discontinued operation

Discontinued Operations

Divisions within a business that have either stopped operations due to lack of profitability or have been sold. A business may discontinue operations of a division if it loses money for the business or if it wishes to expand in other directions, among other reasons. The Financial Accounting Standards Board requires publicly-traded companies to report earnings per share of all divisions in its business, including discontinued operations. See also: Cost accounting.

discontinued operation

A segment of a business that has been abandoned or sold or for which plans for one or another of these actions have been approved. See also continuing operations.
References in periodicals archive ?
In March 2018, all criteria were met for the classification of CGD Services as a discontinued operation. As such, the operating results of CGD Services have been classified as discontinued operations in the condensed consolidated statements of income (loss) for all periods presented.
Host Hotels and Resorts said that under SFAS 144, "we classify the sale of an individual property as a discontinued operation, regardless of its significance to our portfolio." Similarly, Taubman Centers, Inc., a publicly traded real estate investment trust, noted that under SFAS 144, each of their 25 properties would constitute a discontinued operation.
Part of the new definition of discontinued operation is based on elements of the definition of discontinued operations in IFRS 5, Non-Current Assets Held for Sale and Discontinued Operations.
As a result of this divestiture, Barry Callebaut expects to report a one-time loss from the discontinued operation of approximately CHF 65 million ([euro] 54 million/$70 million) for the fiscal year 2011.-2012, which includes the operating result of the discontinued operation, one-off impairments and other one-off expenses incurred in relation to the transaction.
FAS #144 expanded the discontinued operation provisions so that more disposal situations would likely trigger the display of discontinued operations.
sells tape library storage products, but is treated by the company as a discontinued operation.
SFAS 144 significantly relaxes the criteria for treating an item as a discontinued operation. Under SFAS 144, a component of an entity consists of operations and cash flows that can be clearly distinguished, operationally and financially, from the rest of the entity.
The company has an agreement to sell Ekco Consumer Plastics to Alpha Holdings of Dallas, and wrote off that business and the loss on disposal as a discontinued operation. The loss from discontinued operations totaled $4.8 million in the quarter and $28.3 million for the year.
Analysts consider a discontinued operation's disclosure of income and expense, cash flows and assets and liabilities vitally important.
A company that does not report a discontinued operation but reports an extraordinary item or cumulative effect of an accounting change should report basic EPS for net income before extraordinary items or net income before accounting change and net income on the face of the income statement.
CACS is presented as a "Discontinued Operation" in RADA's financial statements.
As a result, the EfW business segment will be accounted for as a discontinued operation effective in the Companys second fiscal quarter.