
                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: THURSDAY, March 31, 1994                   TAG: 9403310297
SECTION: BUSINESS                    PAGE: B-8   EDITION: METRO 
SOURCE: 
DATELINE: NEW YORK                                LENGTH: Short

WOOLWORTH FINANCES UNDER INVESTIGATION

Woolworth Corp. Wednesday sent investors reeling when it disclosed that recent financial results must be restated and that a committee of outside directors has been appointed to investigate alleged accounting irregularities.

In a brief statement, Manhattan-based Woolworth said the revisions may also extend to quarterly periods in 1992 and will reflect corrections to be made to its gross margins.

The global retailer, which is dismantling its traditional five-and-dime business, said the changes are not likely to affect overall annual results for the past two years, but amounts to be restated cannot be estimated.

It's not clear what prompted the review and there was no further information provided about the allegations, which also are being investigated by the law firm Paul, Weiss, Rifkind, Wharton & Garrison and the accounting firm KPMG Peat Marwick.

- Newsday

by CNB