Excluding nonrecurring loss of P334 million during the period, which was mainly due to unrealized foreign exchange losses from the revaluation of dollar-denominated assets and recognized losses
on hedging instruments, AEV's core net income was P3.9 billion, down by 27 percent year-on-year.
During the period, the firm recognized non-recurring losses of P334 million, "primarily due to unrealized foreign exchange losses from the revaluation of dollar-denominated assets and recognized losses
investors in hedge funds that are engaged in a trade or business of trading in financial instruments, including stock or commodities, are subject to the net investment income tax, which is applied to gross income, less deductions allocable to such income, but not reduced by realized or recognized losses
, if proposed regulations are finalized in their current form.
Recovery in excess of recognized losses
is accounted for as a non-recognized subsequent event.
However, Matz stuck by her guns, saying the agency would "explore creative ideas" that could allow corporates to replace depleted capital "if confirmed losses are less than recognized losses
Morris said some banks are in a position to sell off loans if they have the capital provisions to cover the losses and have not already recognized losses
. She said banks that used loan sales as a tool prior to the credit crunch "are clearly going to do it again" in the next three to five years.
The company recognized losses
principally from the revaluation of investment securities and stocks in subsidiaries and affiliates resulting from a significant decline in share prices (*1), as well as from restructuring charges in relation to the restructuring of its LSI business (*2).
To this end, during 2005 the company expensed $9,000 for healthcare costs, consisting of a $2,000 service cost, a $6,000 interest cost, and $1,000 of recognized losses
on the OPEB obligation.
115, however, subsequent revisions in estimates of fair value less cost to sell are limited to the amount of previously recognized losses
; that is, the revised carrying amount of the asset cannot exceed the original carrying value prior to applying the provisions of SFAS No.
In the proposed regulations it had appeared such items incurred before the recognition period would not be recognized losses