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Ernst & Young Monthly News December 2009

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IFRS outlook – November 2009

(PDF, English, 543 kB)

G-20 and the principles for sound compensation — accounting implications for share-based payment transactions / Fair value measurement — EY views / Preparing for 2009 year-end reporting under IFRS / Financial reporting developments / Resources

Related party disclosures - Amendments to IAS 24 – November 2009 (Issue 59, Supplement to IFRS outlook)

(PDF, English, 182 kB)

The IASB has issued a revised version of IAS 24 Related Party Disclosures that clarifies and simplifies the definition of a related party. The revised standard also provides some relief for government-related entities (as defined in the amended standard) to disclose details of all transactions with other government-related entities (as well as with the government itself). In this supplement, we summarize the changes to IAS 24 and highlight the potential implications for businesses.

IASB publishes IFRS 9: Phase 1 of new standard to replace IAS 39 – November 2009 (Issue 60, Supplement to IFRS outlook)

(PDF, English, 896 kB)

The IASB has just published phase 1 of IFRS 9 Financial Instruments, the accounting standard that will eventually replace IAS 39: Financial Instruments: Recognition and Measurement. Phase 1 of the project establishes a new classification and measurement framework for financial assets.

New proposals for financial instruments at amortized cost – November 2009 (Issue 61, Supplement to IFRS outlook)

(PDF, English, 2.19 MB)

The IASB has reached another key milestone of its comprehensive project to replace IAS 39 Financial Instruments: Recognition and Measurement, with the publication of a new Exposure Draft. The ED proposes a new impairment methodology, based on expected credit losses and expected cash flows, for all financial assets measured at amortized cost. It also proposes new guidance on the use of the effective interest rate, which would apply to both financial assets and financial liabilities. In this publication, we provide an overview of the proposals in the ED and discuss the impact this is likely to have on businesses.

Negotiations series: Definition of a business under IFRS 3 revised – November 2009

(PDF, English, 354 kB)

This publication explores the guidance in IFRS 3 around the definition of a business, and applies this to some common transactions in the life sciences, real estate and extractive industries.

Talking SMEs – November 2009

(PDF, English, 667 kB)

We are pleased to present a new series called Talking SMEs. The IASB's aim in developing IFRS for SMEs for small and medium-sized entities was to create a standard that met the needs of entities that do not have public accountability. One in particular, was to lighten the onerous burden of reporting under full IFRS. At the same time, the standard offers an internationally recognized common reporting language for entities that meet the definition of an SME.

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