Groupon reshuffles board after accounting blunders

Now trading at less than 60% of initial offering value

Groupon is reshuffling its board, replacing Howard Schultz with American Express CFO Daniel Henry and replacing Kevin Efrusy with Deloitte VP Robert Bass. The move comes after shareholders filed a lawsuit, accusing both Schultz and Efrusy of breaching their duty to the firm and shareholders after regulators launched an investigation into the firm’s accounting.

A month ago Groupon told shareholders that its Q4 revenues were USD14.3 million less than initially claimed, after being forced to revise accounting measures. The firm previously excluded marketing costs from its profit calculations. These blunders sent shares in Groupon plummeting, down 10.6% on Monday with the company now trading at less than 60% of its initial offering value.

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