Steinhoff Hits New Low After Warning of Deeper Accounts Hole
- Scandal-hit retailer to probe role of previous executives
- Steinhoff faces five lawsuits including from former chairman
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Steinhoff International Holdings NV’s shares plunged to a record low after the retailer warned of impairments beyond the 6 billion euros ($7.2 billion) reported in December and said it’s facing at least five lawsuits.
Auditors at PwC have told the owner of Conforama in France and Mattress Firm in the U.S. that the overstatement of profits and the handling of off-balance-sheet entities will result in “material additional” asset writedowns, Steinhoff said in a statement Thursday. The full extent will be presented alongside first-half financials next month. The company is also investigating the roles played by those previously at the helm, with former former Chief Executive Officer Markus Jooste likely to be top of the list.