A flurry of new accounting and reporting standards, tax reform, and a deregulatory push in recent years have all left registered companies trying to navigate a shifting compliance landscape. When it comes to issues like critical audit matters (CAMs) and lease accounting, best practices are still a work in progress. A panel at the upcoming Workiva Amplify 2019 conference in Dallas will offer guidance on some of the biggest challenges of the new environment.
I will be moderating the one-hour session on September 9 at the Gaylord Texan Resort & Convention Center. Joining me on the panel will be:
- Dave Christensen, VP, finance and accounting for RGP;
- Tim Kolber, managing director with Deloitte;
- Claudius B. Modesti, partner with Akin Gump Strauss Hauer & Feld LLP; and
- Matt Waters, director of lease accounting for CoStar Group.
In 2017, the SEC approved the Public Company Accounting Oversight Board (PCAOB)’s new standard requiring auditor reports of public companies to include a narrative section highlighting key issues (CAMs), which arose during their review of a company’s financial statements. (Auditing Standard No. 3101). Among other things, the Intelligize panel will take a look at how companies’ ongoing adaptation to the new CAM rule and any related changes to corporate disclosures or auditing controls might impact investor relations.
One issue sure to receive attention during the session is the framework for the new CAM standard and what stakeholders within a company need to actively engage in the CAM process. The panelists will also no doubt address the types of issues that will most commonly arise in CAMs, and the sectors and industries that are due to face more CAM-related challenges.
Additionally, the panelists will hit on some of the top themes that have emerged from interactions between early adopters of the new lease accounting standard and the Securities and Exchange Commission, including comment letters and staff guidance. The looming implementation of the lease accounting standard has left some companies struggling to adjust to the transition. Notably, issuers are working to determine how the shift will affect balance sheets and financial reporting.
The panel will also explore why the new lease accounting standard is so daunting for reporting companies. And while much of the conversation associated with the new lease accounting standard has zeroed in on new compliance challenges and risks, it won’t be all bad news. The roundtable participants are expected to raise some of the potential benefits and efficiencies that may come from it, sending attendees out with a smile. We encourage you to check out the panel if you are in Dallas next week.