The webinar summarises main proposals in the exposure draft, including subtotals in the statement of profit and loss, disaggregating information, and management performance measures.

For more in­for­ma­tion, see the press release on the IASB’s website.

In addition, the IASB hosted a similar webinar in the Japanese language on 19 February 2020. Please click here to view this webinar.

The agenda for the DPOC meeting is summarised below.

Agenda papers for the meeting are available on the IASB website.

Mr Coen follows Joanna Perry whose term ended in December 2019. He was Secretary General of the Basel Committee on Banking Supervision from 2014 to 2019 and Deputy Secretary General from 2007 to 2014. Mr Coen served on the IFRS Advisory Council from 2016 until 2019.

Mr Coen has been appointed for 12 months and can be reappointed once. At the end of phase, the Trustees intend to appoint a new Chair through a public nomination process.

Please click for more information in the press release on the IASB website.

The report provides an analysis of the current state of climate-related reporting of approximately 150 European companies and focuses on “identifying good reporting practices and assessing the level of maturity in the implementation of the TCFD recommendations, while also taking into consideration the climate-related reporting elements of the NFRD and the related non-binding Guidelines on non-financial reporting and Guidelines on reporting climate-related information.” In additional, the European Lab Project Task Force has issued two supplement documents which complement the report with detailed findings and in-depth review of scenario analysis reporting.

For more information, see the press release and summary brochure on the EFRAG’s Web site as well as this page offering access to the three documents.

The first paper, Implementation of IFRS 17 'Insurance Contracts': Considerations for those charged with governance, can help those charged with governance evaluate management's progress towards implementation and assess their external auditors' general readiness to audit the context of IFRS 17.

The second paper, Implementation of IFRS 17 'Insurance Contracts': Companion document on key judgements and accounting policy choices, is a companion document to Implementation of IFRS 17 Insurance Contracts: Considerations for those charged with governance January 2020. This paper focuses on key judgements and accounting policy choices faced by insurers related to the adoption of IFRS 17.

Provisions: The Board decided to add a project to amend IAS 37 to align the IAS 37 liability definition and requirements for identifying liabilities with the Conceptual Framework (including potentially withdrawing IFRIC 21); clarifying which costs to include in the measure of a provision; and specifying whether the rate at which an entity discounts a provision for the time value of money should reflect the entity’s own credit risk.

Amendments to IFRS 17 Insurance Contracts: The Board discussed some of the topics for which it had decided to consider the feedback from respondents further:

• the scope exclusion from IFRS 17 for some credit card contracts (decided to confirm the proposed scope exclusion with some changes);
• Transition—the prohibition from applying the risk mitigation option retrospectively (decided to retain, unchanged);
• Business combinations—contracts acquired in their settlement period (decided to retain, unchanged);
• Interim Financial Statements (decided to change the requirements); and
• Asset for insurance acquisition cash flows—transition and business combinations (decided to change the requirements).

IBOR Reform and the Effects on Financial Reporting: The Board considered, and supported, the  recommendation from the staff in relation to the end of application of the Phase 1 exceptions from specific hedge accounting requirements in IFRS 9 and IAS 39 in the context of interest rate benchmark reform (IBOR reform); the potential effects of IBOR reform on IFRS Standards other than those related to financial instruments accounting; and potential disclosure requirements to accompany the tentative decisions the Board has made during Phase 2 of the IBOR project.

Pension Benefits that Depend on Asset Returns: The Board supported the direction the staff are taking in the project to consider amending IAS 19 to cap the projected cash flows when benefits vary with the level of returns on specified assets, so that they do not exceed the discount rate specified by IAS 19. The change would be to address the inconsistency in IAS 19 that the variability (risk) in the future asset returns is reflected only in the cash flows and not in the discount rate applied to those cash flows.

Disclosure Initiative: The Board continued its discussions of potential revisions to the disclosure requirements in IAS 19 and decided to refine some of its tentative decisions relating to defined benefit plans, multi-employer plans and group plans. 

IFRS 3 reference to the Conceptual Framework: The Board decided to finalise the amendments to update the references to the Conceptual Framework in IFRS 3 with an effective date of the amendments of 1 January 2022. The new references would apply to business combinations that occur in any annual reporting period starting after that date, with earlier application permitted.

Subsidiaries that are SMEs: The Board decided to develop an ED as soon as possible proposing reduced disclosure requirements for subsidiaries that are SMEs.

Business Combinations under Common Control: The Board has decided that the acquisition method, as set out in IFRS 3, should be required for listed acquirers that have NCI. They have received feedback from some sectors that a predecessor approach should apply to all common-control business combinations. The staff recommend no change to the decisions already made.  The staff also set out their recommendations for recognition and measurement applying a predecessor approach.

The staff gave updates on:

• the feedback received on the proposed update to the IFRS Taxonomy to reflect the amendments made to IFRS Standards in 2019 in response to IBOR reforms;
• the ED for rate-regulated activities (publication of the ED is now expected in the second half of 2020 rather than in Q2);
• work being undertaken on research projects and the research pipeline; and
• recent activities of the IFRS Interpretations Committee.

Please click to access the detailed notes taken by Deloitte observers for the entire meeting.

The report focused on literature published since 2007 and covered the following areas:

• Intangibles in a macro-perspective;
• Unaccounted intangibles and their impact on the relevance of financial reporting;
• Information on specific unaccounted intangibles and its impact on company performance, market value, and users;
• Information on intellectual capital and its effects on company performance, market value, and users;
• Frameworks and models for measuring and reporting on intangibles and their consequences on company performance, market value, and users.

For more information, see the press release and the academic report on the EFRAG’s website.

The 15-minute podcast features discussions related to:

• Subsidiaries that are SMEs
• Provisions
• Pension benefits that depend on asset returns
• Amendments to IFRS 17 Insurance Contracts
• IBOR reform and the effects on financial reporting
• Business combinations under common control
• Disclosure initiative: Targeted standards-level review of disclosures
• Matters raised by the IFRS Interpretation Committee
• Request for information in the context of the comprehensive review of the IFRS for SMEs

The podcast can be accessed through the press release on the IASB website. More information on the topics discussed is available through our comprehensive notes taken by Deloitte observers at the January IASB meeting.

The thematic review examines the implementation process for lessons applicable to introducing future standards, and considers the quality of disclosures made in relation to IFRS 9 Financial Instruments and IFRS 15 Revenue from Contracts with Customers in the first year of their implementation.

The report indicates that “disclosure quality is variable” with some companies not sufficiently disclosing the impact of the new standards. In order to improve disclosures, the report contains some better practice examples that companies can refer to. HM Treasury is also revising its guidance to support departments as they improve the quality of their financial reporting.

A press release and the full thematic review are available on the HM Treasury website.

For a list of other changes made to the work plan since it was last revised, see our IASPlus news item.