The Regents - University of California | Office of The President

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Provision for income taxes 877 2,965 3,025
Income (loss) before min. ints.,
cumulative effect of
accounting change and
extraordinary items (2,467) 4,199 4,543
Minority interests (93) (186) (305)
Income (loss) before cumulative
effect of accounting change
and extraordinary items (2,560) 4,013 4,238
Cumulative effect of accounting
change (net of income taxes of
$22 in 1998 and $50 in 2000) (36) -- (85)
Extraordinary items (net
of income taxes of $78 in 1998) (129) -- --
Net income (loss) (2,725) 4,013 4,153
Distributions on subsidiary
trust mandatorily redeemable
preferred securities 18 63 64
Preferred dividend requirement 24 9 1
Net income (loss) applicable
to common shareholders. $(2,767) $3,941 $4,088
67. On March 30, 2001, Defendant Andersen provided an unqualified
audit opinion on these financial statements:
We have audited the accompanying consolidated balance
sheets of WorldCom, Inc. (a Georgia corporation) and
subsidiaries as of December 31, 1999 and 2000, and the
related consolidated statements of operations,
shareholders' investment and cash flows for each of the
years in the three-year period ended December 31, 2000.
These financial statements are the responsibility of the
Company's management. Our responsibility is to express
an opinion on these financial statements based on our
audits.
We conducted our audits in accordance with auditing
standards generally accepted in the United States. Those
standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial
statements are free of material misstatement. An audit
includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements.
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COMPLAINT