Ernst & Young Monthly News March 2009
E-News
(HTML, English)
Divesting in turbulent times is based on an online survey of 360 c-suite respondents from companies over $1bn revenue, looking at how
the current market conditions are driving them to consider defensive divestments as a strategic necessity, this is also leading to increased
overseas buyers from "cash-rich emerging markets". There will be area themes and a financial services focus.
(PDF, English, 105 kB)
Delegation of business management
(PDF, English, 372 kB)
Financial reporting in times of uncertainty/Goodwill disclosures under the microscope/Financial reporting developments/Resources
(PDF, English, 100 kB)
The IASB has issued an ED proposing amendments to IFRIC 9 - revising the scope to exclude business combinations between entities under
common control and the formation of joint ventures and IFRIC 16 - allowing, in a hedge of a net investment in a foreign operation,
the qualifying hedging instruments to be held by any entity or entities within the group, including the foreign operation itself, provided
that all of the requirements of IAS 39 Financial Instruments: Recognition and Measurement are satisfied.
(PDF, English, 257 kB)
The transfers of assets from customers to entities in sectors such as telecoms and utilities has resulted in diversity in the accounting
methods used. This has led the IFRIC to issue Interpretation IFRIC 18 Transfers of Assets from Customers, providing guidance on when
and how to recognise such assets. Entities will need to carefully analyse all the facts and circumstances to assess whether they actually
control the assets in question and whether they need to make changes to their revenue policies, that would, in turn, significantly affect
their future operating results and net asset positions.