The excitement sparked by Wednesday's news that Excite@Home axed Ernst & Young two days after the auditor issued dire warnings about the Internet company is overblown.
On Monday, Excite@Home disclosed that Ernst & Young has cautioned that the company may not be able to continue as a going concern, which is about as nasty as language gets in CPA-land. But Wednesday's filing that the comopany was bringing in PriceWaterHouseCoopers was not knee-jerk retaliation.
Excite@Home has been planning the move for months, first disclosing it in a proxy to sharehoilders June 29. An Excite@Home spokeswoman said that as AT&T has increased its control over the company, the telco wanted its longtime auditing firm to take over the high-speed ISP's account.
- John M. Higgins