Americanas Fraud Was $1 Billion More Than Previously Suspected

  • Fraud was 25 billion reais, retailer says in delayed earnings
  • CFO of Brazil company expects deal with creditors in December
Signage outside an Americanas store in Brasilia, Brazil.Photographer: Gustavo Minas/Bloomberg
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An accounting scandal that engulfed Americanas SA last year was deeper than the Brazilian retailer previously reported, according to long-delayed financial reports it released Thursday.

Americanas said the size of the fraud was 25.2 billion reais ($5.2 billion) as of the end of the end of last year — about 5 billion reais more than it previously estimated. The accounting issues stemmed from supply chain financing and false advertising contracts.