impairment of long-lived assets
, $8 million for property damage
The lessor retains the long-lived asset
on its balance sheet, depreciating that asset as appropriate.
The company said the carrying values of its McDonnell Douglas MD-80s and Embraer ERJ135s "are no longer recoverable" and that it will take the charge "to write these and certain related long-lived assets
down to their estimated fair value".
Non-GAAP net income per diluted share excludes purchased in-process research and development, amortization of acquisition-related intangibles, stock-based compensation expense, restructuring charges and related impairment of long-lived assets
, gain or loss on equity investments, settlement income and the related income tax effects of non-GAAP exclusions."In these difficult economic times, we continue to see customers across the world look to open software and hardware as a source of savings, and feel Sun is well positioned with our most robust line ever of server, storage, software and service offerings," said Jonathan Schwartz, CEO of Sun Microsystems.Sun will report its complete fourth quarter and full fiscal year 2008 financial results on Friday, August 1, 2008.
Operating income included a $290 million non-cash charge primarily for impairments of long-lived assets
in the Imaging Solutions and Retail Products segments, $32 million of restructuring charges and $5 million of additional insurance recoveries related to Covidien's portion of the Tyco International shareholder class action settlement.
The impairment model for long-lived assets
to be held and used, and intangibles with a finite useful life, includes, for practical reasons, a recoverability test that uses undiscounted cash flows as a first step to determine impairment.
The Association reviews long-lived assets
for impairment whenever events or changes in business circumstances indicate that the carrying amount of an asset may not be fully recoverable.
Under Statement 144, Accounting for the Impairment or Disposal of Long-Lived Assets
, just about everything, except the customer list, will have to be impaired.
144, Accounting for the Impairment or Disposal of Long-Lived Assets
, and International Accounting Standard (IAS) 35, Discontinuing Operations--and jointly concluded that Statement no.
Ballard said the primary reason for the lower loss in 2005 is a $4.8-million decline in depreciation and amortization, as the company stopped recording depreciation and amortization on the long-lived assets
of Ballard Power Systems AG held for sale.
According to the FASB, Interpretation 47 will result in (a) more consistent recognition of liabilities relating to asset retirement obligations, (b) more information about expected future cash outflows associated with those obligations, and (c) more information about investments in long-lived assets
because additional asset retirement costs will be recognized as part of the carrying amounts of the assets.