Summary
Quanta Services, Inc. (PWR) filed an 8-K on February 7, 2012, to report on two significant items impacting its fourth quarter 2011 financial results. The company announced a pre-tax charge to earnings resulting from the withdrawal of certain subsidiaries from a pension plan. This withdrawal is a material event that will affect reported profitability for the period. Offsetting this charge, Quanta also expects to recognize a tax benefit, primarily due to the release of previously established income tax contingencies. Investors should pay close attention to the net impact of these two events on the company's earnings per share and overall financial condition when reviewing the upcoming Q4 2011 financial statements. The filing primarily serves to disclose these material adjustments ahead of the formal earnings release.
Key Highlights
- 1PWR announced a pre-tax charge impacting Q4 2011 results due to subsidiary withdrawal from a pension plan.
- 2The company will also record a tax benefit in Q4 2011, largely from releasing income tax contingencies.
- 3These items are expected to influence the company's reported earnings for the fourth quarter of 2011.
- 4The filing serves as a disclosure mechanism for these significant financial adjustments.
- 5The information was disseminated via a press release dated February 7, 2012, furnished as an exhibit.