Ralcorp Restatement Adds $54 Million
St. Louis-based Ralcorp Holdings Inc. said Wednesday that it underestimated the cost of the spinoff of its Post cereal brands unit by $54 million.
The company originally took a goodwill impairment charge of $364.8 million, plus a trademark impairment charge of $106.6 million that brought the total impairment charge to $471.4 million.
In a filing with the Security and Exchange Commission on Wednesday, the private label food maker said the goodwill impairment charge "excluded certain deferred taxes" that totaled an additional $54 million.
The review of the impairment charge caused the company to delay the release of its second-quarter earnings report two times. Analysts had speculated that the review would find a larger impairment charge.