Are you looking for a stock?
Try one of these
SNC Lavalin Group Inc. (SNC-T), the engineering giant caught up in allegations of bribery and improper payments, vowed on Thursday to get to the bottom of any wrong-doing as it reported weaker-than-expected financial results.
SNC, which will hold what promises to be a fiery annual meeting in Toronto on Thursday, said it was encouraging employees to come forward with any information that might help with investigations into the alleged misconduct.
"We are committed to getting to the bottom of any violations of law, including any fraud that may have been committed against the company," said interim chief executive officer Ian Bourne.
"We are hopeful that through our cooperation, we can help bring anyone responsible for illegal acts to justice," Bourne said in a statement accompanying SNC's first-quarter results.
Montreal-based SNC, whose stock receded on Thursday, is grappling with fallout from an internal investigation that revealed that it paid $56 million to unknown "agents" on construction contracts that did not exist.
In March Pierre Duhaime resigned as chief executive after revelations he had authorized the payments, but details surrounding the matter remain shrouded in mystery.
"The biggest question is whether this episode is going to affect their future ability to earn contracts," said Morningstar Inc. analyst Min Tang-Varner.
Earlier, SNC reported a 14.5-percent decline in quarterly earnings to $67 million, or 44 cents a share, below the 49 cents that analysts had been expecting, according to Thomson Reuters I/B/E/S.
Revenue rose to $1.78 billion from $1.64 billion, also below market expectations of $1.84 billion. Its backlog rose to $10.5 billion at the end of March from $10.1 billion at the end of December.
"In this environment, where people are freaking out about what is going to happen with the company over the medium to longer-term, I think that's as good as it gets. Overall it looks alright," said Maxim Sytchev, managing director of industrials research at Toronto-based AltaCorp Capital.
SNC's stock has shed more than 20 percent of its value since February 27, the day before the company revealed the payments probe and warned that the impact of the civil war in Libya, where it had several big contracts, would push 2011 profit below earlier forecasts.
The Royal Canadian Mounted Police searched the company's Montreal headquarters in mid-April, after launching an investigation into the payments.
Police were also probing bribery allegations against SNC involving a $1.2 billion bridge project in Bangladesh financed by the World Bank.
SNC has said its former head of construction, Riadh Ben Aissa, who left the company in February, may have direct knowledge of the mysterious transactions.
Swiss authorities confirmed over the weekend that Ben Aissa had been arrested on charges of corruption, fraud and money laundering.