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Reporting entities are not prohibited from separate income statement presentation of costs associated with exit or disposal activities covered by ASC 420, excluding those activities that involve a discontinued operation. However, ASC 420 requires classification of those costs as part of income from continuing operations before income taxes.
The SEC provides additional guidance in SAB Topic 5.P.3 (codified in ASC 420-10-S99-1) about the appropriate presentation of exit or disposal costs for SEC registrants.

Excerpt from ASC 420-10-S99-1

The staff believes that restructuring charges should be presented as a component of income from continuing operations, separately disclosed if material. Furthermore, the staff believes that a separately presented restructuring charge should not be preceded by a sub-total representing “income from continuing operations before restructuring charge” (whether or not it is so captioned). Such a presentation would be inconsistent with the intent of FASB ASC Subtopic 225-20.

To be consistent with the guidance in ASC 420, we believe the earnings per share effect of exit and disposal costs should not be disclosed on the face of the income statement. Additionally, revenue, related costs, and expenses that will not be continued should not be netted and reported as a separate component of income unless they qualify as discontinued operations. See FSP 27 for discussion of presentation and disclosure requirements associated with discontinued operations.

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