AuditorJul 27, 2026, 04:37 PM
AES Changes Auditor from EY to KPMG Due to Merger
AI Summary
The AES Corporation announced the dismissal of Ernst & Young LLP (EY) as its independent registered public accounting firm, effective upon the filing of its Q2 2026 Form 10-Q. This change was necessitated by an announced merger agreement, which would compromise EY's independence under SEC rules. The company subsequently engaged KPMG LLP (KPMG) as its new independent auditor for the fiscal year ending December 31, 2026, after ensuring KPMG resolved prior impermissible services. EY's 2024 audit report included an adverse opinion on internal controls due to a material weakness related to the disposition process of AES Brasil.
Key Highlights
- AES dismissed Ernst & Young LLP (EY) as its independent auditor on July 21, 2026.
- EY's dismissal is effective upon the filing of the Company’s Q2 2026 Form 10-Q.
- Dismissal occurred because EY would no longer be independent after the announced merger.
- KPMG LLP (KPMG) was engaged as the new independent auditor for fiscal year ending December 31, 2026.
- EY's report for 2024 contained an adverse opinion on internal control over financial reporting.
- KPMG identified and resolved prior impermissible services provided to AES subsidiaries.
Price Impact
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