Gain Contingency

Gain Contingency

A possible future event that will increase revenue or profits. A common example of a gain contingency is a lawsuit that might be successful. For the sake of fiscal conservatism, gain contingencies are not reported as assets or revenue until the suspected events actually occur.
References in periodicals archive ?
Recognition of an asset for a gain contingency prior to its meeting the criteria for recognition,
Inflating the fair value estimate of recognized gain contingency.
It was the first to gain contingency plans--initially only against a putative, and implausible, attack from Belarus, a country barely a quarter of its size.
At this time we are unable to reasonably predict the outcome and, as such, no loss or gain contingency has been recorded.
InfoSpace's Adjusted EBITDA is calculated by adjusting net income (loss) determined in accordance with generally accepted accounting principles ("GAAP") to exclude the effects of discontinued operations, income taxes, depreciation, amortization of intangible assets, stock-based compensation expense, gain (loss) on investments, net and other income, net (which includes such items as interest income, gain contingency resolutions, foreign currency gains or losses, and gains or losses from the disposal of assets), as detailed in the accompanying table to the preliminary condensed consolidated financial statements (unaudited).
The Company's conversion to the gain contingency income recognition model for the recognition of HITECH income does not change the Company's previously reported results of operations for periods ended September 30, 2011.
2 Special litigation costs - potential gain contingency 0.
The financial statements included in these reports were amended due to the requirement that Medicare and Medicaid incentives payments for the implementation of electronic health records ("EHR") technology be accounted for using a gain contingency accounting model, not a grant accounting model previously used by SunLink for payments for the indicated fiscal periods ending prior to December 31, 2011.
This provision is viewed as a gain contingency in accordance with and analogous to the provisions of Emerging Issues Task Force 02-16.
today announced that it will amend its annual report on Form 10-K for the fiscal year ended June 30, 2011 and its quarterly reports on Form 10-Q for the fiscal quarters ended March 31, 2011, September 30, 2011 and December 31, 2011 and that the financial statements included in these reports should no longer be relied upon in light of a requirement that Medicare and Medicaid incentive payments for the implementation of electronic health records ("EHR") technology be accounted for using a gain contingency accounting model, not a grant accounting model previously used by SunLink for payments for the indicated fiscal periods ending prior to December 31, 2011.