MCCC » Topics » Changes to our valuation account for deferred tax assets can cause our net income or net loss to fluctuate significantly.

These excerpts taken from the MCCC 10-K filed Mar 16, 2009.
Changes to our valuation account for deferred tax assets can cause our net income or net loss to fluctuate significantly.
 
As of December 31, 2008, we had pre-tax net operating loss carryforwards for federal purposes of approximately $2.3 billion; if not utilized, they will expire in the years 2021 through 2028. Mostly due to these net operating loss carryforwards, as of December 31, 2008, we had deferred tax assets of $968.3 million. These assets have been reduced by a valuation allowance of $677.4 million to reflect our assessment of the likelihood of their recovery in future periods.
 
We periodically assess the likelihood of realization of our deferred tax assets, considering all available evidence, both positive and negative, including our most recent performance, the scheduled reversal of deferred tax liabilities, our forecast of taxable income in future periods and the availability of prudent tax planning strategies. As a result of these assessments, in prior years we have established valuation allowances on a portion of our deferred tax assets due to the uncertainty surrounding the realization of these assets.
 
We expect to add to our valuation allowance for any increase in the deferred tax liabilities relating to indefinite-lived intangible assets. We will also adjust our valuation allowance if we assess that there is sufficient change in our ability to recover our deferred tax assets. Our income tax expense in future periods will be reduced or increased to the extent of offsetting decreases or increases, respectively, in our valuation allowance. These changes could have a significant impact on our future earnings.
 
Changes to our valuation account for deferred tax assets can cause our net income or net loss to fluctuate significantly.
 
As of December 31, 2008, we had pre-tax net operating loss carryforwards for federal purposes of approximately $2.3 billion; if not utilized, they will expire in the years 2021 through 2028. Mostly due to these net operating loss carryforwards, as of December 31, 2008, we had deferred tax assets of $968.3 million. These assets have been reduced by a valuation allowance of $677.4 million to reflect our assessment of the likelihood of their recovery in future periods.
 
We periodically assess the likelihood of realization of our deferred tax assets, considering all available evidence, both positive and negative, including our most recent performance, the scheduled reversal of deferred tax liabilities, our forecast of taxable income in future periods and the availability of prudent tax planning strategies. As a result of these assessments, in prior years we have established valuation allowances on a portion of our deferred tax assets due to the uncertainty surrounding the realization of these assets.
 
We expect to add to our valuation allowance for any increase in the deferred tax liabilities relating to indefinite-lived intangible assets. We will also adjust our valuation allowance if we assess that there is sufficient change in our ability to recover our deferred tax assets. Our income tax expense in future periods will be reduced or increased to the extent of offsetting decreases or increases, respectively, in our valuation allowance. These changes could have a significant impact on our future earnings.
 
Changes to our valuation account for deferred tax assets can cause our net income or net loss to fluctuate significantly.
 
As of December 31, 2008, we had pre-tax net operating loss carryforwards for federal purposes of approximately $2.3 billion; if not utilized, they will expire in the years 2021 through 2028. Mostly due to these net operating loss carryforwards, as of December 31, 2008, we had deferred tax assets of $968.3 million. These assets have been reduced by a valuation allowance of $677.4 million to reflect our assessment of the likelihood of their recovery in future periods.
 
We periodically assess the likelihood of realization of our deferred tax assets, considering all available evidence, both positive and negative, including our most recent performance, the scheduled reversal of deferred tax liabilities, our forecast of taxable income in future periods and the availability of prudent tax planning strategies. As a result of these assessments, in prior years we have established valuation allowances on a portion of our deferred tax assets due to the uncertainty surrounding the realization of these assets.
 
We expect to add to our valuation allowance for any increase in the deferred tax liabilities relating to indefinite-lived intangible assets. We will also adjust our valuation allowance if we assess that there is sufficient change in our ability to recover our deferred tax assets. Our income tax expense in future periods will be reduced or increased to the extent of offsetting decreases or increases, respectively, in our valuation allowance. These changes could have a significant impact on our future earnings.
 
Changes to our valuation account for deferred tax assets can cause our net income or net loss to fluctuate significantly.
 
As of December 31, 2008, we had pre-tax net operating loss carryforwards for federal purposes of approximately $2.3 billion; if not utilized, they will expire in the years 2021 through 2028. Mostly due to these net operating loss carryforwards, as of December 31, 2008, we had deferred tax assets of $968.3 million. These assets have been reduced by a valuation allowance of $677.4 million to reflect our assessment of the likelihood of their recovery in future periods.
 
We periodically assess the likelihood of realization of our deferred tax assets, considering all available evidence, both positive and negative, including our most recent performance, the scheduled reversal of deferred tax liabilities, our forecast of taxable income in future periods and the availability of prudent tax planning strategies. As a result of these assessments, in prior years we have established valuation allowances on a portion of our deferred tax assets due to the uncertainty surrounding the realization of these assets.
 
We expect to add to our valuation allowance for any increase in the deferred tax liabilities relating to indefinite-lived intangible assets. We will also adjust our valuation allowance if we assess that there is sufficient change in our ability to recover our deferred tax assets. Our income tax expense in future periods will be reduced or increased to the extent of offsetting decreases or increases, respectively, in our valuation allowance. These changes could have a significant impact on our future earnings.
 
Changes
to our valuation account for deferred tax assets can cause our
net income or net loss to fluctuate significantly.



 



As of December 31, 2008, we had pre-tax net operating loss
carryforwards for federal purposes of approximately
$2.3 billion; if not utilized, they will expire in the
years 2021 through 2028. Mostly due to these net operating loss
carryforwards, as of December 31, 2008, we had deferred tax
assets of $968.3 million. These assets have been reduced by
a valuation allowance of $677.4 million to reflect our
assessment of the likelihood of their recovery in future periods.


 



We periodically assess the likelihood of realization of our
deferred tax assets, considering all available evidence, both
positive and negative, including our most recent performance,
the scheduled reversal of deferred tax liabilities, our forecast
of taxable income in future periods and the availability of
prudent tax planning strategies. As a result of these
assessments, in prior years we have established valuation
allowances on a portion of our deferred tax assets due to the
uncertainty surrounding the realization of these assets.


 



We expect to add to our valuation allowance for any increase in
the deferred tax liabilities relating to indefinite-lived
intangible assets. We will also adjust our valuation allowance
if we assess that there is sufficient change in our ability to
recover our deferred tax assets. Our income tax expense in
future periods will be reduced or increased to the extent of
offsetting decreases or increases, respectively, in our
valuation allowance. These changes could have a significant
impact on our future earnings.


 




Changes
to our valuation account for deferred tax assets can cause our
net income or net loss to fluctuate significantly.



 



As of December 31, 2008, we had pre-tax net operating loss
carryforwards for federal purposes of approximately
$2.3 billion; if not utilized, they will expire in the
years 2021 through 2028. Mostly due to these net operating loss
carryforwards, as of December 31, 2008, we had deferred tax
assets of $968.3 million. These assets have been reduced by
a valuation allowance of $677.4 million to reflect our
assessment of the likelihood of their recovery in future periods.


 



We periodically assess the likelihood of realization of our
deferred tax assets, considering all available evidence, both
positive and negative, including our most recent performance,
the scheduled reversal of deferred tax liabilities, our forecast
of taxable income in future periods and the availability of
prudent tax planning strategies. As a result of these
assessments, in prior years we have established valuation
allowances on a portion of our deferred tax assets due to the
uncertainty surrounding the realization of these assets.


 



We expect to add to our valuation allowance for any increase in
the deferred tax liabilities relating to indefinite-lived
intangible assets. We will also adjust our valuation allowance
if we assess that there is sufficient change in our ability to
recover our deferred tax assets. Our income tax expense in
future periods will be reduced or increased to the extent of
offsetting decreases or increases, respectively, in our
valuation allowance. These changes could have a significant
impact on our future earnings.


 




Changes
to our valuation account for deferred tax assets can cause our
net income or net loss to fluctuate significantly.



 



As of December 31, 2008, we had pre-tax net operating loss
carryforwards for federal purposes of approximately
$2.3 billion; if not utilized, they will expire in the
years 2021 through 2028. Mostly due to these net operating loss
carryforwards, as of December 31, 2008, we had deferred tax
assets of $968.3 million. These assets have been reduced by
a valuation allowance of $677.4 million to reflect our
assessment of the likelihood of their recovery in future periods.


 



We periodically assess the likelihood of realization of our
deferred tax assets, considering all available evidence, both
positive and negative, including our most recent performance,
the scheduled reversal of deferred tax liabilities, our forecast
of taxable income in future periods and the availability of
prudent tax planning strategies. As a result of these
assessments, in prior years we have established valuation
allowances on a portion of our deferred tax assets due to the
uncertainty surrounding the realization of these assets.


 



We expect to add to our valuation allowance for any increase in
the deferred tax liabilities relating to indefinite-lived
intangible assets. We will also adjust our valuation allowance
if we assess that there is sufficient change in our ability to
recover our deferred tax assets. Our income tax expense in
future periods will be reduced or increased to the extent of
offsetting decreases or increases, respectively, in our
valuation allowance. These changes could have a significant
impact on our future earnings.


 




Changes
to our valuation account for deferred tax assets can cause our
net income or net loss to fluctuate significantly.



 



As of December 31, 2008, we had pre-tax net operating loss
carryforwards for federal purposes of approximately
$2.3 billion; if not utilized, they will expire in the
years 2021 through 2028. Mostly due to these net operating loss
carryforwards, as of December 31, 2008, we had deferred tax
assets of $968.3 million. These assets have been reduced by
a valuation allowance of $677.4 million to reflect our
assessment of the likelihood of their recovery in future periods.


 



We periodically assess the likelihood of realization of our
deferred tax assets, considering all available evidence, both
positive and negative, including our most recent performance,
the scheduled reversal of deferred tax liabilities, our forecast
of taxable income in future periods and the availability of
prudent tax planning strategies. As a result of these
assessments, in prior years we have established valuation
allowances on a portion of our deferred tax assets due to the
uncertainty surrounding the realization of these assets.


 



We expect to add to our valuation allowance for any increase in
the deferred tax liabilities relating to indefinite-lived
intangible assets. We will also adjust our valuation allowance
if we assess that there is sufficient change in our ability to
recover our deferred tax assets. Our income tax expense in
future periods will be reduced or increased to the extent of
offsetting decreases or increases, respectively, in our
valuation allowance. These changes could have a significant
impact on our future earnings.


 




EXCERPTS ON THIS PAGE:

10-K (8 sections)
Mar 16, 2009
Wikinvest © 2006, 2007, 2008, 2009, 2010, 2011, 2012. Use of this site is subject to express Terms of Service, Privacy Policy, and Disclaimer. By continuing past this page, you agree to abide by these terms. Any information provided by Wikinvest, including but not limited to company data, competitors, business analysis, market share, sales revenues and other operating metrics, earnings call analysis, conference call transcripts, industry information, or price targets should not be construed as research, trading tips or recommendations, or investment advice and is provided with no warrants as to its accuracy. Stock market data, including US and International equity symbols, stock quotes, share prices, earnings ratios, and other fundamental data is provided by data partners. Stock market quotes delayed at least 15 minutes for NASDAQ, 20 mins for NYSE and AMEX. Market data by Xignite. See data providers for more details. Company names, products, services and branding cited herein may be trademarks or registered trademarks of their respective owners. The use of trademarks or service marks of another is not a representation that the other is affiliated with, sponsors, is sponsored by, endorses, or is endorsed by Wikinvest.
Powered by MediaWiki