Business Context and Reporting Period
Company: Ecolab Inc.
Filing Type: Form 8-K (Current Report)
Date of Report: January 28, 2002
Event: Revision of previously announced one-time gain from benefit plan changes.
Key Financial Metrics
This filing does not report revenue, profit, cash flow, margins, debt, or liquidity metrics. It specifically addresses a revision to a non-recurring accounting item:
- Revised One-Time Gain (2002): Approximately $6,000,000.
- Remaining Net Unrealized Gain: Approximately $16,000,000.
- Amortization Period: The remaining gain is expected to be amortized over 8 years.
Material Changes Versus Prior Period
The Company revised its expectation regarding the recognition of a one-time gain from benefit plan changes:
- Previous Announcement (Jan 10, 2002): Expected to recognize a one-time gain of $20,000,000 in 2002.
- Current Announcement (Jan 28, 2002): Reduced the immediate 2002 gain to approximately $6,000,000, deferring the remaining $16,000,000 for future amortization.
Guidance, Outlook, and Risks
Management Commentary: The filing references an attached News Release (Exhibit 99) which sets forth risk factors, uncertainties, and forward-looking statements in compliance with the Private Securities Litigation Reform Act of 1995. The filing text itself does not detail specific operational risks or future guidance beyond the accounting revision.
Important Facts for Investor Verification
- Verify the impact of the $14,000,000 reduction in the immediate 2002 gain on the Company's 2002 earnings per share and net income projections.
- Review the attached News Release (Exhibit 99) for detailed risk factors and the specific nature of the benefit plan changes.
- Confirm the accounting treatment and amortization schedule for the remaining $16,000,000 net unrealized gain over the next 8 years.