Navigation Links
Measurement Specialties, Inc. Announces Impact of 'German Business Tax Reform 2008' Resulting in Lower Combined German Tax Rate - Impacts 2Q08 Reported Financial Results
Date:10/30/2007

HAMPTON, Va., Oct 30 /PRNewswire-FirstCall/ -- Measurement Specialties, Inc. (Nasdaq: MEAS), a designer and manufacturer of sensors and sensor-based systems, announces the impact of the recently adopted German Business Tax Reform 2008 on current year financial statements.

The German Business Tax Reform 2008, which became effective on August 17, 2007, reduces the corporate income tax rate in Germany, resulting in a reduction in the combined German tax rate from approximately 39% to 31%. Although this tax rate change will have a favorable impact on tax expense associated with profits earned in Germany in FY08 and beyond, the Company is required by financial accounting standards to revalue its net deferred tax asset due to this change.

The Company's net deferred tax asset in Germany is primarily due to the tax benefit resulting from the Net Operating Loss carry-forward acquired through the purchase of HL Planartechnik in November 2005. As a result of the new tax reform and associated decrease in effective tax rate in Germany, the value of the deferred tax asset has been reduced by approximately $1 million, from $4.3 million to $3.3 million. This charge will be reflected in the Company's second quarter results.

Mark Thomson, Company CFO commented, "While this tax rate change is expected to result in an additional income tax expense of approximately 7 cents per diluted share in the second quarter of FY08, this is a discrete, non-cash income tax expense driven by the revaluation of the net deferred tax asset, and will help to lower our overall effective tax rate in future years as our profits in Germany increase as a percent of total global earnings. Other than the impact of the discrete non-cash adjustment to the net deferred tax asset, the tax rate change will not have a material effect on our overall effective tax rate for fiscal year 2008."

About Measurement Specialties.

Measurement Specialties, Inc. (MEAS) designs and manufactures sensors and sensor-based systems to measure precise ranges of physical characteristics such as pressure, temperature, position, force, vibration, humidity and photo optics. MEAS uses multiple advanced technologies - including piezoresistive, electro-optic, electro-magnetic, capacitive, application specific integrated circuits (ASICs), micro-electromechanical systems (MEMS), piezoelectric polymers and strain gauges - to engineer sensors that operate precisely and cost effectively.

This release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities and Exchange Act of 1934, as amended. Forward-looking statements may be identified by such words or phrases: "should," "intends," "is subject to," "expects," "will," "continue," "anticipate," "estimated," "projected," "may," "we believe," "future prospects," or similar expressions. The forward- looking statements above involve a number of risks and uncertainties. Factors that might cause actual results to differ include, but are not limited to, success of any reorganization; ability to raise additional funds; conditions in the general economy and in the markets served by the Company; competitive factors, such as price pressures and the potential emergence of rival technologies; interruptions of suppliers' operations affecting availability of component materials at reasonable prices; timely development and market acceptance, and warranty performance of new products; success in integrating prior acquisitions; changes in product mix, costs and yields, fluctuations in foreign currency exchange rates; uncertainties related to doing business in Hong Kong and China; changes in the Company's tax position; legislative initiatives; and the risk factors listed from time to time in the Company's SEC reports. The Company from time-to-time considers acquiring or disposing of business or product lines. Forward-looking statements do not include the impact of acquisitions or dispositions of assets, which could affect results in the near term. Actual results may differ materially. The Company assumes no obligation to update the information in this issue.

Company Contact: Mark Thomson, CFO, (757) 766-4224


'/>"/>
SOURCE Measurement Specialties, Inc.
Copyright©2007 PR Newswire.
All rights reserved

Related biology news :

1. Measurement Challenges In Detecting Cancer Biomarkers
2. Errors in the measurement of global warming corrected
3. Wiley announces publication of Databasing the Brain
4. Nonlinear Dynamics announces more details of its global partnership with PerkinElmer
5. FDA Announces Series of Changes to the Class of Marketed Non-Steroidal Anti-Inflammatory Drugs (NSAIDs)
6. Ariadne Genomics Announces the Release of PathwayStudio?Central, Client-Server Software for Biological Pathway Analysis
7. Neurologix announces positive results of gene therapy clinical trial in Parkinsons disease
8. Eisai announces Phase II data on E7389, a potential new therapy for the treatment of breast cancer
9. GlycoFi announces the first production of antibodies with human glycosylation in yeast
10. NHGRI announces new sequencing targets
11. CHAVI announces international search for genes affecting HIV response
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:2/3/2016)... , February 3, 2016 ... market research report "Automated Fingerprint Identification System Market by ... Search), Application (Banking & Finance, Government, Healthcare, and Transportation) ... MarketsandMarkets, the market is expected to be worth USD ... 21.0% between 2015 and 2020. The transformation and technology ...
(Date:2/2/2016)... 2016  BioMEMS devices deployed in hospitals ... medical screening and diagnostic applications, such as ... that facilitate and assure continuous monitoring without ... being bolstered through new opportunities offered by ... coupled with wireless connectivity and low power ...
(Date:2/2/2016)... YORK , Feb. 2, 2016 Technology Enhancements ... presents an analysis of the digital and computed radiography ... Malaysia , and Indonesia ... trends and market size, as well as regional market ... country and discusses market penetration and market attractiveness, both ...
Breaking Biology News(10 mins):
(Date:2/4/2016)... LEXINGTON, Massachusetts , February 4, 2016 - New ... --> - New FDA action date of July ... date of July 22, 2016   - ... the U.S. in the past decade indicated for the treatment of signs and ... Lifitegrast has the potential to be the only product approved in the ...
(Date:2/4/2016)... 4, 2016  CytoSorbents Corporation (NASDAQ: CTSO ... flagship CytoSorb® blood filter to treat deadly inflammation ... world, announced that CEO Dr. Phillip Chan ... Capital Group,s 2016 Disruptive Growth & Healthcare Conference, ... Conference Presentation Details: Where: Convene ...
(Date:2/4/2016)... Feb. 4, 2016 Sinovac Biotech Ltd. ("Sinovac" ... provider of biopharmaceutical products in China ... board of directors received on February 4, 2016 a ... a consortium comprised of PKU V-Ming ( Shanghai ... Ltd., CICC Qianhai Development ( Shenzhen ) ...
(Date:2/3/2016)... 2016  Discovery Laboratories, Inc. (NASDAQ: DSCO ... KL4 surfactant therapies for respiratory diseases, today announced ... inducement award as a component of employment compensation ... President and Chief Executive Officer.  The award was ... 1, 2016 and granted as an inducement material ...
Breaking Biology Technology: