Capital expenditures are regularly twice the depreciation charge. How can this be for a company that is not growing? Depreciation this quarter was down YoY that enabled PX to meet analyst EPS estimates, even after a massive capital spending binge over the last year. Something fishy here. Aggressive accounting or maybe even borderline fraud.
When a company like PX reports lower sales due to a weaker dollar, they also have to have lower reported depreciation in US dollars from their overseas businesses as well because of currency impacts on depreciation (and all other cost items) as well. "Cheating" - you've got to be kidding!
PX usess most likely the straightline method for their depecreciation. They may have also written down some assets as part their downsize last quarter. You need to understand that PX prefers to rent building and not owned anything, especially for PDI, which would have stores. Most of their stores are leased.