Why is Motorola Solutions changing its auditor?

Motorola Solutions' Audit Committee appointed PwC as its new independent registered public accounting firm for the fiscal year ending December 31, 2019, following a competitive selection process. This is a standard rotation practice and does not indicate any issues with the previous auditor, KPMG LLP, as there were no stated disagreements or reportable events.

What is the significance of the auditor change for investors?

The change in auditor is generally a routine corporate governance event. The filing explicitly states no disagreements or reportable events with the former auditor, KPMG. Investors can take comfort in the transparency and adherence to standard procedures. The engagement of a reputable firm like PwC suggests continued focus on strong financial reporting and internal controls.

What were the key outcomes of the Annual Meeting of Stockholders?

The Annual Meeting saw strong support for the election of directors and the company's executive compensation plan. Stockholders also ratified KPMG LLP as the auditor for fiscal year 2018. Notably, three shareholder proposals concerning recruitment in global supply chains, human rights expertise for directors, and lobbying disclosure were defeated, indicating shareholder alignment with current company policies on these matters.

When will PwC officially begin its audit as the new auditor?

PwC's appointment as the new independent registered public accounting firm is for the fiscal year ending December 31, 2019. This appointment is contingent upon the completion of PwC's acceptance procedures and will be effective after KPMG LLP issues its reports on the consolidated financial statements and internal control over financial reporting for the fiscal year ended December 31, 2018.

MSI 8-K: Financial Events & Shareholder Matters

Summary

Motorola Solutions, Inc. (MSI) filed an 8-K report on May 17, 2018, primarily announcing a change in its independent registered public accounting firm. The company's Audit Committee appointed PricewaterhouseCoopers LLP (PwC) to serve as its new auditor for the fiscal year ending December 31, 2019. This appointment will be effective after KPMG LLP completes its audit reports for the fiscal years ended December 31, 2018. The report indicates no disagreements or reportable events with the outgoing auditor, KPMG, during the specified periods. In addition to the auditor change, the 8-K provides details on the voting results from Motorola Solutions' Annual Meeting of Stockholders held recently. Key outcomes include the overwhelming approval of director elections and executive compensation, the ratification of KPMG LLP as the 2018 auditor, and the defeat of three shareholder proposals related to recruitment in global supply chains, human rights expertise for directors, and lobbying disclosure. Investors should note the transition in auditing firms as a routine corporate governance matter and review the strong support for management's proposals at the annual meeting.

Key Highlights

1Motorola Solutions appointed PricewaterhouseCoopers LLP (PwC) as its new independent registered public accounting firm for the fiscal year ending December 31, 2019.
2The appointment of PwC is effective upon the completion of KPMG LLP's audit for the fiscal year ending December 31, 2018.
3There were no disagreements or reportable events with the former auditor, KPMG LLP, during the fiscal years ended December 31, 2016 and 2017, or the subsequent interim period.
4All incumbent directors proposed for election were approved by a significant majority of votes.
5The company's executive compensation plan was approved on an advisory basis by a majority of stockholders.
6Stockholders ratified the appointment of KPMG LLP as the independent auditor for fiscal year 2018.
7Three shareholder proposals regarding global supply chain recruitment, human rights expertise, and lobbying disclosure were defeated.

Motorola Solutions, Inc. 8-K Report, Auditor Change (May 17, 2018)

Summary

Key Highlights

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