NEW YORK, Aug. 7 /PRNewswire-FirstCall/ -- Temco Service Industries Inc. (the "Company"), announced today that primarily as a result of the over-invoicing of a European customer by approximately $2,063,500, the Company will restate financial results for the fiscal year ended September 30, 2005 and fiscal quarter ended December 31, 2005. The Company currently estimates that 2005 consolidated revenues will be reduced in the aggregate by approximately $1,518,500 and that 2005 consolidated net income will be reduced in the aggregate by approximately $684,210 as a result of the restatement. First quarter 2006 revenues and net income will also be reduced. Temco expects to report its restated results for fiscal 2005, its first fiscal quarter 2006, and to issue results for its second fiscal quarter, ended March 31, 2006, as soon as practicable. As a result of the foregoing, management of the Company concluded that the previously issued financial statements should no longer be relied upon.
The conclusions above were reached by the Board of Directors of the Company in consultation with the Company's independent auditors, KPMG LLP.
All amounts included in this press release are preliminary and based on information currently available to management, and accordingly are subject to change.
This press release contains forward-looking statements regarding the results of accounting adjustments management currently anticipates to make. The amount and type of these adjustments is subject to change pending completion of the Company's evaluation and consultation with the Company's independent accountants.
About Temco Service Industries Inc.
Temco is an international facility services company. With fiscal 2005 revenues in excess of $300 million and more than 9,500 employees, Temco provides janitorial; operations and maintenance; metal, marble and wood restoration; snow removal; landscaping; pest control; lighting maintenance, and security guard services for thousands of commercial, industrial, institutional and retail facilities in the United States, Belgium, the Netherlands, Luxembourg and the United Kingdom. The Temco Family of Companies in Europe includes BIK (Temporary Personnel Staffing) and Petrus (Sign Manufacturing and Outdoor Site Leasing).
