The company said that it would revise its second-quarter results to a loss of 30 cents per share from previously reported income of 63 cents per share, and its first-half results to a loss of 84 cents per share from 58 cents per share.

The Bermuda-based company said it is taking the restatements because it incorrectly accounted for a beneficial conversion feature of convertible preferred shares issued May 7.

The company said that on Sept. 12, it received a letter from the Securities and Exchange Commission about the issue.

Shares of Scottish Re fell 17 cents, or 5.1 percent, to $3.19 Friday.