PLNI auditor letter - OCR from the PLNI press release, EOE.
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Mendoza Berger Company LLP Letterhead
Certified Public Accountants
August 2, 2006
Mr. James Turek
Plasticon International, Inc.
3166 Custer Drive, Suite 101
Lexington, KY 40517
Re: Plasticon International, Inc.
Dear Mr. Turek,
This letter is an update to the letter I sent you on June 14, 2006 regarding the timing of the Plasticon International, Inc.’s review of its Form 10-Q for the Quarters ending March 31, 2005, June 30, 2005, and September 30, 2005. These are the engagements referenced in our engagement letter dated October 21, 2005 and signed by you on October 25, 2005 and the letter to you dated June 14, 2006.
The audits for the years ended 31 December, 2003 and 2004 have been completed and we have issued our audit report thereon. We have completed our field work for the 10-Qs for the quarters ending March 31, 2005, June 30, 2005, and September 30, 2005 and have authorized the 10-Qs for the quarters ending March 31, 2005, June 30, 2005, and September 30, 2005 to be issued. As of today all three quarters have been edgarized and filed with the United States Securities and Exchange Commission.
We are also in the process of conducting an audit of the Company’s financial statements for the year ended December 31, 2005.We have completed almost all of the audit fieldwork related to this engagement. In our letter of June 14, 2006 we stated that the audit will take us a minimum of four calendar weeks to complete fieldwork. During this time we expected your personnel to begin working on drafting the 10-K document itself. We stated that we would then need an additional five to ten business days to review the 10-K for content, tie the financial statements and footnotes to our audit work papers, review the footnotes and subject the 10-K to our quality assurance processes. In addition, we stated that the 10-K would be subject to review by the engagement and concurring partners. We also stated that it was too early to give you a definitive date by which our audit report on the 10-K for the year ended December 31, 2005 will be issued. We also stated that we believed at that time that we should be in a position to issue our report by the week of July 24, 2006. We received the 10-K financial statements today, July 27, 2006. My previous estimate of the review time to complete our quality control work, engagement partner and concurring partner reviews, and the clearing of review points still holds at 5 to 10 business days. Therefore, we now believe we will be in a position to issue our audit report by August 11, 2006.
Please understand that my June 14 letter was a good faith estimate as is this one. We required additional time to complete the 10-Qs, and unfortunately, that additional time caused an unavoidable delay in completing the audit. We are making every effort to maintain this revised time table. We are applying additional firm assets against this engagement to avoid any additional delays. We will make every effort to complete the audit engagement sooner if possible. As in the past, we are working very closely with your accounting department towards achieving this goal.
Please contact me if you have any questions regarding this letter.
Very truly yours,
Mendoza, Berger & Company, LLP
James F. Berger, C.P.A.
Senior Partner |
