Summary
Northrop Grumman Corporation (NOC) filed an 8-K on April 15, 2008, to disclose an expected charge to its first-quarter 2008 earnings. The company anticipates recording a charge between $320 million and $360 million, translating to $0.61 to $0.69 per diluted share. This charge is primarily related to its Shipbuilding business.
Key Highlights
- 1Northrop Grumman expects a significant charge to Q1 2008 earnings.
- 2The estimated charge ranges from $320 million to $360 million.
- 3This charge is expected to impact earnings per diluted share by $0.61 to $0.69.
- 4The charge is predominantly associated with the Shipbuilding segment.
- 5Key drivers for the charge include reevaluation of costs and schedule for the LHD-8 amphibious assault ship.
- 6Resource impacts on other Gulf Coast ships also contribute to the charge.
- 7An evaluation of purchased intangible assets within the Shipbuilding business is another contributing factor.
Frequently Asked Questions
The charge is primarily due to a reevaluation of the estimated schedule and cost to complete the LHD-8 amphibious assault ship, along with resource impacts on other Gulf Coast ships and an evaluation of purchased intangible assets related to the Shipbuilding business.
Northrop Grumman expects to record a charge between $320 million and $360 million, which is estimated to reduce earnings per diluted share by $0.61 to $0.69.
The charge is primarily related to Northrop Grumman's Shipbuilding business.
The charge will be recorded in the company's 2008 first-quarter earnings.