Objectives of the group are to provide pro-active contribution to the work of the IASB in Phase II of its insurance project and to identify interpretation and implementation issues on insurance-specific matters. Members of the working group are:

• Benoit Jaspar, GENERALI (Chairman)
• Bernard Bolle-Reddat, BNP-Paribas
• Ruurd Van den Berg, AEGON
• Jacques Le Douit, AXA
• Hugh Francis, AVIVA
• Catherine Guttmann, Deloitte (EFRAG TEG)
• Joachim Kolschbach, KPMG
• Nigel Masters, PwC
• Carsten Zielke, WestLB
• Observer organisations: European Commission, CESR, CEIOPS, and CEA
• Associate member organisations: ICISA and ACME

Click to Download IAWG Terms of Reference (PDF 20k).

The report, International Public Sector Accounting Standards (IPSASs) and Statistical Bases of Financial Reporting: An Analysis of Differences and Recommendations for Convergence, aims to reduce confusion for users of public sector financial reports caused by the differences between accounting and statistical models of financial reporting. The report may be downloaded from IFAC's Website.

IFRS 6:

• permits entities to continue to use their existing accounting policies for exploration and evaluation assets, provided that such policies result in information that is relevant and reliable; and
• requires entities to assess any exploration and evaluation assets for impairment when facts and circumstances suggest that the carrying amount of the assets may exceed their recoverable amount. The recognition of impairment in respect of such assets is varied from that in IAS 36 Impairment of Assets but, once an impairment has been identified, it is measured in accordance with IAS 36.

Accounting Roundup is prepared by the National Office Accounting Standards and Communications Group of Deloitte & Touche LLP (USA) to briefly describe key regulatory and professional developments that have recently occurred in the field of accounting and to provide links to locations where additional information can be found on each topic. You will find past issues Here.

The United Kingdom has adopted a statutory instrument (legislation) that permits publicly traded companies and building societies to use IFRSs in their individual accounts and permits non-publicly traded companies to use IFRSs in both their individual and consolidated accounts.

• Statutory Instrument (PDF 338k)
• Related Draft DTI Guidance (PDF 124k)

Both are translations of similar English-language publications that can be found on the Deloitte IFRS Publications Page. Click to download the German-language publications:

• (PDF 659k, 94 pages)
• (PDF 735k, 145 pages)

The European Financial Reporting Advisory Group (EFRAG) has appointed a financial instruments working group (FIWG) with the twin goals of addressing current IAS 39 issues (such as potential solutions for the carve-out areas in IAS 39) and wider issues for longer-term revision of IAS 39. FIWG members are:

• Thomas Naumann, Dresdner Bank (Chairman)
• David Bradbery, UBS Investment Bank
• Isabelle Collignon, Credit Agricole SA
• Petri Hofste, KPMG
• Gordong Ireland, PWC
• Victor Jimenez, Banco Bilbao Vizcaya Argentaria
• Ingvar Linse, Swedbank
• Helmut Ortlof, DZ Bank AG
• Massimo Romano, Assicurazioni Generali
• Hugh Shields, Barclays Capital
• Agnes Tardos, PWC

Click to Download FIWG Terms of Reference (PDF 18k).

However, FASB agreed to require disclosure of the difference in the tax expense (or benefit) for the period that would result from the use of the undistributed rate.

The FEE Alert may be downloaded without charge from the FEE Website (click 'Fee Publications' then 'Sustainability').

Donaldson said that the Commission is considering easing certain of its rules for non-US companies listed in the United States. He indicated that European companies using IFRSs might be allowed to reconcile only two years of financial statements to US GAAP instead of three:

The Commission recognizes the seismic change that conversion to IFRS represents for many European countries. We appreciate the European Union's efforts in this area because we value the EU's willingness to require the use of a single set of high quality accounting standards. This approach enhances investor understanding. We also understand that conversion to IFRS, while undoubtedly beneficial in the long run, could be difficult and expensive for some to implement in the immediate term. Consequently, the Commission has proposed amendments to our reporting requirements that would facilitate foreign private issuers' conversion to IFRS. For those foreign issuers also listed on U.S. exchanges, the SEC has long allowed these companies to use IFRS, provided the financial figures were reconciled to U.S. Generally Accepted Accounting Principles over a three-year period. Within the next few months, I fully expect the Commission will consider adopting a proposal to allow first-time users of IFRS to reconcile their financial statements to U.S. GAAP for only two years, and I am of the firm view that this would be a step in the right direction.

Other changes under consideration include:

• Easier rules for foreign registrants to deregister their securities if they do not wish to continue to meet the US requirements.
• A possible delay, for non-US registrants, of the effective date of the requirements to include in their annual reports a report of management on the company's internal control over financial reporting. Currently, a foreign private issuer that files its annual report on Form 20F or Form 40F must begin to comply in its first financial year ending on or after 15 July 2005.

Click to download Mr. Donaldson's Speech (PDF 65k).