SEC's Division of Corporation Finance Updates Its Financial Reporting Manual

by Practical Law Corporate & Securities

Published on 10 Nov 2016 • USA (National/Federal)

The SEC's Division of Corporation Finance updated its Financial Reporting Manual.

On November 9, 2016, the SEC's Division of Corporation Finance published an updated version of its Financial Reporting Manual. The revised manual:

Clarifies guidance on the number of years of financial statements required for a target company in a proxy statement when an emerging growth company (EGC) is involved.
Clarifies the filings required after effectiveness of a Form 10.
Clarifies the effect of a loss of smaller reporting company status on accelerated filer determination and filing due dates.
Contains revisions to reflect May 2016 changes to the Division of Corporation Finance's Compliance and Disclosure Interpretations, Non-GAAP Financial Measures.
Clarifies guidance for EGCs on financial statements of entities other than the registrant and on pro forma information.
Adds guidance relating to the implementation of Accounting Standards Update No. 2014-09, Revenue from Contracts with Customers (Topic 606) (as amended by Accounting Standards Update No. 2015-14) and IFRS 15, Revenue from Contracts with Customers.
Adds guidance relating to the implementation of Accounting Standards Update No. 2016-02, Leases (Topic 842) and IFRS 16, Leases.
Adds guidance relating to the implementation of Accounting Standards Update No. 2015-09, Disclosures About Short-Duration Contracts (Topic 944).

A summary of the revisions appears on page one of the revised manual. The revised sections are marked with the date tag "Last updated: 11/9/2016."

For more information on SEC requirements for financial statement presentation in SEC filings, see Practice Note, Regulation S-X: What Lawyers Need to Know.

SEC's Division of Corporation Finance Updates Its Financial Reporting Manual | Practical Law