CSK Auto has been shedding top employees as the size of the restatement has ballooned to $90 million for errors made going back to 2001. Maynard Jenkins who was the chairman and CEO since 1997 will leave as soon as a replacement is found. Martin Fraser, president and chief operating officer, and Don Watson, chief administrative officer and former financial chief, as well as several other individuals in the company's finance department have left. The financial statements are a mess and CSK still hasn't filed its year end financial statements for the year ending January 26, 2006 or the first two quarters. CSK, however, did report preliminary results for its second fiscal quarter ended July 30: Revenue was $480 million, up from $419 million in the same quarter of 2005, primarily attributable to sales at Murray's Discount Auto Stores. Eight new stores were opened in the second quarter and the company expects to open an additional 36 locations in the second half of the current fiscal year. At this point it appears that all of the bad news is out and the stock has seen a slight increase. Hedge fund Karsch Capital Management which owns 9.3% of the company believes that CSK should seek to sell itself. In a letter to the board, Karsch Capital said that bringing in a new CEO is not a viable option and said that the board has a poor record of overseeing CSK. Time for a white knight.

John Laub is the Chairman of the CEO-CFO Group.

"CSK CEO to step down following internal investigation." Cathy Luebke. The Business Journal of Phoenix. September 28, 2006
CSK Auto Corporation Form 8-K. September 28, 2006.
"CSK Auto Fires Executives." The Street.com Staff. The Street.com. September 28, 2006.
"Hedge fund says CSK Auto should sell itself." Reuters. October 10, 2006.