Luxe automaker Porsche AG looks set to back out of plans to sell stock in the U.S. over a new certification law requiring execs to certify the truth of their financial reports.
Wendelin Wiedeking, the stubborn chief of the top-of-the-line, family-owned sportscar maker, last year was bumped from the Frankfurt exchange’s index for mid-sized companies for refusing to publish quarterly reports.
“I take oaths seriously,” Wiedeking told reporters in Leipzig, Germany, before a factory opening yesterday. “You can never be sure that results which thousands of people have had a hand in preparing are completely correct.”
The maker of the coveted 911 and Boxster autos had been considering a New York Stock Exchange listing.
Wiedeking reportedly has complained that quarterly reports are too expensive and don’t accurately reflect financial results. Non-U.S. companies are not required to report quarterly earnings under NYSE rules. Instead, they are required to meet “home country” standards, as long as they include twice-yearly reporting, said NYSE spokesman Ray Pellecchia.
Porsche publishes financial reports twice a year. The cost of listing on the NYSE is less than the price of Porsche’s fastest model, the Carrera GT, which sells for $400,000. Listings on the NYSE can cost from $150,000 to $250,000, depending on the number of shares.