graphic
News > Companies
Grace settles with SEC
June 30, 1999: 4:42 p.m. ET

W.R. Grace, charged with misleading investors, will set up $1M fund
graphic
graphic graphic
graphic
NEW YORK (CNNfn) - Chemical and packaging company W.R. Grace & Co. Wednesday settled a complaint by the Securities and Exchange Commission on charges of misleading investors. As part of the settlement, the company will establish a $1 million fund to promote accounting awareness.
     Grace (GRA) agreed to cease and desist misleading accounting practices, without admitting or denying wrongdoing, and will establish the $1 million fund for awareness and education relating to financial statements and generally accepted accounting principles.
     The SEC found that between 1991 and 1995 top management used excess reserves to bring the earnings of Grace's health care group in line with company targets.
     During that time, Grace reported relatively steady growth rates, but in reality the growth rates fluctuated from an 8 percent decline to a 61 percent increase, the SEC reported.
     The educational fund will be used by different programs in the public sector.
     Grace said it is settling the case because it is in its best interest to "move forward with our plans to become an integrated operating company."
     "The issues involved in this case relate to things that happened several years ago. Grace today is a different company with a new leadership team in place," the company said in a statement.Back to top

  RELATED STORIES

W.R. Grace nixes ICI deal - Oct. 14, 1998

  RELATED SITES

W.R. Grace


Note: Pages will open in a new browser window
External sites are not endorsed by CNNmoney




graphic


Most stock quote data provided by BATS. Market indices are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer. Morningstar: © 2018 Morningstar, Inc. All Rights Reserved. Factset: FactSet Research Systems Inc. 2018. All rights reserved. Chicago Mercantile Association: Certain market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. Standard & Poor's and S&P are registered trademarks of Standard & Poor's Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. All content of the Dow Jones branded indices © S&P Dow Jones Indices LLC 2018 and/or its affiliates.

Most stock quote data provided by BATS. Market indices are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer. Morningstar: © 2018 Morningstar, Inc. All Rights Reserved. Factset: FactSet Research Systems Inc. 2018. All rights reserved. Chicago Mercantile Association: Certain market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. Standard & Poor's and S&P are registered trademarks of Standard & Poor's Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. All content of the Dow Jones branded indices © S&P Dow Jones Indices LLC 2018 and/or its affiliates.