Noncash charge

Noncash charge

A cost, such as depreciation, depletion, and amortization, that does not involve any cash outflow. That is, this is treated as an accounting expense -- not a real expense that demands cash.

Non-Cash Charge

Any charge to a company that does not result in a cash outlay. Examples of non-cash charges include depreciation and amortization. For example, depreciation reduces the value of an asset but does not require a reduction in the cash on hand. A non-cash charge reduces a company's earnings.
References in periodicals archive ?
The price of the deal was not disclosed, but the French group said it would take a mostly noncash charge of EUR 220 M.
As a result of the refinancing and prepayments made during the quarter, Ashland will incur a significant noncash charge in the March 2010 quarter for the write-off of the majority of the remaining approximately $85 million of capitalized fees associated with the previous credit facility.
US Airways Group took a $622 million noncash charge in the second quarter to write off the goodwill it had recorded on its balance sheet that was created by the merger of the old US and America West Holdings three years ago.
kicked off the fall financial reporting season yesterday with its announcement that it earned a net profit of $15 million in the third quarter, a reversal from a $153 million loss in the year-ago quarter but a figure reduced substantially by a $99 million noncash charge that reduced the book value of specific outstanding fuel hedge contracts.
As a result of the closure of the pre-acquisition Chiquita plant at Manteno, the company will incur a charge of approximately US$7 million, of which an approximately US$5 million noncash charge will be recorded in the fourth quarter 2005 and a US$2 million charge, primarily for noncancelable lease obligations, will be recorded in the first quarter 2006.
LP will record a noncash charge of about US$ 17 million to write-off the now-expired Canadian forest timber licenses acquired in connection with L-P's purchase of Le Groupe Forex in 1999.
Gross profit decreased $27 million, or 16 percent, in 2000 following the sales decrease and due to a one-time noncash charge of $2.
The board has formed a special committee to investigate Aurora's accounting practices that it expects will result in a noncash charge to 1999 earnings.
As a result of the Opale Marine - 1 well outcome, Murphy will also take a noncash charge of $29 million in the quarter to write off the Titane Marine - 1 well which was drilled in October 2010 and had been suspended pending results of additional exploratory drilling on the block.
The closing is expected to result in a noncash charge to Tyson's fiscal second-quarter earnings of about 2 cents a share.
The company attributed the loss to a $3 million noncash charge related to investment losses in stock in Fannie Mae and Freddie Mac, the housing agencies the federal government put into conservatorship last year.
This is important as the current level of our market capitalization compared to book value indicates that we may have to record a noncash charge to earnings for goodwill impairment during the first quarter of 2008.