logo
Plus   Neg
Share
Email

Sherwin-Williams To Take $77 Mln Charges In Q2 On DC Solar Investment

Sherwin-Williams Co. (SHW) said it will take a charge of about $77 million in the second quarter of 2019 to reflect the entire loss of the investment with DC Solar Solutions and related expected tax benefits. The company has determined that it is more likely than not that the tax benefits expected to be received by the company related to the investments will no longer be ultimately realizable.

The company said it invested in projects that support historic rehabilitation, affordable housing, and renewable energy. During 2011, and 2013 through 2017, the Company invested in federal renewable energy tax credit funds exclusively with DC Solar Solutions Inc. and certain of its affiliates related to mobile solar generators.

In December 2018, the company became aware of an ongoing investigation by federal authorities, which included the seizure of DC Solar's assets. The ompany promptly initiated an investigation, Sherwin-Williams said.

In February 2019, DC Solar filed for Chapter 11 (reorganization) bankruptcy protection, and the company learned of an affidavit from a special agent of the Federal Bureau of Investigation alleging that DC Solar was operating a fraudulent "Ponzi-like scheme" involving mobile solar generators sold to investors. In March 2019, the bankruptcy case was converted to Chapter 7 (liquidation).

For comments and feedback contact: editorial@rttnews.com

Business News

Editors Pick
Global PC shipments returned to growth in the second quarter of 2020 after seeing a significant decline in the preceding first quarter due to COVID-19 related supply-chain disruptions, according to reports by two research firms. The PC market returned to growth in the quarter as production ramped up and vendors restocked their supplies to near-normal levels. The bankruptcy filing of America's oldest apparel retailer Brooks Brothers has ignited significant interest from potential buyers for the brand. WHP Global and a venture backed by Authentic Brands Group LLC and Simon Property Group, Inc., are reportedly considering bids for the retailer. WHP Global owns the ANNE KLEIN and JOSEPH ABBOUD brands. Sundial Herbal Products has recalled around 65 products, which were misbranded and currently unapproved drugs, the U.S. Food and Drug Administration said in a statement. The recall follows an order by a federal judge in June to stop distributing the company's unapproved new drugs. The affected items include herbal products and dietary supplements.
Follow RTT