A long term care insurer says it will be correcting just a single year of financial statements.
Penn Treaty American Corp., Allentown, Pa., says it will restate financial statements for 2005 because of errors that increased the company’s reported book value by about $1 million.
“The impact of these errors is not material to periods prior to 2005; therefore, the company will not restate accounting periods prior to 2005,” Penn Treaty says.
Penn Treaty, the company that created the modern LTC insurance market, had announced that it was looking into the possibility that it might have to restate earnings for 2003 and 2004 as well as for 2005.
Penn Treaty hopes to release unaudited 2006 financial results by Jan. 28, and it then will hold a conference call to update investors on the 2006 results and the company’s current operations, the company says.