IBM says it faces probe of accounting practices

IBM says federal regulators are investigating its accounting of some business transactions in the United States, the United Kingdom and Ireland.

The company made the disclosure in a public filing today, saying it learned of the investigation in August. IBM said it is cooperating with the probe, which is focused on the way IBM reported revenue for certain transactions. The filing didn't provide details.

IBM shares were down more than 3% in trading after the disclosure.

The company, based in Armonk, New York, announced separately that it will increase its share buyback programme by $4 billion and will pay a quarterly dividend of $1.30 per share.