form8k.htm
UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
Washington,
D.C. 20549
__________________
FORM
8-K
_______________
CURRENT
REPORT
Pursuant
to Section 13 OR 15(d) of The Securities Exchange Act of 1934
Date of
Report (Date of earliest event reported): March 28, 2008
Katy
Industries, Inc.
(Exact
name of registrant as specified in its charter)
|
Delaware
|
001-05558
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75-1277589
|
|
(State
of Incorporation)
|
(Commission
File Number)
|
(IRS
Employer Identification No.)
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2461
South Clark Street, Suite 630
Arlington,
Virginia 22202
(Address
of principal executive offices) (Zip Code)
(703)
236-4300
(Registrant’s
telephone number, including area code)
Check the
appropriate box below if the Form 8-K filing is intended to simultaneously
satisfy the filing obligation of the registrant under any of the following
provisions:
[ ] Written
communications pursuant to Rule 425 under the Securities Act
[ ] Soliciting
material pursuant to Rule 14a-12 under the Exchange Act
[ ] Pre-commencement
communications pursuant to Rule 14d-2(b) under the Exchange Act
[ ] Pre-commencement
communications pursuant to Rule 13e-4(c) under the Exchange Act
Item 4.01 Change
in Registrant’s Independent Registered Public Accounting Firm.
(a) Former independent registered public
accounting firm
On March
28, 2008, the Board of Directors of Katy Industries, Inc. (the “Company”)
approved the recommendation of the Audit Committee of the Company’s Board of
Directors to dismiss PricewaterhouseCoopers LLP (“PwC”) as the independent
registered public accounting firm for the Company for periods ending after
December 31, 2007.
The
reports of PwC on the Company’s consolidated financial statements as of and for
the fiscal years ended December 31, 2007 and 2006 did not contain an
adverse opinion or a disclaimer of opinion and were not qualified or modified as
to uncertainty, audit scope, or accounting principle.
During
the fiscal years ended December 31, 2007 and 2006, and through March 28,
2008, there have been no disagreements with PwC on any matter of accounting
principles or practices, financial statement disclosure or auditing scope or
procedure, which disagreements, if not resolved to the satisfaction of PwC,
would have caused PwC to make reference thereto in their reports on the
financial statements of the Company for such years. During the fiscal years
ended December 31, 2007 and 2006, and through March 28, 2008, there have
been no “reportable events” as such term is defined in Item 304(a)(1)(v) of
Regulation S-K, except as discussed below. Pursuant to disclosures
in the Item 9A section of the Form 10-K/A of the Company for the year ended
December 31, 2006, in the Item 4 section of Forms 10-Q of the Company for the
quarters ended September 30, 2007 and June 30, 2007 and in the Item 4 section of
the Form 10-Q/A of the Company for the quarter ended March 31, 2007, the Company
disclosed the following material weaknesses in internal controls over financial
reporting and disclosure controls and procedures:
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•
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The
Company did not maintain a proper level of segregation of duties,
specifically the verification process of physical raw material inventory
on hand and the operational handling of this inventory;
and
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•
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The
Company did not maintain sufficient oversight of the raw material
inventory counting and reconciliation
process.
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Management
of the Company believes that the two material weaknesses disclosed above
resulted in the restatement of the consolidated financial statements of the
Company as of and for the years ended December 31, 2005 and 2006 and as of and
for the quarter ended March 31, 2007.
The
Company has authorized PwC to respond fully to any inquiries of the successor
independent registered public accounting firm for the Company regarding the two
material weaknesses discussed above.
The
Company has provided PwC with a copy of the above disclosures and requested that
PwC furnish the Company with a letter addressed to the Securities and Exchange
Commission stating whether or not it agrees with the above
statements. A copy of such letter is filed as Exhibit 16.1 to this
Form 8-K.
(b) New independent registered public
accounting firm
On March
28, 2008, the Board of Directors of the Company approved the recommendation of
the Audit Committee of the Company’s Board of Directors to appoint UHY LLP as
the independent registered public accounting firm for the Company for the year
ending December 31, 2008.
During
the fiscal years ended December 31, 2007 and 2006 and through March 28,
2008, UHY LLP was not consulted by the Company regarding (1) the
application of accounting principles to any completed or proposed transaction,
(2) the type of audit opinion that might be rendered on the Company’s
financial statements for such years, or (3) any other accounting, auditing,
or financial reporting matter described in Items 304(a)(2)(i) and (ii) of
Regulation S-K.
Item 9.01 Financial
Statements and Exhibits
(d) Exhibits
Exhibit
No. Description
16.1 Letter
from PricewaterhouseCoopers LLP to the Securities and Exchange Commission,dated
March 28, 2008.
SIGNATURES
Pursuant
to the requirements of the Securities Exchange Act of 1934, the registrant has
duly caused this report to be signed on its behalf by the undersigned hereunto
duly authorized.
KATY
INDUSTRIES, INC.
(Registrant)
By: /s/ Amir
Rosenthal
Amir
Rosenthal
Vice
President, Chief Financial Officer,
General
Counsel and Secretary
Date: March
28, 2008
Exhibits
Exhibit
No. Description
16.1 Letter
from PricewaterhouseCoopers LLP to the Securities and Exchange Commission,dated
March 28, 2008.