The Board reviewed a staff paper on Board project priorities. The staff recommended:

• the objectives of the April joint IASB/FASB discussions should be to agree:
  • a resource allocation plan that reflects the two Boards' commitment to building a complete and cohesive conceptual framework while at the same time improving financial reporting through development of comprehensive new standards and short-term convergence efforts;
  • the objective of moving toward a single conceptual framework that would be used by the two Boards and the proposed plan for building that framework;
  • the major projects agenda that should be handled jointly;
  • the short-term convergence agenda projects that should be completed as soon as possible;
  • the projects that should be considered as candidates for admission to the joint agenda in the future, as resources permit; and,
  • the timing and sequencing of agenda and research projects.
• that the IASB and FASB develop a plan which has as its objective convergence of the IASB Framework and the FASB's Statements of Accounting Concepts, having regard to the work of the other national standard setters (NSS) on framework matters. High priorities within that plan should be the definition, recognition, and derecognition of the elements and furtherance of the work on measurement. There should also be an emphasis on the interrelationships between the building blocks of the conceptual framework.
• that the following projects (which have both Framework and standards aspects) should be pursued jointly with FASB and, in three cases, also with another NSS:
  • Reporting comprehensive income (with the UK ASB)
  • Liabilities and equity
  • Initial measurement and impairment (with Canadian AcSB)
  • Disclosure framework (with Canadian AcSB)
• that the IASB seek agreement for the following to be added to the list of joint projects with FASB as soon as is practicable:
  • Consolidations (including special purpose entities);
  • Post-employment benefits; and
  • Leases (with the UK ASB).
  The staff noted that this would leave Insurance, IAS 37 revisions, IAS 20 revisions, further stages of the work on IAS 32/39, SMEs, financial risk disclosures, and any other repairs and maintenance work as "IASB only" projects.
• that both IASB and FASB adopt the following research agenda and encourage the other national standard setters to further develop the following with a view to the output being used in joint projects:
  • MD&A; (with New Zealand, Germany, Canada and United Kingdom)
  • Extractive activities (with Australia, Norway, Canada, and South Africa)
  • Intangibles (with Australia)
  • Joint ventures (Australia, Malaysia, Hong Kong, and New Zealand).
  The staff noted this leaves hyperinflation and concessions as "IASB only" research projects.

The Board agreed with the staff's recommendations. It was noted that other national standard setters may wish to be more active observers in certain projects.

Certain Board members queried whether aspects of joint venture accounting could be dealt with as a short-term convergence project. It was noted that results from the research project would start to flow later this year and any decision should be deferred until then.