TheCorporateCounsel.net

Also during the “Dialogue with the Director” session on Friday at the ABA’s Business Law Section Fall Meeting, Jay Knight, Chair of the Federal Regulation of Securities Committee, asked Corp Fin Director Erik Gerding about the SEC’s current areas of focus. While Erik noted that his discussion was not exhaustive, one of the topics he highlighted was disclosures by bank issuers, stating that the SEC was looking at the following areas in particular:

– Liquidity disclosures under Item 303 of Regulation S-K, including liquidity risks, available sources, key provisions or parameters of those sources and actions taken to ensure liquidity
– Interest rate risk, including whether interest rate sensitivity disclosures under Item 305 of Regulation S-K would benefit from additional explanation of the key assumptions underlying that disclosure

The WSJ previewed these topics in June, noting that this was an area of focus for SEC comments on registration statements filed by regional banks after the bank failures we saw this spring.

– Meredith Ervine