Nearly a year and a half after it issued a “security on alert” warning about Olympus over the company’s inadequate internal controls, the Tokyo Stock Exchange announced that it had finally withdrawn the warning on June 11th. TSE reviewed a report submitted by Olympus in January and concluded that there is no longer any problem with the company’s internal controls, after reports last year that the company had systematically falsified earnings to cover up losses. The withdrawal of the warning opened up the possibility of improved demand in Olympus’ stock, removing certain self-imposed investment restrictions by mutual funds and other domestic institutions.
