标题: How to handle restructuring expense [打印本页] 作者: Flok 时间: 2011-10-10 04:09 标题: How to handle restructuring expense
I know the default for treatment of restructuring expense is to exclude from operating income. But it seems like some companies are incurring this expense almost every quarter and every year. What is typically included in this expense? - I know sometimes it can be for severance pay / early retirement.
If a company announces a large restructuring expense to occur, how are you pricing this into the stock?作者: AnalystForum 时间: 2011-10-10 04:14
If its not expected to reoccur than you should exclude it, no?作者: LPoulin133 时间: 2011-10-10 04:20
Certainly some restructurings (e.g., after a large acquisition) can take place over a long period -- years. It definitely has finite life however, so you should just discount the expected payments and take those as a one-time hit against EV.作者: stockjaguar 时间: 2011-10-10 04:31
The general rule is to remove it in short-term calculations, UNLESS it is a recurring expense, and include it in long-term calculations.作者: brainsX 时间: 2011-10-10 04:36
my company loves to throw anything and everything they can find into the restructuring bucket. in our IR decks, I always argue that it should be taken into account - i always lose those arguments
