December 17, 2004

FASB Publishes Option Expensing Standard

Yesterday, the FASB posted a revised Statement of Financial Accounting Standards No. 123 on expensing stock options and other share-based payments. It is a 295 page PDF document.

The effective dates and transition requirements are quite complex. There is a section on these matters up front in the Summary – but there are more detailed provisions in the body of the Statement beginning with Paragraph 69.

Coming soon, the NASPP’s webcast: The Final Standard: Option Expensing is Here – Are You Ready? with the FASB Board Member and FASB Staffer who shepparded this challenging project through…

ISS Updates Proxy Voting Guidelines for 2005

Read about how ISS will recommend proxy voting in 2005 with this interview with Pat McGurn on Changes for ISS’s 2005 Voting Guidelines. There still are some open issues with these new guidelines – so ISS intends to issue some FAQs on their policy changes in the future, particularly regarding compensation issues.

404 Fees: Where Do They Go In “Audit Fees/Non-Audit Fees” Table?

Our Q&A Forum has been quite busy as the proxy season heats up. Here is a recent question that was answered last week:

“Under which category of the proxy statement audit fee table should fees paid to an auditor in connection with a SOX 404 internal control review and attestation be reported?”

For the answer, go to the Q&A Forum and look at #656.