The roundtable will be held at the SEC's headquarters in Washington, DC, on 8 October 2008 09:00 to 13:00 (ET). It will be webcast. The roundtable will consist of an open discussion on the Commission's financial disclosure system, including the information needs of investors, public companies, and others and the capabilities of modern information technology to improve transparency and ease of use. The roundtable will be organised as two panels, each consisting of investors, issuers, academics, and other parties with experience with the Commission's financial disclosure system. Click for SEC Announcement (PDF 45k).

 

That meeting was in addition to the Board's regular meeting that is set for 14-17 October 2008. Because the 2 October meeting was arranged at short notice, some Board members took part via video conferencing facilities. To make allowance for the different time zones involved, the meeting was held in two sessions, morning and afternoon, with the same topics discussed. Click to go to the combined preliminary and unofficial Notes Taken by Deloitte Observers at Both Sessions of the Meeting.

 

In its announcement, the IASB indicated that it 'is closely monitoring developments in the United States and other jurisdictions to avoid unnecessary inconsistencies in accounting treatments under IFRSs and US generally accepted accounting principles (GAAP)'. The IASB's next steps will be in the following areas:

1. Ensure consistency of fair value measurement guidance between IFRSs and US GAAP
2. Consider the possible impact of the US Emergency Economic Stabilization Act of 2008 and other similar programmes internationally on the valuation of assets and liabilities
3. Immediately consider the ability to reclassify financial instruments.

   US GAAP permits entities, in rare circumstances, to reclassify financial instruments that are in the form of securities from their trading portfolio (measured at fair value with changes through the income statement) to 'held to maturity' (measured at amortised cost and subject to testing for impairment). Also US GAAP permits some loans that are not securities to be transferred from Held for Sale (measured at lower of cost or market with changes through the income statement) to Held for Investment (measured at amortised cost and subject to testing for impairment). IAS 39 does not currently permit such transfers. The IASB intends to assess (at its October 2008 Board meeting) any inconsistencies in how IAS 39 and US GAAP practice address the issue of reclassifications and decide whether to eliminate any differences.

4. Be willing to participate in any study on the impact of accounting in the credit crisis

Click for:

• IASB Press Release (PDF 118k)
• Our Complete Credit Crunch Page

President Bush signed it into law. The final bill included the following two sections relating to fair value measurement issues that were noted in our News Story of 29 September 2008:

• Sec. 132. Authority to suspend mark-to-market accounting
  Restates the Securities and Exchange Commission's authority to suspend the application of Statement Number 157 of the Financial Accounting Standards Board if the SEC determines that it is in the public interest and protects investors.
• Sec. 133. Study on mark-to-market accounting
  Requires the SEC, in consultation with the Federal Reserve and the Treasury, to conduct a study on mark-to-market accounting standards as provided in FAS 157, including its effects on balance sheets, impact on the quality of financial information, and other matters, and to report to Congress within 90 days on its findings.

They issued this guidance pending the completion by FASB of additional interpretative guidance about the requirements of FASB Statement No. 157 Fair Value Measurements in illiquid markets. The news story has a link to the SEC-FASB release. The IASB has issued a Press Release (PDF 99k) stating that its staff has reviewed the SEC-FASB release and considers it consistent with IAS 39 Financial Instruments: Recognition and Measurement.

Click to view the announcement (PDF 83k).

This large volume (approximately 2,900 pages) provides the complete and up-to-date consolidated text of IFRSs with extensive cross-references and other annotations. It covers all IFRSs and IASs, IFRIC and SIC Interpretations, and IASB-issued supporting documents – illustrative examples, implementation guidance, bases for conclusions, and dissenting opinions – approved by the IASB at 1 July 2008. Other annotations to IFRSs in the Guide include IFRIC agenda decisions and clarifications.

This Guide identifies the interrelationship between paragraphs and sections of each IFRS and the IASB issued accompanying material. For instance, when reading a particular paragraph or section of IFRSs, the text answers the question: which paragraphs of this IFRS, other IFRSs and accompanying material help me understand this paragraph better? It also provides some explanatory annotations and includes the text of relevant IFRIC agenda decisions.

The price is £90 plus shipping, with discounts are available for multiple copies, students/academics, and residents of middle and low income countries. For more information and ordering details, go to the Guide Web Page.

 

This publication provides practical industry insights on IFRS for real estate executives and includes useful sections on:

• IFRS challenges and opportunities in the real estate industry
• Implications of IFRS for financial reporting, tax, human resources, mergers and acquisitions, information technology, and treasury
• Key action steps for real estate executives
• Approaches to IFRS conversion
• Key differences between IFRS and US Generally Accepted Accounting Principles for the real estate industry

Click to download IFRS in Real Estate: More than Just Accounting and Reporting (PDF 438k).

 

Some of the standards released today have been substantively revised, while others have been redrafted to apply the IAASB's new 'clarity' drafting conventions.

The seven newly revised International Standards on Auditing (ISAs) are: ISA 200 (Revised and Redrafted) Overall Objectives of the Independent Auditor and the Conduct of an Audit in Accordance with International Standards on Auditing. This fundamental ISA: contains an overview of an audit to aid in understanding its purpose and scope; defines the respective authority of the requirements and guidance in ISAs; contains the most fundamental requirements for auditors; and emphasises the importance of sound and consistent professional judgment by the auditor, and the necessity for sufficient audit evidence to support the auditor's opinion. ISA 320 (Revised and Redrafted) Materiality in Planning and Performing an Audit; ISA 450 (Revised and Redrafted) Evaluation of Misstatements Identified during the Audit; ISA 530 (Redrafted) Audit Sampling; ISA 610 (Redrafted) Using the Work of Internal Auditors; ISA 705 (Revised and Redrafted) Modifications to the Opinion in the Independent Auditor's Report; and ISA 706 (Revised and Redrafted) Emphasis of Matter Paragraphs and Other Matter Paragraphs in the Independent Auditor's Report.

Click for IFAC Press Release (PDF 24k).

 

85% also think that a suspension of fair value standards would further decrease confidence in the European banking system. The CFA Institute polled its EU based members in advance of the summit called by EU and French President Sarkozy to establish a common European position on regulation. Following the poll, the CFA Institute submitted a letter to President Sarkozy, who is seeking more flexibility in accounting rules. The letter affirms that any weakening of accounting rules will not improve market stability and will further undermine investor confidence. Click for CFA Institute Press Release (PDF 21k), which also includes a copy of the letter to President Sarkozy. Previously, the CFA Institute joint the Center for Audit Quality and the Council of Institutional Investors in issuing a Joint Statement (PDF 19k) "opposing suspension of mark-to-market accounting".