SAP says Ariba has $1.5 bln in deferred losses
FRANKFURT May 25 (Reuters) - German software company SAP said on Friday it expected to use Ariba's $1.5 billion in deferred losses in the next 10 years after its planned takeover of the U.S. company.
"As of Sept. 30, 2011 Ariba's deferred losses amounted to about $1.5 billion," an SAP spokesman told Reuters in an e-mail.
He added the losses will have no impact on the profit and loss account of Europe's biggest business software maker, but will only appear as a cash component on its balance sheet.
SAP on Tuesday announced plans to buy Ariba in a deal valuing the business and commerce network company at $4.3 billion.
As Ariba is not profitable at the moment, SAP can get refunds in the coming years on taxes the company paid in the United States.
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