Intelligence Unit Special Reports Special Events Subscribe Sponsored Departments Follow Us

Twitter Facebook LinkedIn RSS

Verizon, Exelon are latest to record healthcare charge

Wall Street Journal, April 2, 2010
Verizon Communications Inc. announced it expects to record a one-time noncash charge of $970 million in the first quarter, to account for the anticipated impact of the recently enacted U.S. healthcare overhaul. In a separate SEC filing, electric and gas utility Exelon Corp. disclosed it expects to record a noncash charge of about $65 million in the first quarter, also related to the healthcare overhaul. The overhaul prevents companies from deducting tax-free subsidies it receives from the federal government for providing retirees with prescription-drug benefits. Exelon said the reduction of the tax deductions was estimated to increase the company's total annual income tax expense by about $10 million to $15 million, the Wall Street Journal reports.