This excerpt taken from the EW 8-K filed Jul 20, 2009.
ealignment expenses, net: $1.3 million charge for executive severance in the first quarter of 2008 associated with the Companys business realignment, offset by a $1.4 million gain in the first quarter of 2008 from the reversal of previously accrued severance costs from the fourth quarter of 2007 related to the sale of the LifeStent product line; $0.8 million gain in the second quarter of 2008 from the reversal of previously accrued severance costs in the fourth quarter of 2007 related to the global reduction in workforce.
Given the magnitude and unusual nature of these special charges and gains relative to the operating results for the periods presented, these items have been excluded from non-GAAP net income.
Results of Discontinued and Other Products The Company has discontinued certain products during the periods presented. As discontinued products do not have a continuing contribution to operations, management believes that excluding such items from the Companys sales growth provides investors with a means of evaluating the Companys on-going operations. In light of the significance of the impact these products had on the sales growth of the Company, the sales results of these products have been detailed in the Unaudited Reconciliation of Sales by Product Line and Region.