VRSN: VeriSign Confirms Reasons for Expected Restatement of Previously Issued Financial Statements

VeriSign, Inc. (NASDAQ: VRSN) announced on November 21, 2006 that it has determined the need to restate its historical financial statements for the years and interim periods from 2001-2005 and for the first quarter of 2006 to record additional non-cash, stock-based compensation expense related to past stock option grants.

VeriSign confirmed today that the reasons for this determination are that it has identified certain grants with incorrect measurement dates, without required documentation, or with initial grant dates and prices that were subsequently modified. Based on the findings to date, the non-cash charge to the financial statements for the periods 2001 - 2005 is not expected to exceed $250 million; however, the investigation is still on-going.