Computer Associates 2005 Annual Report Download - page 97

Table of Contents
Report of the Independent Registered Public Accounting Firm
The Board of Directors and Stockholders
Computer Associates International, Inc.:
We have audited the accompanying consolidated balance sheets of Computer Associates International, Inc. and subsidiaries as of
March 31, 2005 and 2004, and the related consolidated statements of operations, stockholders’ equity, and cash flows for each of the
years in the three-year period ended March 31, 2005. In connection with our audits of the consolidated financial statements, we also
audited the consolidated financial statement schedule listed in Item 15(c). These consolidated financial statements and financial
statement schedule are the responsibility of the Company’ s management. Our responsibility is to express an opinion on these
consolidated financial statements and financial statement schedule based on our audits.
We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those
standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial
statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as
evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the financial position of
Computer Associates International, Inc. and subsidiaries as of March 31, 2005 and 2004, and the results of their operations and their cash
flows for each of the years in the three-year period ended March 31, 2005, in conformity with U.S. generally accepted accounting
principles. Also, in our opinion, the related financial statement schedule, when considered in relation to the basic consolidated financial
statements taken as a whole, presents fairly, in all material respects, the information set forth therein.
As discussed in Note 12, the consolidated financial statements as of March 31, 2005 and 2004 and for each of the years in the three-year
period ended March 31, 2005 have been restated.
As discussed in Note 9, effective April 1, 2005, the Company adopted, on a modified retrospective basis, the provisions of Statement of
Financial Accounting Standards (SFAS) No. 123 (revised 2004), “Share – Based Payments” (SFAS No. 123(R)) which establishes
accounting for stock-based awards exchanged for employee services.
We also have audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States), the
effectiveness of Computer Associates International, Inc.’ s internal control over financial reporting as of March 31, 2005, based on
criteria established in Internal Control—Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway
Commission (COSO) and our report dated June 29, 2005, except as to the seventh and tenth paragraphs of Management’ s Report on
Internal Control over Financial Reporting (as restated), which is as of October 18, 2005, expressed an unqualified opinion on
management’ s assessment of, and an adverse opinion on the effective operation of, internal control over financial reporting as of
March 31, 2005.
/s/ KPMG LLP
New York, New York
June 29, 2005, except as to notes 9 and 12 (b), which are as of October 18, 2005
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