Blythewood, South Carolina-based Policy Management Systems Corp, one of IBM Corp’s many software investments, says that the ongoing investigation of its accounting and business practices is likely to lead to a revision of the company’s reported figures for several quarters. Policy Management says its independent public accountant, Arthur Andersen & Co intends to withdraw its audit opinion for 1992 because of uncertainty arising from the investigation. Because of the investigation, Policy Management says it will be unable to release second quarter 1993 results by August 14 as expected. Until the investigation is completed, we cannot comment on current financial results or speculate on the size of any revisions of our previous financial results. Issues being reviewed include timing of revenue recognition under licensing agreements and the percentage of completion contract accounting on its service contracts.
