Outside of big4, PA is a dumpster fire.

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Yeah, can confirm, it's warm in here.

But just you wait - 2/28/25 CohnReznick has announced a strategic growth investment from Apex Partners... Nothing good's gonna come out of that one.

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It’s terrible over here too

Not surprising from BDO. Their name is basically Body Odor.

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What’s the way forward? Can BDO use AI to find strategies on how to get out of debt?

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That’s hilarious

*including big4

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Cohnreznick is a dumpster fire

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Dumpster. Fire.

I am dumb, but if Apollo was shorting first brand’s debt, then they should be golden, right?

I regret to inform you, big four is the dumpster in this scenario. The fire started there and is branching out.

Yeah I guess I meant more b4 is free from all the PE investments leading to firms cutting staff, focusing strictly on $s and taking on garbage clients

This a clear misunderstanding of things. Giving a clean opinion while Apollo is shorting the debt does not correlate with the premise. To help Apollo BDO would have to give a disclaimer or an opinion noting significant issues. They did the opposite. The real problem is BDO's audit execution on this client.

No, the possibility of insider trading exist at various rates but not necessarily due to BDO. First brands was heavily leveraged using off balance sheet financing. It's more likely that the audit team was in over their heads or that there was a miss representation from management. Why didn't BDO catch that there was a going concern issue related to $12 billion dollars of liabilities? IDK, but Deloitte was hired a few months after issuance of the FS because creditors were asking questions around first brands trying to pick up $6 billion in additional debt after issuance. It seems that the industry already had suspicions around first brands and Apollo caught wind of it. With so many involved Apollo had many avenues of coming across the situation without BDO's help. It make no sense for BDO to take such a reputational hit to help a creditor. Its more likely they screwed the audit or got played and Apollo got lucky through other means.

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