Mattel, Inc. Rotten Score Breakdown
💼Corporate Misconduct
Community concern only
Community ratings exist, but no approved evidence has been submitted. Community ratings do not affect the Rotten Score.
Avg Rating: 5.00Ratings: 1Severity Score: 0.00Evidence Count: 0Contribution: 0.0 pts
📰Human Rights & Exploitation
No documented evidence
Avg Rating: —Ratings: 0Severity Score: 0.00Evidence Count: 0Contribution: 0.0 pts
🎭Fraud & Corruption
No documented evidence
Avg Rating: —Ratings: 0Severity Score: 0.00Evidence Count: 0Contribution: 0.0 pts
🧪Deceptive Practices
No documented evidence
Avg Rating: —Ratings: 0Severity Score: 0.00Evidence Count: 0Contribution: 0.0 pts
🚨Environmental Harm
No documented evidence
Avg Rating: —Ratings: 0Severity Score: 0.00Evidence Count: 0Contribution: 0.0 pts
🌱Sustainability Deception
No documented evidence
Avg Rating: —Ratings: 0Severity Score: 0.00Evidence Count: 0Contribution: 0.0 pts
💸Workplace Misconduct
No documented evidence
Avg Rating: —Ratings: 0Severity Score: 0.00Evidence Count: 0Contribution: 0.0 pts
⚠️Financial Misconduct
No flavor assigned
Avg Rating: 5.00Ratings: 1Severity Score: 3.00Evidence Count: 1Contribution: 15.0 pts
Misconduct: low 0 · medium 1 · high 0
Remediation: low 0 · medium 0 · high 0ⓘ cap: 25%
Mattel Paid $3.5 Million to Settle SEC Charges Over Financial Misstatements
In October 2022, Mattel Inc. agreed to pay $3.5 million to settle U.S. Securities and Exchange Commission charges relating to misstatements in its third- and fourth-quarter 2017 financial statements.
The SEC found that Mattel understated a tax-related valuation allowance for the third quarter of 2017 by $109 million and overstated tax expense for the fourth quarter by the same amount. The errors materially distorted the company's reported quarterly net losses and loss per share.
The SEC found violations of negligence-based antifraud, reporting, books-and-records and internal-controls provisions. Without admitting or denying the findings, Mattel agreed to a cease-and-desist order and the $3.5 million civil penalty.
Source:
U.S. Securities and Exchange Commission
https://www.sec.gov/newsroom/press-releases/2022-189