8-KFinancial EventsExhibits & Filings

FTAI Aviation Ltd. 8-K Report, Auditor Change (May 5, 2016)

Filed May 5, 2016For Securities:FTAIFTAIMFTAIN

Summary

FTAI Aviation Ltd. (FTAI) announced a significant change in its auditing firm in an 8-K filing dated May 5, 2016. The company's Audit Committee approved the engagement of Ernst & Young LLP (EY) as its new independent registered public accounting firm for the fiscal year ending December 31, 2016, effective immediately. This decision led to the dismissal of PricewaterhouseCoopers LLP (PwC), the company's auditor for the fiscal years 2015 and 2014. The filing explicitly states that the decision to change auditors was made by the Audit Committee. Importantly, there were no reported disagreements on any accounting principles, financial statement disclosures, or auditing procedures between FTAI and PwC during the periods under review, nor were there any "reportable events" that would necessitate disclosure. PwC's prior audit reports were unqualified. The company has received a letter from PwC confirming their agreement with these statements, which is filed as an exhibit.

Key Highlights

  • 1FTAI Aviation Ltd. has appointed Ernst & Young LLP (EY) as its new independent auditor for the fiscal year ending December 31, 2016.
  • 2PricewaterhouseCoopers LLP (PwC) has been dismissed as the company's independent auditor.
  • 3The change in auditors was approved by FTAI's Audit Committee.
  • 4There were no disagreements between FTAI and PwC on accounting principles, financial statement disclosures, or auditing procedures.
  • 5No "reportable events" occurred during the fiscal years 2015 and 2014, or the interim period through May 5, 2016, that would require disclosure.
  • 6PwC's audit reports for fiscal years 2015 and 2014 were unqualified and without modification.
  • 7FTAI has filed a letter from PwC confirming their agreement with the company's disclosures regarding the auditor change.

Frequently Asked Questions

The company's Audit Committee approved the engagement of Ernst & Young LLP (EY) as its new independent registered public accounting firm for the fiscal year ending December 31, 2016, leading to the dismissal of PricewaterhouseCoopers LLP (PwC). The filing indicates this was a decision made by the Audit Committee.

No, the filing explicitly states there were no disagreements on any matter of accounting principles or practices, financial statement disclosure, or auditing scope or procedures between FTAI and PwC. Furthermore, there were no "reportable events" as defined by SEC regulations.

The letter from PwC, filed as an exhibit, confirms that PwC agrees with FTAI's statements regarding the reasons for their dismissal and the absence of any disagreements or reportable events. This provides assurance to investors that the auditor change was amicable and without underlying financial reporting concerns.

According to the filing, FTAI and its representatives have not consulted with EY regarding any accounting principles, proposed transactions, or potential audit opinions prior to this engagement. EY did not provide any advice that was considered a significant factor in FTAI's decision-making regarding accounting, auditing, or financial reporting matters.