MURRAY HILL, N.J.-Lucent Technologies Inc. said it will enjoy a tax refund of about $816 million, or 16 cents per diluted share, following a tax carry-back approval by the Congressional Joint Committee on Taxation.
The amount will be added to its fourth-quarter net income, raising it to $1.21 billion, or 23 cents per diluted share, according to the company.
The vendor will also enjoy $45 million through Sept. 30, 2004. The revised net income for fiscal year 2004 will rise to $2 billion.
In its quarterly report, the company hinted that it had reached a tentative agreement with the U.S. Internal Revenue Service to carry back its net operating loss for fiscal year 2001 to 1996 when the company filed its income tax return as part of AT&T Corp.’s consolidated businesses.
Lucent said it expects the refund during fiscal 2005 upon completion of the IRS’s audit of the company’s 2001 federal income tax return. IRS will pay AT&T the refund, which will then pay Lucent.
“Lucent does not believe there are any other matters that would impact the refund claim,” said Lucent.
