Andersen announced on Thursday that a significant number of its U.S. tax partners and other professionals will join Deloitte and Touche. A memorandum of understanding outlining the plan was signed by Andersen. The deal is expected to be finalized by April 30.

"This transaction is fully consistent with our commitment to move quickly on the Andersen reforms initiated by Mr. Volcker," said Larry Gorrell, Andersen's U.S. managing partner.

Andersen has approximately 28,000 U.S. employees and approximately one-fourth of those are in the tax group. The firm has 1,620 U.S. partners in all disciplines. Reports at CNNfn.com indicate that as many as 500-600 tax partners could be involved in the move.

"Adding professionals from Andersen will add considerable talent to Deloitte & Touche's already high quality practice and gives us the opportunity to accelerate the growth" of that division, said Deloitte in a published statement.

KPMG Signs an Agreement to Acquire More Than 400 Andersen US Partners and Staff

In a separate agreement announced to KPMG partners in an e-mail Thursday night, KPMG will pick up some of Andersen's operations in the western part of the U.S., according to today's Wall Street Journal. The roughly 40 partners and 400 professional staff include those with both auditing and tax expertise in offices in Seattle, Portland, Salt Lake City, Boise, Los Angeles and San Francisco. Discussions are also being held to absorb some of the staff in Andersen's Boston office.