Shares of Windstream Corp. of Little Rock (NYSE: WIN) rose 3.7 percent on Monday after the telecommunications firm dramatically reduced its outlook for 2013 tax obligations.
THE SPARK: Windstream said it now expects its 2013 tax obligations to total between $40 million and $50 million, down from a May prediction of about $250 million.
The company attributed the drop to the extension of a federal tax break approved by Congress and the White House last week, as well as other changes in the company's cash tax assumptions.
Why the reduction? Thank that fiscal cliff deal Congress reached last week. The deal includes the extension of a tax break that "allows profitable companies to write off large capital expenditures immediately - rather than over time - giving some of them sizable tax shelters."
Windstream shares closed at $9.67 on Monday.
- Video: ASU Exploring On-Campus Hotel, Convention Center
- After Supremes' Decision, Womack Urges Congress to Act on Online Sales Tax
- WSJ Examines Mark Pryor, Tom Cotton Senate Race
- #ARWX: Homes, Businesses Without Power; Flights Canceled at LIT, XNA 40 mins ago
- Update: John Stacks, Banker and Owner of Mountain Pure Water, Indicted on 11 Counts 4 days ago
- ASU Gets 2 Proposals for On-Campus Convention Center, Hotel 23 hours ago
- Wal-Mart Used Technology to Become Supply Chain Leader 1 year ago
- Arkansas Best to Close 30 Service Terminals 2 days ago