Americanas’ $4 Billion Accounting Scandal Puts More Scrutiny on PwC’s Auditing Record
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Signage outside an Americanas store in Brasilia, Brazi.
Photographer: Gustavo Minas/BloombergThis article is for subscribers only.
A $4 billion accounting shortfall would typically raise alarm bells for an auditor. Somehow, a PricewaterhouseCoopers LLP affiliate didn’t catch it at Americanas SA.
Investor and consumer groups are calling for closer scrutiny of the accounting firm after the unveiling of balance-sheet irregularities that led 93-year-old Brazilian retailer Americanas to seek protection from creditors last month. The gap came in part from supplier financing that wasn’t reflected the right way in the company’s financial statements, which have been audited by PwC since 2019.