A new report from the New York Times reveals that Facebook has set aside $3 billion in anticipation of a fine from the FTC of up to $5 billion.
Facebook Made the Disclosure in Quarterly Financial Report
The New York Timesreported this afternoon that Facebook had set aside about $3 billion in anticipation of a major fine from the US Federal Trade Commission, possibly as much as $5 billion, which would make it the largest fine ever levied against a tech company.
The New York Time’sMike Isaac broke the news over Twitter this afternoon.
Facebook expecting to be hit with an FTC settlement charge that could be as high as $3-5 BILLION bucks— rat king (@MikeIsaac) April 24, 2019
no agreement has been reached but the company set aside $3 billion this quarter which impacted its financial earnings statement, out this afternoon— rat king (@MikeIsaac) April 24, 2019
the numbers looked messed up — about half of what investors expected — b/c of the financial penalty preparation set aside and it's in GAAP. otherwise would have been a big beat.— rat king (@MikeIsaac) April 24, 2019
FB stock up 5 percent on this news which is funny— rat king (@MikeIsaac) April 24, 2019
assume investors are aware that 3-5 billion bucks is....not a lot of money to facebook when they mint about $15 billion per *quarter*
this probably alleviates some investor anxiety around regulatory action pic.twitter.com/7rYnlZ1MU5
here click thishttps://t.co/gSJtkcArnZ— rat king (@MikeIsaac) April 24, 2019