SiliconBeat

A week after performing a nearly complete makeover of its executive suite, Cadence Design (Nasdaq: CDNS)  said today that “it is reviewing, in conjunction with the company’s independent accountants and legal advisors, the recognition of revenue related to customer contracts signed during the first quarter of 2008.”

Cadence accountants happened to notice that $24 million of contract revenue in its recently completed third quarter was already recognized during its first quarter of the year. Oops. That already-recognized revenue should “have been recognized ratably over the duration of the contracts commencing in the second quarter of 2008.” The maker of electronic design software now says it “now expects to restate its financial statements for the first quarter of 2008 and the first half of 2008 to correct” the problem.

Cadence CEO Michael Fister, along with Kevin Bushby, executive vice president of worldwide field operations; James Miller Jr., executive vice president of products and technologies organization; William Porter, chief administrative officer; and R. L. Smith McKeithen, executive vice president of corporate affairs, all quit last Wednesday. As reported by Steve Johnson of the Mercury News, “The company praised the departing executives, but gave no reason for their resignations. Cadence declined to comment beyond a statement it issued, which said Fister’s leaving was ‘by mutual agreement’ between him and the board.”

Until a replacement for Fister can be chosen, Cadence said the company will be run by an interim team that includes Chairman John Shoven, board member Lip-Bu Tan and Chief Financial Officer Kevin Palatnik.