comfort letter

A letter from an independent auditor included in a preliminary prospectus stating that, while a full audit has not been undertaken, the auditor has done a 'review' sufficient to assure that financial statement information in the preliminary prospectus is correctly prepared to the best of the auditor's knowledge. The auditor in effect states that, had a full audit been done, they are comfortable that the audited financial statements would not be materially different from the ones presented in the preliminary prospectus. Bloomberg Financial Dictionary

* * *

comfort letter comfort letter letter

* * *

comfort letter UK }} US }} noun [C] ACCOUNTING, FINANCE
LETTER OF COMFORT(Cf. ↑letter of comfort)

Financial and business terms. 2012.

Look at other dictionaries:

  • comfort letter — a letter in business matters written to assure another party of the writer s intentions. It is essentially not supposed to be binding in law but can allow negotiations or commerce to continue. Examples are in relation to contract negotiations and …   Law dictionary

  • Comfort letter — A comfort letter is a document prepared by an accounting firm assuring the financial soundness or backing of a company.[1] The comfort letter can be issued by a CPA declaring no indication of false or misleading information in the financial… …   Wikipedia

  • Comfort Letter — Ein Comfort Letter (auch Letter of Comfort) ist ein aus dem englischen stammender Begriff im Finanz und Wirtschaftswesen. Er bezeichnet eine von einer Gesellschaft abgegebene Erklärung, die einen Sachverhalt, eine Analyse oder eine Prüfung… …   Deutsch Wikipedia

  • Comfort Letter — A Comfort Letter is a document prepared by an accounting firm assuring the financial soundness or backing of a company. [cite book | last =Random House | title = Random House Webster s Unabridged Dictionary | publisher = Random House Reference |… …   Wikipedia

  • Comfort Letter — A letter given to organizations or persons of interest by external auditors regarding statutory audits, statements and reports used in a prospectus. The comfort letter will be attached to the preliminary statements as assurance that it will not… …   Investment dictionary

  • comfort letter — See: letter of comfort …   Accounting dictionary

  • comfort letter — A letter generally requested by securities underwriters to give comfort on the financial information included in an SEC registration statement …   Black's law dictionary

  • comfort letter — An alternative term for Representation letter …   Auditor's dictionary

  • comfort letter — Fin 1. in the United States, a statement from an accounting firm provided to a company preparing for a public offering, that confirms that the unaudited financial information in the prospectus follows Generally Accepted Accounting Principles 2. a …   The ultimate business dictionary

  • comfort letter — an informal statement assuring the financial soundness or backing of a company. * * * …   Universalium

Share the article and excerpts

Direct link
Do a right-click on the link above
and select “Copy Link”

We are using cookies for the best presentation of our site. Continuing to use this site, you agree with this.