Thought I would repost an edited version of the 3rd Q earnings report in which LEAH clearly states that D and T (CIS) is its auditors and further that D and T has advised them in regard to this consolidated 9 month statement.
Clearly they are either telling the truth or they are not. I believe they are. I do not believe they made this up. We should soon hear of confirmation from Deloitte and Touche (CIS), in my humble opinion.
Now we sit tight and wait to hear from LEAH and the SEC.
>>Wednesday December 23, 10:24 am Eastern Time
Company Press Release
Leah Industries Inc. Reports Earnings
SAN ANTONIO--(BUSINESS WIRE)--Dec. 23, 1998--Leah Industries Inc. (OTC BB:LEAH - news) is pleased to report its earnings on a consolidated basis for the nine months ending Sept. 30, 1998, at (rounded) $28,500,000 or $1.29 per share (fully diluted) before one-time special charges, write-offs and write-downs in the amount of (rounded) $27,000,000 or $1.22 per share.
The net earnings per share for Leah in the amount of (rounded) $1,500,000 or $.07 per share, reflects the company's decision along with their auditors, Deloitte & Touche (CIS), to incur all the charges connected with the acquisition of SibMach as well as other one-time write-offs and write-downs incurred during the nine-month period to bring efficiency to SibMach's operations and to close and/or consolidate certain divisions.
The financial results for the nine months ending Sept. 30, 1998, are based on revenues for Leah in the amount of (rounded) $66,000,000 and net income in the amount of $1,500,000. Net income before special charges, write-offs and write downs in the amount of $28,500,000, represents a 16.8% increase over the same nine-month period (pro-forma) in the prior year in the amount of $24,400,800.
Birte Boock, CEO of Leah Industries stated, ''We are certainly pleased with the earnings before the special charges. The hard part is taking the required special charges, write-offs and write-downs currently. In the long run, our financial statements will be stronger and reflect our operations as we go forward unencumbered with these expenses now that they have been accounted for. Our auditors, Deloitte & Touche concur with our decision to report the most conservative financial picture as we can for our investors as we turn the corner and continue to grow the company.''
Leah Industries is proud to report that SibMach currently has proven oil reserves of approximately 800,000,000 barrels of which 60% (480,000,000 barrels) accrue to the books of Leah. The value of these reserves and their impact on the book value of Leah will be computed by Deloitte & Touche (CIS) and will be reflected in the Dec. 31, 1998, year-end audited financial statements. <<
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