SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (date of earliest event reported): February 21, 2001
South Street Financial Corp.
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(Exact name of registrant as specified in its charter)
North Carolina 0-21083 56-1973261
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(State or other jurisdiction (Commission (IRS Employer
of incorporation) File Number) Identification No.)
155 West South Street
Albemarle, North Carolina 28001
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(Address of principal executive offices)
Registrant's telephone number, including area code: (704) 982-9184
N/A
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(Former name or former address, if changed since last report)
Item 4. Changes in Registrant's Certifying Accountant:
February 21, 2001 South Street Financial Corp. (the "Registrant") engaged Dixon
Odom, PLLC ("Dixon Odom") as its successor independent audit firm and dismissed
McGladrey & Pullen, LLP ("McGladrey") as its independent auditors. The change
resulted from the Registrant's Audit Committee considering bids for the
Registrant's audit work.
McGladrey served as the Registrant's independent accountants to audit the
Registrant's three most recent fiscal year ends. McGladrey's reports on the
Registrant's financial statements for each of those years (fiscal years ended
December 31, 2000 and September 30, 1999 and 1998) did not contain an adverse
opinion and was not qualified or modified as to uncertainty, audit scope, or
accounting principles.
During the Registrant's three most recent fiscal year ends (fiscal years ended
December 31, 2000 and September 30, 1999 and 1998) and the subsequent interim
period from January 1, 2001 through February 21, 2001, there have been no
disagreements with McGladrey on any matter of accounting principles or
practices, financial statement disclosure, or auditing scope of procedure, which
disagreements, if not resolved to the satisfaction of McGladrey, would have
caused McGladrey to make reference thereto in their report on the financial
statements for such years.
During the Registrant's three most recent fiscal year ends (fiscal years ended
December 31, 2000 and September 30, 1999 and 1998) and the subsequent interim
period from January 1, 2001, through February 21, 2001, neither the Audit
Committee of the Registrant (nor anyone acting on its behalf) consulted with
Dixon Odom or any other independent accountant regarding any application of
accounting principle to a specified transaction, either completed or proposed;
or any type of audit opinion that might be rendered on the Registrant's
financial statements. Neither a written report nor oral advice was provided by
Dixon Odom or any other independent accountant to the Registrant that the new
auditors concluded was an important factor considered by the Registrant in
reaching a decision on any accounting, auditing, or financial reporting issue.
The Registrant has provided McGladrey and Dixon Odom with a copy of the above
disclosures in response to Item 304(a) of Regulation S-K in conjunction with the
filing of this Form 8-K. Both McGladrey and Dixon Odom have been provided with
the opportunity to deliver to the Registrant a letter addressed to the
Securities and Exchange Commission stating whether it agrees with the statements
made by the Registrant in response to Item 304(a) of Regulation S-K, and if not,
stating the respects in which it does not agree. The Registrant has requested
that both McGladrey and Dixon Odom provide such letters within ten (10) business
days upon the Registrant's filing of this Form 8-K. Upon receipt of such
letters, the Registrant will file an amendment to this Form 8-K within two (2)
business days, including the letters as an exhibit.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
SOUTH STREET FINANCIAL CORP.
Date: February 23, 2001 By: /S/ Carl M. Hill
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Carl M. Hill, President and
Chief Executive Officer