Rayovac 2009 Annual Report Download - page 191

Table of Contents
Index to Financial Statements SPECTRUM BRANDS, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
(In thousands, except per share amounts)
The presentation herein of the results of continuing operations has been changed to exclude the growing products portion of the Home and Garden
Business for all periods presented. The following amounts have been segregated from continuing operations and are reflected as discontinued operations for
the one month period ended September 30, 2009, the eleven month period ended August 30, 2009, Fiscal 2008 and Fiscal 2007, respectively:
Successor
Company Predecessor Company
One Month
Ended
September 30,
2009
Eleven Months
Ended
August 30,
2009 2008 2007
Net sales $ — $ 31,306 $261,439 $232,010
Income (loss) from discontinued operations before income taxes $ 408 $ (91,293) $(27,124) $ 6,359
Provision for income tax benefit — (4,491) (2,182) —
Income (loss) from discontinued operations, net of tax $ 408 $ (86,802) $ (24,942) $ 6,359
The presentation herein of the results of continuing operations has been changed to exclude the Canadian division of the Home and Garden Business
for all periods presented. The following amounts have been segregated from continuing operations and are reflected as discontinued operations for Fiscal
2008 and 2007, respectively:
Predecessor Company
2008 2007
Net sales $ 4,732 $ 88,724
Loss from discontinued operations before income taxes $(1,896) $(46,324)
Provision for income tax benefit (651) (6,276)
Loss from discontinued operations (including loss on disposal of $1,087 in 2008), net of tax $(1,245) $(40,048)
In accordance with ASC 360, long−lived assets to be disposed of by sale are recorded at the lower of their carrying value or fair value less costs to sell.
During Fiscal 2007, the Predecessor Company recorded a non−cash pretax charge of $44,507 in discontinued operations to reduce the carrying value of
certain assets, principally consisting of goodwill and intangible assets, related to the Canadian division of the Home and Garden Business, in order to reflect
the estimated fair value of this business. Such estimated fair value was based on a range of estimated sales values. In addition, during Fiscal 2008 the
Predecessor Company recorded a non−cash pretax charge of $5,700 in discontinued operations to reduce the carrying value of intangible assets related to
the growing products portion of the Home and Garden Business in order to reflect such intangible assets at their estimated fair value. (See also Note 6,
Assets Held for Sale, where the specific assets and liabilities to be sold are further discussed).
188