ATLANTA - Delta Air Lines is considering replacing Arthur Andersen LLC as its auditor after the accounting firm's reputation was badly tarnished by its role in the Enron scandal.
Andersen's chief executive, Joseph Berardino, met with Delta's board of directors Thursday seeking to retain the company as a client, the Wall Street Journal reported Tuesday citing people familiar with the airline.
Delta would be the first major client to take its business elsewhere, although Berardino conceded at a news conference yesterday that the company has lost ``some'' business over the Enron fiasco.
Delta officials portrayed the selection of an auditor as a routine annual process. Delta spokeswoman Peggy Estes says Andersen officials will be allowed to compete for the business, which they have had since 1949.
Delta's board wants to avoid a rushed search for a replacement if Andersen's Enron-related troubles affect its ability to service the airline, the newspaper said.
Chicago-based Andersen received $5.89 million from Delta for auditing and other services in 2000, according to Delta's last proxy statement. Delta will announce its choice of auditor in its March proxy statement.
Wednesday
January 8th, 2025
4:05PM
