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Latest Business News

H&R Block Shares Fall on Tax Problems

Friday, February 24, 2006 11:57:27 AM
By DAVID TWIDDY

KANSAS CITY, Mo. (AP) - Shares of H&R Block Inc. sank Friday after the nation's largest tax preparer said it was having problems with its own taxes and would have to restate earnings going back to 2004.

Shares of the company fell $1.86, or 7 percent, to $23.33 in morning trading on the New York Stock Exchange. The stock's weakest level of $22.90 on Friday was below its previous 52-week low of $23.01.

H&R Block also said the costs of settling a number of class-action lawsuits and slower-than-expected business in its tax and mortgage arms caused its third-quarter profit to drop 68 percent and forced the company to lower annual revenue estimates. The company reported its earnings after financial markets closed on Thursday.


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