News of the new auditor helped raise the company's share price by $0.55 on Friday to close at $37.85, one of its highest closing prices since Deloitte & Touche resigned as the company's independent auditor on Nov. 16. On Monday Nov. 17, the company's share price opened $1.85 below its Friday close of $38.85. By midday, Smith Barney Citigroup had changed its recommendation on the company from "buy" to "sell." At the close of markets, the company's share price stood at $36.10, off $2.75 on the day.

In its resignation, Deloitte & Touche cited concern with the timing of and perceived inconsistencies in Shurgard's communications with the firm regarding an overpayment of approximately $1.4 million made by Shurgard to its chairman/CEO Charles Barbo in connection with the liquidation of an affiliated limited partnership formed in 1990.

Shurgard says it discovered in October that an error in the calculation of the payment amount may have occurred, then investigated the transaction. Once it was confirmed an overpayment had been made--due to "a mistake in the application of the distribution formula specified in the relevant partnership agreement"--the company says Barbo reimbursed the company.