Speedy Hire may be in breach of loan terms due to accounting issues

By Susanna Moon

Chicago, Dec. 2 - Speedy Hire plc said it is in talks with its lenders after a breach of loan terms resulting from accounting issues.

The group remains in compliance with the financial covenants under its banking facilities, according to a company press release.

The issues stem from management changes in Speedy Hire's international division, with "the misstatement of a number of accounting balances within the international division over recent accounting periods," the release noted.

"The information currently available suggests that certain control processes within the international division have been repeatedly and deliberately circumvented."

The international division accounts for about 5% of total group revenue, the release said.

Speedy Hire Plc is a Newton-Le-Willows, England-based holding company.

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