GAAP Deviations definition
GAAP Deviations means those accounting principles historically and consistently employed by Seller which deviate from GAAP and have been disclosed to Buyer, as set forth on Schedule 1.06(a)(xiii).
GAAP Deviations means, with respect to the Financial Statements and the Company's historical financial reporting and accounting past practices, each of the following: (i) inventory is overstated due to the excess application of labor and overhead to finished goods and the erroneous application of labor and overhead to raw materials and packaging supplies; (ii) a reserve for sales discounts and allowances to be applied against outstanding receivable balances is not maintained; (iii) vacation pay is expensed as employees utilize vacation rather than ratably accrued as it is earned; (iv) discretionary bonuses are expensed as paid to employees rather than ratably accrued throughout the fiscal year; and (v) a reserve for self-insured employee health care claims incurred but not reported to the third-party claims administrator is not maintained.
GAAP Deviations has the meaning set forth in the Section 1.06(a)(xiii).
Examples of GAAP Deviations in a sentence
Each of the foregoing financial statements (the "Financial Statements") presents fairly the Company's financial condition and results of operations and cash flows as of the times and for the periods referred to therein, and has been prepared in accordance with GAAP, subject to the GAAP Deviations and the absence of GAAP footnote disclosure.
Except as set forth on the Insurance Schedule, the Company has no self-insurance or co-insurance programs, and the reserves set forth on its Latest Balance Sheet with respect to any such self-insurance or co-insurance programs have been established in accordance with GAAP, subject to the applicable GAAP Deviations, and the Company's historical financial reporting and accounting past practices.