Port and rail operator Asciano Group
(ASX:AIO) says it expects to report a non-cash impairment charge of around $1.11 billion in the second half of the year to June 30, 2010.
The company says it will book the impairments following a recommendation from the company’s audit and risk committee.
However the company says the impairment charges will not have an effect on its enterprise value due to the increase in value in other parts of the business.
The impairment charge includes $960 million in goodwill in Asciano’s ports business.
CEO Mark Rowsthorn says these impairment charges will have no impact on Asciano’s underlying business or overall consolidated cashflow and the outlook for the company remains on track.
Asciano continues to expect fiscal 2010 earnings before interest, tax, depreciation and amortisation to be around the top end of the previous guidance range of $675 to $700 million.
Asciano Group booked a loss of $246.44 million in the year to June 30, 2009.
