Aurora Food Inc
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Aurora Foods Inc.
Aurora Foods Inc. produces and markets branded food products, including Duncan Hines, Mrs. Butterworth, and Aunt Jemina along with a dozen other brands. Aurora's stock was traded at the New York Stock Exchange in early 1999 as high as $20 per share. Today it is traded on the OTC market at around 2 cents per share. The probable source of the downward performance of company stock and its eventual freefall can be traced to the earnings restatement in April 2000. On April 3, 2000 the company announced restatement of earnings for the last two quarters in 1998 and the first three quarters in 1999.
According to Aurora's 2000 annual report, its independent auditor, PricewaterhouseCooper, discovered some documents that raised questions about the company's accounting practices. Aurora's board of directors immediately formed a special committee to conduct an investigation into the company's application of its accounting policies...