Tecumseh Products 2014 Annual Report Download - page 72

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70
(b) Includes $9.9 million in expense related to severance associated with reductions in work force, $2.7 million in business re-engineering
costs, $0.3 million related to a contingent legal liability and $0.5 million in moving costs.
NOTE 19. New Accounting Standards
In August 2014, FASB issued ASU No. 2014-15, Presentation of Financial Statements - Going Concern: Disclosure of
Uncertainties about an Entity's Ability to Continue as a Going Concern. The ASU provides guidance to an organization's
management regarding its responsibility to evaluate whether there is a substantial doubt about the organization's ability to
continue as a going concern or to provide related footnote disclosures. The amendment is effective for annual periods ending
after December 15, 2016, and interim periods within annual periods beginning after December 15, 2016. Management will
continuously assess the applicability of this ASU and its required disclosures.
In May 2014, the Financial Accounting Standards Board (FASB), issued Accounting Standards Update (ASU) No. 2014-09,
Revenue from Contracts with Customers. The core principle of the guidance is that an entity should recognize revenue to depict
the transfer of promised goods or services to customers in an amount that reflects the consideration to which an entity expects
to be entitled in exchange for those goods or services. For all public entities, this ASU is effective for annual reporting periods
beginning after December 15, 2016. The ASU allows for a choice of two methods for adoption: full retrospective with practical
expedients or modified retrospective. Management continues to assess the impact of the adoption of this guidance on our
financial statements and selecting the method of its retrospective adoption.
In April 2014, FASB issued ASU No. 2014-08, Presentation of Financial Statements and Property, Plant, and Equipment:
Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity. This ASU is effective in the first
quarter of 2015 for public with calendar year ends. Management believes that ASU No. 2014-08 will have no material effect
on our financial statements.
NOTE 20. Subsequent Events
We perform review procedures for subsequent events, and determine any necessary disclosures that arise from such evaluation,
up to the date of issuance of our annual and interim reports.