Shaw Restates 1Q Earnings, Files for 2Q

BATON ROUGE, La. (AP) -- The Shaw Group Inc., an engineering and construction company, said Friday it preliminarily restated its fiscal first-quarter earnings and filed its second-quarter financials as part of an ongoing book-keeping review.

The restated figures include a pretax charge of $6.5 million for a petrochemical project on the U.S. Gulf Coast. After tax, the charge is valued at $3.5 million, or 4 cents per share.

The company said at the beginning of the month that it would take a $2.6 million charge related to the project during fiscal 2006. Upon further review, the company said booking the charge during that period is no longer necessary.

Shaw is reviewing its 2006 finances after receiving comments from the Securities and Exchange Commission. It has said its financial statements for fiscal 2006 cannot be relied upon, and is planning to restate its finances for the entire year. Final 2007 quarterly figures cannot be submitted until the 2006 restatement is complete.

The company's 2007 fiscal year ended Friday. Shaw said it is still working to complete its financial statements for the third quarter.

Shaw said it received a waiver from lenders related to its delayed filings that extends through November. It said it has no borrowings outstanding under its credit facility.

Shares rose 75 cents to $49.62 in morning trading.