BHP Billiton drops Andersen as auditor

Global accountant Andersen has lost Anglo-Australian mining giant BHP Billiton as a client - ending an association of over 60…

Global accountant Andersen has lost Anglo-Australian mining giant BHP Billiton as a client - ending an association of over 60 years.

Andersen lost after a tendering process following the multi-billion pound merger of Britain-based Billiton with Australian rival BHP last year.

Three firms were in contention - Billiton's auditors, PricewaterhouseCoopers; BHP's auditor, Andersen; and KPMG. The merged group said today that it had appointed KPMG and PWC.

The loss of BHP Billiton, which is listed on the London Stock Exchange and has a market value of £8.49 billion sterling, will be a blow to Andersen, which has been adversely affected through its involvement with the Enron scandal in the United States.

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BHP Billiton said: "The board expressed its appreciation to Andersen for that firm's commitment and service to BHP and its shareholders over more than 60 years".

KPMG and PWC will take over as joint auditors at the start of the 2003 financial year.