Nortek Reports Significant Goodwill Impairment in Home Technology Segment

Nortek recorded an approximate $250 million non-cash goodwill impairment charge in its Home Technology Products reporting unit due to deterioration of the housing market and other economic factors including the troubled mortgage market, rising unemployment, and declining consumer confidence.

“During the second quarter of 2009, the Company recorded an approximate $250.0 million estimated non-cash impairment charge to reduce the carrying amount of its Home Technology Products (“HTP”) reporting unit’s goodwill to the estimated fair value based upon the results of the Company’s interim impairment test that was necessitated by the deterioration of the housing market and other economic factors during the second quarter of 2009 including, among others, the instability in the troubled mortgage market, rising unemployment and declining consumer confidence.”

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