Company: RILYN
Filing Date: 2025-10-22
Form Type: DEF 14A
Source: 0001213900-25-101228
Chunk: 19

Company: B. Riley Financial, Inc.
Filing Date: 2025-10-22
Form: DEF 14A
Chunk 19
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2025, subject to completion of BDO’s standard client acceptance procedures and execution of an engagement letter. In considering the appointment of a new auditor, the Company identified firms that it believed were qualified to serve as auditor for a company with the size and complexity of the Company. In each case the Company identified issues that might impact the independence of the qualified firm. The Audit Committee considered these issues carefully in choosing a new auditor. The Company is providing this disclosure to explain the facts and circumstances, as well as BDO’s and the Audit Committee’s conclusions, concerning BDO’s objectivity and impartiality. Prior to its appointment as auditor, BDO informed the Company that it would not be independent with respect to the performance of the audit of the financial statements of the Company for the year ending December 31, 2025, due to certain non -auditservices (payroll, corporate secretarial, treasury/accounts payable and third -partylicensed software) that were performed by BDO member firms during the period under audit for affiliates of the Company. All services performed by BDO member firms that would be considered an impairment of BDO’s independence were terminated in April 2025. For the following reasons, the Audit Committee of the Company and BDO have each concluded, and are of the view that a reasonable investor with knowledge of all relevant facts and circumstances would conclude, that the provision of these services would not impair BDO’s objectivity and impartiality with respect to BDO’s audit of the Company’s financial statements for the year ending December 31, 2025: 1.The non -auditservices performed by the BDO member firms ceased prior to BDO’s appointment as auditor. 2.The BDO member firms were engaged by a limited number of smaller foreign subsidiaries of one of the Company’s many businesses. 3.The non -auditservices performed by the BDO member firms did not have a quantitative or qualitative material impact on the consolidated financial statements of the Company. 4.The fees earned from the non -auditservices by BDO member firms were qualitatively and quantitatively inconsequential and immaterial to both the Company and BDO. 5.The BDO audit engagement team will have no interaction with the BDO member firms’ non -auditservices teams in the conduct of their audit. No personnel from the BDO member firms who worked on the non -auditservices will be part of the audit team or have any involvement in the audit. During the Company’s fiscal years ended December