SEC reduces reporting requirements for U.S. and foreign registrants.The Securities and Exchange Commission eliminated eight financial schedules for U.S. issuers previously required under regulation S-X S-X Sex . This move is part of an overall initiative by the SEC to reduce the filing burdens for U.S. corporations and attract foreign firms to list their stocks on U.S. markets. "This is an example of the SEC's flexibility and willingness to reassess certain specific requirements," said M. Elizabeth Rader, associate national director of SEC services at Deloitte & Touche in Wilton, Connecticut Wilton is a town in Fairfield County, Connecticut, in the United States. As of the 2000 census, the town population was 17,633. It is one of the most affluent communities in the United States. . "It reduces an administrative reporting burden by eliminating separate disclosures of what is already required by U.S. generally accepted accounting principles The standard accounting rules, regulations, and procedures used by companies in maintaining their financial records. Generally accepted accounting principles (GAAP) provide companies and accountants with a consistent set of guidelines that cover both broad accounting ." Schedules no longer required under S-X regulations include: * Marketable securities Marketable Securities Very liquid securities that can be converted into cash quickly at a reasonable price. Notes: Marketable securities are very liquid as they tend to have maturities less than one year, and the rate at which these securities can be bought or sold has . * Amounts receivable from related parties and underwriters, promoters and employees other than related parties. * Indebtedness of and to related parties. * Property, plant and equipment. * Accumulated depreciation accumulated depreciation The total amount of depreciation that has been recorded for an asset since its date of acquisition. For example, a computer with a 5-year estimated life that was purchased for $2,000 would have accumulated depreciation of $800 [( , depletion and amortization of property, plant and equipment * Guarantees of securities of other issues. * Short-term borrowings. * Supplementary income statement information. The commission also dropped two financial schedules for foreign registrants. In April 1994, the SEC began reducing its reporting requirements for foreign companies by eliminating six financial schedules. These reductions, said Rader, "supported the overall project for the development of uniform international accounting standards." Other initiatives recently adopted by the SEC that reduce reporting burdens for U.S. and foreign companies extend the time periods for updating financial statements, allow foreign registrants more flexibility when selecting reporting currency Reporting Currency The currency used in published reports and financial documents. Notes: All annual and quarterly reports state the currency in which their results are listed. and simplify reconciliation requirements for foreign registrants complying with certain international accounting standards. |
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