Securities and Exchange Commission that the 5 percent AOL stake that it bought in 2005 "may be impaired." Impairment is an accounting term used to describe an acquisition or investment that has eroded.
Unless there is an about-face, the acquiring company eventually must absorb a charge on its books to account for the diminished value of its holdings. Time Warner Inc . "There can be no assurance that impairment charges will not be required in the future, and any such amounts may be material," Google said of its AOL investment.
Full Story: Google believes $1B investment in AOL is crumbling (AP)
Unless there is an about-face, the acquiring company eventually must absorb a charge on its books to account for the diminished value of its holdings. Time Warner Inc . "There can be no assurance that impairment charges will not be required in the future, and any such amounts may be material," Google said of its AOL investment.
Full Story: Google believes $1B investment in AOL is crumbling (AP)
