March

IASCF 2001 annual report is available

25 Mar 2002

The Trustees of the IASC Foundation, under which the IASB operates, have published the 2001 annual report of the Foundation.

Click to Download the 2001 IASCF Annual Report (PDF 2,237k).

Format of IFRSs

25 Mar 2002

During the discussion of several projects at the IASB meeting last week, the Board indicated that guidance in IFRSs will be of two types: IFRSs will include one or more "application supplements" in appendixes that will form part of the Standard. IFRSs will include illustrative examples "at the back of the Standard" that are not appendixes to the Standard and do not form part of the Standard. .

During the discussion of several projects at the IASB meeting last week, the Board indicated that guidance in IFRSs will be of two types:

  • IFRSs will include one or more "application supplements" in appendixes that will form part of the Standard.
  • IFRSs will include illustrative examples "at the back of the Standard" that are not appendixes to the Standard and do not form part of the Standard.

FEI recommendations for improved financial reporting

24 Mar 2002

A task force of Financial Executives International has made broad recommendations for "Improving Financial Management, Financial Reporting and Corporate Governance".

The report makes recommendations in four areas:
  • Strengthening financial management and commitment to ethical conduct
  • Rebuilding confidence in financial reporting, the accounting industry, and the effectiveness of the audit process
  • Modernising financial reporting and reforming the accounting standards-setting process
  • Improving corporate governance and the effectiveness of audit committees
Among other things, FEI recommends a new oversight body for the accounting profession, restrictions on non-audit services provided by the independent auditor, restrictions on hiring senior personnel from the auditor, reform of the FASB (a 'blue ribbon' study panel is proposed), improved MD&As;, more web-based reporting, reporting of performance metrics, and enhanced requirements for foreign SEC registrants, including quarterly reporting.

SEC Chairman testifies on Enron issues

23 Mar 2002

SEC Chairman Harvey L.

Pitt has testified before the US Senate Committee on Banking, Housing, and Urban Affairs re: Accounting and Investor Protection Issues Raised by Enron and Other Public Companies. Click for Mr. Pitt's:

Project pages updated for March meeting

23 Mar 2002

We have posted a Combined Summary of the tentative decisions at the Board's March meeting.

Also we have updated our pages for the following projects to reflect those decisions:

FASB Chairman comments on proposed US legislation

23 Mar 2002

Financial Accounting Standards Board Chairman Edmund L.

Jenkins has commented on two bills recently introduced in the United States Congress that include provisions concerning the FASB. Both bills would mandate annual FASB reporting to Congress, and one of them would allow SEC recognition of FASB standards only if FASB's funding is restricted to fees and publications revenue (no contributions). Mr. Jenkins indicated that FASB will support legislation that would provide funding to FASB via a fee collection system run by the government.

Comment deadline on IAS 19 asset ceiling amendment

23 Mar 2002

Reminder: 25 March is the deadline for comments on the Proposed Amendment to IAS 19, Employee Benefits: The Asset Ceiling Test. .

Reminder: 25 March is the deadline for comments on the Proposed Amendment to IAS 19, Employee Benefits: The Asset Ceiling Test.

Comments invited on proposed changes to FASB

22 Mar 2002

The Trustees of the US Financial Accounting Foundation have invited comments on proposals designed to streamline FASB operations.

They propose:
  • 1. Reducing the size of the FASB from 7 to 5 members
  • 2. A simple majority voting requirement of 3-2 for the five-member Board
  • 3. A recommendation to the FASB that it expose proposed standards for shorter comment periods (60 days is suggested)

Notes from the March 2002 IASB meeting

22 Mar 2002

We have combined all of the notes taken by Deloitte observers at the March 2002 Board meeting into a Combined Summary of the tentative decisions at the Board's March meeting. .

We have combined all of the notes taken by Deloitte observers at the March 2002 Board meeting into a Combined Summary of the tentative decisions at the Board's March meeting.

SEC Chairman suggests major changes for FASB

15 Mar 2002

Speaking at the 30th SEC Speaks conference in Washington on 22 February 2002, SEC Chairman Harvey Pitt forecast important changes regarding the US Financial Accounting Standards Board, among other important changes relating to the accounting profession: Full Text (PDF 28k) That is why we are advocating fundamental and far-reaching changes in the Financial Accounting Standards Board.

We seek to move toward a principles-based set of accounting standards. The SEC must play an active and aggressive oversight role vis-à-vis FASB. This means the SEC must have greater influence over FASB's agenda, and should be able to require FASB to address critical subjects and promulgate standards in a short time frame, rather than the years it currently takes for principles to be announced. It also means adding disclosure to explain the impact on financial reports of key accounting principles and decisions.

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