At its meeting on December 13, 2017, the IASB discussed and made tentative decisions on:

1. the objective of introducing a management performance measure into the financial statements and possible locations for the presentation and disclosure of that measure; and
2. some improvements to the statement of cash flows on the classification of interest and dividends and the initial thoughts on other targeted improvements.

The Board will continue its discussions about targeted improvements to the statement(s) of financial performance at a future meeting. These discussions will include:

1. the circumstances in which a management performance measure would be required; and
2. whether the reconciliation of the management performance measure with the IFRS defined measure should be presented below the statement of financial performance or disclosed in the notes.

The Board will consider the classification in the statement of cash flows of dividends received from investments in associates and joint ventures when it discusses whether the profit or loss of integral associates and joint ventures should be part of the income or expenses from investments in the statement(s) of financial performance.

Review the IASB Update and podcast on the IASB's Web site.

At its meeting on December 13, 2017, the IASB received a preliminary summary of comment letters received on the Disclosure Initiative—Principles of Disclosure Discussion Paper. In the first quarter of 2018, the Board will receive a detailed summary of all feedback received on the Discussion Paper and make decisions about next steps on the project.

Review the IASB Update and podcast on the IASB's Web site.

At its meeting on December 13-14, 2017, the IASB tentatively decided that the scope of the project also includes transactions involving transfers of one or more businesses where all of the combining parties are ultimately controlled by the same controlling party or parties, and the transactions are:

1. preceded by an external acquisition and/or followed by an external sale of one or more of the combining parties; or
2. conditional on a future sale such as in an initial public offering.

The Board expects to continue its discussions on the project in early 2018.

Review the IASB Update and podcast on the IASB's Web site.

At its meeting on December 13-14, 2017, the IASB discussed transition requirements for Accounting Policy Changes (Amendments to IAS 8). The Board tentatively decided to propose that entities apply the amendments to IAS 8 to voluntary changes in accounting policies, resulting from agenda decisions, which an entity makes on or after the effective date of the amendments.

The Board plans to issue an exposure draft in the first quarter of 2018.

Review the IASB Update and podcast on the IASB's Web site.

At its meeting on December 13-14, 2017, the IASB discussed the IFRIC’s recommendation to propose an amendment to IFRS 1, First-time Adoption of International Financial Reporting Standards. The proposal would require a subsidiary that applies paragraph D16(a) of IFRS 1 to measure cumulative translation differences using the amounts reported by its parent, based on the parent’s date of transition to IFRS Standards (subject to any adjustments made for consolidation procedures and for the effects of the business combination in which the parent acquired the subsidiary). All Board members agreed with the proposal.

Review the IASB Update and podcast on the IASB's Web site.

At its meeting on December 14, 2017, the IASB tentatively decided to consider improving the application of IAS 36 by using the unrecognized headroom (the excess of the recoverable amount over the carrying amount) of a cash‑generating unit (or groups of units) as an additional input in the impairment testing of goodwill.

The Board tentatively decided to consider introducing requirements for the entity to disclose:

1. each year, information about the headroom in a cash-generating unit (or groups of units) to which goodwill is allocated for impairment testing;
2. a breakdown of goodwill by past business combination, explaining why the carrying amount of goodwill is recoverable; and
3. the reasons for paying a premium that exceeds the value of the net identifiable assets acquired in a business combination, key assumptions or targets supporting the purchase consideration and a comparison of actual performance with those assumptions or targets.

At future meetings, the Board will:

1. decide whether the output of the project should be a discussion paper or an exposure draft;
2. discuss whether to consider subsuming some intangible assets within goodwill in a business combination;
3. continue to discuss whether to simplify the calculation of value in use by removing:
   1. the explicit requirement to use pre‑tax inputs; and
   2. the prohibition on including estimated cash flows from uncommitted future restructuring and from improving or enhancing an asset’s performance.

Review the IASB Update and podcast on the IASB's Web site.

At its meeting on December 14, 2017, the IASB discussed the proposed project plan to develop a dynamic risk management accounting model. Specifically, the Board decided:

1. to focus first on developing a core model for the most important issues;
2. to seek feedback on the feasibility of the core model. The manner in which feedback is obtained will be determined at a later date; and
3. to address the non-core issues as a final step.

The Board will begin technical deliberations by discussing the dynamic risk management asset profile.

Review the IASB Update and podcast on the IASB's Web site.