BEDFORD, Mass.-Boston Communications Group Inc. said an independent auditor will reissue its opinion on the company’s 2004 financial statements in the wake of the company’s loss in a $128 million patent infringement suit.
BCGI said accounting firm Ernst & Young LLP will reissue its opinion on the company’s 2004 consolidated financial statements with a going concern modification. A provider of back-end billing and network systems for wireless operators, BCGI suffered a devastating blow in May, when a jury found it had violated a Freedom Wireless patent covering the technology and processes used to provide prepaid service.
BCGI, which may be forced into bankruptcy by the judgment, is appealing the ruling and working to reach a settlement with Freedom Wireless. A non-jury trial is scheduled to resume on July 14 if no agreement is reached.
Shares of BCGI were unchanged on the news, which was announced after Monday’s closing bell. The stock was trading at $2.16 mid-day on the Nasdaq.
