Sunbeam Confirms SEC Probe, Audit Review

Sunbeam Corp. acknowledged that its accountants are reviewing their audit of 1997 earnings in the wake of shareholder lawsuits challenging their accuracy and integrity. The Delray Beach, Fla.-based household appliance maker also confirmed an informal Securities and Exchange Commission investigation of its accounting practices. And it said it will absorb an undisclosed “small charge” for delaying an SEC bond filing while Arthur Andersen & Co. reviews its audit findings. The review comes after four shareholder lawsuits filed last week accused Sunbeam and its officers of misleading investors about its sales and earnings in an effort to inflate its stock price. An Arthur Andersen spokesman would not comment on the audit review. Sunbeam’s stock continued to fall Thursday, declining $1.56, or 13%, to close at $10.44 on the New York Stock Exchange.