Shurgard to Restate Earnings

Shurgard Storage Centers Inc., Seattle, has announced that certain accounting adjustments have been made that will require a restatement of historical financial statements and will prevent the company from filing its Form 10-K for 2003 by March 30.Shurgard said its new auditors have made "significant progress" since mid-January toward completing an audit of the company's 2003 financial statements and re-audits for 2002 and 2001. The company said its goal is to complete the audit in time to permit the filing of its Form 10-K for 2003 in April. "Although the audits are ongoing, and could result in additional adjustments, the company currently expects to restate its historical financial statements to take a full valuation allowance for certain deferred tax assets, to account for its tax retention operating leases (referred to as the 'TROLs') on-balance-sheet, and to consolidate certain domestic development joint ventures in the company's financial statements," Shurgard said.