in June that some stock options awarded to employees might have been mishandled. It launched an investigation that found accounting irregularities between 1997 and 2002 and showed that Apple founder and CEO Steve Jobs was aware of some options backdating.

When companies backdate stock options, the options are issued retroactively to coincide with low points in the stock price, which can increase the profit for the recipient. Backdating is not necessarily illegal, but it must be disclosed to investors and accounted for properly.

Apple expects to file its annual report and its quarterly report for the period ending July 1 in one month.

Contact U.S. News

  • CNBC NEWSLETTERS

    Get the best of CNBC in your inbox

    Please choose a subscription

    Please enter a valid email address
    To learn more about how we use your information,
    please read our Privacy Policy.

Don't Miss

U.S. Video

  • Hero miles for military members: Real estate magnate's plea

    Chairman of the Fisher House Foundation, Ken Fisher, discusses the Hero Miles program with CNBC's Dina Gusovsky. During Military Appreciation Month, Fisher is asking every traveler to donate 1,000 of their miles to replenish the Hero Miles programs that is in danger of running out.

  • Cramer shuts down this market's haters

    "Mad Money" host Jim Cramer on why this market can't stop, won't stop.

  • From the battlefield to the boardroom

    Your Grateful Nation is dedicated to helping Special Forces veterans enter the corporate world and Knot Standard provides complimentary suits to vets. Mad Money's Jim Cramer spoke with Rob Clapper, Your Grateful executive director; John Ballay, Knot Standard co-founder and president; Tej Gill, retired U.S. Navy Seal; and Darren McB, active duty U.S. Navy Seal.