As usual, Dominic Jones has been providing great coverage about how two companies recently experienced leaks on their IR web pages – where earnings information was released inadvertently ahead of the planned release time (see his coverage of Disney and NetApp). In addition to this coverage, Dominic blogged this piece yesterday: “IR website vendors explain how they prevent disclosure leaks.” It’s worth checking out to help ensure your company won’t experience this type of snafu.
The Latest on IASB’s Loss Contingency Standard
Similar to the controversial FASB project to update its loss contingency standard (see this blog for the latest on that), the IASB is working on updating its own contingency standard. Here is news, courtesy of Tom White of WilmerHale: At its meeting on November 16, the IASB decided to modify its proposed standard for recognition of a loss contingency, IAS 37. Responding to comments – including the letter submitted by an ABA Committee – the IASB decided to modify the proposed recognition standard to reinstate the requirement that the preparer determine that it is more likely than not that a liability exists. The IASB also decided to provide more guidance about how to apply the standard to litigation contingencies. The IASB has also indicated that, in light of other priorities, it does not expect to return to IAS 37 until the 2nd half of 2011, at the earliest.
FASB Announces Post-Implementation Review Process
As Edith Orenstein blogs in FEI’s “Financial Reporting Blog,” the Financial Accounting Foundation (FAF) – which oversees the FASB – announced the launch of a post-implementation review process. This action follows up, in part, on a recommendation made by the SEC’s Committee on Improvements to Financial Reporting (CIFiR) aka the “Pozen Committee” – so named in honor of its chair, Bob Pozen. The recommendation was one of many recommendations aimed mainly at the SEC, but also at FASB and the PCAOB, in the final CIFiR report issued in August 2008. Edith also blogs about the appointment of the new FAF CEO (Terri Polley) and four new trustees.
– Broc Romanek