The company is guiding to a GAAP diluted net earnings per share growth in the range of 222% to 240%, noting that the comparison period is significantly depressed by the Gillette Shave Care carrying value
In particular, the company wrote down the carrying value
of its position in Caspian Sea-focused oil & gas firm Buried Hill to 20% below the value at which Buried Hill values its own shares.
"During the year, we closed a number of development rights sales in our land banks at valuation multiples that are several times our book carrying value
," the firm said.This compensated for a fall in investment income from S.5 billion to S.2 billion due to lower interest income and reduced dividends that resulted after the deal.
The carrying value
of portfolio investments, including properties and participation in joint ventures, has increased by 40% since the end of 2017.
Polymetal acquired Svetlobor in 2013 for USD 9.7m in stock and subsequently wrote its carrying value
down to USD 4m on the back of modest exploration results.
Under ASU 2017-04, companies must record goodwill impairment charges if a reporting unit's carrying value
exceeds its fair value.
However, fourth quarter 2017 results included additional income tax expense related to a reduction in the carrying value
of the net deferred tax asset, resulting in a reduction of $0.18 in diluted earnings per share.
A USD 3.06 per diluted share, after-tax, loss from continuing operations, excluding non-controlling interest - included in this loss is an estimated one-time USD 3.78 per diluted share loss related to the reduction in the carrying value
of deferred tax assets due to the lower corporate tax rate established by the Tax Cuts and Jobs Act.
Meanwhile, CBS's consolidated net earnings of $58 million in Q2 were directly impacted by CBS Radio's spin to Entercom -- the results include a non-cashcharge of$365 millionin discontinued operations "to reduce the carrying value
ofCBS Radioto the value indicated by the stock valuation ofEntercom."
The carrying value
of the Convertible Debenture at September 30, 2016 was USD1.9m.
The following one-time events negatively affected earnings: a previously announced USD40 million pre-tax impairment charge for the write down of the precision systems manufacturing business; a USD6 million pre-tax charge to reduce the carrying value
of certain aircraft and rotable inventory at airlift, which have been previously classified as held for sale and for which the company has committed to a more aggressive disposition strategy; and a USD2.5 million pre-tax charge for employee severance related to corporate downsizing and costs of a large government bid.