Albertsons 2014 Annual Report Download - page 80

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In addition, pursuant to the terms of the Tender Offer Agreement, on March 21, 2013, the Company issued
approximately 42 additional shares of common stock (approximately 19.9 percent of outstanding shares prior to
the share issuance) to Symphony Investors at the Tender Offer price per share of $4.00, resulting in $170 in cash
proceeds to the Company, which brought Symphony Investors ownership percentage to 21.2 percent after the
share issuance. The Tender Offer Agreement provides that until the second anniversary of the closing of the
Tender Offer, transfers of shares acquired by Symphony Investors in the Tender Offer and from the Company
pursuant to the Tender Offer Agreement will be generally restricted, with more limited restrictions thereafter.
Following that period, the Company has agreed to customary obligations to register the shares acquired by
Symphony Investors with the Securities and Exchange Commission if requested by Symphony Investors.
Recently Adopted Accounting Standards
In February 2013, the Financial Accounting Standards Board (“FASB”) issued authoritative guidance under ASU
2013-02 surrounding the presentation of items reclassified from accumulated other comprehensive income (loss)
to net earnings (loss). This guidance requires entities to disclose, either in the notes to the consolidated financial
statements or parenthetically on the face of the statement that reports comprehensive income (loss), items
reclassified out of accumulated other comprehensive income (loss) and into net earnings (loss) in their entirety by
component, and the effect of the reclassification on each affected Consolidated Statement of Operations line
item. In addition, for accumulated other comprehensive income (loss) reclassification items that are not
reclassified in their entirety into net earnings (loss), a cross reference to other required accounting standard
disclosures is required. The Company adopted ASU 2013-02 in fiscal 2014. Accordingly, additional footnote
disclosure is provided within Note 1—Summary of Significant Accounting Policies in these Notes to
Consolidated Financial Statements. The adoption had no effect on the Company’s results of operations or
financial position.
Recently Issued Accounting Standards
In July 2013, the FASB issued authoritative guidance under ASU 2013-11, which provides guidance on the
financial statement presentation of an unrecognized tax benefit when a net operating loss (“NOL”) carryforward,
a similar tax loss, or a tax credit carryforward exists. ASU 2013-11 requires entities to present an unrecognized
tax benefit as a reduction of a deferred tax asset for a NOL or tax credit carryforward whenever the NOL or tax
credit carryforward would be available to reduce the additional taxable income or tax due if the tax position is
disallowed. This accounting standard update requires entities to assess whether to net the unrecognized tax
benefit with a deferred tax asset as of the reporting date. ASU 2013-11 will be effective for the Company’s first
quarter of fiscal 2015. The Company is currently evaluating the impact of this accounting standard update on its
Consolidated Financial Statements.
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