Weatherford International, the fourth-largest oilfield-services company, fell the most in more than two years after it said continuing tax accounting problems will force it to restate earnings again.
Weatherford, which has major offices in Houston, dropped 14 percent to $15.36 at the close in New York, the biggest decline since Dec. 4, 2008.
Weatherford, which relocated to Geneva in 2009 for a more favorable tax rate, reported preliminary fourth-quarter earnings yesterday as a final tax bill is determined. The company estimated 2011 taxes of $490 million to $520 million and expects as much as $250 million of net adjustments to results from at least 2008 as it corrects tax accounting errors.
The company last year identified “material weaknesses” in its accounting system and cut earnings by $500 million.
Weatherford said it “has not remediated its previously disclosed material weakness,” causing the further adjustments.
The company was incorporated in Bermuda and run from Houston until 2009, when it relocated to Geneva.
