Philips to take 35 mln euros charge on Medquist
AMSTERDAM, JULY 6 (Reuters) - Dutch Philips Electronics (PHG.AS: Quote, Profile, Research, Stock Buzz)(PHG.N: Quote, Profile, Research, Stock Buzz) said on Thursday it will take a second quarter impairment charge of 35 million euros ($47.55 million) on its 70 percent stake in medical transcription and document services provider Medquist MEDQ.PK.
The non-cash impairment charge will not impact earnings before interest, taxes and amortisation for Philips's Medical Systems unit, the company said in a statement.
Philips added that it may divest its stake in Medquist, which recently filed its results for 2003-2005 with the U.S. Securities and Exchange Commission.
"Philips is reviewing all of its future options for its approximate 70 percent stake in MedQuist, as Philips views this stake as a non-core holding," Philips Chief Financial Officer Pierre-Jean Sivignon said in a statement.
Rabo Securities analyst Niels de Zwart estimates that Philips' stake in Medquist is worth about 183 million euros.
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