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where in the income statement would you put "consolidation costs"

If two companies merge, would you put the consolidation costs (approx the same as merger costs) as a separate line item as part of operating income? Maybe: operating income before consolidation cost consolidation costs operating income or something like that?


Peter Maclean
Title: Hyperion Consultant
Company: Facet Consulting
(Hyperion Consultant, Facet Consulting) |

I am not sure that consolidation costs deserve a line on their own. What is the nature of the costs ? Wages, consultants fees, interest ? Presumably they are recorded in an entity according to their nature and upon consolidation would fall out somewhere probably in selling, general, and admin. They would have to be large in dollar value to even consider a separate line.

Topic Expert
Wayne Spivak
Title: President & CFO
LinkedIn Profile
(President & CFO, |

I would put them in "other income/expenses" since they are outside the normal expenses a rates to the normal operation of the company - plus they are also one-time costs.


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