Sun suffers shares woe despite denial of 'irregularities'

Sun's share price has continued to fall despite a denial yesterday that accounting irregularities will force the company to restate its accounts.

Michael Lehman, CFO of Sun, said: "Over the past few days, there have been rumours in the market to the effect that Sun Microsystems has experienced accounting irregularities or revenue recognition problems. These rumours have no basis in fact." At the end of trading yesterday shares were down 13 per cent to $34 after hitting their lowest point for the year at just under $33. Since the beginning of December, the shares have slid from around $45. In October the company reported turnover up 60 per cent on the comparable quarter of the previous year at $5bn, with income up 85 per cent at $510m.