SEC to Move Forward with Conflict Minerals Rule
Despite the U.S. Court of Appeals for the District of Columbia Circuit’s (“the Court”) recent ruling, U.S. Securities and Exchange Commission (“SEC”) Chair Mary Jo White announced that the SEC will continue to carry out most of its Conflict Minerals final rule. The final rule, which forces companies to publicly reveal whether or not they have used conflict minerals from the Democratic Republic of the Congo or neighboring countries and file the disclosure on an SEC-issued form, was ruled by the Court as a violation of the U.S. Constitution’s First Amendment. During her testimony at the April 29th “Oversight of. Read More.
SASB Board of Directors Appoints New Members
Prepping final releases of new standards for over 80 industries in ten sectors by the end of next year, the Sustainability Accounting Standards Board (“SASB”) recently announced that former New York City Mayor Michael Bloomberg and former U.S. Securities and Exchange Commission (“SEC”) Chairman Mary Schapiro have agreed to join its Board of Directors. Bloomberg will become chair of the Board of Directors, and Schapiro will serve as vice chair. In addition, Head of Americas at UBS Global Asset Management Shawn Lytle has been appointed as a new member of the board. Lytle will be joining the following returning members:. Read More.
PCC’s Decision on Intangible Assets Delayed Again
Failing to agree on how private companies report intangible assets when purchasing or joining another company, the Financial Accounting Standards Board’s (“FASB”) Private Company Council (“PCC”) once again could not come to terms with Proposed Accounting Standards Update No. PCC-13-01A, Business Combinations (Topic 805): Accounting for Identifiable Intangible Assets in a Business Combination. During its April 29th meeting, the PCC further discussed the proposal that would give private companies relief from determining the value of hard-to-price assets such as customer lists or noncompete agreements. However, similar to its January discussion, the PCC couldn’t come to terms on writing the exemptions.. Read More.
Conflict Minerals’ Interpretative Guidance Issued
Issued on April 29th, the U.S. Securities and Exchange Commission has announced interpretive guidance based on Release No. 34-67716, Conflict Minerals. Named Statement on the Effect of the Recent Court of Appeals Decision on the Conflict Minerals Rule (“the Statement”), the guidance is in response to the U.S. Court of Appeals for the District of Columbia Circuit’s (“the Court”) April 14th ruling that part of the provision which forces companies to use disclosure language like “DRC conflict free” or “DRC conflict undeterminable” violates the U.S. Constitution’s First Amendment. The interpretive guidance curtails the independent audit requirement for the SEC’s Conflict. Read More.
SEC Commissioners Want Delay in Conflict Minerals Rule
With the U.S. Court of Appeals for the District of Columbia Circuit previously declaring part of a provision unconstitutional, the U.S. Securities and Exchange Commission’s (“SEC”) Daniel Gallagher and Michael Piwowar seek a delay in the entire Conflict Minerals rule’s effectiveness. Per the controversial portion of the SEC’s final rule, companies are required to publicly disclose any use of conflict minerals from the Democratic Republic of the Congo or neighboring countries. Conflict Minerals also mandates issuers to file for the same period notwithstanding when their fiscal year ends. Releasing a joint statement on the matter, the SEC Commissioners believe a. Read More.
FASB Adds Projects to Agenda
At its April 28th meeting, the Financial Accounting Standards Board (“the Board”) focused on four projects the Board has considered adding to its agenda. After discussing the results collected from its staff research, the Board made tentative decisions to include the following projects in its agenda: Presentation issues in cash flow statements. Anticipated to clear up principles in Topic 230, Statement of Cash Flows, this project will offer further guidance regarding what an entity should take into account when determining the classification of certain cash flows. Also under consideration is additional disclosure concerning cash flows. Fees a customer in a. Read More.