H&R Block to take $74.8 million charge

H&R Block Inc. said it would record $74.8 million in restructuring charges related to shutting down its Option One Mortgage Corp. division, according to a filing with the Securities and Exchange Commission. The Kansas City, Mo.-based tax preparer also said net losses totaled $502.3 million, or $1.55 per share, for the quarter ended Oct. 31, compared with a loss of $156.5 million, or 49 cents per share, during the year-ago period . The loss included $366.2 million, or $1.13 per share, from discontinued operations, including much of its Option One division, which suffered an increase in borrower defaults and the credit crunch. The company also said losses from continuing operations would total $136.1 million, or 42 cents per share. Earlier this week, H&R Block said its SEC filing was delayed because its new independent auditor, Deloitte & Touche LLP of New York, which was hired Oct. 15 and needed more time to complete its transition work. Last week, H&R Block and Cerberus Capital Management LP nixed the purchase agreement in which Cerberus would've bought the Option One.