Financial Modeling

Re: Undistributed Earnings Allocated to Participating Securities

We need a bit more context. Please copy and paste the footnote that explains participating securities from that company's latest 10K filing. That could be due to Minority Interest, but that would be called "Less consolidated net income attributable to noncontrolling interest", so we don't... Read More

0

by WST Expert 1.

added 11 years ago

Re: Undistributed Earnings Allocated to Participating Securities

Thanks!! There is no footnote explains participating securities. The only place where participating securities were explained were under "earnings per share": "Basic and diluted net income attributable to Vertex per common share are presented in conformity with the two-class method ... Read More

0

by Guest 1.

added 11 years ago

Re: Undistributed Earnings Allocated to Participating Securities

This is the key line from your copy/paste: The shares of unvested restricted stock have the non-forfeitable right to receive dividends on an equal basis with other outstanding common stock. As such, the company has to remove the portion for the restricted stock and "carve it out" of net ... Read More

0

by WST Expert 1.

added 11 years ago

Re: Undistributed Earnings Allocated to Participating Securities

Thanks! It is still confusing to me because: a) the company doesn't pay dividend on common stocks. So even it says "shares of unvested restricted stock have the non-forfeitable right to receive dividends on an equal basis with other outstanding common stock", those unvested restricted st... Read More

0

by Guest 1.

added 11 years ago

Re: Undistributed Earnings Allocated to Participating Securities

This gets a bit more into accounting standards for EPS. Try these links to clarify: http://www.cfo.com/article.cfm/11699329/c_2984338/ http://www.nysscpa.org/cpajournal/2005/ ... ls/p28.htm http://www.bdo.com/publications/assuran ... sshare.asp... Read More

0

by WST Expert 1.

added 11 years ago

Questions/Discussions

Sort by Date ▼ / Top Rated