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Inverness Medical Innovations Announces Second Quarter 2008 Results
Date:7/29/2008

income that have a significant positive or negative impact on results yet

do not occur on a consistent or regular basis in its business. In

determining whether a particular item meets one of these criteria,

management considers facts and circumstances that it believes are

relevant. Management believes that excluding such charges and income from

income or loss allows investors and management to evaluate and compare the

Company's operating results from continuing operations from period to

period in a meaningful and consistent manner. Due to the frequency of

their occurrence in its business, the Company does not adjust net income

or loss for the costs associated with litigation, including payments made

or received through settlements. It should be noted that "net income or

loss on an adjusted cash basis" is not a standard financial measurement

under accounting principles generally accepted in the United States of

America ("GAAP") and should not be considered as an alternative to net

income or loss or cash flow from operating activities, as a measure of

liquidity or as an indicator of operating performance or any measure of

performance derived in accordance with GAAP.

(b) Amortization expense of $95.0 million and $16.6 million in the first

six months of 2008 and 2007 GAAP results, respectively, including $23.7

million and $6.3 million charged to cost of sales, $1.8 million and $1.5

million charged to research and development and $69.1 million and $8.6

million charged to selling, general and administrative, in the respective

periods, with $0.4 million and $0.2 million charged through equity

earnings of unconsolidated entities, net of tax during the six months

ended June 30, 3008 and 2007, respectively.

(c) Restructuring charges associated with the decision to close facilities

of $39.9 million and $1.0 million in
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SOURCE Inverness Medical Innovations, Inc.
Copyright©2008 PR Newswire.
All rights reserved

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