Deferred taxes

There was an interesting paragraph in Rogers Corporations fourth quarter earnings release:

In connection with the Company’s year-end financial statement closing process and the audit of the consolidated financial statements by the Company’s independent public accountant, it was determined that the method of accounting for deferred income taxes was not consistent with the application of the provisions of FAS 109. The one-time, non-cash increase to earnings reflects the adjustment required to properly state certain deferred income tax accounts for temporary tax differences that may have accumulated over many years. Management believes that any temporary differences not properly accounted for would not have materially affected the Company’s reported results in any one year nor was the cumulative amount material in relation to the Company’s financial position. As such, with the concurrence of the Company’s independent auditors, the adjustment for these items was recorded in the fourth quarter 2004 results.

This seems like a strange omission, the company was not able to verify that its internal controls were able to allow it to calculate its deffered taxes and that it would result in an increase in earnings. Why would the company have lowered its earnings in the past through deferred taxes? However, it is interesting that the company was not able to maintain controls over its deferred taxes, will this be the next wave of restatements?