Press Release Details

KANSAS CITY, Mo.--(BUSINESS WIRE)--Oct. 15, 2007--H&R Block (NYSE:HRB) today named Deloitte & Touche LLP as its new independent auditor, effective immediately.

The Audit Committee of H&R Block's Board of Directors terminated the company's relationship with its previous auditor, KPMG LLP, as a result of the election of new directors who have a relationship with KPMG that impaired the audit firm's independence.

"We will immediately begin working with the Deloitte team to ensure that the transition is as smooth as possible, and minimize any impact on operations and financial reporting from this mid-year change in auditors," said Bill Trubeck, executive vice president and CFO.

About H&R Block

H&R Block Inc. (NYSE:HRB) is a leading provider of tax, accounting and related financial products and services. H&R Block is the world's largest tax services provider, having prepared more than 400 million tax returns since 1955. The company and its subsidiaries reported revenues of $4.0 billion and net income from continuing operations of $374.3 million in fiscal year 2007. The company has continuing operations in three principal business segments: Tax Services (income tax return preparation and related services and products via in-office, online and software solutions); Business Services (accounting, tax and business consulting services primarily for midsized companies); and Consumer Financial Services (tax-related banking services along with brokerage services, investment planning and related financial advice). Headquartered in Kansas City, Mo., H&R Block markets its continuing services and products under two leading brands -- H&R Block and RSM McGladrey. For more information visit our Online Press Center at www.hrblock.com.

Forward Looking Statements

This release may contain forward-looking statements, which are any statements that are not historical facts. These forward-looking statements are based upon the current expectations of the company and there can be no assurance that such expectations will prove to be correct. Because forward-looking statements involve risks and uncertainties and speak only as of the date on which they are made, the company's actual results could differ materially from these statements. These risks and uncertainties relate to, among other things, the company's pending sale of Option One Mortgage Corp. and uncertainty regarding its closing; the uncertainty of the impact and effect of changes in the non-prime mortgage market including changes in interest rates, loan origination volumes, levels of early payment defaults and secondary market pricing and liquidity; competitive factors; regulatory capital requirements; uncertainties pertaining to the commercial paper market; litigation; changes in market, economic, political or regulatory conditions; and uncertainty associated with engaging a new independent auditor. Information concerning certain of these risks and uncertainties is contained in Item 1A of the company's 2007 annual report on Form 10-K and in other filings by the company with the Securities and Exchange Commission.

CONTACT: H&R Block
Nick Iammartino, 816-854-4556 (Media Relations)
nick.iammartino@hrblock.com
Scott Dudley, 816-854-4505 (Investor Relations)
scott.dudley@hrblock.com

SOURCE: H&R Block