This excerpt taken from the CBL 8-K filed Jul 28, 2009.
Adoption of Subsequent Accounting Pronouncements and Subsequent Stock Dividend
Effective January 1, 2009, the Company adopted the following accounting pronouncements (discussed in further detail below) which require retrospective application upon adoption:
In April 2009, the Company paid its first quarter dividend on its common stock. The Company issued 4,754,355 shares of its common stock in connection with the dividend, which resulted in an increase of approximately 7.2% in the number of shares outstanding. The Company elected to treat the issuance of its common stock as a stock dividend for earnings per share purposes. Therefore, all share and per share information related to earnings per share for all periods presented have been increased proportionately to reflect the additional common stock issued.
The Company has updated the consolidated financial statements and the related notes thereto, from those included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2008, to reflect the impact of adopting these accounting pronouncements and the impact of the stock dividend. The impact on the Company’s consolidated balance sheets and statements of operations for the periods presented is shown in the tables below entitled “Retrospective Impact of New Accounting Pronouncements and Stock Dividend.”
Effective January 1, 2009, the Company adopted the provisions of SFAS No. 160 which requires that a noncontrolling interest, previously referred to as a minority interest, in a consolidated subsidiary be reported as a separate component of equity and the amount of consolidated net income specifically attributable to a noncontrolling interest be presented separately, net of tax, below net income on the Company’s consolidated statements of operations. SFAS No. 160 also requires that after control of an investment or subsidiary is obtained, a change in ownership interest that does not result in a loss of control should be accounted for as an equity transaction. A change in ownership of a consolidated subsidiary that results in a loss of control and deconsolidation is a significant event that triggers gain or loss recognition, with the establishment of a new fair value basis in any remaining ownership interests.
In connection with the issuance of SFAS No. 160, certain revisions were also made to EITF Topic D-98 (“EITF D-98”),