Controversy over Goldman's December earnings

April 15, 2009 | By Jim Kim

We noted that Goldman Sachs' generally well received first quarter report was clouded just a bit by the move to a first quarter that spanned January through March, leaving December in a grey zone. During that standalone month, the firm took some huge write downs for "fair value losses" and would have lost $780 million, the Washington Post notes.

So to many it seems obvious that if Goldman Sachs were on the old Dececember through February quarter, its earnings would not have looked so rosy. Some wonder if the bank shifted losses into December somehow, a charge that the bank denies. Still, the timing of the switch was certainly fortuitous. The press generally did not make a big deal out of it, though the numbers are rather eye-catching.

For more:
- here's the Washington Post article