Lands’ End and Trade Name Impairment

Last week, Lands’ End, Inc. announced it would write down the value of its flagship trade name asset.  Management’s preliminary guidance could lower the asset’s value by 20%.  Lucas M. Parris, senior member of Mercer Capital’s Financial Reporting Valuation Group, explores that obviously, a non-cash impairment charge is just that, non-cash, but what does it mean for stakeholders and how is such a charge actually determined?

To read the full article in Mercer Capital’s Financial Reporting Blog, click: Lands’ End and Trade Name Impairment.

This article is republished from Mercer Capital’s Financial Reporting Blog.  It is reprinted with permission.  To subscribe to the blog, visit: http://mercercapital.com/category/financialreportingblog/.