Unifi to charge off $4-million-plus in sale
Unifi will take a pre-tax charge as it sells its interest in a joint venture.
The Greensboro-based yarn maker plans to charge off between $4.25 million and $4.75 million to account for changes in the value of Unifi-Sans Technical Fibers, according to documents filed with the Securities and Exchange Commission.
Unifi's 50 percent stake in the joint venture is valued at $13.4 million on the company's balance sheet; however, that figure exceeds the market value of the investment, the company reported this week.
Unifi, which announced the joint venture with Sans Fibres of South Africa in 2000, disclosed plans to sell its stake in a quarterly filing earlier this year. The venture agreement allowed Unifi to sell its stake in the nylon yarn-producing business for fair market value and to unload its interest in an affiliated plant in Stoneville.
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