Computer Horizons Announces Third Liquidating Distribution
The liquidating distribution announced today represents a partial distribution to shareholders of funds of the Company remaining after the initial liquidating distribution made by the Company in
For tax purposes, the distribution announced today is a “liquidating distribution”. Each liquidating distribution should be allocated proportionately to each share of stock owned by a shareholder. A shareholder’s gain or loss will be computed on a “per share” basis so that gain or loss is calculated separately for blocks of stock acquired at different dates and different prices. Gain will be recognized in any taxable year in connection with a liquidating distribution only to the extent that the aggregate value of all liquidating distributions received by a shareholder with respect to a share exceeds such shareholder’s tax basis for that share. If the amount of the distributions is less than the shareholder’s basis in his or her shares of common stock, the shareholder will generally recognize a loss only in the year the final distribution is received by the shareholder (or by a liquidating trust on behalf of the shareholder). The Company recommends that shareholders consult their own tax advisors regarding the tax consequences to them of the liquidation and dissolution.
The Company will, at the close of each taxable year, provide shareholders and the IRS with a statement of the amount of cash and the Company’s best estimate of the fair market value of any property distributed to the shareholders (or transferred to a liquidating trust) during that year as determined by the Company, at such time and in such manner as required by the Treasury Regulations.
Statements made in this news release regarding the payment of additional liquidating distributions are forward-looking statements. Such forward-looking statements are subject to a number of risks and uncertainties, and there can be no assurance that the expectations reflected in those statements will be realized or achieved. Such risks and uncertainties include, without limitation, possible contingent liabilities and post-closing indemnification and other obligations arising from the sale of the Company’s businesses; and risks associated with the liquidation and dissolution of the Company, including, without limitation, settlement of the Company’s liabilities and obligations, costs incurred in connection with the carrying out of the plan of liquidation and dissolution, the amount of income earned on the Company’s cash and cash equivalents and short-term investments during the liquidation period, and the actual timing of liquidating distributions.
You should also read the risk factors that are discussed in the Company’s periodic reports filed with the Securities and Exchange Commission, including the risk factors contained in the Company’s Annual Report on Form 10-K for the year ended
SOURCE Computer Horizons Corp.