After 111 Years, General Electric Switches Auditor

On June 18th, the Audit Committee of General Electric [GE] – a multinational conglomerate company – selected Deloitte & Touche as its independent auditor for the Company’s fiscal year ending December 31, 2021, ending its 111-year tenure with KPMG. According to the 8-K filed on June 22nd, the dismissal will become effective following KPMG’s completion of the Company’s audit for the fiscal year ending December 31, 2020.

As illustrated, GE’s 111-year relationship with KPMG is among a small fraction of S&P 500 companies; tenures lasting more than 100 years account for less than 2% of auditor-client relationships within this market index.

Notably, General Electric is one of only twelve S&P 500 companies having an auditor change in recent years.

Since 2018, there was only one other S&P 500 company that changed auditors after a longer tenured engagement: DuPont de Nemours [DD], which occurred in conjunction with the split of its predecessor – DowDuPont – into three independent, publicly traded companies.

For more information about Audit Analytics or this analysis, please contact us.

Interested in our content? Be sure to subscribe to receive our email notifications.