May 31, 2011

The SEC’s “Staff Paper” on IFRS: The Condorsement Approach

As noted in FEI’s “Financial Reporting Blog,” the SEC’s Office of Chief Accountant posted this “Staff Paper” last week that seeks comments regarding how to incorporate IFRS into US GAAP, including the “condorsement” approach (which is a process by which the FASB would gradually adopt specific parts of IFRS over a transitional period). The paper makes clear that the SEC hasn’t yet decided whether to incorporate IFRS – or highlight a preferred method to do so. Instead, it seems comments on alternative approaches in case it does. Comments are due by July 31st.

FINRA: IPO Spinning Rule Delayed

Suzanne Rothwell reports the SEC recently approved an amendment to FINRA’s new Rule 5131 – which will regulate IPO allocation abuses – to delay the new spinning and acceptance of aftermarket orders provisions to September 26th and delete a provision that would have required that broker/dealers have procedures that prevent investment banking personnel from influencing a new issue allocation. The latter requirement would have been problematic because it’s the investment banking personnel that are often also engaged in the syndicate allocation activities – it may be impossible to separate them. The rest of the rule was implemented last Friday. We have posted memos on Rule 5131 in our “Underwriting Arrangements” Practice Area.

Webcast Transcript: “Nuts & Bolts of Bank M&A”

We have posted the transcript from the webcast: “Nuts & Bolts of Bank M&A.”

– Broc Romanek