An alert FBvian points us to an SEC filing yesterday made by Energy Future Holdings, the folks who own TXU, Oncor, and Luminant. The filing is essentially a heads-up that EFH is doing all it can to hold onto its effing hat. To wit:
Energy Future Holdings Corp. (“EFH Corp.”) expects that its fourth quarter 2008 results will include a non-cash goodwill impairment charge of approximately $8.9 billion of the approximately $23 billion of goodwill arising from purchase accounting for EFH Corp.’s merger transaction in October 2007. … EFH Corp. expects that the estimated goodwill charge will consist of impairments of approximately $8 billion related to its Competitive Electric segment and approximately $900 million related to its Regulated Delivery segment. … EFH Corp. also expects that its fourth quarter 2008 results will include a non-cash impairment charge of approximately $500 million ($320 million after tax) related to TCEH’s trade name intangible asset.
“Trade name intangible asset”? What they’re saying is that they overvalued and thus needed to mark down by $500 million the value associated with the TXU brand.
