PwC's accounting podcast: Recent Episodes
PwC
Our accounting podcast features PwC specialists discussing today's most compelling accounting, regulatory and financial reporting issues. From the new leases and revenue standards to CECL to LIBOR rate replacement, PwC Partner Heather Horn hosts each episode tackling a single topic and providing listeners with key takeaways to stay informed on these important accounting matters.
Certain non-EU groups may not be in scope of ESRS but will need to comply with new EU reporting standards that are under development now (draft ESRS-40a). Reporting will begin with financial year 2028 for reporting in 2029. This episode examines the proposed scope and reporting choices in the draft 40a standards, including the focus on material impacts and the option to limit certain disclosures to EU-related impacts. We also share insights on steps companies can take now as the standards are being developed.
For more on the proposed EFRS-40a standards, see our publication ESRS-40a—EFRAG proposes standards for non-EU groups.
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guest
Diana Stoltzfus is a partner in PwC’s National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings and policy development, and implementation related to significant new rules and regulations. She is also one of the firm’s technical experts on sustainability reporting. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the OCA’s Professional Practices Group.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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The revised European Sustainability Reporting Standards (ESRS (2026)) introduce significant revisions, simplifications, clarifications, and new reporting reliefs for companies reporting—or preparing to report—under the CSRD. This episode discusses the European Commission’s July 2026 revisions, including changes to the materiality assessment, more flexibility to entities in relation to GHG emissions reporting, anticipated financial effects, and phase-in provisions. It also explains the reporting choices and reliefs available.
For more on the revised ESRS, see our publication ESRS (2026)—a deep dive into the revised standards.
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guests
Katie Woods is a senior director in PwC's Global Corporate Reporting Services - Sustainability group advising on sustainability and international accounting standards. Katie specializes in the new and emerging ESG reporting frameworks working across the PwC network. She has over 30 years of experience working with a broad range of companies.
Katie DeKeizer is a director in PwC’s Corporate Reporting Services team. She works on sustainability reporting under multiple frameworks including ESRS, the IFRS Sustainability Disclosure Standards, and the GHG Protocol. She has experience developing technical guidance and delivering training on sustainability reporting.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
SEC reporting and regulatory developments continue to move quickly. Proposals addressing semiannual reporting, filer status, and registered offerings could significantly affect public company reporting, internal control requirements, and capital-raising transactions, with further SEC rulemaking still expected. We provide an overview of these developments and where they stand, including investor and preparer reactions. We also examine current SEC staff comment letter trends arising from filing reviews.
For a deeper dive into the SEC’s semiannual reporting proposal, listen to our previous podcast episode, SEC semiannual reporting proposal: Cutting quarters, not corners, or read our publication, SEC proposes optional semiannual reporting framework. For more information on other SEC rulemaking discussed in this episode, see SEC proposes major filer status overhaul and SEC registered offering reform: capital raising impacts.
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About our guests
Scott Feely is a PwC National Office Deputy Chief Accountant. He has over 30 years of experience supporting clients as they address the SEC and financial reporting implications of their capital markets and merger and acquisition-related activities.
Lindsay McCord is a PwC National Office partner specializing in matters related to the SEC and the capital markets. Prior to joining PwC, Lindsay spent over 15 years at the SEC, most recently as the Chief Accountant in the Division of Corporation Finance. In this role, Lindsay led an accounting team in providing technical accounting and reporting support to the Division, including SEC rulemaking, interpretation, and guidance.
About our guest host
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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Convertible debt can offer an issuer a lower-cost financing alternative, but the accounting can be complex depending on the instrument’s terms, settlement features, and related transactions. This episode discusses the key accounting models for convertible debt, including bifurcation under ASC 815, the own stock scope exception, substantial premium model, single instrument model, related features such as capped calls and contingent interest, and diluted EPS considerations.
For further guidance on the accounting for this topic, see chapter 6 of PwC’s Financing transactions guide.
This is the final episode in our debt-related miniseries. In case you missed any, listen to our previous episodes:
- Debt restructuring: Accounting for borrowers
- Beyond debt: Accounting for other liability-classified arrangements
- Current or noncurrent? Getting debt classification right
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About our guests
Bret Dooleyis a PwC National Office Deputy Chief Accountant who leads teams focused on the financial services sectors and accounting for financial instruments. He has over 25 years of experience in the financial services, banking, and capital markets industries. Bret focuses on emerging financial reporting issues related to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters.
Chip Currie is a partner in PwC’s National office with 30 years of experience assisting companies in resolving complex business and accounting issues. He concentrates on the accounting for financial instruments under both current and emerging standards and works with many of the firm's largest financial services clients and a number of non-financial services clients on treasury-related matters.
About our guest host
Diana Stoltzfus is a partner in PwC’s National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the OCA’s Professional Practices Group.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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Debt restructuring accounting remains top of mind for borrowers as companies refinance debt that may have been issued in a very different interest rate environment. This episode discusses the accounting models for debt restructurings, including lender-by-lender assessments, modification versus extinguishment outcomes, troubled debt restructurings, fee allocations, and syndicated debt transactions. We break down the key considerations and share insights on navigating common challenges in applying ASC 470 guidance.
For further guidance on the accounting for this topic, see chapter 3 of PwC’s Financing transactions guide. For cash flow presentation, see section 6.8 and for debt presentation and disclosure, see chapter 12of PwC’s Financial statement presentation guide.
This episode is part of our debt-related miniseries. Stay tuned for our final episode next week, and in case you missed them, listen to our previous episodes:
- Beyond debt: Accounting for other liability-classified arrangements
- Current or noncurrent? Getting debt classification right
Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guests
Suzanne Stephani is a director in PwC’s National Office specializing in the statement of cash flows as well as the application and interpretation of the accounting guidance related to financing, leasing, and foreign currency transactions.
Christopher Gerdau is a partner in PwC’s National Office specializing in accounting for financial instruments and banking-related topics. Chris also conducts technical reviews of SEC filings and provides technical support to PwC’s practice offices. Chris’s client service expertise includes the banking, capital markets, and insurance industries.
About our guest host
Diana Stoltzfus is a partner in PwC’s National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the OCA’s Professional Practices Group.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
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Liability classification under US GAAP extends well beyond traditional loans and bonds. In this episode, we discuss common arrangements that may be accounted for as liabilities, including preferred stock, warrants, noncontrolling interests, failed sale transactions, sales of future revenue, and supplier finance programs. We cover liability classification, measurement, and other accounting implications.
For further guidance on this topic, see our Financing transactions guide.
This episode is the second in our debt-related miniseries, so stay tuned for more. In case you missed it, check out our first episode,Current or noncurrent? Getting debt classification right.
Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability standards.
About our guests
Bret Dooley is a PwC National Office Deputy Chief Accountant who leads teams focused on the financial services sectors and accounting for financial instruments. He has over 25 years of experience in the financial services, banking, and capital markets industries. Bret focuses on emerging financial reporting issues related to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters.
Chip Currie is a partner in PwC’s National office with 30 years of experience assisting companies in resolving complex business and accounting issues. He concentrates on the accounting for financial instruments under both current and emerging standards and works with many of the firm's largest financial services clients and a number of non-financial services clients on treasury-related matters.
About our guest host
Diana Stoltzfus is a partner in PwC’s National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the OCA’s Professional Practices Group.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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Debt classification can significantly affect liquidity metrics, covenant compliance, and how stakeholders view a company’s financial position. This episode discusses the accounting guidance for classifying debt as current or noncurrent, including key judgments related to covenant violations, subjective acceleration clauses, refinancing arrangements, revolving credit facilities, and going concern.
For more, see chapter 12 of our Financial statement presentation guide.
Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability standards.
About our guests
Suzanne Stephani is a director in PwC’s National Office specializing in the statement of cash flows as well as the application and interpretation of the accounting guidance related to financing, leasing, and foreign currency transactions.
Christopher Gerdau is a partner in PwC’s National Office specializing in accounting for financial instruments and banking-related topics. Chris also conducts technical reviews of SEC filings and provides technical support to PwC’s practice offices. Chris’s client service expertise includes the banking, capital markets, and insurance industries.
About our guest host
Diana Stoltzfus is a partner in PwC’s National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the OCA’s Professional Practices Group.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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The FASB’s disaggregation of income statement expenses (DISE) guidance requires public business entities to provide significantly more detail about key income statement expense captions beginning in 2027. This episode covers what the new disclosure requirements mean, why implementation may be more complex than expected, and how companies can start preparing their data, systems, processes, controls, and judgments now.
For more on this topic read section 3.11 of PwC’s Financial statement presentation guide and our publication, FASB issues new disaggregated expense disclosure requirements (DISE).
Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability standards.
About our guests
Angela Fergason is a partner in PwC’s National Office. She is an experienced consultant on technical accounting and financial reporting matters, specializing in revenue recognition, employee compensation, and emerging issues impacting the technology industry. Angela is also PwC’s standard setting leader, managing PwC’s strategy for engaging in accounting standard setting activities.
Gary Sardo is a partner in PwC’s Deals practice who advises companies on accounting and financial reporting matters from acquisitions, divestitures, capital raises, and complex deals, particularly in the pharmaceutical and life sciences industry. In this role, Gary also supports companies navigate the implementation of new accounting standards and evolving financial reporting requirements. Recently, Gary completed a tour in PwC’s National Office and a two-year fellowship at the Financial Accounting Standards Board.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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FASB standard setting activity continues full steam ahead in 2026, with projects focused on crypto assets, hedge accounting, liability-versus-equity classification, the statement of cash flows, and other key accounting topics. While the pace of new accounting standards may appear quieter than in recent years, the Board has been actively evaluating stakeholder feedback from its agenda consultation process and advancing projects that could lead to significant future accounting updates. This episode discusses the key themes emerging from that feedback, recent agenda decisions, and other developments companies should monitor.
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About our guest
Brandon Browne is a FASB Practice Fellow focusing primarily on standard setting matters affecting the financial services industry including hedging, current expected credit losses, paid-in-kind dividends, commodities accounting for banks, and others. Prior to his role at the FASB, Brandon was a director in the PwC Assurance practice, mainly supporting multinational companies in the Insurance industry and was also a member of the National Office where he focused on the review of SEC documents.
About our guest host
Angela Fergason is a partner in PwC’s National Office. She is an experienced consultant on technical accounting and financial reporting matters, specializing in revenue recognition, employee compensation, and emerging issues impacting the technology industry. Angela is also PwC’s standard setting leader, managing PwC’s strategy for engaging in accounting standard setting activities.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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In a complex business environment, governance extends well beyond the boardroom. This episode explores how finance leaders can help connect information, risk, strategy, and oversight to support effective decision-making and organizational resilience. Along the way, we discuss practical insights from COSO's corporate governance framework and considerations for building governance structures that are intentional, connected, and fit for purpose.
- 1:13 – Overview of COSO’s corporate governance guidance and why it matters now
- 7:33 – Connecting finance, legal, tax, and other functions
- 10:49 – Information flow, escalation, and effective board oversight
- 18:18 – Governance over AI, technology, and data
- 22:29 – Connecting governance, risk, and internal controls
For more information, see COSO’s Corporate Governance: Guiding Principles for Board Oversight, a publication developed in collaboration with PwC.
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About our guests
Matt DiGuiseppe is a managing director in PwC’s Governance Insights Center, which helps stakeholders navigate the evolving governance landscape. Matt has participated in numerous industry groups and was the founding chairperson of the Investor Stewardship Group (ISG), which advanced a set of corporate governance and stewardship principles for the US market.
Carin Robinson is a director in PwC’s Governance Insights Center. With over 20 years of corporate governance experience, she advises on governance strategy, board composition and recruitment, board operations, succession planning, director development, and board relations.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com.
The GHG Protocol continues to evolve as companies prepare for expanding climate reporting requirements under the California SB 253 law, ESRS, and ISSB standards. In this episode, we discuss the Scope 2 consultation, the Land Sector and Removals Guidance, and the new Actions and Market Instruments Request for Feedback and White Paper, along with related implementation and reporting challenges.
For more information, see our In brief, GHG Protocol publishes Land Sector and Removals Standard.
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability standards.
About our guests
Colin Powell is PwC Canada’s Technical Net Zero Leader. His work focuses on GHG quantification, life cycle assessment across many impact categories, GHG target setting, and developing decarbonization strategies. He has supported companies in quantifying over 1 billion tonnes of GHG emissions and worked previously as a consultant supporting global clients to understand their GHG emissions and how they can decarbonize. Colin sits on the GHG Protocol’s Scope 3 Technical Working Group, helping to shape the revision of the global standards used to account for GHG emissions. Colin is also a Professional Engineer (Ontario) and holds a PhD in wastewater treatment modeling.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com.
The SEC’s proposal to allow optional semiannual reporting could significantly reshape public company reporting obligations and investor communications. SEC Division of Corporation Finance Director Jim Moloney joins the podcast to discuss what the proposal would change, why the SEC is considering the shift now, and the potential implications for companies, investors, and the public markets.
For more on the SEC’s proposal, read our In brief,SEC proposes optional semiannual reporting framework.
Hear more from Jim Moloney on the Material Matters podcast episode, Director Jim Moloney: Let the Free Markets be Free, where he discusses the future of SEC disclosure rules, public company reporting requirements, and the growing need to modernize decades-old regulatory frameworks.
About our guests
Jim Moloney is the Director of the Division of Corporation Finance at the U.S. Securities and Exchange Commission. Before returning to the SEC, he spent 25 years at Gibson Dunn & Crutcher, where he co-chaired the firm’s securities regulation and corporate governance practice and advised clients on corporate governance matters, disclosure rules, mergers & acquisitions, tender offers, proxy contests, and going-private transactions, among other areas.
John Vanosdall is a partner in PwC’s National Office focused on digital assets, revenue, and compensation arrangements. John previously served as both a Deputy Chief Accountant and Professional Accounting Fellow in the Office of the Chief Accountant at the SEC. Prior to re-joining the National Office, he served as the firm’s Accounting Advisory Leader. John has over 20 years of experience and has served some of the firm’s largest clients as a client service partner.
About our guest host
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com.
Reporting in accordance with the IFRS® Sustainability Disclosure Standards issued by the International Sustainability Standards Board (ISSB) continues to evolve as financial institutions navigate implementation challenges related to materiality, anticipated financial impacts, and data quality. In this episode, we share findings from our recent survey with the Institute of International Finance (IIF) of 24 global financial institutions on how firms are adopting the ISSB disclosure standards and discuss practical implementation insights with sustainability leaders from J.P. Morgan Chase and Citi.
For more information on the ISSB standards, see our publications:
- ISSB takes hold: Six key insights from the PwC-IIF financial institutions survey
- ISSB continues enhancing SASB Standards with proposed amendments to three additional standards and IFRS S2 industry-based guidance
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability standards.
About our guests
Linda French is Global Head of Sustainability Policy & Regulation for J.P. Morgan Chase, based in Washington, DC. Linda leads the firm’s engagement globally on sustainability-related financial policy and regulation.
Prior to joining J.P. Morgan Chase, Linda led the Investment Company Institute’s (ICI) global engagement on policy issues related to sustainable finance and ESG investing. Linda has also worked in private law practice, at the US Securities and Exchange Commission (SEC), and in the asset management industry.
Tim Adamson is a Sustainability, Risk, and Finance executive with over 20 years of experience shaping strategy and disclosure at leading financial institutions.
In his current role as Chief of Staff to the Chief Sustainability Officer at Citi, Tim is at the forefront of developing and implementing sustainability reporting frameworks. He has extensive experience leading the creation of sustainability-related regulatory disclosures, partnering across Finance, Legal, Risk, and Technology to build scalable processes for governance, data collection, and assurance.
About our guest host
David Challen is a partner in PwC’s sustainability practice. He has over 17 years of experience in public accounting, performing audit-related services to public companies, broker-dealers, swap dealers, and not-for-profit entities. David has led large and mid-sized audit teams for banking and capital market clients for audits of financial statements, internal controls over financial reporting, and examination and review procedures for broker dealers.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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International Financial Reporting Standards (IFRS) are being shaped by a rapidly evolving global environment, including geopolitical conflicts, changing tariff policies, and increasingly complex private capital and artificial intelligence transactions. In this episode, we discuss the key accounting implications of these developments, including impacts on financial instruments and impairment assessments. We also cover new and amended IFRS Accounting Standards effective in 2026 and 2027—such as updates to IFRS 9 and the introduction of IFRS 18—and highlight ongoing standard setting projects that may affect future reporting.
Also check out our In depth,Accounting implications of geopolitical conflicts.
About our guests
Martin Boucher is the corporate accounting topic team leader in PwC’s Global Assurance Quality - Corporate Reporting Services group. Martin has over 25 years of financial accounting experience, and as the corporate accounting topic team leader, he leads the development of PwC’s global view on a variety of financial reporting matters, drives quality and connectivity throughout the PwC network, and helps local teams solve complex accounting issues in a practical way.
Gerda Burger is a director in PwC’s Global Assurance Quality - Corporate Reporting Services group. She has over 20 years of experience in accounting technical and auditing in the UK, US, and South Africa. Over the last 7 years she has worked in PwC’s Global Assurance Quality team responsible for corporate reporting and assurance methodology.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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Foreign Entity of Concern, or FEOC, rules and energy tax credits are reshaping how companies evaluate eligibility and structure investments across the energy sector. In this episode, we explore how the foreign entity of concern framework—introduced under the One Big Beautiful Bill Act—applies at both the taxpayer and project level across the energy sector. We cover recent IRS and Treasury guidance and highlight practical challenges related to supply chain tracing, compliance, and financing.
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability standards.
About our guest
Jennifer Bernardini is a managing director in our Specialized Tax Services Washington National Tax Services Federal Tax Services practice with a primary focus on energy resilience and sustainability taxation matters. Jennifer has over 20 years of experience in energy tax law and policy. Prior to joining PwC, Jennifer served for over 20 years in the US Treasury Department. Jennifer's practice focuses on tax issues related to renewable energy, regulated utilities, natural resources, and manufacturing. In recent years, Jennifer was heavily involved in the drafting of Inflation Reduction Act (IRA) credit guidance and provided technical assistance to the drafters of the One Big Beautiful Bill Act (OB3).
About our guest host
Diana Stoltzfus is a sustainability partner in the Professional Practice Group within the National Office. Diana helps to shape our firm’s perspective on regulatory matters, responses to rulemakings, and policy development and implementation related to significant new rules and regulations. Diana was previously the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) of the Professional Practice Group in the OCA at the SEC. She focused on providing guidance related to auditing, independence, and internal controls.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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Government grant accounting under US GAAP is evolving with ASU 2025-10. This episode explores the updated model, including scoping, recognition and measurement, and the distinction between asset and income grants. We also cover presentation and disclosure requirements, along with practical considerations for adoption of this new FASB guidance.
For more information, read our In depth, FASB issues guidance on accounting for government grants.
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About our guest
Angela Fergason is a partner and standard setting leader in PwC's National Office who specializes in accounting for revenue and employee compensation arrangements, among other related topics.
About our guest host
Pat Durbin is a PwC National Office Deputy Chief Accountant. He has over 30 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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The OECD’s January 2026 Administrative Guidance on Pillar Two introduces new safe harbor provisions that could significantly affect how US multinationals are taxed globally. This episode breaks down the key provisions and their accounting and financial reporting implications.
In this episode, we discuss:
- 1:13 – Background on Pillar Two and core concepts
- 6:57 – Overview of the OECD Administrative Guidance
- 17:10 – Criteria for the Side-by-Side Safe Harbor
- 21:46 – Ultimate Parent Entity Safe Harbor overview
- 25:25 – Key accounting and financial reporting considerations
- 33:21 – Extension of the Country-by-Country Safe Harbor
- 35:15 – Final reminders and key takeaways
For more information on accounting for Pillar Two, read our In depths, OECD Pillar Two: Time to act on the global minimum tax and Accounting for Pillar Two: Frequently asked questions. Also, check out our Income taxes guide for additional background on existing guidance.
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guests
Pat Brown is PwC’s National Tax Office Co-Leader. Prior to joining PwC, he spent 16 years in the private sector, including as the director of tax policy for a Fortune 50 company. Pat has also served in the US Treasury’s Office of Tax Policy as an attorney-advisor and as Associate International Tax Counsel.
Jennifer Spang is PwC’s National Office income tax accounting leader, specializing in tax accounting under US GAAP and IFRS. She has over 30 years of experience helping companies in a variety of industries navigate complex tax accounting matters.
About our guest host
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
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The US public policy landscape continues to evolve and impact US and global businesses. We cover key developments in Washington, D.C., including tariffs, AI, and other areas as well as at the SEC and PCAOB, along with what it all means for financial reporting and strategic decision-making.
In this episode, we discuss:
- 1:04 – Overview of the 2026 public policy environment and business implications
- 4:17 – Affordability challenges and limits of policy solutions
- 9:35 – Tariff strategy shifts and ongoing uncertainty for businesses
- 13:43 – SEC and PCAOB priorities and leadership changes
- 27:51 – INVEST Act and the outlook for capital formation
- 31:06 – AI governance and the fragmented state and federal approach
- 36:48 – Key takeaways and what businesses should monitor in 2026
For more on tariffs, listen to our recent episode, Tariff uncertainty: Business and financial reporting impacts. Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guests
Roz Brooks is PwC's US Public Policy Leader. Roz is responsible for ensuring PwC has a voice in important debates at the nexus of business and government and helping the firm successfully execute its business strategy. Roz leads PwC’s engagement with Congress, the White House, regulatory agencies, state and local governments, and organizations including trade associations, think tanks, and NGOs.
Michael O’Brien is a PwC Director in the Office of Government, Regulatory Affairs & Public Policy. Michael represents the firm and its interests before Congress, the Executive Branch and federal regulatory agencies. He has advocated on the firm's behalf on matters including the implementation of Sarbanes-Oxley and Dodd-Frank, state and federal taxation matters, IFRS, litigation reform, and the competitiveness of the U.S. capital markets. Besides assisting in general lobbying activities, Michael has researched and developed periodic political analyses and strategies for firm distribution.
About our guest host
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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ASU 2025-07, Derivatives Scope Refinements and Scope Clarification for Share-Based Noncash Consideration from a Customer in a Revenue Contract, is new FASB guidance that adds a derivative scope exception and clarifies the boundary between revenue and financial instruments guidance for share-based non-cash consideration from customers.
In this episode, we discuss:
- 2:39 – New derivative scope exception for contracts tied to operations
- 11:05 – Applying revenue versus financial instruments guidance
- 14:55 – Examples illustrating application of the share-based consideration guidance
- 22:59 – Effective date, transition, and adoption considerations
For more information, read our In depth, FASB issues new standard on derivative and revenue scoping and check out chapter 3 of our Derivatives and hedging guide.
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guest
Bret Dooley is a PwC National Office Deputy Chief Accountant who leads teams focused on the financial services sectors and accounting for financial instruments. He has over 25 years of experience in the financial services, banking, and capital markets industries. Bret focuses on emerging financial reporting issues related to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters.
Angela Fergason is a partner and standard setting leader in PwC's National Office who specializes in accounting for revenue and employee compensation arrangements. She also consults on a range of financial reporting issues impacting technology companies.
About our guest host
Diana Stoltzfus is a partner in PwC’s National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the OCA’s Professional Practices Group.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
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In this episode, we explore the FASB’s latest hedge accounting guidance and what the changes mean for a company’s risk management strategies. We also preview what’s ahead for hedging on the FASB’s standard setting agenda.
In this episode, we discuss:
- 0:46 – Overview of recent hedge accounting updates
- 4:24 – New choose-your-rate debt hedge accounting model
- 10:09 – Updates affecting purchases and sales of nonfinancial assets
- 21:09 – What’s ahead on the FASB’s hedge accounting agenda
- 30:23 – Adoption considerations and transition opportunities
For more information, read our In depth, FASB issues hedge accounting improvements, and check out our Derivatives and hedging guide for additional background on existing guidance.
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guests
Chip Currie is a partner in PwC’s National office with 30 years of experience assisting companies in resolving complex business and accounting issues. He concentrates on the accounting for financial instruments under both current and emerging standards and works with many of the firm's largest financial services clients and a number of non-financial services clients on treasury-related matters.
Nick Milone is a partner in PwC’s Financial Markets & Real Estate practice. He advises companies on current accounting issues, developments, and the application of accounting standards. Nick provides accounting advisory services to many of PwC’s clients on structured transactions, derivatives and hedging activities, transfers of financial assets, securitizations, financings, investments, valuation, and other issues.
About our guest host
Diana Stoltzfus is a partner in PwC’s National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the OCA’s Professional Practices Group.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com.
In this episode, we explore the latest on potential GHG Protocol revisions, including revisiting proposed changes to the Scope 3 Standard and how key decisions are taking shape in the process. We discuss updates to organizational boundaries, materiality thresholds, and new scope 3 categories plus the potential implications of the newly released land sector and removals standard.
In this episode, we discuss:
- 1:43 – Key updates on the Corporate Standard and Scope 3 Standard revision process
- 12:19 – The introduction of Category 16 (Other value chain emissions) and related challenges
- 17:09 – Minimum boundaries and expanding expectations for value chain emissions
- 21:15 – Scope 3 data quality, disaggregation, and disclosure proposals
- 26:01 – Scope 3 category 15 (Investments) and alignment with PCAF methodologies
- 30:21 – Clarifying scope 3 category 10 (Processing of sold products) and category 11 (Use of sold products)
- 36:21 – Actions and Markets Technical Working Group progress and “book and claim” concepts
- 39:11 – Newly-issued Land Sector and Removals Standard and implementation considerations
- 46:17 – Timeline and practical guidance for companies preparing for change
For more on the GHG Protocol, see our publications:
- PwC shares feedback on GHG Protocol Scope 2 Guidance amendments
- GHG Protocol announces Scope 2 Public Consultation
- GHG Protocol publishes Land Sector and Removals Standard
About our guest
Colin Powell is PwC Canada’s Technical Net Zero Leader. His work focuses on GHG quantification, life cycle assessment across many impact categories, GHG target setting, and developing decarbonization strategies. He has supported companies in quantifying over 1 billion tonnes of GHG emissions and worked previously as a consultant supporting global clients to understand their GHG emissions and how they can decarbonize. Colin sits on the GHG Protocol’s Scope 3 Technical Working Group, helping to shape the revision of the global standards used to account for GHG emissions. Colin is also a Professional Engineer (Ontario) and holds a PhD in wastewater treatment modeling.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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The US tariff landscape shifted again following the Supreme Court’s decision invalidating tariffs imposed under the International Emergency Economic Powers Act (IEEPA). In this episode, we discuss what the ruling means for importers, including potential refunds, accounting and financial reporting considerations, compliance challenges, and the continued use of other tariff authorities.
In this episode, we discuss:
- 1:29 The current tariff landscape and the Supreme Court’s IEEPA ruling
- 6:57 Practical steps companies can take now
- 8:56 Accounting for potential tariff refunds
- 13:11 Operational, administrative, and compliance challenges
- 17:42 Downstream accounting impacts for customers and suppliers
- 20:50 New Section 122 tariffs and other tariff authorities still in effect
- 25:27 Tariff mitigation strategies, including drawback and supply chain planning
For more, read our In depth, Accounting implications of tariffs.
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guest
Sharon Martin is a principal with PwC’s Customs and International Trade practice with extensive experience advising clients on both trade compliance and strategic planning related projects. Sharon has worked with clients in a variety of industries providing strategic advice on customs advisory, risk mitigation, and duty planning.
About our guest host
Pat Durbin is a Deputy Chief Accountant in PwC’s National Office. He has over 30 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com.
The GHG Protocol’s proposed updates to its guidance on scope 2 emissions introduce significant changes, including hourly matching, revised market-based accounting rules, and more granular emissions data requirements. In this episode, we break down the key proposals, PwC’s perspective on feasibility and interoperability, and what companies should be considering as the guidance evolves.
In this episode, we discuss:
- 1:45 – Overview of the Scope 2 consultation and the themes of proposed updates and views
- 14:04 – Data availability challenges: hourly utility data gaps and lack of granular emission factors
- 20:08 – Geographic market restrictions and renewable procurement impacts
- 31:00 – International Organization for Standardization relationship, timeline shifts, and what companies can do now
For more on the GHG Protocol, see our publications:
- PwC shares feedback on GHG Protocol Scope 2 Guidance amendments
- GHG Protocol announces Scope 2 Public Consultation
- GHG Protocol publishes Land Sector and Removals Standard
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability standards.
About our guest
Colin Powell is PwC Canada’s Technical Net Zero Leader. His work focuses on GHG quantification, life cycle assessment across many impact categories, GHG target setting, and developing decarbonization strategies. He has supported companies in quantifying over 1 billion tonnes of GHG emissions and worked previously as a consultant supporting global clients to understand their GHG emissions and how they can decarbonize. Colin sits on the GHG Protocol’s Scope 3 Technical Working Group, helping to shape the revision of the global standards used to account for GHG emissions. Colin is also a Professional Engineer (Ontario) and holds a PhD in wastewater treatment modeling.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com.
Energy demand is rising at a pace few anticipated, driven by AI, data centers, electrification, and industrial growth. In this episode, host Heather Horn speaks with Gayle Miller, Head of Strategic Investor Engagement for Brookfield’s Global Client Group and Senior Advisor to its Renewable Power & Transition business, about what an “all-of-the-above” energy strategy looks like in practice—and how investors are evaluating risk, value, and sustainability reporting in this new era of energy security.
In this episode, we discuss:
- 3:59 – The forces influencing energy demand to accelerate
- 6:28 – What an “all-of-the-above” energy strategy means in practice
- 12:04 – How utilities, hyperscalers, and investors are working together to secure power
- 16:49 – Grid constraints, demand smoothing, and AI-enabled optimization
- 22:40 – The evolving energy mix: renewables, storage, gas and nuclear
- 36:48 – Cap-and-trade, renewable standards, and emissions policy tools
- 42:20 – Corporate climate commitments and the role of sustainability reporting
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability standards.
About our guest
Gayle Miller is Head of Strategic Investor Engagement for Brookfield’s Global Client Group and a Senior Advisor to the Renewable Power & Transition business. In this role, she oversees critical touchpoints and programs tailored for institutional clients and continues to advise on the energy transition.
Prior to joining Brookfield in 2024, Ms. Miller was chief deputy of policy to the California Department of Finance and senior counselor on infrastructure and clean energy finance to the Governor, where she championed the state's landmark clean energy agenda. She previously was vice chair of the investment committee for the California Teachers’ Retirement System and served as an advisor to the Governor for the California Public Employee Retirement System.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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On February 24, the Council of the European Union officially adopted the ‘Omnibus’ directive. Key aspects of the ‘Omnibus’ directive include changes to the scope of entities subject to the Corporate Sustainability Reporting Directive (CSRD) and the Corporate Sustainability Due Diligence Directive (CSDDD) as well as guidance on simplified European Sustainability Reporting Standards (ESRS), sector guidance, assurance standards, and value chain reporting.
This approval and other recent milestones in the EU legislative process and standard setting efforts are shaping the next phase of sustainability reporting. In this episode, we provide an update on the Omnibus package and discuss the latest developments in the proposed revisions to the ESRS. We explore what is expected to be finalized soon, where there is still opportunity for change, and the key implications for companies preparing for upcoming reporting requirements.
In this episode, we discuss:
- 2:48 – Updated scope and timing requirements for EU and non-EU entities
- 11:14 – Streamlined general disclosure requirements and cross-cutting changes
- 14:31 – Changes to double materiality and flexibility in the assessment process
- 17:34 – Clarifications on mitigation, remediation, and assessing impacts
- 22:54 – Reporting boundary updates, including the impact of leased assets and GHG emissions
- 27:51 – New reliefs: reasonable and supportable information, acquisitions and disposals, and metric flexibility
- 36:07 – What’s next in the European Commission process and how companies can prepare now
Looking for more on sustainability reporting?
- Read PwC’s Sustainability reporting guide
- Check out other episodes in our sustainability reporting podcast series
About our guest
Diana Stoltzfus is a sustainability partner in the Professional Practice Group within the National Office. Diana helps to shape our firm’s perspective on regulatory matters, responses to rulemakings, and policy development and implementation related to significant new rules and regulations. Diana was previously the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) of the Professional Practice Group in the OCA at the SEC. She focused on providing guidance related to auditing, independence, and internal controls.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
California’s climate disclosure laws are entering a critical phase as key compliance deadlines approach. SB 253 (the Climate Corporate Data Accountability Act) requires companies to report greenhouse gas (GHG) emissions in accordance with the Greenhouse Gas Protocol, while SB 261 (Greenhouse gases: climate-related financial risk) mandates disclosure of climate-related financial risks aligned with the Task Force on Climate-related Financial Disclosures (TCFD) or an equivalent framework. Although SB 261 is currently on hold due to litigation, companies should continue preparing. In this episode, we break down the latest developments from the California Air and Resources Board (CARB), what companies need to report in 2026, and how to prepare amid ongoing regulatory and legal uncertainty.
In this episode, we discuss the latest developments from the California Air Resources Board (CARB), 2026 reporting requirements, and how to navigate ongoing regulatory and legal uncertainty. In this episode, we break down the latest developments from the California Air and Resources Board (CARB), what companies need to report in 2026, and how to prepare amid ongoing regulatory and legal uncertainty.
In this episode, we discuss:
- 2:50 Deadline for SB 253 (GHG) reporting
- 4:39 Reporting requirements for SB 253
- 13:21 Deadline for SB 261 (climate risk) reporting
- 16:52 Reporting requirements for SB 261
- 20:43 What to expect from CARB in 2026
- 24:20 Applicability considerations and key exemptions
For more on the California sustainability laws, read our In depth, California climate reporting–SB 253 and SB 261 explained.
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability standards.
About our guest
Logan Redlin is a director in PwC’s National Office who is focused on thought leadership strategy and content development related to accounting and financial reporting, sustainability reporting, and standard setting. Prior to this role, Logan spent 15 years in the audit practice, serving both public and private companies with a primary focus on asset management and real estate.
About our guest host
Diana Stoltzfus is a sustainability partner in the Professional Practice Group within the National Office. Diana helps to shape our firm’s perspective on regulatory matters, responses to rulemakings, and policy development and implementation related to significant new rules and regulations. Diana was previously the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) of the Professional Practice Group in the OCA at the SEC. She focused on providing guidance related to auditing, independence, and internal controls.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com.
It’s that time of year, with many focused on year-end reporting. After wrapping up our Year-end toolkit series, we revisit another set of conversations that are especially relevant right now. We’re re-releasing the kickoff episode from our SEC now series.
This first episode sets the stage with an overview of current developments shaping SEC reporting. Our guests unpack recent leadership changes, the evolving rulemaking agenda, reporting themes, and key trends in SEC comment letters.
In this episode, we discuss:
- 1:59 – SEC leadership updates
- 7:28 – Rulemaking agenda and expected priorities
- 14:25 – Rulemaking challenges: staff capacity and shutdown constraints
- 16:57 – SEC comment letter themes and focus areas
For more on this topic listen to the other episodes in our SEC now and Inside SEC reporting series.
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guests
Scott Feely is a PwC National Office Deputy Chief Accountant. He has over 30 years of experience supporting clients as they address the SEC and financial reporting implications of their capital markets and merger and acquisition-related activities.
Lindsay McCord is a PwC National Office partner specializing in matters related to the SEC and the capital markets. Prior to joining PwC, Lindsay spent over 15 years at the SEC, most recently as the Chief Accountant in the Division of Corporation Finance. In this role, Lindsay led an accounting team in providing technical accounting and reporting support to the Division, including SEC rulemaking, interpretation, and guidance.
About our guest host
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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It’s that time of year, with many focused on year-end reporting. After wrapping up our Year-end toolkit series last week, we revisit another set of conversations that are especially relevant right now. We’re re-releasing the kickoff episode from last year’s Reporting reset series.
This first episode sets the stage for the series by covering foundational reporting principles, key disclosure considerations, notable differences between public and private company financial statements, and accounting changes and error corrections. Links are provided to other episodes in this presentation and disclosure series.
In this episode, we discuss:
- 1:25 – Foundational GAAP and SEC requirements for financial statement presentation
- 3:09 – Determining appropriate reporting periods
- 5:25 – Balance sheet presentation: classification, required disclosures, and best practices
- 11:44 – Income statement presentation: structure and key considerations
- 21:31 – Accounting changes, estimates, and error corrections
- 29:53 – Subsequent events: recognition and disclosure
For more on this topic read the following chapters in our Financial statement presentation guide:
- Chapter 1: General presentation and disclosure requirements
- Chapter 2: Balance sheet
- Chapter 3: Income statement
- Chapter 28: Subsequent events
- Chapter 30: Accounting changes
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guest
Pat Durbin is a PwC National Office Deputy Chief Accountant. He has over 30 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.
About our guest host
Diana Stoltzfus is a partner in PwC’s National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the OCA’s Professional Practices Group.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
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We continue our year-end toolkit series with insights on key areas of the year-end accounting and reporting process. Today’s episode focuses on the finance team’s engagement with the audit committee, which faces a packed agenda and expanding oversight responsibilities. We explore how management can strengthen collaboration with those charged with governance, streamline reporting, and address emerging issues such as AI, enterprise risk management, and transformation initiatives.
In this episode, we discuss:
- 1:18 – Strengthening management/audit committee communication and collaboration
- 10:10 – Key year-end issues finance teams should be prepared to address
- 15:02 – Oversight of AI: risks, opportunities, and controls
- 21:33 – Enhancing enterprise risk oversight
- 27:35 – Navigating the evolving cyber risk landscape in the age of AI
- 36:05 – Elevating proxy disclosures
For more, watch the replay of our Year-end audit committee webcast and read our publication, Your year-end audit committee guide.
In case you missed it, check out the previous episode in this year-end miniseries:
- Year-end toolkit: Accounting and reporting reminders for 2026
- Year-end toolkit: Materiality assessments
- Year-end toolkit: Cash flow classification
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guest
Stephen Parker is a partner in PwC’s Governance Insights Center, which strives to strengthen the connection between directors, executive teams, and investors by helping them navigate the evolving governance landscape. With more than 30 years of experience, Stephen has advised boards of directors on a variety of complex financial reporting matters. Stephen’s client service experience includes energy and utility companies, financial services companies, and nonprofits.
About our guest host
Diana Stoltzfus is a partner in PwC’s National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the OCA’s Professional Practices Group.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
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We continue our year-end toolkit series sharing insights on key areas of the year-end accounting and reporting process. In this episode, we focus on the statement of cash flows—an area that remains critical to investors and continues to get focus from regulators. We discuss recent SEC comment letter observations, practical considerations for complex transactions such as debt restructurings, payment processing arrangements, and business combinations; we also highlight reminders and best practices to help companies navigate year-end reporting.
In this episode, we discuss:
- 1:05 – Overview of the statement of cash flows and key reminders
- 3:46 – SEC comment letter themes
- 7:52 – Debt restructurings
- 15:21 – Payment processing arrangements
- 20:27 – Business combinations
- 32:56 – FASB project on targeted improvements to the statement of cash flows
For more on the statement of cash flows, see Chapter 6 of our Financial statement presentation guide.
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guests
Suzanne Stephani is a director in PwC’s National Office specializing in the statement of cash flows as well as the application and interpretation of the accounting guidance related to financing, leasing, and foreign currency transactions.
Christopher Gerdau is a partner in PwC’s National Office specializing in accounting for financial instruments and banking-related topics. Chris also conducts technical reviews of SEC filings and provides technical support to PwC’s practice offices. Chris’s client service expertise includes the banking, capital markets, and insurance industries.
About our guest host
Diana Stoltzfus is a partner in the National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the OCA’s Professional Practices Group.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
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As signs of market stabilization emerge, companies are reassessing their deal strategies for 2026. In this episode, we explore IPO and M&A trends, the influence of AI and macroeconomic shifts, and the steps finance teams can take now to be ready for what’s next.
In this episode, we discuss:
- 3:35 – Where the deals market stands today
- 9:38 – Deals outlook for 2026
- 17:35 – Expected IPOs and financing trends for 2026
- 25:28 – What finance leaders and teams can do now to prepare
For more read our publications, US Capital Markets 2026 Outlook—IPO markets look primed to accelerate in 2026 and The next wave of M&A: Bigger and bolder deals driven by AI and private equity—US Deals 2026 outlook. Also, be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guest
Mike Bellin is a PwC Deals partner who leads PwC’s US Capital Markets practice. Mike advises clients on accessing the debt and equity capital markets by providing clients with technical/project management advice on complex accounting and financial reporting issues associated with the SEC registration process, IPOs, direct listings, SPAC mergers, 144A debt and equity offerings, divestitures, spinoffs and carve-outs, and GAAP conversions.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
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In this episode, we share key insights and reminders on navigating materiality judgments. We revisit the fundamentals of SAB 99, explore how to apply both quantitative and qualitative considerations, address identified errors, and more.
In this episode, we discuss:
- 3:53 – The framework for assessing materiality and errors in financial statements
- 8:51 – Addressing identified errors
- 15:01 – Reassessing materiality amid economic and other changes
- 19:48 – Trends in reporting errors, including cash flow statement impacts
- 23:09 – Fraud and illegal acts
In case you missed it, check out the previous episode in this year-end miniseries, Year-end toolkit: Accounting and reporting reminders for 2026.
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guest
Michael Mullen is PwC’s US Assurance Quality Management leader. In this role, he oversees complex client issues, providing technical insights and expertise in support of overall quality. With over 35 years of client service experience, Michael has led numerous global client engagements.
About our guest host
Diana Stoltzfus is a partner in the National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the OCA’s Professional Practices Group.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
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This episode explores key accounting and reporting considerations for year-end financial reporting. Technical leaders from our National Office share reminders and timely insights across a range of topics, including tariffs, income taxes, held-for-sale accounting, and other emerging issues–topics that are relevant for all finance teams, even if it’s not year-end close time.
In this episode, we discuss:
- 1:52 – AI mega-deal structuring and related accounting and reporting complexities
- 11:30 – Equity method accounting considerations and related disclosures
- 15:58 – Tariffs and trade considerations, including inventory impacts
- 21:38 – Crypto asset accounting models and new FASB guidance
- 25:16 – Accounting and reporting for private credit transactions
- 33:00 – Tax reform developments and income tax accounting
- 40:00 – New ASUs related to derivatives and hedge accounting
- 42:52 – Held-for-sale accounting
- 46:00 – OECD Pillar 2 and global tax
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About our guests
Bret Dooley is a PwC National Office Deputy Chief Accountant who leads teams focused on the financial services sectors and accounting for financial instruments. He has over 25 years of experience in the financial services, banking, and capital markets industries. Bret focuses on emerging financial reporting issues related to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters.
Pat Durbin is a PwC National Office Deputy Chief Accountant. He has over 30 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.
Beth Paul is a PwC National Office Deputy Chief Accountant responsible for a team of consultants that specialize in business combinations and related areas, such as consolidations, disposals, impairments, and segment reporting. She has over 30 years of experience consulting with clients and engagement teams on complex accounting matters.
About our guest host
Tom Barbieri is PwC’s US Chief Accountant. He has over 30 years of experience advising large financial services and multinational corporations on complex accounting issues. Tom leads the Accounting & SEC Services Group within the National Office, which is focused on supporting our clients and engagement teams in navigating complex technical accounting and financial reporting matters. He is also a member of the Financial Accounting Standards Advisory Council.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
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In this final episode of our SEC-focused series, we discuss SEC comments on revenue. Revenue is the top line for a reason; it’s closely watched by investors and therefore the SEC staff as well. From performance obligations to disaggregated revenue disclosures, we discuss the issues most frequently raised by the SEC staff and offer advice to preparers for getting it right the first time.
In this episode, we discuss:
- 1:34 – An overview of SEC comment letter trends related to revenue
- 6:22 – Performance obligations
- 10:48 – Variable consideration
- 17:07 – Principal versus agent considerations
- 26:00 – Disaggregated revenue disclosures
In case you missed it, check out the previous episodes in this SEC-focused series:
- SEC now: MD&A 2025 comment letter trends
- SEC now: Segments 2025 comment letter trends
- SEC now: 2025 comment letter trends on transactions
- SEC now: Non-GAAP 2025 comment letter trends
- SEC now: Today’s landscape and recent developments
For more on the SEC, listen to our recent episodes:
- Key takeaways from the AICPA & CIMA Conference
- SEC to revisit quarterly reporting: Pros, cons, and what’s ahead
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guests
Mike Coleman is a partner in PwC's National Office who specializes in accounting for revenue and software arrangements and has served technology clients for much of his career. In addition, Mike has represented the firm on the AICPA Software Task Force.
Ryan Spencer is a partner at PwC's National Office specializing in SEC reporting matters both for US domestic issuers and some of the world’s largest foreign SEC registrants. He has over 25 years of experience serving clients and is a frequent contributor to PwC’s publications and communications.
About our guest host
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
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We continue our SEC-focused series with a discussion of management’s discussion and analysis (MD&A), a topic that remains a consistent focus in SEC staff comment letters. In this episode, we explore the latest trends, common themes, and areas of emphasis—including results of operations, liquidity, and critical accounting estimates—and share practical considerations as companies prepare year-end filings.
In this episode, we discuss:
- 1:31 – An overview of SEC comment letter trends related to MD&A
- 6:43 – The results of operations
- 25:16 – Liquidity and capital resources
- 28:30 – Critical accounting estimates
- 35:24 – Final reminders and best practices related to MD&A
In case you missed it, check out the previous episodes in this SEC-focused series:
- SEC now: Segments 2025 comment letter trends
- SEC now: 2025 comment letter trends on transactions
- SEC now: Non-GAAP 2025 comment letter trends
- SEC now: Today’s landscape and recent developments
For more on the SEC, listen to our recent episodes:
- Key takeaways from the AICPA & CIMA Conference
- SEC to revisit quarterly reporting: Pros, cons, and what’s ahead
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guests
Lindsay McCord is a PwC National Office partner specializing in matters related to the SEC and the capital markets. Prior to joining PwC, Lindsay spent over 15 years at the SEC, most recently as the Chief Accountant in the Division of Corporation Finance. In this role, Lindsay led an accounting team in providing technical accounting and reporting support to the Division, including SEC rulemaking, interpretation, and guidance.
Ryan Spencer is a partner at PwC's National Office specializing in SEC reporting matters both for US domestic issuers and some of the world’s largest foreign SEC registrants. He has over 25 years of experience serving clients and is a frequent contributor to PwC’s publications.
About our guest host
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
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In this episode, we debrief the 2025 AICPA Conference in Washington, DC, highlighting key takeaways including perspectives from SEC Chairman Paul Atkins and other regulatory leaders. Topics include the SEC’s rulemaking priorities for 2026, trends in capital formation, and emerging issues such as AI and cryptocurrency. We also explore practical reminders for year-end reporting and insights into international standard setting collaboration.
In this episode, we discuss:
- 6:42 – SEC Chair keynote: “Making IPOs great again”
- 12:51 – Emerging issues: AI, crypto, and international standard setting
- 25:08 – SEC shutdown impacts and capital markets backlog
- 32:06 – Rulemaking outlook and year-end reminders
- 47:08 – PCAOB oversight, inspections, and audit standard~~-~~setting themes
For more, read our In depth, 2025 AICPA & CIMA Conference: Current SEC and PCAOB Developments.
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guests
Kevin Vaughn is a PwC National Office partner specializing in SEC reporting matters. Kevin leverages his extensive experience to support PwC public company and pre-IPO clients on accounting and SEC reporting matters. Prior to joining PwC in 2023, Kevin spent over 18 years at the SEC, most recently serving on the leadership team in the SEC’s Office of the Chief Accountant where he focused on technical accounting consultations, SEC rulemakings, and standard setting matters.
Scott Feely is a PwC National Office Deputy Chief Accountant. He has over 30 years of experience supporting clients as they address the SEC and financial reporting implications of their capital markets and merger and acquisition-related activities.
About our guest host
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
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We continue our SEC-focused series with a discussion of segment disclosures, reporting trends, and early comment letter themes emerging from the adoption of the new standard. In this episode, we explore common staff observations, including the role of the Chief Operating Decision Maker, or CODM; significant expense disclosures; and interplay with non-GAAP measures.
In this episode, we discuss:
- 1:46 – Why segment disclosures remain a top SEC focus
- 8:04 – Early comment themes under the new standard
- 15:14 – Multiple profit measures and non-GAAP considerations
- 28:14 – How the SEC evaluates a company’s segment structure
- 35:28 – Ongoing reassessment of impacts to segments
In case you missed it, check out the previous episodes in this SEC-focused series:
- SEC now: 2025 comment letter trends on transactions
- SEC now: Non-GAAP 2025 comment letter trends
- SEC now: Today’s landscape and recent developments
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guests
Kevin Vaughn is a PwC National Office partner specializing in SEC reporting matters. Kevin leverages his extensive experience to support PwC public company and pre-IPO clients on accounting and SEC reporting matters. Prior to joining PwC in 2023, Kevin spent over 18 years at the SEC, most recently serving on the leadership team in the SEC’s Office of the Chief Accountant where he focused on technical accounting consultations, SEC rulemakings, and standard setting matters.
Jay Seliber is a partner in PwC’s National Office. He leverages over 35 years of experience to help clients with their most complex accounting matters, particularly in the areas of mergers and acquisitions, segment reporting, revenue recognition, stock compensation, earnings per share, employee benefits, restructurings, impairments, and financing transactions.
About our guest host
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com
The GHG Protocol has released its long-awaited proposed updates to the Scope 2 Guidance. In this episode, we highlight the key changes in the exposure draft, including proposed revisions to location-based and market-based reporting, hourly matching, emission factor hierarchies, and more. We also explore what these developments could mean for companies and how stakeholders can participate in the revision process.
In this episode, we discuss:
- 2:49 – Redefining the purpose for location-based and market-based reporting
- 5:33 – The importance of the decision-making criteria
- 6:56 – New emission factor hierarchy for location-based reporting
- 14:30 – Shift toward hourly matching in the market-based method
- 21:53 – Deliverability criteria and implications for renewable energy credits
- 26:19 – Residual mix and fossil-only defaults for unclaimed energy
- 32:45 – How companies can share feedback and next steps for the Scope 2 guidance
For more on the GHG Protocol’s exposure draft, see our publication, GHG Protocol announces Scope 2 Public Consultation, which was updated to indicate that the public consultation deadline was extended to January 31, 2026.
Check out our previous episodes for more on the GHG Protocol and GHG reporting:
- Sustainability now: Modernizing the GHG Protocol
- Sustainability now: Inside the GHG Protocol’s scope 3 update
- Sustainability now: GHG reporting trends and challenges
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability standards.
About our guest
Colin Powell is PwC Canada’s Technical Net Zero Leader. His work focuses on GHG quantification, life cycle assessment, target setting, and decarbonization strategies. He has helped companies measure over 1 billion tonnes of emissions and previously worked as a consultant supporting global clients in decarbonization. Colin sits on the GHG Protocol’s Scope 3 Working Group, helping shape updates to global standards. He is also a Professional Engineer (Ontario) with a PhD in wastewater treatment modeling.
About our host
Heather Hornis the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
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We continue our SEC-focused series with a discussion on transaction-related matters, including IPOs, mergers and acquisitions, spinoffs, and divestitures. Our guests share insights into the SEC preclearance process and common SEC comment letter themes. Getting ahead of these issues can help avoid delays that may significantly impact deal timing and disclosures.
In this episode, we discuss:
- 3:56 – Overview of 2025 IPO and M&A market activity
- 7:08 – SEC preclearance process and common issues
- 19:59 – Typical transaction filing review comment letter themes
- 32:49 – Final takeaways on anticipating and addressing SEC comments
For more information:
- Going for a spin: Accounting and reporting for spinoffs
- Financial statement presentation guide
- Business combinations guide
In case you missed it, check out the previous episodes in this SEC-focused series:
- SEC now: Today’s landscape and recent developments
- SEC now: Non-GAAP 2025 comment letter trends
For more on the SEC, listen to our recent episode on frequency of reporting, SEC to revisit quarterly reporting: Pros, cons, and what’s ahead. Also, check out our SEC reporting series from earlier this year where we take a “back to basics” look at key reporting areas:
- Inside SEC reporting: Capital formation
- Inside SEC reporting: Acquisitions and divestitures
- Inside SEC reporting: Pro forma financial information
- Inside SEC reporting: Form 8-K (current report)
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guests, Katie Driessen, a partner in PwC’s National Office who assists companies with complex accounting and financial reporting issues related to capital markets transactions and Scott Feely, a PwC National Office Deputy Chief Accountant with 30 years of experience supporting clients.
About our guest host, Kyle Moffatt, PwC’s Professional Practice leader who guides teams partnering with regulators and delivering influential thought leadership and educational materials.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
We continue our SEC-focused series with an episode on non-GAAP financial measures, commonly used by companies to supplement their financial statements and provide investors with a deeper understanding of their performance or financial condition. Given their importance, it’s been a top focus area for the SEC staff over the last several years, and we expect that trend to continue. We highlight common comment letter themes and share practical guidance for year-end reporting and comment letter responses.
In this episode, we discuss:
- 2:17 – Overview of non-GAAP measures
- 6:20 – SEC comment letter trends and recurring issues
- 23:15– Possible shifts in focus under the new SEC administration
- 27:35 – Year-end reminders and best practices for responding to SEC comments
In case you missed it, check out our first episode in this SEC-focused series: SEC now: Today’s landscape and recent developments.
For more on the SEC, listen to our recent episode on frequency of reporting, SEC to revisit quarterly reporting: Pros, cons, and what’s ahead. Also, check out our SEC reporting series from earlier this year where we take a “back to basics” look at key reporting areas:
- Inside SEC reporting: Capital formation
- Inside SEC reporting: Acquisitions and divestitures
- Inside SEC reporting: Pro forma financial information
- Inside SEC reporting: Form 8-K (current report)
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
Our guests are Kevin Vaughn, a PwC National Office partner specializing in SEC reporting matters, and John Ly, a PwC National Office managing director within the SEC & Capital Markets group.
Our host is Kyle Moffatt, PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
The levelized cost of electricity (LCOE) is a widely-cited metric used to compare the cost of energy from different power sources—but it’s often misunderstood and misused. This week, host Heather Horn is joined by Karl Hausker, Senior Fellow at the World Resources Institute’s Polsky Center for the Global Energy Transition, to cover what LCOE really measures, why it’s not the full story, and how it fits into the broader effort to decarbonize the power sector. Together, they explore what companies and regulators should consider when evaluating clean energy investments and transition plans.
In this episode, we discuss:
- 5:23 – What LCOE measures—and what it misses
- 11:29 – Why LCOE shouldn’t drive policy decisions
- 25:20 – Implications for companies and scope 2 emissions
- 31:41 – The future energy mix
As referenced in this episode, explore Karl Hausker’s companion slides for more information.
At the time of recording, the GHG Protocol exposure drafts on scope 2 had not yet been released. Check out GHG Protocol announces Scope 2 Public Consultation for more information.
Looking for more on GHG and sustainability reporting?
- CARB releases draft emissions reporting template
- Sustainability now: Inside the GHG Protocol’s scope 3 update
- PwC’s Sustainability reporting guide
About our guest
Dr. Karl Hausker is a Senior Fellow in the WRI Polsky Center for the Global Energy Transition. He leads analysis and modeling of climate mitigation, electricity market design, and the social cost of carbon. He testifies before Congress, lectures widely on deep decarbonization, and served as an expert reviewer for Sixth Assessment Report of the Intergovernmental Panel on Climate Change.
About our host
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
In this episode, we kick off a new SEC-focused series with an overview of current developments shaping SEC reporting. Our guests unpack recent leadership changes, the evolving rulemaking agenda, reporting themes, and key trends in SEC comment letters.
In this episode, we discuss:
- 1:54 – SEC leadership updates
- 8:31 – Rulemaking agenda and expected priorities
- 15:29 – Rulemaking challenges: staff capacity and shutdown constraints
- 18:27 – Government shutdown effects on IPOs and the SEC review process
- 24:09 – SEC comment letter themes and focus areas
For more, listen to our recent episode on frequency of reporting, SEC to revisit quarterly reporting: Pros, cons, and what’s ahead. Also, check out our SEC reporting series from earlier this year where we take a “back to basics” look at key reporting areas:
- Inside SEC reporting: Capital formation
- Inside SEC reporting: Acquisitions and divestitures
- Inside SEC reporting: Pro forma financial information
- Inside SEC reporting: Form 8-K (current report)
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guests
Scott Feely is a PwC National Office Deputy Chief Accountant. He has over 30 years of experience supporting clients as they address the SEC and financial reporting implications of their capital markets and merger and acquisition-related activities.
Lindsay McCord is a PwC National Office partner specializing in matters related to the SEC and the capital markets. Prior to joining PwC, Lindsay spent over 15 years at the SEC, most recently as the Chief Accountant in the Division of Corporation Finance. In this role, Lindsay led an accounting team in providing technical accounting and reporting support to the Division, including SEC rulemaking, interpretation, and guidance.
About our guest host
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com
In this episode, we take a closer look at the modernization of the Greenhouse Gas (GHG) Protocol and its implications for sustainability reporting with a member of the GHG Protocol’s Independent Standards Board, Paul Munter. Paul shares insights on the evolving governance structure, the newly released scope 2 guidance, and the growing importance of interoperability in global sustainability reporting.
In this episode, we discuss:
- 0:58 – What’s driving the modernization of GHG Protocol standards
- 3:31 – The governance model, including the role of the Independent Standards Board
- 9:06 – Highlights of the scope 2 public consultation and the importance of stakeholder feedback
- 17:46 – Interoperability with other sustainability reporting frameworks
- 21:36 – Updates under review for the Corporate Standard and the Scope 3 Standard
- 26:40 – What companies can be doing now to prepare for upcoming changes
- 32:27 – The role of boards and audit committees in overseeing emissions reporting
For more on the GHG Protocol’s recent exposure draft and the overall timeline for its revision process, check out our publication, GHG Protocol announces Scope 2 Public Consultation.
To explore additional insights on GHG reporting, see:
- Sustainability now: GHG reporting trends and challenges
- Sustainability now: Inside the GHG Protocol’s scope 3 update
- CARB releases draft emissions reporting template
About our guest
Paul Munter is currently a member of the Independent Standards Board of the Greenhouse Gas Protocol. He served as the Chief Accountant at the U.S. Securities and Exchange Commission from 2021 – 2025. During much of that time, he also served as Chair of the Monitoring Group and as Vice Chair and Chair of IOSCO’s Committee on Issuer Accounting, Audit and Disclosure. Prior to that, he served the SEC as Deputy Chief Accountant from 2019 - 2021, leading the Office of the Chief Accountant’s international work.
About our guest host
Diana Stoltzfus is a sustainability partner in the Professional Practice Group within the National Office. Diana helps to shape our firm’s perspective on regulatory matters, responses to rulemakings, and policy development and implementation related to significant new rules and regulations. Diana was previously the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) of the Professional Practice Group in the OCA at the SEC. She focused on providing guidance related to auditing, independence, and internal controls.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
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In this episode, we explore the FASB’s new software cost guidance and its impact on accounting for internal‑use software—what’s in scope, how to evaluate the revised capitalization criteria, the effective date and transition, and other key changes. We also take a deeper dive into AI‑related software development.
In this episode, we discuss:
- 0:00 – Background and scope on the FASB’s new ASU on internal-use software costs
- 11:10 – Capitalization criteria, including “significant development uncertainty”
- 20:38 – Examples of evaluating “significant development uncertainty”
- 30:50 – Other insights and updates related to the software costs guidance
- 34:00 – Effective date of the ASU and transition methods
- 37:41 – Accounting considerations for AI-related software development
For more: FASB updates software cost guidance,Software costsguide
Also, be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guests
Pat Durbin is a PwC National Office Deputy Chief Accountant. He has over 30 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.
Mike Coleman is a partner in PwC's National Office who specializes in accounting for revenue and software arrangements and has served technology clients for much of his career. In addition, Mike has represented the firm on the AICPA Software Task Force.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com
The SEC is revisiting how often public companies report, weighing a shift from required quarterly Form 10‑Qs to a semiannual cadence. We explore what’s driving the debate and the implications for companies, investors, and markets.
In this episode, we discuss:
- 1:55 – Why the SEC is revisiting quarterly reporting now and how we got here
- 12:13 – Pros and cons of moving to semiannual reporting
- 19:32 – Global and industry-specific trends in interim reporting
- 22:44 – Practical and operational implications of shifting to semiannual reporting
- 29:10 – SEC rulemaking process and potential next steps
- 31:57 – FASB’s role in interim disclosure standard setting
For more on current interim reporting requirements, see chapter 29 of our Financial statement presentation guide. Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guests
Tom Barbieri is PwC’s US Chief Accountant. He has over 30 years of experience advising large financial services and multinational corporations on complex accounting issues. Tom leads the Accounting & SEC Services Group within the National Office, which is focused on supporting our clients and engagement teams in navigating complex technical accounting and financial reporting matters. He is also a member of the Financial Accounting Standards Advisory Council.
John Vanosdall is a partner in PwC’s National Office focused on digital assets, revenue, and compensation arrangements. John previously served as both a Deputy Chief Accountant and Professional Accounting Fellow in the Office of the Chief Accountant at the SEC. Prior to re-joining the National Office, he served as the firm’s Accounting Advisory Leader. John has over 20 years of experience and has served some of the firm’s largest clients as a client service partner.
About our guest host
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com
Greenhouse gas (GHG) reporting continues to evolve, with companies facing increasing complexity in navigating frameworks, data quality, and materiality. In this episode, we explore recurring themes and practical challenges in GHG disclosures—from organizational boundaries to the role of renewable energy credits (RECs)—with insights from our specialists deeply engaged in global sustainability reporting.
In this episode, we discuss:
- 1:22 – GHG reporting landscape and regulatory shifts
- 5:01 – Materiality, alignment with financial reporting, and minimum boundaries
- 23:48 – Organizational boundaries and key decisions companies are facing
- 31:35 – Scope 2 renewable energy certificates: timing, location, and use
- 43:00 – Systems, tools, and data quality, including preparing for reporting and assurance
Looking for more on GHG and sustainability reporting?
- Sustainability now: Inside the GHG Protocol’s scope 3 update
- Sustainability now: A primer on California climate reporting
- Other episodes in our sustainability reporting podcast series
- GHG Protocol announces Scope 2 Public Consultation
- PwC’s Sustainability reporting guide
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability reporting.
About our guests
Marcin Olewinski is a PwC Assurance practice partner with 20 years of experience bringing valued perspectives and insights to large clients in the energy sector. He’s focused within the National Office on greenhouse gas emissions and sustainability reporting and leads PwC’s global technical working group focused on GHG.
Colin Powell PwC Canada’s Technical Net Zero Leader, specializes in GHG quantification, life cycle assessment, target setting, and decarbonization strategies. Colin is a Professional Engineer with a PhD in wastewater treatment modeling and has helped companies measure over 1 billion tonnes of GHG emissions while advising global clients on decarbonization. He sits on the GHG Protocol’s Scope 3 Working Group, shaping global standards.
About our host
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. She's also part of PwC’s global sustainability leadership team.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
In today’s episode, we unpack the complexities of spinoff transactions and their accounting implications. From identifying spinoffs to addressing key financial reporting considerations, our guests share practical guidance and insights for companies planning or evaluating these strategic moves.
In this episode, we discuss:
- 1:12 – Overview of spinoff transactions
- 9:08 – Accounting and reporting considerations for spinoff transactions
- 23:56 – Post-spin accounting considerations for the spinnor
- 27:50 – Final advice for a company planning a spinoff
For more on spinoffs, read our Financial statement presentation and Carve out financial statementsguides. You can also tune in to last week’s episode, Sale of a business – Held for sale criteria, disc ops, and more, for further discussion on the presentation of discontinued operations.
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guests
Matt Sabatini is a partner in PwC's National Office who helps clients and engagement teams navigate the accounting and financial reporting for complex transactions. He specializes in the accounting for M&A, consolidations, corporate reorganizations, recapitalizations, joint ventures, and other investments.
Katie Driessen is a partner in PwC’s National Office where she assists companies with complex accounting and financial reporting issues related to capital markets transactions, including acquisitions, divestitures, and capital raises. Katie recently returned to PwC following two years working in the Office of the Chief Accountant at the SEC.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
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A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com
In this episode, host Heather Horn is joined by Colin Powell, a PwC Canada partner and member of the GHG Protocol’s Scope 3 Standard Technical Working Group. They discuss key areas for change under consideration, including minimum boundaries and data quality disclosures, as well as what these updates could mean for the future of sustainability reporting.
In this episode, we discuss:
- 1:12 – Overview of the Scope 3 Technical Working Group and the current areas of focus
- 12:36 – Minimum boundaries, data quality, and feasibility
- 30:39 – Category 15 (Investments), plus facilitated and insurance emissions
- 35:55 – Timeline for the revised Scope 3 Standard and why companies should engage now
- 44:56 – Final takeaways on the evolving scope 3 landscape
At the time of recording, the GHG Protocol exposure drafts on scope 2 had not yet been released. Check out GHG Protocol announces Scope 2 Public Consultations for more information.
Looking for the latest developments in sustainability reporting?
- Read PwC’s Sustainability reporting guide
- Check out other episodes in our sustainability reporting podcast series
About our guest
Colin Powell is PwC Canada’s Technical Net Zero Leader. His work focuses on GHG quantification, life cycle assessment across many impact categories, GHG target setting, and developing decarbonization strategies. He has supported companies in quantifying over 1 billion tonnes of GHG emissions and worked previously as a consultant supporting global clients to understand their GHG emissions and how they can decarbonize. Colin sits on the GHG Protocol’s Scope 3 Technical Working Group, helping to shape the revision of the global standards used to account for GHG emissions. Colin is also a Professional Engineer (Ontario) and holds a PhD in wastewater treatment modeling.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
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In today’s episode, we explore the accounting implications of selling a business—an increasingly relevant topic in today’s market. From initial considerations through the final disposition, we break down key accounting judgments, classification, and presentation requirements.
In this episode, we discuss:
- 2:32 – Held-for-sale criteria
- 14:00 – Accounting implications of held-for-sale classification
- 19:25 – Accounting for the gain or loss on the sale of a business
- 25:50 – Discontinued operations criteria
- 33:00 – Discontinued operations presentation requirements
For more information, check out chapter 6 of our Property, plant, equipment and other assets guide, chapter 8 and 27 of our Financial statement presentation guide. Also, listen to our previous podcast episode, Presenting discontinued operations.
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guests
Matt Sabatini is a partner in PwC's National Office who helps clients and engagement teams navigate the accounting and financial reporting for complex transactions. He specializes in the accounting for M&A, consolidations, corporate reorganizations, recapitalizations, joint ventures, and other investments.
Katie Driessen is a partner in PwC’s National Office where she assists companies with complex accounting and financial reporting issues related to capital markets transactions, including acquisitions, divestitures, and capital raises. Katie recently returned to PwC following two years working in the Office of the Chief Accountant at the SEC.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com
In this episode, host Heather Horn sat down with Mardi McBrien, Senior Director at the World Business Council for Sustainable Development (WBCSD), during New York Climate Week to discuss the evolving world of sustainability reporting. The conversation covers how companies are navigating fragmented frameworks, the growing importance of transition plans, and the movement toward greater simplification and integration of reporting.
In this episode, we discuss:
- 1:15 – The role of the WBCSD and the focus on corporate performance
- 7:24 – Challenges companies face in a compliance-driven reporting environment
- 12:28 – Breaking down silos across functions and topics and integrating sustainability into strategy
- 24:15 – Transition plans and the credibility of business strategies
- 29:00 – Global baseline progress and alignment across reporting frameworks
- 41:22 – Key themes from the New York Climate Week
As mentioned in today’s podcast, check out When less equals more: rethinking sustainability reporting for insights from the roundtable discussion on the sustainability reporting landscape hosted by the WBCSD, London Stock Exchange Group, and Principles for Responsible Investment.
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability standards.
About our guest
Mardi McBrien is Senior Director, Enhancing Transparency, Corporate Performance & Accountability (CP&A) at the World Business Council for Sustainable Development. Mardi leads the Enhancing Transparency Track, a key initiative that supports members in navigating complex regulatory developments, delivering transparent and decision-useful reporting, and fostering long-term value creation. Mardi brings a wealth of expertise with over 15 years of leadership in sustainability disclosure and reporting. Most recently, she served as the Chief of Strategic Affairs and Capacity Building at the IFRS Foundation.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
In this episode of our crypto asset mini-series, we explore common transaction types—stablecoins, staking, and lending. The discussion addresses the accounting, including how contract terms and fact patterns can significantly influence the appropriate accounting model.
In this episode, we discuss:
- 2:17 – Overview of stablecoins, including the impact of the GENIUS Act
- 9:01 – Accounting for stablecoins
- 15:50 – Overview of staking and the accounting by delegators
- 24:14 – Accounting for crypto asset lending transactions
For more information, see our Crypto assets guide. You can also listen to the previous episode in this series, Crypto assets – Accounting and reporting foundations.
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guests
Beth Paul is a Deputy Chief Accountant in PwC’s National Office responsible for a team of consultants that specialize in business combinations and related areas, such as consolidations, disposals, impairments, and segment reporting. She has over 30 years of experience consulting with clients and engagement teams on complex accounting matters.
John Vanosdall is a partner in PwC’s National Office focused on digital assets, revenue, and compensation arrangements. John previously served as both a Deputy Chief Accountant and Professional Accounting Fellow in the Office of the Chief Accountant at the SEC. Prior to re-joining the National Office, he served as the firm’s Accounting Advisory Leader. John has over 20 years of experience and has served some of the firm’s largest clients as a client service partner.
Ryan Blacker is a director in PwC’s National Office specializing in the accounting for business combinations and crypto assets. Ryan consults with clients and engagement teams on complex accounting and financial reporting matters related to these topics.
About our guest host
Diana Stoltzfus is a partner in the National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the OCA’s Professional Practices Group.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
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Crypto assets are rapidly evolving – and so is the accounting and financial reporting. In this episode, we explore regulatory trends and market developments, including new FASB guidance.
In this episode, we discuss:
- 01:22 – Market trends, regulatory shifts, and financial reporting developments
- 06:10 – Key developments from the SEC on crypto
- 09:44 – Accounting classification of crypto assets
- 11:55 – Key provisions of the FASB’s crypto assets guidance
- 23:12 – Fair value measurement considerations
For more information, see our Crypto assets guide. Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guests
Beth Paul is a Deputy Chief Accountant in PwC’s National Office responsible for a team of consultants that specialize in business combinations and related areas, such as consolidations, disposals, impairments, and segment reporting. She has over 30 years of experience consulting with clients and engagement teams on complex accounting matters.
John Vanosdall is a partner in PwC’s National Office focused on digital assets, revenue, and compensation arrangements. John previously served as both a Deputy Chief Accountant and Professional Accounting Fellow in the Office of the Chief Accountant at the SEC. Prior to re-joining the National Office, he served as the firm’s Accounting Advisory Leader. John has over 20 years of experience and has served some of the firm’s largest clients as a client service partner.
About our guest host
Diana Stoltzfus is a partner in the National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the OCA’s Professional Practices Group.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com
This week, host Heather Horn is joined by Eelco van der Enden, CEO of Accountancy Europe. In this episode, we explore the fast-changing reporting and assurance landscape across Europe, including sustainability reporting and broader regulatory shifts. We examine the forces driving simplification, cross-border alignment, and the future of the accounting profession—and what it all means for companies operating in or doing business with the EU.
In this episode, we discuss:
- 1:55 – The evolving role of Accountancy Europe and how it engages with EU institutions
- 3:35 – Broader forces shaping Europe’s reporting and investment landscape
- 14:55 – Bridging the knowledge gap between the profession, policymakers, and society
- 30:18 – Advice for US companies navigating EU sustainability regulations
- 33:19 – Accountancy Europe’s Purpose 2030 project and industry benchmarking efforts
- 35:35 – AI, digitalization, and their implications for the accounting profession
- 42:05 – Global collaboration, talent attraction, and simplifying regulation
About our guest
Eelco van der Enden is the CEO of Accountancy Europe. He brings over 35 years of experience in business and civil society organizations. Until December 2024, Eelco served as chief executive officer of the Global Reporting Initiative where he led the organisation through groundbreaking changes in sustainability reporting. Eelco previously headed PwC's Global ESG Platform for Tax, Legal, People & Organization Services and has held several senior positions in publicly listed companies, including roles as Head of Treasury, Risk Management, and Tax.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com
In this episode, we continue our series on the European Commission’s Omnibus package with a September update that focuses on the proposed amendments to the European Sustainability Reporting Standards (ESRS). We explore how the changes aim to simplify reporting, reduce disclosure burdens, and enhance interoperability, and we highlight key implications for companies preparing sustainability statements.
In this episode, we discuss:
- 1:22 – The European Commission’s Omnibus package and mandate for ESRS changes
- 5:50 – Overview of changes made to the ESRS
- 9:10 – Updates to ESRS 1 and 2: reducing duplication, increasing flexibility
- 20:10 – Clarifying reporting boundaries, including leases and GHG emissions
- 34:40 – Interoperability with ISSB standards and where ESRS diverge
- 37:42 – Next steps in the amendment process and what companies should do now
Get caught up on the EU Omnibus package:
- A deep dive into draft Amended ESRS
- Sustainability now: EU Omnibus in motion – August 2025 update
- New reliefs for ESRS ‘wave 1’ reporters
- EFRAG’s next step toward revised ESRS
- European Commission adopts a recommendation on the VSME standard
- European Commission adopts revisions related to Taxonomy Regulation
Looking for more on sustainability reporting?
- Read PwC’s Sustainability reporting guide
- Check out other episodes in our sustainability reporting podcast series
About our guest
Diana Stoltzfus is a partner in the National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the OCA’s Professional Practices Group.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com
In this episode, we explore insights from PwC’s Global Sustainability Reporting Survey featuring nearly 500 executives worldwide. Recorded during New York City Climate Week, the conversation highlights how companies are using sustainability data to drive strategy, respond to stakeholder pressure, and prepare for evolving regulations.
In this episode, we discuss:
- 1:14 – Key takeaways from New York City Climate Week
- 3:40 – Overview of PwC’s Global Sustainability Reporting Survey and its purpose
- 8:42 – How companies are using sustainability data to inform risk, resilience, and opportunity
- 11:14 – Lessons from early reporters: tech adoption, resource needs, and AI use
- 14:14 – The demand for transparency
Looking for more on PwC’s 2025 Global Sustainability Reporting Survey? Check out From insight to value: The sustainability reporting journey continues
About our guest
Nadja Picard is PwC’s Global Reporting Leader. She leads PwC’s initiative to help clients transform their reporting both to meet investor and stakeholder demands for trusted reporting and to unlock business value from new data sets, including sustainability. Nadja also advises companies on the accounting, corporate reporting, and investor relations requirements in advance of capital markets transactions, especially Initial Public Offerings.
About our guest host
Diana Stoltzfus is a partner in the National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the OCA’s Professional Practices Group.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
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Significant developments are underway at the PCAOB. In this episode, we provide an overview on the latest changes, what’s on the horizon, and the potential implications for preparers. Our guest is Brian Croteau, PwC’s US Chief Auditor, who leads our team that follows all things PCAOB.
In this episode, we discuss:
- 3:14 – A historical perspective on the PCAOB
- 10:01 – Leadership changes at the SEC and PCAOB
- 21:05 – Standard setting projects and priorities
- 33:05 – Standard setting related to emerging technologies (e.g., AI, crypto)
- 37:28 – Potential changes to the PCAOB’s inspection program
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guest
Brian Croteau is the US Chief Auditor. He oversees the establishment and maintenance of PwC’s audit policies and practices, leads efforts to directly support PwC’s audit quality objectives, and plays a key role in the monitoring and assessment of audit quality. He also leads the firm’s efforts related to its relationship with the PCAOB, including supporting all aspects of the PCAOB’s inspection process. Brian currently serves as a member of the PCAOB’s Standards and Emerging Issues Advisory Group (SEIAG) and the SEIAG’s Emerging Issues in Auditing subcommittee. Prior to rejoining PwC, he served as the Deputy Chief Accountant of the Professional Practice Group within the Office of the Chief Accountant at the SEC where he played a key role in the SEC’s oversight of the activities of the PCAOB, managed the resolution of auditor independence issues and ethical matters, and monitored audit and independence standard setting internationally.
About our guest host
Diana Stoltzfus is a partner in the National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the OCA’s Professional Practices Group.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
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As sweeping US tax reform takes effect in 2025, corporate taxpayers face important changes. These include extensions of and modifications to key Tax Cuts & Jobs Act (TCJA) provisions as well as expansion of some Inflation Reduction Act (IRA) incentives while accelerating the phase-out of others. In this episode we provide an overview of the key corporate provisions and dive into the related accounting and financial reporting implications. In this episode, we discuss:
- 03:24 – Extensions and modifications of TCJA domestic tax laws
- 13:42 – Extensions and modifications of TCJA international tax laws
- 24:03 – Changes to IRA energy credits
- 29:30 – Other provisions (e.g., endowments, charitable deductions)
- 33:19 – Global tax implications and Pillar Two
- 39:25 – What’s ahead for corporate tax policy and accounting for income taxes
For more information, check out our publications, Accounting for 2025 US tax reform and President Trump signs H.R. 1, the “One Big Beautiful Bill Act”. You can also listen to our related podcast episode, Sustainability now: Facing IRA and clean energy credit uncertainty. Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guests
Jennifer Spang is PwC’s National Office income tax accounting leader, specializing in tax accounting under US GAAP and IFRS. She has over 25 years of experience helping companies in a variety of industries navigate complex tax accounting matters.
Pat Brown is PwC’s National Tax Office Co-Leader. Prior to joining PwC, he spent 16 years in the private sector, including as the director of tax policy for a Fortune 50 company. Pat has also served in the US Treasury’s Office of Tax Policy as an attorney-advisor and as Associate International Tax Counsel.
About our guest host
Diana Stoltzfus is a partner in the National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the OCA’s Professional Practices Group.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com
California’s climate reporting is coming, but many questions remain. In this episode, we cover Assembly Bill (AB) 1305, Senate Bill (SB) 253, and SB 261—what’s required now, what’s still evolving, and how companies can prepare as the California Air Resources Board (CARB) works to finalize draft regulations.
In this episode, we discuss:
- 3:05 – Overview of AB 1305, SB 253, and SB 261, including scope and revenue thresholds
- 6:46 – Litigation updates and why deadlines still apply despite challenges
- 10:29 – Defining “doing business in California” and revenue thresholds under CARB proposals
- 18:39 – CARB’s role in enforcement, rulemaking, and timeline for draft regulations
For more information, check out our In depth on California’s climate laws and Chapter 22 of PwC’s Sustainability reporting guide, Jurisdictional sustainability reporting – California.
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability standards.
About our guests
Logan Redlin is a director in PwC’s National Office who is focused on thought leadership strategy and content development related to accounting and financial reporting, sustainability reporting, and standard setting. Prior to this role, Logan spent 15 years in the audit practice, serving both public and private companies with a primary focus on asset management and real estate.
Valerie Wieman is a PwC National Office partner with over 30 years of experience. She is one of the firm’s technical experts on sustainability reporting and helps lead the creation, development, and publication of our brand-defining thought leadership, with a focus on domestic and international sustainability requirements.
About our guest host
Guest host Diana Stoltzfus is a partner in the National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the OCA’s Professional Practices Group.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
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In this episode, we focus on transfers of financial assets. The discussion breaks down the fundamentals of ASC 860, clarifies when a transfer qualifies as a sale versus a secured borrowing, and outlines the key criteria for derecognition.
In this episode, we discuss:
- 0:59 – Overview of ASC 860 and the basics of financial asset transfers
- 3:35 – Transactions subject to ASC 860
- 6:56 – Transfer of an entire versus a portion of a financial asset and application of the participating interest guidance
- 11:12 – Control criteria to achieve sale accounting:
- 11:53 – Legal isolation
- 16:38 – Right to pledge or exchange
- 19:42 – Effective control
- 21:50 – Examples of "failed sale" transactions
For more information, check out our Transfers and servicing of financial assets guide.
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guest
Chip Currie is a partner in PwC’s National Office with 30 years of experience assisting companies in resolving complex business and accounting issues. He concentrates on the accounting for financial instruments under both current and emerging standards and works with many of the firm's largest financial services clients and a number of non-financial services clients on treasury-related matters.
About our guest host
Guest host Diana Stoltzfus is a partner in the National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the OCA’s Professional Practices Group.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com
In this episode, we break down the amendments to the EU Taxonomy Regulation adopted by the European Commission in July 2025. Learn about the changes, what they mean for both financial and non-financial companies, and what may still be on the horizon. Plus, we’ll share practical steps companies can take as they prepare for implementation.
In this episode, we discuss:
- 1:10 – Overview of the EU Taxonomy Regulation and potential changes to come
- 7:46 – Changes on the horizon for non-financial services companies
- 17:14 – Major reliefs for financial services companies
- 25:10 – Next steps for the EU Taxonomy Regulation and what companies can do now
Looking for more on the EU Taxonomy regulation and other Omnibus proposals?
- European Commission adopts revisions related to Taxonomy Regulation
- A deep dive into the draft Amended ESRS
- EFRAG’s next step toward revised ESRS
- New reliefs for ESRS ‘wave 1’ reporters
- Sustainability now: EU Omnibus in motion – August 2025 update
About our guest
Valerie Wieman is a PwC National Office partner with over 30 years of experience. She is one of the firm’s technical experts on sustainability reporting and helps lead the creation, development, and publication of our brand-defining thought leadership, with a focus on domestic and international sustainability requirements.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
The Inflation Reduction Act introduced a broad range of renewable energy tax credits. Now, the One Big Beautiful Bill Act (OB3) has reshaped these incentives with new compliance requirements, shifting timelines, and selective phaseouts. In this podcast, we cover what’s changed, what’s stayed the same, and the implications for companies navigating the evolving renewable energy tax credit landscape.
In this episode, we discuss:
- 1:51 – Significant changes to energy credits from OB3
- 9:28 – Energy credit modifications, early sunsets, and what remains unchanged
- 14:07 – New guidance for wind and solar industry clean electricity credits
- 21:14 – Immediate actions for companies to maximize opportunities under OB3
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability standards.
About our guest
Jennifer Bernardini is a managing director in PwC’s Washington National Tax practice. She has over 20 years of experience implementing federal energy tax incentives that support the development of renewable energy and the climate transition.
About our guest host
Guest host Diana Stoltzfus is a partner in the National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the OCA’s Professional Practices Group.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
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In this episode, we explain how to identify the accounting acquirer in an acquisition—an essential first step in accounting for a business combination. We also outline key changes in the FASB’s new guidance (ASU 2025-03, Determining the Accounting Acquirer in the Acquisition of a Variable Interest Entity) that impact this assessment.
In this episode, we discuss:
- 1:16 – Overview of business combinations and importance of identifying the acquirer
- 6:12 – New FASB guidance applicable when the legal acquiree is a variable interest entity (VIE)
- 10:33 – Factors to consider when determining the accounting acquirer
- 17:35 – Effective date and transition provisions for adopting the new guidance
For more information, see section 2.3 of our Business combinations guide.
You may also be interested in our related podcast episodes mentioned during this discussion:
- Accounting for business combinations: Being prepared for a deal – discusses the foundations of acquisition accounting
- The consolidation framework - Identifying a VIE – explores the evaluation of variable interests and the characteristics of a variable interest entity (VIE)
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guests
Ryan Blacker is a director in PwC’s National Office specializing in the accounting for business combinations and crypto assets. Ryan consults with clients and engagement teams on complex accounting and financial reporting matters related to these topics.
Matt Sabatini is a partner in PwC's National Office who helps clients and engagement teams navigate the accounting and financial reporting for complex transactions. He specializes in the accounting for M&A, consolidations, corporate reorganizations, recapitalizations, joint ventures, and other investments.
About our guest host
Guest host Diana Stoltzfus is a partner in the National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the OCA’s Professional Practices Group.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com
Recent weeks have brought notable progress on the European Commission’s Omnibus package. In this episode, we examine the key developments from July — including amendments to the EU Taxonomy regulation, EFRAG’s extended deadline, and major revisions to the European Sustainability Reporting Standards (ESRS). We also discuss the potential implications for businesses as the legislative process advances, including why “wave 1” reporters must stay alert even if the changes aren’t finalized yet.
In this episode, we discuss:
- 1:09 – July’s major EU sustainability developments
- 4:18 – Deadline extension for EFRAG revisions
- 7:22 –The “quick fix” delegated act and wave 1 reporting relief
- 13:55 – Major revisions to ESRS
- 21:38 – Status of the broader content proposal
- 25:15 – Breaking down the EU legislative process and expected timelines
Get caught up on the EU Omnibus package:
- New reliefs for ESRS ‘wave 1’ reporters
- EFRAG’s next step toward revised ESRS
- European Commission adopts revisions related to Taxonomy Regulation
- Sustainability now: EU Omnibus in motion – June 2025 update
- Sustainability now: EU Omnibus in motion – May 2025 update
- Sustainability now: Navigating “Omnibus” uncertainty
Looking for the latest developments in sustainability reporting?
- Read PwC’s Sustainability reporting guide
- Check out other episodes in our sustainability reporting podcast series
About our guest
Diana Stoltzfus is a partner in the National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the OCA’s Professional Practices Group.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
We continue our revenue accounting podcast miniseries with an episode focused on presentation and disclosure. From balance sheet and income statement classification to required disclosures under ASC 606, we highlight key guidance and address key areas where questions often arise in practice.
In this episode, we discuss:
- 1:27 – Income statement presentation of revenue
- 4:16 – Balance sheet presentation considerations related to revenue
- 9:38 – Overview of revenue disclosure objectives and the five primary disclosure areas:
- 11:27 – Disaggregated revenue
- 18:40 – Performance obligations
- 23:26 – Significant judgments
- 26:31 – Contract balances
- 29:01 – Costs to obtain or fulfill a contract
For more information, chapter 33 of our Financial statement presentation guide. You can also listen to the other episodes in this series:
- Revenue accounting reset – Recognizing revenue
- Revenue accounting reset – Variable consideration
- Revenue accounting reset – Consideration payable to a customer
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guests
Christine Moore is a director in PwC’s National Office advising audit and non-audit clients on complex accounting and financial reporting matters. She advises on revenue arrangements for public and private companies across various industries, with a focus on companies in the pharmaceutical and life sciences industry.
Mike Coleman is a partner in PwC's National Office who specializes in accounting for revenue and software arrangements and has served technology clients for much of his career. In addition, Mike has represented the firm on the AICPA Software Task Force.
About our guest host
Guest host Diana Stoltzfus is a partner in the National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the OCA’s Professional Practices Group.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
We continue our revenue accounting podcast miniseries with a discussion on payments to customers—an area that can raise complex accounting questions, especially when those payments come in the form of equity. We examine when these payments reduce revenue versus when they represent consideration for a distinct good or service. We also highlight updates from the FASB’s new guidance on share-based consideration payable to a customer.
In this episode, we discuss:
- 0:56 – Overview of consideration payable to a customer
- 5:41 – When to recognize payments to a customer
- 15:15 – Applying ASC 718 to equity-based payments to a customer
- 23:41 – Key provisions in FASB’s new guidance on equity consideration
- 29:49 – Classifying, measuring, and recognizing equity payments
- 36:41 – Accounting for payments to settle litigation claims or other disputes
For more information, see chapter 4 of our Revenue guide, chapter 7 of our Stock-based compensation guide, and our In brief, FASB issues guidance on share-based consideration payable to a customer. Listen to the other episodes in this series:
- Revenue accounting reset – Recognizing revenue
- Revenue accounting reset – Variable consideration
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guests
Ken Stoler is a partner in PwC’s National Office who specializes in financial reporting and plan design issues related to equity compensation arrangements, retirement and healthcare plans, and other benefits. He has helped companies navigate their employee compensation issues during IPOs, spinoffs, acquisitions, and other major transactions or events.
Angela Fergason is a partner and standard setting leader in PwC's National Office who specializes in accounting for revenue and employee compensation arrangements. She also consults on a range of financial reporting issues impacting technology companies.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
We continue our revenue accounting miniseries with an episode taking a closer look at variable consideration—an essential and sometimes complex element in determining transaction price. From performance bonuses to volume-based rebates, we explore how to estimate and constrain variable amounts as well as when key exceptions apply.
In this episode, we discuss:
- 0:58 – Why variable consideration is a critical element of the ASC 606 model
- 7:00 – The general model for estimating variable consideration
- 9:02 – Applying the constraint on the amount of variable consideration
- 18:25 – Common types of arrangements that include variable consideration, such as volume-based rebates and discounts
- 20:59 – Key exceptions to the general model:
- 21:10 – Sales- or usage-based royalty exception
- 26:04 – Variable consideration allocation exception
- 30:24 – Right-to-invoice measure of progress exception
For more information, see chapter 4 of our Revenue from contracts with customers guide. You can also listen to the first episode in this series, Revenue accounting reset – Recognizing revenue.
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter for the latest thought leadership.
About our guests
Angela Fergason is a partner and standard setting leader in PwC's National Office who specializes in accounting for revenue and employee compensation arrangements. She also consults on a range of financial reporting issues impacting technology companies.
Chris Bourdon is a partner in PwC's National Office who specializes in accounting for revenue, inventory, and employee compensation arrangements. He also consults on a range of financial reporting issues impacting technology, media, and entertainment companies.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
We kick off our latest accounting podcast miniseries on revenue accounting with a foundational discussion on revenue recognition. In this episode, we tackle recognizing revenue —the final step of the ASC 606 model—and examine how to determine whether performance obligations are satisfied over time or at a point in time.
In this episode, we discuss:
- 0:54 – Overview of the ASC 606 revenue model
- 5:30 – Identifying performance obligations satisfied over time
- 11:15 – Identifying performance obligations satisfied at a point in time
- 21:19 – Measures of progress to determine the timing of revenue recognition
- 33:45 – Exceptions to over-time revenue recognition
For more information, see chapter 6 of our Revenue from contracts with customers guide.
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guests
Pat Durbin is a PwC National Office Deputy Chief Accountant. He has over 30 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.
Mike Coleman is a partner in PwC's National Office who specializes in accounting for revenue and software arrangements and has served technology clients for much of his career. In addition, Mike has represented the firm on the AICPA Software Task Force.
About our guest host
Guest host Diana Stoltzfus is a partner in the National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the OCA’s Professional Practices Group.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
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We continue our lease accounting podcast miniseries with an episode focused on embedded leases. Some arrangements to provide services or purchase inventory rely on the use of a specific asset to fulfill the contract. Even if the word “lease” doesn’t appear, the rights conveyed to the customer may still meet the definition of a lease—shifting the transaction from simply purchasing services or goods to leasing an asset. We explain why identifying an embedded lease is critical and how it can significantly impact the accounting and financial reporting for both customers and suppliers.
In this episode, we discuss:
- 1:40 – An overview of embedded leases and common arrangements
- 6:50 – Determining whether an arrangement contains a lease
- 24:07 – Allocating contract consideration to lease and nonlease components
- 34:19 – Available practical expedients
- 39:01 – Accounting and reporting implications
For more information, see chapter 2 of our Leases guide and chapter 4 and 5 of our Revenue from contracts with customers guide. You can also listen to the other episodes in this series:
- Lease accounting reset - Presentation and disclosure
- Lease accounting reset - Modifications and terminations
- Lease accounting reset – Variable rents
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to for the latest thought leadership.
About our guests
Marc Jerusalem is a PwC National Office managing director specializing in leasing. Marc consults with clients on complex lease accounting issues and is a frequent contributor to many related PwC National Office publications.
Pat Durbin is a PwC National Office Deputy Chief Accountant. He has over 30 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.
About our guest host
Guest host Diana Stoltzfus is a partner in the National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the OCA’s Professional Practices Group.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
We continue our lease accounting miniseries with a focus on variable lease payments, an area that can significantly influence lease classification and measurement. In this episode, we explore the complexities of usage-based and index-based payments, fair market rent adjustments, in-substance fixed payments, and more – providing insights into how these variable rents affect the accounting and disclosures.
In this episode, we discuss:
- 1:12 – Fixed versus variable lease payments and their accounting implications
- 7:13 – Fair market rent adjustments
- 9:37 – In-substance fixed payments, including take-or-pay arrangements
- 15:44 – Usage-based lease payment structures
- 22:18 – Tenant improvement allowances and lease incentives
- 26:10 – Accounting for variable lease payments during lease remeasurement
For more information, see chapter 3 and chapter 5 of our Leases guide. In case you missed it – check out the other episodes in this podcast miniseries:
- Lease accounting reset - Presentation and disclosure
- Lease accounting reset – Modifications and terminations
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guests
Marc Jerusalem is a managing director in PwC’s National Office specializing in leasing. Marc consults with clients on complex lease accounting issues and is a frequent contributor to many related PwC National Office publications.
Suzanne Stephani is a director in PwC’s National Office specializing in the statement of cash flows as well as the application and interpretation of the accounting guidance related to financing and leasing transactions.
About our guest host
Guest host Diana Stoltzfus is a partner in the National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the OCA’s Professional Practices Group.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com
In this episode, we highlight the proposed amendments to IFRS S2, the climate-related disclosure standard from the International Sustainability Standards Board (ISSB). Learn how the changes aim to clarify greenhouse gas (GHG) reporting, specifically scope 3 emissions, and the potential implications they have on reporting.
In this episode, we discuss:
- 0:57 – Overview of IFRS S2, the role of the Transition Implementation Group, and what’s driving the amendments
- 3:52 – Clarifying the definition of scope 3 category 15 (investments) emissions
- 12:23 – Industry classification requirements for entities engaging in commercial banking and insurance-related activities
- 16:28 – How to apply jurisdictional relief for GHG measurement methodology
- 19:47 – Global warming potential (GWP) values and jurisdictional relief
- 22:55 – Next steps for the exposure draft and recommendations for reporters in the interim
Looking for the latest developments in sustainability reporting?
- Refer to our publication on the ISSB’s exposure draft proposing amendments to IFRS S2
- Read PwC’s Sustainability reporting guide
- Check out other episodes in our sustainability reporting podcast series
About our guest
Marcin Olewinski is a PwC Assurance practice partner with over 20 years of experience bringing valued perspectives and insights to large clients in the energy sector. Additionally, he’s focused extensively within the National Office on greenhouse gas emissions and sustainability reporting and leads PwC’s global technical working group focused on GHG.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
We continue our lease accounting miniseries with an episode focused on modifications and terminations. From determining whether a change results in a new lease to navigating remeasurement requirements, we share practical insights and key reminders for applying the guidance.
In this episode, we discuss:
- 1:12 – How to determine if a lease modification should be treated as a new lease or a remeasurement of the existing lease
- 10:31 – Key accounting steps in a lease modification and remeasurement
- 17:49 – Differentiating a lease termination from a modification
- 20:59 – Example of a lease modification for downsizing leased space
- 24:07 – Modifications to combined versus separate lease contracts
For more information, see chapter 5 of our Leases guide. You can also listen to the first episode in this series, Lease accounting reset - Presentation and disclosure. Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to for the latest thought leadership.
About our guests
Marc Jerusalem is a managing director in PwC’s National Office specializing in leasing. Marc consults with clients on complex lease accounting issues and is a frequent contributor to many related PwC National Office publications.
Suzanne Stephani is a director in PwC’s National Office specializing in the statement of cash flows as well as the application and interpretation of the accounting guidance related to financing and leasing transactions.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com
The European Commission’s Omnibus package continues to make its way through the legislative process. In this episode, we cover the most recent developments, including insights from recently leaked information and how businesses are reacting to potential changes.
In this episode, we discuss:
- 2:53 – The legislative status of the content proposal and areas of debate
- 7:40 – Preparer feedback on the proposed changes in the content proposal
- 10:13 – Leak of Delegated Acts proposed to be deleted: Highlights and implications
- 14:46 – Changes to expect in the forthcoming ESRS drafts and timing of the comment period
- 17:10 – Themes in feedback shared with EFRAG
- 23:22 – Potential ESRS reliefs: materiality expansion, use of estimates, and grace periods for acquisitions
Get caught up on the EU Omnibus package:
- Sustainability now: EU Omnibus in motion – May 2025 update
- Sustainability now: Navigating "Omnibus" uncertainty
- European Commission publishes ‘Omnibus’ proposals
Looking for the latest developments in sustainability reporting?
- Read PwC’s Sustainability reporting guide
- Check out other episodes in our sustainability reporting podcast series
About our guest
Diana Stoltzfus is a partner in the National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the OCA’s Professional Practices Group.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
We kick off our latest accounting miniseries on lease accounting with an episode on the related presentation and disclosure requirements. We break down key considerations across the balance sheet, income statement, and statement of cash flows, including what interim and annual disclosures are required as well as the treatment of lease incentives, sublease income, and more.
In this episode, we discuss:
- 2:12 – Current versus noncurrent lease liabilities
- 5:37 – Presentation of lease incentives
- 11:40 – Income statement presentation of lease expense
- 16:29 – Classification of lease payments in the statement of cash flows
- 26:25 – Annual and interim lease disclosure requirements
For more information, check out ourLeases guide and the leasing chapter of the Financial statement presentation guide.
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop.
About our guests
Marc Jerusalem is a PwC National Office managing director specializing in leasing. Marc consults with clients on complex lease accounting issues and is a frequent contributor to many related PwC National Office publications.
Suzanne Stephani is a director in PwC’s National Office specializing in the statement of cash flows, as well as the application and interpretation of the accounting guidance related to financing and leasing transactions.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
In this special episode, we explore whether top-performing finance functions have reached a “terminal value” in their cost-cutting journey – and what comes next. As technologies like AI and advanced analytics evolve, finance leaders are shifting focus from efficiency to insight – rethinking operating models, talent strategies, and what it means to create value in a digital era.
In this episode, we discuss:
- 1:18 – What “terminal value” means in finance and why top-performing functions may be approaching the limits of traditional cost-cutting
- 4:57 – How evolving finance operating models are incorporating new approaches to data, talent, and technology
- 9:07 – The rise of agentic AI and how autonomous agents are beginning to impact finance workflows
- 18:51 – Key leadership priorities for finance organizations navigating AI adoption and long-term transformation
For more insights, read our publication Have top performing finance functions reached terminal value in the age of AI?
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter for the latest thought leadership.
About our guests
Adam Kennedy is a PwC consumer markets finance leader focusing on business process improvement and finance effectiveness for Fortune 500 companies with an emphasis in retail, hospitality, and gaming. Adam provides consulting services on technology-driven finance transformation, end-to-end revenue stream management, merger integration support, financial analysis and reporting, risk management, and process improvement.
Edward Ponagai is a PwC partner who leads large-scale back office transformations and merger integrations. He helps CFOs think through their organization’s big picture vision and purpose and drill down to address organizational challenges, operational processes, and technological innovations.
About our guest host
Guest host Diana Stoltzfus is a partner in the National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the OCA’s Professional Practices Group.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com
We continue our video podcast miniseries focused on SEC reporting, helping you stay current on the evolving SEC landscape while taking a “back to basics” look at key reporting areas.
As the SEC undergoes significant leadership changes, this episode offers a timely look at how recent developments are reshaping regulatory priorities. We offer insights into what these changes mean for companies and what they may expect going forward.
In this episode, we discuss:
- 1:08 – The SEC’s leadership transition
- 6:35 – Interpretive guidance activity and compliance updates
- 14:53 – Crypto-related policy shifts
- 18:40 – Chair Atkins’ rulemaking priorities and enforcement strategy
- 26:28 – Executive compensation roundtable and potential disclosure reforms
- 32:19 – Legal challenges and the uncertain path ahead for the SEC’s climate rule
- 36:46 – Anticipated focus areas, including capital formation
- 40:09 – Practical advice for companies engaging with the SEC under its new leadership
In case you missed it – check out the other episodes in this video podcast miniseries:
- Inside SEC reporting: Capital formation
- Inside SEC reporting: Acquisitions and divestitures
- Inside SEC reporting: Pro forma financial information
- Inside SEC reporting: Form 8-K (current report)
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter for the latest thought leadership.
Our guests:
Elad Roisman, partner in the Corporate Governance and Board Advisory Practice and the Financial Institutions Group (FIG) Practice at Cravath, Swaine & Moore LLP.
Lindsay McCord, a PwC National Office partner specializing in matters related to the SEC and the capital markets.
Our guest host:
Kyle Moffatt, PwC’s Professional Practice leader.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com
We're excited to share another video edition of our podcast on sustainability reporting—watch along as our sustainability specialists dive into the latest developments.
Energy planning is a business issue, not just a utility issue. As the energy transition accelerates, the demands on power systems are rapidly evolving. In this episode, we explore how emerging technologies like AI are reshaping the grid, the impact of rising electricity demand, and how companies in every industry can manage the growing risks and opportunities in sustainable energy.
In this episode, we discuss:
- 1:50 – How electricity is measured and why electricity demand is rising
- 5:53 – Grid vulnerabilities and strategies to energy planning
- 10:09 – Investment challenges: aging infrastructure, supply chains, and shifts in policy
- 20:51 – The potential and hurdles of advanced nuclear and hydrogen
- 26:40 – Managing peak demand through smart technologies, market design and policy
- 32:21 – How AI is driving energy demand and why cybersecurity is now critical for industrial systems
- 43:55 – What’s next: the role of solar, gas, and storage in a balanced grid
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability standards.
About our guest
Casey Herman is a PwC Sustainability partner, leading a firmwide, cross functional team that assists companies with important ESG and sustainability matters. His team’s work spans from accurately reporting ESG data and progress to designing and implementing sustainable business strategies. Casey has more than 35 years of experience providing trust and consulting services to energy and utility companies.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com
We continue our video podcast miniseries focused on SEC reporting, helping you stay current on the evolving SEC landscape while taking a “back to basics” look at key reporting areas.
In today’s episode, we discuss Form 8-K, a critical SEC filing for timely disclosure of significant corporate events. While foundational in nature, Form 8-K reporting involves a range of complex triggers and tight deadlines. We explore the fundamentals and hot topics shaping today’s Form 8-K reporting environment—including cybersecurity disclosure requirements, materiality assessments, and frequent challenges.
In this episode, we discuss:
- 0:57 – Overview of Form 8-K reporting requirements
- 4:13 – Cybersecurity incident triggers and reporting requirements
- 7:58 – Key reminders and insights into frequent questions and common pitfalls, including:
- 15:05 –Acquisitions, dispositions, restructurings, and impairments
- 21:40 – Corporate governance-related activities
- 22:55 – Change in auditor
- 25:21 – Material contracts
- 27:04 – Change in segments
In case you missed it – check out the other episodes in this video podcast miniseries:
- Inside SEC reporting: Capital formation
- Inside SEC reporting: Acquisitions and divestitures
- Inside SEC reporting: Pro forma financial information
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter for the latest thought leadership.
About our guests
Raquel Fox is co-head of Skadden's SEC Reporting and Compliance practice and the head of the firm's U.S. ESG practice. She concentrates her practice in the areas of capital markets, M&A, corporate governance, and general corporate and securities matters, advising clients on the full range of SEC reporting and compliance requirements.
Kevin Vaughn is a PwC National Office partner specializing in SEC reporting matters. He leverages his extensive experience to support PwC public company and pre-IPO clients on accounting and SEC reporting matters. Prior to joining PwC in 2023, he spent over 18 years at the SEC, most recently serving on the leadership team in the SEC’s Office of the Chief Accountant where he focused on technical accounting consultations, SEC rulemakings, and standard setting matters.
About our guest hostKyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, he spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation.
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com
We're excited to share another video edition of our podcast on sustainability reporting—watch along as our sustainability specialists dive into the latest developments.
As sustainability reporting evolves, the GHG Protocol is undergoing its first major update in over a decade. In this episode, we break down the proposed revisions to the Corporate Standard, Scope 2 Guidance, and Scope 3 Standard—highlighting what changes are being considered, why they matter, and how they could impact future reporting frameworks.
In this episode, we discuss:
- 2:26 – The significance of the GHG Protocol and the recent overhaul to its governance and standard setting process
- 8:58 – Key focus areas of the four technical working groups (Corporate, Scope 2, Scope 3, Market Instruments)
- 14:20 – Debates as to the starting point of emissions reporting: organizational boundaries
- 20:17 – Scope 3 reporting and integration into the Corporate Standard
- 24:53 – Complex judgments in reporting scope 3, category 15 (Investments): Financed emissions
- 28:41 – Scope 2 methodology updates: market-based versus location-based emissions
- 39:08 – New questions about market instruments and project-based actions
- 44:33 – Timeline for proposed updates and what stakeholders should do now
Looking for more on GHG emissions reporting?
- Watch or listen in to our recent video podcasts on GHG reporting, Sustainability now: GHG measurement made manageableand Sustainability now: GHG reporting questions answered
- Check out our GHG podcast miniseries, Talking GHG, along with other Sustainability now episodes
- Read chapter 7 of PwC’s Sustainability reporting guide, Greenhouse gas emissions reporting
- Follow our series and subscribe to our weekly newsletter to stay in the loop
Guest: Marcin Olewinski - PwC Assurance practice partner
Host: Heather Horn - PwC National Office Sustainability and Thought Leader
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com
We continue our video podcast miniseries focused on SEC reporting, helping you stay current on the evolving SEC landscape while taking a “back to basics” look at key reporting areas.
In today’s episode, we discuss pro forma financial information. We break down when and why pro formas are required under SEC rules, and we discuss key considerations on preparation and presentation; we also share common pitfalls. Whether you’re dealing with an acquisition, divestiture, or capital raise, this episode brings you key insights to help you navigate the requirements for pro forma financial information.
In this episode, we discuss:
- 1:40 – Types of transactions that typically require SEC pro forma financial information
- 7:02 – “Significance” and when it triggers pro forma reporting requirements
- 10:22 – Types of filings in which pro forma financial information may be included
- 11:52 – Pro forma financial information reporting requirements
- 12:18 – Reporting periods required
- 15:30 – Form and content of reporting
- 24:10 – Types of pro forma adjustments (i.e., transaction accounting, autonomous entity adjustment, management adjustment)
- 36:06 – Prohibitions on the presentation of pro forma financial information
- 38:25 – Other reminders, including treatment of multiple transactions and tax effects
In case you missed it – check out the other episodes in this video podcast miniseries:
- Inside SEC reporting: Capital formation
- Inside SEC reporting: Acquisitions and divestitures
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter for the latest thought leadership.
About our guest
Scott Feely is a partner in PwC’s National Office. He has over 30 years of experience supporting clients as they address the SEC and financial reporting implications of their capital markets and merger and acquisition-related activities.
About our guest host
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com
We're excited to share another video edition of our podcast on sustainability reporting—watch along as our sustainability specialists dive into the latest developments.
In this episode, we provide an update on the European Commission’s Omnibus package and what it means for sustainability reporting under the ESRS framework. From the formal delay in wave 2 and wave 3 reporting requirements to expected simplifications of ESRS standards, we explore the latest legislative and technical developments and what companies should anticipate next. Drawing on insights from the recent EFRAG meeting and our response to their request for comment, we also highlight how stakeholder feedback is shaping the evolving landscape.
In this episode, we discuss:
- 1:19 – Overview of the EU’s omnibus package and its impacts to ESRS
- 3:00 – Legislative status of the “stop the clock” proposal and next steps for the content proposal
- 15:22 – EFRAG’s “actionable levers for substantial simplification”
- 18:38 – PwC’s response to EFRAG Questionnaire for Public Feedback: ESRS Set 1 Revision
- 31:39 – Status of proposed amendments to the EU taxonomy and advice for companies during this time of change
Resources mentioned in today’s episode:
- Sustainability now: Insights from the first CSRD reports
- In search of sustainable value: The CSRD journey begins
- PwC responds to EFRAG Questionnaire for Public Feedback: ESRS Set 1 Revision
Looking for the latest developments in sustainability reporting?
- Refer to our publication on the EU Omnibus proposals along with our prior podcast episode, Sustainability now: Navigating “Omnibus” uncertainty
- Read PwC’s Sustainability reporting guide
- Check out our sustainability reporting podcast series
Guest: Diana Stoltzfus - Partner, PwC National Office
Host: Heather Horn - PwC National Office Sustainability and Thought Leader
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com.
We continue our video podcast miniseries focused on SEC reporting, helping you stay current on the evolving SEC landscape while taking a “back to basics” look at key reporting areas.
In today’s episode, we discuss acquisitions and divestitures—transactions that often involve complex reporting requirements. We cover technical guidance and practical implications for a range of deal-related topics, including significance tests, carve-out financials, spin-off considerations, and more. In a deal environment that is both volatile and diverse, understanding reporting nuances is essential for staying ahead of regulatory requirements and market expectations.
In this episode, we discuss:
- 2:39 – Overview of the current M&A environment
- 6:50 – Distinctions between business acquisitions under US GAAP and SEC rules
- 9:58 – Reporting considerations for significant acquisitions, including:
- 16:07 – Applying the three-part significance test
- 23:20 – Requirements tied to Form 8-K, registration statements, and Form S-4
- 31:02 – Practical M&A insights
- 38:31 – Divestiture reporting and carve-out financial statement considerations
- 49:30 – Standalone reporting for divested businesses, including spin-offs, subsidiary IPOs, and private sales.
In case you missed it – check out the first episode of this video podcast miniseries, Inside SEC reporting: Capital formation. Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter for the latest thought leadership.
About our guests
Scott Feely is a partner in PwC’s National Office. He has over 30 years of experience supporting clients as they address the SEC and financial reporting implications of their capital markets and merger and acquisition-related activities.
Liz Crego is a seasoned deals advisor and our US Deals Clients and Markets leader who specializes in accounting and financial reporting associated with complex global transactions, including divestitures, capital raising activities, and M&A across sectors.
About our guest host
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
Companies face growing uncertainty about clean energy tax credits, tariffs, and the related regulatory guidance. In this episode, we explore the current state of clean energy investments, evolving financing structures, and the complex compliance landscape shaping renewable energy strategies today.
In this episode, we discuss:
- 1:19 – A refresher on the scope and objectives of the IRA
- 3:50 – How the administration change has affected clean energy projects and capital flow, including the role of new tariffs
- 14:59 – Complexities in prevailing wage, apprenticeship rules, and domestic content requirements
- 22:37 – Navigating guidance related to clean fuels and transferability of credits
- 33:33 – A look at positive outcomes like job growth, battery storage integration, and rising demand for renewables
- 33:36 – Strategic recommendations amid shifting policy, stakeholder expectations, and growing energy demands from AI
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability standards.
About our guest
Randa Barsoum is a tax partner specializing in federal energy tax credits, advising on Inflation Reduction Act (IRA) tax credits, cost segregations, and fixed assets. Randa specializes in energy-related tax incentives and has been instrumental in guiding clients through the complexities of new tax legislation.
About our guest host
Guest host Diana Stoltzfus is a partner in the National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings, policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the Professional Practices Group within the OCA.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com
This episode kicks off a new video miniseries focused on SEC reporting that will keep you up to speed on the SEC landscape and take a “back to basics” look at key reporting areas.
In today’s episode, we cover capital raising, one of the pillars of the SEC’s tripartite mission and a focus of the new SEC Chairman. Whether you're preparing for an IPO or navigating ongoing public company reporting, this discussion breaks down the key requirements and considerations. From SEC filing requirements to readiness, our guests share insights for companies at every stage of growth.
In this episode, we discuss:
- 1:11 – Overview of the capital markets, including IPO activity
- 4:48 – Key disclosure obligations for new public companies
- 17:47 – Overview of the IPO process (e.g., SEC reviews, confidential filings, roadshow and pricing process)
- 24:05 – Financial disclosures, interim reporting, and pro forma adjustments
- 32:36 – Public company readiness (e.g., governance, systems, investor communications)
- 36:12 – Other capital raising considerations (e.g., follow-on offerings, shelf registrations, seasoned issuer reviews)
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter for the latest thought leadership.
About our guests
Ryan Spencer is a partner at PwC's National Office specializing in SEC financial reporting. He has over 25 years of experience serving clients and is a frequent contributor to PwC’s publications and communications.
Mike Bellin is a PwC Deals partner who leads PwC’s US Capital Markets practice. Mike advises clients on accessing the debt and equity capital markets by providing clients with technical/project management advice on complex accounting and financial reporting issues associated with the SEC registration process, IPOs, direct listings, SPAC mergers, 144A debt and equity offerings, divestitures, spin-offs and carve-outs, and GAAP conversions.
About our guest host
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
As the first wave of companies report under the EU’s Corporate Sustainability Reporting Directive (CSRD), PwC analyzed corporate sustainability statements. In this week’s podcast, host Heather Horn welcomes back Nadja Picard, PwC’s Global Reporting Leader, to dive into the key findings from more than 250 published reports. They explore emerging trends, surprising gaps, and what these insights mean for companies yet to report.
In this episode, we discuss:
- 01:47 – Overview of PwC’s analysis of 250+ CSRD reports
- 04:29 – Key findings: variability in disclosures and early trends
- 08:49 – Most common material topics and sector-specific patterns
- 18:35 – Entity-specific disclosures: cybersecurity, AI, and tax
- 24:44 – Climate reporting practices and assurance observations
- 33:26 – Practical guidance for companies preparing to report under CSRD
For more on PwC’s analysis of 250 corporate sustainability statements, see our publication In search of sustainable value: The CSRD journey begins.
Looking for more on the investor survey referenced in today’s podcast? Check out PwC’s 2024 Global Investor Survey and PwC’s global investor survey: What’s top of mind for 2025?
About our guest
Nadja Picard is PwC’s Global Reporting Leader. In this role, she leads PwC’s global initiative to help clients transform their corporate reporting to meet investor and stakeholder demands for trusted and assured reporting beyond financial reporting. Nadja also advises companies on the accounting, corporate reporting, and investor relations requirements in advance of capital markets transactions, especially IPOs.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
In this episode, we continue our miniseries on financial statement presentation and disclosure with a focus on derivatives and hedging. Derivatives and hedging are topics applicable to many companies, but the accounting and related presentation and disclosures can be complex. This episode breaks down the requirements with practical insights and guidance.
In this episode, we discuss:
- 1:10 – An overview of derivatives and hedging, including common examples
- 3:34 – Balance sheet presentation
- 9:03 – Income statement presentation
- 11:42 – Cash flow statement classification
- 15:19 – Key disclosure requirements
For more information, see chapter 19 of our Financial statement presentation guide and our Derivatives and hedging guide. You can also listen to the other episodes in this miniseries:
- Reporting reset – Presentation fundamentals
- Reporting reset – Fair value disclosures
- Reporting reset – Consolidation disclosures
- Reporting reset – Stock-based compensation
- Reporting reset – Loans, receivables, and investments
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter for the latest thought leadership.
About our guest
Bret Dooley is a PwC National Office Deputy Chief Accountant who leads teams focused on the financial services sectors and accounting for financial instruments. He has over 25 years of experience in the financial services, banking, and capital markets industries. Bret focuses on emerging financial reporting issues related to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com.
We're excited to continue our video podcast series on the foundations of sustainability reporting. Now watch along with our sustainability specialists as they discuss the latest on sustainability.
With the first wave of companies reporting under the European Sustainability Reporting Standards (ESRS), we address some practical implementation questions about GHG emissions reporting and provide practical examples to help companies apply the ESRS requirements.
In this episode, we discuss:
- 2:45 – Organizational boundary guidance under the GHG Protocol versus ESRS, including insights on some challenges companies are facing
- 5:27 – Reporting emissions from leased assets
- 13:13 – Reporting emissions associated with investment entities
- 18:33 – Scope 3 measurement and minimum boundaries
- 44:02 – Determining relevant scope 3 categories
- 50:25 – Complexities when disclosing targets
Looking for more on GHG emissions reporting?
- *Refer to our publication on the EU Omnibus proposals to amend certain of the reporting requirements, including some that may be mentioned in this episode (this episode was recorded prior to the release of the Omnibus)
- Watch or listen in to last week’s video podcast, Sustainability now: GHG measurement made manageable
- Check out our GHG miniseries, Talking GHG, along with other Sustainability now episodes
- Read Chapter 7 of PwC’s Sustainability reporting guide, Greenhouse gas emissions reporting
- Follow our series and subscribe to our weekly newsletter to stay in the loop
About our guest
Marcin Olewinski is a PwC Assurance practice partner, with over 20 years of experience bringing valued perspectives and insights to large clients in the energy sector. Additionally, he’s focused extensively within PwC’s National Office on greenhouse gas emissions and sustainability reporting and leads PwC’s global technical working group focused on GHG.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
We continue our back-to-basics series on financial statement presentation and disclosure with a focus on loans, receivables, and investments – accounts that affect nearly every business. In this episode, we walk through the key presentation and disclosure requirements and examine recent guidance updates for creditors accounting for certain loan modifications.
In this episode, we discuss:
- 2:05 – Key considerations for loans and receivables, including:
- 3:08 – Presentation in the balance sheet and income statement
- 7:20 – Disclosure requirements
- 8:35 – New guidance (ASU 2022-02) on creditors’ accounting for certain loan modifications
- 13:30 – Key considerations for investments, including:
- 14:05 – Presentation in the balance sheet and income statement
- 18:22 – Disclosure requirements
For more information, see chapter 9 of our Financial statement presentation guide and our Loans and investments guide. You can also listen to the other episodes in this miniseries:
- Reporting reset – Presentation fundamentals
- Reporting reset – Fair value disclosures
- Reporting reset – Consolidation disclosures
- Reporting reset – Stock-based compensation
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter for the latest thought leadership.
About our guestCatherine Espino is a partner in PwC’s National Office with 20 years of experience serving large financial institutions, broker-dealers, as well as smaller subsidiaries and private companies. Catherine focuses on advising companies within the financial services and non-financial services sectors on significant and complex accounting issues.
About our guest hostKyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com.
Greenhouse gas (GHG) emissions reporting is central to sustainability disclosures—and measuring those emissions accurately is critical to transparent reporting. In this episode, we walk through PwC’s five-step process for GHG reporting, with a deep dive into measurement approaches across scope 1, 2, and 3 emissions.
In this episode, we discuss:
- 1:40 – PwC’s 5-step process for GHG emissions reporting
- 6:43 – Scope 1 emissions: direct and indirect measurement methodologies
- 13:56 –Scope 2 emissions: market-based versus location-based methods
- 33:17 – Scope 3 emissions: minimum boundaries and measurement approaches for upstream and downstream emissions
- 50:24 – Key takeaways on measuring emissions based on practical experience
Looking for more on GHG emissions reporting?
- Check out our GHG miniseries, Talking GHG, along with other Sustainability now episodes
- Read Chapter 7 of PwC’s Sustainability reporting guide, Greenhouse gas emissions reporting
- Follow our series and subscribe to our weekly newsletter to stay in the loop
About our guest
Marcin Olewinski is a PwC Assurance practice partner, with over 20 years of experience bringing valued perspectives and insights to large clients in the energy sector. Additionally, he’s focused extensively within PwC’s National Office on greenhouse gas emissions and sustainability reporting and leads PwC’s global technical working group focused on GHG.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
We continue our back-to-basics series on financial statement presentation and disclosure with an episode focused on stock-based compensation. This episode breaks down the key presentation and disclosure principles and how stock-based compensation is reflected in each of the financial statements.
In this episode, we discuss:
- 0:55 – Stock-based compensation presentation in the:
- 1:09 – Balance sheet
- 9:36 – Income statement
- 11:34 – Statement of cash flows
- 18:29 – Statement of stockholders’ equity
- 20:58 – Key stock-based compensation disclosure requirements
For more information, see chapter 15 of our Financial statement presentation guide and our Stock-based compensation guide. You can also listen to the other episodes in this miniseries:
- Reporting reset – Presentation fundamentals
- Reporting reset – Fair value disclosures
- Reporting reset – Consolidation disclosures
Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter for the latest thought leadership.
About our guest
Ken Stoler is a partner in PwC’s National Office who specializes in financial reporting and plan design issues related to equity compensation arrangements, retirement and healthcare plans, and other benefits. He has helped companies navigate their employee compensation issues during IPOs, spin offs, acquisitions, and other major transactions or events.
About our host
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com.
We're excited to continue our video podcast series on the foundations of sustainability reporting. Now watch along with our sustainability specialists as they discuss the latest on sustainability.
In this episode, we explore the foundational concepts that underpin sustainability reporting. From qualitative characteristics and connectivity with financial statements to measurement approaches and general disclosure requirements, we break down what preparers need to know under both the European Sustainability Reporting Standards (ESRS) and International Sustainability Standards Board (ISSB) standards.
In this episode, we discuss:
- 1:52 – An overview of the foundations of sustainability reporting
- 3:10 – The qualitative characteristics of sustainability reporting under ESRS and ISSB standards
- 15:29 – Connectivity with the financial statements
- 18:12 – Three steps to develop quantitative measurements
- 29:31 – General disclosure requirements under ESRS and ISSB standards
Looking for the latest developments in sustainability reporting?
- Read Chapter 5 of PwC’s Sustainability reporting guide, Foundations of sustainability reporting
- Follow our series and subscribe to our weekly newsletter to stay in the loop
About our guestDiana Stoltzfus is a partner in the National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings, and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the Professional Practices Group within the OCA.
About our hostHeather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
We continue our back-to-basics series on financial statement presentation with an episode focused on consolidation disclosures. These disclosures can be complex, covering both consolidated entities – such as variable interest entities (VIEs) and voting interest entities (VOEs) – as well as variable interests in VIEs that are not consolidated. This episode breaks down the relevant frameworks, presentation principles, and disclosure requirements.
In this episode, we discuss:
- 2:00 – The purpose of consolidated financial statements and the guiding frameworks
- 5:50 – General consolidation presentation and disclosure principles
- 8:00 – Principles and objectives for the presentation and disclosure of variable interests in VIEs, including from the perspective of:
- 12:22 – A holder of variable interests in a VIE, regardless of primary beneficiary status
- 14:21 – A primary beneficiary of a VIE
- 16:17 – An entity with variable interests in VIEs for which it is not the primary beneficiary
- 20:35 – Presentation and disclosure considerations for VOEs
For more information, see chapter 18 of our Financial statement presentation guide and our Consolidation guide. You can also listen to the other episodes in this miniseries:
- Reporting reset – Presentation fundamentals
- Reporting reset – Fair value disclosures
About our guestsAlexander Martin is a partner in PwC's Deals practice who specializes in helping clients solve complex accounting, financial reporting, and business issues arising from deals, structured transactions, and other transformational events. With over 15 years of experience, Alexander has deep expertise in US GAAP and SEC reporting, gained through his roles as an advisor in PwC's Deals practice, a regulator at the SEC, and most recently as a partner in PwC's National Office.
Matt Sabatini is a partner in PwC's National Office who helps clients and engagement teams navigate the accounting and financial reporting for complex transactions. He specializes in the accounting for M&A, consolidations, corporate reorganizations, recapitalizations, joint ventures, and other investments.
About our guest hostDiana Stoltzfus is a partner in the National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings, and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the Professional Practices Group within the OCA.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com.
We're excited to continue our video podcast series on the foundations of sustainability reporting. Now watch along with our sustainability specialists as they discuss the latest on sustainability.
Despite the ever-changing landscape, materiality remains the cornerstone of sustainability reporting – and it’s here to stay. In this episode, we discuss how materiality is defined and applied under both the European Sustainability Reporting Standards (ESRS) and International Sustainability Standards Board’s (ISSB) standards, highlighting key similarities and differences.
In this episode, we discuss:
- 2:13 – Understanding double materiality and impacts, risks, and opportunities (IROs) in the ESRS framework
- 19:15 – Considering long-term horizons, cumulative effects, and uncertainty under ESRS
- 26:39 – Disclosure of relevant IROs under ESRS, including the importance of stakeholders
- 34:21 – The concept of materiality under ISSB standards
- 40:23 – ISSB risks and opportunities
Identifying impacts, risks, and opportunities as well as performing a double materiality assessment are fundamental areas of reporting in accordance with ESRS that are not expected to be impacted by the European Commission’s “Omnibus” proposals at this time. For information on how the “Omnibus” proposals could impact reporting, check out PwC’s publication.
About our guestDiana Stoltzfus is a partner in the National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings, and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the Professional Practices Group within the OCA.
About our hostHeather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
We continue our back-to-basics series on financial statement presentation with an episode focused on fair value disclosures. Fair value measurements are used across many areas of financial reporting—and the related disclosure requirements can be extensive. From recurring versus nonrecurring measurement disclosures to those relating to fair value hierarchy, we highlight key considerations.
In this episode, we discuss:
- 1:09 – General fair value disclosure requirements
- 8:13 – Fair value hierarchy disclosures
- 14:52 – Disclosures of unobservable inputs and valuation techniques
- 17:04 – Concentrations of credit risk and market risk disclosures
- 18:35 – Fair value disclosures for instruments not measured at fair value
- 19:48 – Applying the fair value option
- 27:52 – SEC comment letter trends
For more information, see chapter 20 of our Financial statement presentation guide and our Fair value guide. You can also listen to the first episode in this series, Reporting reset – Presentation fundamentals. Be sure to follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to for the latest thought leadership.
About our guestBret Dooley is a PwC National Office Deputy Chief Accountant who leads teams focused on the financial services sectors and accounting for financial instruments. He has over 25 years of experience in the financial services, banking, and capital markets industries. Bret focuses on emerging financial reporting issues related to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters.
About our hostHeather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com.
We're excited to continue our video podcast series on the foundations of sustainability reporting. Now watch along with our sustainability specialists as they discuss the latest on sustainability.
Understanding the boundaries, or reporting scope, of sustainability reporting frameworks, including with the European Sustainability Reporting Standards and IFRS Sustainability Disclosure Standards, is critical for compliance. In this episode, we explore key concepts like own operations, value chain, and time boundaries to help companies navigate sustainability reporting alongside financial reporting.
In this episode, we discuss:
- 1:08 – What the term “boundaries” means for sustainability reporting
- 2:49 – How sustainability and financial reporting boundaries compare
- 14:31 – Understanding upstream and downstream value chains and why they are part of sustainability reporting
- 25:32 – Time horizons for reporting, including short, medium, and long term
- 30:38 – How to handle changes in entity structure during the year
ICYMI: Check out the five episodes of this miniseries:
- Sustainability now: Navigating shifts in the reporting landscape
- Sustainability now: An overview of key reporting frameworks
- Sustainability now: Determining required reporting
- Sustainability now: Navigating “Omnibus” uncertainty
- Sustainability now: California climate reporting laws continue on
About our guestDiana Stoltzfus is a partner in the National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings, and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the Professional Practices Group within the OCA.
About our hostHeather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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We kick off our latest accounting series focused on financial statement presentation and we go back to the basics. This first episode sets the stage by covering foundational reporting principles, key disclosure considerations, notable differences between public and private company financial statements, and accounting changes and error corrections.
In this episode, we discuss:
- 1:04 – Foundational GAAP and SEC requirements for financial statement presentation
- 2:46 – Determining appropriate reporting periods
- 5:01 – Balance sheet presentation: classification, required disclosures, and best practices
- 11:23 – Income statement presentation: structure and key considerations
- 21:10 – Accounting changes, estimates, and error corrections
- 31:50 – Subsequent events: recognition and disclosure
For more on this topic read the following chapters in our Financial statement presentation guide:
- Chapter 1: General presentation and disclosure requirements
- Chapter 2: Balance sheet
- Chapter 3: Income statement
- Chapter 28: Subsequent events
- Chapter 30: Accounting changes
Additionally, follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership.
About our guestPat Durbin is a PwC National Office Deputy Chief Accountant. He has over 30 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.
About our hostGuest host Diana Stoltzfus is a partner in the National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings, and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the Professional Practices Group within the OCA.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com.
California’s climate disclosure laws have broad implications for businesses worldwide. In this episode, we break down the key reporting requirements, including on greenhouse gas (GHG) and climate risk, and discuss how companies—whether headquartered in California or not—can prepare.
In this episode, we discuss:
- 1:10 – Overview of California’s climate disclosure laws
- 3:45 – Scope of California SB 253
- 14:05 – Greenhouse gas reporting required by California SB 253
- 24:52 – Scope of California SB 261
- 31:42 – Climate risk reporting under the Task Force on Climate-Related Financial Disclosures (TCFD) framework
- 37:57 – Interoperability with the International Sustainability Standards Board and the European Sustainability Reporting Standards
- 39:18 – California legal challenges, activity in other states, and why companies should continue to move forward
As referenced in the episode, check out PwC’s report Still early days – A review of year two of TCFD reporting for more information on reporting in accordance with the TCFD.
About our guestsMarcin Olewinski is a PwC Assurance practice partner with over 20 years of experience bringing valued perspectives and insights to large clients in the energy sector. Additionally, he’s focused extensively within PwC’s National Office on greenhouse gas emissions and sustainability reporting and leads PwC’s global technical working group focused on GHG.
Diana Stoltzfus is a partner in the National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings, and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the Professional Practices Group within the OCA.
Valerie Wieman is a PwC National Office partner with over 30 years of experience. She is one of the firm’s technical experts on sustainability reporting and helps lead the creation, development, and publication of our brand-defining thought leadership, with a focus on domestic and international sustainability requirements.
About our hostHeather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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Tariffs are dominating headlines and reshaping global trade. In this episode we break down what they may mean for businesses and financial reporting, and we share insights on how companies can prepare.
In this episode, we discuss:
- 1:44 – Overview of tariffs and the current state of play
- 16:28 – Key financial reporting impacts
- 21:12 – Reciprocal tariffs: Country- and industry-specific impacts
- 25:44 – Accounting implications: Cost capitalization, customer contracts, asset impairments, income taxes, and disclosures
- 37:30 – Strategies for managing tariff impacts
For more on this topic, read our publications, Accounting implications of tariffs and How Trump's tariffs could impact US companies.
About our guestsChristopher Desmond is a leader in PwC's US Global Trade Services team with over 20 years of experience in transfer pricing. He is known for customized offerings in trade / tariffs combined with other specialties such as supply chain, transfer pricing, and international tax. Chris develops transfer pricing and value chain strategies to help clients manage their businesses using a “best foot forward” approach.
Pat Durbin is a PwC National Office Deputy Chief Accountant. He has over 30 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.
About our hostHeather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com.
We're excited to continue our video podcast series on the foundations of sustainability reporting. Now watch along with our sustainability specialists as they discuss the latest on sustainability.
In this bonus episode, we break down the EU’s Omnibus proposal released on February 26, covering key changes to the Corporate Sustainability Reporting Directive (CSRD), including potential impacts to timing and requirements. Join PwC’s Heather Horn and Diana Stoltzfus as they discuss the implications for companies and what’s next in the legislative process.
In this episode, we discuss:
- 1:46 – Background on the regulatory changes driving the Omnibus proposals
- 5:20 – The process and timeline of the CSRD proposals
- 9:58 – Two CSRD proposals – “stop the clock” and content revision – and potential implications
- 29:30 – The next steps for these proposals
- 31:40 – Proposed changes to EU Taxonomy regulations and member state transposition
- 37:28 – How companies can consider these potential changes before they become final
ICYMI: Check out the first three episodes of this miniseries:
- Sustainability now: Navigating shifts in the reporting landscape
- Sustainability now: An overview of key reporting frameworks
- Sustainability now: Determining required reporting
About our guestDiana Stoltzfus is a partner in the National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings, and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the Professional Practices Group within the OCA.
About our hostHeather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com.
We're excited to continue a video podcast series on the foundations of sustainability reporting. Now watch along with our sustainability specialists as they discuss the latest on sustainability.
Understanding which sustainability reporting frameworks apply to your company is a crucial first step in compliance. In this episode, we break down the complexities of determining which reporting frameworks apply to which entities, from the EU’s Corporate Sustainability Reporting Directive (CSRD) to the International Sustainability Standards Board’s standards. We also explore how companies can navigate reporting requirements across jurisdictions.
In this episode, we discuss:
- 2:20 – Where to begin the reporting process
- 4:29 – Determining if an entity falls under the CSRD requirements
- 28:58 – ISSB adoption and global reporting considerations
- 31:17 – Practical advice for companies navigating reporting developments
ICYMI: Check out the first two episodes of this miniseries, Sustainability now: Navigating shifts in the reporting landscape and Sustainability now: An overview of key reporting frameworks.
Looking for the latest developments in sustainability reporting?
- *Refer to our publication on the EU Omnibus proposals to amend certain of the reporting requirements, including some that may be mentioned in this episode (this episode was recorded prior to the release of the Omnibus)
- Read PwC’s Sustainability reporting guide
- Follow our series and subscribe to our weekly newsletter to stay in the loop.
About our guestValerie Wieman is a PwC National Office partner with over 30 years of experience. She is one of the firm’s technical experts on sustainability reporting and helps lead the creation, development, and publication of our brand-defining thought leadership, with a focus on domestic and international sustainability requirements.
About our hostHeather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com.
In this episode, we continue with an overview of key frameworks, regulatory developments, and resources to leverage on the reporting journey. Host Heather Horn is joined by PwC sustainability reporting specialists and National Office partners, Marcin Olewinski, Diana Stolzfus, and Valerie Wieman to cover the key sustainability reporting frameworks that are expected to have the broadest impact globally as well as interoperability among them.
In this episode, we discuss:
- 1:45 – Overview of the key sustainability reporting frameworks expected to have the broadest impact globally
- 5:07 – Corporate Sustainability Reporting Directive, or CSRD, as part of a broader EU regulatory regime*
- 14:18 – International Sustainability Standards Board, or ISSB, standards and inoperability with other frameworks
- 29:10 – GHG Protocol for mandatory and voluntary reporting of greenhouse gas emissions now and in the future
- 36:13 – Voluntary reporting frameworks including:
- Task Force on Climate-related Financial Disclosures (TCFD)
- Global Reporting Initiative (GRI)
- Climate Disclosure Standards Board (CDSB)
- Task Force on Nature-related Financial Disclosures (TNFD)
- 44:53 – Practical advice on approaching sustainability reporting requirements in an evolving landscape
About our guestsMarcin Olewinski is a PwC Assurance practice partner, with over 20 years of experience bringing valued perspectives and insights to large clients in the energy sector. Additionally, he’s focused extensively within PwC’s National Office on greenhouse gas emissions and sustainability reporting and leads PwC’s global technical working group focused on GHG.
Diana Stoltzfus is a partner in the National Office who helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings, and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the Professional Practices Group within the OCA.
Valerie Wieman is a PwC National Office partner with over 30 years of experience. She is one of the firm’s technical experts on sustainability reporting and helps lead the creation, development, and publication of our brand-defining thought leadership, with a focus on domestic and international sustainability requirements.
About our hostHeather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
A video of this podcast is available on YouTube, Spotify, or PwC’s website at viewpoint.pwc.com
As the headlines continue to highlight, the sustainability reporting landscape is evolving rapidly in the US and beyond. In this episode, we kick off our miniseries on the foundations of sustainability reporting by exploring key US regulatory shifts under the new administration, the role of sustainability initiatives in various US states, and global sustainability reporting trends and updates. We break down what these developments mean for businesses and how to prepare for what's to come.
In this episode, we discuss:
- 02:53 – The fast-changing sustainability reporting landscape
- 05:54 – SEC climate rule updates and expected regulatory shifts
- 22:33 – State sustainability regulations: California and other states
- 27:13 – The potential impact of the upcoming EU’s omnibus regulations
- 30:06 – How to move forward amid uncertainty
Looking for the latest developments in sustainability reporting?
- Read PwC’s Sustainability reporting guide
- Refer to Acting Chairman Mark Uyeda’s Statement on climate-related disclosure rules
- Follow our series and subscribe to our weekly newsletter to stay in the loop
About our guestKyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
About our hostHeather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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2025 has ushered in a new wave of public policy changes with the return of the Trump administration and Republican control of all three branches of government. From executive orders and regulatory shifts to SEC developments, trade policies, and AI regulation, businesses are facing a rapidly-evolving landscape. In this episode, we break down the latest updates and the impacts they could have on businesses.
In this episode, we discuss:
- 1:50 – The rapid pace of executive orders and regulatory actions
- 9:27 – The current priorities of the new administration
- 22:30 – Potential impacts on the PCAOB and SEC
- 40:29 – Tax policy outlook and potential corporate tax changes
- 49:21 – AI regulation, mergers and acquisitions, and more
For more on the new administration’s impacts on tax policy, listen to PwC’s Accounting podcast episode: US tax policy outlook – What’s ahead of 2025. Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability standards.
About our guestRoz Brooks is PwC's US Public Policy Leader. Roz is responsible for ensuring PwC has a voice in important debates at the nexus of business and government and helping the firm successfully execute its business strategy. Roz leads PwC’s engagement with Congress, the White House, regulatory agencies, state and local governments, and organizations including trade associations, think tanks, and NGOs.
About our hostGuest host Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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With a new administration in place and key provisions of the Tax Cuts and Jobs Act set to expire, 2025 is shaping up to be a pivotal year for US tax policy. In this episode, we break down the latest policy developments, potential new legislation, and what these changes could mean for businesses.
In this episode, we discuss:
- 1:41 – The current landscape of US tax policy
- 6:31 – The legislative roadmap, including budget reconciliation
- 13:14 – Key provisions likely to shape a 2025 tax bill
- 23:31 – International tax initiatives and their connection to US policy
- 29:05 – Steps businesses can take to prepare for tax changes
For more information, see our publication, 2025 Tax Policy Outlook: A year for action. Additionally, follow this podcast on your favorite podcast app for more episodes.
About our guest:Pat Brown is PwC’s National Tax Office Co-Leader. Prior to joining PwC, he spent 16 years in the private sector, including as the director of tax policy for a Fortune 50 company. Pat has also served in the US Treasury’s Office of Tax Policy as an attorney-advisor and as Associate International Tax Counsel.
About our host:Guest host Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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The FASB’s new disaggregation of income statement expenses (DISE) standard requires disclosures about specific types of expenses included in the expense captions presented on the face of the income statement as well as disclosures about selling expenses. In this episode, we explore the scope, key provisions, and practical challenges of implementing the new standard.
In this episode, we discuss:
- 2:32 – Overview of FASB’s DISE standard
- 5:00 – Which entities are impacted by the new requirements
- 7:53 – Key disclosure requirements, including tabular reporting
- 13:26 – Challenges in disclosing inventory-related expenses
- 20:07 – Use of estimates and data limitations in reporting
- 27:33 – Transition timeline and practical steps for implementation
For more information, see our publication, FASB issues new disaggregated expense disclosure requirements (DISE). Additionally, follow this podcast on your favorite podcast app for more episodes.
About our guests:Angela Fergason is a partner and standard setting leader in PwC's National Office who specializes in accounting for revenue and employee compensation arrangements. She also consults on a range of financial reporting issues impacting technology companies.
Gary Sardo is a partner in PwC’s National Office who specializes in financial reporting matters that impact health industries and, more broadly, consults on a range of accounting topics, including acquisitions, divestitures, consolidation, and revenue recognition. Prior to this role, Gary completed a two-year fellowship at the FASB.
About our host:Guest host Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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In each episode of our Year-end toolkit series, our guests share insights on key areas of the year-end accounting and reporting process. The conversations are relevant for all finance teams, even if it’s not year-end close time. And it’s relevant even for those not engaged in the company’s closing process – the episodes have something for everyone. In this bonus episode of our Year-end toolkit series, we share reminders and insights on IFRS reporting for companies that are getting ready to report in 2025.
In this episode, we discuss:
- 2:18 – Segment disclosures
- 4:51 – Accounting standards newly applicable for December 31, 2024 year ends, including those related to:
- 5:07 – Non-current liabilities with covenants
- 7:25 – Supplier finance arrangements
- 10:22 – Sale and leaseback transactions
- 11:38 – Recent priorities and focus areas of European regulators that may impact US companies
- 20:27 – Hyperinflationary economies
- 23:36 – New IFRS accounting standards effective in 2025 and beyond and looking ahead to 2025 broadly
Additionally, follow this podcast on your favorite podcast app for more episodes.
About our guest:Gary Berchowitz is the corporate accounting topic team leader in PwC’s Global Assurance Quality - Corporate Reporting Services group. Gary brings over 20 years of financial accounting experience, working to drive quality and connectivity throughout the PwC network and help local teams solve complex accounting issues in a practical way. Gary leads the development of PwC’s global view on a variety of financial reporting matters.
About our host:Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
In each episode of our Year-end toolkit series, our guests share insights on key areas of the year-end accounting and reporting process. The conversations are relevant for all finance teams, even if it’s not year-end close time. And it’s relevant even for those not engaged in the company’s closing process – the episodes have something for everyone.
In this episode, we provide an overview of new standards effective in 2025. Our discussion will help get you up to speed as you prepare for 2025 (and don’t forget that the impact of adopting new standards may also need to be disclosed in your 2024 financial statements).
In this episode, we discuss new standards related to the following topics:
- 2:08 – An overview of the new standards effective in 2025
- 3:42 – Joint venture formations
- 12:53 – Crypto assets
- 24:39 – Profits interests and similar awards
- 33:39 – Investments in tax credit entities
Additionally, follow this podcast on your favorite podcast app for more episodes.
About our guest:Jay Seliber is a partner in PwC’s National office. He leverages over 30 years of experience to help clients with their most complex accounting matters, particularly in the areas of mergers and acquisitions, revenue recognition, stock compensation, earnings per share, employee benefits, restructurings, impairments, and financing transactions.
About our host:Guest host Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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We are revisiting a conversation on Talking ESG that was originally recorded in September at NYC Climate Week to highlight our host and guest appearing together on The Atlantic's podcast, The Most Interesting Thing In A.I. In both episodes, they examine the intersection of two trending topics: AI and sustainability, discussing the environmental impact of AI and the balance between AI's benefits and its environmental footprint.
Listen in to this reissued episode in which Scott Likens, PwC Global Chief AI Engineer, and host Heather and Horn discuss:
- 3:17 – How AI is impacting sustainability
- 8:54 – Why AI and sustainability aren’t necessarily opposing forces
- 17:28 – Practical examples of utilizing AI to optimize energy usage
- 28:22 – The broader benefits of using AI to impact sustainability
- 31:05 – Balancing AI’s benefits with its environmental footprint
- 38:32 – Advice for both companies and individuals leveraging AI
Also listen as Heather and Scott were guests on The Atlantic's The Most Interesting Thing In A.I. podcast hosted by Nicholas Thompson. In that episode, they expanded the dialogue on AI and its role in addressing climate concerns to further examine the balance between leveraging AI for progress and mitigating its environmental impact.
Looking for more from PwC on AI? Check out PwC’s 2024 US Responsible AI Survey and 2025 AI Business Predictions.
Scott Likens is the Global and US Chief AI Engineer leading and overseeing the AI Engineering and Emerging Technology teams in the United States. With more than 30 years of emerging technology experience, he has helped clients transform their customer experience and enhance their digital operations across all aspects of their business.
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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In each episode of our Year-end toolkit series, our guests share insights on key areas of the year-end accounting and reporting process. The conversations are relevant for all finance teams, even if it’s not year-end close time. And it’s relevant even for those not engaged in the company’s closing process – the episodes have something for everyone.
In this episode, we talk about the audit committee from the perspective of management. We discuss strategies for finance teams as they prepare for audit committee meetings to elevate their effectiveness, along with the top issues audit committees are focused on for 2025.
In this episode, we discuss:
- 2:31 – Strategies for improving management communication and collaboration with audit committees
- 5:00 – Key issues finance teams should prepare to address with audit committees in 2025, including:
- 5:23 – Impacts of the presidential administration change
- 8:03 – Best practices for managing the board agenda
- 12:50 – The role of technology transformation and AI in business
- 17:09 – Navigating mergers and acquisitions effectively
- 22:40 – Strengthening risk oversight and enhancing disclosures
- 26:22 – Insights into core areas of audit committee oversight, including financial reporting and controls
- 36:33 – Trends and best practices in public company audit committee disclosures
Additionally, follow this podcast on your favorite podcast app for more episodes.
About our guest:
Stephen Parker is a partner in PwC’s Governance Insights Center, which strives to strengthen the connection between directors, executive teams, and investors by helping them navigate the evolving governance landscape. With more than 30 years of experience, Stephen has advised boards of directors on a variety of complex financial reporting matters. Stephen’s client service experience includes energy and utility companies, financial services companies, and nonprofits.
About our host:
Guest host Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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In each episode of our Year-end toolkit series, our guests share insights on key areas of the year-end accounting and reporting process. The conversations are relevant for all finance teams, even if it’s not year-end close time. And it’s relevant even for those not engaged in the company’s closing process – the episodes have something for everyone.
This episode covers the statement of cash flows - what statement of cash flow areas the SEC is focusing on, why it remains a frequent area of restatement, and the most commonly asked questions our team is seeing in practice.
In this episode, we discuss:
- 4:11 – Key takeaways from the 2024 AICPA/SEC Conference
- 9:43 – Funds held on behalf of others and assessing predominance
- 18:48 – Non-cash transactions, constructive receipt and disbursement, and the cash flow treatment of cryptocurrency
- 28:50 – Gross versus net cash flows and cash flow treatment of: excise taxes, insurance recoveries, and debt restructuring
- 39:30 – FASB project on the statement of cash flows for financial institutions
For more on the statement of cash flow presentation, see Chapter 6 – Statement of cash flows in PwC’s Financial statement presentation guide.
Bret Dooley is a PwC National Office Deputy Chief Accountant who leads teams focused on the financial services sectors and accounting for financial instruments. He has over 25 years of experience in the financial services, banking, and capital markets industries. Bret focuses on emerging financial reporting issues related to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters
Suzanne Stephani is a director in PwC’s National Office specializing in the statement of cash flows, as well as the application and interpretation of the accounting guidance related to financing and leasing transactions.
About our host
Guest host Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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In each episode of our Year-end toolkit series, our guests share insights on key areas of the year-end accounting and reporting process. The conversations are relevant for all finance teams, even if it’s not year-end close time. And it’s relevant even for those not engaged in the company’s closing process – the episodes have something for everyone.
In this next episode of our series, PwC’s US Assurance Quality Management leader, Michael Mullen, shares insights and key reminders on navigating materiality judgments.
In this episode, we discuss:
- 4:51 – A refresher on the framework for assessing materiality and errors in financial statements
- 20:44 – Recent SEC statements and areas of focus relating to materiality and errors
- 31:43 – Considerations related to fraud and illegal acts
- 37:47 – Final advice and key takeaways in navigating materiality assessments
Check out our other episodes in this miniseries:
- Year-end toolkit: Year in review from the corner office
- Year-end toolkit: Accounting and reporting reminders for 2025
- Year-end toolkit: Audit reminders for preparers
- Year-end toolkit: Tax accounting and reporting reminders for 2025
Additionally, follow this podcast on your favorite podcast app for more episodes.
Michael Mullen is PwC’s US Assurance Quality Management leader. In this role, he oversees complex client issues, providing technical insights and expertise in support of overall quality. With over 35 years of client service experience, Michael has led numerous global client engagements.
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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In each episode of our Year-end toolkit series, our guests share insights on key areas of the year-end accounting and reporting process. The conversations are relevant for all finance teams, even if it’s not year-end close time. And it’s relevant even for those not engaged in the company’s closing process – the episodes have something for everyone.
In this next episode of our series, we discuss tax accounting and reporting reminders with Jennifer Spang, PwC’s National Office income tax accounting leader. We cover a variety of tax accounting and reporting topics, including the impact of recent election results and the associated tax impacts expected in 2025.
In this episode, we discuss:
- 2:40 – Anticipated tax implications following the 2024 US election results
- 10:50 – Pillar Two
- 17:36 – The FASB’s disclosure standard
- 21:58 – Uncertain tax positions
- 27:56 – Inflation Reduction Act credits and valuation allowances
- 32:43 – Advice for year-end income tax accounting
For more information about key developments at the AICPA & CIMA conference, see our publication, 2024 AICPA & CIMA Conference: Current SEC and PCAOB Developments and see our publication, Accounting for Pillar Two: Frequently asked questions for the latest on the topic.
Also, check out our other episodes in this miniseries:
- Year-end toolkit: Audit reminders for preparers
- Year-end toolkit: Year in review from the corner office
- Year-end toolkit: Accounting and reporting reminders for 2025
And please follow this podcast on your favorite podcast app for more episodes.
Jennifer Spang is PwC’s National Office income tax accounting leader, specializing in tax accounting under US GAAP and IFRS. She has over 30 years of experience helping companies in a variety of industries navigate complex tax accounting matters.
Guest host Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
In each episode of our Year-end toolkit series, our guests share insights on key areas of the year-end accounting and reporting process. The conversations are relevant for all finance teams, even if it’s not year-end close time. And it’s relevant even for those not engaged in the company’s closing process – the episodes have something for everyone.
In this next episode of our miniseries, we discuss audit-related reminders for preparers with Brian Croteau, PwC’s US Chief Auditor. In this episode we share timely insights for preparers to consider for the year-end audit, which is another important part of year-end accounting and reporting.
In this episode, we discuss auditing considerations related to:
- 3:13 – Key takeaways from the AICPA & CIMA Conference: Current SEC and PCAOB Developments
- 12:06 – Accounting policies and controls
- 20:28 – The execution or modification of significant contracts and agreements
- 23:08 – Complete and accurate disclosures within the financial statements
- 26:48 – Independence
- 28:54 – Known or suspected fraud or illegal acts
- 34:44 – AI in financial reporting
For more information about key developments at the AICPA & CIMA conference, see our publication, 2024 AICPA & CIMA Conference: Current SEC and PCAOB Developments. Also, check out our other episodes in this miniseries:
- Year-end toolkit: Year in review from the corner office
- Year-end toolkit: Accounting and reporting reminders for 2025
Additionally, follow this podcast on your favorite podcast app for more episodes.
Brian Croteau is the US Chief Auditor. He oversees the establishment and maintenance of PwC’s audit policies and practices, leads efforts to directly support PwC’s audit quality objectives, and plays a key role in the monitoring and assessment of audit quality. He also leads the firm’s efforts related to its relationship with the PCAOB, including supporting all aspects of the PCAOB’s inspection process. Brian currently serves as a member of the PCAOB’s Standards and Emerging Issues Advisory Group (SEIAG) and the SEIAG’s Emerging Issues in Auditing subcommittee. Prior to rejoining PwC, he served as the Deputy Chief Accountant of the Professional Practice Group within the Office of the Chief Accountant at the SEC where he played a key role in the SEC’s oversight of the activities of the PCAOB, managed the resolution of auditor independence issues and ethical matters, and monitored audit and independence standard setting internationally.
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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In each episode of our Year-end toolkit series, our guests share insights on key areas of the year-end accounting and reporting process. The conversations are relevant for all finance teams, even if it’s not year-end close time. And it’s relevant even for those not engaged in the company’s closing process – the episodes have something for everyone.
In this next episode of our series, we discuss accounting and reporting reminders and timely insights with some of the top technical leaders from our National Office. A one-stop shop for year end, we cover a variety of accounting and reporting topics from contract modifications to financing transactions to segments and many things in between.
In this episode, we discuss accounting and reporting reminders related to:
- 2:03 – Natural disasters
- 6:04 – Highly inflationary economies
- 8:20 – Tax regulatory landscape
- 12:07 – Close calls on impairments and other accounting estimates
- 14:13 – Revenue
- 15:56 – Contract modifications
- 25:41 – Capital raising transactions
- 32:35 – Statement of cash flows
- 37:05 – Segment reporting
- 43:28 – Supplier finance obligations
- 44:59 – New standards and looking ahead to 2025
Check out the other episode in this miniseries, Year-end toolkit: Year in review from the corner office. Additionally, follow this podcast on your favorite podcast app for more episodes.
Beth Paul is a Deputy Chief Accountant in PwC’s National Office responsible for a team of consultants that specialize in business combinations and related areas, such as consolidations, disposals, impairments, and segment reporting. She has over 30 years of experience consulting with clients and engagement teams on complex accounting matters.
Bret Dooley is a PwC National Office Deputy Chief Accountant who leads teams focused on the financial services sectors and accounting for financial instruments. He has over 25 years of experience in the financial services, banking, and capital markets industries. Bret focuses on emerging financial reporting issues related to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters
Pat Durbin is a PwC National Office Deputy Chief Accountant. He has over 30 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.
Guest host Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.
In each episode of our Year-end toolkit series, our guests share insights on key areas of the year-end accounting and reporting process. The conversations are relevant for all finance teams, even if it’s not year-end close time. And it’s relevant even for those not engaged in the company’s closing process – the episodes have something for everyone.
To kick off the series, host Heather Horn is joined by Tim Carey, PwC National Office leader, and Kyle Moffatt, PwC National Office Professional Practice leader, to reflect on the key developments of 2024 from their perspectives and look ahead at what’s to come in 2025.
In this episode, we discuss:
- 1:45 – External factors impacting accounting and reporting, including the presidential election and the recent AICPA/SEC conference
- 10:11 – Supreme Court case rulings impacting financial regulation and rulemaking from the year
- 15:17 – What’s on the horizon for cryptocurrency accounting and the latest on the cybersecurity disclosure rule
- 27:32 – Notable regulatory activity from the PCAOB, including the costs and benefits of current proposed rules
- 40:21 – What role the FASB plays in the current regulatory and rulemaking landscape
- 47:12 – SEC climate disclosure rule and other sustainability requirements
- 53:30 – What’s in store for 2025
Tim Carey is PwC’s National Office leader, with 30+ years of experience in complex accounting, tax, and reporting issues. Tim has led large-scale teams on a wide range of projects including financial statement audits, transaction structuring, financial due diligence, and post-merger integration.
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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This final episode of our 2024 SEC comment letter podcast miniseries discusses non-GAAP measures. Non-GAAP measures are commonly used by companies as supplements to their financial statements to deepen investors’ understanding of their performance or financial condition. Given their importance, not only does non-GAAP top the list this year, but it’s been a top focus area for the SEC staff in the last several years, and we expect that trend to continue. We discuss the issues most frequently raised by the SEC staff and offer advice to preparers for getting ahead of them.
In this episode, we discuss:
- 3:11 – Overview of non-GAAP comment letter trends
- 9:09 – Insights into comments on basic compliance areas
- 22:24 – Individually tailored accounting principles
- 27:27 – Adjustments for cash operating expenses that are normal and recurring
- 41:17 – Controls over non-GAAP measures
- 46:12 – Advice and other considerations when responding to comment letters
- 51:38 – Potential post-election impacts on the SEC
For more information, see our full analysis of SEC comment letter trends and our publication Earnings with a twist: 2024 update on SEC non-GAAP comment trends. Also, check out our other episodes in this miniseries.
Kevin Vaughn is a PwC National Office partner specializing in SEC reporting matters. Kevin leverages his extensive experience to support PwC public company and pre-IPO clients on accounting and SEC reporting matters. Prior to joining PwC in 2023, Kevin spent over 18 years at the SEC, most recently serving on the leadership team in the SEC’s Office of the Chief Accountant where he focused on technical accounting consultations, SEC rulemakings, and standard setting matters.
Lindsay McCord is a PwC National Office partner specializing in matters related to the SEC and the capital markets. Prior to joining PwC, Lindsay spent over 15 years at the SEC, most recently as the Chief Accountant in the Division of Corporation Finance. In this role, Lindsay led an accounting team in providing technical accounting and reporting support to the Division, including SEC rulemaking, interpretation, and guidance.
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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PwC recently released the results of our 2024 Global Investor Survey, which was conducted to better understand investor expectations and concerns about corporate reporting and the evolving business landscape. The annual survey results highlight the importance of transparency in technology use, especially Artificial Intelligence (AI), and the need for companies to adapt to global threats, climate change, and regulatory developments.
This week, host Heather Horn is joined by Nadja Picard, PwC Global Reporting Leader, to break down the results and discuss the sometimes differing expectations between companies and investors. They also address how companies can better meet investor expectations through both action and communication.
In this episode, we discuss:
- 01:31 – Purpose of the 2024 global investor survey and demographics of survey participants
- 05:11 – Highlights from the global investor survey, including what surprised our Global Reporting Leader most
- 10:19 – Expectations to continue investing in AI, while upskilling the workforce
- 14:09 – How investors are thinking about climate adaptation and transition
- 19:41 – How investors evaluate trust and communication year over year
- 25:15 – Cybersecurity ranks number one threat
- 33:28 – Executing well and communicating well to address investor concerns
- 36:29 – Advice for companies navigating a challenging reporting landscape
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability standards.
Nadja Picard is PwC’s Global Reporting Leader. In this role, she leads PwC’s global initiative to help clients transform their corporate reporting to meet investor and stakeholder demands for trusted and assured reporting beyond financial reporting. Nadja also advises companies on the accounting, corporate reporting, and investor relations requirements in advance of capital markets transactions, especially IPOs.
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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This next episode of our 2024 SEC comment letter podcast miniseries discusses Foreign Private Issuers (FPIs). Many of the considerations we talk about for other SEC filers also apply to FPIs; however, there can be some differences and added complexities. We discuss the issues most frequently raised by the SEC staff, including those unique to FPIs, and offer advice to preparers for getting ahead of them.
In this episode, we discuss:
- 7:24 – Comment letter trends specific to FPIs, including those related to:
- 8:55 – Non-GAAP performance measures
- 16:15 – Segment reporting
- 21:32 – Revenue
- 25:01 – Management’s Discussion and Analysis
- 30:29 – Financial instruments
- 41:39 – FPI status re-assessment
- 44:53 – IFRS segment reporting considerations
- 47:45 – Other accounting and reporting reminders related to FPIs
For more information, see our full analysis of SEC comment letter trends. Also, check out our other episodes in this miniseries:
- SEC comment letters – What’s trending in 2024
- 2024 SEC comment letter trends: Revenue
- 2024 SEC comment letter trends: Business combinations
- 2024 SEC comment letter trends: Segment reporting
- 2024 SEC comment letter trends: MD&A
Additionally, follow this podcast on your favorite podcast app for more episodes.
Patrick Higgins is a Deputy Chief Accountant in PwC’s National Office responsible for our SEC foreign private issuer and IFRS teams. Patrick has also served as a global signing partner in a variety of countries and industries.
Kevin Vaughn is a PwC National Office partner specializing in SEC reporting matters. Kevin leverages his extensive experience to support PwC public company and pre-IPO clients on accounting and SEC reporting matters. Prior to joining PwC in 2023, Kevin spent over 18 years at the SEC, most recently serving on the leadership team in the SEC’s Office of the Chief Accountant where he focused on technical accounting consultations, SEC rulemakings, and standard setting matters.
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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In the sixth episode of our GHG miniseries on the building blocks of greenhouse gas (GHG) emissions reporting, we conclude our discussion on step 4: measure greenhouse gas emissions with scope 3 emissions. Host Heather Horn is joined again by Marcin Olewinski, an Assurance partner, and Chris Ostermann, a director in PwC’s Sustainability Services Group, to provide an introduction to scope 3 emissions, including an overview of their 15 categories downstream and upstream as well as the complexities in measuring these emissions. They share practical advice for measuring these emissions, which often yield more challenges than scope 1 and scope 2.
In this episode, we discuss:
- 01:54 – Scope 3 emissions and their related upstream and downstream categories
- 10:49 – Double counting scope 3 emissions and its impact on greenhouse gas emissions reporting
- 15: 33 – The measurement requirements of scope 3 emissions, including ESRS and ISSB frameworks
- 25:01 – Where to start when gathering data for key assumptions in the measurement of scope 3 emissions
- 35:09 – Time boundaries for applicable scope 3 categories
- 38:53 – Deciding where to prioritize efforts on scope 3 measurement
For more information on GHG emissions reporting, including scope 3 emissions discussed in today’s episode, check out Chapter 7: Greenhouse gas emissions reporting in PwC’s global Sustainability reporting guide. And to catch up on the GHG miniseries, listen to the first four episodes below.
- Talking GHG: Reporting requirements for greenhouse gas emissions
- Talking GHG: How organizational boundaries shape reporting
- Talking GHG: Determining operational boundaries
- Talking GHG: Practical insights on measuring scope 1 emissions
- Talking GHG: Practical insights on measuring scope 2 emissions
Marcin Olewinksi is a PwC Assurance practice partner~~,~~ with over 20 years of experience bringing valued perspectives and insights to large clients in the energy sector. Additionally, he’s focused extensively within PwC’s National Office on greenhouse gas emissions and sustainability reporting and leads PwC’s global technical working group focused on GHG.
Chris Ostermann is a director in PwC’s Sustainability Services Group working on sustainability and ESG matters with companies across multiple sectors. He focuses on helping clients understand their most significant sustainability/ESG impacts, develop strategies to address those impacts, execute those strategies and communicate progress to investors and other stakeholders.
Heather Horn
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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This next episode of our 2024 SEC comment letter podcast miniseries discusses Management’s Discussion and Analysis (MD&A). Investors are often focused on MD&A as they look to understand management’s commentary on the results of the business, future trends, uncertainties, and more – making this an area that also frequently gets the attention of the SEC staff. We discuss the issues most frequently raised by the SEC staff and offer advice to preparers for getting ahead of them.
In this episode, we discuss:
- 2:21 – An overview of SEC comment letter trends related to MD&A
- 10:57 – The results of operations
- 20:43 – Liquidity and capital resources
- 27:19 – Critical accounting estimates
- 35:16 – Final reminders and best practices related to MD&A
For more information, see our full analysis of SEC comment letter trends. Also, check out our other episodes in this miniseries:
- SEC comment letters – What’s trending in 2024
- 2024 SEC comment letter trends: Revenue
- 2024 SEC comment letter trends: Business combinations
- 2024 SEC comment letter trends: Segment reporting
Additionally, follow this podcast on your favorite podcast app for more episodes.
Ryan Spencer is a partner at PwC's National Office specializing in SEC financial reporting. He has over 20 years of experience serving clients and is a frequent contributor to PwC’s publications and communications.
Scott Feely is a partner in PwC’s National office. He has over 30 years of experience supporting clients as they address the SEC and financial reporting implications of their capital markets and merger and acquisition-related activities.
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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This next episode of our 2024 SEC comment letter podcast miniseries discusses segment reporting.
Segment reporting is an important disclosure for investors as it provides information about the different types of business activities in which a reporting entity engages and the different economic environments in which it operates – making this an area that frequently gets the attention of the SEC staff. We discuss the issues most frequently raised by the SEC staff and offer advice to preparers for getting ahead of them.
In this episode, we discuss:
- 2:36 – An overview of SEC comment letter trends related to segment reporting
- 11:49 – Identifying operating segments
- 15:13 – Aggregation of operating segments
- 16:36 – Entity-wide segment disclosures
- 19:18 – Multiple measures of segment profit or loss
- 20:55 – Reconciliations to segment profit or loss
- 23:18 – Considerations when adopting the FASB’s new segment reporting guidance
- 35:21 – Final reminders related to segment reporting
For more information, see our full analysis of SEC comment letter trends and Chapter 25 of our Financial statement presentation guide. Also, check out our other episodes in this miniseries:
- SEC comment letters – What’s trending in 2024
- 2024 SEC comment letter trends: Revenue
- 2024 SEC comment letter trends: Business combinations
Additionally, follow this podcast on your favorite podcast app for more episodes.
Scott Feely is a partner in PwC’s National office. He has over 30 years of experience supporting clients as they address the SEC and financial reporting implications of their capital markets and merger and acquisition-related activities.
Jay Seliber is a partner in PwC’s National office. He leverages over 30 years of experience to help clients with their most complex accounting matters, particularly in the areas of mergers and acquisitions, revenue recognition, stock compensation, earnings per share, employee benefits, restructurings, impairments, and financing transactions.
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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In our fifth episode of our miniseries on the building blocks of greenhouse gas (GHG) emissions reporting, we discuss step 4: measure greenhouse gas emissions, continuing with scope 2 emissions. Host Heather Horn is joined again by Marcin Olewinski, an Assurance partner, and Chris Ostermann, a director in PwC’s Sustainability Services Group, to kick off the second of three episodes focused on measuring greenhouse gases. They will share more of what they’re seeing in practice working with companies who are calculating these emissions, a must listen given the complexity of the challenges can grow moving from scope 1 to scope 2 emissions.
In this episode, they discuss:
- 02:05 – Scope 2 emissions — how they are different from scope 1 emissions and the formula for calculating them
- 06:39 – Location-based and market-based methods for calculating scope 2 emissions
- 16:02 – Bundled and unbundled instruments and their related challenges
- 19:59 – Importance of selecting appropriate emission factors
- 27:39 – Reporting scope 2 emissions, including selecting the right calculation method to report
For more information on GHG emissions reporting, including scope 2 emissions discussed in today’s episode, check out Chapter 7: Greenhouse gas emissions reporting in PwC’s global Sustainability reporting guide. And to catch up on the GHG miniseries, listen to the first four episodes below.
- Talking GHG: Reporting requirements for greenhouse gas emissions
- Talking GHG: How organizational boundaries shape reporting
- Talking GHG: Determining operational boundaries
- Talking GHG: Practical insights on measuring scope 1 emissions
Marcin Olewinksi is a PwC Assurance practice partner, with over 20 years of experience bringing valued perspectives and insights to large clients in the energy sector. Additionally, he’s focused extensively within PwC’s National Office on greenhouse gas emissions and sustainability reporting and leads PwC’s global technical working group focused on GHG.
Chris Ostermann is a director in PwC’s Sustainability Services Group working on sustainability and ESG matters with companies across multiple sectors. He focuses on helping clients understand their most significant sustainability/ESG impacts, develop strategies to address those impacts, execute those strategies and communicate progress to investors and other stakeholders.
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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This next episode of our 2024 SEC comment letter podcast miniseries discusses business combinations.
Business combination accounting can be complex, the required disclosures are comprehensive, and these are not routine transactions for most companies – all making this a challenging area that frequently gets the attention of the SEC staff. We discuss the issues most frequently raised by the SEC staff and offer advice to preparers for getting ahead of them.
In this episode, we discuss:
- 2:02 – An overview of SEC comment letter trends related to business combinations
- 5:14 – Determining whether a transaction is an asset acquisition or business combination
- 7:34 – The definition of a “business” in US GAAP as compared to SEC rules
- 9:23 – Comments related to omitted disclosures
- 12:39 – Pro forma disclosures and financial statements of acquired or to-be-acquired businesses
- 25:45 – Other reminders and areas of focus related to business combinations
For more information, see our full analysis of SEC comment letter trends, our Business combinations guide, and Chapter 17 of our Financial statement presentation guide. Also, check out our other episodes in this miniseries:
- SEC comment letters – What’s trending in 2024
- 2024 SEC comment letter trends: Revenue
Additionally, follow this podcast on your favorite podcast app for more episodes.
Beth Paul is a Deputy Chief Accountant in PwC’s National Office responsible for a team of consultants that specialize in business combinations and related areas, such as consolidations, disposals, impairments, and segment reporting.
Kevin Vaughn is a PwC National Office partner specializing in SEC reporting matters. Kevin leverages his extensive experience to support PwC public company and pre-IPO clients on accounting and SEC reporting matters. Prior to joining PwC in 2023, Kevin spent over 18 years at the SEC, most recently serving on the leadership team in the SEC’s Office of the Chief Accountant where he focused on technical accounting consultations, SEC rulemakings, and standard setting matters.
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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In the fourth episode of our miniseries on the building blocks of greenhouse gas (GHG) emissions reporting, we discuss step 4: measure greenhouse gas emissions, starting with scope 1 emissions. Host Heather Horn and frequent ESG podcast guest Marcin Olewinski, an Assurance partner, are joined by Chris Ostermann, a director in PwC’s Sustainability Services Group, to kick off the first of three episodes focused on measuring greenhouse gases. They will share what they’re seeing in practice working with companies who are calculating these emissions, including successes and (preventable) misapplications.
In this episode, they discuss:
- 02:24 – Scope 1 GHG emissions, including identifying sources and a complete inventory
- 07:05 – Methods for measuring scope 1 emissions and how to select a measurement approach
- 16:56 – Challenges associated with collecting data inputs
- 22:53 – Explaining emissions factors and the challenges in selecting emissions factors for the emissions calculation
- 33:17 – Global warming potentials and their impact on the calculation of scope 1 emissions
- 41:33 – Practical advice from working with clients
For more information on GHG emissions reporting, including scope 1 emissions discussed in today’s episode, check out Chapter 7: Greenhouse gas emissions reporting in PwC’s global Sustainability reporting guide. And to catch up on the GHG miniseries, listen to the first three episodes below.
- Talking GHG: Reporting requirements for greenhouse gas emissions
- Talking GHG: How organizational boundaries shape reporting
- Talking GHG: Determining operational boundaries
Marcin Olewinksi is a PwC Assurance practice partner, with over 20 years of experience bringing valued perspectives and insights to large clients in the energy sector. Additionally, he’s focused extensively within PwC’s National Office on greenhouse gas emissions and sustainability reporting and leads PwC’s global technical working group focused on GHG.
Chris Ostermann is a director in PwC’s Sustainability Services Group working on sustainability and ESG matters with companies across multiple sectors. He focuses on helping clients understand their most significant sustainability/ESG impacts, develop strategies to address those impacts, execute those strategies and communicate progress to investors and other stakeholders.
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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In this next episode of our 2024 SEC comment letter miniseries, we discuss accounting for revenue. Revenue is the top line for a reason; it’s closely watched by investors and therefore, the SEC staff as well. From variable consideration to disaggregated revenue disclosure, we discuss the issues most frequently raised by the SEC staff and offer advice to preparers for getting ahead of them.
In this episode, we discuss:
- 2:25 – An overview of SEC comment letter trends related to revenue
- 12:20 – Significant judgements and estimates in determining the transaction price
- 23:57 – Timing or pattern of the transfer of control
- 28:10 – Disaggregated revenue disclosures
- 40:45 – Other reminders and areas of focus related to revenue
- 44:22 – Industry-specific considerations
For more information, see our full analysis of SEC comment letter trends, our Revenue from contracts with customers guide, and Chapter 33 of our Financial statement presentation guide.
Also, check out our other episode in this miniseries, SEC comment letters – What’s trending in 2024. Additionally, follow this podcast on your favorite podcast app for more episodes.
Pat Durbin is a Deputy Chief Accountant in PwC’s National Office. He has over 30 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.
Mike Coleman is a partner in PwC's National Office who specializes in accounting for revenue and software arrangements and has served technology clients for much of his career. In addition, Mike has represented the firm on the AICPA Software Task Force.
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Follow this podcast on your favorite podcast app for more episodes.
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In the third episode of our miniseries on the building blocks of greenhouse gas (GHG) emissions reporting, we discuss step 3: determine operational boundaries. Host Heather Horn is joined again by Marcin Olewinski, an Assurance partner, and Kelsey Pizza, a senior manager in PwC’s National Office, who illustrate the importance of correctly identifying operational boundaries and the impact on the accuracy of GHG reporting. They also discuss how it’s a critical step to helping organizations clearly define and understand the scope of their emissions.
Because different frameworks may prescribe different approaches while others provide some flexibility, it is key to understand your reporting requirements (as discussed in the first episode in this miniseries, Talking GHG: Reporting requirements for greenhouse gas emissions). We’ll highlight different approaches and the impacts (sometimes more significant than one would expect) that an organizational boundary may have on reporting.
In this episode, they discuss:
- 2:34 – What operational boundaries are and how they interact with organizational boundaries
- 4:37 - Overview of scope 1, scope 2, and scope 3 emissions and classification
- 10:44 – How and why operational boundaries are determined
- 18:13 - Challenges in classifying emissions from leased assets and the impact of different sustainability frameworks
- 34:19 – Practical advice for determining operational boundaries
For more information on GHG emissions reporting, including the scope 2 emissions discussed in today’s episode, check out Chapter 7: Greenhouse gas emissions reporting in PwC’s global Sustainability reporting guide. And to catch up on the GHG miniseries, listen to the first two episodes below.
- Talking GHG: Reporting requirements for greenhouse gas emissions
- Talking GHG: How organizational boundaries shape reporting
Marcin Olewinski is a PwC Assurance practice partner, with over 20 years of experience bringing valued perspectives and insights to large clients in the energy sector. Additionally, he’s focused extensively within PwC’s National Office on greenhouse gas emissions and sustainability reporting and leads PwC’s global technical working group focused on GHG.
Kelsey Pizza is a senior manager in PwC’s National Office. She provides advice on technical accounting issues and monitors developments in financial reporting and standard setting. Kelsey helps develop PwC thought leadership, with a particular focus on sustainability reporting, clean and renewable energy accounting matters, and other topics affecting the utilities and sustainable energy sector.
Heather Horn
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We are kicking off our miniseries on 2024 SEC staff comment letters, helping to inform you on the latest trends as you gear up for year end. In this episode we share an overview of the 2024 comment letter trends, as well as insights into the SEC staff’s key priorities.
In this episode, we discuss:
- 1:56 – An overview of the SEC comment letter process
- 14:19 – 2024 SEC comment letter themes
- 15:31 – Key SEC staff focus areas related to management’s discussion and analysis
- 18:59 – Key SEC staff focus areas related to non-GAAP measures
- 21:37 – Other reminders and areas that preparers should focus on moving into year end
For more information, see our full analysis ofSEC comment letter trends. Additionally, follow this podcast on your favorite podcast app for more episodes.
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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This week, host Heather Horn is joined by a chief sustainability officer (CSO), whose impressive background in paleoclimate geology has propelled her into the world of sustainability. Allyson Anderson Book from Baker Hughes provides a practical perspective on her sustainability journey as a CSO. She shares the challenges overcome and perseverance needed in getting to the accomplishments – decarbonization and good reporting on the company’s efforts.
In this episode, they discuss:
- 6:23 – A CSO’s view on the role of reporting
- 11:51 – Background on the company and how it is thinking about its emissions profile and its customers’
- 24:55 – The importance of prioritizing data fidelity and management
- 29:56 – What to think about when accounting for emissions
- 33:31 – The pros and cons of absolute versus intensity measurement of emissions
- 46:02 – Expected results when stakeholders are involved in sustainability efforts
- 50:07 – Advice on navigating your company’s own sustainability journey from a CSO
Enjoy hearing from Allyson in today’s episode? Tune in to PwC’s Quarterly sustainability webcast on Thursday, November 7 or Wednesday, November 13 when she will discuss energy transition. Register here.
Allyson Anderson Book is the Chief Sustainability Officer at Baker Hughes, an energy technology company that provides solutions for energy and industrial customers worldwide. Before joining Baker Hughes, Allyson served as the executive director of the American Geosciences Institute, and she has held several academic, policy, and senior government positions.
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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We wrap up our miniseries on loans and investments with a discussion of the accounting for equity interests, a topic that can impact companies across all industries.
In this episode, we discuss:
- 2:02 – Equity interests in scope of ASC 321, Investments—Equity Securities
- 13:19 – Determining whether an equity interest has a readily determinable fair value
- 15:10 – An overview of the “measurement alternative,” including:
- 22:27 – Impairment of equity interests
- 25:31 – Identifying observable transactions
For more information, see chapter 2 of our Loans and investments guide. Also, check out our other episodes in this miniseries:
- Applying the CECL model to financial asset credit losses
- Accounting for debt securities held by corporates
- Accounting for loan receivables by corporates
Additionally, follow this podcast on your favorite podcast app for more episodes.
Chip Currie is a partner in PwC’s National Office with nearly 30 years of experience assisting companies in resolving complex business and accounting issues. He concentrates on the accounting for financial instruments under both current and emerging standards and works with many of the firm's largest financial services clients and a number of non-financial services clients on treasury-related matters.
Christopher Gerdau is a partner in PwC’s National Office specializing in accounting for financial instruments and banking-related topics. Chris also conducts technical reviews of SEC filings and provides technical support to PwC’s practice offices. Chris’s client service expertise includes the banking, capital markets, and insurance industries.
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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At the intersection of two trending topics, AI and sustainability, there are a myriad of both costs and benefits to consider. Host Heather Horn is joined by Scott Likens, PwC Global Chief AI Engineer, to discuss the environmental impact of AI and the balance between AI's benefits and its environmental footprint.
In this episode, they discuss:
- 3:17 – How AI is impacting sustainability
- 8:54 – Why AI and sustainability aren’t necessarily opposing forces
- 17:28 – Practical examples of utilizing AI to optimize energy usage
- 28:22 – The broader benefits of using AI to impact sustainability
- 31:05 – Balancing AI’s benefits with its environmental footprint
- 38:32 – Advice for both companies and individuals leveraging AI
Looking for more on AI? Check out PwC’s Artificial Intelligence services as well as resources on responsible AI, including What is responsible AI and how can it help harness trusted generative AI?
Scott Likens is the Global and US Chief AI Engineer leading and overseeing the AI Engineering and Emerging Technology teams in the United States. With more than 30 years of emerging technology experience, he has helped clients transform their customer experience and enhance their digital operations across all aspects of their business.
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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We continue our miniseries on loans and investments with a discussion of the current expected credit losses (CECL) impairment model, applicable to a broad range of financial assets.
In this episode, we discuss:
- 3:42 – A refresher on the CECL model
- 8:02 – Impact of the current economic environment on credit losses
- 23:43 – Monitoring and governance of credit losses
- 26:46 – SEC comment letters and other activity related to CECL
- 30:49 – FASB developments related to CECL, including purchased financial assets
For more information, see chapter 7 of our Loans and investments guide. Also, check out our other episodes in this miniseries, Accounting for debt securities held by corporates and Accounting for loan receivables by corporates. Additionally, follow this podcast on your favorite podcast app for more episodes.
Catherine Espino is a partner in PwC’s National Office with 20 years of experience serving large financial institutions, broker-dealers, as well as smaller subsidiaries and private companies. Catherine focuses on advising companies within the financial services and non-financial services sectors on significant and complex accounting issues.
Bret Dooley is a Deputy Chief Accountant in PwC’s National Office who leads teams focused on the financial services sectors and accounting for financial instruments. He has over 25 years of experience in the financial services, banking, and capital markets industries. Bret focuses on emerging financial reporting issues related to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters.
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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The term “ESG” has been used for over two decades, including in this podcast miniseries title. Host Heather Horn sat down with guest Matt Sekol, Sustainability Global Blackbeltand author of ESG Mindset: Business Resilience and Sustainable Growth, to revisit the complexities of ESG and how companies can rethink the concept to not only build better resilience for the long term, but also find value in reporting.
In this episode, they discuss:
- 3:42 – The key messages of ESG Mindset and redefining “ESG”
- 9:44 – How sustainability reporting can contribute to change
- 12:26 – What leaders can do to leverage ESG in a material way
- 20:06 – How companies can strike a balance between ESG and the success of the business
- 35:19 – The interconnectedness of ESG and the macroeconomic environment
- 45:12 – Key takeaway for addressing systemic ESG issues
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability standards.
Matthew Sekol is a Sustainability Global Black Belt on Microsoft’s Cross-Industry team and a Senior Advisor for Enzo Advisors. In 2024, Matthew released a book called ESG Mindset, which is a guide for companies to think critically about ESG and take a holistic approach to the business. He serves on the LP Advisory Committee of Morgan Stanley’s Next Level Fund, which invests in diverse-led and founded startups. Matthew is considered a benevolent troublemaker who guides companies and partners to think through and address their most material issues on their path to impact.
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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We continue our miniseries on loans and investments with a discussion of the accounting by corporate entities for loan receivables, which can include items such as trade receivables and other receivables with customers, suppliers, employees and more.
In this episode, we discuss:
- 1:43 – The definition of a loan and types of loan arrangements
- 3:18 – Recognition and measurement of loans
- 7:40 – Classification and accounting for loans held for sale or held for investment
- 18:54 – Recording interest income on loans
- 23:29 – An overview of loan impairments
For more information, see chapter 4 of our Loans and investments guide. Also, check out our other episode in this miniseries, Accounting for debt securities held by corporates. Additionally, follow this podcast on your favorite podcast app for more episodes.
Chip Currie is a partner in PwC’s National Office with nearly 30 years of experience assisting companies in resolving complex business and accounting issues. He concentrates on the accounting for financial instruments under both current and emerging standards and works with many of the firm's largest financial services clients and a number of non-financial services clients on treasury-related matters.
Catherine Espino is a partner in PwC’s National Office with 20 years of experience serving large financial institutions, broker-dealers, as well as smaller subsidiaries and private companies. Catherine focuses on advising companies within the financial services and non-financial services sectors on significant and complex accounting issues.
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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Impact accounting is the process of attributing monetary value to disparate pools of datapoints across sustainability topics with the intent of creating comparability to drive investment decisions. This week, host Heather Horn is joined by a special guest from the International Foundations of Valuing Impacts (IFVI), CEO and President, Rob Zochowski, to discuss the relatively new concept of impact accounting and how it can complement existing sustainability reporting for business decision-making.
In this episode, they discuss:
- 3:24 – Background on impact accounting and IFVI
- 8:10 – The concept of impact valuation and its role in assigning monetary value to sustainability metrics
- 15:18– Getting global feedback on impact accounting
- 24:12– How impact accounting both measures and values corporate impacts to drive better decision-making
- 29:48 – Leveraging impact accounting for both reporting and decision-making
- 38:02 – Challenges in assigning monetary value to diverse impacts
For more information on impacting accounting, see PwC’s Impact management for sustainable business strategy. Further, as referenced in the episode, more information on European Union regulations can be found in PwC’s publication, European Union regulations beyond CSRD.
And visit IFVI’s website on Tuesday, October 15 for the release of its impact accounting methodologies.
T. Robert Zochowski is the President and CEO of IFVI since its founding. Formerly, he was the Program Director Impact Investing and Sustainability Special Projects including the Impact Weighted Accounts Project. Rob was a Vice President at Goldman Sachs. Rob received his MBA from Columbia Business School in the Executive Program where he concentrated on Social Enterprise and Impact Investing, graduating Dean’s Honors with Distinction. He was featured in Poets and Quants annual 100 Best & Brightest Executive MBAs list and received the Carson Family Changemaker Award.
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
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We kick off our miniseries on loans and investments with an episode on accounting for debt securities for corporate entities. We discuss key considerations applicable to corporates and share insights on some of the more complex areas.
In this episode, we discuss:
- 5:31 – Identifying the applicable accounting guidance
- 13:24 – Instruments that qualify as cash equivalents
- 22:07 – Classification of debt securities and the accounting implications
- 31:36 – Valuation of debt securities
- 36:33 – Financial statement presentation considerations
For more information, see chapter 3 of our Loans and investments guide. Additionally, follow this podcast on your favorite podcast app for more episodes.
Bret Dooley is a Deputy Chief Accountant in PwC’s National Office who leads teams focused on the financial services sectors and accounting for financial instruments. He has over 25 years of experience in the financial services, banking, and capital markets industries. Bret focuses on emerging financial reporting issues related to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters.
Christopher Gerdau is a partner in PwC’s National Office specializing in accounting for financial instruments and banking-related topics. Chris also conducts technical reviews of SEC filings and provides technical support to PwC’s practice offices. Chris’s client service expertise includes the banking, capital markets, and insurance industries.
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
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Host Heather Horn is joined by Mardi McBrien, Chief of Strategic Affairs & Capacity Building at the IFRS Foundation, and Katharina Bryan, Head of International Sustainability Reporting Policy at Amazon, to highlight the PwC and IFRS Foundation NYC Climate Week event: Sustainability disclosure in practice. Together they break down the event and share highlights, practical perspectives, and takeaways for preparers on their own sustainability reporting journeys.
In this episode, they discuss:
- 5:03 – What resonated most from the insightful discussions across multiple stakeholder perspectives
- 7:58 – Preparer perspective on approaching regulatory reporting deadlines
- 10:13 – Benefits of the collaboration between the IFRS Foundation and CDP
- 16:05 – How sustainability reporting can drive positive change
- 27:45 – Advice for companies overwhelmed by the abundance of sustainability reporting requirements
- 31:47 – Where to find resources for developing skills to address sustainability reporting challenges
Summary of the event
- Heather Horn interviewed Emmanuel Faber, chair of the International Sustainability Standards Board, on all that it has accomplished in the last year in making its standards a true global passport – and of course the work yet to be done. (See video of that interview.)
- Emmanuel and Heather were joined by Sherry Madera, CEO at CDP, to highlight the impact of their collaboration.
- Diana Stoltzfus, PwC National office sustainability partner, moderated an investor discussion with Carine Smith Ihenacho, Chief Governance and Compliance Officer at Norges Bank Investment Management, and Richard Manley, Chief Sustainability Officer from CPP Investments, who both provided a unique perspective on what investors value in sustainability reporting as well as how it helps corporate directors.
- Mardi McBrien spoke with Katharina Bryan and others to get their “boots on the ground” preparer perspective.
- Mardi provided an update on capacity building, sharing the latest on the IFRS Foundation’s efforts to develop skills and resources to address sustainability reporting challenges.
Looking for more about the IFRS Foundation? Tune into the IFRS Foundation’s upcoming Webcast: Perspectives on sustainability disclosure, check out the recently released voluntary application guide, Voluntarily applying ISSB standards – a guide for preparers, or visit the IFRS Sustainability knowledge hub. Also, as referenced in the podcast, for more on capacity building, visit the Global Capacity Building Coalition’s recently launched website.
Mardi McBrien is the Chief of Strategic Affairs and Capacity Building at the IFRS Foundation responsible for sustainability reporting.
Katharina Bryan is Head of International Sustainability Reporting Policy at Amazon.
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With an unprecedented level of change in recent years, the PCAOB has become a standard setter to watch – not just for audit firms but for companies. The episode brings the latest in PCAOB standard setting developments, including what they mean for preparers. Our guest is Brian Croteau, PwC’s US Chief Auditor, who leads our team that follows all things PCAOB.
In this episode, we discuss:
- 3:35 – The current landscape at the PCAOB
- 10:07 – Overview of the PCAOB’s standard setting process
- 15:14 – Newly adopted PCAOB standards related to:
- 15:44 – Other auditors
- 16:26 – Confirmations
- 18:50 – General responsibilities of the auditor in conducting an audit (AS 1000)
- 19:54 – Technology-assisted analysis of information in electronic form
- 28:53 – Quality control
- 35:12 – Non-compliance with laws and regulations (NOCLAR)
- 39:17 – Other recent PCAOB proposals
- 45:49 – What's on the horizon for PCAOB standard setting
For more information on these topics see our publications:
SEC approves PCAOB foundational and quality control standards
PCAOB advances rulemaking related to technology
PCAOB proposes additional reporting by auditors
PCAOB solicits additional feedback on its noncompliance proposal
Additionally, follow this podcast on your favorite podcast app.
Brian Croteau is the US Chief Auditor, Auditing Services Leader. He oversees the establishment and maintenance of PwC’s audit policies and practices, leads efforts to directly support PwC’s audit quality objectives, and plays a key role in the monitoring and assessment of audit quality. He also leads the firm’s efforts related to its relationship with the PCAOB, including supporting all aspects of the PCAOB’s inspection process. Brian currently serves as a member of the PCAOB’s Standards and Emerging Issues Advisory Group (SEIAG) and the SEIAG’s Emerging Issues in Auditing subcommittee. Prior to rejoining PwC in 2017, he served for over six years as the Deputy Chief Accountant of the Professional Practice Group within the Office of the Chief Accountant (OCA) at the SEC. In his work at the SEC, Brian played a key role in the SEC’s oversight of the activities of the PCAOB, managed the resolution of auditor independence issues and ethical matters, and monitored audit and independence standard setting internationally.
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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In the second episode of our miniseries on the building blocks of greenhouse gas (GHG) emissions reporting, we discuss how to establish organizational boundaries. Host Heather Horn is joined again by Marcin Olewinski, an Assurance partner, and Kelsey Pizza, a senior manager in PwC’s National Office, who illustrate the importance of including the correct entities, assets, and operations through real world examples.
Different frameworks may prescribe different approaches while others provide some flexibility so it is key to understand your reporting requirements (as discussed in the first episode in this miniseries, Talking GHG: Reporting requirements for greenhouse gas emissions). We’ll highlight different approaches and the impacts (sometimes more significant than one would expect) that an organizational boundary can have on reporting.
This episode discusses:
- 2:48 – What it means to establish organizational boundaries
- 4:33 – The three organizational boundary approaches outlined by the GHG Protocol
- 13:48 – Practical examples of organizational boundary scenarios
- 34:23 – Factors to consider when applying an organizational boundary approach
- 37:23 – When to change organizational boundary approaches
- 39:38 – Advice for companies in process of establishing organizational boundaries
For more information on GHG emissions reporting, including the five-step process outlined in today’s episode, check out Chapter 7: Greenhouse gas emissions reporting in PwC’s global Sustainability reporting guide.
Marcin Olewinski is a PwC Assurance practice partner, with over 20 years of experience bringing valued perspectives and insights to large clients in the energy sector. Additionally, he’s focused extensively within PwC’s National Office on greenhouse gas emissions and sustainability reporting and leads PwC’s global technical working group focused on GHG.
Kelsey Pizza is a senior manager in PwC’s National Office. She provides advice on technical accounting issues and monitors developments in financial reporting and standard setting. Kelsey helps develop PwC thought leadership, with a particular focus on sustainability reporting, clean and renewable energy accounting matters, and other topics affecting the utilities & sustainable energy sector.
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com<
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PwC provides a summary of the latest accounting, financial reporting, and regulatory updates to support your quarterly reporting.
The adoption of the new segment reporting guidance is just around the corner for many public companies. As we approach year end, we begin this edition of The quarter close by providing timely reminders for those preparing to adopt that guidance. We also take a closer look at annual goodwill impairment assessments, which companies often elect to perform this time of year.
In regulatory developments, we provide the latest updates on sustainability reporting and highlight new chapters in our global Sustainability reporting guide, a one-stop shop for finance and sustainability teams as they comply with the reporting frameworks expected to have the broadest impact globally. We also summarize recent SEC staff guidance on the SEC’s new cybersecurity incident reporting requirements.
Expect significant activity in FASB standard setting in the upcoming months with several proposals and new standards slated for issuance before the end of the year. We keep you up to date on the latest developments.
In this edition of The quarter close, we highlight these and other relevant accounting and reporting topics you should consider as you close out the third quarter of 2024.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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We continue our miniseries on foreign currency accounting with an episode on foreign currency remeasurement and translation.
- Foreign currency measurement is the process by which an entity expresses transactions whose terms are denominated in a foreign currency in its functional currency.
- Foreign currency translation is the process of expressing a foreign entity’s functional currency financial statements in the reporting currency.
In this episode, we discuss:
- 03:09 – An overview of the accounting for foreign currency remeasurement and translation
- 05:56 – Measurement of foreign currency transactions
- 09:56 – Exchange rate considerations
- 22:26 – Translating financial statement of foreign entities
- 29:00 – Releasing cumulative translation adjustments (CTA)
For more information see chapters 4 and 5 of our Foreign currency guide. Also, check out our other episode in this miniseries, Foreign currency accounting – Determining functional currency. Additionally, follow this podcast on your favorite podcast app for more episodes.
John Horan is a managing director in PwC’s National Office where he assists clients with complex accounting issues in the areas of foreign currency, liabilities and equity, earnings per share, and derivatives and hedging. John specializes in large capital transactions and initial public offerings.
Ross Drucker is a partner in PwC’s National Office where he assists clients with financial instrument accounting, including derivatives and hedging transactions, foreign currency, and structured capital markets transactions. He recently returned to PwC following two years working at the SEC in the Office of the Chief Accountant, focusing on financial instrument transactions as well as cryptocurrency.
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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This week we introduce a miniseries on the building blocks of greenhouse gas (GHG) emissions reporting. To kick off the miniseries, host Heather Horn is joined by Marcin Olewinski, an Assurance partner, and Kelsey Pizza, a senior manager in PwC’s National Office, to give an overview of the process and zero in on the first step, understanding reporting requirements. They highlight the GHG Protocol's foundational role and its similarities and differences with other standards.
In this episode, they discuss:
- 02:22 – Background on the building blocks of GHG emissions reporting
- 04:30 – The history of the GHG Protocol and how it’s used today
- 19:16 – How the GHG Protocol interacts with other frameworks, including the European Sustainability Reporting Standards and IFRS® Sustainability Disclosure Standards
- 31:08 – Advice for companies for understanding GHG reporting requirements and interoperability
For more information on GHG emissions reporting, including the five-step process outlined in today’s episode, check out Chapter 7: Greenhouse gas emissions reportingin PwC’s global Sustainability reporting guide.
Marcin Olewinski is a PwC Assurance practice partner, with over 20 years of experience bringing valued perspectives and insights to large clients in the energy sector. Additionally, he’s focused extensively within PwC’s National Office on greenhouse gas emissions and sustainability reporting and leads PwC’s global technical working group focused on GHG.
Kelsey Pizza is a senior manager in PwC’s National Office. She provides advice on technical accounting issues and monitors developments in financial reporting and standard setting. Kelsey helps develop PwC thought leadership, with a particular focus on sustainability reporting, clean and renewable energy accounting matters, and other topics affecting the utilities & sustainable energy sector.
Heather Horn is the PwC National Office Sustainability and Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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We kick off our miniseries on foreign currency accounting with an episode on determining functional currency, which is the currency of the primary economic environment in which a distinct and separable operation operates.
In this episode, we discuss:
- 03:52 – Identifying distinct and separable operations
- 19:01 – Determining functional currency
- 25:45 – Common pitfalls in evaluating functional currency
- 37:37 – Changes in functional currency
- 40:19 – Highly inflationary economies
For more information, see chapter 3 of our Foreign currency guide. Additionally, follow this podcast on your favorite podcast app for more episodes.
Bret Dooley is a Deputy Chief Accountant in PwC’s National Office who leads teams focused on the financial services sectors and accounting for financial instruments. He has over 25 years of experience in the financial services, banking, and capital markets industries. Bret focuses on emerging financial reporting issues related to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters.
John Horan is a managing director in PwC’s National Office where he assists clients with complex accounting issues in the areas of foreign currency, liabilities and equity, earnings per share, and derivatives and hedging. John specializes in large capital transactions and initial public offerings.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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We continue our miniseries on stock-based compensation awards with a focus on 5 important things for private companies to know. This is an area for which the accounting tends to be more complicated for nonpublic companies.
In this episode, we discuss:
- 3:12 – Measurement of liability-classified awards
- 5:59 – Secondary market transactions
- 16:39 – Profit sharing arrangements
- 22:44 – Equity restructurings
- 31:25 – Recourse and nonrecourse loans
For more information, see chapter 6 of our Stock-based compensation guide. Also, check out our other episode in this miniseries, Stock-based compensation - 5 things to know about modifications. Additionally, follow this podcast on your favorite podcast app for more episodes.
Ken Stoler is a partner in PwC’s National Office who specializes in financial reporting and plan design issues related to equity compensation arrangements, retirement and healthcare plans, and other benefits. He has helped companies navigate their employee compensation issues during IPOs, spin offs, acquisitions, and other major transactions or events.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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We kick off our miniseries on stock-based compensation with a focus on 5 important things to know when accounting for modifications to stock-based compensation awards.
In this episode, we discuss:
- 2:40 – How to determine whether a change in terms or conditions should be accounted for as a modification
- 5:00 – The stock-based compensation modification framework
- 8:29 – Four types of modifications related to vesting conditions
- 18:39 – Modifications that change classification
- 22:15 – Modifications of performance conditions
For more information, see chapter 4 of our Stock-based compensation guide. Additionally, follow this podcast on your favorite podcast app for more episodes.
Ken Stoler is a partner in PwC’s National Office who specializes in financial reporting and plan design issues related to equity compensation arrangements, retirement and healthcare plans, and other benefits. He has helped companies navigate their employee compensation issues during IPOs, spin offs, acquisitions, and other major transactions or events.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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We continue our miniseries on software costs. They are accounted for using two different models depending on whether the software is used internally or externally. In this episode, we discuss the internal-use model applicable to software developed or obtained to meet the reporting entities’ internal needs.
In this episode, we discuss:
- 3:24 – The scope of internal-use software
- 10:29 – The three stages of software development
- 14:07 – Cloud computing arrangements
- 17:50 – Practical challenges in applying this model
- 25:05 – An overview and update on the FASB's current software costs project
For more information, see chapter 3 of our Software costs guide. Also, check out our other episode in this miniseries, Accounting for the cost of externally marketed software. Additionally, follow this podcast on your favorite podcast app for more episodes.
Mike Coleman is a partner in PwC's National Office who specializes in accounting for revenue and software arrangements and has served technology clients for much of his career. In addition, Mike has represented the firm on the AICPA Software Task Force.
Pat Durbin is a Deputy Chief Accountant in PwC’s National Office. He has over 30 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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We kick off our miniseries on software costs. They are accounted for using two different models depending on whether the software is used internally or externally. In this episode we focus on the external use model applicable to software to be sold, leased, or otherwise marketed as a separate product or embedded within a product or process.
In this episode, we discuss:
- 3:20 – How to determine whether the internal use or externally-marketed software models apply
- 10:08 – An overview of the externally marketed software model (ASC 985-20)
- 11:25 – When technological feasibility of software is established
- 19:55 – The types of costs capitalized under the model for externally marketed software
- 22:40 – Practical challenges in applying the externally marketed software model
- 27:55 – Applying the guidance to Artificial Intelligence (AI)
- 31:10 – An update on the FASB’s software costs project
For more information, see chapter 2 of our Software costs guide. Additionally, follow this podcast on your favorite podcast app for more episodes.
Mike Coleman is a partner in PwC's National Office who specializes in accounting for revenue and software arrangements and has served technology clients for much of his career. In addition, Mike has represented the firm on the AICPA Software Task Force.
Pat Durbin is a Deputy Chief Accountant in PwC’s National Office. He has over 30 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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Named the year of global elections, 2024 will see more than 50 countries with over half of the world’s population exercise their right to vote. On today’s episode, host Heather Horn reunites with Craig Stronberg from PwC Intelligence to discuss the depth of the 2024 elections – not just in the US but worldwide – and the downstream impacts they could have, including what companies need to consider when making business decisions. Hear what Craig has to say companies should be focused on now as the international spotlight shifts towards the United States.
In this episode, they discuss:
- 01:46 – The significance of the year of global consequential election
- 04:15– The impacts of recent European elections
- 08:31 – Global elections beyond Europe that could have notable outcomes, including Mexico and Bangladesh
- 14:16–What a company should know about a country when assessing market entry on both a macro and tactical level, including the history of transitions of power
- 17:03 – The interplay of the global elections and how the US election is a catalyst
- 33:10 – What companies can do now in advance of the upcoming US election
Craig Stronberg, a senior director in PwC Intelligence, develops forward-looking analysis on macroeconomic, geopolitical, and global issues to help leaders solve complex business problems. Prior to PwC, Craig had a nearly 20-year career in national security affair s where his areas of focus included global risk, cyber, counterterrorism and counterintelligence.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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This episode is your one-stop shop covering the latest reporting and rulemaking developments at the SEC. With almost 40 years of combined experience at the SEC, our guests, National Office partners Kyle Moffatt and Kevin Vaughn, share their insights on all things SEC.
In this episode, we discuss:
- 2:10 – Potential impacts of a change in presidential administration
- 5:40 – The SEC's rulemaking agenda
- 7:28 – Recent court actions impacting the SEC
- 21:10 – Non-GAAP measures
- 29:00 – Cybersecurity
- 37:24 – Artificial intelligence
- 41:33 – Other SEC focus areas
- 46:36 – 90 years of history at the SEC
For more information on topics discussed during the podcast see our publications To GAAP or to non-GAAP, SEC adopts cybersecurity disclosure rules, and SEC comment letter trends. For more on the SEC’s 90 year history, follow the SEC on LinkedIn. Also, for more of our episodes follow this podcast on your favorite podcast app.
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Kevin Vaughn is a partner in PwC’s National Office. Prior to joining PwC, Kevin was senior associate chief accountant in the Office of the Chief Accountant (OCA) at the SEC where he spent almost 20 years focusing on complex financial reporting and technical accounting issues.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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There continues to be a significant amount of activity at a high velocity as it relates to the Inflation Reduction Act (IRA). In this episode, host Heather Horn welcomes back Matt Haskins, principal in PwC's Washington National Tax Services group, who focuses on renewable energy transactions, to discuss the latest IRA developments and what is on the horizon in this election year and beyond. Find out where companies should be focusing their efforts now and how to prepare for any changes that may come. Spoiler alert – stay the course.
In this episode, they discuss:
- 3:30– With even more IRA developments, what companies should focus on now, including transferability of tax credits
- 6:48 – Meeting the prevailing wage and apprenticeship requirements to unlock the full value of the IRA
- 10:57 – Additional IRS guidance on domestic content requirements
- 13:56 – The latest developments on Section 48C credits
- 19:00 – Changes to expect after Election Day
- 31:25 – Impact of the US Supreme Court overturning the Chevron doctrine
- 37:55 – Advice for companies navigating changes in the IRA
Looking for more on renewable energy credits?
- Talking ESG: Taking advantage of Inflation Reduction Act incentives
- In depth: Accounting for Inflation Reduction Act energy incentives
- Obligations, next steps from clean electricity guidance
- Applications open for $6 billion in energy credits
- Certainty, relief in new energy credit rules
For more information on the US Supreme Court overruling the Chevron doctrine:
- Potential tax implications of the US Supreme Court overruling the Chevron doctrine
Matt Haskins is a principal in PwC’s Washington National Tax Services group, focusing on renewable energy financing and M&A transactions. In addition to writing and speaking on issues in the renewable energy industry, Matt has co-chaired the energy and environmental taxes working group for the US Council on International Business and served as a delegate for key energy initiatives of the Organization for Economic Cooperation and Development.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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We conclude our revenue miniseries with an episode on collaborative arrangements, which has its own guidance (ASC 808, Collaborative Arrangements) but also often interacts with other guidance, including that on revenue from contracts with customers.
In this episode, we discuss:
- 4:55 – Criteria to meet the definition of a “collaborative arrangement”
- 16:20 – An overview of the collaborative arrangement accounting model
- 20:27 – Application of an accounting policy for recognition and presentation
- 25:04 – Timing of recognition, presentation, and disclosure
- 32:42 – Other areas of GAAP that may apply to the arrangement
For more information, see section 2.4.1 of our Revenue guide. Also, check out other episodes in our miniseries: Modifying a contract? Your revenue recognition may change, Gross versus net revenue: Is your company the principal or agent?, and Identifying the contract – The first step in recognizing revenue. Additionally, follow this podcast on your favorite podcast app for more episodes.
Angela Fergason is a partner and standard setting leader in PwC's National Office who specializes in accounting for revenue and employee compensation arrangements. She also consults on a range of financial reporting issues impacting technology companies.
Christine Moore is a director in PwC’s Deals practice, advising audit and non-audit clients on complex accounting and financial reporting matters. She recently completed a tour with the National Office where she advised on revenue arrangements for public and private companies across various industries, with a focus on companies in the pharmaceutical and life sciences industry.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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This week, host Heather Horn is joined by a special guest from the International Sustainability Standards Board (ISSB). Vice Chair, Sue Lloyd gives us an inside look into the ISSB’s workplan, new projects, and new strategic relationships. She also shares how the ISSB is supporting implementation of the standards.
In this episode, they discuss:
- 4:15 – Insights from the adoption of ISSB standards around the world
- 9:20 – Variability of sustainability reporting and interoperability guidance
- 19:08 – Challenges reporting under multiple frameworks and ISSB partnerships to address them
- 25:31 – Responsibilities to report under other frameworks, such as California SB 261 (based on TCFD)
- 29:41 – Working to address investor needs and concerns
- 31:35 – Aligning ISSB reporting and sector standards
- 35:10 – How the ISSB is supporting implementation
- 38:40 – Advice for companies navigating the evolving sustainability reporting landscape
Want to hear more about the ISSB? Listen to our previous podcast discussing the ISSB standards and interoperability guidance. Also, as referenced in the podcast, check out the ISSB’s Webcast: Overview of ESRS-ISSB Standards Interoperability Guidance or visit the IFRS Sustainability knowledge hub.
Sue Lloyd is the Vice Chair of the ISSB and played a leading role in its establishment. Previously, she served as a member and Vice Chair of the International Accounting Standards Board (IASB) and as Chair of the IFRS Interpretations Committee.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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We continue our revenue podcast miniseries discussing contract modifications. Contract modifications are accounted for as either a separate contract or as part of the existing contract, depending on the nature of the modification.
In this episode, we discuss:
- 4:47 – An overview of contract modifications
- 5:57 – Modifications that are accounted for as separate contracts
- 6:54 – Modifications that are accounted for prospectively
- 10:08 – Modifications that result in cumulative catch-up adjustments
- 11:28 – Other types of modifications
- 13:16 – Common contract modification scenarios and related accounting pitfalls
- 23:22 – Contract terminations
For more information, see section 2.9 of our Revenue guide. Also, check out other episodes in our miniseries: Gross versus net revenue: Is your company the principal or agent? and Identifying the contract – The first step in recognizing revenue. Additionally, follow this podcast on your favorite podcast app for more episodes.
Pat Durbin is a Deputy Chief Accountant in PwC’s National Office. He has over 30 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.
Angela Fergason is a partner and standard setting leader in PwC's National Office who specializes in accounting for revenue and employee compensation arrangements. She also consults on a range of financial reporting issues impacting technology companies.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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This episode provides an overview of the new standard from the International Accounting Standards Board, the IASB. IFRS 18 is the new standard on presentation and disclosure in financial statements, with a focus on updates to the income statement. This is a significant development in IFRS financial reporting - even companies not reporting under IFRS will want to be aware of these updates.
In this episode, we discuss:
- 1:10 – An overview of the new standard
- 5:00 – Aggregation and disaggregation (impacting all primary financial statements and notes)
- 9:00 – Structural changes to the statement of profit or loss
- 18:25 – Getting started with implementation and the timeline
- 21:19 – Management-defined performance measures
For more information, read our publication, IFRS 18 is here: redefining financial performance reporting. Additionally, follow this podcast on your favorite podcast app for more episodes.
Gary Berchowitz is the non-financial instruments leader in PwC’s Global Assurance Quality - Corporate Reporting Services group. Gary brings years of financial accounting experience, working to drive quality and connectivity throughout the PwC network and help local teams solve complex accounting issues in a practical way. Gary contributes to the firm’s global view on a variety of financial reporting matters.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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Our revenue miniseries continues with identifying the contract, the first step in the five-step model in the revenue standard. It's important to get this step right to appropriately apply the model for recognizing revenue.
In this episode, we discuss:
- 4:10 – The five criteria to have a contract with a customer under the revenue standard
- 8:23 – The impact of master services agreements and enforceable rights
- 16:03 – Assessing collectibility of the consideration in the contract
- 27:08 – Determining the contract term
For more information, read chapter 2 of our Revenue guide. Also, to hear more on revenue topics, listen to the first episode in this miniseries, Gross versus net revenue: Is your company the principal or agent?. Additionally, follow this podcast on your favorite podcast app for more episodes.
Mike Coleman is a partner in PwC's National Office with over 30 years of experience. Mike specializes in accounting for revenue and software arrangements and has served technology clients for much of his career. In addition, Mike has represented the firm on the AICPA Software Task Force.
Pat Durbin is a Deputy Chief Accountant in PwC’s National Office. He has over 30 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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Host Heather Horn welcomes back Will Evison, a director in PwC UK’s Global Sustainability, Climate, and Nature Strategy practice, to provide an update on the work of PwC’s Centre for Nature Positive Business and discuss the relationship between nature positive business strategy and reporting.
In this episode, they discuss:
- 2:18– The purpose and progress of PwC’s Centre for Nature Positive Business
- 8:57 – The impact of the Corporate Sustainability Reporting Directive adoption on company strategies
- 10:45 – The importance of nature positive business
- 12:58 – Nature reporting developments, including those related to the European Sustainability Reporting Standards and the Task Force on Nature Related Financial Disclosures (TNFD)
- 23:27 – Insights on how companies can combine nature strategy and reporting
- 28:55 – What’s on the horizon for nature positive business
Interested in more background on measuring and reporting nature and biodiversity? Listen to our previous podcasts in the “Becoming nature positive” series (Committing, measuring and reporting and Strategizing and implementing) and check out PwC’s global nature hub here.
Also, referenced in the podcast, is the Nature Strategy Handbook developed by Business for Nature in collaboration with PwC UK (official partner of the campaign), as well as Managing natures risks: from understanding to action, a follow-up to an earlier analysis of the nature dependence of industries’ direct operations that was carried out by PwC as part of the World Economic Forum’s New Nature Economy Report Series and published in the Nature Risk Rising report in 2020.
Will Evison is a director in PwC UK’s Global Sustainability, Climate, and Nature Strategy practice, specializing in integrating natural and social capital analysis into decision making. With over 18 years’ experience delivering climate and nature-related projects with businesses, investment firms and public sector organizations across more than 20 countries, he also led the development of PwC’s Total Impact Measurement and Management methodologies (TIMM), and now manages PwC’s global TIMM center of excellence. These methodologies utilize predictive analytics, health economics, and wellbeing techniques to model outcomes.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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This episode begins a podcast miniseries on revenue topics with a discussion of principal versus agent (PvA) or “gross versus net” revenue. In other words, the principal in a transaction records revenue on a gross basis and the agent records revenue net. The PvA analysis can be subjective but it's important to get it right as it can materially impact a key line item in the income statement, revenue from contracts with customers.
In this episode, we discuss:
- 2:00 – An overview of the PvA model and reporting impacts
- 8:45 – Key considerations in the PvA analysis
- 9:50 – Assessing control
- 16:25 – Challenges in applying the PvA analysis to specific arrangements, including:
- 16:59 – Healthcare services
- 24:15 – Payment processing
- 30:12 – Additional reminders relating to the PvA analysis and related disclosures
For more information, read chapter 10 of our Revenue guide. Additionally, follow this podcast on your favorite podcast app for more episodes.
Mike Coleman is a partner in PwC's National Office with over 30 years of experience. Mike specializes in accounting for revenue and software arrangements and has served technology clients for much of his career. In addition, Mike has represented the firm on the AICPA Software Task Force.
Pat Durbin is a Deputy Chief Accountant in PwC’s National Office. He has over 30 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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This episode dives into valuation relating to goodwill impairments, long-lived asset impairments, and business combinations. We discuss:
- 1:15 – The meaning of “fair value” in financial reporting
- 5:55 – Valuation considerations and insights related
- 6:20 – Goodwill impairments
- 34:30 – Impairments of long-lived assets
- 42:53 – Business combinations
For more information, read chapter 7 of our Fair value guide, chapters 2 and 9 of our Business combinations guide, and chapter 5 our Property, plant, equipment and other assets guide. Also, check out another recent podcast related to this topic, Impairment of long-lived assets held and used. Additionally, follow this podcast on your favorite podcast app for more episodes.
Beth Paul is a Deputy Chief Accountant in PwC’s National Office responsible for a team of consultants that specialize in business combinations and related areas, such as consolidations, disposals, impairments, and segment reporting.
Adam Smith is a managing director in PwC’s Deals practice with experience related to performing valuations of businesses, business interests, intangible assets, and derivatives. Adam’s valuation specialization supports a wide range of purposes, including financial reporting, litigation support, corporate planning and consulting, and mergers and acquisitions.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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In June 2024, PwC released its 2024 Global Corporate Sustainability Reporting Directive (CSRD) survey, which covers a variety of topics on the current state of companies’ CSRD implementation. In this week’s podcast, host Heather Horn welcomes back Nadja Picard, PwC’s Global Reporting Leader, to dive into the results of the survey conducted in April 2024, including company readiness, data availability, and the use of technology in reporting.
In this episode, we discuss:
- 01:55 - Purpose of the 2024 global CSRD survey and demographics of survey participants
- 04:57 - Summary of key topics included in the survey
- 06:35 - Summary of key insights gained from the survey
- 11:18 - How companies are approaching double materiality
- 16:59 - The two main challenges companies say they are experiencing
- 19:43 - How companies are using tools and technology
- 24:25 - The most surprising result of the survey – companies’ positive perspectives on the benefits of sustainability reporting
- 28:16 - Takeaways for conversations with key stakeholders
- 35:14 - The key role of senior management
- 36:50 - The importance of setting up data processes and systems to comply with various reporting requirements
- 39:54 - What we will learn from first-time CSRD reporters
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter for the latest thought leadership on sustainability standards.
Nadja Picard is PwC’s Global Reporting Leader. In this role, she leads PwC’s global initiative to help clients transform their corporate reporting to meet investor and stakeholder demands for trusted and assured reporting beyond financial reporting. Nadja also advises companies on the accounting, corporate reporting, and investor relations requirements in advance of capital markets transactions, especially IPOs.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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This episode covers the latest developments in the world of crypto assets from the current landscape to the regulatory environment to the accounting. In this episode, we discuss:
- 4:13 – An overview of the market
- 8:42 – US legislative activity related to SEC Staff Accounting Bulletin 121
- 14:30 – Use cases for crypto assets and related technology
- 19:15 – Accounting for crypto assets and recent guidance from the FASB
- 31:15 – Key disclosure requirements
- 36:07 – SEC guidance related to lending arrangements and custodians of crypto assets
For more information on this topic, read our Crypto assets guide. Additionally, follow this podcast on your favorite podcast app for more episodes.
Kevin Jackson is a partner in PwC’s Capital Markets Accounting Advisory Services practice who assists clients with complex accounting and financial reporting issues. Kevin is also a member of the AICPA's Digital Assets Working Group, which provides interpretive guidance on how to account for digital assets.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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PwC provides a summary of the latest accounting, financial reporting, and regulatory updates to support your quarterly reporting.
We begin this edition of The quarter close with a mid-year check-in on SEC comment letter trends. Spoiler alert: non-GAAP financial measures continue to draw the most comments from the SEC staff. We also highlight key considerations for service or supply arrangements that may have embedded leases.
In sustainability reporting news, the SEC stayed its climate disclosure rules in light of pending litigation. However, beyond the SEC’s rules, companies may be subject to a range of sustainability reporting obligations. We keep you informed on the latest developments.
This quarter we spotlight recent international standard-setting activities, including a new IFRS standard that redefines financial performance reporting. Although US GAAP reporters are not subject to IFRS standards, you’ll want to stay updated on the changes, which could influence the views of stakeholders in the US. In addition, we summarize the FASB’s latest decisions on its project on software costs.
In this edition of The quarter close, we highlight these and other relevant accounting and reporting topics you should consider as you close out the second quarter of 2024.
Transcripts available upon request for individuals who may need a disability-related accommodation Please send requests to us_podcast@pwc.com.
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We conclude our miniseries on consolidation accounting with an episode on identifying the primary beneficiary of a VIE, the reporting entity required to consolidate the VIE. In this episode, we discuss:
- 3:15 – Determining which entity should consolidate the VIE
- 6:07 – The primary beneficiary power criterion
- 17:35 – The primary beneficiary economics criterion
- 21:17 – Relatedparty impacts on the VIE model
- 26:00 – Ongoing reassessment of the primary beneficiary
For more information on this topic, read chapter 5 of our Consolidation guide. Also, for an overview of the consolidation framework, listen to the first two episodes in this miniseries, The consolidation framework – Getting started and The consolidation framework – Identifying a VIE. Additionally, follow this podcast on your favorite podcast app for episodes on other topics.
Matt Sabatini is a partner in PwC's National Office who helps clients and engagement teams navigate the accounting and financial reporting for complex transactions. He specializes in the accounting for M&A, consolidations, corporate reorganizations, recapitalizations, joint ventures, and other investments.
Alexander Martin is a partner in PwC's Deals practice with over a decade of deals experience, helping clients solve complex accounting, financial reporting, and other business issues that arise from transaction-driven events such as mergers and acquisitions, divestitures, and capital raises.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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In this podcast, host Heather Horn sits down with Emily Kirsch, a director in PwC's sustainability practice, to discuss how companies are approaching the Corporate Sustainability Reporting Directive (CSRD) implementation process. The clock is ticking as companies navigate the various phases of the process, including scoping, the double materiality assessment, the gap assessment, and remediation.
In this episode, we discuss:
- 2:08 – CSRD implementation process overview and where companies are in the journey
- 2:41 – The importance of scoping and weighing the options for various reporting approaches
- 3:50 – How the double materiality assessment drives reporting requirements
- 5:08 – Key cross-functional workstreams needed and required upskilling
- 7:32 – Applying an integrated approach across multiple ESG frameworks
- 9:16 – Pitfalls and best practices of the double materiality assessment
- 14:50 – Identifying gaps and addressing them as part of the remediation process
- 18:12 – Assessing the timeline for mandatory and voluntary reporting
- 22:13 – Difficulty in collecting data, including the availability of data at a disaggregated level
- 23:56 – A narrow lead time requiring consistent communication company wide
- 26:17 – Common challenges companies are experiencing during CSRD implementation
- 35:25 – Keys to successes throughout the CSRD implementation process
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter for the latest thought leadership on sustainability standards.
Emily Kirsch is a director in PwC's sustainability practice focused on sustainability reporting and standard setting in the EU. She advises both public and private companies in navigating complex emerging sustainability reporting requirements and implementing new reporting regulations during periods of change in an organization.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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We continue our miniseries on consolidation accounting and dive into the evaluation of variable interests and the characteristics of a variable interest entity (VIE).
In this episode, we discuss:
- 1:24 – An overview of the VIE model
- 3:30 – Determining whether there is a variable interest
- 11:25 – Identifying “at-risk” equity
- 15:28 – Evaluating whether an entity is a VIE by assessing the following characteristics exist:
- 16:00 – Insufficient equity investment at risk
- 24:27 – Equity lacks decision making rights
- 34:40 – Equity with nonsubstantive voting rights
- 37:38 – Lack of obligation to absorb losses or right to receive residual returns
- 41:45 – A recap of the episode and final thoughts
For more information on this topic, read chapters 3 and 4 of our Consolidation guide. Also, for an overview of the consolidation framework, listen to the first episode in this miniseries, The consolidation framework – Getting started. Additionally, follow this podcast on your favorite podcast app for episodes on other topics.
Matt Sabatini is a partner in PwC's National Office who helps clients and engagement teams navigate the accounting and financial reporting for complex transactions. He specializes in the accounting for M&A, consolidations, corporate reorganizations, recapitalizations, joint ventures, and other investments.
Alexander Martin is a partner in PwC's Deals practice with over a decade of deals experience, helping clients solve complex accounting, financial reporting, and other business issues that arise from transaction-driven events such as mergers and acquisitions, divestitures, and capital raises.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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In this episode, Heather sits down with Marie Hache, PwC Sustainability partner, to discuss the practical challenges companies will face in implementing new mandatory sustainability reporting requirements. They cover leading practices including data quality considerations and getting ready for assurance.
In this episode, we discuss:
- 1:55 - Marie's background in sustainability and her work with companies on implementing new rules and standards
- 2:29 - How companies are preparing for upcoming sustainability reporting requirements, including double materiality considerations
- 13:23 - Data quality considerations, including performing pre-audits, implementing new systems, and strengthening existing processes
- 18:21 - How companies are working toward adoption taking a joint holistic approach
- 21:28 - Challenges in the transition to enhanced assurance requirements
- 28:43 - How to beprepared for the first years of mandatory reporting
- 33:45 - How companies can achieve consistency across different reporting requirements
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter for the latest thought leadership on sustainability standards.
Marie Hache is a partner in the Sustainability Services team at PwC with experience working with companies across multiple sectors including services, pharma, retail, technology, hospitality, utilities, and manufacturing. She helps clients reliably and transparently communicate on ESG topics to meet stakeholder expectations.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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We kick off our miniseries on consolidation accounting with an overview of the consolidation models and lay the foundation to go deeper into the variable interest entity model in the next two episodes.
In this episode, we discuss:
- 02:59 - Background on the two consolidation models
- 12:54 - The overall consolidation framework
- 14:20 - The variable interest entity model
- 20:25 - The voting interest entity model
- 23:13 - Consolidation scope exceptions
- 28:13 - VIE model scope exceptions
For more information on this topic, read chapter 1 of our Consolidation guide. Additionally, follow this podcast on your favorite podcast app for more episodes.
Matt Sabatini is a partner in PwC's National Office who helps clients and engagement teams navigate the accounting and financial reporting for complex transactions. He specializes in the accounting for M&A, consolidations, corporate reorganizations, recapitalizations, joint ventures, and other investments.
Alexander Martin is a partner in PwC's Deals practice with over a decade of deals experience, helping clients solve complex accounting, financial reporting, and other business issues that arise from transaction-driven events such as mergers and acquisitions, divestitures, and capital raises.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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In this podcast, host Heather Horn sits down with Katie Woods, a senior director in PwC's Global Corporate Reporting Services group, to discuss the recent activities of the International Sustainability Standards Board (ISSB). They discuss the standards issued by the ISSB to date, recent decisions reached by the board regarding future standard setting activities, updates on jurisdictional activity, and more.
In this episode, we discuss:
- 2:16 - Refresher on the issued IFRS® Sustainability Disclosure Standards (SDS), as well as the Board’s consultation on agenda priorities
- 8:43 - Sustainability reporting in the broader context of global issues, including biodiversity and human capital
- 13:06 - The new interoperability guidance from the ISSB and EFRAG related to climate disclosures
- 19:28 - Updates on jurisdictions looking to adopt IFRS SDS
- 23:47 - The ISSB’s publication of the IFRS SDS digital taxonomy
- 25:14 - The significance of the TCFD framework coming under the umbrella of the IFRS Foundation
- 26:53 - Highlights and areas of focus related to the ISSB’s future activities
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability standards.
Katie Woods is a senior director in PwC's Global Corporate Reporting Services - sustainability group advising on ESG and international accounting standards. Katie specializes in the new and emerging ESG reporting frameworks working across the PwC network. She has over 30 years of experience working with a broad range of companies. Katie speaks regularly on a range of ESG and accounting topics.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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We wrap up our miniseries on accounting for financing transactions with a focus on the accounting for equity-linked instruments.
In this episode, we discuss:
- 2:03 - Why companies issue equity-linked instruments
- 7:23 - Determining whether an instrument is freestanding or embedded
- 13:13 - Determining whether an instrument is indexed to the entity’s own stock
- 17:23 - Exercise contingencies
- 19:50 - Settlement adjustments
- 32:36 - Convertible debt instruments
- 39:51 - Equity or liability classification
For more information on these topics, read chapter 5 of our Financing transactions guide. Also, check out other episodes in our miniseries: Share repurchases – The type of arrangement matters, Accounting for preferred stock from issuance to retirement, and Understanding "mezzanine” equity. Additionally, follow this podcast on your favorite podcast app for more episodes.
John Horan is a managing director in PwC’s National Office where he assists clients with complex accounting issues in the areas of foreign currency, liabilities and equity, earnings per share, and derivatives and hedging. John specializes in large capital transactions and initial public offerings.
Bret Dooley is a Deputy Chief Accountant in PwC’s National Office who leads teams focused on the financial services sectors and accounting for financial instruments. He has over 25 years of experience in the financial services, banking, and capital markets industries. Bret focuses on emerging financial reporting issues related to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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With the finalization of the SEC’s climate disclosure rules and subsequent stay, along with other developments in the sustainability reporting landscape, the pace of change can seem dizzying. In this podcast, host Heather Horn sits down with Kyle Moffat, PwC National Office partner, and Casey Herman, PwC Sustainability partner, to take stock of the landscape and consider what companies can and should be doing now to navigate the uncertainty and prepare for future compliance.
In this episode, we discuss:
- 2:24 - Status of the SEC’s climate disclosure rules and actions taken by the Commission since the rules were finalized in March
- 5:57 - The uncertainties and potential outcomes related to the rules
- 11:06 – Other climate disclosure frameworks and compliance requirements that will move forward regardless of the SEC rules
- 13:25 - The increased awareness of climate risks at the board level and the importance of accuracy in climate reporting
- 16:05 - The continued commitment of companies to their sustainability goals despite regulatory uncertainties
- 18:10 - Why companies continue to set sustainability goals and evaluate climate risks
- 25:15 - What companies should focus on next in today’s complex regulatory environment
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability standards. Also, listen to our deep dive on the SEC climate rules here.
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Casey Herman is a PwC Sustainability partner, leading a firmwide, cross functional team that assists companies with important ESG and sustainability matters. His team’s work spans from accurately reporting ESG data and progress to designing and implementing sustainable business strategies. Casey has more than 35 years of experience providing trust and consulting services to energy and utility companies.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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Next up in our miniseries on accounting for financing transactions is mezzanine equity. When an instrument is presented as mezzanine equity, it is not permanent equity or a liability. We explain what that means and provide an overview of how to account for it as well as the financial statement impacts.
In this episode, we discuss:
- 1:56 - Background and the associated SEC guidance on mezzanine equity
- 3:52 - When mezzanine equity presentation is appropriate
- 27:20 - Measurement
- 36:20 - Extinguishment
- 38:13 - EPS impacts
For more information on these topics, read chapter 7 of our Financing transactions guide. Also, check out other episodes in our miniseries covering Accounting for preferred stock from issuance to retirement and Share repurchases – The type of arrangement matters. Additionally, follow this podcast on your favorite podcast app for more episodes.
Chip Currie is a partner in PwC’s National office with nearly 30 years of experience assisting companies in resolving complex business and accounting issues. He concentrates on the accounting for financial instruments under both current and emerging standards and works with many of the firm's largest financial services clients and a number of non-financial services clients on treasury-related matters.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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While the Inflation Reduction Act (IRA) was enacted into law in 2022, the Department of the Treasury continues to provide guidance to taxpayers on how to utilize the provisions of the law. Such guidance has been issued with increasing volume in recent months. In this episode, host Heather Horn sits down with Matt Haskins, principal in PwC's Washington National Tax Services office who focuses on renewable energy transactions, to discuss the latest IRA guidance and the implications for businesses.
In this episode, we discuss:
- 2:18 - Highlights of recent updates regarding the IRA and a look ahead at the political landscape
- 7:14 - Clarifications on the prevailing wage and apprenticeship and domestic content requirements
- 19:42 - Updates on the transferable tax credit market and activities
- 27:15 - Final regulations on transferability of energy credits
- 31:11 - The latest news on “green” hydrogen requirements
- 41:45 - Guidance on sustainable aviation fuel and its potential impact on the aviation industry
- 44:31 - Final electric vehicle regulations and their implications for the automotive industry
- 48:20 - Advice for companies looking to maximize the benefit of the IRA
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter for the latest thought leadership on sustainability standards.
Matt Haskins is a principal in PwC’s Washington National Tax Services, focusing on renewable energy financing and M&A transactions. In addition to writing and speaking on issues in the renewable energy industry, Matt has co-chaired the energy and environmental taxes working group for the US Council on International Business and served as a delegate for key energy initiatives of the Organization for Economic Cooperation and Development.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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We continue our miniseries on accounting for financing transactions with a focus on preferred shares. In this episode we provide an overview and walk through the key judgments in accounting for different types of preferred stock.
In this episode, we discuss:
- 2:01 - An overview of preferred stock, common features, and reasons companies may issue it over other forms of financing
- 9:40 - The accounting model for preferred stock
- 14:30 - Classification, recognition, and measurement of preferred stock
- 30:55 - Dividends
- 33:34 - Extinguishment or modification accounting
For more information on these topics, read chapter 7 of our Financing transactions guide. Also, for more on the EPS implications of preferred stock, listen to our podcast, Presenting earnings per share (EPS). Additionally, follow this podcast on your favorite podcast app for more episodes.
Bret Dooley is a Deputy Chief Accountant in PwC’s National Office who leads teams focused on the financial services sectors and accounting for financial instruments. He has over 25 years of experience in the financial services, banking, and capital markets industries. Bret focuses on emerging financial reporting issues related to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters.
Christopher Gerdau is a partner in PwC’s National Office specializing in accounting for financial instruments and banking-related topics. Chris also conducts technical reviews of SEC filings and provides technical support to PwC’s practice offices. Chris’s client service expertise includes the banking, capital markets, and insurance industries.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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The concept of a circular economy emphasizes reducing, reusing, repairing, and recycling to minimize waste and maximize resource use in the context of a planet with finite resources. And as you’ll hear in this episode, circularity is increasingly becoming a business issue, both a challenge and opportunity, that interacts with multiple sustainability topics.
This week, Heather Horn is joined by Tom Beagent, a partner in PwC UK’s Global Sustainability and Climate Change practice, to discuss the circular economy, a sustainable alternative to the traditional linear economy model.
In this episode, we discuss:
- 3:02 - The concept of a circular economy and its importance in the context of finite resources
- 7:52 - The relationship between a circular economy, net zero emissions, and biodiversity
- 9:07 - The scale of change required, and the steps involved to transition to a circular economy
- 13:18 - Examples of industries and products that would benefit the most from transitioning to a circular economy
- 19:18 - Consumer practices that fit within a circular economy
- 24:21 - Why regulators are stepping in to mandate change
- 26:40 - The business opportunities that arise from solving problems related to waste and resource use
- 28:34 - The challenge of changing consumer behavior and perceptions of abundance
- 31:58 - Reporting under the EU's ESRS E5 standard and insights from the related data
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter for the latest thought leadership on sustainability standards.
Tom Beagent is a partner in PwC UK’s Global Sustainability and Climate Change practice, specializing in integrating natural and social capital analysis into decision making for sustainable growth. With over 20 years’ experience delivering sustainable business projects, he also co-developed PwC’s Total Impact Measurement and Management methodologies (TIMM), which allows organizations to measure and value the social, environmental, economic, and fiscal impacts resulting from their operations, as well as their extended value chains.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
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We kick off our miniseries on accounting for financing transactions with a focus on share repurchases. We provide an overview of the different methods and reasons companies may repurchase their own shares as well as the accounting implications. Spoiler alert – the type of arrangement really matters as it dictates the accounting.
In this episode, we discuss:
- 3:38 – An overview of the different methods and reasons companies repurchase shares
- 11:43 – Accounting implications depending on the method of repurchase:
- 11:55 – Spot repurchases
- 15:07 – 10B5-1 plans
- 16:26 – Forward repurchases
- 18:56 – Prepaid repurchases
- 20:30 – Tender offers
- 24:08 – Accelerated share repurchases
- 30:40 – Accounting for treasury stock
For more information on these topics, read chapter 9 of our Financing transactions guide. Additionally, follow this podcast on your favorite podcast app for more episodes.
John Horan is a managing director in PwC’s National Office where he assists clients with complex accounting issues in the areas of foreign currency, liabilities and equity, earnings per share, and derivatives and hedging. John specializes in large capital transactions and initial public offerings.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
While the SEC has stayed its climate disclosure rule for now, our team is still fielding many questions as preparers work toward complying with global sustainability reporting regulations. In this episode, host Heather Horn sits down with PwC National Office partners Kevin Vaughn, Diana Stoltzfus, and Valerie Wieman to break down some frequently asked questions on the SEC climate-related disclosures rules.
In this episode, we discuss:
- 2:05 - The implications of the SEC staying the new climate disclosure rules, and how the rules fit into an environment with multiple reporting frameworks
- 5:17 - The continued applicability of previously issued interpretive guidance on climate-related disclosures
- 7:05 - The scope of the SEC’s new climate disclosure rules
- 10:11 - Impacts of the disclosure rules to management certifications and internal controls
- 11:20 - Frequently asked questions from SEC filers about:
- 11:25 - Scenario analysis
- 13:53 - Materiality
- 15:31 - Targets and goals
- 21:10 - Renewable energy certificates and carbon offsets
- 23:51 - Financial statement impacts
- 30:26 - Severe weather events and other natural conditions
- 33:56 - Advice and action steps for preparers
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to for the latest thought leadership on sustainability standards. Also, refer to the SEC staff’s Dear Issuer Letter for sample comments on a company’s climate-related disclosures.
Kevin Vaughn is a partner in PwC’s National Office. Prior to joining PwC, Kevin was senior associate chief accountant in the Office of the Chief Accountant (OCA) at the SEC where he spent almost 20 years focusing on complex financial reporting and technical accounting issues.
Valerie Wieman is a PwC National Office partner with over 30 years of experience. She helps lead the creation, development, and publication of our brand-defining thought leadership, with a focus on domestic and international sustainability requirements.
Diana Stoltzfus is a partner in the National Office. Diana helps to shape PwC’s perspectives on regulatory matters, responses to rulemakings, and policy development, and implementation related to significant new rules and regulations. Prior to rejoining PwC, Diana was the Deputy Chief Accountant in the Office of the Chief Accountant (OCA) at the SEC where she led the activities of the Professional Practices Group within the OCA.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
This episode provides an overview of new FASB income tax guidance requiring disaggregated information about a reporting entity’s effective tax rate reconciliation as well as income taxes paid. The FASB’s updates are intended to benefit investors by providing more detailed income tax disclosures that may be useful in making capital allocation decisions.
In this episode, we discuss:
- 0:20 - Background on and an overview of the new guidance
- 6:50 - Disaggregated rate reconciliation disclosures
- 26:16 - Disaggregated income taxes paid disclosures
- 33:15 - Other changes to existing income tax disclosures
- 35:18 - Effective dates and transition
For more information, read our publication, FASB issues guidance on income tax disclosures. Additionally, follow this podcast on your favorite podcast app for more episodes.
Jennifer Spang is the PwC National Office income tax accounting leader, specializing in tax accounting under US GAAP and IFRS. She has over 30 years of experience helping companies in a variety of industries navigate complex tax accounting matters.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Companies subject to multiple sustainability reporting regulations are sorting through how best to meet each framework’s requirements in an effective and efficient manner. In this episode, host Heather Horn sits down with Valerie Wieman, PwC National Office Partner, to discuss the concepts of interoperability and equivalence across global sustainability reporting frameworks as well as the importance of a data-driven assessment.
In this episode, we discuss:
- 2:31 - Defining the concepts of interoperability and equivalence
- 3:29 - What a “data first” approach means when it comes to preparing for compliance
- 4:51 - Overview of interoperability and equivalence in the major frameworks
- 14:00 - Timing considerations across frameworks
- 19:18 - Differences in scope and materiality among frameworks
- 24:59 - Attestation and assurance requirements across frameworks
- 31:29 - Getting started on compliance and how best to leverage interoperability opportunities
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability standards.
Valerie Wieman is a PwC National Office partner with over 30 years of experience. She helps lead the creation, development, and publication of our brand-defining thought leadership, with a focus on domestic and international sustainability requirements.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The final episode in our lease accounting miniseries focuses on embedded leases. Although it may not be explicitly stated, your contract may contain a lease that needs to be accounted for. We cover some of the key considerations and common difficulties.
In this episode, we discuss:
- 1:35 - Embedded leases, including examples
- 7:43 - The model used to identify an embedded lease
- 08:56 - Identified asset considerations
- 16:52 - Control considerations
- 30:18 - Identification of lease versus non-lease components and allocation of consideration
For more information on these topics, read chapter 2 of our Leases guide. Also, check out other episodes in our miniseries covering Lease classification, "Day 2" lease accounting, and lessee accounting for real estate leases. Additionally, follow this podcast on your favorite podcast app for more episodes.
Marc Jerusalem is a PwC National Office managing director specializing in leasing. Marc consults with clients on complex lease accounting issues and is a frequent contributor to many related PwC National Office publications.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
A critical step in getting ready for new sustainability reporting requirements is building a comprehensive governance framework. In this episode, host Heather Horn sits down with Stephen Parker and Matt DiGuiseppe of PwC’s Governance Insights Center to discuss the new regulatory environment and what it means for board members looking to discharge their oversight responsibilities effectively and management looking to get the board ready.
In this episode, we discuss:
- 2:21 - Reactions to new sustainability reporting frameworks from senior management and boards
- 6:13 - Strategies for managing the “noise” around new rules and how best to proceed despite uncertainty
- 10:43 - The need to upskill board members so that they are capable of performing their fiduciary responsibility related to oversight of sustainability processes and disclosures
- 18:43 - How management can best help the board prioritize its time given the increase in its responsibilities
- 23:15 - Whether the market has begun to consider a board candidate’s knowledge of climate during board selection processes and the level of expertise required
- 27:39 - How boards are performing their responsibilities with respect to climate information
- 33:55 - Working through the challenges of presenting sustainability information to the board given tight timelines and other reporting responsibilities
- 39:25 - Best practices for governance over sustainability matters at the board and management levels
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability standards.
Stephen Parker is a partner in PwC’s Governance Insights Center, which strives to strengthen the connection between directors, executive teams, and investors by helping them navigate the evolving governance landscape. With more than 30 years of experience, Stephen has advised boards of directors on a variety of complex financial reporting matters. Stephen’s client service experience includes energy and utility companies, financial services companies, and nonprofits.
Matt DiGuiseppe is a managing director in PwC’s Governance Insights Center, which helps stakeholders navigate the evolving governance landscape. Matt has participated in numerous industry groups and was the founding chairperson of the Investor Stewardship Group (ISG), which advanced a set of corporate governance and stewardship principles for the US market.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In this next episode in our miniseries on lease accounting, we focus on lessee accounting for real estate leases. From lease incentives to build-to-suit arrangements and more, we cover some of the key areas that lessees should consider in accounting for real estate leases.
In this episode, we discuss:
- 03:25 - Lease incentives
- 08:23 - Distinguishing between lessee and lessor assets
- 11:28 - Accounting for lessee assets
- 13:50 - Accounting for lessor assets
- 17:20 - Determination of the lease commencement date
- 19:06 - Multiple units of account in a lease
- 21:51 - Build-to-suit arrangements
For more information on these topics, read chapters 3, 6, and 8 of our Leases guide. Also, check out other episodes in our miniseries covering lease classification and “day 2” lease accounting. Additionally, follow this podcast on your favorite podcast app for more episodes.
Suzanne Stephani is a director in PwC’s National Office specializing in the statement of cash flows, as well as the application and interpretation of the accounting guidance related to financing and leasing transactions.
Marc Jerusalem is a PwC National Office managing director specializing in leasing. Marc consults with clients on complex lease accounting issues and is a frequent contributor to many related PwC National Office publications.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
While the changing global sustainability reporting landscape may pose challenges for preparers, there continue to be opportunities for companies in every industry to take a holistic approach to disclosure – whether mandatory or voluntary.
In this episode, host Heather Horn sits down with Marc Siegel, PwC National Office partner, for a discussion of the key focus areas and action steps for C-suite executives as they ready their companies for the future of global sustainability reporting.
In this episode, we discuss:
- 2:36 - How the market has spoken – and determined that sustainability disclosures are needed, regardless of regulatory actions
- 4:15 - Challenges of reporting under multiple frameworks
- 14:50 - How to prioritize gathering information
- 18:51 - The importance of building stronger disclosure controls and processes as well as having the right people focused on the task
- 23:02 - Navigating the market’s expectations for sustainability information
- 28:51 - Challenges resulting from differing time horizons for sustainability and financial reporting, and how to tie these horizons together to communicate a cohesive strategy
- 32:50 - How companies can tailor climate disclosures given the specific risks the company faces due to climate-related factors
- 35:43 - Key governance-related behaviors companies are adopting and how they are disclosing these behaviors
- 38:19 - The importance of starting the readiness process irrespective of ongoing legal challenges
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability standards. For more information on the SEC climate-related disclosure rules, refer to our publication,SEC adopts climate-related disclosure rules.
Marc Siegel is a PwC National Office partner. He helps boards and executives with transparent articulation of their company’s long term value creation story, throughout investor communication channels within and outside of regulatory filings. Marc completed 14 years of setting reporting standards in both financial accounting and ESG as a member of the FASB and SASB, respectively.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
We continue our miniseries on lease accounting. In this episode, we discuss “day 2” lease accounting, focusing on lease remeasurements, subleasing, and lease impairments.
In this episode, you’ll hear a discussion of:
- 01:18 - Events requiring remeasurement
- 02:17 - Full lease remeasurements
- 06:19 - Partial lease remeasurements
- 7:47 - Lease term and purchase option remeasurements
- 13:44 - Lease modification remeasurements
- 21:34 - Subleasing arrangements
- 25:58 - A refresher on ROU asset impairments
For more information on modifications and remeasurements of leases, read chapter 5 of our Leases guide. For more on leases, check out the first episode in our miniseries; it covers lease classification. Additionally, follow this podcast on your favorite podcast app for more episodes.
Suzanne Stephani is a director in PwC’s National Office specializing in the statement of cash flows, as well as the application and interpretation of the accounting guidance related to financing and leasing transactions.
Marc Jerusalem is a PwC National Office managing director specializing in leasing. Marc consults with clients on complex lease accounting issues and is a frequent contributor to many related PwC National Office publications.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The International Sustainability Standards Board (ISSB) under the IFRS Foundation last year released IFRS S1 and IFRS S2, representing a step toward the organization’s goal of achieving a comprehensive global baseline of sustainability disclosures. But implementing such a global baseline effectively goes beyond simply setting standards – it requires a new set of capabilities, infrastructure, knowledge, and talent in economies around the world.
New sustainability reporting requirements in jurisdictions around the world have resulted in the need for companies to take stock of their own capacity to produce high quality sustainability disclosures, as well as the capacity of players in their value chains who will provide inputs to their reporting. In this episode, Heather Horn sat down with Mardi McBrien, Chief of Strategic Affairs & Capacity Building at the IFRS Foundation, to discuss how the IFRS Foundation has been working to build capacity, and how companies can best navigate the overall sustainability reporting environment moving forward.
In this episode, you’ll hear:
- 2:31 - A refresher on capacity building and its importance in sustainability reporting
- 4:38 - A discussion of the need for upskilling in various sectors to meet global sustainability reporting standards
- 8:43 - An overview of the drivers of the IFRS Foundation’s focus on capacity building
- 17:14 - Advice on implementing new business processes and enhancing communication with suppliers to prepare for new disclosure standards
- 21:33 - A discussion of the progress made in capacity building and the role of the IFRS Foundation’s partners in this process
- 29:00 - An overview of the IFRS Foundation’s “three pillar approach” for capacity building
- 35:19 - Where listeners can go to understand where the ISSB is headed with standard setting and what is next for companies preparing to report
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability standards.
Mardi McBrien is the Chief of Strategic Affairs & Capacity Building at the IFRS Foundation responsible for sustainability reporting. In this role she has played an active part in setting up the ISSB. Prior to the IFRS Foundation, Mardi spent over a decade leading the global ESG standard setter, the Climate Disclosure Standards Board (CDSB), in developing quality disclosure standards and thought leadership on environmental and social issues.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
This first episode in a miniseries on lease accounting focuses on lease classification. We provide an overview of the differences between finance and operating leases and discuss the criteria for classifying leases.
In this episode, you’ll hear:
- 3:30 - An overview of the key differences between finance and operating leases, including expense recognition and cash flow classification
- 5:15 - A discussion of how to determine if a lease should be classified as finance or operating including:
- 6:35 - Lease commencement date considerations
- 10:20 - Whether a lease contains a single asset or multiple assets
- 14:41 - Whether the lease term is a major part of the economic life of the asset
- 22:55 - The lease payment criterion, including a breakdown of lease payments and the appropriate discounting methodology
- 41:56 - Highlights of other classification criteria such as title transfer, purchase options, and alternative use
For more information, read chapter 3 of our Leases guide. Additionally, follow this podcast on your favorite podcast app for more episodes.
Suzanne Stephani is a director in PwC’s National Office specializing in the statement of cash flows, as well as the application and interpretation of the accounting guidance related to financing and leasing transactions.
Marc Jerusalem is a PwC National Office managing director specializing in leasing. Marc consults with clients on complex lease accounting issues and is a frequent contributor to many related PwC National Office publications.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Companies around the world are now facing the difficult task of operationalizing multiple sustainability reporting regulations, and doing so within an unprecedented timeline. How are they managing the pressures? In this episode, host Heather Horn sat down with Alan McGill, PwC UK’s Sustainability Reporting, Measurements, and Assurance Leader, to illuminate some of the ways that companies are most effectively navigating the current regulatory landscape.
In this episode, we discuss:
- 2:45 - The complexity of the current sustainability regulatory landscape
- 7:03 - The market response to sustainability regulations, including challenges companies may face regarding short implementation timelines
- 10:38 - The significant increase in the scope of reporting requirements under the CSRD compared to previous voluntary reporting and what that means for companies in scope
- 13:14 - The current knowledge gap in ESG, and the importance of using sustainability data to drive business innovation and transformation
- 21:42 - Examples of steps companies have taken to prepare for reporting
- 36:02 - How multi-jurisdictional companies are managing the interoperability (or lack thereof) of the major frameworks
- 38:05 - Reflections on whether new regulations have resulted in companies changing their operations to be more sustainable, and how companies can seize opportunities for innovation
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to receive all of our thought leadership on sustainability.
Alan McGill is PwC UK's Sustainability Reporting, Measurements, and Assurance Leader. With experience delivering sustainable business projects, Alan’s work focuses on the impact of sustainability issues on business and providing organizations with attestation services over their reporting on relevant sustainability issues.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
We wrap up our miniseries exploring accounting for property, plant, and equipment with a discussion of asset acquisitions. In this episode Host Heather Horn is joined by PwC National Office partners Matt Sabatini and Alexander Martin who team up to share their knowledge and insights on this topic.
In this episode, you’ll hear:
- 04:41 – A discussion of how to determine whether a transaction is an asset acquisition or a business combination
- 24:26 – An explanation of the asset acquisition accounting framework
- 32:58 – The complexities of contingent consideration arrangements
- 39:32 – How transaction costs impact initial measurement
- 42:09 – Noncontrolling interests
- 47:36 – Considerations when identifying the assets acquired
- 50:15 – How to allocate cost to assets acquired
For more information, read chapter 2 of our Property, plant, equipment and other assets guide. Additionally, follow this podcast on your favorite podcast app for more episodes.
Matt Sabatini is a partner in PwC's National Office who helps clients and engagement teams navigate the accounting and financial reporting for complex transactions. He specializes in the accounting for M&A, corporate reorganizations, recapitalizations, joint ventures, and other investments.
Alexander Martin is a partner in PwC's National Office with over a decade of deals experience, helping clients solve complex accounting, financial reporting, and other business issues that arise from transaction-driven events such as mergers and acquisitions, divestitures, and capital raises.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The SEC’s new climate-related disclosures rules include new required disclosures on greenhouse gas (GHG) emissions reporting and assurance will be required.
In this episode, host Heather Horn sits down with Marcin Olewinski, a Trust Solutions partner, to unpack the key GHG emissions reporting requirements in the SEC’s new rules and to share insights for companies navigating the intersection among regulatory reporting requirements globally.
In this episode, you’ll hear:
- 2:20 - An overview of GHG emissions reporting requirements under the new SEC rules
- 7:30 - A discussion of the materiality qualifier for GHG emissions reporting and judgments involved in assessing materiality of nonfinancial information
- 14:30 - Insights on the notable changes between the proposed and final rules as well as a breakdown of the key requirements, including:
- 15:05 - Considerations for navigating the requirements for electing and reporting organizational boundaries
- 19:50 - A discussion of the requirements on operational boundaries and considerations for classifying direct and indirect emissions
- 21:41 - Insights on measurement of GHG emissions, including considerations for disclosing inputs, assumptions, and calculation methodologies
- 33:58 - An overview of filing requirements, including timing and assurance considerations
- 36:23 - Final advice for companies preparing to adopt the new SEC rules and seeking to navigate interoperability with other regulatory requirements
Looking for the latest developments in sustainability reporting? Tune into to our prior podcast for a primer on GHG emissions reporting. Additionally, follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability standards.
For more information specific to the SEC’s climate disclosure rules, read our In brief summary and comprehensive In depthpublications.
Note: On March 15, 2024, the US Court of Appeals for the Fifth Circuit temporarily stayed the rules. Next steps, including the timing and location of a potential hearing, are unclear.
Marcin Olewinski is a partner in PwC’s Trust Solutions practice, with over 20 years of experience bringing valued perspectives and insights to large clients in the energy sector. Additionally, he is focused extensively within PwC’s National Office on greenhouse gas and sustainability reporting.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The SEC’s final climate rule may be the headline news; however, companies shouldn’t lose sight of other requirements impacting first quarter reporting. As we kick off a new year, use our “cheat sheet” summary to keep track of new accounting guidance effective in 2024. In addition, Pillar Two tax legislation is now effective in several jurisdictions around the world and we discuss the implications.
Marking a significant milestone in sustainability reporting, the SEC voted on March 6 to finalize its long-awaited climate disclosure rules. In regulatory developments we provide details and the resources you need to get up to speed on the final requirements. The SEC’s rule is just one of the sustainability reporting requirements that may impact you. This quarter we launched the first chapter of our new global Sustainability Reporting Guidance – use it as a one-stop shop for guidance on the major required sustainability reporting frameworks around the globe.
After issuing three significant new standards in the fourth quarter of 2023, the FASB continues to make progress on the remaining projects on its technical agenda. We provide a preview of what to expect in standard setting in 2024.
In this edition of The quarter close, we highlight these and other relevant accounting and reporting topics you should consider as you close out the first quarter of 2024.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
We continue our miniseries exploring accounting for property, plant, and equipment. In this second episode we discuss the treatment of long-lived assets that are held for sale, from impairment to accounting for the sale of non-financial assets. Host Heather Horn is once again joined by Beth Paul, Deputy Chief Accountant in PwC’s National Office, to walk through specific considerations and complexities on this topic.
In this episode, you’ll hear:
- 00:22 – An overview of the impairment model for long-lived assets that are held for sale
- 02:05 – How to identify disposal groups
- 03:50 – A discussion of the order of impairment testing under the held for sale model
- 04:46 – What to consider when measuring impairment at the lower of carrying value or fair value less cost to sell
- 11:25 – A walkthrough of the accounting implications of AOCI and noncontrolling interest (NCI) in the held for sale model
- 16:05 – An explanation of differences between the sale of a business and the sale of an asset
- 18:00 - A discussion of accounting for the sale of nonfinancial assets
For more information, read chapter 5 of our Property, plant, equipment and other assets guide or listen to another podcast with further insights on this topic,Fixed asset toolkit: Assets held for sale. Additionally, follow this podcast on your favorite podcast app for more episodes.
Beth Paul is a Deputy Chief Accountant in PwC’s National Office responsible for a team of consultants that specialize in business combinations and related areas, such as consolidations, disposals, impairments, and segment reporting.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Got property, plant, and equipment? We’ve got you covered with a miniseries that explores the key judgments and complexities on the topic. We kick off with the impairment of long-lived assets that are held and used. Host Heather Horn is joined by Beth Paul, Deputy Chief Accountant in PwC’s National Office, to break down what is important.
In this episode, you’ll hear:
- 00:28 - An overview of long-lived asset impairments and how asset classes are relevant
- 03:17 - A refresher on how to identify asset groups for the impairment analysis
- 10:28 - When changes to asset groups are necessary and the implications
- 11:48 - How to determine if there is an impairment triggering event
- 14:57 - A discussion on the impairment recoverability test
- 17:18 - A explanation of key considerations for the recoverability test, including which cash flows and periods to include
- 24:18 - How to measure and allocate an impairment loss
For more information, read chapter 5 of our Property, plant, equipment and other assets guide or listen to another podcast with further insights on this topic, Impairment toolkit: Long-lived assets. Additionally, follow this podcast on your favorite podcast app to have other episodes in the series pushed to you.
Beth Paul is a Deputy Chief Accountant in PwC’s National Office responsible for a team of consultants that specialize in business combinations and related areas, such as consolidations, disposals, impairments, and segment reporting.
Heather Horn is the PwC National Office Sustainability & Thought Leader, responsible for developing our communications strategy and conveying firm positions on accounting, financial reporting, and sustainability matters. In addition, she is part of PwC’s global sustainability leadership team, developing interpretive guidance and consulting with companies as they transition from voluntary to mandatory sustainability reporting. She is also the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In this episode, host Heather Horn sits down with Kyle Moffatt, PwC’s Professional Practice leader, and PwC National Office partners Kevin Vaughn and Valerie Wieman to break down the much-anticipated SEC climate-related disclosures rules.
For more information on the SEC climate-related disclosure rules, refer to our In brief publication. Note: On March 15, 2024, the US Court of Appeals for the Fifth Circuit temporarily stayed the rules. Next steps, including the timing and location of a potential hearing, are unclear.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Kevin Vaughn is a partner in PwC’s National Office. Prior to joining PwC, Kevin was senior associate chief accountant in the Office of the Chief Accountant (OCA) at the SEC where he spent almost 20 years focusing on complex financial reporting and technical accounting issues.
Valerie Wieman is a PwC National Office partner with over 30 years of experience. She helps lead the creation, development, and publication of our brand-defining thought leadership, with a focus on domestic and international sustainability requirements.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The GHG Protocol has been one of the most widely used sustainability reporting frameworks for companies reporting GHG emissions information. With the evolution of the sustainability reporting landscape, including the adoption of regulatory sustainability reporting frameworks both in the United States and globally, the criticality of GHG emissions information and the GHG Protocol is reinforced by its incorporation in the primary sustainability reporting frameworks.
In this episode, host Heather Horn sits down with Marcin Olewinski, a PwC Trust Solutions partner, to unpack some of the fundamental judgments in GHG emissions reporting as companies prepare for the shift from a voluntary to mandatory reporting environment.
In this episode, you’ll hear:
- 00:44 - An overview of the prominence of GHG emissions reporting across jurisdictions, including the impact of the evolution in the regulatory landscape
- 2:24 - A discussion of the key concepts and definitions that are foundational to GHG emissions reporting, including:
- 3:01 - An overview of scope 1, 2, and 3 emissions
- 10:30 - A breakdown of organizational and operational boundaries
- 14:15 - Insights on practical challenges companies face in establishing the reporting boundary and preparing a GHG emissions inventory
- 16:05 - A refresher on the key differences in organizational boundaries among the sustainability reporting frameworks and advice for companies subject to multiple frameworks
- 18:50 - Considerations for companies establishing policies, processes, and controls to collect and aggregate data across its own operations and its value chain as a starting point for a GHG emissions inventory that is complete and accurate
- 27:59 - A discussion of the importance of consistency and reliability of input data as it relates to both activity data and emissions factors, including advice for companies navigating this reporting journey
For more information, read our Navigating the ESG landscapepublication as well as our comment letter to the GHG protocol. Additionally, note that this podcast was recorded prior to issuance of the SEC climate disclosure rules on March 6. Stay tuned for more content specific to the SEC rules. Lastly, follow this podcast on your favorite podcast app for more episodes.
Marcin Olewinski is a partner in PwC’s Trust Solutions practice, with over 20 years of experience bringing valued perspectives and insights to large clients in the energy sector. Additionally, he is focused extensively within PwC’s National Office on greenhouse gas and sustainability reporting.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
We continue our podcast series focused on financial statement presentation.
In this episode, host Heather Horn sits down with Bret Dooley, Deputy Chief Accountant in PwC’s National Office leading our financial instruments team, for a refresher on restricted cash – a focus area due to its impact on liquidity and the recent statement from the SEC Chief Accountant on the cash flow statement. Together, they break down the judgments in identifying and presenting restricted cash.
In this episode, you’ll hear:
- 2:10 - A refresher on restricted cash, including its not-so-simple definition, its impact on liquidity ratios, and its relevance in the current economic environment
- 9:30 - A discussion of the various types of restrictions imposed on cash and its impact on the classification and reporting of restricted cash, including:
- 10:35 - Distinguishing between self-imposed and legal restrictions
- 15:02 - Contractual restrictions
- 19:39 - Cash collected or remitted on behalf of others
- 24:45 - How to consider the types of restrictions imposed on cash equivalents
- 27:28 - Final reporting reminders for companies dealing with restricted cash or cash equivalents
For more information, read chapter 6 of our Financial statement presentationguide or listen to another podcast on the statement of cash flows, 2023 Year-end toolkit: Conquering the statement of cash flows. Additionally, follow this podcast on your favorite podcast app for more episodes.
Bret Dooley is a Deputy Chief Accountant in PwC’s National office who leads teams focused on the financial services sectors and accounting for financial instruments. He has over 25 years of experience in the financial services, banking, and capital markets industries. Bret focuses on emerging financial reporting issues related to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The European Union (EU) has ushered in a new era of sustainability reporting, as the Corporate Sustainability Reporting Directive (CSRD) is now effective. With impacts to both EU and non-EU headquartered companies, now is the time to understand the reporting requirements of this sweeping new regulation.
Continuing our CSRD series, this week Heather Horn is joined by PwC Netherlands partner Kees-Jan de Vries to discuss the topic of the EU’s green taxonomy disclosures for financial institutions, including how the metrics and key performance indicators differ from the baseline taxonomy disclosures, as well as what financial institutions should be doing to prepare.
In this episode, you’ll hear:
- 2:31 - Explanation of the European Union's green taxonomy and its implications
- 9:14 - Discussion on how the green taxonomy is different for financial institutions
- 12:17 - Breakdown of key performance indicators (KPIs)
- 18:58 - Challenges financial institutions face in reporting on the green taxonomy
- 22:03 - Expectations for banks and insurance companies to seek out more data due to the green taxonomy
- 27:10 - The shift from the Non-Financial Reporting Directive (NFRD) to the Corporate Sustainability Reporting Directive (CSRD) and its impact
- 30:34 - How adoption of taxonomy disclosures requires similar oversight and controls as adoptions of other accounting rules and disclosure frameworks
Kees-Jan de Vries is a sustainability partner for PwC Netherlands, specializing in reporting for banks and insurance companies. He serves as chair of PwC's international Financial Services Sustainable Reporting Working Group that interprets EU Taxonomy, CSRD, ESRS, and SFDR requirements.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
We continue our month of podcasts focused on financial statement presentation.
In this episode, host Heather Horn sits down with Bret Dooley, Deputy Chief Accountant in PwC’s National Office leading our financial instruments team, for a refresher on a topic that is fundamental to financial reporting for its impact on financial statement ratios – balance sheet offsetting. Together, they break down the complexities involved in determining whether and how to offset balance sheet amounts.
In this episode, you’ll hear:
- 1:30 – A refresher on balance sheet offsetting, including its purpose and significance to financial statement users
- 6:15 – A discussion of the general accounting framework, including the four conditions to determine whether a right of setoff exists
- 15:33 – An explanation of the different offsetting arrangements for derivatives
- 19:11 – A breakdown of the six criteria for balance sheet offsetting of reverse repurchase and repurchase agreements
- 22:59 – Final accounting reminders for companies navigating balance sheet offsetting
For more information, read chapters 19 and 22 of our Financial statement presentation guide. Additionally, follow this podcast on your favorite podcast app for more episodes.
Bret Dooley is a Deputy Chief Accountant in PwC’s National office who leads teams focused on the financial services sectors and accounting for financial instruments. He has over 25 years of experience in the financial services, banking, and capital markets industries. Bret focuses on emerging financial reporting issues related to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The European Union (EU) has ushered in a new era of sustainability reporting, as the Corporate Sustainability Reporting Directive (CSRD) is now effective. With impacts to both EU and non-EU headquartered companies, now is the time to understand the reporting requirements of this sweeping new regulation.
Continuing our CSRD series, this week Heather Horn is joined by Peter Flick and Nina Schäfer to discuss the topics of reporting boundaries and other common CSRD implementation questions companies are facing.
In this episode, you’ll hear:
- 3:30 – Explanation of the concepts of reporting boundaries and value chain in sustainability reporting
- 8:59 – An analogy of concentric circles to explain the concept of own operations and value chain
- 12:24 – A discussion on the importance of considering subsidiaries in ESG reporting
- 23:01 – Insights on the impacts of leasing contracts and special purpose entities on sustainability reporting
- 33:16 – Context for the implementation guidance provided by EFRAG for companies starting with their adoption of CSRD reporting
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability standards.
Peter Flick is the Sustainability Reporting Technical Leader for PwC Germany, where he oversees a team focused on sustainability reporting issues in the National Office. Prior to taking on sustainability reporting, Peter consulted with clients on complex financial instrument accounting under IFRS and German GAAP.
Nina Schäfer is a Director in PwC Germany’s National Office, where she focuses on sustainability reporting technical issues and consultations.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
We continue our month of podcasts focused on financial statement presentation.
In this episode, host Heather Horn sits down with Jay Seliber, a partner in PwC’s National Office specializing in business combinations, to share insights on the accounting and reporting considerations for discontinued operations. Together, they unpack the judgments and practical challenges in navigating discontinued operations, an area of increased focus given the current economic environment in which many companies are considering disposing of portions of their businesses.
In this episode, you’ll hear:
- 2:27 – An overview of the criteria and qualifications for discontinued operations, including highlights of the key areas of judgment, timing considerations, and implications for businesses
- 13:05 – Insights on the qualifications for held-for-sale treatment
- 18:40 – Key questions on presentation and classification of discontinued operations after meeting the gating criteria, including:
- 19:01 – Impact to the balance sheet and income statement
- 21:45 – Debt and income tax implications
- 25:25 – Impact on earnings per share (EPS) computations
- 28:55 – Statement of cash flows implications
- 30:50 – Overview of the SEC filing requirements related to discontinued operations
- 36:16 – Final advice for preparers on presenting discontinued operations
For more information, read chapter 27 of our Financial statement presentationguide and chapter 12 of ourIncome taxes guide. Additionally, follow this podcast on your favorite podcast app for more episodes.
Jay Seliber is a partner in PwC’s National office. He leverages over 30 years of experience to help clients with their most complex accounting matters, particularly in the areas of mergers and acquisitions, revenue recognition, stock compensation, earnings per share, employee benefits, restructurings, impairments, and financing transactions.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The International Sustainability Standards Board (ISSB) issued final IFRS® Sustainability Disclosure Standards (SDS) in June of 2023. Multiple jurisdictions around the world have signaled their intent to adopt the new standards, including some with fulsome legislative or regulatory proposals.
To capture the latest updates regarding the adoption of ISSB standards, Heather Horn sat down with Katie Woods, PwC UK Senior Director, to discuss measures advancing the standards in specific jurisdictions, as well as other important updates on the standard setter’s recent activities.
In this episode, you’ll hear discussion of:
- 3:15 – The International Sustainability Standards Board (ISSB) and its role in the global framework
- 4:00 – The first two standards issued by the ISSB, including the general disclosure standard and the climate standard
- 4:19 – Countries moving forward with potential adoption of ISSB standards
- 7:32 – Updates on Singapore's adoption of ISSB standards and its impact on public and large private companies in Singapore
- 8:12 – An update on the UK's approach to sustainability disclosure standards as well as a rundown of other countries’ recent measures on sustainability reporting
- 14:45 – The ISSB’s work to internationalize Sustainability Accounting Standards Board (SASB) standards, and its recently issued educational materials
- 20:42 - The focus of the ISSB's next thematic standards and the importance of the digital taxonomy in sustainability reporting
- 27:10 – The importance of understanding multiple reporting frameworks to keep up with the rapid pace of change in sustainability reporting
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter for the latest thought leadership on sustainability standards.
Katie Woods is a Senior Director in PwC's Global Corporate Reporting Services - sustainability group advising on ESG and International accounting standards. Katie specializes in the new and emerging ESG reporting frameworks working across the PwC Network. She has over 30 years of experience working with a broad range of companies. Katie speaks regularly on a range of ESG and accounting topics at national and international seminars.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
We continue our month of podcasts focused on financial statement presentation hot topics.
In this episode, host Heather Horn sits down with Pat Durbin, a deputy chief accountant in PwC’s National Office, and Felix Perez, a partner in PwC’s National Office specializing in SEC reporting, to discuss the significance of income statement presentation to the investor community and standard setters. Together, they break down key areas of judgment and the practical challenges involved in income statement presentation and classification.
In this episode, you’ll hear:
- 1:34 - The significance of income statement presentation and classification in portraying financial performance, including general reporting considerations and the interaction between income statement presentation and non-GAAP metrics
- 8:50 - The SEC's rules on the form and content of income statements, including considerations for financial institutions
- 21:44 - Income and expense disaggregation reminders, including classification of operating versus non-operating expenses as well as considerations for cost of sales, depreciation, and amortization
- 33:50 - The complexities of income statement classification in collaborative arrangements, discontinued operations, and impairments
- 42:05 - An update on the FASB project on disaggregation of income statement expenses (DISE) project
For more information, read chapter 3 of ourFinancial statement presentation guide. Additionally, follow this podcast on your favorite podcast app for more episodes.
Pat Durbin is a Deputy Chief Accountant in PwC’s National Office. He has over 30 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Felix Perez is a partner in PwC’s National Office specializing in SEC reporting. He has over 25 years of experience serving clients and engagement teams across financial services and technology sectors.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Investors today want to better understand how companies are managing crises and staying resilient, while creating and protecting long-term value in today’s fracturing world. They are looking closely at two areas—emerging technology and sustainability—to gauge whether companies can seize opportunities for reinvention and business transformation, or whether they will instead succumb to rivals.
That’s according to PwC’s most recent Global Investor Survey, which is now in its third consecutive year. To break down some of the survey’s results and their implications for preparers, Heather Horn sat down with Nadja Picard, PwC’s global reporting leader.
In this episode, you’ll hear:
- 3:19 - The importance of sustainability in the context of broader business activity and how it is no longer a siloed topic
- 5:54 – How investors prioritize agility in managing long-term risks and opportunities
- 17:25 - The challenges companies face in collecting and managing sustainability data and the importance of having a well-defined data strategy
- 18:19 - The importance of credibility in sustainability reporting and how investors are looking for strategies that are underpinned by good plans
- 24:43 - Investor perspectives and beliefs on corporate greenwashing, per our survey
- 29:41 - The learning journey of companies in implementing sustainability reporting and the role of regulators in this process
- 32:58 - The future of sustainability reporting and the role of technology in improving data collection and reporting
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability standards.
Nadja Picard is PwC’s Global Reporting Leader. In this role, she leads PwC’s global initiative to help clients transform their corporate reporting to meet investor and stakeholder demands for trusted and assured reporting beyond financial reporting. Nadja also advises companies on the accounting, corporate reporting, and investor relations requirements in advance of capital markets transactions, especially IPOs.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
We kick off another month of podcasts, this time focused on financial statement presentation hot topics. Drumroll please... This week we are presenting EPS.
In this episode, host Heather Horn sits down with John Horan, PwC National Office managing director, to discuss the significance of earnings per share (EPS), focusing on the practical challenges and judgments involved in this not-so-simple, but very closely-watched, computation.
In this episode, you’ll hear:
- 00:56 - The significance of EPS to the analyst and investor community
- 02:59 - A refresher of the differences between basic and diluted EPS and a discussion of judgments involved in the computation, including redeemable securities
- 9:50 - A discussion of the impact of changes in capital structure and reorganizations, including stock dividends, stock splits, and IPOs, on the EPS computation
- 20:25 - Reporting reminders, including disclosure requirements and considerations related to subsequent events
For more information, read chapter 7 of ourFinancial statement presentation guide. Additionally, follow this podcast on your favorite podcast app for more episodes.
John Horan is a managing director in PwC’s National Office where he assists clients with complex accounting issues in the areas of foreign currency, liabilities and equity, earnings per share, and derivatives and hedging. John specializes in large capital transactions and initial public offerings.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Even as mandatory sustainability reporting regulations near effective dates in jurisdictions around the world, voluntary reporting remains an important part of many companies’ disclosures. With more than 10,000 companies around the world using its standards, the Global Reporting Initiative (GRI) remains a key standard setter in the impact reporting space.
Today’s guest makes the case that there are myriad benefits to voluntary reporting – not the least of which is preparation for mandatory reporting. Host Heather Horn sits down with Eelco van der Enden, CEO of GRI, to discuss GRI's recent accomplishments and the path ahead for sustainability reporting around the world.
In this episode, you’ll hear them discuss:
- 1:05 - GRI’s accomplishments in the past year
- 6:29 - The development of a digital taxonomy that will facilitate interoperability between the European Sustainability Reporting Standards (ESRS) and GRI
- 12:16 - The overlap between impact reporting and financial materiality, and the importance of considering demographic challenges, climate change, and related legislation in impact reporting
- 17:45 - The collaboration between GRI and the International Sustainability Standards Board (ISSB) in launching a Sustainability Innovation Lab in Singapore
- 30:53 – How GRI is innovating to support small and medium company reporting
- 39:16 – The launch of GRI’s new disclosure standard on biodiversity
- 41:15 – How standard setters are working together to address the challenges faced by companies in complying with multiple reporting regimes
Looking for the latest developments in sustainability reporting? Follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability standards.
Eelco van der Enden is the CEO of the Global Reporting Initiative. Prior to this role, Eelco led PwC’s global ESG platform for the Tax & Legal and People Services, and PwC's Tax Administration Consulting practice. Eelco is also Chairman of the Tax Policy Group of Accountancy Europe, and has published multiple articles on tax governance and reporting.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
This week, we begin a collaboration with another popular PwC podcast. Host Heather Horn is joined by Doug McHoney, PwC International Tax Services Global Leader and host of the “Cross-border Tax Talks” podcast. Doug shares insights on the revolutionary new global tax system — the Organisation for Economic Cooperation and Development (OECD) Pillar Two framework — and its impact on companies worldwide.
The objective of Pillar Two is for large multinational enterprises to pay a minimum level of tax (a threshold effective tax rate of 15%) on the income arising in each jurisdiction where they operate. Doug joins us to shed light on the judgments involved and what companies can do to prepare.
In this episode, you will hear:
- 3:15 - A refresher on Pillar Two, the first global tax system for multinational companies, including:
- 4:30 - A breakdown of the four operating rules prescribed by the framework and the breadth of impact on companies worldwide
- 11:00 - An overview of enactment timing and the three-year transitional safe harbor provisions
- 13:35 - A discussion of the intersection between Pillar Two and US tax policy, including the impact on US companies
- 18:09 - A comparison of the mechanics of Pillar Two and current practice, including an overview of key tax adjustments
- 28:50 - Practical considerations, including materiality considerations, for companies preparing to comply with Pillar Two
- 36:15 - Data and controls implications as companies revamp tax policies and procedures
- 41:50 - Final advice for companies looking to achieve operational readiness for Pillar Two
For more on OECD’s Pillar Two, read our publication, Global taxation: More than an idea - what it means for you now, as well as our prior podcast, Tax policy update - OECD and domestic minimum taxes.
Additionally, check out PwC International Tax Services’ “Cross-border Tax Talks” podcast, and follow both podcasts on your favorite podcast app for upcoming episodes.
Doug McHoney is PwC's Global International Tax Services Leader, helping clients worldwide understand a wide range of global and local tax policy developments and providing technology-enabled consulting services. Doug also hosts the Cross-border Tax Talks podcast series, providing listeners with the latest trends in taxation.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our Year-end toolkit series, our guests share insights on key areas of the year-end accounting and reporting process.
This week, host Heather Horn is joined by Pete Driscoll, PwC National Office partner, to break down the SEC’s 2023 enforcement action results, which set a record with 784 enforcement actions filed in 2023. Pete unpacks the themes and trends within those enforcement actions and shares advice on what companies can do to avoid some common pitfalls.
Listener note: Although we summarize key themes from allegations as described by SEC orders and complaints, it is important to note that companies have neither admitted nor denied wrongdoing in these cases.
In this episode, you will hear:
- 2:15 - Key themes in the SEC's 2023 enforcement action results, including a discussion of the SEC’s priorities and approach to enforcement
- 11:10 - A discussion of the increased focus on cybersecurity, including rulemaking considerations
- 12:30 - An analysis of financial reporting and misstatement cases, including internal control considerations
- 18:50 - Insight into the SEC's interest in the digital asset space, including cases involving cryptocurrencies and non-fungible tokens (NFTs)
- 23:30 - The importance of maintaining adequate books and records, including a discussion of cases brought in this area
- 27:20 - Final insights on the long-term implications of SEC enforcement actions and advice for companies reviewing their business practices
Pete Driscoll is a partner in PwC’s National Office focusing on SEC regulations, reporting, and compliance. Prior to his role at PwC, Pete held several roles at the SEC, including Director of the Division of Examinations and Chief Risk and Strategy Officer.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
*Follow this podcast on your favorite podcast app for other episodes in our Year-end toolkit series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com*.
In each episode of our Year-end toolkit series, our guests share insights on key areas of the year-end accounting and reporting process.
In this episode, guest host Kevin Vaughn, PwC National Office partner, sits down with Suzanne Stephani, PwC National Office director, to discuss the significance of the statement of cash flows, focusing on the practical challenges and judgments involved in the classification of cash flows.
In this episode, you will hear:
- 2:05 - Frequent challenges and restatements related to the statement of cash flows
- 5:10 - Insights from the SEC Chief Accountant, Paul Munter, on risk management and controls related to the statement of cash flows as well as considerations for assessing the materiality of cash flow restatements
- 14:15 - Fundamental principles of the statement of cash flows, including the identification of cash equivalents and related disclosure considerations
- 21:40 - Gross versus net presentation on the statement of cash flows, including considerations for non-cash and nonrecurring transactions
- 27:25 - Key areas of judgment, including:
- 27:25 - Applying the concept of constructive receipts and disbursements when dealing with third-party or agent transactions
- 32:58 - The impact of debt transactions, including debt extinguishments and restructurings, on the statement of cash flows
- 40:50 - Considerations when dealing with lease modifications, business combinations, discontinued operations, and classification of cash flows associated with treasury bills
For more information, read chapter 6 of our Financial statement presentation guide. Additionally, follow this podcast on your favorite podcast app for upcoming episodes in our Year-end toolkit series.
Suzanne Stephani is a director in PwC’s National Office specializing in the statement of cash flows, as well as the application and interpretation of the accounting guidance related to financing and leasing transactions.
Kevin Vaughn is a partner in PwC’s National Office. Prior to joining PwC, Kevin was senior associate chief accountant in the Office of the Chief Accountant (OCA) at the SEC where he spent almost 20 years focusing on complex financial reporting and technical accounting issues.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of ourYear-end toolkit series, our guests share insights on key areas of the year-end accounting and reporting process.
In this episode, guest host Kevin Vaughn, PwC National Office partner, sits down with Suzanne Stephani, PwC National Office director, to discuss the judgments and complexities involved in the balance sheet classification of debt, focusing on the challenges arising more frequently in today’s macroeconomic environment.
In this episode, you will hear:
- 1:26 - A refresher on the importance of balance sheet classification of debt, including the impact of current economic conditions on debt and credit risk
- 4:10 - Key considerations for classifying debt, including:
- 6:11 - Reminders for dealing with refinancing arrangements
- 8:20 - The implications of subjective acceleration clauses (SAC) in financing agreements
- 11:32 - The implications of covenant violation waivers on balance sheet classification
- 15:30 - Other facts and circumstances impacting debt classification
- 23:10 - A discussion of the increased prominence of revolving debt arrangements and reminders for companies dealing with revolving agreements
- 30:05 - Final advice for preparers on navigating debt classification and managing covenant violations
For more information, read chapter 12 of our Financial statement presentation guide. Additionally, follow this podcast on your favorite podcast app for upcoming episodes in our Year-end toolkit series.
Suzanne Stephani is a director in PwC’s National Office specializing in the statement of cash flows, as well as the application and interpretation of the accounting guidance related to financing and leasing transactions.
Kevin Vaughn is a partner in PwC’s National Office. Prior to joining PwC, Kevin was senior associate chief accountant in the Office of the Chief Accountant (OCA) at the SEC where he spent almost 20 years focusing on complex financial reporting and technical accounting issues.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
XBRL is an open international standard for digital business reporting that allows information to move between organizations rapidly and with accuracy. While XBRL is a mature component of today’s financial reporting ecosystem, a shared digital reporting language may also be critical for the future of sustainability reporting.
In this episode, host Heather Horn sits down with John Turner, CEO of XBRL International, the global consortium that manages and promotes XBRL, to discuss the framework’s role in enhancing the quality and usefulness of sustainability disclosures.
In this episode, you’ll hear:
- 4:02 - Defining digital taxonomies, digital languages, and XBRL
- 9:49 - How standard setters interact with digital taxonomies
- 16:27 - How accurate digital tagging of financial data is crucial to robust investment analysis
- 22:10 - Approaches on digitally tagging qualitative information and footnotes
- 25:38 - How digital taxonomies could impact sustainability reporting
- 28:30 - Anticipated challenges in aligning digital reporting across differing sustainability standards
- 40:23 - Digital readiness considerations for issuers planning for mandatory sustainability reporting
- 45:03 - The importance of issuers voicing feedback to regulators as standards are set
Looking for more information on XBRL? Check out our previous podcast episode, What’s next in tech for finance? XBRL, your competitive advantage, as well as PwC’s XBRL service offerings. Additionally, follow this podcast on your favorite podcast app and subscribe to our weekly newsletter to stay in the loop for the latest thought leadership on sustainability standards.
John Turner is the CEO of XBRL International. In his role, John is responsible for enhancing reporting under regulatory standards and supporting the adoption of XBRL globally. Throughout his career, he has been focused on improving business reporting and analytics, having been a leading member of the XBRL community since 2001 when it was founded, and also serving in roles within the consulting and regulation spaces.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our Year-end toolkit series, our guests share insights on key areas of the year-end accounting and reporting process.
In this episode, guest host Kyle Moffatt, PwC National Office Professional Practice leader, sits down with PwC’s US Trust Solutions Quality Management leader, Michael Mullen, to help us navigate materiality judgments in a challenging financial environment.
In this episode, you’ll hear:
- 2:10 - A discussion of the guiding principles of SAB 99 and its importance in the current macroeconomic environment
- 5:41 - A refresher on the framework for evaluating materiality and errors in financial statements, including both quantitative and qualitative aspects
- 7:05 - Observations on the increase in SEC staff comments and requests for SAB 99 analyses to support materiality judgments
- 8:40 -Recent SEC statements on the increased trends in restatements and revisions, including considerations for preparers and auditors working through materiality assessments and reminders on the control implications
- 15:55 -A discussion of the role of the audit committee and the importance of proactively engaging with those charged with governance when dealing with materiality judgments
- 17:45 - Key takeaways for preparers and auditors in navigating the heightened risk of fraud and the significance of understanding the role of each stakeholder in the financial reporting process
- 21:40 - Final advice for preparers on improving processes and controls to effectively avoid errors
For more information on key SEC rules, refer to our publications on cybersecurity disclosures and cybersecurity materiality assessments. Additionally, follow this podcast on your favorite podcast app for upcoming episodes in our Year-end toolkit series.
Michael Mullen is PwC’s US Trust Solutions Quality Management leader. In this role, he oversees complex client issues, providing technical insights and expertise in support of overall quality. With over 30 years of client service experience, Michael has led numerous global client engagements.
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The European Green Deal is a package of policy initiatives introduced by the European Commission (EC) in December 2019 with objectives to achieve “no net emissions of greenhouse gases by 2050, economic growth decoupled from resource use, and no person and no place left behind.” Many companies are already focused on one aspect of the Green Deal — the Corporate Sustainability Reporting Directive (CSRD). But the CSRD is far from the only EU regulation needing immediate attention. This audio companion details several other pressing and broadly applicable EU regulations that would also be newly applicable — or possibly already applicable — for both EU and non-EU companies. In this episode, podcast host Heather Horn brings you an audio version of our publication covering the EU regulations beyond CSRD.
In this podcast, we cover:
- 1:00 - Overview of the EU regulatory landscape
- 7:01 – EU Taxonomy
- 30:54 – Sustainable finance disclosure regulation
- 38:17 – Carbon Border Adjustment Mechanism
- 44:06 – Foreign Subsidies Regulation
- 49:13 – Corporate Sustainability Due Diligence Directive
- 54:16 – Final thoughts Looking for more information on the CSRD and other EU reporting requirements?
Check out our publications European Union regulations beyond CSRD, Worldwide impact of CSRD - are you ready?, and Take the next step - decide how to report under CSRDfor further details. Additionally, follow this podcast on your favorite podcast app for future episodes in this CSRD spotlight miniseries, and subscribe to our weekly newsletter to get all of our thought leadership.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our Year-end toolkit series, our guests share insights on key areas of the year-end accounting and reporting process.
In this episode, guest host Kyle Moffatt, PwC National Office Professional Practice leader, sits down with Stephen Parker, a partner in PwC’s Governance Insights Center, to discuss the ways that finance teams can effectively communicate with those charged with governance and share insights on key areas of focus for audit committees.
In this episode, you’ll hear discussion of:
- 2:00 - The challenges facing both management teams and audit committee members, including the breadth of issues raised to audit committees
- 7:50 - The top issues finance teams should be prepared to discuss with audit committees, including keeping up with the regulatory and compliance landscape, the evolution of ESG discussions, and the intersection of risk management and strategy
- 17:58 -Preparing to effectively address new SEC cybersecurity disclosure rules
- 20:05 - Key insights on feedback heard from audit committees and boards of directors as well as an overview of the results of the Center for Audit Quality (CAQ) 2023 Audit Committee Transparency Barometer report
- 27:10 -Final advice for management teams engaging with those charged with governance
For more information on key SEC rules, refer to our publications on cybersecurity disclosures and cybersecurity materiality assessments. Additionally, follow this podcast on your favorite podcast app for upcoming episodes in our Year-end toolkit series.
Stephen Parker is a partner in PwC’s Governance Insights Center, which strives to strengthen the connection between directors, executive teams, and investors by helping them navigate the evolving governance landscape. With more than 30 years of experience, Stephen has advised boards of directors on a variety of complex financial reporting matters. Stephen’s client service experience includes energy and utility companies, financial services companies, and nonprofits.
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our Year-end toolkit series, our guests share insights on key areas of the year-end accounting and reporting process.
In this episode, guest host Kyle Moffatt, PwC National Office Professional Practice leader, sits down with PwC National Office leader Tim Carey and PwC National Office partner Kevin Vaughn to discuss rulemaking priorities and provide helpful reminders for public companies navigating SEC developments as they head into year end.
- 4:08 - The active pace of rulemaking and how that demonstrates the SEC’s priorities
- 11:00 - Key new and proposed SEC rules:
- 11:20 - Insights on the new executive incentive compensation clawback rule and the interaction with navigating accounting errors
- 17:45 - Judgments involved in the new cybersecurity disclosure rule and considerations when assessing materiality for evaluating incidents
- 26:05 - The impact of new rules on companies preparing for year-end reporting
- 28:35 - A status update on pending SEC rules, including the human capital and climate proposals
- 34:20 - The integral role that transparent disclosures play in investor protection
- 39:00 - Other year-end SEC reporting reminders, including the impact of MD&A in communicating business performance and challenges, insights on pay versus performance disclosures, and reminders on non-GAAP disclosures
- 48:20 - Final advice for companies preparing for year-end reporting, including takeaways on new FASB standards on segment reporting, crypto assets, and income taxes
For more information on key SEC rules, refer to our publications on clawbacks, cybersecurity disclosures, cybersecurity materiality assessments, and the vacated SEC share repurchase rule. Also listen to our 2023 SEC comment letter podcast series for more insights related to SEC reporting.
Tim Carey is PwC’s National Office leader, with 30+ years of experience in complex accounting, tax, and reporting issues. Tim has led large-scale teams on a wide range of projects including financial statement audits, transaction structuring, financial due diligence, and post-merger integration.
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Kevin Vaughn is a partner in PwC’s National Office. Prior to joining PwC, Kevin was senior associate chief accountant in the Office of the Chief Accountant (OCA) at the SEC where he spent almost 20 years focusing on complex financial reporting and technical accounting issues.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our Year-end toolkit series, our guests share insights on key areas of the year-end accounting and reporting process.
To kick off the series, guest host Valerie Wieman, PwC National Office partner, welcomes three of our deputy chief accountants to discuss what is top of mind for each of them this year end.
In this episode, you will hear discussion of:
- 3:41 - Contingent consideration in a business combination, including the impact on the statement of cash flows
- 6:20 - Equity method investments and recording basis differences
- 10:08 - Disposing of a business, including when to apply the held-for-sale model
- 15:34 - Revenue contract modifications
- 18:40 - Avoiding common pitfalls with debt restructurings in a rising interest rate environment
- 23:55 - Fair value measurement after compensation and incentive arrangement modifications and the impact of the SEC’s new clawback rule
- 35:39 - Updates on segment reporting
- 37:31 - Impact of the current macroeconomic environment on impairment analyses
- 39:58 - Tax implications of nonrecurring transactions and accounting for Inflation Reduction Act (IRA) credits
- 47:20 - Cash flow presentation of other financing sources, including revolving debt agreements and supplier finance programs
For more information on presentation and disclosure requirements, read our Financial statement presentation guide, and for further insights on the latest accounting, financial reporting and regulatory updates, read our Q4 2023 quarter close. Additionally, follow this podcast on your favorite podcast app for upcoming episodes in our Year-end toolkit series, and for disclosure reminders on supplier finance programs, listen to our previous podcast.
Bret Dooley is a Deputy Chief Accountant in PwC’s National Office and the financial instruments accounting leader. He has over 25 years of experience specializing in the financial services, banking, and capital markets industries. Bret focuses on emerging financial reporting issues relating to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters.
Pat Durbin is a Deputy Chief Accountant in PwC’s National Office. He has over 30 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.
Beth Paul is a Deputy Chief Accountant in PwC’s National Office responsible for a team of consultants that specialize in business combinations and related areas, such as consolidations, disposals, impairments, and segment reporting.
Valerie Wieman is a PwC National Office partner with over 30 years of experience. She helps lead the creation, development, and publication of our brand-defining thought leadership, with a focus on domestic and international sustainability requirements.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The European Union (EU) has ushered in a new era of sustainability reporting, as the Corporate Sustainability Reporting Directive (CSRD) is now effective. With impacts to both EU and non-EU headquartered companies, now is the time to understand the reporting requirements of this sweeping new regulation.
Continuing our CSRD series, this week we dive into a core component of reporting under the directive: the value chain. The CSRD will extend reporting to a company’s direct and indirect business relationships and activities across its value chain, which is expected to be one of the more challenging areas of compliance. In this episode, host Heather Horn is joined by PwC sustainability director Luca Bonaccorsi to discuss the concept of value chain reporting and what companies can do to navigate this “quantum leap” in reporting.
In this episode, you’ll hear:
- 3:00 - What the value chain is, and its importance in the context of CSRD and sustainability reporting
- 6:27 – The importance of upstream and downstream (i.e., across the whole product life cycle from manufacturing to end use) value chain considerations
- 13:27 - How to assess the relevance of information from the different levels of the value chain
- 18:28 - The role of materiality in identifying and disclosing value chain risks
- 21:19 - Where to start in gathering information for impact reporting
- 23:59 – Updates on implementation guidance from the European Financial Reporting Advisory Group (EFRAG)
- 29:07 - Key benefits companies can gain from value chain reporting
- 32:42 – Actions companies can take to improve the quality of value chain data during the CSRD transitional provision period
- 40:34 - Best practices to navigate uncertainty when preparing for final effectiveness of reporting
Looking for more information on the CSRD and reporting requirements? Check out our publications Worldwide impact of CSRD - are you ready? and Take the next step - decide how to report under CSRD for further details. Additionally, follow this podcast on your favorite podcast app for future episodes in this CSRD spotlight miniseries, and subscribe to our weekly newsletter to get all of our thought leadership.
Luca Bonaccorsi is a sustainability director at PwC based in Belgium. Prior to joining the firm, he previously served in ESG and sustainable finance roles, and had career experience in investment banking and investigative journalism. He is a co-author of the EU Taxonomy technical criteria, and serves as a member of the Sustainability Reporting Technical Expert Group (SRT) at EFRAG.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our 2023 SEC comment letter trends series, our guests bring you the latest themes in comment letters from the SEC’s Division of Corporation Finance.
This week, guest host Kevin Vaughn, a partner in PwC’s National Office, sat down with fellow PwC National Office partner Jay Seliber to discuss the latest trends in SEC comment letters on segment reporting and share insights on the FASB’s new segment reporting standard.
In this episode, you’ll hear:
- 2:05 - An overview of the trends in comment letters related to segment reporting, including discussion of the identification of operating segments
- 6:37 - A discussion of aggregation of operating segments, including the significance of quantitative and qualitative characteristics analysis
- 11:57 - Insights on comments related to multiple measures of segment profit or loss
- 13:35 - A breakdown of new guidance under ASU 2023-07 Segment Reporting, including:
- 17:53 - Disclosure requirements of significant segment expenses
- 22:06 – Reporting multiple measures of segment profit or loss and the intersection with guidance on non-GAAP measures
- 30:20 - Considerations for single reportable segment entities
- 34:00 - Information regularly provided to the chief operating decision maker (CODM)
- 40:31 - Effective date and retrospective application of the new standard
- 42:09 - What’s ahead for segment reporting and best practices for enhancing disclosures
Want to learn more? Check out our analysis of SEC comments on segment reporting. For further information on segment disclosures read our publication FASB updates segments guidance and our Financial statement presentation guide. Also follow this podcast on your favorite podcast app for more episodes in this comment letter series.
Jay Seliber is a partner in PwC’s National Office. He leverages over 30 years of experience to help clients with their most complex accounting matters, particularly in the areas of mergers and acquisitions, revenue recognition, stock compensation, earnings per share, employee benefits, restructurings, impairments, and financing transactions. Jay is presently PwC's representative on the FASB's Emerging Issues Task Force.
Kevin Vaughn is a partner in PwC’s National Office. Prior to joining PwC, Kevin was senior associate chief accountant in the Office of the Chief Accountant (OCA) at the SEC where he spent almost 20 years focusing on complex financial reporting and technical accounting issues.
Follow PwC’s accounting podcast on your favorite podcast app for future episodes in this SEC comment letter series, and subscribe to our weekly newsletter *to get all of our thought leadership.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com*.
In the fourth quarter 2023 edition of The quarter close, we provide year-end reminders on perennial favorites, including SEC reporting, income taxes, and the statement of cash flows. We also provide the latest on sustainability reporting and the FASB’s standard-setting activities. Read or listen to The quarter close for these and other relevant accounting and reporting topics you should consider as 2023 comes to a close.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The European Union (EU) has ushered in a new era of sustainability reporting, as the Corporate Sustainability Reporting Directive (CSRD) is now effective. With impacts to both EU and non-EU headquartered companies, now is the time to understand the reporting requirements of this sweeping new regulation.
Continuing our CSRD series, in this episode we discuss how the investor community views and benchmarks sustainability requirements. This week, host Heather Horn is joined by Claire Berthier, CEO of French asset management firm Trusteam Finance, to share her viewpoint on how companies can align their sustainability reporting and corporate strategy to meet investor needs.
In this episode, you’ll hear:
- 3:35 - Background on why investors look for enhanced sustainability disclosures
- 10:11 - The explanation of strategy, mission, and other key initiatives in sustainability disclosures
- 19:52 - The importance of communications among investors, companies, and other stakeholders
- 32:22 - How the EU’s Green Taxonomy regulation data points support certain investor needs
- 37:13 - Converting ESG risk to opportunity
- 40:05 - Recommendations for companies that are early in their sustainability reporting journeys
- 45:22 - Key messages and themes that Claire believes investors want to hear from companies in their sustainability reporting
Looking for more information on the CSRD and reporting requirements? Check out our publications Worldwide impact of CSRD - are you ready? and Take the next step - decide how to report under CSRD for further details. Additionally, follow this podcast on your favorite podcast app for future episodes in this CSRD spotlight miniseries, and subscribe to our weekly newsletter to get all of our thought leadership.
Claire Berthier is the CEO of Trusteam Finance, an investment and asset management firm based in Paris, France. With a background in M&A investment banking and private equity, she currently focuses on responsible investing and has co-founded a social impact start-up. She regularly shares her financial and non-financial ESG analysis expertise with fellow investors.
Heather Hornis PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Follow PwC’s accounting podcast on your favorite podcast app for future episodes in this SEC comment letter series, and subscribe to our weekly newsletter to get all of our thought leadership.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our 2023 SEC comment letter trends series, our guests bring you the latest themes in comment letters from the SEC’s Division of Corporation Finance.
This week, host Heather Horn is joined by PwC National Office partner Ryan Spencer to discuss the continued focus in SEC comment letters on Management’s Discussion and Analysis (MD&A) and share insights for preparers on how to avoid the common pitfalls.
In this episode, you’ll hear:
- 0:52 - An overview of the trends in comment letters related to MD&A, including sector-specific insights
- 3:59 - A refresher on MD&A reporting requirements and a deep dive into comment letter themes, including:
- 5:04 - Insights on the concentration of comments related to disclosures on the results of operations and the need for forward-looking discussions
- 8:05 - The focus on performance metrics and their connection to corporate strategy
- 10:56 - The rise in comments related to management’s analysis and quantification of material fluctuations
- 12:45 - Why preparers need to evaluate current events and macroeconomic conditions
- 14:45 - Discussion of the focus on liquidity and capital resources disclosures, including near-term and long-term considerations
- 16:48 - Key reminders for critical accounting estimates and sensitivity disclosures
- 21:39 - Best practices for enhancing MD&A disclosures
Want to learn more? Check out our analysis of SEC comments on MD&A, and follow this podcast on your favorite podcast app for more episodes in this comment letter series.
Ryan Spencer is a partner at PwC's National Office specializing in SEC financial reporting. He has over 20 years of experience serving clients and is a frequent contributor to PwC’s publications and communications.
Heather Hornis PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Follow PwC’s accounting podcast on your favorite podcast app for future episodes in this SEC comment letter series, and subscribe to our weekly newsletter to get all of our thought leadership.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The European Union (EU) has ushered in a new era of sustainability reporting, as the Corporate Sustainability Reporting Directive (CSRD) is now effective. With impacts to both EU and non-EU headquartered companies, now is the time to understand the reporting requirements of this sweeping new regulation.
This week we zoom out to review the broader landscape of EU regulations. Introduced as a result of the European Green Deal strategic policy initiative, these regulations will have impacts on topics from carbon pricing, to foreign subsidy disclosures, to corporate governance, and more. In this episode, Heather Horn is joined by PwC Netherlands partners Niels Muller and Linda Thonen to review these regulations, and how they will impact entities that are in scope.
In this episode, you’ll hear:
- 4:05 - Background on the European Green Deal
- 6:42 - The Carbon Border Adjustment Mechanism (CBAM) and its impact to carbon pricing on EU imports
- 16:25 - The Foreign Subsidies Regulation (FSR) and its interaction with the Inflation Reduction Act (IRA)
- 23:29 - How corporate strategy and investment decisions are changing due to green regulations
- 34:53 - Legal risk management, and the role of directors and those charged with governance
- 41:15 - How CSRD scoping and reporting decisions impact compliance with other regulations
- 45:15 - The proposed Corporate Sustainability Due Diligence Directive (CSDDD) and its far-reaching requirements
- 47:16 - What companies can do today to prepare for upcoming regulations
Looking for more information on these EU regulations and their reporting requirements? Check out our publication European Union regulations beyond CSRD for further details. Additionally, follow this podcast on your favorite podcast app for future episodes in this CSRD spotlight series, and subscribe to our weekly newsletter to get all of our thought leadership.
Niels Muller is a PwC partner based in the Netherlands specializing in energy transitions and sustainable energy. In this role he advises institutional investors, financial institutions, and utility companies as well as governments and non-governmental organizations on sustainability and tax projects.
Linda Thonen is a PwC legal services partner based in the Netherlands specializing in corporate and sustainability matters. With over 15 years as a legal practitioner, Linda’s experience has centered around corporate law, corporate governance, with a focus on M&A and cross-border transactions.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our 2023 SEC comment letter trends series, our guests bring you the latest themes in comment letters from the SEC’s Division of Corporation Finance.
This week, host Heather Horn is joined by PwC Deputy Chief Accountant Beth Paul to discuss the rise in SEC comment letters on business combinations and share insights for preparers on how to avoid the common pitfalls.
In this episode, you’ll hear:
- 2:35 - Insights into the increase in comment letters related to business combinations, including sector observations
- 6:34 - An overview of the themes and trends in comment letters related to business combinations
- 11:44 - A deep dive into SEC staff comments as well as reminders on disclosure and filing requirements, including significance tests and pro forma reporting
- 21:07 - A summary of comment letter trends related to fair value
- 23:22 - Considerations on goodwill impairment tests and market cap reconciliations
- 29:32 - Final advice for preparers dealing with business combinations
Want to learn more? Check out our analysis of SEC comments on business combinations, as well as our Business combinations and Financial statement presentation guides. Also, listen to a previous podcast on business combination accounting.
Beth Paul is a Deputy Chief Accountant in PwC’s National Office responsible for a team of consultants that specialize in business combinations and related areas, such as consolidations, disposals, impairments, and segment reporting.
Heather Hornis PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Follow PwC’s accounting podcast on your favorite podcast app for future episodes in this SEC comment letter series, and subscribe to our weekly newsletter *to get all of our thought leadership.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com*.
The Task Force on Climate-related Financial Disclosures (TCFD) framework serves as a foundation for the major ESG disclosure frameworks, and also the basis for the California SB 261 climate disclosure rules recently signed into law. The UK first mandated reporting under the TCFD for listed companies beginning in 2021, and as such, there are two years of reports and insights available in 2023.
In today’s podcast, host Heather Horn sat down with Mark O’Sullivan, PwC UK’s Head of Corporate Reporting, to discuss PwC’s review of the second year of mandatory TCFD reporting for certain companies in the UK, and how insights from this review can help companies looking to start or enhance their climate-related disclosures.
In this episode, you’ll hear:
- 4:44 - Our review findings for year two of mandatory TCFD reporting in the UK
- 10:12 - Current challenges, including the understanding and expectation gaps faced by companies required to “comply or explain”
- 18:09 - Observations and trends by industry
- 24:01 - Key takeaways from year two for companies looking to start or enhance their own TCFD reporting
- 30:09 - Regulatory findings from the UK’s Financial Reporting Council (FRC) on metrics and targets
- 34:36 - What’s coming next for TCFD, and its relationship with other ESG frameworks that are becoming mandatory
- 39:39 - Discussion of materiality assessments and the FRC’s recent findings
- 44:30 - Advice for companies preparing for mandatory UK, California, or other ESG reporting rules
Want to learn more about developments in ESG and TCFD? Read PwC UK’s publications, The green shoots of TCFD reporting, and Still early days: A review of year two of TCFD reporting, along with our previous podcast on how TCFD is shaping today’s reporting landscape. Additionally, refer to the FRC’s latest report on its reviews of TCFD disclosures, as well as the FRC Lab’s recent articles on materiality assessments and applications.
Mark O’Sullivan is PwC UK’s Head of Corporate Reporting. He has more than 15 years of experience advising leading organizations on current and best practices in reporting and the implementation of new reporting strategies to meet the needs of the capital markets. Mark also oversees PwC’s annual review of corporate reporting practices in the FTSE 350.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our 2023 SEC comment letter trends series, our guests bring you the latest themes in comment letters from the SEC’s Division of Corporation Finance.
This week, host Heather Horn sat down with PwC National Office partner Mike Coleman to discuss common issues noted in the SEC staff’s comments on revenue, and why it consistently remains a top area of focus.
In this episode, you’ll hear:
- 2:03 - An overview of comment letter themes related to revenue and a discussion of the prominence of revenue in financial reporting
- 6:53 - Key considerations in determining performance obligations and the significance of judgments made
- 14:19 - Insights on the continued focus on revenue estimates, including challenges related to recognizing variable consideration and determining standalone selling prices when estimates are embedded in transaction prices
- 20:46 - Common pitfalls with revenue disclosures
- 27:26 - Important reminders on principal-versus-agent considerations
- 30:54 - Sector-specific insights and trends and the value in competitor benchmarking
- 35:48 - Best practices for preparers on avoiding or responding to SEC staff comments on revenue
Want to learn more? Check out our analysis of SEC comments on revenue, as well as our Revenue guide. Also, listen to a previous podcast on trends in revenue more broadly and read our guide on accounting for revenue.
Mike Coleman is a partner in PwC's National Office with over 30 years of experience. Mike specializes in accounting for revenue and software arrangements and has served technology clients for much of his career. In addition, Mike has represented the firm on the AICPA Software Task Force.
Heather Hornis PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Follow PwC’s accounting podcast on your favorite podcast app for future episodes in this SEC comment letter series, and subscribe to our weekly newsletter *to get all of our thought leadership.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com*.
The European Union (EU) has ushered in a new era of sustainability reporting, as the Corporate Sustainability Reporting Directive (CSRD) is now effective. With impacts to both EU and non-EU headquartered companies, now is the time to understand the reporting requirements of this sweeping new regulation.
Continuing our CSRD series, this week we discuss the topic of “double materiality,” which represents the intersection between impact materiality and financial materiality. In this episode, Heather Horn is joined by Cécile Saint-Martin, PwC’s Global ESG Assurance Leader, to go over this critical element in determining the applicable impacts, risks, and opportunities, as well as extent of disclosures under CSRD.
In this episode, you’ll hear:
- 3:09 - Lessons learned from legacy reporting under the Non-financial Reporting Directive (NFRD), the predecessor to CSRD
- 4:32 - Introduction to double materiality
- 10:17 - Examples of the double materiality assessment for specific topics
- 17:29 - The interplay between ESRS and other standards and the double materiality assessment
- 24:53 - Evaluation of double materiality with a governance and strategy lens
- 26:52 - Stakeholder considerations
- 31:28 - Steps for identifying material matters
- 39:24 - Advice on aggregating information for process disclosure and reporting purposes
- 44:09 - Next steps and recommendations for preparers
Looking for more information on the CSRD and reporting requirements? Check out our publications Worldwide impact of CSRD - are you ready? and Take the next step - decide how to report under CSRD for further details. Additionally, follow this podcast on your favorite podcast app for future episodes in this CSRD spotlight miniseries, and subscribe to our weekly newsletter to get all of our thought leadership.
Cécile Saint-Martin is PwC’s Global ESG Assurance Leader, leading the firm’s global initiative to deliver high quality and relevant assurance over ESG reporting. Based in France, she has executed assurance engagements on European corporations, and currently leads interpretation and implementation efforts on CSRD. Cécile has over 25 years of experience at PwC, also serving as an audit partner on global accounts within the Industry & Services sector.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our 2023 SEC comment letter trends series, our guests bring you the latest themes in comment letters from the SEC’s Division of Corporation Finance.
This week, host Heather Horn sat down with PwC National Office partner Kevin Vaughn to discuss the SEC staff’s continued focus on non-GAAP measures, the area with the highest number of comments.
In this episode, you’ll hear:
- 3:06 - The significance of non-GAAP measures and why they continue to be a focus area for the SEC
- 7:50 - Updates on new and amended compliance and disclosure interpretations (C&DIs) related to non-GAAP measures and their impact on comment letters
- 18:19 - Advice for preparers when responding to SEC staff comments
- 20:08 - Insights on pervasive comment letter themes, including:
- 20:27 - Undue prominence of non-GAAP measures
- 21:40 - Reconciliation of non-GAAP measures and the differentiation between recurring and non-recurring expenses
- 27:10 - Other top comment letter themes in non-GAAP comments, including nature of non-GAAP adjustments, disclosure requirements for non-GAAP measures, and labeling and identification of non-GAAP measures
- 35:23 - Recent enforcement actions related to non-GAAP measures
- 37:52 - Final advice on non-GAAP measures ahead to year-end reporting
Want to learn more? Check out our analysis of SEC comments on non-GAAP measures and our publication on non-GAAP, which includes links to the updated C&DIs.
Kevin Vaughn is a partner in PwC’s National Office. Prior to joining PwC, Kevin was senior associate chief accountant in the Office of the Chief Accountant (OCA) at the SEC where he spent almost 20 years focusing on complex financial reporting and technical accounting issues.
Heather Hornis PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Follow PwC’s accounting podcast on your favorite podcast app for future episodes in this SEC comment letters series, and subscribe to our weekly newsletter *to get all of our thought leadership.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com*.
The European Union (EU) has ushered in a new era of sustainability reporting, as the Corporate Sustainability Reporting Directive (CSRD) is now effective. With impacts to both EU and non-EU headquartered companies, now is the time to understand the reporting requirements of this sweeping new regulation.
Continuing our CSRD series, this week we dive deeper into the EU’s “green” taxonomy regulation, which requires disclosure of certain metrics related to a company’s environmentally sustainable activities as early as 2024. In this episode, Heather Horn welcomes back PwC Germany senior manager Martin Schönberger to address common questions related to interpretation of the rules, eligibility of the activities, and calculation of the metrics as they apply to non-financial services companies.
In this episode, you’ll hear discussion of:
- 2:32 - The evolution of EU green taxonomy reporting from the original two objectives to the current six
- 12:15 - Using the promulgated reporting templates as a tool to align activities to the taxonomy
- 19:29 - Timeline for assurance requirements
- 21:46 - “Eligible” versus “aligned” activities
- 25:27 - The importance of educating and involving the procurement function and value chain participants
- 33:10 - Challenges in reporting key performance indicators (KPIs)
- 38:09 - Potential pitfalls in disclosures related to planned and aligned activities for sustainable capital expenditures
- 50:02 - What’s coming next for taxonomy reporters
Looking for more information on the EU Taxonomy? Check out the European Commission website for the official legislation and released delegated acts. For the basics on EU Taxonomy, listen to our earlier podcast episode, CSRD spotlight: Get up to speed on required EU taxonomy disclosures. Additionally, follow this podcast on your favorite podcast app for future episodes in this CSRD spotlight miniseries, and subscribe to our weekly newsletter to get all of our thought leadership, including an upcoming publication on EU sustainability regulations beyond the CSRD that impact non-EU companies, including the EU Taxonomy.
Martin Schönberger is a senior manager in the National Office at PwC Germany, focusing on sustainability reporting. His work includes interpreting the latest regulations from European legislators and developing publications and trainings to communicate thought leadership to practitioners. Martin is also part of the Taxonomy Working Group, which coordinates technical issues regarding the EU Taxonomy within the PwC network.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
On October 7, 2023, California Governor Gavin Newsom signed into law two landmark climate-disclosure bills that are poised to change the landscape of climate reporting in the United States. Over 10,000 US companies - including both public and private companies as well as subsidiaries of non-US headquartered companies - will be subject to the climate disclosure requirements in the near term.
In this episode, podcast host Heather Horn brings you an audio version of our publication covering the expansive impact of these new laws.
In this podcast, you’ll hear:
- 1:38 - Background and introduction
- 7:13 - Who would be subject to the new laws, and applicability of AB 1305: Voluntary carbon market disclosures
- 15:44 - Disclosure requirements
- 28:43 - Monitoring
- 31:24 - SB 54: Venture capital diversity disclosures
- 32:34 - What’s next
Refer also to the print version, California's not waiting for the SEC's climate disclosure rules.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
With year-end reporting around the corner, we kick off our 2023 SEC comment letter trends series, in which our guests bring you the latest themes in comment letters from the SEC’s Division of Corporation Finance.
This week, Heather Horn is joined by Kyle Moffatt, PwC National Office Professional Practice Leader, to share an overview of the 2023 comment letter trends, a breakdown of the SEC’s review process, and insights into the SEC staff’s key priorities.
In this episode, you’ll hear:
- 2:01 - A breakdown of the SEC review process, including the staff’s current priorities, review timing, and key enforcement actions
- 18:28 - The impact of a potential government shutdown on the SEC’s review process and on the capital markets more broadly
- 22:43 - An overview of the the top SEC comment letter trends in 2023
- 29:14 - Insights into changes in the SEC’s priorities and volume of comment letters, updates on the climate disclosure proposal, and 2024 enforcement priorities
- 34:11 - Key insights into what preparers should focus on, including the importance of “Dear Issuer” letters and reminders for new rules that are effective in 2024
- 39:13 - Final advice for preparers entering the year-end reporting season
Want to learn more? Check out our analysis of SEC comment letter trends. Additionally, follow PwC’s accounting podcast on your favorite podcast app for future episodes in this SEC comment letters series, and subscribe to our weekly newsletter to get all of our thought leadership.
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Heather Hornis PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The European Union (EU) has ushered in a new era of sustainability reporting, as the Corporate Sustainability Reporting Directive (CSRD) is now effective. With impacts to both EU and non-EU headquartered companies, now is the time to understand the reporting requirements of this sweeping new regulation.
Continuing our CSRD miniseries, this week we discuss the EU’s “green” taxonomy regulation, which requires disclosure of certain metrics related to a company’s environmentally sustainable activities. Under these rules, companies that are in the scope of CSRD will be further required to identify and disclose the extent of their operations that align with the promulgated classification of sustainable activities. In this episode, Heather Horn is joined by PwC Germany senior manager Martin Schönberger to discuss the essentials of the regulation, including an overview of sustainable activities, how to determine whether activities are “aligned” with environmentally sustainable objectives, and disclosure requirements.
In this episode, you’ll hear discussion of:
- 2:54 - Context of and impetus for the regulation
- 5:11 - Scoping criteria
- 8:34 - Identifying sustainable activities, qualifying conditions, and underlying objectives
- 15:57 - The importance of considering whether your company engages in eligible activities, regardless of what sector your business is in
- 18:39 - How to consider the “substantial contribution” and “do no significant harm” criteria in aligning activities with the taxonomy
- 29:13 - Disclosure requirements, including reporting of KPIs (i.e., green net turnover, green capital expenditures, green operating expenses)
- 47:04 - Where companies should start on their journey to compliance with the taxonomy regulation
Looking for more information on the EU Taxonomy? Check out the European Commission website for the official legislation and released delegated acts. For a refresher on CSRD scoping requirements, take a listen to our earlier podcast episode, CSRD spotlight: Updates and essentials for preparers, as well as our publication Worldwide impact of CSRD - are you ready? Additionally, follow this podcast on your favorite podcast app for future episodes in this CSRD spotlight miniseries, and subscribe to our weekly newsletter to get all of our thought leadership, including an upcoming publication on EU sustainability regulations beyond the CSRD that impact non-EU companies, including the EU Taxonomy.
Martin Schönberger is a Senior Manager within the National Office at PwC Germany, focusing on sustainability reporting. His work includes interpreting the latest regulations from European legislators, and developing publications and trainings to communicate thought leadership to practitioners. Martin is also part of the Taxonomy Working Group, which coordinates technical issues regarding the EU Taxonomy within the PwC network.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
With increasing costs of living and an unpredictable economic environment, the concept of paying a “living wage” is gaining attention from businesses and governments around the world. As pay adequacy becomes a mandated disclosure for many companies via the European Union’s Corporate Sustainability Reporting Directive (CSRD), paying a living wage is becoming a growing priority for organizations that are focused on creating a sustainable business.
PwC recently published the inaugural Global Living Wage survey to provide deeper insights on this topic and its impact to businesses. In this episode, host Heather Horn welcomes PwC partners Barry Murphy and Paula Letorey to discuss the survey results, market trends, and key steps organizations should take now to prepare for market and regulatory movement.
In this episode, you’ll hear discussion of:
- 4:43 - Why PwC conducted the Global Living Wage survey
- 7:13 - Defining a “living wage”
- 9:45 - Key findings from the survey
- 17:01 - Common challenges to adopting a living wage
- 22:28 - The relationships among living wage, workplace fairness, and pay equity
- 24:58 - Reporting and disclosure considerations
- 28:47 - The impact of suppliers and the value chain
- 31:19 - What investors are looking for in living wage strategy and disclosures
- 36:35 - The role of the finance team in supporting and engaging with the business on this topic
For our findings and takeaways on the survey, check out our publication, Living Wage: An Emerging Standard. Further, check out PwC UK’s Workforce Hopes and Fears Survey for more insights on workforce transformation, trends, and disruptors, and how business leaders are navigating its changing nature.
Barry Murphy is PwC’s Global ESG leader for Tax and Legal Services. Based in the UK, he has 20 years of experience advising clients on their domestic and international tax affairs. He is also focused on driving compliance solutions with a “digital first” approach.
Paula Letorey is a partner within PwC UK’s Workforce practice. She has over 15 years of experience advising clients on matters relating to employment taxes and broader pay governance and regulation. She has developed robust risk management solutions for areas such as domestic employment tax on a global basis, off-payroll working, national minimum wage, and holiday pay.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
As the end of the year approaches, it is helpful to understand what is top of mind under International Financial Reporting Standards (IFRS) and what lies ahead from the International Accounting Standards Board (IASB).
In this episode, Heather Horn was joined by Gary Berchowitz, a leader in PwC’s Global Assurance Quality - Corporate Reporting Services group, and Laura Kennedy, a director in the Corporate Reporting Services group, to discuss key reminders for year-end reporting under IFRS as well as some timely updates on new IFRS initiatives on the horizon.
In this episode, you’ll hear:
- 2:37 - An overview of the current status of IFRS Accounting Standards and what’s to come, including:
- 4:29 - A breakdown of IFRS 17, Insurance Contracts, which became effective in 2023 and applies to non-insurers as well as insurers
- 5:50 - New amended requirements for currency transactions
- 8:10 - The global political and economic outlook and its impact on reporting, including assumptions for accounting determinations such as impairments
- 13:12 - Status of other IFRS Accounting Standards updates and what to expect in 2024:
- 15:40 - Primary Financial Statements
- 17:15 - Management Performance Measures
- 20:16 - Retrospective reporting and restatement reconciliation requirements if a new standard is adopted
- 23:46 - A discussion of the interconnectedness between sustainability and financial reporting, and coordinated standard setting by both the IASB and International Sustainability Standards Board (ISSB)
- 30:18 - Details on sustainability projects impacting the financial services sector, including accounting for loans and power purchase agreements for renewable energy
- 37:34 - Other IASB priorities and initiatives on the horizon
For more on IFRS 17, check out our publication. Additionally, refer to our global IFRS accounting reminders, refreshed quarterly. Lastly, follow our PwC sister podcast IFRS Talks for more insights on IFRS topics.
Gary Berchowitz is the non-financial instruments leader in PwC’s Global Assurance Quality - Corporate Reporting Services group. Gary brings nearly 20 years of financial accounting experience, working to drive quality and connectivity throughout the PwC network and help local teams solve complex accounting issues in a practical way. Gary contributes to the firm’s global view on a variety of financial reporting matters.
Laura Kennedy is a director in PwC’s Global Assurance Quality - Corporate Reporting Services group. She also serves as the host of the global PwC IFRS Talks podcast. Prior to joining PwC, Laura was a technical staff member at the International Accounting Standards Board, focusing on topical issues impacting corporate reporting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The European Union (EU) has ushered in a new era of sustainability reporting, as the Corporate Sustainability Reporting Directive (CSRD) is now effective. With impacts to both EU and non-EU headquartered companies, now is the time to understand the reporting requirements of this sweeping new regulation.
Continuing our miniseries focused on the essentials of the CSRD, this week we discuss options a company may have in its approach to reporting. In this episode, Heather welcomes back Emily Kirsch, director in PwC’s sustainability practice, to share practical considerations in a company’s determination of the most effective reporting approach for its organization.
In this episode, you’ll hear discussion of:
- 5:03 - Scope requirements under the CSRD
- 7:37 - Available reporting exemptions
- 11:46 - Initial considerations for deciding the level of reporting, and whom to involve
- 16:19 - How to consider data availability, IT systems, and organizational structure
- 23:27 - Timing of reporting deadlines and phase-in reliefs for smaller companies
- 26:18 - How existing voluntary reporting may be insufficient to meet CSRD requirements
- 30:28 - Alignment between sustainability reporting, corporate strategy, and stakeholder communications
- 34:07 - Key next steps in making a reporting decision, including the importance of evaluating benefits and trade-offs
Looking for more information on the CSRD and reporting requirements? Check out our publications Worldwide impact of CSRD - are you ready? and Take the next step - decide how to report under CSRD for further details. Additionally, follow this podcast on your favorite podcast app for future episodes in this CSRD spotlight miniseries, and subscribe to our weekly newsletter to get all of our thought leadership, including an upcoming publication on EU sustainability regulations beyond the CSRD that impact non-EU companies, including the EU Taxonomy.
Emily Kirsch is a director in PwC's sustainability practice focused on sustainability reporting and standard setting in the EU. She advises both public and private companies in navigating complex accounting and financial reporting topics during periods of change in an organization.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Continuing our October all-star series, Tom Barbieri, PwC US Chief Accountant, shares insights on the financial reporting ecosystem and how to stay engaged amid ongoing developments in the landscape.
Tom is joined by Kevin Vaughn, PwC National Office partner, and Ying Compton, PwC managing director, to unpack the financial reporting ecosystem, including the key players, how they work together, and the critical role they play in the capital markets.
In this episode, you’ll hear:
- 4:58 - An overview of the key players in the financial reporting ecosystem and their significance to the investor-driven reporting mission
- 11:28 - How standard setting, application, and enforcement drive the US reporting environment
- 13:22 - The roles and composition of both the SEC and the FASB
- 17:44 - Interaction between the SEC and FASB and the opportunities for preparers to collaborate with each
- 21:34 - Why preparers should pay attention to PCAOB developments
- 23:35 - A comparison of the rule-making processes across standard-setters and regulators, including the balance between high-quality reporting and its associated costs
- 30:14 - Final advice for preparers on engaging with other players in the ecosystem to enhance reporting quality and efficiency
Tom Barbieri is PwC’s US Chief Accountant. He has over 30 years of experience advising large financial services and multinational corporations on complex accounting issues. Tom leads the Accounting & SEC Services Group within the National Office, which is focused on supporting our clients and engagement teams in navigating complex technical accounting and financial reporting matters. He is also a member of the Financial Accounting Standards Advisory Council.
Kevin Vaughn is a partner in PwC’s National Office. Prior to joining PwC, Kevin was senior associate chief accountant in the Office of the Chief Accountant (OCA) at the SEC where he spent almost 20 years focusing on complex financial reporting and technical accounting issues.
Ying Compton is a PwC managing director in the office of the vice chair. Prior to joining PwC, Ying was a senior accounting and economic advisor in the Office of the Chief Accountant (OCA) at the SEC. She also holds a PhD in accounting from Massachusetts Institute of Technology (MIT).
Heather Hornis PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The European Union (EU) has ushered in a new era of sustainability reporting, as the Corporate Sustainability Reporting Directive (CSRD) became effective in January 2023 and the European Sustainability Reporting Standards (ESRS) are now final. With impacts to both EU and non-EU headquartered companies, now is the time to understand the applicability and scope of these reporting requirements.
To launch our podcast miniseries on the CSRD, host Heather Horn is joined by Emily Kirsch, director in PwC’s sustainability practice, and Soné Beyers, director in PwC’s National Office, to provide a refresher course on the basic requirements and applicability of the EU’s sweeping sustainability reporting directive.
In this episode, you’ll hear discussion of:
- 4:04 - Background and latest developments on the CSRD
- 12:54 - The final set of 12 ESRS, which will be effective starting in 2024
- 15:36 - What companies are within the scope of the CSRD and required to follow ESRS
- 21:32 - Key dates for CSRD effectiveness, scoping threshold applicability, and required reporting
- 26:30 - Additional reporting requirements for non-EU parents of an EU subsidiary
- 28:55 - Available reporting exemptions
- 34:59 - Potential impacts from the ongoing transposition of the directive into member state laws
- 37:35 - Recent developments regarding ESRS implementation guidance and forthcoming sector-specific standards from the European Financial Reporting Advisory Group (EFRAG)
- 46:06 - Interoperability of other reporting frameworks and key takeaways
Looking for more information on the CSRD and other sustainability reporting frameworks? Check out our publications Worldwide impact of CSRD - are you ready? and Navigating the ESG landscape for further details. Additionally, follow this podcast on your favorite podcast app for future episodes in this CSRD spotlight series, and subscribe to our weekly newsletter to get all of our thought leadership, including an upcoming publication on EU sustainability regulations beyond the CSRD that impact non-EU companies, including the EU Taxonomy.
Emily Kirsch is a director in PwC's sustainability practice focused on sustainability reporting and standard setting in the EU. She advises both public and private companies in navigating complex accounting and financial reporting topics during periods of change in an organization.
Soné Beyers is a director in PwC’s National Office with accounting experience in both professional services and academia. With a career spanning three continents, she has developed a strong background in IFRS reporting, which has extended to her current focus on global sustainability frameworks and standard setting in the EU.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Assessing whether a company is in scope of the European Union (EU) Corporate Sustainability Reporting Directive (CSRD) has some inherent complexities. The scope of companies directly impacted is expansive — including US and other non-EU headquartered companies — making scoping a question that merits priority focus by companies with operations in the EU.
A company may have options in its approach to fulfilling its CSRD reporting requirements, and there are practical considerations that may inform a company’s determination of the most effective reporting approach for its organization under the CSRD. In this episode, Heather Horn brings you an audio version of ourIn the looppublication discussing these scoping and reporting approaches under the CSRD.
In this podcast, you’ll hear:
- 1:15 - Background and introduction
- 4:52 - Four steps to decide on how to report
- 9:20 - What is the scope of reporting obligations, and are there any exemptions?
- 13:35 - What information needs to be gathered?
- 26:32 - What is the timing of reporting?
- 29:27 - How do CSRD reporting requirements relate to other expected sustainability standards?
- 38:02 - How does corporate strategy and objectives interplay with reporting?
- 41:50 - What are pros and cons between some of the common reporting scenarios?
- 47:07 - What’s next?
Refer also to the print version, Take the next step - decide how to report under CSRD. Also, join our upcoming Q4 2023 Quarterly sustainability webcast.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Integrating sustainability in business strategy may increase the attractiveness of business to lenders, investors, and customers. However, with the multitude of sustainability reporting frameworks for multinational companies, it can be difficult to determine the best way to tell a unified story to all stakeholders that is consistent with the company’s overall sustainability strategy.
In this episode, host Heather Horn welcomes Esther An, Chief Sustainability Officer of Singapore-based real estate firm City Developments Limited, to discuss how companies can manage multiple disclosure frameworks while utilizing sustainability reporting as a catalyst for business innovation, investment, and impact.
In this episode, you’ll hear discussion of:
- 5:02 - Esther’s professional background and sustainability leadership in Singapore
- 12:06 - How COVID-19 accelerated awareness of sustainability
- 17:35 - Creating business value through sustainability and achieving the “triple bottom line” of profit, people, and planet
- 20:58 - Four pillars — integration, innovation, investment, and impact — to shift sustainability from a compliance exercise to a winning business strategy
- 24:11 - The importance of truthful sustainability reporting and how to manage multiple frameworks
- 29:37 - The challenge of obtaining an approved target from the Science Based Targets initiative (SBTi)
- 32:20 - Common questions investors pose related to sustainability reporting
- 35:05 - How sustainability as a business strategy attracts greater investment
- 37:27 - Tips to enhance sustainability reporting practices
Looking for more information on getting ready for mandatory ESG reporting? Check out our publication, Preparing for tomorrow's rules today. Additionally, listen to our previous podcast on how investments in technology that support sustainability reporting can also drive business value.
Esther An is the Chief Sustainability Officer of City Developments Limited (CDL). For over two decades, she has advocated for ESG principles underlying sustainable development within her home base of Singapore and abroad. She has helped set global benchmarks for green construction and sustainability, and initiated sustainability reporting in Singapore a decade ago. Esther is involved in many sustainability organizations, including as a founding and current member of the Business Council for Sustainable Development Singapore; a member of the property working group of the United Nations Environment Programme – Finance Initiative; and part of the corporate advisory board of the World Green Building Council in London.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
As effective dates for sustainability reporting requirements inch closer, companies face pressure to stand up reporting workstreams before it is too late. With multiple frameworks coming into play in the near term, managing the data gathering, aggregation, and reporting of numerous metrics is a manual exercise for many companies. But is there technology that can help?
In today’s episode, host Heather Horn is joined by Sammy Lakshmanan, principal in PwC’s Sustainability Consulting Solutions practice, to discuss the ways that leading companies are integrating technology into their sustainability reporting work plans. Sammy provides insights on how companies can leverage the power of technology to generate value that goes beyond compliance.
In this episode, you’ll hear discussion of:
4:02 - Expected impacts of the shift from voluntary to mandatory ESG reporting
7:47 - The current landscape of sustainability reporting technology solutions
10:29 - A roadmap for digital transformation, including the sequencing of events, and which stakeholders to involve
16:04 - The importance of controllership and governance over reporting
26:32 - Harnessing technology investments to report and provide value through data analytics
36:14 - Using technology to capture, aggregate, and organize data for different reporting frameworks
42:36 - Crowdsourcing ideas from peers and partners to address similar challenges
45:34 - Three things companies should consider to maximize technology enablement for sustainability reporting
Looking for more information on getting ready for mandatory ESG reporting? Check out our publication, Preparing for tomorrow's rules today. Additionally, refer to our Navigating the ESG landscape publication for the latest updates on major global sustainability frameworks.
Sammy Lakshmanan is a principal in PwC’s Sustainability Consulting Solutions practice. With over 20 years of experience helping companies shape their ESG and sustainability strategies leveraging technology and data to operationalize sustainability, he helps customers develop and execute strategies to shift from a compliance-driven to a value-driven approach. Sammy also serves as co-chair for the Open Footprint Forum, which is developing a data standard for carbon-management data.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
New York City Climate Week brings together international business leaders, policymakers, and other civic leaders to help drive progress and speed transition on climate-related issues. This year’s event highlighted the sustainability advancements made over the past year – with a look ahead to the actions companies need to take next to prepare for net zero.
This week, host Heather Horn is joined by Will Jackson-Moore, PwC’s Global Sustainability Leader, to discuss some of the bigger themes that emerged from the week, from energy transition and demand reduction to the impact of emerging sustainability reporting regimes around the world.
In this episode, you’ll hear discussion of:
- 3:04 - An overview of the current sustainability landscape and the challenges that companies face with decarbonization
- 8:00 - The relative priority companies are assigning to climate actions and progress
- 10:32 - How organizations are executing strategic planning and reporting on climate
- 15:44 - The time runway for companies to transform their businesses and assets for resilience
- 22:13 - The role of reporting in driving climate action
- 26:09 - The evolving prominence of the chief sustainability officer role
- 34:38 - How meaningful demand reduction progress can be made by embedding energy efficiency in strategy beginning with the C-suite
Looking for more information on sustainability strategy and reporting? Check out our previous podcasts on TNFD, CSRD, and the sustainability expectation gap in reporting.
Will Jackson-Moore is PwC’s Global Sustainability Leader, responsible for leadership of our sustainability teams, technology, alliances, and methodologies.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
As companies move forward with clean energy investments and decarbonization projects, many face questions about which of these projects qualify for tax incentives under the Inflation Reduction Act (IRA), and how best to utilize the act’s credits and other green initiatives.
In today’s episode, Heather Horn welcomes back Matt Haskins, PwC principal, to discuss the latest IRS guidance for IRA initiatives, marketplace transactions, and further considerations for companies looking to take advantage of the IRA.
In this episode, you’ll hear discussion of:
- 5:06 - Advanced energy project credits under IRS Section 48C, and the status of the current allocation of the $10 billion budgeted pool
- 9:09 - Transferability and timing considerations of tax credits
- 12:07 - Choosing between investment tax credits and production tax credits
- 14:55 - Risk of recapture of paid tax credits and relevant mitigating strategies
- 23:53 - How a government shutdown would impact IRA initiatives
- 27:59 - Market developments in the hydrogen production tax credit
- 33:07 - The interplay between the IRA and European Union regulations, including the impact of the Carbon Border Adjustment Mechanism (CBAM)
- 36:05 - The importance of evaluating decarbonization costs on an after-tax basis
Looking for more information on the European Union’s Carbon Border Adjustment Mechanism? Check out our previous podcast on how the CBAM may impact your company.
Looking for more information on transferability of IRA credits? Check out our latest publication on accounting for IRA credits and our podcast on renewable energy credits for more information.
Matt Haskins is a principal in PwC’s Washington National Tax Services, where he leads the firm's Cleantech tax practice, focusing on renewable energy financing and M&A transactions. In addition to writing and speaking on issues in the renewable energy industry, Matt has co-chaired the energy and environmental taxes working group for the US Council on International Business and served as a delegate for key energy initiatives of the Organization for Economic Cooperation and Development.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Every Tuesday in September, Craig Stronberg, PwC’s Macro Intelligence Leader, is taking over the podcast to share insights on how geopolitical and macroeconomic trends, forces, and movements are likely to impact your business.
To continue the series, Craig is joined by Zain Siddiqui, PwC Intelligence senior economist, to discuss India’s economy and the risks and opportunities it presents for companies worldwide.
In this episode, you’ll hear a discussion of:
- 4:50 - India’s evolving role as a key player in the global economy
- 10:54 - The driving factors, including population growth and its impact on the labor market, contributing to India’s positioning as a global force
- 16:54 - Considerations that are key to understanding India’s economy, its influence and challenges, including:
- 18:15 - Human capital - education, job creation, and equal opportunities in India
- 27:50 - India’s economic tendencies as a domestic-driven, consumption heavy, services economy
- 32:12 - India’s business sentiment and power to influence the global economy
- 37:46 - Sector-specific insights
- 45:17 - Advice for companies navigating the risks and opportunities present in India’s economy
Want to hear more about the geopolitical and macroeconomic factors impacting the global economy? Tune into the prior podcast in this mini series.
Craig Stronberg leads the business acumen capability for PwC Intelligence, spearheading the team of analysts that provides macroeconomic, sector, and geopolitical intelligence to key stakeholders. Named as one of the "100 Most Creative People in Business” by Fast Company, Craig had a nearly 20 year career in national security affairs working for and advising numerous agencies and international partners, having been decorated five times.
Zain Siddiqui is a senior economist for PwC Intelligence with a specialty in macroeconomics and finance. He advises stakeholders and clients on the business implications of emerging macro and geopolitical vulnerabilities, and helps them shape business strategy. His research has appeared in books on international economic policy and macroeconomic journals.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Every Tuesday in September, Craig Stronberg, PwC’s Macro Intelligence Leader, is taking over the podcast to share insights on how geopolitical and macroeconomic trends, forces, and movements are likely to impact your business.
To kick off the series, Craig provides an overview of the global macroeconomic and geopolitical forces — the true “tectonic” forces — impacting companies in the near and longer term.
In this episode, you’ll hear a discussion of:
- 3:52 - Disequilibrium - what it means, where it stands, and what comes next
- 8:29 - Identifying and understanding the forces impacting the global economy
- 15:02 - Why it’s important for companies to understand their business assumptions and how those assumptions may be changing
- 20:49 - Assessing major global forces and their impacts on our economy, including:
- 20:55 - Geopolitical disruption, protectionism, and the impact on free trade
- 28:39 - Polarization and its impact on risk management and business decisions
- 38:06 - Balancing between trust and distrust in governments and markets
- 41:57 - How global forces are creating new opportunities for markets and companies
Want to identify how different macroeconomic trends could impact your accounting and reporting? Refer to our interactive tool, Accounting in uncertain economic times.
Craig Stronberg leads the business acumen capability for PwC Intelligence, spearheading the team of analysts that provides macroeconomic, sector, and geopolitical intelligence to key stakeholders. Named as one of the "100 Most Creative People in Business” by Fast Company, Craig had a nearly 20 year career in national security affairs working for and advising numerous agencies and international partners, having been decorated five times.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Every Tuesday in August, Bret Dooley, Deputy Chief Accountant in PwC’s National office, is taking over the podcast to share insights on financial instruments hot topics. In each 25-minute episode, Bret will discuss 5 things you need to know.
In this episode, Bret is joined by John Horan, a managing director in PwC’s National office with a focus on financial instruments, to break down what we need to know on earnings per share (EPS).
In this episode, you’ll hear:
- 2:20 - Reminders on the basic EPS calculation, including considerations for participating securities and application of the the two-class method
- 11:45 - The impact of mezzanine equity on the basic EPS calculation
- 15:12 - The impact of new FASB guidance (ASU 2020-06) on EPS calculations for contracts that can be settled in cash or shares
- 20:01 - Complexities in the dilution calculation for liability-classified warrants and convertible debt with bifurcated conversion options
- 21:48 - Why companies should evaluate repurchased convertible instruments separately
For more information, read chapter 7 of our Financial statement presentation guide. Additionally, check out a prior podcast in this mini series.
John Horan is a managing director in PwC’s National office where he assists clients with complex accounting issues in the areas of foreign currency, liabilities and equity, earnings per share, and derivatives and hedging. John specializes in large capital transactions and initial public offerings.
Bret Dooley is a Deputy Chief Accountant in PwC’s National office who leads teams focused on the financial services sectors and accounting for financial instruments. He has over 25 years of experience in the financial services, banking, and capital markets industries. Bret focuses on emerging financial reporting issues related to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Every Tuesday in August, Bret Dooley, Deputy Chief Accountant in PwC’s National office, is taking over the podcast to share insights on financial instruments hot topics. In each 25-minute episode, Bret will discuss 5 things you need to know.
In this episode, Bret is joined by Chip Currie, another partner in PwC’s National office with a focus on financial instruments, to discuss convertible instruments and the impacts of updated accounting guidance in this area.
In this episode, you’ll hear discussion of:
- 1:38 - Why companies use convertible instruments and the complex financial decisions accompanying their use
- 6:38 - The impact of new accounting guidance for convertible instruments in ASU 2020-06
- 9:49 - Key information when accounting for induced conversions
- 12:10 - Down round provisions in equity-linked instruments
- 19:27 - Judgments involved in determining whether to separate the conversion option and account for it as an embedded derivative
For more information, read chapter 6 of our Financing transactions guide and chapter 3 of our Derivatives and hedging guide. Additionally, check out a prior podcast in this mini series.
Chip Currie is a partner in PwC’s National office with over 25 years of experience assisting companies in resolving complex business and accounting issues. He concentrates on the accounting for financial instruments under both current and emerging standards and works with many of the firm's largest financial services clients and a number of non-financial services clients on treasury-related matters.
Bret Dooley is a Deputy Chief Accountant in PwC’s National office who leads teams focused on the financial services sectors and accounting for financial instruments. He has over 25 years of experience in the financial services, banking, and capital markets industries. Bret focuses on emerging financial reporting issues related to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The transformation of ESG reporting accelerated in 2022 with the release of major proposals in the European Union (EU) and the United States (US), as well as globally by the International Sustainability Standards Board (ISSB).
Although all of these proposals have the potential to impact multinational companies, the Corporate Sustainability Reporting Directive (CSRD) from the EU that applies to many multinational companies perhaps requires the most immediate attention. In this episode, Heather Horn brings you an audio version of ourIn the loopcovering the CSRD.
In this podcast, you’ll hear:
- 3:12 - Past, present, and future of EU sustainability reporting
- 8:48 - Scope and timing
- 29:45 - Reporting under the CSRD
- 50:43 - Requirement for third-party assurance
- 51:24 - Filing requirements of the CSRD
- 59:54 - What’s next?
Refer also to the print version, Worldwide impact of CSRD - are you ready? Also, join our upcoming Q4 2023 Quarterly sustainability webcast.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Every Tuesday in August, Bret Dooley, Deputy Chief Accountant in PwC’s National office, is taking over the podcast to share insights on financial instruments hot topics. In each 25-minute episode, Bret will discuss 5 things you need to know.
In this episode, Bret shares insights on the current expected credit loss model, or CECL, and why it’s not just for banks. All companies, regardless of industry, need to understand the requirements.
In this episode, you’ll hear:
- 1:50 - A refresher on CECL
- 3:34 - Insights on the impacts of CECL across industries
- 7:03 - A discussion of how to apply CECL to various asset classes, considerations on estimation methodologies, and why companies should seek continuous improvement in the application of CECL
- 9:32 - Key information to consider when preparing CECL disclosures
- 11:22 - How subsequent events could impact CECL estimates
- 20:43 - An overview of the FASB’s exposure draft that proposes changes to the accounting for purchased credit deteriorated assets
For more information, read chapter 7 of our Loans and investments guide. Additionally, check out the prior podcast in this mini series.
Bret Dooley is a Deputy Chief Accountant in PwC’s National office and the financial instruments accounting leader. He has over 25 years of experience in the financial services, banking, and capital markets industries. Bret focuses on emerging financial reporting issues relating to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Every Tuesday in August, Bret Dooley is taking over the podcast to share insights on financial instruments hot topics. In each episode, Bret will discuss 5 things you need to know in 25 minutes.
To kick off the series, Bret shares insights on accounting for investment securities, a topic of recent headlines. He breaks down the complexities of held-to-maturity and available-for-sale securities, and touches on foreign currency bonds.
In this episode, you’ll hear discussion of:
- 2:05 - Key reminders for identifying and accounting for debt securities
- 6:32 - Accounting for held-to-maturity (HTM) securities and the long-term implications of HTM designation
- 12:30 - Tips on accounting for unrealized losses on available-for-sale (AFS) securities
- 17:18 - An overview of accounting for foreign currency bonds
- 19:25 - Complexities in the application of the measurement alternative model for equity securities
For more information, read chapters 2, 3, and 8 of our Loans and investments guide.
Bret Dooley is a Deputy Chief Accountant in PwC’s National office and the financial instruments accounting leader. He has over 25 years of experience in the financial services, banking, and capital markets industries. Bret focuses on emerging financial reporting issues related to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Every Tuesday in July, Jay Seliber is taking over the podcast to share insights on business combinations, which are often significant events in a company’s life cycle. Jay takes us on a journey through a deal, beginning with the complexities of the overall acquisition accounting model, then diving into some of the more complex areas—identifying the accounting acquirer, accounting for contingent consideration, and reporting with the SEC.
To continue the series, Heather and Jay are joined by Ryan Spencer, a PwC National office partner who specializes in SEC reporting, to break down the SEC filing requirements for business combinations, including the application of significance tests used to determine the reporting requirements.
In this episode, you’ll hear:
- 2:02 - A breakdown of the SEC filing requirements for business combinations
- 7:10 - A discussion of significance tests and how they help to determine filing requirements
- 17:36 - A summary of financial statement requirements, including considerations on timing and the age of financial information
- 23:38 - An overview of the unique guidelines for a company filing (1) a new registration statement, (2) transactional proxy statements, and (3) reverse-merger information
- 32:30 - A summary of pro forma reporting requirements, including timing considerations
- 43:36 - The distinction between the SEC and US GAAP disclosure requirements
- 47:06 - Final advice for companies navigating the filing requirements for a business combination
For more information, read chapter 17 of our Financial statement presentation guide and the SEC Financial Reporting Manual. Also check out the prior podcast in this miniseries on business combinations.
Jay Seliber is a partner in PwC’s National office. He leverages over 30 years of experience to help clients with their most complex accounting matters, particularly in the areas of mergers and acquisitions, revenue recognition, stock compensation, earnings per share, employee benefits, restructurings, impairments, and financing transactions. Jay is presently PwC's representative on the FASB's Emerging Issues Task Force.
Ryan Spencer is a partner at PwC's National Office specializing in SEC financial reporting. He has over 20 years of experience serving clients and is a frequent contributor to PwC’s publications and communications.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Sustainability disclosure regulations around the world are evolving rapidly, and as this reporting begins to proliferate, so does the potential for a mismatch between the expectations of investors and other stakeholders compared with the reality of what’s actually happening.
Are there expectation gaps in sustainability reporting, and if so, what are they? This week, Heather Horn was joined by Gilly Lord, PwC’s Global Leader for Public Policy and Regulatory Affairs, to discuss the current global regulatory landscape, the evolving sustainability reporting ecosystem, and the importance of regulators and other ecosystem participants finding common ground in the areas that matter most for reliable sustainability reporting.
In this episode, you’ll hear discussion of:
- 2:20 - Sustainability expectation gaps - what are they?
- 14:24 - How the breadth of sustainability reporting is partially responsible for expectation gaps
- 25:50 - How assurance standards are evolving, and what elements of future standards may help to address expectation gaps
- 30:00 - The importance of regulatory oversight, independence, and quality management in sustainability accounting, reporting, and assurance
- 30:37 - Key considerations when adopting sustainability reporting frameworks
- 48:04 - How companies can participate in shaping the global sustainability regulatory landscape
Looking for more information on global ESG reporting? Check out our latest podcast and publication on what’s inside the final ISSB standards.
Gilly Lord is PwC’s Global Leader for Public Policy and Regulatory Affairs. Based in the UK, she has over 20 years of experience advising clients on the application of regulation and liaising with regulators in jurisdictions around the world.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Every Tuesday in July, Jay Seliber is taking over the podcast to share insights on business combinations, which are often significant events in a company’s life cycle. Jay takes us on a journey through a deal, beginning with the complexities of the overall acquisition accounting model, then diving into some of the more complex areas—identifying the accounting acquirer, accounting for contingent consideration, and reporting with the SEC.
To continue the series, Heather and Jay are joined by Chip Currie, another partner in PwC’s National Office, to share insights on the intersection between contingent consideration and acquisition accounting, as well as the key decision points in the multi-step accounting model.
In this episode, you’ll hear:
- 2:25 - An overview of the accounting framework for contingent consideration arrangements from the buyer’s perspective, including:
- 7:01 - The criteria for meeting the definition of contingent consideration
- 12:04 - An assessment of whether the arrangement is part of the purchase price
- 16:03 - A discussion of common pitfalls in the performing the assessment
- 23:19 - An analysis of the accounting for contingent consideration arrangements classified as compensation expense
- 24:25 - A discussion of the multi-step analysis of contingent consideration arrangements that is not classified as compensation expense, including:
- 24:38 - Liability-classified contingent consideration and applying the liability versus equity accounting model
- 29:59 - Equity-classified contingent consideration and applying the derivative accounting model
- 41:56 - An overview of the impact of contingent consideration on earnings per share and the statement of cash flows
- 48:40 - Final advice for clients dealing contingent consideration in a business combination
For more information, read chapters 2 and 3 of our Business combinations guide, chapter 5 of our Financing guide, and chapters 6 and 7 of our Financial statement presentation guide. Additionally, check out a prior podcast in this miniseries.
Jay Seliber is a partner in PwC’s National office. He leverages over 30 years of experience to help clients with their most complex accounting matters, particularly in the areas of mergers and acquisitions, revenue recognition, stock compensation, earnings per share, employee benefits, restructurings, impairments, and financing transactions. Jay is presently PwC's representative on the FASB's Emerging Issues Task Force.
Chip Currie is a Partner in PwC’s National Office with over 25 years of experience assisting companies in resolving complex business and accounting issues. He concentrates on the accounting for financial instruments under both current and emerging standards and works with many of the firm's largest financial services clients and a number of non-financial service clients on treasury-related matters.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The International Sustainability Standards Board (ISSB) published its Consultation on Agenda Priorities in May 2023. Now that the final IFRS S1 and S2 standards have been issued, the ISSB is asking constituents to weigh in on the board’s focus areas and research projects for the next two years.
What should companies consider when preparing to comment on this request? This week, Heather Horn was joined by Andreas Ohl, PwC’s Global Sustainability Technical Leader, to discuss the options laid out in the board’s agenda consultation, and the factors companies may want to contemplate in their responses.
In this episode, you’ll hear discussion of:
- 2:15 - What the ISSB says it is looking to accomplish with this agenda consultation
- 6:52 - A potential research project on biodiversity, ecosystems, and ecosystem services
- 15:02 - A potential research project on human capital
- 17:56 - A potential research project on human rights
- 25:19 - Previous feedback the ISSB and IASB received to consider ways to work jointly on key projects
- 30:18 - The ISSB’s separate consultation on enhancing the international applicability of the SASB® Standards
- 32:43 - Final advice for companies wanting to comment on the ISSB agenda consultation
Looking for more information on the ISSB and ESG reporting? Check out our podcast with ISSB Vice-Chair Sue Lloyd on the launch of the final ISSB standards. For more on the final standards, read ourIn brief.
Andreas Ohl is a partner in PwC's National Office focused on thought leadership, standard setting, and mergers and acquisitions under US GAAP and IFRS. In addition to his US responsibilities, he leads the sustainability topic team for the PwC global network. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's in-process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Every Tuesday in July, Jay Seliber is taking over the podcast to share insights on business combinations, which are often significant events in a company’s life cycle. Jay takes us on a journey through a deal, beginning with the complexities of the overall acquisition accounting model, then diving into some of the more complex areas—identifying the accounting acquirer, accounting for contingent consideration, and reporting with the SEC.
To continue the series, Heather and Jay are joined by Matt Sabatini to share insights on the identification of the accounting acquirer, a key judgment that impacts the remaining accounting conclusions in the acquisition model.
In this episode, you’ll hear:
- 1:46 - A discussion of the importance of determining the account acquirer as the starting point, and the downstream implications of that determination
- 3:50 - An overview of the accounting framework from the acquirer’s perspective and the intersection with consolidation standards
- 6:18 - Insights on performing a control assessment and a discussion of key indicators of control
- 17:30 - Accounting for the newco created as a result of a business combination
- 25:01 - The distinction between the legal acquirer versus accounting acquirer, including the financial reporting implications of that distinction, and the complexities of “reverse mergers”
- 34:40 - Final advice for clients dealing with business combinations
For more information, read chapter 2 of our Business combinations guide. Additionally, check out our prior podcasts on the VIE accounting modeland the prior podcast in this miniseries.
Jay Seliber is a partner in PwC’s National office. He leverages over 30 years of experience to help clients with their most complex accounting matters, particularly in the areas of mergers and acquisitions, revenue recognition, stock compensation, earnings per share, employee benefits, restructurings, impairments, and financing transactions. Jay is presently PwC's representative on the FASB's Emerging Issues Task Force.
Matt Sabatini is a partner in PwC's National office who helps clients and engagement teams navigate the accounting and financial reporting for complex transactions. He specializes in the accounting for M&A, corporate reorganizations, recapitalizations, joint ventures, and other investments.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The International Sustainability Standards Board (ISSB) issued final IFRS® Sustainability Disclosure Standards on June 26, 2023. While IFRS Sustainability Disclosure Standards are not yet required in any jurisdiction, multiple jurisdictions around the world have already signaled their intent to adopt the new standards, with additional jurisdictions expected to do so now that the standards are final.
What can companies find inside the new Sustainability Disclosure Standards? This week, Heather Horn was joined by Katie Woods, PwC UK director, to discuss the expected breadth of adoption internationally and the important considerations in advance of adoption.
In this episode, you’ll hear discussion of:
- 1:48 - The final IFRS Sustainability Disclosure Standards: IFRS S1 and IFRS S2
- 7:06 - The current status of adoption of the Sustainability Disclosure Standards in international territories
- 11:43 - The interconnectivity between IFRS Sustainability Disclosure Standards and IFRS Accounting Standards
- 19:12 - Key changes between the exposure drafts and the final standards
- 26:42 - Factors to consider when identifying and disclosing sustainability risks and opportunities
- 38:35 - Final advice for companies looking to prepare for adoption of these standards
Looking for more information on the ISSB and ESG reporting? Check out our podcast with ISSB Vice-Chair Sue Lloyd on the launch of the final ISSB standards. For more on the final standards, read our In brief.
Katie Woods is a Director in PwC's Global Accounting Consulting Services group and advises on ESG and international accounting standards. Katie specializes in the new and emerging ESG reporting frameworks, working across the PwC Network. Katie is a frequent speaker on a range of ESG and accounting topics at national and international seminars.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Every Tuesday in July, Jay Seliber is taking over the podcast to share insights on business combinations, which are often significant events in a company’s life cycle. Jay takes us on a journey through a deal, beginning with the complexities of the overall acquisition accounting model, then diving into some of the more complex areas— identifying the accounting acquirer, accounting for contingent consideration, and reporting with the SEC.
To kick off the series, Jay shares insights on the foundations of acquisition accounting, including key areas of judgment in the model.
In this episode, you’ll hear discussion of:
- 1:58 - The importance of understanding acquisition accounting, even in times of low deal volume
- 3:50 - The foundational accounting considerations for business combinations, including the determination of which transactions qualify as business combinations, and the implications on the control assessment
- 8:04 - The acquisition method, including how to account for the various forms of consideration exchanged in a transaction
- 12:40 - The complexities involved in step acquisitions and partial acquisitions as well as their impact on the application of acquisition accounting
- 17:46 - Insights on the measurement of assets and liabilities acquired in a business combination
- 21:24 - The measurement and allocation of goodwill acquired in a business combination, including tips for bookkeeping of goodwill
- 29:43 - Reminders related to measurement period and conforming accounting policies
- 38:17 - Final advice for getting prepared and dealing with a live deal
For more information, read our Business combinations guide and listen to our prior podcast on disclosures required in business combinations. Additionally, refer to our In the loop on the impact of acquiring an asset vs. a business.
Jay Seliber is a partner in PwC’s National office. He leverages over 30 years of experience to help clients with their most complex accounting matters, particularly in the areas of mergers and acquisitions, revenue recognition, stock compensation, earnings per share, employee benefits, restructurings, impairments, and financing transactions. Jay is presently PwC's representative on the FASB's Emerging Issues Task Force.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The European Union’s (EU’s) Foreign Subsidies Regulation (FSR) was enacted to extend existing EU state aid rules, which govern the fairness of trade among states within the EU, to subsidies received from jurisdictions outside the EU, and includes incentives such as those provided by the US Inflation Reduction Act (IRA).
What are the parameters of the new regulation, and how could it impact the realizability of climate incentives for your company? Heather Horn was joined by Barry Murphy and Allard Knook, PwC partners, to unpack these questions and provide the latest insights on the FSR, as well as available EU tax incentives.
In this episode, you’ll hear discussion of:
- 2:38 - How the US IRA has shaped global regulatory agendas for state aid
- 8:13 - How the EU is providing its own incentives currently
- 17:14 - An overview of the Green Deal Industrial Plan
- 24:02 - The FSR rules, and their potential impact to non-EU companies
- 36:33 - The underlying policy objectives of the FSR, and how the FSR complements EU climate incentive funds
- 43:07 - Final advice to companies affected by the new regulation and four steps they can take to prepare
Looking for more information on the FSR? Register for our upcoming webcast on July 12. For more information on the IRA, check out our previous podcast on ESG incentives in the Inflation Reduction Act and read our In depth.
Barry Murphy is PwC’s Global ESG leader for Tax and Legal Services. Based in the UK, he has 20 years of experience advising clients on their domestic and international tax affairs. He is also focused on driving compliance solutions with the digital first approach.
Allard Knook is the Public Sector Legal leader for PwC Netherlands, with over 20 years experience in government finance, including subsidy programs both at the national and European level.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The International Sustainability Standards Board (ISSB) issued final IFRS® Sustainability Disclosure Standards on June 26. This included IFRS S1, which provides the core framework for the disclosure of material information about sustainability-related risks and opportunities across an entity’s value chain, and IFRS S2, which is the first thematic standard issued that sets out requirements for entities to disclose information about climate-related risks and opportunities.
What’s ahead for sustainability reporting globally now that these standards are final? This week, Heather Horn was joined by Sue Lloyd, Vice-Chair of the ISSB, to discuss the complex process of finalizing its global baseline standards, the forthcoming impact to companies, and the expected breadth of adoption internationally.
In this episode, you’ll hear discussion of:
- 1:26 - How the ISSB brought the standards to the finish line, including the biggest obstacles along the way
- 10:12 - Noteworthy changes from the initial draft standards to the final versions
- 17:06 - The importance of interoperability across jurisdictions and regulatory frameworks
- 21:39 - The status of jurisdictional adoption of the standards
- 26:08 - The barriers to building capacity for reporting under the new IFRS Sustainability Disclosure Standards across global value chains
- 29:10 - How the investor focus of the IFRS Sustainability Disclosure Standards provides an important reason for companies to consider adoption
- 33:07 - How the key features of IFRS S1 and IFRS S2 relate to each other and to other sustainability reporting standards
- 37:03 - The current and future outlook of the ISSB agenda consultation
Want to hear more about the ISSB? Listen to our previous podcasts on its capacity building. And for more on the final standards, read our In brief and refer to additional resources on IFRS S1 and IFRS S2 linked inside from the ISSB.
Sue Lloyd is the Vice-Chair of the ISSB and played a leading role in its establishment. Previously she served as a member and then Vice-Chair of the International Accounting Standards Board (IASB), and as Chair of the IFRS Interpretations Committee. Prior to becoming an IASB member, Ms. Lloyd worked for the IFRS Foundation as a senior technical director, leading the development of new IFRS Accounting Standards, and as director of capital markets with responsibility for the IASB’s reform of accounting for financial instruments.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Every Tuesday in June, Angela Fergason is taking over the podcast to share the latest in her areas of specialty — including recent trends in revenue, how to consider whether your company is a principal or agent when recognizing revenue, software costs, and restructurings.
To continue the series, Angela shares insights on some accounting implications of workforce restructuring, including the different accounting models available for termination benefits.
In this episode, you’ll hear:
- 1:08 - An overview of the various accounting models applicable to workforce restructuring events
- Insights on accounting for:
- 3:55 - One-time involuntary benefits, including severance payments
- 8:54 - Termination benefits under an existing plan
- 14:50 - Voluntary termination benefits and other benefit combinations
- 20:03 - Modifications of stock-based compensation awards, including both vested and unvested awards
- 28:36 - Extending the exercise period of stock-based compensation awards
- 31:14 - Final advice on accounting for workforce restructuring events, including non-GAAP measures and restructuring charges
For more information on severance payment arrangements and stock-based compensation awards, read Chapter 8 of our Pensions and employee benefits guide. For more information on modifications of stock-based compensation awards, read Chapter 4 of our Stock-based compensation guide. Additionally, check out our prior podcast on non-GAAP measures.
Angela Fergason is a partner and standard setting leader in PwC's National Office who specializes in accounting for revenue and employee compensation arrangements. She also consults on a range of financial reporting issues impacting technology companies.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
PwC recently conducted research based on our most recent Global CEO Survey and Global Investor Survey to understand a key question: how much alignment is there between company leadership and the expectations of investors on ESG issues? The results were insightful, and might even surprise you.
This week, Heather Horn was joined by Nadja Picard, PwC Global Reporting Leader, to break down the results and discuss the differing expectations between CEOs and investors. They also address how CFOs and their teams can help companies better meet investor expectations on sustainability.
In this episode, you’ll hear discussion of:
- 1:36 - The research: What the data from the Global Investor Survey and CEO Survey says
- 15:14 - Where there may be gaps in what investors are expecting, and the importance of creating a strategy to progress in closing the gaps
- 22:08 - How companies are embedding sustainability reporting in their processes and systems
- 32:30 - How CFOs and their organizations are leading in communicating progress on climate
- 38:06 - The reporting landscape: A look at other important sustainability topics (besides climate) that will drive action
- 42:16 - Final advice for companies looking for better alignment with investor expectations
Nadja Picard is PwC’s Global Reporting Leader. In this role, she leads PwC’s global initiative to help clients transform their corporate reporting to meet investor and stakeholder demands for trusted and assured reporting beyond financial reporting. Nadja also advises companies on the accounting, corporate reporting, and investor relations requirements in advance of capital markets transactions, especially IPOs.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
We begin this edition of The quarter close with a closer look at the accounting for tax credits, including those included in the Inflation Reduction Act of 2022, as more companies look for opportunities to take advantage of these incentives. Looking for an update on SEC comment letter trends? Head to Ask the National Office, where we provide the latest areas of focus along with other timely financial reporting reminders.
Although the SEC has not yet released its final rules on climate disclosures, many US companies will be impacted by global sustainability reporting frameworks that are nearing finalization. We provide the latest updates and links to additional resources. In other regulatory developments, the SEC issued final rules expanding the disclosure requirements for share repurchases, which will be effective in 2023 for many registrants.
In standard-setting updates, we summarize the feedback on new income tax disclosures proposed by the FASB. Meanwhile, the FASB continues to make progress on its other active projects, including accounting for software costs. We keep you up to date on recent decisions as those projects develop.
In this edition of The quarter close, we highlight these and other relevant accounting and reporting topics you should consider as you close out the second quarter of 2023.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Every Tuesday in June, Angela Fergason is taking over the podcast to share the latest in her areas of specialty — including recent trends in revenue, how to consider whether your company is a principal or agent when recognizing revenue, software costs, and restructurings.
To continue the series, Heather Horn and Angela are joined by Mike Coleman to share insights on accounting for software costs and provide an update on the FASB’s project on software costs.
In this episode, you’ll hear:
- 1:38 - Considerations when accounting for software costs across industries, including the impact of digital transformations and the possible impact of new FASB standards in progress
- 6:17 - An overview of current guidance, including the two accounting models for software (externally marketed software and internal use software)
- 10:13 - Accounting considerations from the perspective of the software vendor
- 14:51 - Accounting considerations from the perspective of the software buyer
- 17:03 - An update on the FASB’s project to modernize accounting for software costs
- 25:29 - Final advice to clients when accounting for software costs
For more information on accounting for software costs, read our Software costs guide. Also, to stay updated on the status of the FASB’s project to modernize software costs, refer to the FASB website.
Angela Fergason is a partner and standard setting leader in PwC's National Office who specializes in accounting for revenue and employee compensation arrangements. She also consults on a range of financial reporting issues impacting technology companies.
Mike Coleman is a partner in PwC's National Office with over 30 years of experience. Mike specializes in accounting for revenue and software arrangements and has served technology clients for much of his career. In addition, Mike has represented the firm on the AICPA Software Task Force.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The European Commission has adopted a set of proposals, known as the European Green Deal, including the Corporate Sustainability Reporting Directive (CSRD), which marks a new era of sustainability reporting in the EU. Under the CSRD, companies will soon have to report on a wide range of environmental, social and governance matters in compliance with European Sustainability Reporting Standards (ESRS).
This week, the European Commission released revised ESRS for public feedback. For this episode, Heather Horn was joined by Andreas Ohl, a PwC National Office Partner and Global sustainability topic team leader and Emily Kirsch, a PwC National Office Director who is following sustainability-related projects from accounting standard setters in the EU, to share their insights. Feedback is due July 7th, 2023.
In this episode, you’ll hear:
- 1:48 - An overview of the revised European Sustainability Reporting Standards
- 7:52 - The biggest takeaways - including the changes in the proposed standards from earlier drafts
- 12:40 - Considerations of phase-in requirements to help companies apply the standards
- 18:45 - Considerations of interoperability with other sustainability reporting standards, including those from the ISSB, SEC, and GRI
- 23:15 - Recommendations for companies seeking to provide input on the draft standards during the 4-week public comment period
- 26:03 - Expectations for timing of implementation of the finalized standards
- 28:44 - Final advice for companies preparing for implementation of the new standards
For more information on the revised draft European Sustainability Reporting Standards, read our In brief. Additionally, a replay of the European Commission's presentation on the revised draft ESRS can be found on European Financial Reporting Advisory Group’s (EFRAG) website. Lastly, to hear more on the status of the "big three" sustainability proposals (and earn CPE credit), listen to PwC’s Q2 2023 Quarterly accounting webcast.
Andreas Ohl is a partner in PwC's National Office focused on thought leadership, standard setting, and mergers and acquisitions under US GAAP and IFRS. In addition to his US responsibilities, he leads the sustainability topic team for the PwC global network. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's in-process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
Emily Kirsch is a director in PwC's National Office focused on sustainability reporting thought leadership and standard setting in the EU. She has more than 12 years of experience advising both public and private companies in navigating complex accounting and financial reporting topics during periods of change in an organization.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Every Tuesday in June, Angela Fergason is taking over the podcast to share the latest in her areas of specialty — including recent trends in revenue, how to consider whether your company is a principal or agent when recognizing revenue, software costs, and restructurings.
To continue the series, Heather and Angela are joined by Mike Coleman, a partner in PwC’s National Office, to share insights on the challenges in the principal versus agent analysis.
In this episode, you’ll hear discussion of:
- 1:37 - An overview of the principal versus agent assessment
- 3:52 - Practical examples
- 7:09 - An overview of the two-step assessment of whether the company acts as the principal or agent from the perspective of the intermediary
- 17:22 - An overview of the two-step assessment of whether the company acts as the principal or agent from the perspective of the vendor
- 18:22 - Considerations when accounting for revenue based on the results of the principal versus agent analysis
- 22:35 - Final advice to clients and engagements teams when performing the principal versus agent assessment
For more information, read chapter 10 of our Revenue guide for principal versus agent considerations.
Angela Fergason is a partner and standard setting leader in PwC's National Office who specializes in accounting for revenue and employee compensation arrangements. She also consults on a range of financial reporting issues impacting technology companies.
Mike Coleman is a partner in PwC's National Office with over 30 years of experience. Mike specializes in accounting for revenue and software arrangements and has served technology clients for much of his career. In addition, Mike has represented the firm on the AICPA Software Task Force.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
With so much focus on upcoming mandatory sustainability reporting requirements from jurisdictions around the globe, it’s sometimes easy to lose sight of the fact that many of the biggest sustainability-related topics often can and do have an impact not just on sustainability disclosures, but also on the financial statements.
Both the Financial Accounting Standards Board (FASB) and the International Accounting Standards Board (IASB)® have provided educational materials on the topic of ESG in the financial statements under existing accounting standards – and both boards have added projects to their respective agendas that will impact accounting standards in the future.
This week, Heather Horn was joined by Scott Bandura, Valerie Wieman, and Katie Woods, who are all following sustainability-related projects from accounting standard setters, to share their insights on these projects and provide reminders under current accounting standards for reporting on ESG topics in the financial statements. Katie also addresses the topic of connectivity between sustainability reporting and financial reporting.
In this episode, you’ll hear discussion of:
- 2:13 - An overview and status of the FASB’s sustainability-related agenda projects
- 7:57 - An overview and status of the IASB’s project on climate in the financial statements
- 13:45 - The connectivity between the IASB’s climate project and sustainability reporting
- 24:20 - Challenges in reporting the impacts of sustainability related matters
- 31:24 - Definitions of “pollution mechanisms” and “carbon offsets” as well as the accounting and reporting implications of these instruments
- 36:17 - An overview of the types of power purchase agreements and their accounting and reporting implications
- 43:27 - Final advice for companies to help them stay up to speed with evolving guidance
Scott Bandura is a partner in the National and Global Accounting Consulting Services at PwC Canada with over 20 years of experience advising clients on international accounting standards.
Valerie Wieman is PwC’s National Office Editor-in-chief. She is involved in the creation, development, and publication of our brand-defining thought leadership, with a focus on ESG reporting. Prior to this role, she was part of PwC’s National Office SEC Services group, helping clients navigate SEC rules and regulations.
Katie Woods is a Director in PwC's Global Accounting Consulting Services group and advises on ESG and international accounting standards. Katie specializes in the new and emerging ESG reporting frameworks working across the PwC network. She has over 30 years of experience working with a broad range of companies. Katie speaks regularly on a range of ESG and accounting topics at national and international seminars.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Every Tuesday in June, Angela Fergason is taking over the podcast to share the latest in her areas of specialty — including recent trends in revenue, how to consider whether your company is a principal or agent when recognizing revenue, software costs, and restructurings.
To kick off the series, Angela shares insights on current trends in the accounting for revenue transactions.
In this episode, you’ll hear discussion of:
- 1:38 - An overview of accounting for revenue
- 4:16 - “Everything as a Service” (XaaS) arrangements and their embedded complexities, including interaction with the lease accounting model
- 12:38 - Revenue contract modifications, including scope reductions
- 17:32 - The non-cash consideration revenue model, including equity payments for both vendors and customers as well as interaction with stock-based compensation guidance
- 23:04 - Considerations when revenue arrangements include significant financing
- 26:05 - SEC comment letter trends and final advice on accounting for revenue
For more information, read our Revenue, Leases and Stock-based compensation guides. Additionally, check out our prior podcasts on the subscription economy, identifying embedded leases, and Revenue: 2022 SEC comment letter trends.
Angela Fergason is a partner and standard setting leader in PwC's National Office who specializes in accounting for revenue and employee compensation arrangements. She also consults on a range of financial reporting issues impacting technology companies.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The European Commission has adopted a set of proposals, known as the European Green deal, with the aim of reducing net greenhouse gas emissions in the European Union (EU) by at least 55% by 2030, and achieving zero net emissions by 2050. In addition to the Corporate Sustainability Reporting Directive (CSRD), another pillar of this policy is the creation of the Carbon Border Adjustment Mechanism (CBAM), a new border tax aimed at equalizing the price of carbon paid for EU products operating under the EU Emissions Trading System (ETS) with that of similar imported goods.
CBAM is likely to impact the cost of carbon in global supply chains, and also has reporting obligations beginning as early as October of 2023, and the regulation has raised many questions. Which companies will it impact? What products are in scope? Will it impact companies that don’t do business in the EU?
This week, Heather Horn was joined by Barry Murphy and Niels Muller, PwC partners who are following CBAM, to share their insights on what it means and what companies can do now to prepare.
In this episode, you’ll hear discussion of:
- 2:26 - An overview of the EU Green Deal and CBAM
- 9:37 - How CBAM is intended to spur global alignment on carbon pricing
- 13:26 - Effective dates, applicable products, and other details of the regulation
- 25:58 - The current status of verification (audit) requirements and how these may evolve
- 29:39 - How CBAM could potentially impact the cost of carbon in global supply chains
- 33:59 - Recommendations for companies that want to begin preparing for CBAM ahead of the October 2023 effective date
Want to learn more about CBAM? Watch our webcast series.
Barry Murphy is PwC’s Global ESG leader for Tax and Legal Services. Based in the UK, he has 20 years of experience advising clients on their domestic and international tax affairs. He is also focused on driving compliance solutions with the digital first approach.
Niels Muller is a PwC partner based in the Netherlands specializing in energy transitions and sustainable energy. In this role he advises institutional investors, financial institutions, and utility companies as well as governments and non-governmental organizations on sustainability and tax projects.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Every Tuesday in May, Jennifer Spang is taking over the podcast to share the latest on income tax accounting — recent global and US tax policy developments, standard setting activity, and tax accounting considerations related to common transactions, such as business combinations and spinoffs.
To continue the series, Heather and Jenn are joined by Matt McCann, a partner in PwC’s National Office, to share insights on the practical challenges that arise in the tax accounting for spinoff transactions.
In this episode, you’ll hear discussion of:
- 1:30 - What a spinoff transaction is and the SEC filing requirements, including the preparation of carve-out financial statements
- 7:48 - Considerations related to allocating the consolidated income tax provision to the carved-out entity
- 18:22 - Other practical tax challenges in carve outs including valuation allowance assessments, uncertain tax positions, and tax sharing agreements
- 28:30 - The importance of robust disclosures when attributes or assertions are expected to change post spin
- 35:52 - Planning for tax complexities post spin and final advice for companies
For more information, read our Income taxes and Carve-out financial statements guides. Additionally, check out our prior podcast on taxes in separate company financial statements.
Jennifer Spang is PwC’s National Office income tax accounting leader, specializing in tax accounting under US GAAP and IFRS. She has over 25 years of experience helping companies in a variety of industries navigate complex tax accounting matters.
Matthew McCann is a partner in PwC's National Office who provides consultation in the areas of revenue recognition and income taxes. He has over 25 years of experience and previously served as the leader of the Consumer & Industrial Products Sector Assurance Practice in North Texas.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
With so much focus on the SEC’s climate disclosure proposal in the US this year, climate has taken the attention of many preparers – and for good reason. However, another topic, natural resources and biodiversity, is coming to the forefront as governments and companies begin to understand the size of the problem, both in terms of its potential impact on business and the potential impact of business on biodiversity. But with many competing priorities, how do companies also contemplate nature issues in their strategy?
This week, Heather Horn was joined by guests at the forefront of the nature space:
- Will Evison, director in PwC UK’s Global Sustainability, Climate, and Nature Strategy practice
- Eva Zabey, CEO of Business for Nature
- Julie Moorad, Senior Manager of Climate Action at Salesforce
Our panel shares their insights on ways companies are strategizing and integrating the topic of nature into their operating models.
In this episode, you’ll hear discussion of:
- 1:42 - Synergies between climate initiatives and nature positive policies
- 15:11 - Transforming your nature strategy to manage risk and create value
- 27:32 - The interrelationships among natural capital, business operations, and the broader economy
- 37:45 - The importance of starting a nature positive path now even though strategies may evolve in the long term
- 43:03 - The importance of building capacity in nature strategy and reporting
- 46:44 - Final advice for companies wanting to integrate nature positive strategies into everyday operations
Interested in more background on measuring and reporting nature and biodiversity? Listen to our previous podcast in the “Becoming nature positive” series, and check out PwC’s global nature hub here.
Will Evison is a director in PwC UK’s Global Sustainability, Climate, and Nature Strategy practice, specializing in integrating natural and social capital analysis into decision making. With over 18 years’ experience delivering climate and nature-related projects with businesses, investment firms and public sector organizations across more than 20 countries, he also led the development of PwC’s Total Impact Measurement and Management methodologies (TIMM), and now manages PwC’s global TIMM center of excellence. These methodologies utilize predictive analytics, health economics, and wellbeing techniques to model outcomes.
Eva Zabey is the CEO of Business for Nature, which is a global business-led coalition aiming to reverse nature loss and restore the planet’s natural systems on which economies, wellbeing and prosperity depend. Previously, she led natural capital projects at the World Business Council for Sustainable Development for 15 years.
Julie Moorad is a Senior Manager of Global Climate Action for Salesforce. Her team leads Salesforce’s international sustainability strategy, Europe, Middle East, and Africa sustainability program and developing our nature strategy, and implements nature positive policies that drive economic value firmwide and for their customers.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Every Tuesday in May, Jennifer Spang is taking over the podcast to share the latest on income tax accounting — recent global and US tax policy developments, standard setting activity, and tax accounting considerations related to common transactions, such as business combinations and spin-offs.
To continue the series, Heather and Jenn are joined by Kassie Bauman, a managing director in PwC’s National Office, to share their insights on income tax accounting for business combinations.
In this episode, you’ll hear discussion of:
- 2:01 - An overview of the applicable guidance and a summary of steps to take when assessing tax considerations of a business combination
- 7:13 - The importance of the tax status of the entities involved and distinguishing between taxable and non-taxable transactions
- 20:53 - Identifying and measuring temporary tax differences related to business combinations
- 23:36 - Deferred taxes associated with goodwill and considerations on the valuation allowance assessment
- 34:26 - Other common tax accounting considerations in business combinations including the measurement period, uncertain tax positions, and indemnifications
- 37:32 - Final thoughts, including deal economics considering tax
For more information, read our Business combinations and Income taxes guides, and check out a prior podcast on accounting for business combinations.
Jennifer Spang is PwC’s National Office income tax accounting leader, specializing in tax accounting under US GAAP and IFRS. She has over 25 years of experience helping companies in a variety of industries navigate complex tax accounting matters.
Kassie Bauman is a managing director in PwC's National Office who consults on tax accounting under US GAAP and IFRS. Kassie has more than 20 years of auditing and accounting experience addressing complex technical accounting matters.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The International Sustainability Standards Board (ISSB) has been working quickly through deliberations on its proposals to create a comprehensive global baseline of sustainability disclosures. Final standards are expected by the end of Q2 2023. But implementing an effective global baseline goes beyond simply setting standards – it requires a new set of capabilities, infrastructure, knowledge, and talent in economies around the world.
How will this be accomplished? This week, Heather Horn was joined by Jingdong Hua, Vice Chair of the ISSB, and Mardi McBrien, Strategic Affairs Director of the IFRS Foundation, to discuss the topic of “capacity building” and how the IFRS Foundation is focused on bringing the global reporting community along the sustainability reporting journey.
In this episode, you’ll hear discussion of:
- 2:29 - What capacity building means
- 4:59 - How the ISSB is creating partnerships to advance its progress toward building capacity
- 12:35 - The importance of interoperability across jurisdictions and regulatory frameworks
- 17:50 - The ISSB’s three-part capacity building framework
- 26:21 - How the ISSB is bringing together stakeholders with varying interests for common goals
- 28:40 - Expectations on timing of release of final ISSB standards and resources for companies to prepare
Want to hear more about the ISSB? Listen to our previous podcasts on its fast-paced deliberations as well as PwC’s responses to the ISSB exposure drafts. For more on how ISSB standards compare to other proposals, read our publication: Navigating the ESG landscape.
Jingdong Hua is the Vice Chair of the ISSB. His role on the board is to develop and implement the ISSB’s strategies to support and include stakeholders in emerging and developing economies as well as small and medium-sized companies. He is the former Vice President and Treasurer of World Bank, where he specialized in sustainability bonds and developed the world’s first “green-bond.”
Mardi McBrien is the Director of Strategic Affairs at the IFRS Foundation responsible for sustainability reporting. In this role she has played an active part in setting up the ISSB. Prior to the IFRS Foundation, Mardi spent over a decade leading the global ESG standard setter, the Climate Disclosure Standards Board (CDSB), in developing quality disclosure standards and thought leadership on environmental and social issues.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Every Tuesday in May, Jennifer Spang is taking over the podcast to share the latest on income tax accounting — recent global and US tax policy developments, standard setting activity, and tax accounting considerations related to common transactions, such as business combinations and spin-offs.
To continue the series, Heather and Jenn are joined by Kassie Bauman, managing director in PwC’s National Office, to share insights on income tax accounting for equity method investments.
In this episode, you’ll hear discussion of:
- 1:31 - An overview of the equity method of accounting under GAAP for book purposes
- 6:21 - Book versus tax basis differences and when to record deferred taxes on equity method investments
- 8:52 - Income tax accounting implications when an investee becomes a subsidiary (or vice versa) through changes in ownership and control
- 13:43 - Income tax considerations related to equity method investments in partnerships, including the “look-through” policy election and inside and outside tax basis differences
- 25:45 - Final advice and common income tax questions on equity method investments
For more information, read our Equity method and Income taxes guides. Additionally, check out our prior podcasts, Part 1 and Part 2, on applying the equity method.
Jennifer Spang is PwC’s National Office income tax accounting leader, specializing in tax accounting under US GAAP and IFRS. She has over 25 years of experience helping companies in a variety of industries navigate complex tax accounting matters.
Kassie Bauman is a managing director in PwC's National Office who consults on tax accounting under US GAAP and IFRS. Kassie has more than 20 years of auditing and accounting experience addressing complex technical accounting matters.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
With a multitude of ESG disclosure and reporting requirements coming into play around the world, it’s easy to begin viewing sustainability as nothing more than a compliance and reporting obligation – something that must be done but that doesn’t actually create value.
But what if that perspective is limited? This week, Heather Horn was joined by Jamie Gamble, PwC managing director, to discuss how leading companies and their boards are viewing sustainability as an opportunity to reflect on the issues that are core to their businesses’ value creation – and integrating these issues into their strategies to create sustainable, long-term value. This is what Jamie calls “sustainable value governance.”
In this episode, you’ll hear discussion of:
- 3:20 - The marketplace factors driving demand for sustainable progress
- 6:30 - How investors and other stakeholders are beginning to understand the long term value embedded in ESG issues
- 14:54 - A four-part framework for sustainable value governance
- 28:20 - How robust reporting for the board supports companies in making progress on the issues that drive sustainable value
- 36:40 - How and why the finance function is playing a central role in the company’s sustainability policy setting and reporting
- 42:46 - The benefits that accrue to companies from having a clear, consistent process for identifying the sustainability issues that are relevant for their business
Want to hear more from Jamie? Listen to his previous podcast on governance in the SEC’s climate disclosure proposal.
Jamie Gamble is a managing director in PwC's Trust Solutions practice with over 25 years of experience focused on corporate governance, cybersecurity, workforce, and ESG-related issues. Before joining PwC, he was a litigation partner at a major law firm.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The transformation of ESG reporting accelerated in 2022 with the release of major proposals in the European Union (EU) and the United States (US), as well as globally by the International Sustainability Standards Board (ISSB).
Although all of these proposals have the potential to impact multinational companies, the Corporate Sustainability Reporting Directive (CSRD) from the EU that applies to many multinational companies perhaps requires the most immediate attention. In this episode, Heather Horn brings you an audio version of ourIn the loopcovering the CSRD.
In this podcast, you’ll hear:
- 3:12 - Past, present, and future of EU sustainability reporting
- 7:56 - Scope and timing
- 28:54 - Reporting under the CSRD
- 49:51 - Requirement for third-party assurance
- 50:32 - Filing requirements of the CSRD
- 59:42 - What’s next?
Refer also to the print version, Worldwide impact of CSRD - are you ready? Also, join our upcoming Q2 2023 Quarterly ESG webcast.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Every Tuesday in May, Jennifer Spang is taking over the podcast to share the latest on income tax accounting — recent global and US tax policy developments, standard setting activity, and tax accounting considerations related to common transactions, such as business combinations and spin-offs.
To continue the series, Jenn shares insights on the FASB’s recent exposure draft on improvements to income tax disclosures.
In this episode, you’ll hear discussion of:
- 1:30 - An overview of the FASB’s income tax disclosure project
- 4:50 - The proposed disaggregated disclosures for cash taxes paid and the introduction of eight specific categories of reconciling items in the rate reconciliation
- 8:11 - The questions and areas of concern that have been raised by companies
- 15:18 - The judgment required in determining the categorizations in the rate reconciliation
- 19:24 - Other noteworthy proposed additions and deletions to the current required income tax disclosures
- 22:51 - The expected effective date and transition requirements
- 27:00 - Final advice for organizations as they assess the FASB’s proposed disclosures
For more information, read our publication on the FASB’s exposure draft and check out a prior podcast on income tax disclosures.
Jennifer Spang is PwC’s National Office income tax accounting leader, specializing in tax accounting under US GAAP and IFRS. She has over 25 years of experience helping companies in a variety of industries navigate complex tax accounting matters.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
With so much focus on the SEC’s climate disclosure proposal in the US this year, climate has taken the attention of many preparers – and for good reason. However, another topic, natural resources and biodiversity, is coming to the forefront as governments and companies begin to understand the size of the problem, both in terms of its potential impact on business and the potential impact of business on biodiversity.
This week, Heather Horn was joined by Alan McGill, a partner in PwC’s Global Sustainability, Reporting, Measurement and Assurance practice, and PwC Global sustainability topic team leader Andreas Ohl to discuss the measurement of and reporting on the topics of nature and biodiversity.
In this episode, you’ll hear discussion of:
- 2:05 - The current state of company readiness to report on nature and biodiversity
- 8:19 - How all types of businesses exhibit indirect dependencies on nature and exposure to nature risks
- 14:08 - Measuring biodiversity-related value in your company’s operations
- 21:07 - Definition of natural capital and overview of its financial impacts
- 30:11 - The importance to businesses in every sector of developing nature positive strategies
- 36:21 - Assurance on data and metrics on nature and biodiversity topics
- 45:43 - Final advice for organizations wanting to become nature positive
Interested in more background on the business value drivers inherent in nature and biodiversity? Listen to our previous podcast in this series, and check out PwC’s global nature hub here.
Alan McGill is a partner in PwC UK and is the Global Sustainability Reporting, Measurements, and Assurance Leader. With over 15 years’ experience delivering sustainable business projects, Alan’s work focuses on the impact of sustainability issues on business, and providing organizations with attestation services over their reporting on relevant sustainability issues.
Andreas Ohl is a partner in PwC's National Office focused on thought leadership, standard setting, and mergers and acquisitions under US GAAP and IFRS. In addition to his US responsibilities, he leads the sustainability topic team for the PwC global network. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's in-process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Every Tuesday in May, Jennifer Spang is taking over the podcast to share the latest on income tax accounting — recent global and US tax policy developments, standard setting activity, and tax accounting considerations related to common transactions.
To kick off the series, Heather Horn and Jenn are joined by Pat Brown, the co-leader of PwC's Washington National Tax Services practice, to share insights on the OECD and the US minimum corporate tax legislation.
In this episode, you’ll hear discussion of:
- 2:09 - An overview of OECD’s Pillar Two model rules
- 4:30 - The status of Pillar Two’s enactment in various jurisdictions
- 10:48 - The differences between the US corporate alternative minimum tax and the OECD Pillar Two minimum tax
- 20:58 - The response from the FASB and IASB to the accounting implications of Pillar Two enactment
- 27:45 - What companies can do now considering the uncertainty of enactment of Pillar Two
- 37:54 - The different treatment of tax credits under the Inflation Reduction Act and Pillar Two
- 56:19 - Final advice for organizations on global tax policy
For more information, read our publications on what you need to know about Pillar Two, the responses from the FASB and IASB, and accounting for the Inflation Reduction Act.
Jennifer Spang is PwC’s National Office income tax accounting leader, specializing in tax accounting under US GAAP and IFRS. She has over 25 years of experience helping companies in a variety of industries navigate complex tax accounting matters.
Pat Brown is PwC’s Washington National Tax Services co-leader. Prior to joining PwC, he spent 16 years in the private sector, including a role as the director of tax policy for a Fortune 50 company. Pat has also served in the US Treasury’s Office of Tax Policy as an attorney-advisor and as Associate International Tax Counsel.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
With so much focus on the SEC’s climate disclosure proposal in the US this year, climate has taken the attention of many preparers – and for good reason. However, another topic, natural resources and biodiversity, is coming to the forefront as governments and companies begin to understand the size of the problem, both in terms of its potential impact on business and the potential impact of business on biodiversity.
This week, Heather Horn was joined by Tom Beagent, a partner in PwC’s Global Sustainability and Climate Change practice, and PwC National Office partner and Global sustainability topic team leader Andreas Ohl. They bring the vantage point of the CFO to bear on the topics of nature and biodiversity and highlight the drivers of sustainable business value embedded in these topics.
In this episode, you’ll hear discussion of:
- 2:28 - Perspectives from conversations with CFOs on biodiversity and nature
- 6:53 - Defining nature and the interconnected relationships among the economy, the value chain of business, and nature
- 17:47 - Identifying nature- and biodiversity-related risks – and opportunities – in your company’s operations
- 19:28 - How market prices charged for using natural resources today may be well below the ultimate cost to the global economy
- 25:13 - The differences between “Net Positive” nature and biodiversity initiatives and “Net Zero” climate policies
- 34:26 - Investors’ interest in natural resources and biodiversity, and the metrics companies can use to disclose their dependencies on nature
- 46:56 - Where companies should start in contemplating risks and opportunities in this space
Interested in more background on the main issues related to nature and biodiversity? Listen to our previous podcast in this series, and check out PwC’s global nature hub here.
Tom Beagent is a partner in PwC UK's Global Sustainability and Climate Change practice, specializing in integrating natural and social capital analysis into decision making for sustainable growth. With over 20 years’ experience delivering sustainable business projects, he also co-developed PwC’s Total Impact Measurement and Management methodologies (TIMM), which allows organizations to measure and value the social, environmental, economic, and fiscal impacts resulting from their operations, as well as their extended value chains.
Andreas Ohl is a partner in PwC's National Office focused on thought leadership, standard setting, and mergers and acquisitions under US GAAP and IFRS. In addition to his US responsibilities, he leads the sustainability topic team for the PwC global network. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's in-process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Every Tuesday in April, Pat Durbin took over the podcast to share insights and go back to basics on some critical accounting areas, including contingent liabilities, subsequent events, and inventory.
In this episode, Heather Horn and Pat are joined by Jay Seliber to discuss identifying whether a service arrangement with a public-sector grantor would be in scope of ASC 853 on service concessions. They cover the accounting challenges that are associated with private-sector enterprises operating public infrastructure.
In this episode, you’ll hear discussion of:
- 1:54 - What a service concession is, and who and what is in scope of the ASC 853 guidance
- 14:22 - Common types of private-public service arrangements
- 18:30 - How to think about applying the revenue recognition model to these arrangements and challenges when there are multiple performance obligations and variable fees
- 32:24 - How to recognize different types of expenses under the guidance
- 39:25 - The development of the US GAAP guidance and a comparison to IFRS
- 45:03 - Final advice when accounting for service concessions
For more information, read the service concessions chapter in both our revenue recognition guide and our IFRS and US GAAP: similarities and differencesguide. Additionally, listen to our revenue toolkit podcast miniseries.
Pat Durbin is a Deputy Chief Accountant in PwC’s National Office. He has over 30 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.
Jay Seliber is a partner in PwC’s National Office. He leverages over 30 years of experience to help clients with their most complex accounting matters, particularly in the areas of mergers and acquisitions, revenue recognition, stock compensation, and employee benefits.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
With so much focus on the SEC’s climate disclosure proposal in the US this year, climate has taken the attention of many preparers – and for good reason. However, another topic, natural resources and biodiversity, is coming to the forefront as governments and companies begin to understand the size of the problem, both in terms of its potential impact on business and the potential impact of business on biodiversity. Given the breadth of the topic of biodiversity, understanding the issues that it encompasses can pose a challenge for preparers.
This week, Heather Horn was joined by Will Evison, director in PwC UK’s Global Sustainability, Climate, and Nature Strategy practice, to continue the conversation on biodiversity in our series, “Becoming nature positive,” and provide a more robust understanding of the issues of land, water, and other nature topics.
In this episode, you’ll hear discussion of:
- 5:14 - Why biodiversity is increasingly important to business
- 14:25 - How current land development and agriculture practices contribute to biodiversity challenges
- 26:04 - The differences between physical and economic water scarcity and how these impact business risks at a regional level
- 37:13 - Examples of individuals’ and businesses’ choices that can have positive and negative impacts on nature
- 40:49 - The differences between nature positive and net zero targets and goals
- 47:21 - Advice to companies who are just getting started on understanding the issue of biodiversity
Interested in more background on why companies are beginning to focus on biodiversity? Listen to our previous podcast in this series. Also check out PwC’s global nature hub here.
Will Evison is a director in PwC UK’s Global Sustainability, Climate, and Nature Strategy practice, specializing in integrating natural and social capital analysis into decision making. With over 18 years’ experience delivering climate and nature-related projects with businesses, investment firms and public sector organizations across more than 20 countries, he also led the development of PwC’s Total Impact Measurement and Management methodologies (TIMM), and now manages PwC’s global TIMM center of excellence. These methodologies utilize predictive analytics, health economics, and wellbeing techniques to model outcomes.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Every Tuesday in April, Pat Durbin is taking over the podcast sharing insights and going back to basics on some critical accounting areas, including contingent liabilities, subsequent events, and inventory.
In this episode, Heather Horn and Pat discuss key accounting concepts and judgments in accounting for and valuing inventory.
In this episode, you’ll hear discussion of:
- 1:34 - Different methods to determine inventory costs and the art of inventory cost accounting
- 19:27 - How to account for changes in cost flow assumptions or composition of costs
- 25:55 - Key judgments in valuation and impairment of inventory
- 33:19 - New ways to finance inventory
- 35:29 - Final advice for accounting for inventory
For more information, read our Inventoryguide.
Pat Durbin is a Deputy Chief Accountant in PwC’s National Office. He has over 30 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
With so much focus on the SEC’s climate disclosure proposal in the US this year, climate has taken the attention of many preparers – and for good reason. However, another topic, natural resources and biodiversity, is coming to the forefront as governments and companies begin to understand the size of the problem, both in terms of its potential impact on business and the potential impact of business on biodiversity. The sustainability reporting standards that many companies will need to apply, such as the European Sustainability Reporting Standards and the International Sustainability Reporting Standards, include disclosure requirements on biodiversity.
This week, Heather Horn was joined by PwC National Office partner and Global sustainability topic team leader, Andreas Ohl, to kick off a new podcast miniseries, “Becoming nature positive.” This first episode illuminates the types of issues that the term “biodiversity” encompasses and previews the rest of the series.
In this episode, you’ll hear discussion of:
- 2:10 - The drivers behind the increasing importance of biodiversity
- 6:43 - Definitions and examples to illustrate the concepts of biodiversity and nature positivity
- 16:22 - Why even companies outside of the agriculture industry should prioritize biodiversity
- 24:34 - How the issues of biodiversity and climate change are related – and not related
- 30:07 - Additional topics that will be covered in future episodes of this miniseries
Want to learn more? PwC recently commented on the revisions to the GRI biodiversity standard.
Andreas Ohl is a partner in PwC's National Office focused on thought leadership, standard setting, and mergers and acquisitions under US GAAP and IFRS. In addition to his US responsibilities, he leads the sustainability topic team for the PwC global network. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's in-process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
After years of increasingly vocal demand for enhanced transparency about ESG matters from investors and other stakeholders, regulators and standard setters in various jurisdictions issued definitive proposals to transform ESG reporting in 2022.
The year brought proposed ESG disclosures from the European Union (EU) as part of the Corporate Sustainability Reporting Directive (CSRD), internationally by the International Sustainability Standards Board (ISSB), and in the US by the SEC.
These “big three” proposals would each require expansive sustainability disclosures — although their proposed scopes and other details vary. In this episode, Heather Horn brings you an audio version of ourIn the loopcomparing the three proposals. In this podcast, you’ll hear:
- 1:43 - Background on the “big three” proposals
- 17:16 - Comparison of the general features of the proposals
- 23:09 - Differences in concepts of materiality
- 28:39 - Overview of respective targets and transition plan disclosure requirements
- 33:22 - Overview of respective greenhouse gas (GHG) emissions reporting requirements
- 37:48 - Comparison of GHG scope 1 and scope 2 disclosures
- 42:58 - Comparison of GHG scope 3 disclosures
- 47:32 - Comparison of assurance requirements
- 51:31 - Overview of effective dates and transition
Refer also to the print version, Navigating the ESG landscape. For further insights, see:
- The SEC wants me to disclose what? The SEC’s climate disclosure proposal
- What's CSRD? It's important to know
- What you need to know about the ISSB Exposure Drafts
- Q2 2023 Quarterly ESG webcast
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Every Tuesday in April, Pat Durbin is taking over the podcast sharing insights and going back to basics on some critical accounting areas, including contingent liabilities, subsequent events, and inventory.
In this episode, Heather Horn and Pat are joined by Latina Fauconier to share insights on how to identify and evaluate subsequent events. Assessing whether information received between the balance sheet date and the issuance of the financial statements needs to be accounted for and/or disclosed can be challenging, and is more important than ever in this current environment.
In this episode, you’ll hear discussion of:
- 1:43 - An overview of the accounting guidance and key judgments in evaluating subsequent events
- 4:55 - Complexities in determining if conditions existed as of the balance sheet date
- 11:08 - The importance of having processes and controls in place to monitor subsequent events
- 18:27 - Common examples of subsequent events and the impact on forward-looking estimates and assessments
- 29:04 - Considerations for disclosures
- 33:34 - Final advice for identifying and evaluating subsequent events
For more information, listen to our previous podcast on subsequent events and read the subsequent events chapter of our Financial statement presentation guide.
Pat Durbin is a Deputy Chief Accountant in PwC’s National Office. He has over 30 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.
Latina Fauconier is a partner on tour in PwC’s National Office, focusing on revenue and compensation matters. She advises clients and engagement teams on a wide range of complex accounting and financial reporting matters under US GAAP and IFRS. She was previously a Professional Accounting Fellow in the Office of the Chief Accountant at the SEC.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
With more than 10,000 companies around the world using its standards, the Global Reporting Initiative (GRI), focused on “impact reporting” (reporting of a company’s impact on ESG issues), continues to be a major player in the ESG reporting space, even with the advancement of mandatory reporting proposals based on other frameworks. So what is ahead for the organization strategically and what role will impact reporting play in the future ESG reporting ecosystem?
This week, Heather Horn was joined by Eelco van der Enden, CEO of GRI, to discuss the organization’s key strategic initiatives, including how it is managing the current pace of change in the ESG reporting landscape, and what’s ahead for voluntary impact reporting.
In this episode, you’ll hear discussion of:
- 2:05 - What’s top of mind for GRI’s C-suite in managing its near-term priorities
- 11:43 - How GRI’s standards complement other ESG reporting standards
- 20:17 - Where voluntary impact reporting fits into the dynamic landscape of ESG reporting
- 31:12 - How the breadth of today’s value chains poses reporting challenges
- 39:03 - How GRI is focused on innovating to solve the reporting challenges faced by companies across the value chain
- 48:54 - Reflections on the progress of GRI over the past year
Interested in more background on why investors care about voluntary ESG reporting? Listen to our previous podcast with Eelco.
Eelco van der Enden is the CEO of the Global Reporting Initiative. Prior to this role, Eelco led PwC’s global ESG platform for the Tax & Legal and People Services, and PwC's Tax Administration Consulting practice. Eelco is also Chairman of the Tax Policy Group of Accountancy Europe, and has published multiple articles on tax governance and reporting.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Every Tuesday in April, Pat Durbin is taking over the podcast sharing insights and going back to basics on some critical accounting areas, including contingent liabilities, subsequent events, and inventory.
To kick off the series, Heather Horn and Pat are joined by Tom Barbieri, our US Chief Accountant, to bring you the latest on one of the oldest and most foundational standards, FAS 5, which is now Topic 450, Contingencies.
In this episode, you’ll hear discussion of:
- 6:03 - An overview of the accounting framework and key judgments in assessing the likelihood of loss
- 10:21 - What to consider when measuring a loss contingency
- 16:06 - Recognition and presentation of insurance recoveries
- 18:49 - When gain contingencies may be recognized
- 27:04 - What companies should consider in disclosing contingencies
- 32:00 - Final advice when accounting for and disclosing contingencies
For more information, read the Contingencies chapter of our Financial statement presentation guide.
Pat Durbin is a Deputy Chief Accountant in PwC’s National Office. He has over 30 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.
Tom Barbieri is the Chief Accountant in the Firm’s National Office and has over 30 years of experience advising large financial services and multinational corporations on complex accounting issues. He leads the Accounting & SEC Services Group, which is focused on supporting our clients and engagement teams in navigating complex technical accounting and financial reporting matters. Tom is also a member of the Financial Accounting Standards Advisory Council.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Will 2023’s economy be substantially different from last year’s? This week, Heather Horn was joined by Craig Stronberg and Zain Siddiqui, directors in PwC Intelligence, to discuss the latest macroeconomic and geopolitical developments. Craig and Zain share insights on why companies should be thinking ahead when it comes to the state of the economy and volatility in the global markets.
In this episode, you’ll hear discussion of:
- 2:20 - The forces shaping the economic outlook for the rest of 2023
- 9:27 - The impact of politics and the election cycle on the business environment
- 16:41 - Updates on whether a recession is still anticipated this year
- 23:45 - The interaction of consumer demand, the labor market, and inflation on the Fed’s monetary policy plans
- 27:32 - The “long tail” of COVID and its ongoing impacts on supply chains and the global economy
- 34:30 - How companies should prepare for longer term geopolitical uncertainty across Europe and Asia
- 43:10 - Economic watch list items for companies to track throughout the year
Want to identify how different macroeconomic trends could impact your accounting and reporting? We've created an interactive tool, Accounting in uncertain economic times. Use it to better understand potential challenges and locate additional resources.
Craig Stronberg leads the Business Acumen capability for PwC Intelligence, spearheading the team of analysts that provides macroeconomic, sector, and geopolitical intelligence to key stakeholders. Named as one of the "100 Most Creative People in Business” by Fast Company, Craig had a nearly 20 year career in national security affairs working for and advising numerous agencies and international partners, having been decorated five times. His focus has been on numerous areas, including counterintelligence, economic espionage, counterterrorism, cyber threats, political-military issues, special operations integration, and support for major events such as the Olympic Games.
Zain Siddiqui is a senior economist for PwC Intelligence with a specialty in macroeconomics and finance. He advises stakeholders and clients on the business implications of emerging macro and geopolitical vulnerabilities, and helps them shape business strategy. His research has appeared in books on international economic policy and macroeconomic journals.
Heather Horn is a Deputy Chief Accountant in PwC’s National Office and leader of the thought leadership group, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Every Tuesday in March, Suzanne Stephani took over the podcast to bring you the latest on different types of financing arrangements — from debt to leases to supplier financings — including how the current macroeconomic environment impacts the accounting.
In this episode, Heather Horn and Suzanne are joined by Brian Staniszewski, a PwC partner who advises clients on debt transactions. Brian and Suzanne share observations and insights on recent debt restructurings in this time of economic uncertainty. They also share reminders on how to navigate the different accounting models for debt restructurings.
In this episode, you’ll hear discussion of:
- 2:00 - Common themes among debt restructurings taking place in the current economic environment
- 6:38 - An overview of the different accounting models for debt restructurings and why it matters to get the accounting model right
- 17:12 - The key judgments required in determining whether a restructuring is a troubled debt restructuring
- 19:56 - Common issues in the non-troubled debt restructuring model
- 34:58 - Financial statement presentation of debt restructurings
- 38:40 - Final advice when dealing with a debt restructuring
For more information, listen to our previous podcasts on the classification of debt in an uncertain economic environment and on the presentation and disclosure of debt. Also read related guidance in our Financial statement presentation guide, Financing guide, and frequently asked questions on accounting in uncertain times.
Suzanne Stephani is a director in PwC’s National Office specializing in the statement of cash flows, as well as the application and interpretation of the accounting guidance related to financing and leasing transactions.
Brian Staniszewski is partner in PwC’s capital markets and accounting advisory group specializing in advising clients on accounting and financial reporting issues related to capital restructuring and capital raising transactions, financial instruments, business combinations, consolidation, and minority investments. He previously completed a fellowship in the SEC's Office of the Chief Accountant.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
As we approach the end of 2023’s first quarter, we wanted to take time today to zoom out to the broader business environment that finance organizations are navigating. Between a tightening money supply, inflation, and ongoing demands from investors and stakeholders to grow in a sustainable way – we wanted to ask, how are companies managing it all? What are their near term and long-term priorities, and how are these changing in the current environment?
Heather Horn was joined by Wes Bricker, PwC’s Vice Chair and Trust Solutions Co-Leader, to discuss these questions and more based on his business leadership within PwC and extensive client experience.
In this episode, you will hear:
- 2:11 - The three areas of uncertainty that businesses are navigating in 2023
- 11:14 - The imperative companies face to reinvent their business models for long-term survival
- 18:53 - How companies are integrating climate, human capital, and other ESG topics into their reinvention strategies
- 29:26 - How the principles of candor, truth-telling, and humility instill trust in companies’ near-term and long-term goals
- 37:20 - The importance of going beyond “check-the-box” compliance in reporting by presenting a coherent strategy and vision for the business
- 44:40 - How the voice of the CFO organization is supporting companies in earning trust
Want to hear more perspectives from our latest Global CEO survey? Check out our summary of the survey results.
Wes Bricker is PwC’s Vice Chair and Trust Solutions Co-Leader for the US and Mexico. In this role he oversees the largest Trust platform in the world, bringing together the firm’s combined Audit, ESG, Digital Assurance, and Tax Reporting capabilities to best help clients as they seek to build trust with their stakeholders. As co-leader, Wes is responsible for the quality of service, excellence in the work performed by over 21,000 partners and staff, developing diverse teams, and driving innovation.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In the first quarter 2023 edition of The quarter close, we highlight newly effective standards for 2023, featuring new required disclosures for supplier finance programs. We also take a closer look at the accounting and reporting implications of changes to reportable segments. Lastly, we provide the latest updates on ESG reporting proposals and the FASB’s standard-setting projects. Read or listen to The quarter close for these and other relevant accounting and reporting topics you should consider as you close out the first quarter of 2023.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Every Tuesday in March, Suzanne Stephani, is taking over the podcast to bring you the latest on different types of financing arrangements - from debt to leases to supplier financings - including how the current macroeconomic environment impacts the accounting.
In this episode, Heather Horn and Suzanne will discuss the impact of the current macroeconomic environment on the classification of debt as current or noncurrent.
In this episode, you’ll hear discussion of:
- 4:44 - Key judgments in assessing the impact of covenant violations when there are grace periods and waivers
- 13:40 - What to think about when debt is modified in advance of a covenant violation
- 17:12 - The importance of identifying cross default and cross acceleration clauses in debt agreements
- 20:08 - What you need to know about subjective acceleration clauses (SACs), especially in the current economic environment
- 25:38 - Frequent debt refinancing questions and how SACs within refinancing agreements impact the ability to use them to achieve noncurrent classification
For more information, listen to our previous podcast on the presentation and disclosure of debt, and stayed tuned for our next podcast in this miniseries, on debt restructuring. Also read our Financial statement presentation guide and frequently asked questions on accounting in uncertain times.
Suzanne Stephani is a director in PwC’s National Office specializing in the statement of cash flows, as well as the application and interpretation of the accounting guidance related to financing and leasing transactions.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
GHG Protocol is one of the most widely known and applied sustainability reporting frameworks. Even as ESG reporting continues to increase in prominence with proposed disclosures from the European Union as part of the Corporate Sustainability Reporting Directive (CSRD), internationally by the International Sustainability Standards Board (ISSB), and in the United States by the Securities and Exchange Commission (SEC), the criticality of GHG Protocol is reinforced by its incorporation in each of these “big three” proposals.
In light of this changing landscape, the GHG Protocol has undertaken a process to survey stakeholders and determine what updates are needed to its protocol, standards, and guidance. Heather Horn was joined by Marcin Olewinski, a PwC Trust Solutions partner, to unpack the key points of feedback contained in PwC’s comment letter on the GHG Protocol’s open consultation. Heather and Marcin both led PwC’s global working group on developing our comments.
In this episode, you’ll hear discussion of:
- 1:58 - The importance of governance of the GHG Protocol for long-term operability
- 10:38 - Our view that measurement, recognition, and baseline disclosures should form the building blocks of the standards
- 16:40 - Suggestions for structuring and organizing the standards for ease of use
- 19:17 - Dealing with disparities in data quality and availability through transparent disclosures
- 23:51 - The importance of aligning organizational boundaries, lease accounting, and other areas in the Protocol with financial reporting
- 32:21 - Recommendations to improve Scope 2 reporting
- 39:57 - Final perspectives on aligning GHG reporting with financial reporting
Interested in the contents of our comment letter to the GHG protocol? Read it here.
Marcin Olewinski is a partner in PwC’s Trust Solutions practice, with over 20 years of experience bringing valued perspectives and insights to large clients in the energy sector. Additionally, he’s focused extensively within PwC’s National Office on greenhouse gas and sustainability reporting.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Every Tuesday in March, Suzanne Stephani is taking over the podcast to bring you the latest on different types of financing arrangements—from debt to leases to supplier finance programs—including how the current macroeconomic environment may impact the accounting.
In this episode, Heather Horn and Suzanne are joined by Bret Dooley, a PwC partner who leads our team advising clients on the accounting for financial instruments. Suzanne and Bret explain what supplier finance programs are, share insights on assessing the balance sheet classification, and break down the new disclosure requirements from the FASB that are now (generally) effective for calendar year-end companies.
In this episode, you’ll hear discussion of:
- 2:32 - The broad range of supplier finance programs that exist in the market and why companies enter into them
- 12:12 - Why classification on the balance sheet as either a trade payable or debt matters
- 15:19 - Indicators commonly used in practice to assess classification and key judgments to consider
- 32:42 - What’s required to be disclosed under the FASB’s new guidance and when
- 38:58 - Final advice on thinking through the accounting and reporting for these programs
For more information on the accounting and disclosure of supplier finance programs, check out our Financial statement presentation guide.
Suzanne Stephani is a director in PwC’s National Office specializing in the statement of cash flows, as well as the application and interpretation of the accounting guidance related to financing and leasing transactions.
Bret Dooley is a Deputy Chief Accountant in PwC’s National Office and the financial instruments accounting leader. He has over 25 years of experience specializing in the financial services, banking, and capital markets industries. Bret focuses on emerging financial reporting issues relating to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
After 2022 brought proposed ESG disclosures from the EU as part of the Corporate Sustainability Reporting Directive (CSRD), internationally by the International Sustainability Standards Board (ISSB), and in the US by the Securities and Exchange Commission (SEC), many companies began in earnest to mock up potential disclosures, understand gaps in information quality and availability, and establish work plans for creating consistent, reliable reporting.
This month marks one year since the SEC’s proposal was released, and we wanted to ask – how have companies been preparing over the past year, and what should they be doing for the next year as we move toward mandatory ESG reporting in many jurisdictions? Heather Horn was joined by Brigham McNaughton, a PwC ESG Services & Strategy partner, to unpack these questions and provide the latest updates on what companies can do now to be prepared for upcoming requirements.
In this episode, you’ll hear discussion of:
- 1:54 - Where companies have focused their readiness efforts over the last twelve months
- 8:09 - Dealing with estimation in greenhouse gas reporting
- 14:28 - Disclosure controls and the importance of cross-functional teams
- 21:31 - How companies are re-evaluating their governance, strategy, risks, targets, and goals as they prepare for the new disclosure requirements
- 31:06 - Preparing for mandatory ESG reporting requirements in the European Union under the CSRD
- 36:59 - How companies can work to build mature processes for reporting
Looking for more information on getting ready for mandatory ESG reporting? Check out our publication, Preparing for tomorrow's rules today.
Brigham McNaughton is a partner in PwC’s ESG practice. He has served global clients in a range of industries including utilities, automotive, and financial services, advising on core ESG strategy development and stakeholder engagement. Brigham has also worked closely with the Sustainability Accounting Standards Board on a variety of reporting initiatives.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Every Tuesday in March, Suzanne Stephani, is taking over the podcast to bring you the latest on different types of financing arrangements - from debt to leases to supplier financings - including how the current macroeconomic environment impacts the accounting.
To kick off the series, Heather Horn and Suzanne are joined by Marc Jerusalem, a PwC managing director who also specializes in leasing, to discuss how the current macroeconomic environment impacts the accounting for leases.
In this episode, you’ll hear discussion of:
- 2:23 - Recent FASB standard setting on leases between entities that are under common control
- 7:38 - How rising interest rates may make it more challenging to use an existing borrowing rate to measure a lease
- 14:21 - Remeasurement events that may occur more frequently during times of economic uncertainty and what assumptions may need to be updated as a result of them
- 20:37 - Impairment of right-of-use asset considerations when a company decides to sublease or abandon a leased space
- 31:37 - Frequent questions on the classification of lease activity in the statement of cash flows
For more information, listen to our other podcasts in PwC’s Leasing Toolkit series and read our publication on frequently asked questions on accounting in uncertain times.
Suzanne Stephani is a director in PwC’s National Office specializing in the statement of cash flows, as well as the application and interpretation of the accounting guidance related to financing and leasing transactions.
Marc Jerusalem is a managing director in PwC’s National Office specializing in leasing. Marc consults with clients on complex lease accounting issues and is a frequent contributor to many related PwC National Office publications.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Every Tuesday in February, Andreas Ohl, PwC’s Global ESG Technical Leader, took over the podcast and talked all about one of a company’s most valuable intangible assets, human capital. He discussed what it is and why it matters, how it’s treated in financial and ESG reporting, and how its value is reflected in deals.
In this final episode of the miniseries, Heather Horn and Andreas are joined by Carrie Duarte, a PwC workforce transformation specialist, to discuss how sophisticated acquirers are creating value through human capital in transactions. They also share insights on how investing in the workforce may create both social value creation, the “S” in ESG, and financial value creation.
In this episode, you’ll hear discussion of:
- 6:30 - Trends in the deals market that are driving outsized returns
- 14:21 - Practical and tactical examples of opportunities identified through deals to create value through the workforce
- 23:37 - The importance of providing a “good job” and managing the investment in the workforce
- 31:37 - How reflecting the voice of the worker in the company’s labor management strategy creates social and financial value creation
Listen to earlier episodes in this series on the impact of recent demographic trends on the investment in human capital, how a company’s largest asset may not be on balance sheet, and on communicating value through ESG reporting.
Andreas Ohl is a partner in PwC's National Office focused on thought leadership, standard setting, and mergers and acquisitions under US GAAP and IFRS. In addition to his US responsibilities, he leads the sustainability topic team for the PwC global network. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's in-process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
Carrie Duarte is a partner leading PwC's Organization and Workforce Transformation Deals team. Carrie helps CEOs take advantage of the catalyzing event of a transaction to transform their organizations and workforces.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Billed as the largest climate legislation in US history, the Inflation Reduction Act (IRA) includes tax credits, incentives, and other provisions intended to help companies tackle climate change, increase investments in renewable energy, and enhance energy efficiency.
What are the most common ways that companies are planning to take advantage of the Act? What provisions does the Act have that might benefit companies that are not in the energy industry? Heather Horn was joined by Matt Haskins, PwC principal, to unpack these questions and provide the latest updates on the IRS’ guidance process.
In this episode, you’ll hear discussion of:
- 2:45 - The IRA’s key ESG-related provisions
- 5:35 - Updates on IRS guidance on the IRA
- 14:05 - Manufacturing investment tax credits and the application process
- 22:15 - Areas to consider to navigate the IRA effectively
- 26:40 - How new methods of data modeling allow companies to assess when they may qualify for incentives
- 32:25 - How the market is contemplating transactions for direct pay and transferable tax credits
Looking for more information on the Inflation Reduction Act? Check out our previous podcast on ESG incentives in the Inflation Reduction Act.
Matt Haskins is a principal in PwC’s Washington National Tax Services, where he leads the firm's Cleantech tax practice, focusing on renewable energy financing and M&A transactions. In addition to writing and speaking on issues in the renewable energy industry, Matt has co-chaired the energy and environmental taxes working group for the US Council on International Business and served as a delegate for key energy initiatives of the Organization for Economic Cooperation and Development.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Every Tuesday in February, Andreas Ohl, PwC’s Global ESG Technical Leader, will be taking over the podcast and talking all about one of a company’s most valuable intangible assets, human capital. He will discuss what it is and why it matters, how it’s treated in financial and ESG reporting, and how its value is reflected in deals.
In this episode, Heather Horn and Andreas are joined by Sheri Wyatt, a PwC sustainability specialist, to discuss how we are seeing companies communicate the value of human capital through ESG reporting.
In this episode, you’ll hear discussion of:
- 7:24 - Best practices in ESG reporting today
- 11:49 - The importance of using metrics that are tied to value creation in ESG reporting on human capital
- 18:16 - How ESG reporting may bridge the gap in financial reporting (because this investment may not be on balance sheet)
- 23:32 - Insights on human capital disclosures reported under the SEC’s current rule
- 28:30 - Expectations on the future of human capital reporting considering proposals from the ISSB and EFRAG (CSRD) and the expected proposal from the SEC
- 39:15 - Challenges and opportunities for companies in communicating the value of their workforce
Listen to earlier episodes in this series on the impact of recent demographic trends on the investment in human capital and how a company’s largest asset may not be on balance sheet. And stay tuned for one more episode in the series.
Andreas Ohl is a partner in PwC's National Office focused on thought leadership, standard setting, and mergers and acquisitions under US GAAP and IFRS. In addition to his US responsibilities, he leads the sustainability topic team for the PwC global network. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's in-process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
Sheri Wyatt is a partner in PwC’s Deals practice and a sustainability specialist who helps clients execute on their ESG reporting strategies, including how to navigate the evolving regulatory landscape both in the US and abroad. She has over 20 years of experience advising companies on the adoption of new accounting and financial reporting standards, from assessing current state through operationalizing compliance with new standards and policies.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
At the recent annual meeting of the World Economic Forum (WEF) in Davos, PwC and the WEF jointly released a report about critical moves businesses can take to prepare for risks and take advantage of opportunities in climate change adaptation (the process of preparing for, preventing, and mitigating the worst impacts of climate change).
Heather Horn was joined by Emma Cox, PwC’s Global Climate Leader, to discuss some of the key themes that came out of both our white paper as well as the 2023 annual WEF meeting, which Emma attended alongside world leaders.
In this episode, you’ll hear discussion of:
- 4:50 - How climate commitments – and progress toward them – have evolved since the 2015 Paris Agreement
- 12:17 - Managing competing sustainability agendas
- 20:50 - Climate adaptation: definitions and key actions businesses can take
- 31:06 - Who will pay for adaptation
- 31:39 - How measurement and disclosure of sustainability progress has evolved
- 50:13 - Final advice for companies working to optimize their climate agenda
Looking for more information on climate adaptation? Check out our white paper on Accelerating business action on climate change adaptation.
Emma Cox is PwC’s Global Climate Leader, driving the delivery of our client-focused global climate strategy. In addition to previously serving as PwC UK’s Head of Purpose, Emma also led its Sustainability and Climate Change practice, with a team of sustainability and climate change specialists advising public and private sector clients in the UK and internationally on sustainability, development, urbanization, and climate change-related issues.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Every Tuesday in February, Andreas Ohl, PwC’s Global ESG Technical Leader, will be taking over the podcast and talking all about a company’s most valuable intangible asset, human capital. He will discuss what it is and why it matters, how it’s treated in financial and ESG reporting, and how its value is reflected in deals.
In this episode, Heather Horn and Andreas discuss the current financial reporting landscape when it comes to human capital.
In this episode, you’ll hear discussion of:
- 1:35 - How human capital is largely shown as an expense in the external financial statements
- 6:15 - Insights on how internal reporting can help companies measure the return on their investment in human capital
- 11:55 - The disconnect that may exist between a company’s market value and book value
- 15:58 - Why this intangible asset is generally not on the balance sheet today
- 28:20 - What companies and standard setters can do to give better insights into the value of human capital
Listen to the earlier episode in this series on the impact of recent demographic trends on the investment in human capital, and stay tuned for more episodes in the series. Also read our point of view publication on making intangibles count.
Andreas Ohl is a partner in PwC's National Office focused on thought leadership, standard setting, and mergers and acquisitions under US GAAP and IFRS. In addition to his US responsibilities, he leads the sustainability topic team for the PwC global network. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's in-process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The Task Force for Climate Related Financial Disclosures (TCFD) framework underpins each of the “big 3" sustainability disclosure proposals issued in 2022. But before it was incorporated in any of these proposals, TCFD was a heavyweight in its own right in terms of the breadth of its adoption. How did TCFD become what it is today?
Heather Horn was joined by Jon Williams, PwC partner and TCFD member, to unpack the history of the TCFD and look ahead to how the framework may continue to shape sustainability reporting in the future.
In this episode, you’ll hear discussion of:
- 2:40 - The TCFD’s history and why it was initially formed
- 12:07 - How the TCFD works to achieve stakeholder consensus on its framework recommendations
- 16:10 - Updates on where adoption of the TCFD framework stands at five years from its founding
- 20:43 - Perspectives on how regulators are raising the bar on TCFD disclosures
- 24:35 - How the TCFD was designed to interact with other existing frameworks, including the Climate Disclosure Project (CDP)
- 29:53 - Updates on the TCFD’s work plan for 2023
- 36:55 - Advice for companies who will be subject to mandatory TCFD disclosures in the future
Looking for more information on TCFD reporting and scenario analysis? Check out our previous podcast on Leveraging TCFD for climate-related disclosures.
Jon Williams is a member of the TCFD and co-leads the PwC UK’s Sustainability & Climate Change practice. With over three decades of experience in sustainable finance and strategy, Jon focuses on issues relating to climate change, biodiversity, water, and poverty alleviation. His clients include financial institutions in both developed and developing economies as well as companies in the retail, consumer goods, healthcare, energy, and mining sectors.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Every Tuesday in February, Andreas Ohl, PwC’s Global ESG Technical Leader, will be taking over the podcast and talking all about a company’s most valuable intangible asset, human capital. He will discuss what it is and why it matters, how it’s treated in financial and ESG reporting, and how its value is reflected in deals.
To kick off the series, host Heather Horn and Andreas were joined by Zain Siddiqui, a senior economist with PwC Intelligence, to break down the macroeconomic and demographic trends leading to the scarcity of human capital seen today. They’ll also discuss how companies should think about human capital (perhaps differently than before) given these trends.
In this episode, you’ll hear discussion of:
- 2:27 - What led to the abundant labor supply of the last few decades
- 7:15 - The impact of COVID on the current labor force and the fundamental shift in worker preferences
- 12:43 - How these demographic trends impact economic growth
- 14:44 - How to create value for your business by viewing human capital as an investment and not an expenditure
- 25:17 - What investing in the workforce means for businesses
- 38:10 - Final advice when looking ahead
Stay tuned for upcoming podcasts in this series. Listen to our previous podcast with PwC Intelligence for a broader geopolitical and macroeconomic update.
Andreas Ohl is a partner in PwC's National Office focused on thought leadership, standard setting, and mergers and acquisitions under US GAAP and IFRS. In addition to his US responsibilities, he leads the sustainability topic team for the PwC global network. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's in-process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
Zain Siddiqui is a senior economist for PwC Intelligence with a specialty in macroeconomics and finance. He advises stakeholders and clients on the business implications of emerging macro and geopolitical vulnerabilities, and helps them shape business strategy. His research has appeared in books on international economic policy and macroeconomic journals.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In this episode, PwC partners Chris Rhodes and Andreas Ohl join us to discuss our 2023 deals outlook and related accounting considerations. Included are insights on how dealmakers are thinking about value creation as they navigate macroeconomic uncertainties and what finance teams need to know as deals are happening.
In this episode, you’ll hear discussion of:
- 1:21 - The current deals landscape and outlook for 2023
- 9:30 - Headwinds facing the deals market from the current macroeconomic and geopolitical environment
- 14:12 - Accounting considerations for deal transactions in this type of macroeconomic environment
- 28:36 - How successful dealmakers still find opportunities in divestitures
- 33:58 - Final advice for companies considering deals in 2023
Want to learn more about the 2023 deals outlook? Watch a replay of our webcast or read our report. And for more on accounting considerations, listen to previous podcasts on impairment accounting, including one on impairment of goodwill and other intangibles.
Chris Rhodes is a partner in PwC's Deals practice. He provides commercial structuring, valuation, and accounting advice for a variety of transactions under both US GAAP and IFRS. He concentrates on delivering strategic transactions such as acquisitions, divestitures, and joint ventures, along with capital raising, capital restructuring, and other financial engineering, including risk management.
Andreas Ohl is a partner in PwC's National Office focused on thought leadership, standard setting, and mergers and acquisitions under US GAAP and IFRS. In addition to his US responsibilities, he leads the sustainability topic team for the PwC global network. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's in-process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
PwC’s 26th annual global CEO survey came out last month, and the data revealed that CEOs are facing a dual imperative in today’s uncertain environment to not only reduce costs, but also to spur growth. Businesses are facing uncertainty, and exploring options to shore up and prepare for the future. Activities may include reducing operating costs, diversifying products and services, raising prices, and implementing hiring freezes.
So which of all of these options is best for your company? Heather Horn was joined by Bhushan Sethi, PwC Strategy& partner, to discuss how finance teams can work to help their businesses weather storms in the near term, while still preparing for longer term success.
In this episode, you will hear:
- 1:59 - How macroeconomic forces have shaped CEO sentiment and optimism over the last year
- 9:03 - The impact of stakeholder capitalism on informing companies’ decisions about strategy and investments in the current downturn
- 12:01 - How businesses balance short-term performance with long-term resilience
- 20:30 - Labor market updates, and how worker preferences are evolving
- 28:19 - How companies are embracing growth in spite of near-term challenges by diversifying products and services and leveraging technology
- 32:37 - Looking ahead five to ten years: what successful companies are doing now to prepare for changes in demographics, business models, and trends in globalization
Want to hear more perspectives from our latest Global CEO Survey? Check out our summary of the survey results.
Bhushan Sethi is a partner in Strategy&, PwC’s strategy consulting business, where he’s focused on Business and Organization Transformation. Bhushan is a thought leader, public speaker, media spokesperson, and influencer on "future of work,” risk culture, workforce strategy, employee experience, and diversity & inclusion.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
The SEC’s sweeping climate-related disclosure proposal released in March 2022 continues to be a focal point for companies and investors as stakeholders anticipate what may be included in the final release, and perhaps even more importantly, when the new rules will go into effect. Notwithstanding this pending proposal, registrants need to ensure that the SEC’s existing long-standing climate-related disclosure requirements are fully embraced in the upcoming reporting cycle.
In this episode, Heather Horn, host of our podcast series, brings you an audio version of our publication that analyzes climate disclosures in the most recent annual SEC filings from the S&P 100. In this audio recording, you’ll hear:
- 1:16 - A recap of current climate disclosure requirements
- 3:42 - An overview of our analysis of the climate disclosures of the S&P 100
- 5:54 - The six topics we identified as recurrent themes across climate disclosures
- 9:53 - A summary of the prevalence of disclosures regarding climate-related targets and goals
- 12:30 - Reminders on the importance of preparing 2023 filings with the SEC’s focus on climate in mind
Refer also to the print version, Today's SEC climate disclosures - how do you measure up?. Also, register for our Q1 2023 Quarterly ESG webcast on February 16 or March 1, 2023.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our Year-end toolkit series, our guests discuss key areas of the year-end reporting process – from closing the books to finalizing reports.
In this episode, Heather Horn was joined by Gary Berchowitz, a leader in PwC’s Global Assurance Quality - Corporate Reporting Services group, to discuss the challenges and judgments needed under IFRS with regard to many of the hot button topics that we’ve been discussing in this series: Russia / Ukraine, inflation, and others key areas driven by today’s current environment.
In this episode, you’ll hear discussion of:
- 1:40 - The impact of inflation and higher interest rates on asset valuations, income statement presentation, and other accounting topics
- 11:33 - How to contemplate climate-related risks under IFRS, and the importance of bridging sustainability commitments and financial impact for investors
- 18:14 - Russia, Ukraine, and accounting for uncertainty more broadly
- 22:35 - Considerations for non-insurers with regard to the new insurance guidance, IFRS 17
- 26:10 - Updates on the OECD’s Pillar 2 global minimum tax proposal and the proposed deferred tax accommodations from the IASB
- 31:32 - The importance of updating processes to adjust to the current environment
- 32:41 - IASB standard setting expected in 2023
Check out other episodes of our Year-end toolkit series: Managing materiality assessments and Accounting reminders for uncertain times.
Gary Berchowitz is the Non-Financial Instruments Leader in PwC’s Global Assurance Quality - Corporate Reporting Services group. Gary brings nearly 20 years of financial accounting experience, working to drive quality and connectivity throughout the PwC network and help local teams solve complex accounting issues in a practical way. Gary contributes to the firm’s global view on a variety of financial reporting matters.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com
In each episode of our Year-end toolkit series, our guests discuss key areas of the year-end reporting process – from closing the books to finalizing reports.
In this episode, Heather Horn was joined by Stephen Parker, a partner in PwC’s Governance Insights Center, to discuss the ways that finance teams can effectively communicate with those charged with governance – and for 2022, it’s all about timely discussions that are responsive to the current environment.
In this episode, you’ll hear discussion of:
- 1:51 - The core oversight responsibilities of audit committees
- 6:41 - The key issues that finance teams need to be sure they cover in their next audit committee meetings
- 16:58 - Preparing to effectively address ESG reporting questions
- 20:55 - For directors: the importance of being proactive about sustainability disclosures and the impact of ESG matters on the business
- 32:24 - Best practices for facilitating an audit committee meeting
- 35:43 - Final advice for both directors and finance teams
Check out other episodes of our Year-end toolkit series, available in our library, including making materiality assessments and some important accounting reminders for uncertain times.
Stephen Parker is a partner in PwC’s Governance Insights Center, which strives to strengthen the connection between directors, executive teams, and investors by helping them navigate the evolving governance landscape. With more than 30 years of experience, Stephen has advised boards of directors on a variety of complex financial reporting matters. Stephen’s client service experience includes energy and utility companies, financial services companies, and nonprofits.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The International Sustainability Standards Board (ISSB) has been working quickly through deliberations on its proposals to create a comprehensive global baseline of sustainability disclosures.
Since we last covered the ISSB’s deliberations in October 2022, the Board has met four more times for redeliberations on draft standards – and each meeting was chock full of action. This week, Heather Horn was joined by Andreas Ohl and Katie Woods to unpack the dialogue and tentative decisions reached within these meetings.
In this episode, our guests discuss:
- 1:42 - The status of the ISSB exposure drafts and progress toward finalization
- 8:27 - An overview of discussions at recent ISSB meetings
- 13:30 - How estimates may be handled in sustainability reporting
- 17:05 - Consistency of timelines between financial and sustainability reporting
- 22:21 - Clarifications the ISSB is considering on the concept of enterprise value
- 32:44 - Climate-related disclosures, including GHG intensity measures
- 42:46 - Other topics proposed for future standard-setting consideration
Looking for more information on the ISSB and ESG reporting? Check out our previous podcast on responses to the ISSB exposure drafts, as well as our In the loop on navigating the ESG landscape.
Andreas Ohl is a partner in PwC's National Office focused on thought leadership, standard setting, and mergers and acquisitions under US GAAP and IFRS. In addition to his US responsibilities, he leads the sustainability topic team for the PwC global network. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's in-process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
Katie Woods is a Director in PwC's Global Accounting Consulting Services group and advises on ESG and International accounting standards. Katie specializes in the new and emerging ESG reporting frameworks working across the PwC Network. She has over 30 years of experience working with a broad range of companies. Katie speaks regularly on a range of ESG and accounting topics at national and international seminars.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our Year-end toolkit series, our guests discuss key areas of the year-end reporting process – from closing the books to finalizing reports.
In this episode, PwC’s US Trust Solutions Quality Management leader, Michael Mullen, joins us to share his expertise managing materiality judgments and to provide insights into recent SEC activity related to materiality.
In this episode, you’ll hear discussion of:
- 1:45 - The principle and purpose of the SEC staff’s accounting bulletin on materiality (SAB 99)
- 5:13 - Recent SEC statements on materiality and the importance of an objective, unbiased assessment
- 10:04 - The need for a thoughtful and documented assessment of materiality before identifying an error
- 15:54 - The impact of the current macroeconomic environment on the assessment of fraud risk by management and auditors
- 23:44 - SEC enforcement actions and expected impact of the SEC’s new compensation clawback rules
- 31:51 - Final advice and reminders for year-end materiality assessments
Check out other episodes of our Year-end toolkit series, available in our library. And listen to another podcast with Michael that takes a deeper dive on the process of making materiality assessments.
Michael Mullen is PwC’s US Trust Solutions Quality Management leader. In this role, he oversees complex client issues, providing technical insights and expertise in support of overall quality. With over 30 years of client service experience, Michael has led numerous global client engagements.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our Year-end toolkit series, our guests discuss key areas of the year-end reporting process – from closing the books to finalizing reports.
In this episode, PwC National Office director Suzanne Stephani joins us to discuss the most timely issues preparers face on the statement of cash flows, focusing on the transactions and topics that are arising more frequently in today’s macroeconomic environment.
In this episode, you will hear reminders on the cash flow treatment of:
- 1:43 - Factoring of accounts receivable
- 8:42 - Supplier finance programs
- 12:51 - Cash equivalents, including Treasury Bills, commercial paper, and money market funds
- 18:52 - Foreign currency matters
- 27:51 - Discontinued operations
- 29:38 - Business combinations
Stay tuned for the next episode in our Year-end toolkit series. For more of our previous content on the statement of cash flows, check out Statement of cash flows: Back to basics and Building your cash flow statement in uncertain times.
Suzanne Stephani is a director in PwC’s National Office specializing in the statement of cash flows, as well as the application and interpretation of the accounting guidance related to financing and leasing transactions.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our Year-end toolkit series, our guests discuss key areas of the year-end reporting process.
In this episode, PwC partner Jennifer Spang joins us to discuss year-end income tax accounting reminders and what you need to know about recent tax law changes and standard setting activity.
In this episode, you will hear reminders on:
- 1:12 - Valuation allowances and the pressure on realizability from rising interest rates
- 5:42 - Goodwill impairment and the simultaneous equation
- 8:08 - Tax law changes, including proposed foreign tax credit regulations
- 13:02 - Developments related to the OECD’s Pillar II framework
- 17:29 - The Inflation Reduction Act and what it means for 2023 reporting
- 27:31 - Standard setting developments, including the upcoming Exposure Draft on the FASB’s income tax disclosure project
- 36:06 - Final advice for year-end reporting and the importance of staying in front of tax law changes
Stay tuned for the next episode in our Year-end toolkit series. Listen to previous podcasts in our Tax toolkit seriesin which we discuss valuation allowances and uncertain tax positions. For more information read our summary of accounting considerations in uncertain times, our summary of Pillar II, and our Income taxesguide. In addition, check out our Financial statement presentation guide for information on the presentation and disclosure of income taxes.
Jennifer Spang is a partner in PwC’s National Office who serves as the income tax accounting leader, specializing in tax accounting under US GAAP and IFRS. She has over 25 years of experience helping companies in a variety of industries navigate complex tax accounting matters.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our Year-end toolkit series, our guests discuss key areas of the year-end reporting process.
In this episode, PwC National Office leaders join us to discuss what is top of mind for each of them on year-end reporting, including the impact of macroeconomic and geopolitical events.
In this episode, you will hear reminders on:
- 1:39 - Rising interest rates and their influence on nonfinancial asset impairment and debt modifications
- 13:36 - The effect of market volatility on debt and equity investments and stock compensation
- 23:30 - The impact of inflation on revenue and inventory accounting
- 29:59 - The importance of robust disclosures related to macroeconomic events
- 33:49 - The effect of supply chain disruptions on the business
- 39:09 - Accounting issues that arise in business or asset dispositions as well as restructurings amid recession concerns
- 51:15 - Assessing subsequent events
Stay tuned for the next episode in our Year-end toolkit series. Listen to our previous 2022 SEC comment letter podcast series for more insights related to SEC reporting, including comments letter trends related to current events, and our previous impairment toolkit podcast series, including financial and nonfinancial asset impairment.
Beth Paul is a Deputy Chief Accountant in PwC’s National Office responsible for a team of consultants that specialize in business combinations and related areas, such as consolidations, disposals, impairments, and segment reporting.
Bret Dooley is a Deputy Chief Accountant in PwC’s National Office and the financial instruments accounting leader. He has over 25 years of experience specializing in the financial services, banking, and capital markets industries. Bret focuses on emerging financial reporting issues relating to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters.
Pat Durbin is a Deputy Chief Accountant, leading the revenue and liabilities division in PwC’s National Office. He has over 30 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.
Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our Year-end toolkit series, our guests discuss key areas of the year-end reporting process.
PwC National Quality Organization leader, Tim Carey, joins us this week to kick off the series with his advice on dealing with the impact of broad macroeconomic issues, resolving complex technical issues, and staying ahead of the curve on the year-end close.
In this episode, our guests will discuss:
- 4:54 - Where to focus efforts for this year end
- 16:15 - How to prepare for unexpected or unusual items
- 20:21 - The importance of re-assessing the adequacy of MD&A disclosures
- 22:50 - Why connecting the dots across functions is critical for managing issues
- 31:54 - How to best manage the time between earnings release and filings
- 36:25 - Best practices for dealing with last minute issues and changes
- 39:07 - Tim’s recommendations for managing resources and promoting team success
Stay tuned for upcoming podcasts in our Year-end toolkit series and listen to our Q4 2022 Quarter close for further insights on the latest accounting, financial reporting, and regulatory updates to support year-end reporting. And for more information on presentation and disclosure requirements, check out our Financial statement presentation guide.
Tim Carey is PwC’s National Quality Organization leader, with 30+ years experience in complex accounting, tax and reporting issues. Tim has led large-scale teams on a wide range of projects including financial statement audits, transaction structuring, financial due diligence, and post-merger integration.
Heather Horn is PwC’s National Quality Organization thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
This month, PwC released its 2022 Global Investor Survey, covering a range of topics from investor priorities to the continued focus on ESG. In this week’s special episode, Heather Horn was joined by Hilary Eastman, PwC’s Head of Global Investor Engagement, to unpack the survey’s findings, including key areas of focus of those who invest in US companies.
In this episode, our guests discuss:
- 1:54 - The objectives of the 2022 investor survey and background on the population of investors included
- 7:54 - What investors view as their top priorities in selecting investments
- 11:04 - The top threats investors believe will affect profitability in the near term
- 13:06 - Investor views on companies’ effectiveness in addressing and reporting on their top priorities
- 19:10 - Why ESG continues to be a key area of focus
- 26:58 - The factors that drive investor confidence in sustainability reporting
- 33:42 - Next steps for listeners as they consider the investor survey results
For more information on proposed ESG rules, read our In the loop, ESG reporting: Preparing for tomorrow's rules today.Hilary Eastman leads global investor engagement at PwC and has extensive experience advising on ESG reporting strategy. She manages the firm’s relationships with the investment community in the UK and globally. In her role, Hilary works with investors and analysts to get their views on a variety of corporate reporting and governance matters to help companies improve their reporting to the capital markets.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The 2022 AICPA & CIMA Conference on Current SEC and PCAOB Developments included representatives from the SEC, PCAOB, FASB, IASB, and other market participants. Speakers provided deep dives into regulations and standards, insights on SEC areas of focus, and more.
Heather Horn was joined by Angela Fergason and Kyle Moffatt, National Office partners, to discuss highlights and takeaways from this year’s Conference.
In this episode, you’ll hear discussion of:
- 1:01 - Top themes emerging from the Conference
- 10:53 - SEC staff perspectives shared at the Conference on how companies can enhance transparency
- 18:33 - SEC staff comments on non-GAAP and an announcement of new guidance on these measures
- 25:54 - The increased focus on cryptocurrency at the Conference
- 34:20 - ESG takeaways from the Conference and our guests’ anticipated timing for the final climate rule
- 39:43 - Key takeaways for companies going into the year-end reporting season
Want to learn more about the SEC’s areas of focus? Read our publication summarizing the Conference, and listen to our 2022 SEC comment letter trends podcast series.
Angela Fergason is a partner in PwC's National Office with over 20 years of experience who specializes in accounting for revenue and employee compensation arrangements. She also consults on a range of financial reporting issues impacting technology companies. Angela is a frequent speaker on accounting and financial reporting topics and is a contributor to many PwC National Office publications, including our accounting guides on revenue and stock-based compensation.
Kyle Moffatt is a partner in PwC's National Office where he consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our 2022 SEC comment letter trends series, our guests bring you the latest themes in comment letters from the SEC’s Division of Corporation Finance.
To conclude the series, this week Heather Horn sat down with Pete Driscoll, a partner in PwC’s National Office, to discuss trends noted in SEC enforcement actions this year, including the increase in cases related to topics on the SEC’s current agenda, such as ESG and cybersecurity.
In this episode, you’ll hear discussion of:
- 1:43 - An overview of the SEC enforcement division and its current priorities
- 4:43 - Noteworthy enforcement actions related to ESG
- 8:56 - Cases based on false and misleading claims and the types of monetary or disgorgement penalties issued
- 15:05 - The continuing enforcement of traditional cases against issuers, including restatements and cases for inaccurate books and records
- 19:57 - Recent SEC proposals (covered in our publication, SEC proposes new cybersecurity disclosure requirements) and enforcement actions related to cybersecurity
- 21:47 - Advice for listeners as they prepare for year-end reporting
Want to learn more? Check out our analysis of SEC comment letter trends. For additional information on recent enforcement actions, read our alert on the delay in enforcement on Rule 144A securities and listen to our podcast on the 2022 AICPA SEC Conference.
Pete Driscoll is a partner in PwC’s National Office focusing on SEC regulations, reporting, and compliance. Prior to his role at PwC, Pete held several roles at the SEC, including Director of the Division of Examinations and Chief Risk and Strategy Officer.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
On November 22, 2022, EFRAG submitted a draft European Sustainability Reporting Standards (ESRS) to the European Commission. In this week’s special episode, Heather Horn was joined by Emily Kirsch to discuss the latest CSRD developments and how CSRD compares to other climate proposals.
In this episode, our guests discuss:
- 1:36 - An update on recent political developments and changes in the draft proposal
- 6:17 - How companies are preparing for the current proposed requirements
- 9:25 - A refresher on the requirements and topics in scope of the European sustainability reporting standards
- 16:35 - Core requirements of the ESRS climate change draft standard and how it compares to the SEC and ISSB climate proposals
- 19:54 - How EFRAG is addressing equivalency and interoperability with other draft ESG reporting requirements
- 22:58 - Recommendations for companies preparing for a final effective rule
For more information on the proposed rule, see our In brief on the submission of the draft ESRS and listen to the audio version of our C-suite summary providing background on the CSRD.
Emily Kirsch is a director in PwC's National Office focused on ESG thought leadership and standard setting. She has more than 12 years of experience advising both public and private companies in navigating complex accounting and financial reporting topics during periods of change in an organization.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In the fourth quarter 2022 edition of The quarter close, we provide timely reminders on topics that should be top of mind this year end. We also help you navigate the financial reporting impact of various cost-cutting measures put in motion by the current economic environment. Lastly, we provide the latest on global ESG reporting proposals and the FASB’s standard-setting activities. Listen to The quarter close for these and other relevant accounting and reporting topics you should consider as 2022 comes to a close.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our 2022 SEC comment letter trends series, our guests bring you the latest themes in comment letters from the SEC’s Division of Corporation Finance.
This week, Heather Horn was joined by PwC partner Pat Durbin to discuss emerging comment letter trends related to current macroeconomic and geopolitical events.
In this episode you’ll hear discussion of:
- 1:35 - An overview of the current events trending in recent SEC staff comments
- 4:16 - The importance of consistency of information across filed information and other investor communications
- 6:43 - Key economic drivers companies should consider in the context of their business and sufficiency of quantitative and qualitative disclosures
- 9:44 - The impacts of supply chain disruptions and common SEC staff comments
- 11:56 - Material risks resulting from inflation and trending SEC staff comments including on a company’s outlook
- 13:58 - How rising interest rates affect companies and what the SEC staff is commenting on
- 17:38 - The areas of focus in the “Dear CFO” sample letter related to the Russia-Ukraine war
- 20:10 - Advice for companies as they look ahead to year end
Want to learn more? Check out our analysis of SEC comment letter trends and stay tuned for more episodes in the series. For further information on the impact of recent current events, listen to our Q3 2022 economic and geopolitical update podcast and read our In depth on accounting in uncertain economic times.
Pat Durbin is a Deputy Chief Accountant, leading the revenue and liabilities division in PwC’s National Office. He has over 30 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The SEC climate disclosure proposal continues to be a key topic of conversation as companies work through readiness assessments and contemplate process implementations.
This week, Heather Horn was joined by Valerie Wieman, a partner in PwC’s National Office, to revisit the proposal and talk through some of the most frequently asked questions we receive.
In this episode, you’ll hear them discuss:
- 1:49 - The level of granularity called for in the proposed Regulation S-K disclosures by location
- 4:38 - The proposed disclosure requirements for board member oversight and climate expertise
- 8:38 - What companies need to disclose when adopting a transition plan if climate risks are not material
- 10:34 - How the GHG Protocol and the SEC proposal call for different boundaries
- 16:07 - How companies should report GHG emissions for less than wholly-owned consolidated subsidiaries (whether existing or newly-acquired)
- 22:24 - The disclosure requirements for Scope 3 emissions by category
- 24:05 - Severe weather baselines in financial statement disclosures and the prohibition of climate impact netting
- 27:44 - How to assess what to disclose as a transition activity cost
Want to learn more about the SEC’s climate disclosure proposal? Listen to the audio version of our In the loop summarizing the key requirements, and read PwC’s comments on the proposal.
Valerie Wieman is PwC’s National Office Editor-in-chief. She is involved in the creation, development, and publication of our brand-defining thought leadership, with a focus on ESG reporting. Prior to this role, she was part of PwC’s National Office SEC Services group, helping clients navigate SEC rules and regulations.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our 2022 SEC comment letter trends series, our guests bring you the latest themes in comment letters from the SEC’s Division of Corporation Finance.
Kyle Moffatt, PwC National Office partner, is back in the guest seat with our host, Heather Horn, to share key insights on the #1 top SEC comment letter trend in 2022, MD&A.
In this episode you’ll hear discussion of:
- 1:27 - The impact of changes to MD&A guidance
- 8:01 - The types of MD&A comments registrants are receiving
- 11:45 - Who should be involved in telling a company’s story in MD&A
- 14:56 - How the SEC's priorities influence comments in this area
- 19:41 - The importance of company compliance with the overarching principles of MD&A
- 24:20 - How emerging trends are impacting comment letters
- 33:12 - Advice for companies as they prepare their year-end filings
Want to learn more? Check out our analysis of SEC comment letter trends and stay tuned for more episodes in the series. For more information on the SEC’s disclosure requirements pertaining to MD&A, check out our In depth on the amended rules and Topic 9 of the SEC’s Financial Reporting Manual.
Kyle Moffatt is a partner in PwC's National Office where he consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In this week's special episode, we cover some key takeaways coming out of the 2022 midterm elections. Host Heather Horn sat down with Michael O’Brien of PwC’s Office of Government, Regulatory Affairs, & Public Policy group to discuss how the midterm election outcomes may impact companies and what we can expect from Congress over the next two years.
In this episode you’ll hear:
- 1:40 - An overview of the outcome of the midterm elections
- 7:40 - The impact of a split Congress on President Biden’s legislative agenda
- 13:42 - The key points companies should be aware of regarding the outcomes of state elections
- 18:13 - What the results of the midterm elections mean for the SEC and PCAOB’s agendas
- 22:12 - Background on the upcoming Congressional leadership elections and their influence on future legislation
- 28:44 - Ways President Biden might accomplish his agenda with a split Congress over the next two years
- 35:28 - What to expect from the “lame duck” Congress over the next month
- 40:33 - Advice for companies as they navigate the current period of uncertainty
Want to learn more about recent federal actions? Check out our podcast episode on the US government’s proposal on federal contractor climate disclosures.
Michael O’Brien is a Managing Director in the Office of Government, Regulatory Affairs & Public Policy. In his current role, Michael represents the firm and its interests before Congress, the Executive Branch, and Federal regulatory agencies. He has represented the firm on matters related to the implementation of Sarbanes-Oxley and Dodd-Frank, state and federal taxation, and litigation reform.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our 2022 SEC comment letter trends series, our guests bring you the latest themes in comment letters from the SEC’s Division of Corporation Finance.
This week, Heather Horn sat down with Kyle Moffatt, a partner in PwC’s National Office, to discuss the SEC staff’s continued focus on non-GAAP measures and trending comment letter themes.
In this episode you’ll hear discussion of:
- 1:15 - What non-GAAP measures are and how registrants use them
- 6:41 - The challenges and judgments associated with non-GAAP measures
- 9:32 - How the focus of the current SEC administration impacts the type and volume of comment letters
- 12:03 - The top non-GAAP comment letter trends and the importance of continuously reassessing these measures
- 20:58 - The interaction of current macroeconomic events and non-GAAP measures
- 27:34 - What companies should focus on when looking ahead to year-end reporting
- 31:12 - Final advice when responding to SEC staff comments on non-GAAP measures
Want to learn more? Check out our analysis of SEC comment letter trends and stay tuned for more episodes in the series. For further information on non-GAAP measures with respect to business and market disruptions, take a look at the SEC Division of Corporate Finance’s guidance on disclosure considerations related to COVID-19.
Kyle Moffatt is a partner in PwC's National Office where he consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
This month, the US federal government proposed a rule requiring government contractors to provide certain climate disclosures. In this week’s special episode, Heather Horn was joined by Valerie Wieman to discuss who the rule affects and what the key disclosure requirements are.
In this episode, our guests discuss:
- 1:37 - An overview and history behind the proposed rule
- 4:45 - Certains exemptions to the proposed disclosure requirements
- 7:44 - The scope 1 and scope 2 GHG emission requirements for all contractors subject to the proposed rule
- 9:17 - The additional requirements for “major” contractors, including climate-related financial risk factors and science-based greenhouse gas reduction targets
- 15:23 - When the federal government expects compliance with the proposed rule
- 17:00 - How this federal proposal compares to the SEC proposal
- 18:45 - Timeline for comments and initial PwC thoughts on the proposed rule
For more information on the proposed rule, see our In brief, GHG and climate risk disclosures proposed for federal contractors.
Valerie Wieman is PwC’s National Office Editor-in-chief. She is involved in the creation, development, and publication of our brand-defining thought leadership, with a focus on ESG reporting. Prior to this role, she was part of PwC’s National Office SEC Services group, helping clients navigate SEC rules and regulations.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our 2022 SEC comment letter trends series, our guests bring you the latest themes in comment letters from the SEC’s Division of Corporation Finance.
This week, Heather Horn was joined by Valerie Wieman, a partner in PwC’s National Office, to discuss a brand new comment letter trend in 2022: climate change disclosures. Given the SEC’s ESG-focused agenda, it is not a surprise that climate takes the #3 spot on our list of top comment letter trends.
In this episode you’ll hear discussion of:
- 0:56 - The history of the SEC’s focus on climate change and the issuance of the “Dear Issuer” letter of sample comments
- 3:57 - The existing 2010 SEC interpretive guidance on climate disclosures
- 8:58 - Specific examples of the types of comments frequently issued
- 11:53 - Lessons learned from registrant responses to the first round of staff comment letters
- 15:18 - The importance of focusing on the 2010 interpretive guidance until the SEC’s proposed climate disclosure rule is final
- 17:56 - Val’s final advice for year-end reporting
Want to learn more? Check out our analysis of SEC comment letter trends and stay tuned for more episodes in the series. For more information on the SEC’s disclosure requirements pertaining to climate, read Don’t wait until the SEC staff asks you about climate change or listen to the audio version. To learn more about the SEC’s proposed climate disclosure requirements, listen to our podcast on the main provisions of the proposal.
Valerie Wieman is PwC’s National Office Editor-in-chief. She is involved in the creation, development, and publication of our brand-defining thought leadership, with a focus on ESG reporting. Prior to this role, she was part of PwC’s National Office SEC Services group, helping clients navigate SEC rules and regulations.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Regulators and standard setters around the world have proposed new disclosure requirements triggered by investor demand and, in some cases, designed to inspire efforts to combat climate change. The ESG reporting landscape is dominated by the “big three” proposals released this year: in the European Union (EU) as part of the Corporate Sustainability Reporting Directive (CSRD), internationally by the International Sustainability Standards Board (ISSB), and in the United States by the SEC.
Nearly all public companies are expected to be subject to one or more of these rules, and some may be impacted by all three. Private companies are also likely to need to report in some form whether to investors with enhanced expectations, companies in their value chain, or perhaps mandatorily in jurisdictions like the EU. With final guidance around the corner, the big question is — what should companies be doing now?
In this episode, Heather Horn, host of our podcast series, brings you an audio version of theC-suite summaryon preparing for these rules. In this audio recording, you’ll hear why now is a good time for companies to:
- 3:42 - Assemble a cross functional team
- 5:52 - Understand and evaluate ESG reporting requirements
- 9:45 - Inventory existing climate disclosures and related data
- 12:30 - Create a plan to address gaps, and contemplate possible challenges and action items
- 18:24 - Understand what’s next in the implementation of the proposed rules
Refer also to the print version, ESG reporting: Preparing for tomorrow's rules today.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our 2022 SEC comment letter trends series, our guests bring you the latest themes in comment letters from the SEC’s Division of Corporation Finance.
This week, Heather Horn sat down with Jay Seliber, a partner in PwC’s National Office, to discuss key themes noted in segment reporting comment letters. Jay also shared his insights on some of the challenges companies face with segment reporting.
In this episode you’ll hear discussion of:
- 1:23 - The goal and approach of the segment reporting guidance
- 8:05 - Key themes in comment letters and why segment reporting continues to be an area of focus
- 14:59 - Specific examples of SEC staff comments and key considerations when aggregating operating segments
- 21:32 - SEC staff comments related to entity-wide disclosures and multiple performance measures
- 26:21 - FASB’s proposed changes to the segment guidance
- 32:26 - Jay’s final advice for segment reporting going into year-end
Want to learn more? Check out our analysis of SEC comment letter trends and stay tuned for more episodes in the series. For further information on segment disclosures, listen to our Full disclosure podcast and read through our Financial statement presentation guide chapter on segment reporting.
Jay Seliber is a partner in PwC’s National Office. He leverages over 30 years of experience to help clients with their most complex accounting matters, particularly in the areas of mergers and acquisitions, revenue recognition, stock compensation, earnings per share, employee benefits, restructurings, impairments, and financing transactions. Jay is presently PwC's representative on the FASB's Emerging Issues Task Force.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
ESG is a frequent topic of conversation across all industries; real estate is no exception – and it’s a space that impacts most companies, whether as an investor, or an occupant. Tune in this week to hear Heather Horn and Byron Carlock, PwC’s Real Estate practice leader, discuss current market trends and ESG strategy considerations in the real estate sector.
In this episode, our guests discuss:
- 1:46 - Interest rates, inflation, and other key market trends impacting the real estate sector
- 7:58 - Effects of the hybrid work model on companies’ real estate needs and office space transformation plans
- 10:12 - What landlords and tenants look to gain from ESG-focused imperatives
- 14:50 - How infrastructure can enable the environmental benefits of population density
- 19:14 - The lifestyle changes and zoning rule updates that are impacting the real estate industry
- 22:39 - New construction trends and office space strategy considerations at the C-suite level
- 37:32 - How the Inflation Reduction Act may impact the real estate sector
- 39:15 - Final thoughts on ESG and real estate
Want to learn more about developments in ESG? Listen to our Q4 2022 Quarterly ESG webcast, along with our previous podcast focused on ESG reporting within the real estate industry.
Byron Carlock is PwC’s US Real Estate Practice leader. He brings years of knowledge of and exposure to the various aspects of the real estate life cycle, including the capital markets, acquisitions, M&A, development, dispositions, and capital structuring.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our 2022 SEC comment letter trends series, our guests bring you the latest themes in comment letters from the SEC’s Division of Corporation Finance.
This week, Heather Horn sat down with Angela Fergason, a partner in PwC’s National Office, who shared her insights on the comments on the top line of the income statement, revenue, from the SEC staff to registrants this year.
In this episode you’ll hear discussion of:
- 1:24 - Trends noted in the volume and type of comments on revenue
- 6:04 - The increased focus on judgments made in disaggregated revenue disclosures
- 10:25 - Presentation of revenue and cost of revenue in the income statement
- 15:52 - The continued SEC staff focus on gross vs. net presentation and identification of performance obligations
- 19:52 - Comments on common industry-specific revenue arrangements
- 22:54 - Angela’s advice for listeners when looking ahead to year-end
Want to learn more? Check out our analysis of SEC comment letter trends and stay tuned for more episodes in the series. We also have episodes specific to revenue, such as our revenue toolkit podcast miniseries that goes step by step through the revenue recognition model.
Angela Fergason is a partner in PwC's National Office with over 20 years of experience who specializes in accounting for revenue and employee compensation arrangements. She also consults on a range of financial reporting issues impacting technology companies. Angela is a frequent speaker on accounting and financial reporting topics and is a contributor to many PwC National Office publications, including our accounting guides on revenue and stock-based compensation.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The US enacted the Sarbanes-Oxley Act of 2002 (SOX) two decades ago. In this special episode, host Heather Horn was joined by Wes Bricker, PwC’s Vice Chair and Trust Solutions Co-Leader for the US and Mexico, and Sandy Peters, the CFA Institute’s Senior Head of Global Advocacy, to reflect on how SOX has impacted the public company reporting ecosystem during that time, and what investors think of the regulatory framework.
In this episode, you will hear them discuss:
- 1:47 - What led to the enactment of SOX
- 9:52 - How management and auditor responsibilities have evolved since 2002
- 14:35 - The increasing importance of transparency for investors
- 21:51 - How SOX enhanced investors’ understanding of the financial reporting process
- 26:34 - How increased scrutiny over data, process, and controls resulted in increase investor confidence
- 36:49 - The evolution of ESG reporting and the importance of trust in ESG disclosures
- 49:25 - The future corporate reporting and importance of internal controls over nonfinancial and “pre-financial” data
Wes Bricker is PwC’s Vice Chair and Trust Solutions Co-Leader for the US and Mexico. In this role he oversees the largest Trust platform in the world, bringing together the firm’s combined Audit, ESG, Digital Assurance, and Tax Reporting capabilities to best help clients as they seek to build trust with their stakeholders. As co-leader, Wes is responsible for the quality of service, excellence in the work performed by over 21,000 partners and staff, developing diverse teams and driving innovation.
Sandy Peters is the Senior Head of Global Advocacy at the CFA Institute. In this role, she leads the advocacy and regulatory affairs global efforts, including corporate disclosures, financial reporting, accounting and ESG/sustainability. Sandy also serves as a CFA Institute spokesperson to key regulators and standard setters, and works with stakeholders in the policymaking process.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In March, the International Sustainability Standards Board (ISSB) released proposed disclosure standards for public comment. While not currently mandatory, when finalized, the standards are expected to form the basis for many jurisdictions’ sustainability reporting, and as such, could become mandatory for companies doing business in those jurisdictions. For this reason, companies who do business around the world will want to be watching the ISSB.
This week, Heather Horn was joined by Mardi McBrien, Director of Strategic Affairs at the IFRS Foundation, to share her insights on the ISSB’s mission and accomplishments so far. They also discuss what is next for global sustainability reporting.
In this episode, you will hear them discuss:
- 2:23 - Highlights of the ISSB’s formation and consolidation of other standard setters as well as their accomplishments in the past year
- 9:29 - How ESG reporting standards have evolved over the last decade
- 12:55 - How the Task Force on Climate-Related Financial Disclosures (TCFD) framework is a common thread among the “big three” ESG reporting proposals
- 19:17 - Why TCFD is an important framework from a financial reporting lens
- 31:22 - Key considerations for companies planning for future adoption of ISSB standards
- 40:37 - How the standard setting organizations that were consolidated into the ISSB serve its overall objectives
- 47:21 - Advice for companies as sustainability reporting continues to evolve
For more information on the ISSB and recent developments in ESG reporting, listen to our previous podcasts that provide background on the proposed ISSB standards and discussion of key themes from the response letters.
Mardi McBrien is the Director of Strategic Affairs at the IFRS Foundation responsible for sustainability reporting. In this role she has played an active part in setting up the ISSB. Prior to the IFRS Foundation, Mardi spent over a decade leading the global ESG standard setter, the Climate Disclosure Standards Board (CDSB), in developing quality disclosure standards and thought leadership on environmental and social issues.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our What’s trending in SEC comments series, our guests bring you the latest themes in comment letters from the SEC’s Division of Corporation Finance for the most common topical areas of the financial statements.
To kick off the series, this week Heather Horn sat down with Kyle Moffatt, a partner in PwC’s National Office, to provide an overview of the 2022 comment letter trends, insights into the key priorities of the SEC, and what we can expect to see in the future based on the SEC’s agenda.
In this episode you’ll hear discussion of:
- 1:41 - The SEC’s priorities and how they influence comment letters
- 10:38 - The top comment letter trends in 2022
- 16:03 - How companies should consider “Dear Issuer” letters in their year-end reporting
- 23:13 - The SEC staff’s approach to comment letters and what we expect in the near future
- 28:06 - The SEC staff’s comments in proxy statements
- 30:49 - Kyle’s advice for SEC registrants on what to do if they receive a comment letter
Want to learn more? Check out our analysis of SEC comment letter trends and stay tuned for more episodes in the series.
Kyle Moffatt is a partner in PwC's National Office where he consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The comment period has closed on the two sustainability reporting exposure drafts issued by the International Sustainability Standards Board (ISSB). What did respondents have to say on the proposals? This week, Heather Horn was joined by Andreas Ohl and Katie Woods to unpack the key themes in comment responses, and also to provide updates from the ISSB’s most recent board meeting.
In this episode, our guests discuss:
- 2:21 - An overview of the ISSB exposure drafts and their general reception by stakeholders
- 9:13 - Key recurrent themes from the response letters, including interoperability, greenwashing, and safe harbor provisions
- 18:55 - How organizational boundaries are delineated in the proposals
- 23:15 - Respondents’ views on greenwashing and the importance of ensuring that disclosures are not misunderstood
- 33:50 - A recap of the ISSB’s October 2022 meeting
- 42:17 - How changes in estimates pertaining to sustainability information may be treated under the proposals
- 46:20 - Suggestions for companies that will be implementing ISSB standards
Looking for more information on the ISSB and ESG reporting? Tune in to our previous podcast discussing the two exposure draftsand our In the loop on navigating the ESG landscape. Also see the Integrated Reporting Framework for further detail on potential value drivers in sustainability reporting. For a summary of the actions taken by the board at its October 2022 meeting, refer to the ISSB’s news release.
Andreas Ohl is a partner in PwC's National Office focused on thought leadership, standard setting, and mergers and acquisitions under US GAAP and IFRS. In addition to his US responsibilities, he leads the sustainability topic team for the PwC global network. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's in-process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
Katie Woods is a Director in PwC's Global Accounting Consulting Services group and advises on ESG and International accounting standards. Katie specializes in the new and emerging ESG reporting frameworks working across the PwC Network. She has over 30 years of experience working with a broad range of companies. Katie speaks regularly on a range of ESG and accounting topics at national and international seminars.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The current international tax landscape has been in place for decades. But now dramatic changes may be on the horizon. The Organisation for Economic Cooperation and Development (OECD), backed by countries around the world, has been pursuing a “Two-Pillar Solution” aimed at alleviating certain global tax challenges that it believes arose from the “digitalisation of the economy.”
This OECD two-pillar framework will significantly alter many international tax practices we follow today with a related impact on reported earnings. In preparation, all companies should begin to assess what the OECD’s proposed framework will mean to them.
In this episode, Heather Horn, partner in PwC’s National Office, brings you an audio version of ourIn the loopon the OECD framework.
In this podcast, you’ll hear:
- 1:01 - The OECD’s agenda and a description of the two-pillar proposal
- 6:45 - How a US company could be scoped into Pillar 2
- 8:51 - Key requirements of the Pillar 2 Model Rules
- 12:01 - How to account for “top-up taxes”
- 13:04 - What’s next in the implementation of the proposed rules
- 15:05 - A description of the key terms used in the framework
Refer also to the print version, The OECD minimum tax: What US companies need to know.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we are taking a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month, we are covering fixed assets – from acquisitions and capitalization to disposals.
In this episode, Heather Horn was joined by Reto Micheluzzi from PwC’s National Office to discuss asset disposals by sale and key judgments in assessing the held-for-sale criteria.
In this episode, you will hear:
- 1:09 - An overview of the six criteria that need to be met for held-for-sale classification
- 4:24 - Key judgments involved in assessing the criteria and potential exceptions to the rule
- 12:28 - Measurement complexities including the order of impairment testing
- 16:49 - Triggers that cause an asset to no longer be considered as held for sale
- 19:49 - Final reminder when classifying assets as held for sale
Want to learn more? Read our chapter on assets held for sale in our PP&E and other assets guide.
Reto Micheluzzi is a partner in PwC’s National Office with over 25 years of experience solving companies’ most complex accounting and financial reporting issues, creating a path through the dense regulatory framework and bodies of rules. He has a deep understanding of the demands associated with today’s accounting complexities and potential SEC reporting issues, primarily related to M&A, consolidation, reorganizations, and income taxes.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The Task Force on Climate-related Financial Disclosures (TCFD) framework forms the basis of climate-related rules within each of the major ESG disclosure proposals released this year. The UK is the first jurisdiction to mandate reporting under the TCFD for listed companies. This requirement was effective for 2021, meaning these reports were available for the first time in 2022.
Heather Horn sat down with Mark O’Sullivan, PwC UK’s Head of Corporate Reporting, and Hilary Eastman, Director of Investor Engagement at PwC, to discuss PwC’s observations on our review of the first 50 companies that reported under this mandate, as well as investor perspectives related to the filings.
In this episode, our guests discuss:
- 3:23 - Overview of our review of TCFD reporting in the UK
- 10:06 - What we know about investor views on the importance of climate risk management
- 17:08 - The areas investors want to understand, including the relevance of climate risk to the business, and the related financial impacts
- 26:03 - Key challenges faced by companies when reporting under the TCFD framework
- 31:40 - How companies in different industries approached the disclosures
- 42:24 - The areas cited in reviews by the UK’s Financial Reporting Council (FRC) and Financial Conduct Authority (FCA)
- 47:09 - Advice for companies contemplating how best to prepare for future ESG disclosures
Want to learn more about developments in ESG and TCFD? Read PwC UK’s report, The green shoots of TCFD reporting, along with our previous podcast on leveraging TCFD for climate-related disclosures. Also see the FRC’s and FCA’s reports on their reviews of TCFD disclosures, as well as the FRC’s lab report on net zero disclosures.
Hilary Eastman leads global investor engagement at PwC and has extensive experience advising on ESG reporting strategy. She manages the firm’s relationships with the investment community in the UK and globally. In her role, Hilary works with investors and analysts to get their views on a variety of corporate reporting and governance matters to help companies improve their reporting to the capital markets.
Mark O’Sullivan is PwC UK’s Head of Corporate Reporting. He has more than 15 years of experience advising leading organizations on current and best practices in reporting and the implementation of new reporting strategies to meet the needs of the capital markets. Mark also oversees PwC’s annual review of corporate reporting practices in the FTSE 350.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we are taking a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month, we are covering fixed assets – from acquisitions and capitalization to disposals.
Jay Seliber, PwC National Office partner, is back in the guest seat to share insights on the capitalization of assets with our host, Heather Horn.
In this episode, you will hear about:
- 4:39 - The first three capitalization stages: (1) preliminary exploration, (2) pre-acquisition, and (3) construction, and the types of costs that can be capitalized in each
- 13:42 - Capitalized interest - key considerations on timing and capitalization rate
- 20:10 - The fourth stage of capitalization: placing an asset in-service and the accounting for related costs
- 22:59 - The accounting for major maintenance
- 29:30 - Asset depreciation methods and key judgments in reassessing useful life
- 35:25 - Final reminders when capitalizing and depreciating fixed assets
Want to learn more? Listen to our previous podcast in this series on asset acquisitions andread about the capitalization of costs in our PP&E and other assets guide. Aircraft major maintenance is discussed in the AICPA’s Airlines guide.
Jay Seliber is a partner in PwC’s National Office. He leverages over 30 years of experience to help clients with their most complex accounting matters, particularly in the areas of mergers and acquisitions, revenue recognition, stock compensation, earnings per share, employee benefits, restructurings, impairments, and financing transactions. Jay is presently PwC's representative on the FASB's Emerging Issues Task Force.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In this week's special episode, we are discussing the deals market in 2022. Host Heather Horn sat down with Mike Bellin and John Vanosdall, partners in PwC’s Deals practice, to get some insight on current deals trends and how companies can prepare for IPOs, M&A’s, and other capital market transactions in today’s environment.
In this episode you’ll hear:
- 1:37 - Key impacts on the deals market from inflation, interest rates, supply chain, and geopolitical events
- 6:30 - How companies are structuring deals and M&A transactions to maximize value given current market conditions
- 17:49 - How this year’s deals market has impacted the diligence process
- 20:40 - The importance of managing regulatory, accounting, and impairment considerations proactively
- 28:13 - How geopolitics and ESG continue to be at the forefront of discussions in getting transactions done
- 31:52 - Insights on how companies can manage IPO and deal readiness in the midst of volatility
Want to learn more? Check out the Q3 capital markets watch, learn more on transformation in the M&A market, and sign up to receive a copy of our Deals 2023 outlook report.
Mike Bellin is a PwC Deals partner and co-leads PwC’s IPO Services practice. Mike focuses on IPOs, SPACs, accounting for carve-outs/spin-offs, purchase accounting, pro forma financial statements, stock compensation, the SEC registration process, and much more. In addition, he frequently advises on IPOs, helping his clients with their initial registration process and operational readiness.
John Vanosdall is a partner in PwC’s Deals practice. He has 10+ years of experience providing corporate and private equity clients in the technology sector with advice on complex M&A accounting issues, including business combinations, disposal transactions, and fair value measurements. John spent 4 years working at the SEC, two of those years as Deputy Chief Accountant, where he led the SEC staff's work to oversee the Financial Accounting Standards Board.
Heather Horn is a Deputy Chief Accountant in PwC’s National Office and leader of the thought leadership group, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
From continued tightening central bank monetary policies to a looming energy crisis in Europe, companies continue to adapt to a rapidly changing macroeconomic and geopolitical environment. This week, Heather Horn was joined by Craig Stronberg and Zain Siddiqui, directors in PwC Intelligence, to discuss the latest geopolitical developments and how companies should be thinking ahead when it comes to the state of the economy and volatility in the global market.
In this episode you’ll hear:
- 1:41 - An update on geopolitical developments in Q3 2022
- 5:18 - Looking ahead: possible future impacts of a global slowdown in Europe and China
- 10:22 - How Chinese policies and regulations are affecting business operations
- 19:25 - The impact of continued “reshoring” of productive capacity
- 25:49 - Are we facing a potential recession? Thoughts on current drivers of inflation and the Fed’s monetary policy
- 29:10 - Currency volatility: the increasing strength of the dollar and its effect on business operations
- 30:50 - How the longevity of the Russia-Ukraine war is impacting the global economy
- 50:26 - Advice for companies when dealing with current geopolitical uncertainty
Want to learn more? Check out some of our previous podcasts with PwC Intelligence: Crypto toolkit: Decoding central bank digital currencies and Russian invasion of Ukraine: Global outlook and implications.
Craig Stronberg leads the Business Acumen capability for PwC Intelligence, spearheading the team of analysts that provides macroeconomic, sector, and geopolitical intelligence to key stakeholders. Named as one of the "100 Most Creative People in Business” by Fast Company, Craig had a nearly 20 year career in national security affairs working for and advising numerous agencies and international partners, having been decorated five times. His focus has been on numerous areas, including counterintelligence, economic espionage, counterterrorism, cyber threats, political-military issues, special operations integration, and support for major events such as the Olympic Games.
Zain Siddiqui is a senior economist for PwC Intelligence with a specialty in macroeconomics and finance. He advises stakeholders and clients on the business implications of emerging macro and geopolitical vulnerabilities, and helps them shape business strategy. His research has appeared in books on international economic policy and macroeconomic journals.
Heather Horn is a Deputy Chief Accountant in PwC’s National Office and leader of the thought leadership group, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Now more than ever, companies are looking for ways not only to attract and retain top talent, but also to enhance and create ESG capabilities within their workforce. This week, Heather Horn sat down with Bhushan Sethi, the joint global leader of PwC’s People & Organization practice, to discuss how leading companies are integrating their ESG goals with their talent strategy.
In this episode, our guests discuss:
- 2:28 - How the topics of ESG and workforce interact with each other
- 13:16 - Transparency in the workplace and how companies are building shared values with their employees
- 18:46 - Upskilling talent to manage the “E” imperatives in a company’s ESG agenda
- 22:43 - The trust agenda: integrating stakeholder demands and a company’s purpose
- 28:18 - What is top of mind for companies as they determine how best to embed ESG priorities in their organization
- 33:31 - Recommendations for companies looking to attract and retain the best talent while meeting their commitments
Want to learn more about recent developments in ESG? Listen to our Q3 2022 Quarterly ESG webcast and catch Bhushan on how finance teams can work toward a company’s ESG vision. Also refer to our resource on climate change strategy as a differentiator for talent.
Bhushan Sethi is a joint global leader of PwC’s People & Organization group, where he shapes and drives the firm’s global network strategy, delivering standalone and integrated solutions across strategy, management, technology, and tax consulting disciplines. Bhushan is a thought leader, public speaker, media spokesperson, and influencer on "future of work,” risk culture, workforce strategy, employee experience, and diversity & inclusion.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we are taking a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month, we are covering fixed assets – from acquisitions and capitalization to disposals.
In this episode, Heather Horn was joined by Beth Paul from PwC’s National Office to discuss the accounting guidance for asset acquisitions, including distinguishing an acquisition of an asset from the acquisition of a business, along with complexities that may be faced when accounting for asset acquisitions.
In this episode, you will hear:
- 1:24 - An overview of the asset acquisition and business combination models
- 4:17 - How to use the screen test to identify asset acquisitions
- 9:21 - How to record asset acquisitions, and related transactions recognized separately
- 18:03 - Complexities faced by the buyer, including contingent consideration
- 24:06 - Key reminders for a seller when accounting for the disposal of an asset
- 26:01 - Final advice for those beginning the asset acquisition process
Want to learn more? Listen to our podcast discussing the complexities faced in business combinations and asset acquisitions, andread our chapters on asset acquisitions in our PP&E and other assets guide and how to identify a business using the screen test in our Business combinations guide.
Beth Paul is a Deputy Chief Accountant in PwC’s National Office responsible for a team of consultants that specialize in business combinations and related areas, such as consolidations, disposals, impairments, and segment reporting. Prior to this role, Beth was the Strategic Thought Leader in PwC’s National office, working closely with firm leadership to determine PwC’s position on emerging trends in auditing, accounting, and financial reporting matters.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The Global Reporting Initiative (GRI) is celebrating its 25th anniversary this year. In this special episode, host Heather Horn was joined by Eelco van der Enden, CEO of GRI, and Nadja Picard, PwC’s Global Reporting Leader, to discuss the voluntary ESG reporting landscape and why it matters to investors.
In this episode, you will hear them discuss:
- 0:45 - The 25th anniversary of GRI and increased adoption of its voluntary reporting standards
- 4:22 - An overview of the main pillars of GRI
- 12:22 - Why investors are asking for GRI reporting
- 15:56 - The future of impact reporting
- 24:40 - The importance of complete, rather than selective, reporting
- 32:15 - Targets and goals: why transparent reporting matters
- 38:02 - Looking ahead to the new ESG reporting landscape
For more information about recent developments in ESG strategy and reporting, listen to our previous podcasts that detail ESG incentives in the Inflation Reduction Act and provide insights on ESG disclosures that matter to investors.
Eelco van der Enden is the CEO of the Global Reporting Initiative. Prior to this role, Eelco led PwC’s global ESG platform for the Tax & Legal and People Services, and PwC's Tax Administration Consulting practice. Eelco is also Chairman of the Tax Policy Group of Accountancy Europe, and has published multiple articles on tax governance and reporting.
Nadja Picard is PwC’s Global Reporting Leader. In this role she leads PwC’s global initiative to help clients transform their corporate reporting to meet investor and stakeholder demands for trusted and assured reporting beyond financial reporting. Nadja also advises companies on the accounting, corporate reporting, and investor relations requirements in advance of capital markets transactions, especially IPOs.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we take a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month, we are covering impairments – a complex topic with a variety of accounting and reporting considerations.
In this episode, Heather Horn was joined by PwC National Office partner Andreas Ohl and PwC managing director Adam Smith to dive into goodwill and indefinite-lived intangible asset impairments, including the impact of current economic conditions on that assessment.
In this episode, you will hear them discuss:
- 1:26 - Goodwill from an economic lens
- 7:23 - Measuring goodwill impairment at the appropriate unit of account
- 17:02 - Reminders for assessing triggering events and performing the quantitative test
- 29:12 - Key challenges seen in practice
- 32:32 - Assessing indefinite-lived intangible assets
- 39:34 - Final advice on assessing goodwill for impairment
Want to learn more? Listen to other episodes in our impairment toolkit series on long-lived assets, inventory and other current assets, and financial instruments, along with previous podcasts on impairment accounting, including accounting for goodwill and other impairments and answers to your impairment valuation questions. For episodes on segments that address the identification of reporting units, check out disclosure requirements for segments, and 5 things to know about segment reporting.
Adam Smith is a managing director with over 20 years of experience related to performing valuations of businesses, business interests, intangible assets, and derivatives. Adam’s valuation specialization supports a wide range of purposes, including financial reporting, litigation support, corporate planning and consulting, and mergers and acquisitions.
Andreas Ohl is a partner in PwC's National Office focused on thought leadership, standard setting, and mergers and acquisitions under US GAAP and IFRS. In addition to his US responsibilities, he leads the sustainability topic team for the PwC global network. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's in-process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
After years of increasingly vocal demand for enhanced transparency about ESG matters from investors and other stakeholders, regulators and standard setters in various jurisdictions issued definitive proposals to transform ESG reporting in 2022.
So far this year, proposed ESG disclosures have been released in the European Union (EU) as part of the Corporate Sustainability Reporting Directive (CSRD), internationally by the International Sustainability Standards Board (ISSB), and in the US by the SEC.
These “big three” proposals would each require expansive sustainability disclosures — although their proposed scopes and other details vary. In this episode, Heather Horn, partner in PwC’s National Office, brings you an audio version of ourIn the loopcomparing the three proposals.
Refer also to the print version, Navigating the ESG landscape. For further insights, see:
- The SEC wants me to disclose what? The SEC’s climate disclosure proposal
- What's CSRD? You should already know
- What you need to know about the ISSB's Exposure Drafts
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
PwC provides a summary of the latest accounting, financial reporting, and regulatory updates to support your quarterly reporting.
In the third quarter of 2022, President Biden signed the Inflation Reduction Act into law, billed as the largest climate legislation in US history. In addition to extending and creating numerous tax credits and incentives, the legislation enacts a new corporate alternative minimum tax and an excise tax on stock buybacks. We take a closer look at the provisions with potential financial reporting implications. Additionally, you’ll want to make note of the SEC’s recently finalized rules on executive compensation disclosures that may impact your next proxy.
Many companies are thinking about goodwill impairment testing, either in connection with their annual test or triggered by current economic conditions. In Ask the National Office, we provide timely reminders on impairment testing, including how rising costs and interest rates could have an impact.
On the regulatory front, we provide updates on ESG reporting proposals and highlight steps you should take now to prepare for climate reporting. In standard-setting updates, we summarize the FASB’s activities this quarter, including the latest on the segment reporting project.
In this edition of The quarter close, we highlight these and other relevant accounting and reporting topics you should consider as you close out the third quarter of 2022.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we take a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month, we are covering impairments – a complex topic with a variety of accounting and reporting considerations.
In this episode, Heather Horn was joined by PwC National Office partner Matt Sabatini and PwC managing director Adam Smith to discuss another common area for impairment questions: long-lived assets.
In this episode, you will hear them discuss:
- 1:20 - An overview of the impairment model for long-lived assets
- 7:53 - How to identify an asset group when performing an impairment test on assets to be held and used
- 11:58 - Types of impairment triggers and the two-step impairment test for assets to be held and used
- 31:42 - Right-of-use asset impairment considerations
- 33:14 - Impairment accounting under the held-for-sale model
- 36:44 - Key reminders for companies assessing the potential impairment of long-lived assets
Want to learn more? Listen to other episodes in our impairment toolkit series on inventory and other current assets and financial instruments, along with previous podcasts on impairment accounting, including accounting for goodwill and other impairments and answers to your impairment valuation questions.
Adam Smith is a managing director at PwC with over 20 years of valuation experience. His experience includes performing valuations of businesses, business interests, intangible assets, and derivatives. Adam’s valuation specialization supports a wide range of purposes, including financial reporting, litigation support, corporate planning and consulting, and mergers and acquisitions.
Matt Sabatini is a partner in PwC's National Office with over 20 years of experience helping clients and engagement teams navigate the accounting and financial reporting for complex transactions. He specializes in the accounting for M&A, corporate reorganizations, recapitalizations, joint ventures, and other investments.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we take a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month, we are covering impairments – a complex topic with a variety of accounting and reporting considerations.
In this episode, Heather Horn was joined by Bret Dooley, a partner in the National Office, and Shannon Detling, a partner in the Financial Markets practice, to discuss key considerations when working through the impairment accounting framework for financial instruments.
In this episode, you will hear them discuss:
- 0:38 - An overview of the impairment model for equity and available-for-sale debt securities
- 6:07 - How current market conditions are impacting impairment assessments
- 11:15 - Highlights of the current expected credit losses (CECL) model for amortized cost assets
- 17:12 - Effect of macroeconomic trends when determining credit losses under CECL
- 29:03 - Consideration of risks and relevant controls in the credit loss estimation process
- 33:16 - Credit outlook for the future based on current trends
- 38:12 - Key reminders for companies thinking through the impairment model for financial instruments
Want to learn more? Refer to the first episode in our impairment toolkit series on inventory and other current assets, along with previous podcasts on impairment accounting, including accounting for goodwill and other impairments and answers to your impairment valuation questions. Stay tuned for more insightful episodes in the coming weeks.
Bret Dooley is a Deputy Chief Accountant in PwC’s National Office and the financial instruments accounting leader. He has over 25 years of experience specializing in the financial services, banking, and capital markets industries. Bret focuses on emerging financial reporting issues relating to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters.
Shannon Detling is a Partner within PwC’s Financial Markets group, specializing in financial instruments, financial risk management, and financing transactions. He has extensive knowledge of capital markets, changing regulation and policy, and evolving market conditions. Shannon advises clients on how to achieve their objectives and assists them in execution from strategy through to operations, valuation, and reporting, including design, implementation, and integration of systems, processes, and controls.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
With ESG top of mind for many companies, we’re continuing our podcast series looking at how the current and future reporting landscape may impact individual industries. This week, guest host Casey Herman, PwC’s US ESG leader, was joined by PwC specialists Scott Thompson and Mark Roslin to discuss the current state of climate and ESG reporting in the aviation industry and the related challenges.
In this episode, our guests discuss:
- 1:45 - Technologies on the horizon that have the potential to impact the aviation industry’s greenhouse gas emissions profile
- 8:35 - Incentives for sustainable aviation fuel in the Inflation Reduction Act
- 16:42 - Challenges of reporting under the SEC climate disclosure proposal for the aviation industry
- 26:46 - Navigating social and governance considerations in the aviation industry
Listen to our previous podcast that provides insights into the ESG disclosures that matter to investors. Also refer to the text or audio version of our In the loop, The SEC wants me to disclose what?
Scott Thompson is PwC's Global Aerospace & Defense Leader, leading a team of 1,700 professionals delivering audit, tax, and advisory services to the world’s top aerospace and defense companies. Scott is a widely recognized expert in the industry, with his commentaries frequently featured in industry publications and other media outlets. Scott also hosts the annual Aerospace & Defense Finance Executive Roundtable.
Mark Rosling is a director in PwC’s Trust Solutions ESG practice. Mark works with clients to establish the controls, processes, and structures needed for accurate ESG reporting, in addition to helping companies integrate ESG into their corporate reporting.
Casey Herman is PwC’s US ESG Leader. Casey has over 35 years of experience leading and working on the audits of many significant, complex clients and is a member of the Edison Electric Institute's Wall Street Advisory Group, the Electric Power Research Institutes Advisory Council, and the NYU Stern Business School Center for Sustainable Business Advisory Council.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we take a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month, we are covering impairments – a complex topic with a variety of accounting and reporting considerations.
In this episode, Heather Horn was joined by PwC partner Pat Durbin to discuss key considerations when working through the impairment accounting framework, including a focus on impairment considerations for inventory and other current assets.
In this episode, you will hear them discuss:
- 1:05 - An overview of current macroeconomic factors that contribute to the impairment of assets
- 5:32 - An introduction to the impairment framework
- 12:01 - Impairment triggers for non-financial assets, including examples seen in practice
- 22:38 - Sector-specific considerations to keep in mind
- 25:10 - The inventory impairment model
- 31:53 - Impairment accounting for other current assets
- 38:43 - Key reminders as companies think through the impairment model
Want to learn more? Refer to our previous podcasts on impairment accounting, including accounting for goodwill and other impairments and answers to your impairment valuation questions. Stay tuned for more insightful episodes in the coming weeks.
Pat Durbin is a Deputy Chief Accountant, leading the revenue and liabilities division in PwC’s National Office. He has over 30 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
With ESG top of mind for many companies, we’re continuing our podcast series looking at how the current and future reporting landscape may impact individual industries. This week, guest host Casey Herman, PwC’s US ESG leader, was joined by PwC partners Brittany Schmidt and David Challen to discuss the current state of climate and ESG reporting in the banking and capital markets industry, the related challenges, and how to best prepare to address them.
In this episode, our guests discuss:
- 1:37 - Why the banking and capital markets industry has been at the forefront of voluntary ESG reporting
- 6:41 - Industry themes in responses to the SEC’s climate proposal
- 14:37 - Key requirements of the SEC’s proposal and difficulties financial services companies may face addressing them
- 20:39 - How financial services companies are thinking about the proposed scope 3 disclosure requirements
- 29:39 - Forward-looking disclosure requirements and how to prepare for the proposal’s implementation
- 35:51 - Final thoughts on the proposed disclosure requirements
Listen to our previous podcast that provides insights into the ESG disclosures that matter to investors. Also refer to the text or audio version of our In the loop, The SEC wants me to disclose what?
Brittany Schmidt is a partner in PwC’s financial services consulting practice with over 15 years of experience helping banks and other financial services clients navigate the rapid pace of change in the regulatory and business landscape. Brittany is a firm-designated ESG champion for the financial services sector.
David Challen is a partner in PwC’s banking and capital markets Trust Solutions practice with over 15 years of industry experience. He has worked with clients ranging from large, multinational banking institutions to broker-dealers and asset management advisors and funds. David is a firm-designated ESG champion for the financial services sector.
Casey Herman is PwC’s US ESG Leader. Casey has over 35 years of experience leading and working on the audits of many significant, complex clients and is a member of the Edison Electric Institute's Wall Street Advisory Group, the Electric Power Research Institutes Advisory Council, and the NYU Stern Business School Center for Sustainable Business Advisory Council.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we take a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month, we are covering stock-based compensation – a complex subject with a variety of accounting and reporting considerations.
In this episode, Heather Horn was joined by PwC partners Gina Klein and Jay Seliber to discuss the complexities of stock-based compensation accounting arising from merger and acquisition activity.
In this episode, you will hear them discuss:
- 1:49 - Key business issues associated with stock-based awards in a transaction
- 6:14 - Accounting considerations for awards from the sale of a business
- 11:03 - Modifying awards in response to a planned change in control
- 20:36 - Considerations for vesting conditions tied to the closing of a transaction
- 24:05 - Transactions where the buyer replaces the seller’s awards
- 29:24 - Other common examples of award structuring as part of M&A activity
- 40:25 - Key points when accounting for stock-based awards during transactions
Want to learn more? Refer to previous episodes in our Compensation toolkit series on challenges for private company awards, making sense of stock award modifications, equity or liability classification, and unraveling complex vesting conditions. Also refer to our Stock-based compensation guide for more helpful information.
Gina Klein is a partner leading PwC’s HR Accounting Advisory practice in Workforce Transformation where she works with companies to address the financial reporting, design, and operational issues associated with employee compensation, including stock compensation, pension plans, and other employee benefit arrangements. Gina has also spent time in PwC’s National Office, advising clients on complex accounting matters related to employee compensation under both IFRS and US GAAP.
Jay Seliber is a partner in PwC’s National Office. He leverages over 30 years of experience to help clients with their most complex accounting matters, particularly in the areas of mergers and acquisitions, revenue recognition, stock compensation, earnings per share, employee benefits, restructurings, impairments, and financing transactions. Jay is presently PwC's representative on the FASB's Emerging Issues Task Force.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
With ESG top of mind for many companies, we’re continuing our podcast series looking at how the current and future reporting landscape may impact individual industries. This week, guest host Casey Herman, PwC’s US ESG leader, was joined by PwC partners Jennifer Kosar and Erica Chase to discuss the current state of climate and ESG reporting in the insurance industry and the associated challenges.
In this episode, our guests discuss:
- 1:51 - The current state of climate and ESG reporting in the insurance industry and areas of focus
- 11:35 - Challenges and concerns insurers are thinking about as they work through ESG reporting
- 17:34 - Planning to comply with the proposed reporting requirements while protecting proprietary information
- 23:55 - The impact of the proposed footnote disclosures on the industry and how companies are planning for the requirements
- 31:15 - Navigating the overlapping layers of state, federal, and international reporting requirements
- 37:41 - What industry leaders are doing now to address the new ESG reporting requirements, and what’s to come
Listen to our previous podcast that provides insights into the ESG disclosures that matter to investors. Also refer to the text or audio version of our In the loop, The SEC wants me to disclose what?
Jennifer Kosar is a partner in PwC’s Digital Assurance and Transparency practice, helping clients in the financial services industry through the design and execution of governance, risk management, audit, and compliance programs throughout their organization. Recently, Jenn has focused on providing support to her clients on the risks and opportunities that ESG creates for the financial services industry.
Erica Chace is a partner in PwC’s Trust Solutions practice, specializing in providing assurance services to insurance companies. Erica supports PwC’s Sustainability Services group, which involves helping clients develop their ESG strategy and assess relevant reporting requirements.
Casey Herman is PwC’s US ESG Leader. Casey has over 35 years of experience leading and working on the audits of many significant, complex clients and is a member of the Edison Electric Institute's Wall Street Advisory Group, the Electric Power Research Institutes Advisory Council, and the NYU Stern Business School Center for Sustainable Business Advisory Council.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we take a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month, we are covering stock-based compensation – a complex subject with a variety of accounting and reporting considerations.
In this episode, Heather Horn was joined by PwC National Office partners Jay Seliber and Ken Stoler to discuss private company-specific accounting considerations for stock compensation.
In this episode, you will hear them discuss:
- 1:30 - Key differences between public and private companies when accounting for equity-classified stock awards
- 9:03 - Private company accounting considerations for liability-classified stock awards
- 13:38 - An overview of profits interest awards commonly seen at private companies
- 21:20 - Equity restructurings and key points to keep in mind
- 33:08 - Accounting for loans given to employees to purchase stock
- 50:18 - Where to find more information on stock compensation for private companies
Want to learn more? Refer to previous episodes in our Compensation toolkit series on making sense of stock award modifications, equity or liability classification and unraveling complex vesting conditions. Also refer to our Stock-based compensationguide for more helpful information.
Jay Seliber is a partner in PwC’s National Office. He leverages over 30 years of experience to help clients with their most complex accounting matters, particularly in the areas of mergers and acquisitions, revenue recognition, stock compensation, earnings per share, employee benefits, restructurings, impairments, and financing transactions. Jay is presently PwC's representative on the FASB's Emerging Issues Task Force.
Ken Stoler is a partner in PwC’s National Office with over 25 years of experience. Ken specializes in financial reporting and plan design issues related to equity compensation arrangements, retirement and healthcare plans, and other benefits, helping companies navigate their employee compensation issues during an IPO, spin off, acquisition, or other major transaction or event.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The Inflation Reduction Act (the Act), signed into law on August 16, includes a number of green initiatives and incentives – but what are they, and how will they impact businesses? In this special episode, host Heather Horn was joined by Casey Herman and Matt Haskins, specialists in PwC’s ESG groups, to discuss the ESG initiatives that companies will have to consider as part of the Act.
In this episode, you will hear them discuss:
- 2:25 - Background on the Act, and how it is structured to prioritize incentives rather than penalties for green innovation
- 7:58 - An overview of the major areas of credits in the law
- 16:09 - Perspective on the breadth of impact of the Act to the overall economy
- 19:32 - How electricity storage technology is needed to enable broader adoption of renewable electricity
- 26:33 - Examples of how companies in a variety of industries could be impacted by the Act
- 35:34 - The expected impacts of the Act in reducing greenhouse gas emissions
- 36:27 - Opportunities for entities not directly involved in generating tax credits to benefit from the Act
- 42:12 - Looking at the social incentives in the Act, and how these unlock additional credit dollars
- 48:24 - Constraints that companies will face as they work to take advantage of the incentives in the Act
For more information about developments in ESG, listen to our previous podcast that provides insights into the ESG disclosures that matter to investors. Also refer to the text or audio version of our In the loop, The SEC wants me to disclose what?
Matt Haskins is a principal in PwC’s Washington National Tax Services, where he leads the firm's Cleantech tax practice, focusing on renewable energy financing and M&A transactions. In addition to writing and speaking on issues in the renewable energy industry, Matt has co-chaired the energy and environmental taxes working group for the US Council on International Business and served as a delegate for key energy initiatives of the Organization for Economic Cooperation and Development.
Casey Herman is PwC’s US ESG Leader. Casey has over 35 years of experience leading and working on the audits of many significant, complex clients and is a member of the Edison Electric Institute's Wall Street Advisory Group, the Electric Power Research Institutes Advisory Council, and the NYU Stern Business School Center for Sustainable Business Advisory Council.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
With ESG top of mind for many companies, we’re continuing our new podcast series looking at how the current and future reporting landscape may impact individual industries. This week, guest host Casey Herman, PwC’s US ESG leader, was joined by Rich Goode and Robert Moline from PwC’s ESG practice to discuss the strategy and reporting challenges that technology companies face.
In this episode, our guests discuss:
- 2:20 - The current state of ESG reporting in the technology industry
- 7:16 - An overview of the SEC’s climate proposal requirements that will impact technology companies
- 16:49 - Effective data collection for meeting the disclosure requirements
- 26:55 - Observations from the industry’s response letters to the SEC’s climate proposal
- 30:09 - The challenges technology companies may face in meeting the proposed emissions disclosure requirements
- 39:41 - Advice and recommendations for technology companies to proactively ready their reporting processes
Listen to our previous podcast that provides insights into the ESG disclosures that matter to investors. Also refer to the text or audio version of our In the loop, The SEC wants me to disclose what?
Robert Moline is a PwC Partner in our technology, media and telecommunications consulting group. Robert focuses on the transformation of global technology industry clients with a focus on sustainability and climate driven change.
Rich Goode is a principal in PwC's ESG practice where he assists clients in the technology, media, and telecommunications sectors navigate key environmental, social, and governance issues. Leveraging 30 years of experience, Rich also currently serves as an Adjunct Lecturer at Harvard University.
Casey Herman is PwC’s US ESG Leader. Casey has over 35 years of experience leading and working on the audits of many significant, complex clients and is a member of the Edison Electric Institute's Wall Street Advisory Group, the Electric Power Research Institutes Advisory Council, and the NYU Stern Business School Center for Sustainable Business Advisory Council.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we take a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month, we are covering stock-based compensation – a complex subject with a variety of accounting and reporting considerations.
In this episode, Heather Horn was joined by PwC National Office partners Jay Seliber and Ken Stoler to discuss a number of scenarios and accounting considerations related to stock-based compensation award modifications.
In this episode, you will hear them discuss:
- 1:22 - An overview of stock option modifications
- 12:20 - Four types of modifications to awards with vesting conditions
- 29:22 - How to think through changes to the classification of an award
- 37:34 - Accounting for changes to performance conditions
- 45:52 - Working through changes to market conditions
- 53:22 - Final advice for companies dealing with stock option modifications
Want to learn more? Refer to previous episodes in our Compensation toolkit series on equity or liability classification and unraveling complex vesting conditions, along with earlier podcasts on stock-based compensation including back to basics and presentation and disclosure. See also our Stock-based compensationguide. Stay tuned for more insightful episodes in the coming weeks.
Jay Seliber is a partner in PwC’s National Office. He leverages over 30 years of experience to help clients with their most complex accounting matters, particularly in the areas of mergers and acquisitions, revenue recognition, stock compensation, earnings per share, employee benefits, restructurings, impairments, and financing transactions. Jay is presently PwC's representative on the FASB's Emerging Issues Task Force.
Ken Stoler is a partner in PwC’s National Office with over 25 years of experience. Ken specializes in financial reporting and plan design issues related to equity compensation arrangements, retirement and healthcare plans, and other benefits, helping companies navigate their employee compensation issues during an IPO, spin off, acquisition, or other major transaction or event.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
US companies with operations or listed securities in Europe are likely to be affected by the European Commission's mandatory ESG reporting regulation. They extend far beyond the SEC's climate disclosure proposal. PwC explains what you need to know in this audio version of our In the loop, What's CSRD? You should already know.
In this episode, you will hear:
- 2:55 - Key requirements of the CSRD
- 6:15 - What determines if a multinational company is in the scope of the CSRD?
- 9:50 - What reporting standards would an in-scope company apply?
- 11:20 - When would companies need to start reporting under the CSRD?
- 12:45 - What sustainability disclosures would be required under the CSRD?
- 16:40 - How do the EFRAG’s proposed climate disclosure requirements differ from the SEC’s proposed climate rules?
- 18:55 - What information would a company be required to disclose about its value chain?
- 20:15 - How would materiality be determined?
- 21:30 - Is any relief expected for companies reporting under another framework (e.g., the SEC’s requirements)?
- 22:35 - Would third-party assurance be required?
- 24:25 - What’s next?
Want to learn more about developments in ESG? Register for our upcoming Q3 2022 Quarterly ESG webcast, and listen to our previous podcast that provides insights into the ESG disclosures that matter to investors.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
With ESG top of mind for many companies, we’re continuing our new podcast series looking at how the current and future reporting landscape may impact individual industries. This week, guest host Casey Herman, PwC’s US ESG leader, was joined by Dan Sullivan and Randy Hoff, specialists in PwC’s Financial Markets & Real Estate practice, to discuss the strategy and reporting challenges and opportunities for real estate companies. In addition, any company that owns or rents space for its business would benefit from it.
In this episode, our guests discuss:
- 2:19 - Current areas of focus in financing real estate ESG initiatives
- 10:22 - Why the real estate industry is motivated to invest in the “E” of ESG
- 18:46 - Trends in the real estate industry’s comment letters on the SEC’s climate proposal
- 23:52 - Industry themes in ESG reporting goals
- 29:42 - Availability of new sustainability-focused financing instruments
- 33:31 - Advice for real estate businesses working through ESG challenges
Want to learn more about developments in ESG? Register for our upcoming Q3 2022 Quarterly ESG webcast, and listen to our previous podcast that provides insights into the ESG disclosures that matter to investors. Also refer to the text or audio version of our In the loop, The SEC wants me to disclose what?
Dan Sullivan is PwC’s Financial Markets & Real Estate leader. Dan has 18 years experience assisting clients with capital markets challenges driven by owning, originating, and investing in complex financial products and real estate. He helps clients navigate rapidly changing ESG demands to create innovative product and market strategies that lead the way in sustainability finance.
Randy Hoff is a Principal in PwC's Financial Markets & Real Estate team with over 20 years experience. He provides a wide range of innovative and tech-forward ESG solutions to Commercial and Industrial occupiers and investors. Randy helps clients achieve Net Zero and other emissions reduction goals through technology, advanced analytics and engineering.
Casey Herman is PwC’s US ESG Leader. Casey has over 35 years of experience leading and working on the audits of many significant, complex clients and is a member of the Edison Electric Institute's Wall Street Advisory Group, the Electric Power Research Institutes Advisory Council, and the NYU Stern Business School Center for Sustainable Business Advisory Council.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we take a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month, we are covering stock-based compensation – a complex subject with a variety of accounting and reporting considerations.
In this episode, Heather Horn was joined by PwC National Office subject matter specialists Jay Seliber and Nicole Berman to discuss the challenging topic of classifying stock option awards as equity or a liability.
In this episode, you will hear them discuss:
- 1:32 - An overview of equity and liability classification of stock options and their key differences
- 5:26 - Common examples of exceptions to the general classification rules
- 16:31 - Accounting for awards with redemption features
- 30:30 - How to think about awards with put or call features
- 36:56 - Accounting for awards with repurchase features
- 43:27 - Final advice for dealing with equity and liability classification of stock options
Want to learn more? Refer to the first episode in our compensation toolkit series on unraveling complex vesting conditions, along with earlier podcasts on stock-based compensation podcasts including back to basics, award modifications and presentation and disclosure. For more on stock-based compensation, refer to our Stock-based compensationguide. Stay tuned for more insightful episodes in the coming weeks.
Jay Seliber is a partner in PwC’s National Office. He leverages over 30 years of experience to help clients with their most complex accounting matters, particularly in the areas of mergers and acquisitions, revenue recognition, stock compensation, earnings per share, employee benefits, restructurings, impairments, and financing transactions. Jay is presently PwC's representative on the FASB's Emerging Issues Task Force.
Nicole Berman is a Director in PwC's National Office. She advises clients on the accounting for complex transactions related to revenue recognition and employee compensation matters, including stock-based compensation, pensions, OPEB, and restructurings, under both US GAAP and IFRS.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The International Sustainability Standards Board (ISSB) has issued its first two ESG reporting exposure drafts for comment: one on general disclosure requirements and one on climate-related disclosure requirements. This week, Heather Horn was joined by Andreas Ohl, a partner in PwC’s National Office, to dive into the proposal and why they matter for US companies.
In this episode, you will hear:
- 1:17 - Background on the ISSB’s international role and where it fits in the global ESG reporting landscape
- 7:43 - An overview of the general themes and goals in the ISSB’s first two exposure drafts
- 19:54 - An explanation of how the concept of enterprise value is used in the proposal
- 24:05 - The types of information companies would be required to disclose under each proposal
- 29:36 - How the ISSB proposal incorporates industry-specific metrics and disclosures
- 33:31 - A discussion of the proposed GHG emission requirements
- 40:51 - Final thoughts and financial reporting considerations across the SEC, ISSB, and CSRD proposals
Want to learn more about the proposals? Listen to our previous podcasts that compare the SEC proposal to the ISSB and CSRD proposals, provide PwC’s perspective on the SEC's proposal, and related implementation considerations.
Andreas Ohl is a partner in PwC's National Office focused on thought leadership, standard setting, and mergers and acquisitions under US GAAP and IFRS. In addition to his US responsibilities, he leads the sustainability topic team for the PwC global network. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's in-process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
With ESG top of mind for many companies, we’re starting a new podcast series looking at how the current and future reporting landscape may impact individual industries. This week, guest host Casey Herman was joined by Julie Bogas and John DeRose, partners in PwC’s ESG practice, to discuss the reporting and strategy-related challenges and opportunities that exist for companies that operate in retail and other consumer-facing businesses.
In this episode, you will hear them discuss:
- 3:40 - An overview of why SEC’s climate disclosure proposal matters to companies that do business directly with consumers
- 11:19 - The current state of voluntary ESG reporting in the industry
- 14:55 - The biggest challenges consumer-focused companies are facing as they prepare for the expected new SEC rules
- 22:08 - Difficulties shared by companies in gathering and reporting emissions data
- 33:42 - Common physical and transition risks seen in the industry and how companies are managing them
- 40:23 - Typical ESG goals and targets set by companies in the industry, along with the outlook for achieving them
Want to learn more about developments in ESG? Register for our upcoming Q3 2022 Quarterly ESG webcast, and listen to our previous podcast that provides insights into the ESG disclosures that matter to investors. Also refer to the text or audio version of our In the loop, The SEC wants me to disclose what?
Julie Bogas is a partner in PwC’s ESG Consulting Solutions practice with more than 21 years of experience helping clients in a variety of industries undertake ambitious programs to successfully transform their sustainability, finance, IT, and risk and compliance capabilities. For 11 years she has been helping clients build ESG and sustainability capabilities, including ESG strategy, value chain impact assessment, goal setting, training, disclosure and reporting, and data governance and technology.
John DeRose is a partner in PwC’s ESG Trust Solutions practice with more than 20 years of reporting, assurance, compliance, and risk management experience serving large multinational organizations. He works with companies across all industries, including technology, telecommunications, manufacturing, apparel and footwear, and banking.
Casey Herman is PwC’s US ESG Leader. Casey has over 35 years of experience leading and working on the audits of many significant, complex clients and is a member of the Edison Electric Institute's Wall Street Advisory Group, the Electric Power Research Institutes Advisory Council, and the NYU Stern Business School Center for Sustainable Business Advisory Council.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we take a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month, we are covering stock-based compensation – a complex subject with a variety of accounting and reporting considerations.
In this episode, Heather Horn was joined by Jay Seliber and Ken Stoler, partners from our National Office, who share accounting insights for stock-based compensation awards with vesting conditions.
In this episode, you will hear them discuss:
- 1:47 - An overview of vesting conditions
- 11:04 - How different vesting conditions impact the measurement of an award and related expense recognition
- 17:36 - Typical types of performance vesting conditions and the related accounting
- 26:14 - The complexities of market vesting conditions and accounting
- 36:45 - How to think about awards with both performance and market conditions
- 45:52 - Final advice on accounting for stock-based compensation awards with vesting conditions
Want to learn more? Refer to our previous podcasts on stock-based compensation, including back to basics, award modifications and presentation and disclosure, as well as our Stock-based compensationguide. Stay tuned for more insightful episodes in the coming weeks.
Jay Seliber is a partner in PwC’s National Office. He leverages over 30 years of experience to help clients with their most complex accounting matters, particularly in the areas of mergers and acquisitions, revenue recognition, stock compensation, earnings per share, employee benefits, restructurings, impairments, and financing transactions. Jay is presently PwC's representative on the FASB's Emerging Issues Task Force.
Ken Stoler is a partner in PwC’s National Office with over 25 years of experience. Ken specializes in financial reporting and plan design issues related to equity compensation arrangements, retirement and healthcare plans, and other benefits, helping companies navigate their employee compensation issues during an IPO, spin off, acquisition, or other major transaction or event.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In response to their climate disclosure proposal, the SEC received over 14,000 comment letters from a variety of stakeholders. This week, Heather Horn was joined by Valerie Wieman, a partner in PwC’s National Office, to discuss common themes and key takeaways from a high level review of the comment letters.
In this episode, you will hear:
- 1:02 - An overview of the types of respondents and overall themes in the letters
- 7:25 - General views shared by investors, including feedback on the footnote disclosure requirements
- 11:54 - Highlights from letters submitted by registrants and other companies, and common views on the greenhouse gas disclosure requirements
- 18:05 - A summary of responses from industry groups
- 22:01 - Common themes from not-for-profit and public policy groups, with a focus on scope
- 25:19 - Feedback identified in letters from academics and accounting and professional services firms
- 30:05 - Highlights from governmental individuals and organizations and common views from standard setters
Want to learn more about the proposal? Listen to our previous podcasts that provide PwC’s perspective on the proposal, perspective from the C-suite, and implementation considerations. Also refer to the text or audio version of our In the loop, The SEC wants me to disclose what?
Valerie Wieman is PwC’s National Office Editor-in-chief. She is involved in the creation, development, and publication of our brand-defining thought leadership, with a focus on ESG reporting. Prior to this role, she was part of PwC’s National Office SEC Services group, helping clients navigate SEC rules and regulations.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we take a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month we are covering derivatives–a complicated area that generates numerous questions.
In this episode, Heather Horn was joined by Bret Dooley and Chip Currie, partners in PwC’s National Office, and Nick Milone, a partner in PwC’s Financial Markets practice, to share practical insights for navigating the implications of reference rate reform on LIBOR-based derivatives.
In this episode, you will hear them discuss:
- 1:20 - The background on reference rate reform and how the discontinuation of LIBOR will impact companies
- 6:22 - The FASB’s response to reference rate reform (ASC 848) and its interaction with hedge accounting guidance
- 12:56 - How to think about LIBOR-based cash flow hedges
- 22:55 - How to think about LIBOR-based fair value hedges
- 33:12 - The FASB’s proposed extension of ASC 848 and final advice for companies with LIBOR-based derivatives
Want to learn more? Listen to other episodes in our derivative toolkit series, Do I have a derivative?, Hedging debt with derivatives, and Deciphering foreign currency hedging. For more on reference rate reform, listen to our podcast and refer to our Reference rate reform guide.
Bret Dooley is a Deputy Chief Accountant in PwC’s National Office and the financial instruments accounting leader. He has over 25 years of experience specializing in the financial services, banking, and capital markets industries. Bret focuses on emerging financial reporting issues relating to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters.
Chip Currie is a Partner in PwC’s National Office with over 25 years of experience assisting companies in resolving complex business and accounting issues. He concentrates on the accounting for financial instruments under both current and emerging standards and works with many of the firm's largest financial services clients and a number of non-financial service clients on treasury-related matters.
Nick Milone is a partner in PwC’s Financial Markets practice where he advises companies on current financial instruments issues and the application of accounting standards. Prior to this role, Nick was a Practice Fellow on the financial instruments team at the FASB, where he helped lead the hedge accounting and recognition and measurement projects.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The SEC has released a proposal to promote consistent, comparable, and reliable ESG disclosures by investment funds and advisors. This week, Heather Horn was joined by Pete Driscoll, a partner in PwC’s National Office and former SEC Director of Examinations, to review and discuss important considerations on the proposal.
In this episode, you will hear:
- 1:14 - A broad introduction to recent SEC proposals impacting investment funds and advisors
- 6:48 - An overview of the types of funds impacted by the proposal
- 16:55 - A summary of the proposed disclosure requirements
- 27:54 - Initial reactions from impacted funds and the expected challenges of meeting the proposed requirements
- 35:56 - Advice on what impacted funds should start thinking about now
Want to learn more about this proposal? Refer to the SEC’s proposed rule and related fact sheet or read our In brief.
Pete Driscoll is a partner in PwC’s National Office focusing on SEC regulations, reporting, and compliance. Prior to his role at PwC, Pete held several roles at the SEC, including Director of the Division of Examinations and Chief Risk and Strategy Officer.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we take a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month we are covering derivatives–a complicated area that generates numerous questions.
In this episode, Heather Horn was joined by Bret Dooley and Chris Gerdau from PwC’s National Office to dive into the complexities of applying hedge accounting to foreign currency hedges.
In this episode, you will hear them discuss:
- 1:02 - An overview of foreign currency accounting
- 10:35 - Hedging of forecasted foreign currency transactions
- 18:26 - Net investment hedging and excluded components (“forward points”)
- 27:01 - What to focus on with hedges of foreign currency denominated debt
- 31:37 - Final advice and resources for more information
Want to learn more? Listen to other episodes in our derivative toolkit series Do I have a derivative? and Hedging debt with derivatives, and refer to our Derivatives and hedging and Financial statement presentation guides.
Bret Dooley is a Deputy Chief Accountant in PwC’s National Office and the financial instruments accounting leader. He has over 25 years of experience specializing in the financial services, banking, and capital markets industries. Bret focuses on emerging financial reporting issues relating to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters.
Chris Gerdau is a partner in PwC’s National Office specializing in accounting for financial instruments and banking-related topics. Chris also conducts technical reviews of SEC filings and provides technical support to PwC’s practice offices. With over 25 years of experience, Chris’s client service expertise includes the banking, capital markets, and insurance industries.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In addition to the SEC’s climate disclosure proposal, there are two other global proposals that could impact US companies. This week, Heather Horn was joined by Andreas Ohl and Valerie Wieman, partners in PwC’s National Office, to review and discuss important considerations on the global proposals.
In this episode, you will hear:
- 1:51 - An overview of the ISSB and CSRD proposals and why you should pay attention to them
- 12:39 - Recap on the SEC’s climate proposal in the context of global proposals
- 14:35 - A discussion of equivalency amongst the proposals
- 19:27 - How materiality and climate related risk disclosure requirements vary among the proposals
- 24:57 - Similarities among the governance disclosure requirements
- 27:35 - A comparison of attest, footnote, and GHG emission disclosure requirements
- 35:47 - A deeper dive into the scope of GHG disclosure requirements
- 41:04 - Highlights from our review of the comment letters on the SEC’s proposal
Want to learn more about these proposals? Listen to our previous podcasts that provide perspective from the C-suite and a focus on SEC proposal implementation considerations. For more background on the CSRD proposal, listen to our podcast, Talking ESG: How new EU rules may impact your reporting.
Andreas Ohl is a partner in PwC's National Office focused on thought leadership, standard setting, and mergers and acquisitions under US GAAP and IFRS. In addition to his US responsibilities, he leads the sustainability topic team for the PwC global network. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's in-process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
Valerie Wieman is PwC’s National Office Editor-in-chief. She is involved in the creation, development, and publication of our brand-defining thought leadership, with a recent focus on ESG reporting. Prior to this role, she was part of PwC’s National Office SEC Services group, helping clients navigate SEC rules and regulations.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we take a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month, we are covering derivatives–a complicated area that generates numerous questions.
In this episode, Heather Horn was joined by Bret Dooley and Chip Currie from our National Office to dive into the complexities of accounting for hedges of debt.
In this episode, you will hear them discuss:
- 1:30 - The economics of debt issuance and risk management decisions
- 4:01 - How derivatives fit into these decisions
- 8:55 - What to think about from a hedge accounting perspective
- 11:30 - Cash flow and fair value hedge models
- 20:46 - The impact of debt not denominated in your functional currency
- 24:03 - Advice for dealing with the complexities of applying hedge accounting
Want to learn more? Listen to the first episode in our derivative toolkit series, Do I have a derivative?, and refer to our Derivatives and hedging and Financial statement presentation guides. Stay tuned for more insightful episodes in the coming weeks.
Bret Dooley is a Deputy Chief Accountant in PwC’s National Office and the financial instruments accounting leader. He has over 25 years of experience specializing in the financial services, banking, and capital markets industries. Bret focuses on emerging financial reporting issues relating to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters.
Chip Currie is a Partner in PwC’s National Office with over 25 years of experience assisting companies in resolving complex business and accounting issues. He concentrates on the accounting for financial instruments under both current and emerging standards and works with many of the firm's largest financial services clients and a number of non-financial service clients on treasury-related matters.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
As thoughts turn to second quarter financial reporting, companies will be trying to navigate the impact of rapidly changing macroeconomic and geopolitical dynamics. This week Heather Horn sat down with Craig Stronberg and Zain Siddiqui, directors in PwC Intelligence, for a discussion about the significant forces currently impacting the business landscape.
In this episode you’ll hear:
- 1:12 - An update on the geopolitical and macroeconomic impacts from the war in Ukraine
- 15:02 - How companies are planning for the continued adverse supply chain impact of the COVID-19 pandemic (while also navigating ESG matters)
- 29:57 - The future of the US economy and the possibility of a recession, with thoughts on the labor market
- 37:25 - A discussion on the recent Fed activity and what to expect regarding their efforts to minimize stock market turbulence and curb inflation
- 40:38 - Final thoughts and recommendations to prepare for the second half of the year
Want to learn more? Check out some of our previous podcasts with PwC Intelligence: Crypto toolkit: Decoding central bank digital currencies, and COVID-19: How looking back will help business move forward.
Craig Stronberg leads the Business Acumen capability for PwC Intelligence, spearheading the team of analysts that provides macroeconomic, sector, and geopolitical intelligence to key stakeholders. Named as one of the "100 Most Creative People in Business” by Fast Company, Craig had a nearly 20 year career in national security affairs working for and advising numerous agencies and international partners, having been decorated five times. His focus has been on numerous areas, including counterintelligence, economic espionage, counterterrorism, cyber threats, political-military issues, special operations integration, and support for major events such as the Olympic Games.
Zain Siddiqui is a senior economist for PwC Intelligence with a specialty in macroeconomics and finance. He advises stakeholders and clients on the business implications of emerging macro and geopolitical vulnerabilities, and helps them shape business strategy. His research has appeared in books on international economic policy and macroeconomic journals.
Heather Horn is a Deputy Chief Accountant in PwC’s National Office and leader of the thought leadership group, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we take a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month, we are covering derivatives – a complicated area that generates numerous questions.
In this episode, Heather Horn was joined by Bret Dooley and Chris Gerdau from our National Office to dive into how to identify derivatives, explaining how to navigate through the definition, scope exceptions, and embedded derivative analysis.
In this episode, you will hear them discuss:
- 1:30 - How broad the definition of a derivative is and lesser known examples
- 4:21 - Applying the three criteria needed to meet the definition
- 14:15 - Understanding the scope exceptions
- 25:45 - What you need to know about the criteria for bifurcating embedded derivatives
- 32:00 - Common examples of embedded derivatives and “hidden” features that need to be assessed
- 35:10 - A summary of key takeaways and an update on derivative standard setting
Want to learn more? Refer to our Derivatives and hedging guide and our Financial statement presentation guide, and stay tuned for more insightful episodes in the coming weeks.
Bret Dooley is a Deputy Chief Accountant in PwC’s National Office and the financial instruments accounting leader. He has over 25 years of experience specializing in the financial services, banking, and capital markets industries. Bret focuses on emerging financial reporting issues relating to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters.
Chris Gerdau is a partner in PwC’s National Office specializing in accounting for financial instruments and banking-related topics. Chris also conducts technical reviews of SEC filings and provides technical support to PwC’s practice offices. With over 25 years of experience, Chris’s client service expertise includes the banking, capital markets, and insurance industries.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Response letters to the SEC’s climate disclosure proposal are in – thousands of them – and one of those letters is PwC’s own response. This week, Heather Horn was joined by Wes Bricker, PwC Vice Chair and Trust Solutions Co-Leader to discuss the contents of our letter to the SEC, and share further insights on our recommendations to the staff.
In this episode, you will hear:
- 2:20 - Feedback on the climate disclosure proposal from diverse perspectives collected across the financial reporting ecosystem
- 9:10 - Why the proposal is important for a variety of stakeholders
- 15:34 - How the proposal fits into the global climate reporting landscape
- 18:58 - The importance of data in meeting the disclosure requirements, along with risks and opportunities of the proposal through management’s lens
- 28:55 - A discussion on the 1% footnote threshold
- 34:55 - The benefits of agreeing on a consistent reporting framework for greenhouse gas emissions
- 39:35 - Insights into addressing the complexities of scope 3 reporting requirements
- 42:15 - The importance to investors and other stakeholders of reasonable assurance over climate reporting
Want to learn more about the SEC’s proposal? Listen to our previous podcasts that provide perspective from the C-suite, a closer look at governance, and a focus on implementation considerations. Also refer to the text or audio version of our In the loop, The SEC wants me to disclose what?
Wes Bricker is PwC’s Vice Chair and Trust Solutions Co-Leader for the US and Mexico. In this role he oversees the largest Trust platform in the world, bringing together the firm’s combined Audit, ESG, Digital Assurance and Tax Reporting capabilities to best help clients as they seek to build trust with their stakeholders. As co-leader, Wes is responsible for the quality of service, excellence in the work performed by over 21,000 partners and staff, developing diverse teams and driving innovation.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we take a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month, we are covering leasing–a multifaceted area that generates numerous questions.
In this episode, Heather Horn was joined by Jillian Pearce and Marc Jerusalem from our National Office to dive into how to detect potential embedded leases in service or supply contracts and assess contract terms in the context of the leasing criteria.
In this episode, you will hear them discuss:
- 1:28 - The definition of a lease
- 4:53 - How to think about the “in exchange for consideration” part of the definition and “free” leases
- 10:34 - The identified asset criteria and “floating” leases
- 15:47 - The substitution rights criteria and how to assess the ability to economically benefit from substitution
- 20:52 - Common questions on understanding the right to substantially all economic benefits criteria
- 27:03 - The right to direct the use of the asset criteria and predetermined rights
- 38:07 - Common examples where embedded leases are found and final advice
Want to learn more? Listen to our previous podcasts in our Leasing toolkit series on demystifying sale-leasebacks and build-to-suit arrangements, private company adoption and how to get lease measurements and modifications right.
Jillian Pearce is a Partner in PwC's National Office, providing advice on financial instruments and other technical accounting issues to power and utilities clients. She was a Professional Accounting Fellow in the Office of the Chief Accountant at the SEC, and has over 15 years of auditing experience.
Marc Jerusalem is a Director in PwC’s National Office specializing in leasing. Marc consults with clients on complex lease accounting issues and is a frequent contributor to many related PwC National Office publications.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The SEC has published its widely anticipated proposal to enhance companies' climate-related disclosures. In addition to details regarding how management identifies, assesses, and manages climate-related risks and the related impact on financial metrics, the proposal calls for companies to provide information about how their boards provide oversight of climate-related matters.
This week, Heather Horn was joined by Joe Allanson, EVP, ESG Finance for Salesforce to discuss a preparer’s perspective on the SEC's proposal.
In this episode, you will hear:
- 1:21 - How changes in the overall prominence of ESG reporting is reflected in the C-suite
- 8:53 - One company’s journey to the current state of climate-related reporting
- 16:24 - Benefits and challenges of the SEC’s climate disclosure proposal from a reporting perspective
- 26:20 - Perspectives on the process of developing effective ESG reporting, along with a discussion about the supporting data quality
- 36:41 - The importance of global climate reporting requirements and alignment
- 40:17 - Final advice on ESG reporting
Want to learn more about the SEC’s proposal? Listen to our previous podcasts that provide a closer look at governance, related investor perspectives, legal and regulatory perspectives, and a focus on implementation considerations. Also refer to the text or audio version of our In the loop, The SEC wants me to disclose what?
Joe Allanson is an EVP, Finance ESG at Salesforce. Joe has over 18 years of experience serving in various finance and accounting management positions at Salesforce, including 14 years as Chief Accounting Officer and Corporate Controller. Joe also sits on the advisory board to several universities.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In the second quarter 2022 edition of The quarter close, PwC’s Deputy Chief Accountants provide their thoughts on what should be top of mind when considering accounting and reporting in the current economic environment. We also provide updates on the SEC’s climate and cyber disclosure proposals and the FASB’s new standard-setting projects.
Read The quarter close for these and other relevant accounting and reporting topics you should consider as you close out the second quarter of 2022.Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we take a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month, we are covering leasing–a multifaceted area that generates numerous questions.
In this episode, Heather Horn was joined by Chad Soares and Marc Jerusalem from our National Office to breakdown the complexities of sale-leaseback transactions and built-to-suit lease arrangements.
In this episode, you will hear:
- 1:24 - An overview of sale-leaseback transactions, including how the accounting changed in the updated leases standard
- 7:59 - A deeper dive into meeting the risks and rewards of ownership criteria and the treatment of purchase and put options
- 18:50 - Accounting for sale-leasebacks and questions about fair value
- 24:50 - What to do when transactions don’t qualify for sale-leaseback accounting
- 31:10 - An overview of built-to-suit arrangements and changes from the more form driven prior guidance
- 39:42 - Things to look out for in sale-leaseback and built-to-suit transactions
- 42:18 - Final advice for dealing with these complex arrangements
Want to learn more? Listen to our previous podcasts in our Leasing toolkit series on private company adoption and how to get lease measurements and modifications right.
Chad Soares is a partner in PwC's National Office focused on leasing and financing arrangements. He was a primary author of PwC’s Leases guide and continues to contribute to a variety of thought leadership related to leasing and financial instruments.
Marc Jerusalem is a Director in PwC’s National Office specializing in leasing. Marc consults with clients on complex lease accounting issues and is a frequent contributor to many related PwC National Office publications.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
On March 21, the SEC published a widely anticipated proposal to enhance companies' climate-related disclosures. In addition to details regarding how management identifies, assesses, and manages climate-related risks and the related impact on financial metrics, the proposal calls for companies to provide information about how their boards provide oversight of climate-related matters.
In this episode, Heather Horn was joined by Brigham McNaughton, a managing director in PwC’s ESG practice, to discuss the challenges and opportunities companies face as they consider how to implement the SEC's climate disclosure proposal.
In this episode, you will hear:
- 1:13 - An overview of the implementation questions companies are asking
- 4:53 - Physical and transition risk disclosure requirements of the proposal, and how those terms are defined
- 17:08 - Navigating the 1% rule for the financial statement disclosures
- 21:14 - How companies can ensure their processes, controls and data are sufficient to meet the proposal requirements
- 28:04 - Emissions disclosures and using carbon offsets, and the related attest considerations
- 35:45 - What to focus on when developing new climate goals and targets
- 43:28 - Global outlook - the CSRD and ISSB proposals
- 48:53 - Final advice on the future of ESG reporting
Want to learn more about the SEC’s proposal? Listen to our previous podcasts that provide a closer look at governance, related investor perspectives, and legal and regulatory perspectives. Also refer to the text or audio version of our In the loop, The SEC wants me to disclose what?
Brigham McNaughton is a managing director in PwC’s ESG practice. He has served global clients in a range of industries including utilities, automotive, and financial services, advising on core ESG strategy development and stakeholder engagement. Brigham has worked closely with the Sustainability Accounting Standards Board on a variety of reporting initiatives.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we take a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month, we are covering leasing–a multifaceted area that generates numerous questions.
In this episode, Heather Horn was joined by C.J. Finn, a partner in PwC’s private company services group and Chad Soares and Marc Jerusalem from our National Office to discuss lessons learned and key judgments that need to be made for private company adoption.
In this episode, you will hear:
- 1:12 - An overview of an effective adoption approach
- 6:03 - What previous adopters have learned about allocating the appropriate resources
- 11:19 - The definition of a lease under ASC 842 and recognition of lease and non-lease components
- 20:24 - Transition and practical expedients
- 29:18 - FASB standard setting activity to ease the burden of implementation
- 35:55 - Common legacy accounting issues that are challenging under the new standard
- 40:40 - Final advice on how to drive an effective implementation of ASC 842
Want to learn more? Listen to our previous podcast in our Leasing toolkit on how to get lease measurements and modifications right. Also, see our flowchart to think through lease classification in our Leases guide.
C.J. Finn, PwC’s private company accounting change leader, has 18 years of experience working with public and private companies. He has advised large multinational clients on complex accounting areas, SEC reporting, system development, mergers and acquisitions, and purchase accounting and valuation.
Chad Soares is a partner in PwC's National Office focused on leasing and financing arrangements. He was a primary author of PwC’s Leases guide and continues to contribute to a variety of thought leadership related to leasing and financial instruments.
Marc Jerusalem is a Director in PwC’s National Office specializing in leasing. Marc consults with clients on complex lease accounting issues and is a frequent contributor to many related PwC National Office publications.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
On March 21, the SEC published a widely anticipated proposal to enhance companies' climate-related disclosures. In addition to details regarding how management identifies, assesses and manages climate-related risks and the related impact on financial metrics, the proposal calls for companies to provide information about how their boards provide oversight of climate-related matters.
In this episode, Heather Horn was joined by PwC’s Stephen Parker and Jamie Gamble, along with John White, a partner in the law firm Cravath, Swaine & Moore and former Director of the Division of Corporation Finance at the SEC, to focus on the governance aspects of the SEC's climate disclosure proposal.
In this episode, you will hear:
2:46 - Potential timelines for final rule adoption and effective dates
7:16 - The intent of the governance requirements in the climate disclosure proposal
15:24 - If the governance provisions represent a trend for future SEC proposals
25:45 - Reactions in the marketplace and how companies are navigating the “learning curve” around climate and governance
28:29 - Perspectives on where responsibility for climate governance and oversight should reside
41:42 - How board oversight of a well-defined ESG strategy allows companies to manage risks and drive success
47:32 - Final advice on where boards and companies should focus as they continue to prepare for a final rule
Want to learn more? Listen to our previous podcasts that provide an overview of the proposal, related investor perspectives, and legal and regulatory perspectives on the proposal.
Stephen Parker is a partner in PwC’s Governance Insights Center, which strives to strengthen the connection between directors, executive teams, and investors by helping them navigate the evolving governance landscape. With more than 30 years of experience, Stephen has advised boards of directors on a variety of complex financial reporting matters. Stephen’s client service experience has included energy and utility companies, financial services companies, and nonprofits.
Jamie Gamble is a managing director in PwC's Trust Solutions practice with over 25 years of experience focused on corporate governance, cybersecurity, workforce, and ESG-related issues. Before joining PwC, he was a litigation partner at Simpson Thacher & Bartlett LLP.
John White is a partner at Cravath, Swaine & Moore LLP, and chair of that firm’s Corporate Governance and Board Advisory practice. He represents public companies on a variety of disclosure matters, including corporate governance, reporting, financings, and restatements. With over 50 years of experience, he previously served as the Director of the Division of Corporation Finance at the SEC and on the board of Financial Executives International. John is a current member of FASAC, and member of the Board of Trustees of the Practicing Law Institute where he also serves as chair of the audit committee.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we take a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month, we are covering leasing–a multifaceted area that generates numerous questions.
In this episode, Heather Horn was joined by Suzanne Stephani and Marc Jerusalem, Directors from PwC’s National Office, to discuss the accounting guidance for some of the primary measurement and lease modification judgments that need to be made.
In this episode, you will hear:
- 2:20 - Common questions related to lease measurement
- 7:38 - Considerations around variable payments
- 10:08 - Key concepts and tools when accounting for lease incentives
- 16:38 - Determining the lease term when there are automatic renewals
- 21:59 - The importance of periodic reassessment of the lease term for lessees
- 31:10 - How to select the correct discount rate
- 37:09 - Lease modifications: what they are and how to account for them
Want to learn more? Listen to our previous podcast, Full disclosure: Leases, andread our chapter on modification and remeasurement of a lease in our Leases guide.
Suzanne Stephani is a Director in PwC’s National Office specializing in the application and interpretation of the accounting guidance related to financing and leasing transactions as well as the cash flow statement.
Marc Jerusalem is a Director in PwC’s National Office specializing in leasing. Marc consults with clients on complex lease accounting issues and is a contributor to many related PwC National Office publications.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In this episode, Heather Horn was joined by Rich Goode from PwC's ESG practice and Jillian Pearce from PwC's National Office to focus on the accounting and reporting for carbon offsets and renewable energy credits (RECs), including how they’re addressed in the SEC’s climate disclosure proposal.
In this episode, you will hear:
- 1:49 - An overview of RECs and carbon offsets
- 7:37 - What is renewable energy?
- 8:49 - Rich’s RSIO framework - reduce, switch, innovate, offset
- 11:56 - A refresher on scope 1, 2, and 3 greenhouse gasses in the GHG Protocol and how RECs and carbon offsets can be used to offset them
- 14:49 - RECs and carbon offsets in the SEC climate disclosure proposal
- 23:12 - Accounting for RECs and carbon offsets
- 34:27 - Why companies using only RECs and carbon offsets may be missing out
- 36:58 - Final advice for companies on use of offsets and RECs
Want to learn more? Read our publication Accounting for your company’s zero-carbon future. And listen to our previous podcasts where we deep dive into GHG scope 1, scope 2, and scope 3.
Rich Goode is a principal in PwC's ESG practice where he assists clients in the technology, media, and telecommunications sectors navigate key environmental, social, and governance issues. Leveraging 30 years of experience, Rich also currently serves as an Adjunct Lecturer at Harvard University.
Jillian Pearce is a Partner in PwC's National Office, providing advice on financial instruments and other technical accounting issues to power and utilities clients. She was a Professional Accounting Fellow in the Office of the Chief Accountant at the SEC, and has over 15 years of auditing experience.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we are taking a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month, we are covering income taxes–an area that generates numerous technical questions.
In this episode, Heather Horn was joined by Jenn Spang and Matt McCann, partners in PwC’s National Office, to discuss valuation allowances, an often challenging topic that contains multiple decision points and requires ongoing evaluation.
In this episode, you will hear:
- 2:02 - The definition of a valuation allowance
- 4:28 - An overview of the applicable accounting guidance
- 7:08 - Tips on when a timely scheduling analysis may be helpful
- 10:38 - Negative evidence represented by cumulative losses in recent years
- 16:05 - The relative weight of projections of future income
- 24:23 - How tax planning strategies factor into available evidence
- 31:24 - Common misconceptions in performing valuation allowance assessments
- 36:16 - Navigating reversals of valuation allowances: timing, documentation, and disclosures
- 42:04 - Takeaways on improving the process of performing valuation allowance assessments
Want to learn more? Listen to the previous podcasts in our Tax toolkit in which we discuss how to consideruncertain tax positions, separate company financial statements, divestitures, and the scope of ASC 740. Also, refer to the chapter on valuation allowances in our Income taxes guide.
Jenn Spang is a partner in PwC’s National Office and serves as the income tax accounting leader, specializing in tax accounting under US GAAP and IFRS. She has over 25 years of experience helping companies in a variety of industries navigate complex tax accounting matters.
Matt McCann is a partner in PwC's National Office who provides consultation in the areas of revenue recognition and income taxes. He has over 25 years of experience and previously served as the leader of the Consumer & Industrial Products Sector Assurance Practice in North Texas.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In recent months, regulators and standard setters around the globe have published proposed rules addressing companies' climate-related and other ESG disclosures. These proposals have investors in mind and could impact future reporting for many companies.
In this episode, Heather Horn was joined by PwC’s Hilary Eastman, Director of Investor Engagement, and Matt DiGiuseppe, a Managing Director in PwC's Governance Insights Center, to focus on the “big three” recent disclosure proposals from the SEC, the ISSB and EFRAG.
In this episode, you will hear:
- 1:05 - Perspectives from the investor community regarding climate-related proposals
- 9:11 - Why investors are demanding climate-related disclosures
- 17:21 - The challenges that preparers might face due to timelines established by regulators within current proposals
- 26:56 - The current state of sustainable investment analysis, and how analysts may cope with a future state of relative “information overload”
- 31:54 - The importance of preparation for producing quality disclosures
- 35:55 - How disclosures that would be made available under the new rules could impact investment analyses
- 39:25 - Recent global and domestic ESG disclosure developments, including shareholder resolutions
- 42:58 - The importance to investors of alignment across different sustainability reporting standards
- 47:59 - Final advice for companies on how considering investor perspectives may influence disclosure
Want to learn more? Listen to our previous podcasts covering GHG Scope 1, Scope 2, and Scope 3 emissions. Also, read PwC’s US investor survey: The economic realities of ESG. For more on the SEC’s proposal, refer to the text or audio version of our In the loop, The SEC wants me to disclose what?
Hilary Eastman leads global investor engagement at PwC and is an ESG reporting strategy expert, with responsibility for managing the firm’s relationships with the investment community in the UK and globally. In her role, Hilary works with investors and analysts to get their views on a variety of corporate reporting and governance matters to help companies improve their reporting to the capital markets.
Matt DiGiuseppe is a Managing Director in PwC’s Governance Insights Center, which helps stakeholders navigate the evolving governance landscape. With over 15 years of experience, Matt has participated in numerous industry groups and was the founding chairperson of the Investor Stewardship Group (ISG), which advanced a set of corporate governance and stewardship principles for the US market.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we are taking a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month, we are covering income taxes–an area that generates numerous technical questions.
In this episode, Heather Horn was joined by Jenn Spang and Matt McCann, partners in PwC’s National Office, to discuss the specific fact patterns that often cause preparers to question which guidance to apply to their tax transaction.
In this episode, you will hear:
- 1:17 - An overview of the GAAP guidance and what counts as an “income tax”
- 5:03 - Specific considerations for partnerships and pass-through entities
- 9:38 - Withholding taxes from the perspectives of the entities paying and receiving a dividend
- 13:12 - Accounting for tax credits and other tax incentives
- 18:22 - Key facts that determine whether digital service taxes are in the scope of ASC 740
- 20:43 - Takeaways on how to effectively navigate the global tax landscape and establish appropriate monitoring
Want to learn more? Listen to the previous podcasts in our Tax toolkit in which we discuss how to work withuncertain tax positions, separate company financial statements, and divestitures. Also, refer to our chapter on Scope of ASC 740 in our Income taxes guide.
Jenn Spang is a partner in PwC’s National Office and serves as the income tax accounting leader, specializing in tax accounting under US GAAP and IFRS. She has over 25 years of experience helping companies in a variety of industries navigate complex tax accounting matters.
Matt McCann is a partner in PwC's National Office who provides consultation in the areas of revenue recognition and income taxes. He has over 25 years of experience and previously served as the leader of the Consumer & Industrial Products Sector Assurance Practice in North Texas.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
On March 21, the SEC published a widely anticipated proposed rule addressing companies’ climate-related disclosures. Among them are new disclosures related to greenhouse gas (GHG) emissions. While not all companies will need to disclose Scope 3, companies will still need an understanding of Scope 3 volume and sources to determine whether they meet the disclosure threshold.
In this episode, Heather Horn was joined by Rich Goode, principal in PwC’s ESG practice, to take a deeper dive into a few of the key issues and questions that registrants may have when measuring and reporting GHG Scope 3.
In this episode, you will hear:
- 1:08 - A refresher of the types of emissions included within each scope under the GHG Protocol
- 5:12 - An overview of the emissions categories within Scope 3 and how companies can determine which categories apply to their business
- 12:18 - How the broader term “value chain” is eclipsing “supply chain” in terms of sustainability reporting
- 14:17 - Concepts and tools to help navigate the complexities of calculating Scope 3 emissions
- 21:22 - Key considerations for how to develop an emissions inventory management plan
- 29:50 - The history of the GHG Protocol, and additional industry-specific resources
- 36:56 - How renewable energy credits and carbon offsets fit into the disclosure of emissions, and insights on the broader significance of environmental disclosures
Want to learn more? Listen to our previous podcast, Getting smarter on GHG emissions: Scope 1 and Scope 2. Also, read the related GHG Corporate Value Chain Accounting and Reporting Standard on Scope 3 emissions. For more on the SEC’s proposal, refer to the text or audio version of our In the loop, The SEC wants me to disclose what?
Rich Goode is a principal in PwC's ESG practice where he assists clients in the technology, media, and telecommunications sectors navigate key environmental, social, and governance issues. Leveraging 30 years of experience, Rich also currently serves as an Adjunct Lecturer for Harvard University.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we are taking a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month, we are covering income taxes–an area that generates numerous technical questions.
Companies prepare separate financial statements of subsidiaries for various reasons, such as spin offs, regulatory requirements, or compliance with debt covenants. In this episode, Heather Horn was joined by Jenn Spang and Matt McCann, partners in PwC’s National Office, to discuss the accounting guidance for income tax provisions in separate company financial statements.
In this episode, you will hear:
- 1:15 - An overview of guidance for allocating a tax provision to subsidiaries under ASC 740
- 6:26 - An introduction to the separate return method
- 12:15 - Common modifications to the separate return method, including benefits-for-losses
- 17:50 - How tax sharing agreements impact the provision and related balance sheet accounts
- 25:22 - How to account for uncertain tax positions in separate company financial statements
- 27:59 - Specific considerations for carve-out financial statements
- 35:33 - Final advice on how to effectively navigate the complexities of separate financial statements
Want to learn more? Listen to our previous podcasts, Working with uncertain tax positions, and read about separate company financial statements in our Income taxes guide.
Jenn Spang is a partner in PwC’s National Office and serves as the income tax accounting leader, specializing in tax accounting under US GAAP and IFRS. She has over 25 years of experience helping companies in a variety of industries navigate complex tax accounting matters.
Matt McCann, is a partner in PwC's National Office who provides consultation in the areas of revenue recognition and income taxes. He has over 25 years of experience and previously served as the leader of the Consumer & Industrial Products Sector Assurance Practice in North Texas.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
On March 21, the SEC published a widely anticipated proposed rule addressing companies’ climate-related disclosures. One of the disclosures that would be required under the proposal is greenhouse gas (GHG) Scope 1 and Scope 2 emissions, as defined in the GHG Protocol.
In this episode, Heather Horn was joined by Rich Goode, principal in PwC’s ESG practice, to take a deeper dive into a few of the key issues and questions that registrants may have when measuring and reporting GHG scopes 1 and 2, as required by the proposal.
In this episode, you will hear:
- 1:07 - An overview of the GHG Protocol and the types of emissions included and excluded from its scope
- 7:06 - Overview of the process to measure Scope 1 emissions
- 10:54 - A deeper dive into the importance of data quality, and how to increase it
- 18:12 -Why disaggregated disclosures of constituent gasses could matter to users
- 22:21 - How companies can effectively address emissions factors required by different authorities
- 26:48 - Key considerations when calculating Scope 2 emissions, including the role of renewable energy credits
- 32:46 - Using carbon offsets effectively and how they fit into the SEC’s current proposal
- 37:01 - The importance of a GHG inventory management plan, and final advice on disclosure readiness
Want to learn more? Refer to the text or audio version of our In the loop, The SEC wants me to disclose what? and read the proposed rules, The Enhancement and Standardization of Climate-Related Disclosures for Investors, as well as the related fact sheet.
Rich Goode is a principal in PwC's ESG practice where he assists clients in the technology, media, and telecommunications sectors navigate key environmental, social, and governance issues. Leveraging 30 years of experience, Rich also currently serves as an Adjunct Lecturer for Harvard University.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we are taking a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month, we are covering income taxes–a multifaceted area that generates numerous technical questions.
In this episode, Heather Horn was joined by Jenn Spang and Kassie Bauman from PwC’s National Office to discuss the accounting guidance for divestitures, focusing on some of the primary judgments.
In this episode, you will hear:
- 4:06 - Considerations during the period of time that a company is contemplating a divestiture
- 8:38 - Key judgments when assessing valuation allowances before a divestiture is classified as held-for-sale
- 17:56 - How the timing of deferred tax liability reversals could impact valuation allowances
- 20:26 - Held-for-sale accounting: how to determine whether deferred taxes are included in the disposal group
- 28:32 - Financial statement presentation considerations for after the divestiture has occurred
- 42:20 - Additional focus areas to keep in mind for successful divestiture tax accounting
Want to learn more? Listen to our previous podcast, Working with uncertain tax positions, and read about how a disposal impacts Valuation allowancesin our Income taxes guide.
Jenn Spang is a partner in PwC’s National Office and serves as the income tax accounting leader, specializing in tax accounting under US GAAP and IFRS. She has over 25 years of experience helping companies in a variety of industries navigate complex tax accounting matters.
Kassie Bauman is a managing director in PwC's National Office who consults on tax accounting under US GAAP and IFRS. Kassie has more than 20 years of auditing and accounting experience, including significant experience addressing complex technical accounting matters as part of the firm’s National Office.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The landscape of ESG reporting is moving quickly. While numerous proposals are currently in play both in the US and abroad to make climate-related disclosures mandatory, there remains a significant investor impetus for broader, voluntary ESG disclosures.
In this episode, Heather Horn was joined by Eelco van der Enden, CEO of the Global Reporting Initiative (GRI), and Andreas Ohl, a partner in PwC’s National Office, to discuss the latest global standard-setting developments, as well as an update on GRI’s collaboration with the IFRS Foundation.
In this episode, you will hear:
- 1:27 - A refresher on the history and role of GRI
- 4:38 - Current developments in climate-related disclosure requirements
- 8:00 - GRI’s role in the development of Europe’s sustainability reporting standards–which will impact US registrants with operations in Europe
- 16:20 - The ISSB’s collaboration with GRI and how it will impact climate-related and other disclosure requirements
- 18:28 - The significance of “double materiality” and how it impacts reporting
- 25:52 - Areas in need of interpretation across different sets of standards
- 42:32 - The role of GRI in driving the quality of ESG reporting
- 46:52 - Final advice for leaders: where and how to direct your transformation efforts
Want to learn more?
- Read our In brief, ISSB proposes two sustainability standards, and our In the loop, Why US companies should not ignore Europe's ESG proposals.
- Listen to our podcast Talking ESG: A focus on the Global Reporting Initiative
- Read the exposure drafts on general sustainability-related disclosure requirements and climate-related disclosure requirements.
Eelco van der Enden is the CEO of the Global Reporting Initiative. Prior to this role, Eelco led PwC’s global ESG platform for the Tax & Legal and People Services, and PwC's Tax Administration Consulting practice. Eelco is also Chairman of the Tax Policy Group of Accountancy Europe, and has published multiple articles on tax governance and reporting.
Andreas Ohl is a partner in PwC's National Office focused on thought leadership, standard setting, and mergers and acquisitions under US GAAP and IFRS. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's in-process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we are taking a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month, we are covering income taxes–a multifaceted area that generates numerous technical questions.
In this episode, Heather Horn was joined by Jennifer Spang and Kassie Bauman from PwC’s National Office to discuss the accounting guidance for uncertain tax positions, focusing on some of the primary judgments that need to be made.
In this episode, you will hear:
- 1:32 - What constitutes an uncertain tax position (UTP)
- 5:11 - Rules covering the measurement and recognition of UTPs
- 9:32 - How to assess multiple outcomes and cumulative probability when recording UTPs
- 15:07 - Key judgments to exercise when evaluating the consistency of a position with administrative practice and precedence
- 23:58 - The importance of periodic reassessment and continuing to evaluate new information that could impact how UTPs are recorded
- 33:59 - Disclosure considerations
- 40:33 - Final advice on preparing disclosures and related documentation
Want to learn more? Listen to our previous podcast, Uncertain tax positions: the basics, andread our chapter on Accounting for uncertainty in income taxes in our Income taxes guide.
Jennifer Spang is a partner in PwC’s National Office and serves as the income tax accounting leader, specializing in tax accounting under US GAAP and IFRS. She has over 25 years of experience helping companies in a variety of industries navigate complex tax accounting matters.
Kassie Bauman is a managing director in PwC's National Office who consults on tax accounting under US GAAP and IFRS. Kassie has more than 20 years of auditing and accounting experience, including significant experience addressing complex technical accounting matters as part of the firm’s National Office.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
While market participants continue to discuss the potential impact of the SEC’s proposed climate disclosure rules, companies are currently receiving comment letters under existing SEC climate disclosure guidance.
In this episode, Heather Horn and Valerie Wieman, partners in PwC’s National Office, bring you an audio version of ourIn the loopon the existing guidance, including:
- 1:35 - Background on SEC climate disclosure guidance, including its historical timeline
- 6:49 - The specific Regulation S-K items drawing the attention of the staff today
- 10:50 - Examples of the types of events that may require disclosure
- 15:21 - Example original and follow-up comments from the SEC staff about climate disclosures
Refer also to the print version, Don’t wait until the SEC staff asks you about climate change. For more on the proposed guidance, refer to our publication, The SEC wants me to disclose what? The SEC’s climate disclosure proposal. Also, listen to our previous podcasts giving you a closer look at the proposal, along with legal and regulatory perspectives.
Valerie Wieman is PwC’s National Office Editor-in-chief. She is involved in the creation, development, and publication of our brand-defining thought leadership, with a recent focus on ESG reporting. Prior to this role, she was part of PwC’s National Office SEC Services group, helping clients navigate SEC rules and regulations.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we are taking a deep dive into one accounting topic each month that goes beyond the basics and deeper into areas that require judgment. This month, we have covered digital assets–from the overall landscape to the accounting and reporting impacts.
In this episode, Heather Horn was joined by Craig Stronberg and Nataly Yackanich, directors in PwC’s Intelligence group, to wrap our crypto series with a discussion of central bank digital currencies (CBDCs).
In this episode, you will hear:
- 1:58 - The current stance of the Federal Reserve towards CBDCs
- 4:53 - The benefits and potential implications of having CBDCs as an available form of payment
- 10:38 - An outlook of the current state of CBDCs in other countries
- 13:18 - Challenges central banks face in implementing CBDCs
- 20:02 - The pros and cons of CBDCs from the perspectives of multiple stakeholder groups
- 34:27 - How CBDCs are impacted by geopolitical considerations
- 38:18 - How creating digital currency can impact the climate
- 39:24 - A look at the future of CBDCs
Want to learn more? Listen to our previous podcasts in the Crypto toolkit series, Getting smarter on digital assets, Accounting for holding digital assets, and Transacting using digital assets.Also, read our Crypto assets guide, and check out our recent publication on new SEC rules for crypto-assets.
Nataly Yackanich is the lead financial services analyst for PwC Intelligence. She advises stakeholders on the business implications of emerging issues in the financial services industry. She is a CFA charterholder with significant buy- and sell-side experience covering multiple industries, including financial services, industrials, and technology.
Craig Stronberg leads the Business Acumen capability for PwC Intelligence, spearheading the team of analysts that provides macroeconomic, sector, and geopolitical intelligence to key stakeholders. Named as one of the "100 Most Creative People in Business” by Fast Company, Craig had a nearly 20 year career in national security affairs working for and advising numerous agencies and international partners, having been decorated five times. His focus has been on numerous areas, including counterintelligence, economic espionage, counterterrorism, cyber threats, political-military issues, special operations integration, and support for major events such as the Olympic Games.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
On March 21, the SEC published a widely anticipated proposed rule addressing companies’ climate-related disclosures.
While the markets continue to discuss the potential impact this proposal may have, our In the loop, The SEC wants me to disclose what? highlights several accounting and reporting matters that registrants may want to consider.
In this episode, Heather Horn and Valerie Wieman, partners in PwC’s National Office, bring you an audio version of ourIn the loop, including:
- 3:42 - Highlights of proposed disclosure requirements
- 7:19 - Overview of focus areas that registrants may want to consider
- 25:38 - Advice on what should companies do now
- 29:43 - Answers to frequently asked questions
Want to learn more? Read the proposed rules, Enhance and Standardize Climate-Related Disclosures for Investors, and the related fact sheet. Also, listen to our previous podcasts giving you a closer look at the proposal, along with legal and regulatory perspectives.
Valerie Wieman is PwC’s National Office Editor-in-chief. She is involved in the creation, development, and publication of our brand-defining thought leadership, with a recent focus on ESG reporting. Prior to this role, she was part of PwC’s National Office SEC Services group, helping clients navigate SEC rules and regulations.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In December 2021, the Organisation for Economic Co-operation and Development (OECD) published a widely anticipated “two pillar” model rule for domestic implementation of a 15% global minimum tax.
Heather Horn was joined by Jennifer Spang, PwC National Office partner, and Pat Brown, PwC’s Washington National Tax Services Co-Leader, to discuss the challenges and taxation implications of the OECD model rule, along with considerations for how companies can prepare.
In this episode, you will hear:
- 1:30 - A refresher on the role of the OECD
- 4:16 - The evolution of a global minimum tax and potential challenges countries face in adopting the model rule
- 11:56 - Potential interpretations that could impact how countries enact and enforce the model rule
- 20:54 - An overview of the rules and how they create the concept of a minimum effective tax rate
- 25:38 - Adjustments to financial statement income to arrive at global income
- 32:18 - How the global minimum tax computation of the model rule is creating US domestic tax policy implications
- 41:26 - Considerations on how to prepare for rule adoption
Want to learn more? Read the proposed rules, commentary, and illustrative examples. Also, listen to our previous podcast, What global tax initiatives could mean for your company.
Jennifer Spang is PwC’s National Office income tax accounting leader specializing in tax accounting under US GAAP and IFRS. She has over 25 years of experience helping companies in a variety of industries navigate complex tax accounting matters.
Pat Brown is PwC’s Washington National Tax Services Co-Leader. Prior to joining PwC, he spent 16 years in the private sector, including a role as the director of tax policy for a Fortune 50 company. Pat has also served in the US Treasury’s Office of Tax Policy as an attorney-advisor and as Associate International Tax Counsel.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we are taking a deep dive into one accounting topic each month that goes beyond the basics and deeper into areas that require judgment. This month, we are covering digital assets–from the overall landscape to the accounting and reporting impacts.
In this episode, Heather Horn was joined by Beth Paul, Bret Dooley, and Angela Fergason, partners in PwC’s National Office, to discuss accounting considerations for crypto transactions.
In this episode, you will hear:
- 1:39 - An overview of the different types of cryptocurrency transactions emerging in the marketplace
- 2:52 - Considerations related to crypto lending transactions
- 5:52 - Comparing the accounting model for crypto transactions (nonfinancial assets) with the accounting for transactions with financial assets
- 12:55 - Crypto assets as noncash consideration in revenue transactions, and embedded derivative assessments for crypto receivables
- 19:08 - Whether and how to recognize revenue derived from sales of crypto assets
- 27:04 - Disclosures for digital asset transactions, and further resources
Want to learn more? Listen to our previous podcasts in the Crypto toolkit series, Getting smarter on digital assets, and Accounting for holding digital assets. Also, read our chapters on crypto exchange transactions and fair value measurement in our Crypto assets guide, and be sure to check out our recent publication on new SEC rules for crypto-assets.
Beth Paul is a Deputy Chief Accountant in PwC’s National Office responsible for a team of consultants that specialize in business combinations and related areas, such as consolidations, disposals, impairments, and segment reporting. Prior to this role, Beth was the Strategic Thought Leader in PwC’s National office, working closely with firm leadership to determine PwC’s position on emerging trends in auditing, accounting, and financial reporting matters.
Angela Fergason is a partner in PwC's National Office with over 20 years of experience who specializes in accounting for revenue and employee compensation arrangements. She also consults on a range of financial reporting issues impacting technology companies. Angela is a frequent speaker on accounting and financial reporting topics and is a contributor to many PwC National Office publications, including our accounting guides on revenue and stock-based compensation.
Bret Dooley is a Deputy Chief Accountant in PwC’s National Office and the financial instruments accounting leader. He has over 25 years of experience specializing in the financial services, banking, and capital markets industries. He focuses on emerging financial reporting issues relating to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
On March 21, the SEC published a widely anticipated proposal to enhance companies’ climate-related disclosures.
In our third episode on the SEC's proposal, Heather Horn was joined by Kyle Moffatt, partner in PwC’s National Office, and John White, who is a partner in the law firm Cravath, Swaine & Moore and former Director of the Division of Corporation Finance at the SEC. Heather, Kyle, and John take a deeper dive into some of the key accounting, legal, and regulatory questions that registrants may have.
In this episode, you will hear:
- 1:47 - Perspectives on marketplace reactions to the proposal
- 6:03 - The challenges of defining climate-related events and collecting related data
- 9:17 - The various materiality considerations within the proposal
- 11:32 - The factors that the SEC could weigh when evaluating comments on the proposal
- 18:03 - Legal perspective: understanding the SEC’s authority to enforce rules
- 28:15 - How the proposed rules differ in design and impact from a Staff Accounting Bulletin
- 32:15 - How companies can start to address the proposed rules, beginning with board-level considerations
- 39:52 - The importance of data quality for readiness, and final words of advice
Want to learn more? Read the proposed rules: The Enhancement and Standardization of Climate-Related Disclosures for Investors, the related fact sheet, and our In the loop, The SEC wants me to disclose what? The SEC’s climate disclosure proposal. Also, listen to our previous special episodes, The new SEC climate proposal, and SEC climate proposal: A closer look.
Kyle Moffatt is a partner in PwC's National Office where he consults with engagement teams and audit clients on SEC reporting matters. He joined PwC in 2020 after spending almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
John White is a partner at Cravath, Swaine & Moore LLP, and chair of that firm’s Corporate Governance and Board Advisory practice. He represents public companies on a variety of disclosure matters, including corporate governance, reporting, financings, and restatements. With over fifty years of experience, he previously served as the Director of the Division of Corporation Finance at the SEC and on the board of Financial Executives International. John is a current member of FASAC, and member of the Board of Trustees of Practising Law Institute where he also serves as chair of the audit committee.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we are taking a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month, we are covering digital assets–from the total landscape to the accounting and reporting impacts.
In this episode, Heather Horn was joined by Beth Paul, Kevin Jackson, and Reto Micheluzzi, to discuss the accounting models for holding crypto.
In this episode, you will find:
- 1:44 - A refresher on the types of cryptocurrencies and related accounting models
- 6:52 - A deep dive into the intangible assets guidance as the primary model to account for cryptocurrencies
- 10:09 - The challenges when determining the fair value of digital assets
- 19:36 - Impairment considerations when assessing the value of digital assets
- 26:36 - How to calculate the gain or loss on disposal when digital assets are sold
- 27:40 - The current state of standard-setting for digital assets
- 33:54 - The SEC’s focus areas for digital assets
Want to learn more? Listen to our previous podcast in the Crypto toolkit series, Getting smarter on digital assets, and read our chapters on Holding crypto assets, crypto fair value measurement. Also check out our recent publication on new SEC rules for crypto-assets.
Beth Paul is a Deputy Chief Accountant in PwC’s National Office responsible for a team of consultants that specialize in business combinations and related areas, such as consolidations, disposals, impairments, and segment reporting. Prior to this role, Beth was the Strategic Thought Leader in PwC’s National office, working closely with firm leadership to determine PwC’s position on emerging trends in auditing, accounting, and financial reporting matters.
Kevin Jackson is a director in PwC’s Capital Markets Accounting Advisory Services practice with over ten years of experience assisting clients with complex accounting and financial reporting issues. Kevin is also a member of the AICPA's Digital Assets Working Group, which provides interpretive guidance on how to account for digital assets.
Reto Micheluzzi is a partner in PwC’s National Office with over 25 years of experience solving companies’ most complex accounting and financial reporting issues, creating a path through the dense regulatory framework and bodies of rules. He has a deep understanding of the demands associated with today’s accounting complexities and potential SEC reporting issues, primarily related to M&A, consolidation, reorganizations, and income taxes.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
On March 21, the SEC published a widely anticipated proposed rule addressing companies’ climate-related disclosures.
In our second episode on the proposal, Heather Horn was joined by Kyle Moffatt and Valerie Wieman, partners in PwC’s National Office, to take a deeper dive into a few of the key issues and questions that registrants may have.
In this episode, you will hear:
- 1:58 - The proposed requirements around climate-related risks and impacts disclosures
- 10:03 - Financial statement disclosure requirements
- 11:16 - Currently expected timelines: final rule adoption and transition periods
- 18:28 - Broad and specific materiality aspects of the proposal
- 22:18 - The concept of short, medium, and long-term materiality
- 25:53 - Greenhouse gas emissions attestation requirements
- 28:22 - How the proposal could impact private companies
- 34:31 - The implications of the proposal’s definition of climate-related risks
- 37:20 - How companies should start preparing for a final rule
Want to learn more? Read the proposed rules to Enhance and Standardize Climate-Related Disclosures for Investors, the related fact sheet, and our In the loop,The SEC wants me to disclose what? The SEC’s climate proposal. Also, refer to our recently updated In the loop, which now includes SEC comments under the existing climate rules, and listen to our previous special episode, The new SEC climate proposal.
Kyle Moffatt is a partner in PwC's National Office where he consults with engagement teams and audit clients on SEC reporting matters. He joined PwC in 2020 after spending almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Valerie Wieman is PwC’s National Office Editor-in-chief. She is involved in the creation, development, and publication of our brand-defining thought leadership, with a recent focus on ESG reporting. Prior to this role, she was part of PwC’s National Office SEC Services group, helping clients navigate SEC rules and regulations.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we are taking a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month, we are covering digital assets–from the total landscape to the accounting and reporting impacts.
In this episode, Heather Horn was joined by Vikram Panjwani, a partner in PwC’s Digital Assurance and Transparency practice, to discuss the history, evolution, and current state of digital assets.
In this episode, you will hear:
- 1:27 - An overview of types of digital assets
- 7:23 - A historical perspective on cryptocurrency assets and appreciation of coins
- 13:31 - Stablecoins and a deep dive into the pros and cons of cryptocurrency as a method of payment
- 25:20 - Non-fungible tokens (NFTs): definitions, uses, and features
- 32:21 - Risk management within cryptocurrency ecosystems–explained from the user, investor, and regulatory perspectives
- 38:08 - How ESG is influencing decision makers and the cryptocurrencies market
- 41:18 - The future of money: how crypto could shape everyday transactions
Want to learn more? Listen to our previous podcast, Cryptocurrency? Digital asset? What’s the accounting?, read our recent publication on new SEC rules for crypto-assets, and read our Crypto assets guide.
Vikram Panjwani is a partner in PwC’s Digital Assurance and Transparency practice with over 20 years of experience helping clients address internal control, technology, and operational issues. He leverages assurance and controls assessments to help clients transform operations, reduce technology risks, and prepare for what’s around the corner.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In the last of our four-episode series covering the implications of the war in Ukraine, we focus on accounting considerations for indirect impacts of the conflict, such as those related to customers.
In this episode, Heather Horn was joined by Angela Fergason and Bret Dooley, partners in PwC’s National Office, to discuss some of the specific, but indirect, accounting topics and questions companies should consider.
In this episode, you will hear:
- 1:52 - How to perform collectibility assessments for transactions with impacted customers
- 8:12 - Broad credit risk considerations that go beyond customers’ financial health
- 10:32 - Accounting considerations when a company chooses to discontinue customer relationships
- 13:25 - Dealing with payables to vendors in Russia when payment cannot be tendered due to sanctions
- 14:55 - Impairment and valuation considerations for financial assets
- 20:08 - Considerations for designated hedge transactions when the forecasted transaction may no longer be probable
- 23:22 - Key reminders: disclosures on collectibility and impairments, and careful consideration of any non-GAAP adjustments
Want to learn more? Check out our previous podcasts covering the geopolitical implications of the war in Ukraine, an overview of the current state of sanctions, and accounting for impacted operations. Also read our publication, Implications of the Russian government's invasion of Ukraine.
Angela Fergason is a partner in PwC's National Office with over 20 years of experience who specializes in accounting for revenue and employee compensation arrangements. She also consults on a range of financial reporting issues impacting technology companies. Angela is a frequent speaker on accounting and financial reporting topics and is a contributor to many PwC National Office publications, including our accounting guides on revenue and stock-based compensation.
Bret Dooley is a Deputy Chief Accountant in PwC’s National Office and the financial instruments accounting leader, with over 25 years of experience specializing in the financial services, banking, and capital markets industries. He focuses on emerging financial reporting issues relating to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In the third of four episodes covering the implications of the war in Ukraine, we focus on accounting considerations for operations that have been impacted by the conflict.
In this episode, Heather Horn was joined by Jay Seliber and Reto Micheluzzi, partners in PwC’s National Office, to discuss some of the specific accounting topics and questions companies may need to consider.
In this episode, you will hear:
- 1:52 - Factors that determine whether deconsolidation of impacted subsidiaries may be necessary
- 7:12 - How to account for deconsolidation
- 14:18 - Impairment considerations for non-financial assets
- 18:46 - Devaluation of the Ruble and related foreign currency impacts
- 22:10 - When to present operations in Russia as assets held for sale
- 26:25 - Other areas to revisit for impairment assessments, including inventory and equity method investments
- 29:11 - How the war in Ukraine is exacerbating supply chain disruptions, and the related accounting implications
- 32:48 - The importance of quality information as well as transparent and timely disclosures about material issues
Want to learn more? Check out our previous podcasts covering the geopolitical implications of the war in Ukraine and an overview of the current state of sanctions, and read our publication, Implications of the Russian government's invasion of Ukraine.
Jay Seliber is a partner in PwC’s National Office. He leverages over 30 years of experience to help clients with their most complex accounting matters, particularly in the areas of mergers and acquisitions, revenue recognition, stock compensation, earnings per share, employee benefits, restructurings, impairments, and financing transactions. Jay is presently PwC's representative to the FASB's Emerging Issues Task Force.
Reto Micheluzzi is a partner in PwC’s National Office with over 25 years of experience solving companies’ most complex accounting and financial reporting issues, creating a path through the dense regulatory framework and bodies of rules. He has a deep understanding of the demands associated with today’s accounting complexities and potential SEC reporting issues, primarily related to M&A, consolidation, reorganizations, and income taxes.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In the second of four episodes covering the implications of the war in Ukraine, we focus on understanding the nature of sanctions that have been imposed on Russia, and their implications for businesses.
Heather Horn was joined by Eric Lorber, a principal in PwC’s Cyber, Risk & Regulatory Consulting Solutions practice and Jeannette Chu, a Managing Director in PwC’s Export Controls and Trade Sanctions group, who took a deep dive into US and other government sanctions, with some important insights for finance professionals to consider.
In this episode, you will hear:
- 3:12 - The reasons countries have moved quickly and in a multilateral fashion to enact current sanctions
- 6:03 - Comparison of the current sanctions with those imposed on Russia in 2014
- 12:26 - Overview of the different categories of restrictions that have been put into place since the beginning of the conflict
- 16:03 - Explanations of specific export and import controls
- 19:50 - Perspectives on the challenges of sanctions for companies and what’s driving the most compliance questions
- 26:44 - What potential expulsion from the G20 would mean for Russia, and discussion of the overall intent and objectives of the sanctions
- 34:54 - Viewpoints on the effectiveness of sanctions in achieving the desired result
- 41:14 - Important next steps for the finance organization, including reviews of compliance programs and other key action items
Want to learn more? Check out our previous podcast covering the geopolitical implications of the war in Ukraine.
Eric Lorber is a Principal in PwC’s Cyber, Risk, & Regulatory practice who advises financial institutions, fintech firms, and other global clients on issues related to compliance with sanctions, anti-money laundering, and anti-terrorism financing rules. Prior to joining PwC, he was a senior advisor to the Undersecretary for Terrorism and Financial Intelligence at the United States Department of the Treasury.
Jeannette Chu is a Managing Director in PwC’s Export Controls and Trade Sanctions group, helping companies address compliance risks and challenges. She was formerly a senior US diplomat with leadership positions at the US mission in China for over twelve years, serving as the key subject matter expert on a broad range of complex policy issues, including strategic trade, export controls, and immigration.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In the first of four episodes covering the implications of the war in Ukraine, we focus on the geopolitical and macroeconomic impacts that are likely to occur as the conflict continues.
Heather Horn was joined by Craig Stronberg, a director in PwC Intelligence, to take us through potential scenarios to expect in the near term.
In this episode, you will hear:
- 1:41 - How the business environment is responding to global themes of fragmentation, regulation, and reorientation
- 9:36 - Reasons why countries are generally aligned in their responses to the conflict
- 13:56 - Broad impacts from the conflict that have implications for the future
- 16:48 - Offshoring versus “re”-shoring: expectations for US industrial policy
- 26:12 - Access to products produced in Russia and Ukraine, and the challenges posed by restrictions and conflict
- 34:08 - Key elements for companies to focus on to navigate through the months ahead
- 37:20 - Important questions for the CFO to consider
- 40:12 - Green initiatives and the impact of the conflict on transition
Want to learn more? Check out our previous podcasts with PwC Intelligence, Special episode: Geopolitical and economic outlook for 2022.
Craig Stronberg leads the Business Acumean capability for PwC Intelligence, spearheading the team of analysts that provides macroeconomic, sector and geopolitical intelligence to key stakeholders. Named as one of the "100 Most Creative People in Business” by Fast Company, Craig had a nearly 20 year career in national security affairs working for and advising numerous agencies and international partners, having been decorated five times. His focus has been on numerous areas, including counterintelligence, economic espionage, counterterrorism, cyber threats, political-military issues, special operations integration, and support for major events such as the Olympic Games.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we are taking a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month, we are covering each of the five steps in the revenue recognition model.
In this episode, Heather Horn was joined by Angela Fergason and Pat Durbin, partners in PwC’s National Office, to discuss step five of the model: recognizing revenue.
In this episode, you will hear:
- 3:15 - Over time recognition - the three criteria to determine whether control transfers over time
- 10:51 - Measures of progress that can be used in over time recognition
- 13:12 - The importance of selecting a method that best depicts the transfer of control, and when a time-based measure of progress may be appropriate
- 18:45 - The “right to invoice” practical expedient
- 22:04 - Point in time recognition and the five indicators that control has transferred
- 28:33 - The impact of repurchase rights in determining whether control has transferred
- 33:39 - Specific considerations for acceptance clauses
- 35:13 - Licenses of intellectual property (IP), including how functional IP and symbolic IP are treated differently
Want to learn more? Read our chapter on Recognizing revenuein our Revenue guide.
Angela Fergason is a partner in PwC's National Office with over 20 years of experience who specializes in accounting for revenue and employee compensation arrangements. She also consults on a range of financial reporting issues impacting technology companies. Angela is a frequent speaker on accounting and financial reporting topics and is a contributor to many PwC National Office publications, including our accounting guides on revenue and stock-based compensation.
Pat Durbin is a Deputy Chief Accountant in PwC’s National Office and the leader of the revenue and liabilities division. He has over 30 years of experience consulting with clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
On March 21, the SEC published a widely anticipated proposed rule addressing companies’ climate-related disclosures.
Heather Horn was joined by Kyle Moffatt and Valerie Wieman, partners in PwC’s National Office, to discuss the main provisions of the proposal and a few of what could be challenging compliance requirements.
In this episode, you will hear:
- 1:20 - Elements of the proposal that surprised our guests
- 4:29 - The evolution of climate disclosure rules leading to the current proposal
- 6:52- Background on development of the proposal, and controversy among the commissioners regarding the rules
- 10:53 - Overview of the contents of the proposal
- 18:56 - Current expected timelines of adopting a final rule and transition timing
- 26:11 - Greenhouse gas disclosures requirements, and the types of emissions that are in scope
- 38:09 - Overview of the comment letter process and the path to finalization of the rule
- 48:21 - Final thoughts on where companies can start on unpacking the proposal and preparing for a final rule
Want to learn more? Read the proposed rules, Enhance and Standardize Climate-Related Disclosures for Investors, the related fact sheet, and our In brief, First look at the SEC's climate disclosure proposal. Also, refer to our recently updated In the loop which now includes SEC comments under the existing climate rules.
Kyle Moffatt is a partner in PwC's National Office where he consults with engagement teams and audit clients on SEC reporting matters. He joined PwC in 2020 after spending almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Valerie Wieman is PwC’s National Office Editor-in-chief. She is involved in the creation, development, and publication of our brand-defining thought leadership, with a recent focus on ESG reporting. Prior to this role, she was part of PwC’s National Office SEC Services group, helping clients navigate SEC rules and regulations.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
On March 9, the SEC published a proposed rule addressing disclosures related to a company’s cybersecurity risk management, strategy, governance, and incidents.
Heather Horn was joined by Kyle Moffatt, a partner in PwC’s National Office, to discuss the potential impacts of the proposal and what could change in companies’ current reporting for cybersecurity.
In this episode, you will hear:
- 1:20 - An overview of the current disclosure guidance and what would change under the proposed rule
- 5:42 - How the proposed rule would address insider trading, and a discussion on the landscape of cyber-related comment letters
- 8:54 - The impetus for the proposed rule, and how the current regulatory environment influenced its creation
- 12:48 - Key changes to incident reporting, and how the new rules try to create comparable disclosures across companies
- 19:22 - Cyber risk management and strategy: how the new rule is intended to impact behaviors
- 24:42 - Governance and oversight disclosures, including a new requirement to include directors’ and management’s cybersecurity expertise
- 28:58 - Potential challenges that companies may face in preparing the proposed new disclosures
- 32:54 - The importance of focusing on disclosure readiness, controls, policies, and procedures to comply with the new rules once enacted
Want to learn more? Read the proposed rule on Cybersecurity Risk Management, Strategy, Governance, and Incident Disclosure.
Kyle Moffatt is a partner in PwC's National Office where he consults with engagement teams and audit clients on SEC reporting matters. He joined PwC in 2020 after spending almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The world continues to focus on the recent events in Ukraine and the devastating impact they have had on the people in that region; their safety and well being continues to be the primary concern of all of us. The combination of the Russian government’s invasion of Ukraine and the resultant sanctions–designed to inflict severe consequences on the Russian economy–has impacts not only to companies with operations in the region, but to all companies that participate in the global economy. Our In depth, Implications of the Russian government’s invasion of Ukraine, highlights several accounting and reporting matters that companies may need to consider this quarter.
Global events have put even greater emphasis on transparency around cyber risk. Both Congress and the SEC took actions on this topic in March, with new legislation requiring reporting of cyber incidents by critical infrastructure owners and a proposed SEC rule that would expand cyber-related reporting and disclosure requirements for SEC registrants. The SEC also took a significant step on ESG reporting on March 21 by issuing its landmark proposal on climate disclosures. Meanwhile, outside of the US, new global ESG reporting standards and requirements continue to move forward at a rapid pace. In Ask the National Office, we explain why these international developments matter to US companies.
The start of a new year also means adopting new accounting standards. Notably, revised guidance on liabilities and equity is now effective for many public companies. Changes are also on the horizon for the FASB’s technical agenda, as the FASB weighs feedback it received from its invitation to comment last year.
In this edition of The quarter close, we highlight these and other relevant accounting and reporting topics you should consider as you close out the first quarter of 2022.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we are taking a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month, we are covering each of the five steps in the revenue recognition model.
In this episode, Heather Horn was joined by Angela Fergason and Mike Coleman, partners in PwC’s National Office, to discuss step four of revenue recognition: allocating the transaction price.
In this episode, you will find:
- 01:19 - The core objective of step four: allocating based on relative standalone selling price
- 04:03 - Common approaches to estimating standalone selling price
- 10:47 - How to apply the residual approach (for use in limited circumstances)
- 15:03 - Special considerations for the allocation of discounts and variable consideration
- 20:11 - The importance of consistency
- 26:11 - Key tips about making judgments in your process of estimation
Want to learn more?
- Listen to our previous Revenue toolkit episodes in which we discuss how to identify the contract, identify performance obligations, and determine the transaction price.
- Read chapter 5, Allocating the transaction price, in our Revenue from contracts with customers guide.
Angela Fergason is a partner in PwC's National Office with over 20 years of experience who specializes in accounting for revenue and employee compensation arrangements. She also consults on a range of financial reporting issues impacting technology companies. Angela is a frequent speaker on accounting and financial reporting topics and is a contributor to many PwC National Office publications, including our accounting guides on revenue and stock-based compensation.
Mike Coleman is a partner in PwC's National Office with over 30 years of experience. He specializes in accounting for revenue and software arrangements. Prior to his time in National, Mike was an audit partner in the firm's NY Metro assurance practice serving technology clients. In addition, he has been one of the firm's represented the firm on the AICPA Software Task Force.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Finance 2025 podcast series, we give listeners insight into the future of finance and the evolutionary road to get there. We’re asking: what will the modern finance organization look like in the year 2025?
This week, Heather Horn was joined by David Shebay, a partner in PwC’s Consulting Solutions practice, and Brigham McNaughton, a managing director in PwC’s ESG practice, to discuss how leading organizations are evolving their finance functions to respond to the challenges of ESG reporting.
In this episode, you will hear:
- 3:23 - How to identify your current state of ESG reporting readiness, and the importance of an implementation strategy to keep you outcome-oriented
- 9:54 - How to look at reporting from the stakeholder’s perspective
- 13:24 - The role that investors have had in enhancing incremental disclosures, and how the SEC is responding to investor demands
- 17:52 - How ESG factors are influencing the overall mainstream credit process
- 23:37 - How the demand for ESG measures is impacting internal reporting, and the implications for the finance function
- 35:21 - Key changes needed from a process, controls, and technology perspective, and final advice
Want to learn more? Listen to some of our previous podcasts that cover the current finance transformation landscape, and hear an overview of upcoming ESG rules in Talking ESG: Demystifying the reporting landscape.
David Shebay is a partner in PwC’s Consulting Solutions practice, focused on serving clients in the US energy and chemicals sectors. David’s work includes CFO advisory, modern finance, and the intersection of ESG with finance and systems transformation. Prior to joining PwC, David served as CFO of a managed IT services company.
Brigham McNaughton is a managing director in PwC’s ESG practice. He has served global clients in a range of industries including utilities, automotive, and financial services, advising on core ESG strategy development and stakeholder engagement. Brigham has worked closely with the Sustainability Accounting Standards Board (SASB) on a variety of reporting initiatives.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we are taking a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month, we are covering each of the five steps in the revenue recognition model.
In this episode, Heather Horn was joined by Angela Fergason and Alexandra Pascu from PwC’s National Office, to discuss step three of revenue recognition: determining the transaction price.
In this episode, you will find:
- 3:18 - Determining whether the contract contains significant financing components
- 7:52 - How noncash and variable consideration impact the transaction price
- 12:32 - Methods for estimating variable consideration, and considering the measurement constraint
- 19:54 - The key judgments needed for service level agreements or similar arrangements
- 24:54 - Evaluating payments to customers as a form of variable consideration, and how they impact the transaction price
- 26:58 - Key takeaways: step three in a nutshell, and additional resources
Want to learn more?
- Read the Determining the transaction price chapter in our Revenue guide.
- Listen to our previous podcasts on Variable consideration: How it impacts your top and bottom lineand Payments to customers? Receipts from vendors? Help!.
Angela Fergason is a partner in PwC's National Office with over 20 years of experience who specializes in accounting for revenue and employee compensation arrangements. She also consults on a range of financial reporting issues impacting technology companies. Angela is a frequent speaker on accounting and financial reporting topics and is a contributor to many PwC National Office publications, including our accounting guides on revenue and stock-based compensation.
Alexandra Pascu is a director in PwC’s National Office with over 9 years of experience. She focuses on revenue recognition, software costs, stock-based compensation, and inventory. Prior to this role, Alexandra led audits of companies ranging from small emerging growth companies to public multinationals.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
PwC’s accounting podcast became a book club this week as Heather Horn was joined by Matt Mani and Paul Leinwand of PwC's Strategy&—co-authors of the book: Beyond Digital: How Great Leaders Transform Their Organizations and Shape the Future. Together they discuss seven imperatives of leadership that have enabled successful large-scale business transformations, and the lessons that today’s finance organizations can learn from these transformations.
In this episode, you will hear:
- 4:40 - The leadership imperatives that companies should focus on, including how they can begin to reimagine their place in the world and create value via ecosystems
- 16:06 - What it means to build a system of privileged insights with customers and how it helps to make your organization outcome-oriented
- 20:42 - Reinventing engagement and the social contract with your people to address emerging challenges, such as the great resignation
- 26:16 - Inverting the focus of organizational leadership to drive transformation in a dynamic and collaborative way
- 30:48 - Disrupting your own leadership to grow your skill sets and begin change from within
- 38:02 - Key lessons to jumpstart your overall transformation
Want to learn more? The Beyond Digital landing page has links to additional resources, reviews, and where to find the book.
Matt Mani is a partner for PwC’s Strategy& consulting practice. With over 29 years of experience, he focuses on helping companies achieve business model, cost, and performance transformations. He is the co-author of the book Beyond Digital: How Great Leaders Transform Their Organizations and Shape the Future, and multiple articles in Harvard Business Review and Strategy+business magazine.
Paul Leinwand is a thought leader on strategy, growth, and capability building for PwC’s Strategy& consulting practice. With over 24 years of experience, he has authored numerous books, as well as articles in the Harvard Business Review and Strategy+business magazine. He currently teaches at Kellogg School of Management as an Adjunct Professor of Strategy.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we are taking a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month, we are covering each of the five steps in the revenue recognition model.
This week Heather Horn was joined by Angela Fergason and Mike Coleman, partners in PwC’s National Office, to discuss revenue step two: identifying the performance obligations. Angela and Mike share the key points to consider carefully, especially because this step dictates the units of account for the entire contract.
In this episode, you will hear:
- 4:57 - How to find all relevant promises to the customer, and how to treat implied promises
- 9:29 - The criteria utilized to assess whether a good or service is “distinct”
- 16:30 - How to account for promises to transfer a series of distinct goods or services
- 22:05 - How to treat a customer’s option to purchase additional goods or services
- 27:20 - How selling a “solution” may comprise multiple performance obligations, and other key final reminders
Want to learn more? Read chapter 3, Identifying performance obligations, in our Revenue from contracts with customers guide.
Angela Fergason is a partner in PwC's National Office with over 20 years of experience who specializes in accounting for revenue and employee compensation arrangements. She also consults on a range of financial reporting issues impacting technology companies. Angela is a frequent speaker on accounting and financial reporting topics and is a contributor to many PwC National Office publications, including our accounting guides on revenue and stock-based compensation.
Mike Coleman is a partner in PwC's National Office with over 30 years of experience. Mike specializes in accounting for revenue and software arrangements and has served technology clients for much of his career. In addition, Mike has represented the firm on the AICPA Software Task Force.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Finance 2025 podcast series, we give listeners insight into the future of finance and the evolutionary road to get there. We’re asking: what will the modern finance organization look like in the year 2025?
This week, Heather Horn was joined by Kaiser Kaiserani, director in PwC’s finance transformation practice, to discuss how machine learning is becoming an integrative solution for some of the major challenges facing today's finance organizations.
In this episode, you will hear about:
- 4:06 - Artificial intelligence, machine learning, and what these concepts mean
- 12:11 - Differentiating supervised and unsupervised machine learning, and the practical applications of each
- 21:13 - The definition of an “insight equation” and how to effectively select specific data applications for meaningful process improvements
- 23:34 - How machine learning can reduce bias in the process of analyzing multiple data inputs
- 28:11 - How to leverage machine learning for real time “heavy lifting” of supply, demand, and other core business data
- 38:29 - Steps to enable machine learning and accelerate your process transformation
- 42:18 - At a glance: machine learning as a key component of the finance organization of the future
Want to learn more? Listen to some of the previous podcasts in the Finance 2025 series where we discuss other key elements of transformation, such as how to realize the promise of automation, trends in ERP transformation, and how to leverage FP&A to drive business agility.
Kaiser Kaiserani is a Director in PwC’s Finance Transformation practice with over 15 years of experience at the intersection of Finance and Technology. With prior experience in industry in various roles such as accounting, FP&A and shared services, combined with over 10 years of Consulting experience, he brings both strategic and executional approach to his client engagements. Over the past 5 years, he has been focused on the digital strategy and transformation of the Finance function and most recently has been devoted to evangelizing Machine Learning to our Finance leaders at global companies.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Toolkit podcast series, we are taking a deep dive into one accounting topic each month that goes beyond the basics and into areas that require judgment. This month, we are covering each of the five steps in the revenue recognition model.
In this episode, Heather Horn was joined by Angela Fergason and Pat Durbin, partners in PwC’s National Office, to discuss step one of revenue recognition: identifying the contract. While it may appear straightforward, there are some judgments to be made and getting it right is critical for the rest of the revenue recognition process.
In this episode, you will find:
- 03:10 - Determining the applicability of accounting guidance for each arrangement
- 12:19 - The five criteria that determine whether a contract exists for accounting purposes
- 15:28 - Collectibility considerations
- 22:10 - What to do if the criteria for contract existence are met after the initial assessment
- 24:38 - How enforceable rights and obligations, rather than a stated term, dictate the contract term
- 29:49 - Key takeaway: the importance of not taking shortcuts through the step one assessment
Want to learn more? Read Chapter 2 of our Revenue guide on scope and identifying the contract.
Angela Fergason is a partner in PwC's National Office with over 20 years of experience who specializes in accounting for revenue and employee compensation arrangements. She also consults on a range of financial reporting issues impacting technology companies. Angela is a frequent speaker on accounting and financial reporting topics and is a contributor to many PwC National Office publications, including our accounting guides on revenue and stock-based compensation.
Pat Durbin is a partner in PwC’s National Office and has over 30 years of experience. He has expertise in financial reporting and extensive experience serving board, C-suite, and senior management level executives across a variety of industries and geographies both in the US and internationally.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Finance 2025 podcast series, we give listeners insight into the future of finance and the evolutionary road to get there. We’re asking: what will the modern finance organization look like in the year 2025?
This week, Heather Horn was joined by Satyen Popat, partner in PwC’s finance transformation practice, to discuss the key practices of a leading enterprise planning management (EPM) function, and how a well-designed process can deliver sustainable growth not only through data-driven assessments, but also by integrating the perspectives of multiple functions from across the business.
In this episode, you will hear about:
- 5:05 - Challenges companies face as they start financial planning in an uncertain environment
- 20:40 - What a leading FP&A organization looks like, and how the strongest planning models integrate multiple functions of the business
- 27:55 - Practices for data management success when faced with escalating volumes of information
- 32:14 - The evolution of human capital requirements for effective planning functions
- 34:40 - The view from the top - questions that CFOs and business leaders are asking in the planning process
- 39:33 - At a glance: the future of FP&A
Want to learn more? Listen to previous podcasts in the Finance 2025 series where we discuss other key elements of transformation, including the importance of having people at the top of your transformation agenda, how to realize the promise of automation, and some of the latest trends in ERP transformation.
Satyen Popat is a partner in PwC’s finance transformation practice with over 15 years of experience in shared services, acquisition integration, and finance systems, including enterprise performance management and ERP strategy. He focuses on serving the technology sector and is part of PwC’s cloud and digital team.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Last year saw a historic volume of M&A transactions, and the trend has continued thus far in 2022, but will it continue?
This week, host Heather Horn was joined by John Potter and Chris Rhodes, partners in PwC’s Deals practice, to discuss current trends in the deals environment that are enabling companies to unlock value through transactions.
In this episode, you will hear:
- 4:58 - How inflation, capital flows, and changing business models are impacting the deals market
- 12:48 - How SPACs are innovating in 2022 in order to deploy capital
- 15:18 - Approaching ESG as part of a holistic deal assessment
- 19:32 - How talent and labor shortages are transforming the M&A landscape
- 26:12 - Key strategies and considerations for CFOs to keep in mind as they look to maximize the benefits of a deal
- 39:33 - In a nutshell: how to realize the value potential that is latent in acquisitions, divestitures, and capital raising
Want to learn more? Watch a replay of the 2022 deals outlook webcast, take a quiz to find your dealmaking identity, and go deeper on how ESG can add value in M&A.
John Potter is a partner in PwC’s Deals practice with over 26 years of experience assisting companies in resolving complex business and accounting issues. He provides advice to corporate and private equity clients through M&As, divestitures, and joint ventures. He focuses on deal strategy, due diligence, deal terms and negotiation, integration, valuation, accounting and financial reporting, and risk management.
Chris Rhodes is a partner in PwC's Deals practice with over 13 years of experience. He provides commercial structuring, valuation, and accounting advice for a variety of transactions under both US GAAP and IFRS. He concentrates on delivering strategic transactions such as acquisitions, divestitures, and joint ventures, along with capital raising, capital restructuring, and other financial engineering, including risk management.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Finance 2025 podcast series, we give listeners insight into the future of finance and the evolutionary road to get there. We’re asking: what will the modern finance organization look like in the year 2025?
This week Heather Horn was joined by Jeff Mandler and Blake Cooper, partners in PwC’s finance transformation practice, to discuss how to leverage the latest technology to implement enterprise resource planning (ERP) systems in a holistic way that delivers growth capability across the business.
In this episode, you will find:
- 04:15 - The factors influencing companies to take a holistic, cross-functional approach toward ERP transformation
- 10:59 - The timelines of an ERP implementation and how smart companies leverage people and technology when changing pivotal elements of their infrastructure
- 16:23 - How technological advancement has accelerated the adoption of ERP systems that enable the company’s strategy and decision-making
- 26:33 - The importance of contemplating risk management in connection with an ERP transformation
- 34:48 - Looking ahead to the future of ERP
- 39:12 - Key takeaways on a successful ERP transformation
Want to learn more?
- Check out PwC’s Tech Effect, a digital resource for busy leaders.
- Listen to our previous podcasts in the series:
- Finance 2025: Transformation made practical
- Finance 2025: Transforming with a people-first mindset
- Finance 2025: How to unlock the promise of automation.
- Finance 2025: Optimizing the close-to-report window
Jeff Mandler is a partner in PwC’s finance transformation practice with over 22 years of experience in large-scale transformations enabled by ERP. He focuses on serving the technology sector and is involved with addressing emerging accounting matters as part of PwC’s cloud and digital team.
Blake Cooper is a partner in PwC’s finance transformation practice with over 21 years of experience, focused on transformation initiatives for the energy, power, and utilities sector and utilizing his expertise in core finance process improvement and enterprise performance management.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
This week Heather Horn was joined by Bret Dooley, Angela Fergason, and Jay Seliber, partners in PwC’s National Office, to discuss the FASB’s recently released guidance that is effective in 2022.
In this episode you’ll hear them discuss:
- 3:25 - CECL applicability for private companies and lessons learned from adoption by public companies
- 5:34 - ASU 2020-06 related to debt and equity instruments that contain conversion features
- 9:15 - ASU 2021-04 related to certain modifications of freestanding equity-classified written call options
- 15:32 - ASU 2021-05 related to lessor classification of certain sales-type leases that result in a “day one” loss
- 20:05 - ASU 2021-10 related to disclosures by business entities about government assistance
- 29:01 - ASU 2021-08 related to contract assets and contract liabilities acquired in a business combination
- 36:17 - ASU 2017-04 related to simplifying the test for goodwill impairment
- 41:19 - New FASB guidance that can be adopted early in 2022
Bret Dooley is a partner in PwC’s National Office with over 25 years of experience specializing in the financial services, banking, and capital markets industries. He focuses on emerging financial reporting issues relating to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters.
Angela Fergason is a partner in PwC's National Office with over 20 years of experience who specializes in accounting for revenue and employee compensation arrangements. She is a frequent speaker on accounting and financial reporting topics and is a contributor to many PwC National Office publications, including our accounting guides on revenue and stock-based compensation.
Jay Seliber is a partner in PwC’s National Office. He leverages over 30 years of experience to help clients with their most complex accounting matters, particularly in the areas of mergers and acquisitions, revenue recognition, stock compensation, earnings per share, employee benefits, restructurings, impairments, and financing transactions. Jay is presently PwC's representative to the FASB's Emerging Issues Task Force.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Finance 2025 podcast series, we give listeners a look at the future of finance and the evolutionary road to get there. We’re asking: what will the modern finance organization look like in the year 2025?
This week Heather Horn sat down with Debra Skorupka, a partner in PwC’s finance transformation practice, to discuss what companies with the shortest windows of time between the balance sheet date and filing of reports do differently that allows them to achieve quality results.
In this episode, you’ll find:
- 3:52 - Trends transforming the dynamics of the close process
- 6:58 - How to break down the close process into components that can be optimized individually and holistically
- 13:28 - Real-time close and continuous close: the possibilities beyond the traditional one-time close
- 17:52 - The role of qualitative and quantitative reporting through the lens of the company’s overall strategy
- 22:12 - Addressing change management issues resulting from data-driven transformation
- 27:16 - How to jumpstart transformation with minimal effort
- 31:18 - The future of the close and reporting process
Want to learn more?
- Check out PwC’s Tech Effect, a digital resource for busy leaders.
- Listen to our previous podcasts in the series, Finance 2025: Transformation made practical, Finance 2025: Transforming with a people-first mindset, and Finance 2025: How to unlock the promise of automation.
Debra Skorupka is a partner in PwC’s finance transformation practice. With over 18 years of client service experience, she advises on large-scale transformation projects that result from mergers/IPOs and other significant business changes. Debra leads the Finance & Infrastructure practice for the firm’s Technology, Media, and Telecommunications sector.
Heather Horn is a Deputy Chief Accountant in PwC’s National Office and leader of the thought leadership group, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The first and most significant tranche of LIBOR tenors was retired as of December 31, 2021, officially marking the beginning of the end for the benchmark reference rate that in recent years became the focus of banking reform efforts by regulatory bodies around the globe.
This week Heather Horn was joined by Justin Keane and Nick Milone, partners in PwC’s Financial Markets practice, and Chip Currie, PwC National Office partner, to discuss the latest market and regulatory developments in the LIBOR transition as well as the related accounting guidance that was issued to facilitate the transition for preparers.
In this episode you’ll hear them cover:
- 1:15 - An update on market transition efforts to date, expectations for the next year, and an overview of why overnight funds rates are becoming the primary reference rates
- 8:35 - US regulatory and market developments with respect to USD LIBOR
- 13:25 - Credit-sensitive rates and whether a widely accepted benchmark will emerge
- 17:52 - Important focus areas for companies as LIBOR continues to sunset, as well as impediments and best practices in transition workstreams
- 26:30 - What accounting teams should be watching out for as their companies modify contracts and take other steps to facilitate the transition
- 35:55 - The SEC staff’s statement from December 7, 2021 on LIBOR transition and the importance of updating investors on related progress
Want to learn more?
- Listen to our previous podcast on reference rate reform, Bidding farewell to LIBOR: What you need to know.
- Download PwC’s Reference Rate Reform guide.
Justin Keane is a partner in PwC’s Financial Markets practice. He has over 20 years of experience helping clients resolve issues related to pricing and risk management for derivatives and complex financial instruments across PwC’s leading multinational clients.
Nick Milone is a partner in PwC’s Financial Markets practice where he advises companies on current financial instruments issues and the application of accounting standards. Prior to this role, Nick was a Practice Fellow on the financial instruments team at the FASB, where he helped lead the hedge accounting and recognition and measurement projects.
Chip Currie is a Partner in PwC’s National Office with over 25 years of experience assisting companies in resolving complex business and accounting issues. He concentrates on the accounting for financial instruments under both current and emerging standards and works with many of the firm's largest financial services clients and a number of non-financial service clients on treasury-related matters.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Inflation is not a new economic feature, but it has become more pronounced in recent months, causing central banks and businesses alike to carefully evaluate the path forward through a landscape of supply chain issues, labor shortages, and an ongoing global pandemic. This week Heather Horn sat down with David Shebay, PwC Consulting Solutions partner, to discuss the factors that remain in companies’ control in the midst of the ongoing uncertainty driven by inflation.
In this episode you’ll find:
- 2:03 - Inflation scenarios that could happen in 2022
- 8:34 - Overview of the four levers that CFOs can pull in an inflationary environment
- 10:48 - Cost control strategies and how to weigh supplier pricing dynamics
- 13:47 - Considering raising prices? How to determine trigger points for price increases and the impact on customer loyalty
- 16:50 - Evaluating whether investment targets are set up to withstand inflationary pressures
- 18:20 - Integrating inflationary considerations into the FP&A cycle
Want to learn more?
- Check out our previous special episode on the business environment in 2022, Geopolitical and economic outlook for 2022.
David Shebay is a partner in PwC’s Consulting Solutions practice, focused on serving clients in the US energy and chemicals sectors. David’s work includes CFO advisory, modern finance, and the intersection of ESG with finance and systems transformation. Prior to joining PwC, David served as CFO of a managed IT services company.
Heather Horn is a Deputy Chief Accountant in PwC’s National Office and leader of the thought leadership group, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our Year-end toolkit series, you’ll find something relevant to the year-end reporting process.
This week Heather Horn was joined by Michael Mullen, PwC’s US Trust Solutions Quality Management leader, to discuss the SEC’s guidance on financial statement materiality and error evaluations.
In this episode you’ll hear them discuss:
- 1:25 - What’s changed since the SEC staff issued its accounting bulletin (SAB 99) in 1999, and what’s the same
- 8:45 - Some “common sense” qualitative factors that should be considered
- 10:35 - Evaluating the impact of errors on consensus estimates, analyst expectations, and balance sheet-related covenants
- 18:01 - The dynamics of management compensation and involvement of upper management in intentional misstatements
- 21:01 - How to perform a quantitative evaluation, and the differences between a restatement and a revision
- 38:17 - The general presumption of a material weakness in cases of restatement
- 41:02 - Managing the misstatement evaluation process and the recent reminders from the SEC staff
Want to learn more?
- Listen to our previous podcasts in the Year-end toolkit series, Reminders from PwC’s National Office, Statement of cash flows, and Resolving complex issues.
Michael Mullen is PwC’s US Trust Solutions Quality Management leader. In this role he oversees complex client issues, providing technical insights and expertise in support of overall quality. With over 30 years of client service experience, Michael has led numerous global client engagements.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
As the new year begins, management teams continue to look for ways to adeptly navigate changing macroeconomic and geopolitical pressures. This week Heather Horn sat down with Craig Stronberg and Zain Siddiqui, directors in PwC Intelligence, for a discussion about the significant forces expected to shape the business landscape in the year ahead.
In this episode you’ll find:
- 6:05 - How the dynamics of trust and distrust are affecting business
- 9:51 - A historical perspective on current events
- 14:12 - The economic drivers behind supply chain pressure and labor shortages
- 22:56 - The importance of investing in long-term transformation projects
- 26:05 - How the politicization of the consumer base is changing government spending decisions
- 28:56 - Opportunities for businesses in managing the “trust dividend”
- 34:47 - How companies and countries are navigating global tension
- 38:19 - Other topics, including work from home, digital currencies, and long-term supply chain restructuring
Want to learn more?
- Check out our previous podcasts with PwC Intelligence, Forecast 2021: The rise in central bank digital currencies, and COVID-19: How looking back will help business move forward.
Craig Stronberg leads the Macro Capability for PwC Intelligence, spearheading the team of analysts that provides macroeconomic and geopolitical intelligence to key stakeholders. Named as one of the "100 Most Creative People in Business” by Fast Company, Craig had a nearly 20 year career in national security affairs working for and advising numerous agencies and international partners, having been decorated five times. His focus has been on numerous areas, including counterintelligence, economic espionage, counterterrorism, cyber threats, political-military issues, special operations integration, and support for major events such as the Olympic Games.
Zain Siddiqui, is a senior economist for PwC Intelligence with a specialty in macroeconomics and finance. He advises stakeholders and clients on the business implications of emerging macro and geopolitical vulnerabilities, and helps them shape business strategy. His research has appeared in books on international economic policy and macroeconomic journals.
Heather Horn is a Deputy Chief Accountant in PwC’s National Office and leader of the thought leadership group, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our Year-end toolkit series, you’ll find something relevant to the year-end reporting process.
This week Heather Horn was joined by Stephen Parker, a partner in PwC’s Governance Insights Center, to discuss the ways that financial reporting teams can effectively contemplate and manage their audit committee reporting and communications process for year end.
In this episode you’ll hear them discuss:
- 5:24 - The core responsibilities of the audit committee
- 8:06 - The value of highlighting what’s new or changed
- 13:36 - Using dashboards effectively
- 19:02 - Prioritizing the agenda
- 23:02 - The topics top of mind for audit committees
- 26:51 - Audit committees focus on ESG
- 29:38 - Managing the “pre-read” materials
- 35:59 - Keeping current throughout the year
- 40:48 - Dealing with different styles of committee chairs and members
- 45:55 - Final tips to increase director engagement
- 48:36 - Heather tries to stump Stephen with some trivia
Want to learn more?
- Listen to our previous podcasts in the Year-end toolkit series, Reminders from PwC’s National Office, Statement of cash flows, and Resolving complex issues.
Stephen Parker is a partner in PwC’s Governance Insights Center, which strives to strengthen the connection between directors, executive teams, and investors by helping them navigate the evolving governance landscape. With more than 30 years of experience, Stephen has advised boards of directors on a variety of complex financial reporting matters. Stephen’s client service experience has also included energy and utility companies, financial services companies, and nonprofits.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Finance 2025 podcast series, we give listeners a look at the future of finance and the evolutionary road to get there. We’re asking: what will the modern finance organization look like in the year 2025?
This week Heather Horn sat down with Tabitha DeFrancisco, partner in PwC’s finance transformation practice, to discuss the tools and technology elements that are already available to help companies modernize their finance functions.
In this episode you’ll find:
- 3:20 - What does “augmented finance” mean?
- 7:20 - The transformational impact of tools and technology
- 11:31 - The importance of leadership buy-in
- 21:17 - How tools enable the demands of rapid decision making
- 25:07 - Deciding where to invest attention and resources
- 31:57 - Getting the most out of your implemented tools
- 35:02 - How to navigate when there are resource constraints
- 38:31 - Process intelligence and task mining
Want to learn more?
- Check out PwC’s Tech Effect, a digital resource for busy leaders.
- Listen to our previous podcasts in the series, Finance 2025: Transformation made practical and Finance 2025: Transforming with a people-first mindset.
Tabitha DeFrancisco is a partner in PwC’s finance transformation practice. With over 15 years of client service experience, she advises leaders as they optimize the efficiency of their finance function and enhance the insights it provides to the business. Tabitha leads large-scale transformations to bring back-offices into the digital age. Her work focuses on consumer markets companies ranging from recent IPOs to the Fortune 50.
Heather Horn is a Deputy Chief Accountant in PwC’s National Office and leader of the thought leadership group, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our Year-end toolkit series, you’ll find something relevant to the year-end reporting process.
This week Heather Horn was joined by Gerry Flynn, PwC’s National Office leader, to discuss a topic that can be a source of stress for preparers during the relatively short time between year end and year-end reporting: how to manage issues to resolution effectively.
In this episode you’ll hear them discuss:
- 3:12 - The importance of a defined escalation protocol
- 6:06 - Taking emotion out of the process
- 12:06 - The importance of a thorough assessment
- 18:30 - Managing CFO and audit committee expectations
- 23:02 - When to involve auditors
- 31:10 - Control implications and performing an effective “post-mortem”
Gerry also shares his perspective on managing through the current COVID-19 variant surge, and the need for contingency plans during this time.
Want to learn more?
- Listen to our previous podcasts in the series, Year-end toolkit: Reminders from PwC’s National Office and Year-end toolkit: Statement of cash flows
Gerry Flynn is the leader of PwC’s National Office, overseeing the firm’s accounting, auditing, SEC, and other quality-related specialists. Prior to joining the National Office, Gerry spent nearly 30 years serving many of the firm’s largest clients in diverse industries, from entertainment and professional sports to life sciences, biotech, and pharmaceuticals.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Finance 2025 podcast series, we give listeners a look at the future of finance and the evolutionary road to get there. We’re asking: what will the modern finance organization look like in the year 2025?
This week Heather Horn sat down with Jim Berres, director in PwC’s finance transformation practice, to discuss the workforce-related elements when modernizing the finance function.
In this episode you’ll find:
- 5:58 - The CFO imperatives driving transformation
- 10:17 - Snapshot of the modern finance organization
- 19:13 - How to have an effective upskilling journey
- 29:30 - Citizen- versus enterprise-led innovation
- 36:24 - Updates on return to work trends
Want to learn more?
- See our benchmarking study on why finance transformations should start with people first.
- Listen to our previous podcast in the series, Finance 2025: Transformation made practical.
Jim Berres is a director in PwC’s finance transformation practice. With more than 15 years' experience, Jim specializes in addressing financial and system process change. His experience includes working with clients to activate their cloud journey, upskill their people, and leverage new technologies to modernize their finance function.
Heather Horn is a Deputy Chief Accountant in PwC’s National Office and leader of the thought leadership group, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our Year-end toolkit series, you’ll find something relevant to the year-end reporting process.
This week Heather Horn was joined by Chris Gerdau and Suzanne Stephani from PwC’s National Office to talk about key reminders on the statement of cash flows that preparers will want to keep in mind as they finalize their reporting.
In this episode you’ll hear them discuss:
- 2:39 - Cash, cash equivalents, and restricted cash
- 7:26 - Gross versus net presentation
- 9:28 - Non-cash transactions
- 13:07 - Business combinations and asset acquisitions
- 20:23 - Equity issuances
- 22:16 - PP&E purchases
- 24:58 - Equity method investee distributions
- 29:49 - Leases
- 31:47 - Foreign operations
Want to learn more?
- Listen to our podcast Full disclosure: The statement of cash flows
- For more year end reminders, read or listen to The quarter close - fourth quarter 2021
Suzanne Stephani is a director in PwC’s National Office specializing in the application and interpretation of the accounting guidance related to financing and leasing transactions as well as the cash flow statement.
Chris Gerdau is a partner in PwC’s National Office specializing in accounting for financial instruments and banking related topics. Chris also conducts technical reviews of SEC filings and provides technical support to PwC’s practice offices. With over 25 years of experience, Chris’s client service expertise includes the banking, capital markets, and insurance industries.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Finance 2025 podcast series, we give listeners a look at the future of finance and the evolutionary road to get there. We’re asking: what does the modern finance organization look like in the year 2025?
This week Heather Horn sat down with Ed Ponagai, PwC Partner and a Consulting Solutions leader, to set the stage and discuss what’s trending in finance transformation.
In this episode you’ll find:
- 3:32 - What’s new in finance transformation
- 9:21 - What to focus on when starting new initiatives
- 18:23 - How the workforce is getting involved
- 29:03 - Effective data management
- 38:11 - Wrap up and key takeaways
Want to learn more?
- See our case study on how a digital finance transformation drove competitive advantage for an industrial giant.
- Listen to our previous podcast with Ed, What's next? 3 steps to your finance transformation
Ed Ponagai is a PwC partner who leads large-scale back office transformations and merger integrations. He helps CFOs think through their organization’s big picture vision and purpose, and drill down to address organizational challenges, operational processes, and technological innovations.
Heather Horn is a Deputy Chief Accountant in PwC’s National Office and leader of the thought leadership group, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our Year-end toolkit series, you’ll find something relevant to the year-end reporting process.
This week Heather Horn is joined by Beth Paul, Tom Barbieri, and Pat Durbin, who along with Heather serve as Deputy Chief Accountants in PwC’s National Office, as well as Kyle Moffatt, PwC SEC Services National Office Partner. Each guest highlights key areas to focus on during this reporting season, right up until the financial statements get finalized.
In this episode
2:38 - Business combinations, including ASU 2021-08 on contract assets and liabilities
9:49 - Equity method investment disclosures and the calculation of significance under Rule 3-09 of Regulation S-X
14:06 - Income statement classification
17:48 - Stock based compensation accounting
25:53 - Statement of cash flows classifications
36:55 - SAB 74 disclosures
You’ll also hear an update on the SEC’s expected proposing release on climate and human capital disclosures. Want to learn more?
Read or listen to The quarter close - fourth quarter 2021Listen to our podcast Special episode: New rules on acquired revenue contracts
Read Don’t wait until the SEC staff asks you about climate change and To GAAP or to non-GAAP COVID-19: What you should know
Beth Paul is a Deputy Chief Accountant in PwC’s National Office responsible for a team of consultants that specialize in business combinations and related areas, such as consolidations, disposals, impairments, and segment reporting. Prior to this role, Beth was the Strategic Thought Leader in PwC’s National office, working closely with firm leadership to determine PwC’s position on emerging trends in auditing, accounting, and financial reporting matters.
Pat Durbin is a Deputy Chief Accountant in PwC’s National Office and the leader of the revenue and liabilities division. He has over 30 years of experience consulting with clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.
Tom Barbieri is a Deputy Chief Accountant in PwC’s National Office and the financial instruments accounting leader. He has over 30 years of experience advising clients on complex accounting and financial reporting issues relating to financial instruments. During Tom’s tenure in the National Office, he has been at the forefront of emerging accounting issues and has regular interactions with the FASB, SEC, and other regulators and standard setters.
Kyle Moffatt is a partner in PwC's National Office where he consults with engagement teams and audit clients on SEC reporting matters. He joined PwC in April 2020 after spending almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Talking ESG podcast series, we give an end-to-end look at what it takes to build effective ESG reporting in today’s environment. From investor to stakeholder expectations, from global frameworks to data, process, and controls—there’s something in it for everyone.
This week Heather Horn sat down with Brigham McNaughton, a managing director in PwC’s ESG practice, to discuss a topic that’s top of mind for many preparers: data quality and the processes needed to produce investment-grade ESG reporting.
Topics include:
- 1:43 - What is the current state of data quality? As ESG reporting becomes more prevalent, the ability to produce quality data has become a necessity. Brigham gives listeners an overview of the questions companies face and how they can go about taking stock of the maturity level of their processes.
- 8:45 - The challenges of ESG disclosures. Brigham and Heather discuss some of the challenges of ESG reporting and how to move forward when you can’t get to the right data. For companies that are at an early stage of process maturity, it is often more efficient to address data quality on the front end before deciding what to report.
- 17:46 - What are some best practices? Brigham shares some practices he has observed while working with various companies, including what the leaders in this space are doing. He covers how to identify a team, set up processes, and even appropriate governance.
- 30:48 - What departments should be involved? There are many ways to advance the quality of data in ESG reporting. Brigham explains which departments often have a hand in helping move the needle on data quality.
- 41:19 - Key takeaways. Brigham and Heather discuss some practical advice for listeners as they begin or continue to evolve their ESG processes.
Want to learn more?
- Listen to our previous podcasts in this series, Talking ESG: Evolving your reporting for impact, Talking ESG: How SEC proposals may shape future reporting, and Talking ESG: How new EU rules may impact your reporting.
Brigham McNaughton is a managing director in PwC’s ESG practice. He has served global clients in a range of industries including utilities, automotive, and financial services, advising on core ESG strategy development and stakeholder engagement. Brigham has worked closely with the Sustainability Accounting Standards Board (SASB) on a variety of reporting initiatives.
Heather Horn is a Deputy Chief Accountant in PwC’s National Office and leader of the thought leadership group, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our What’s trending in SEC comments series, our guests bring you the latest themes in comment letters from the SEC’s Division of Corporation Finance for the most common topical areas of financial reporting.
This week we focus on non-GAAP measures. Kyle Moffatt, a partner in PwC’s National Office, joined Heather Horn to break down some of the questions raised in these comments, giving you a deeper understanding of the SEC staff’s expectations, as well as context and insights into the non-GAAP rules.
Topics include:
- 1:35 - Background on non-GAAP measures. Disclosing non-GAAP measures is a common way companies supplement their financial statement disclosures to further tell the story of their businesses. Kyle gives some helpful background and examples of some commonly utilized measures.
- 8:57 - Presenting non-GAAP measures. There can be pitfalls associated with these alternative measures. Kyle and Heather discuss what issuers should keep in mind when deciding how to present them.
- 22:30 - What types of comments are companies receiving? Kyle discusses the main themes of the SEC staff’s non-GAAP comments. Common questions relate to prominence relative to GAAP metrics, the reconciliation of each non-GAAP metric to GAAP, and the appropriateness of adjustments, among others.
- 27:43 - Key takeaways and reminders. We close with some future areas to pay attention to and helpful advice for year-end reporting. Heather tries to stump Kyle with some niche accounting and pop culture questions.
Want to learn more?
- Listen to our previous comment letter podcasts on MD&A, Debt, warrants, and equity, Revenue, Goodwill, Inventory and cost of sales, and Segment reporting
- Listen to What you missed at the 2021 AICPA Conference
- In the loop: To GAAP or to non-GAAP COVID-19: What you should know
- See our overview of SEC Comment Letter Trends
- Staff Accounting Bulletin Topic 11 B
- SEC Non-GAAP Financial Measures: Questions and Answers of General Applicability
Kyle Moffatt is a partner in PwC's National Office where he consults with engagement teams and audit clients on SEC reporting matters. He joined PwC in April 2020 after spending almost 20 years with the SEC.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Talking ESG podcast series, we give an end-to-end look at what it takes to build effective ESG reporting in today’s environment. From investor to stakeholder expectations, from global frameworks to data, process, and controls—there’s something in it for everyone.
This week Heather Horn sat down with Shannon Schuyler, PwC US Chief Purpose & Inclusion Officer, to discuss the evolution of PwC’s ESG reporting and how companies can decide what and where to report.
Topics include:
- 2:44 - What does the process look like? It is becoming more and more important, and often required, for businesses to report on ESG. Shannon and Heather discuss the evolution of PwC’s ESG reporting, including practical tips on how to look at the data available.
- 7:57 - How to think through the frameworks. Choosing which metrics and frameworks work for your company may seem overwhelming given the multitude of options. Shannon breaks down how she thinks through the various ESG reporting frameworks available and where to start once you’ve collected some of the data.
- 15:10 - What metrics should be disclosed? The factors that are important to your stakeholders will be impacted by your industry and what is important to your company. Shannon explains how she and her team worked to identify metrics for PwC and what companies should consider when deciding what to disclose.
- 25:38 - What about skeptics? Not everyone will see the value or be motivated to change at the same pace. Shannon and Heather discuss the different reasons executives and companies have to care about ESG reporting.
- 35:02 - Advice for listeners. Shannon and Heather discuss some practical advice for listeners as they begin or continue to evolve their ESG reporting. Shannon provides her perspective on what challenges companies may face in the future.
Want to learn more?
- Listen to our previous podcasts in this series,Talking ESG: Are SASB standards right for your business?, Talking ESG: Leveraging TCFD for climate-related disclosures, Talking ESG: How SEC proposals may shape future reporting, Talking ESG: A focus on the Global Reporting Initiative, and Talking ESG: How new EU rules may impact your reporting.
- Read PwC’s Purpose Report.
Shannon Schuyler is PwC’s US Chief Purpose & Inclusion Officer. Shannon’s work activates PwC’s purpose to build trust in society and solve important problems and to create a fulfilling employee experience. Shannon is responsible for furthering diversity, inclusion, and equity across the firm’s workforce, as well as bringing a focus to the role PwC plays in our communities. She also serves as Co-Chair of CEO Action for Diversity & Inclusion, the largest CEO-driven business commitment to advance diversity and inclusion.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our What’s trending in SEC comments series, our guests bring you the latest themes in comment letters from the SEC’s Division of Corporation Finance for the most common topical areas of financial reporting.
This week we focus on MD&A. Ryan Spencer, a partner in PwC’s National Office, joined Heather Horn to break down some of the questions raised in these comments, giving you a deeper understanding of the SEC staff’s expectations, as well as context and insights into the MD&A rules.
Topics include:
- 1:30 - What has changed about the MD&A rule? The SEC recently amended the MD&A rule with a goal of modernizing, simplifying, and enhancing the disclosure requirements. Ryan explains the primary changes.
- 10:56 - What types of comments are companies receiving? Ryan discusses the main themes of the SEC staff’s MD&A comments. Common questions relate to results of operations, liquidity and capital resources, and critical accounting estimates.
- 15:37 - Results of operations. Results of operations continues to be an area of focus for SEC comments. Ryan and Heather discuss areas where the SEC staff has typically asked questions and how preparers can get the disclosures right the first time.
- 17:24 - Liquidity and capital resources. Ryan brings listeners up to speed on key themes related to liquidity and capital resources, including short and long term liquidity, operating cash flows, and covenants.
- 21:04 - Critical accounting estimates. Companies’ disclosures have to address uncertainties associated with methods and assumptions related to critical accounting estimates. Ryan helps break down this complicated topic.
- 24:47 - Key takeaways and reminders. We close with some future areas to pay attention to and helpful advice for year end reporting. Heather tries to stump Ryan with some niche accounting questions.
Want to learn more?
- Listen to our previous comment letter podcasts on Debt, warrants, and equity, Revenue, Goodwill, Inventory and cost of sales, and Segment reporting
- In the loop: Don’t wait until the SEC staff asks you about climate change
- See our overview of SEC Comment Letter Trends
Ryan Spencer is a Partner at PwC's National Office specializing in SEC financial reporting. He has over 20 years of experience serving clients and is a frequent contributor to PwC’s publications and communications.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The 2021 AICPA & CIMA Conference on Current SEC and PCAOB Developments included panels and speeches from a variety of market participants, many that addressed recent and expected change on many fronts of the financial reporting landscape. Heather Horn was joined by Angela Fergason and Kyle Moffatt, National Office partners, to discuss key takeaways from this year’s conference.
Topics :
- 1:21 - Background on the conference and themes. Angela discusses the background on the conference and provides an overview of this year’s themes.
- 4:10 - What accounting topics were addressed? Angela, Kyle, and Heather talk through some of the accounting topics discussed at the conference with a highlight on SPACs, digital assets, revenue recognition, tax reform, and recently issued SAB 120 on “spring loaded” stock based compensation awards.
- 15:30 - What is the SEC focusing on? Kyle provides the latest update on the anticipated climate disclosure proposal and walks listeners through some of the SEC staff’s top areas of comment in financial statement reviews. These include materiality, non-GAAP, and segments, among others.
- 27:54 - What’s on the FASB’s agenda? Angela discusses constituent feedback on the FASB’s future agenda and highlights a few FASB project updates.
- 36:18 - What themes emerged in the SEC enforcement session? Kyle gives an update on key messages coming from the SEC's Division of Enforcement. Heather tries to stump Angela and Kyle with some niche accounting questions.
Want to learn more?
- Listen to our What’s trending in SEC comments podcast series here.
- Listen to our SPAC series here: Facts on SPACs: New trends in 2021
- Read our in the loop: Don’t wait until the SEC staff asks you about climate change
Angela Fergason is a partner in PwC's National Office specializing in the accounting for revenue and employee compensation arrangements. She also consults on a range of financial reporting issues impacting technology companies. Angela is a frequent speaker on accounting and financial reporting topics and is a contributor to many PwC National Office publications, including our accounting guides on revenue and stock-based compensation.
Kyle Moffatt is a partner in PwC's National Office where he consults with engagement teams and audit clients on SEC reporting matters. He joined PwC in April 2020 after spending almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Talking ESG podcast series, we give an end-to-end look at what it takes to build effective ESG reporting in today’s environment. From investor to stakeholder expectations, from global frameworks to data, process, and controls—there’s something in it for everyone.
This week Heather Horn sat down with Brigham McNaughton, a managing director in PwC’s ESG practice, to discuss ESG reporting with a focus on the standards of the Sustainability Accounting Standards Board (SASB).
Topics include:
- 2:34 - Scope. SASB standards address disclosures for 77 industries and include over 1,000 metrics. Brigham and Heather discuss the scope of these disclosures and how the SASB has evolved over the years.
- 11:48 - How’d we get here? Nearly 1,200 companies worldwide apply SASB standards. Brigham walks listeners through the SASB’s history and some considerations around adoption.
- 18:56 - Planning to adopt. Despite the plethora of metrics and industry standards, adoption shouldn’t be daunting. Brigham and Heather discuss the steps that companies should take if they plan on adopting SASB standards.
- 24:23 - What about materiality? Assessing materiality for ESG-related topics differs from financial reporting. Brigham gives listeners helpful background information on how to think about materiality for non-financial disclosures.
- 31:19 - Advice for listeners. Brigham and Heather discuss some practical advice for those adopting or planning to adopt elements of the SASB framework. Brigham provides his perspective on what the future holds for climate-related disclosures.
Want to learn more?
- Listen to our previous podcasts in this series, Talking ESG: Leveraging TCFD for climate-related disclosures, Talking ESG: How SEC proposals may shape future reporting, Talking ESG: A focus on the Global Reporting Initiative, and Talking ESG: How new EU rules may impact your reporting.
Brigham McNaughton is a managing director in PwC’s ESG practice. He has served global clients in a range of industries including utilities, automotive, and financial services, advising on core ESG strategy development and stakeholder engagement. Brigham has worked closely with the Sustainability Accounting Standards Board (SASB) on a variety of reporting initiatives.
Heather Horn is a Deputy Chief Accountant in PwC’s National Office and leader of the thought leadership group, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In the fourth quarter of 2021, President Biden signed the Infrastructure Investment and Jobs Act, which signals a long-term federal commitment to secure and modernize existing infrastructures, and support a transition to a clean economy. While that legislation is now law, at press time, the fate of the Build Back Better reconciliation bill is still unknown. We summarize the current state, including proposed tax law changes that could impact 2021 financial statements.
At the SEC, fourth quarter activity included announcing new PCAOB appointments and adopting rules requiring the use of universal proxy cards in contested board elections. The SEC staff also continues its focus on ESG, providing example comments registrants may receive related to their disclosures—or lack thereof—about climate change. We provide the details and other ESG updates, including key takeaways from our recent ESG investor survey.
To help you prepare your year-end financial statements, we’ve compiled a list of top five year-end reporting reminders. We also provide perspectives on the impacts of the current economic environment on your year-end reporting.
In standard-setting news, the FASB issued four new accounting standards, including changes to business combination accounting that companies may want to adopt this year. And, the feedback is in on the FASB’s future agenda. We reveal the topics that rose to the top of stakeholder’s lists.
In this edition of The quarter close, we highlight these and other relevant accounting and reporting topics you should consider as 2021 comes to a close.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Talking ESG podcast series, we give an end-to-end look at what it takes to build effective ESG reporting in today’s environment. From investor to stakeholder expectations, from global frameworks to data, process, and controls—there’s something in it for everyone.
This week Heather Horn sat down with Steve Bochanski, PwC’s Climate Risk Modeling leader, to discuss ESG reporting with a focus on the Task Force on Climate-related Financial Disclosures (TCFD) and how it may affect your company.
Topics include:
- 6:09 - What is the TCFD? The Task Force on Climate-related Financial Disclosures was established to focus on providing stakeholders with information about climate-related risks. Heather and Steve talk through the background of the TCFD and how it’s different from other ESG reporting frameworks.
- 10:48 - Making a risk assessment. Most listeners will be familiar with the physical risks associated with climate change, and many companies already have processes in place to address them. But there’s also transition risk, which is less well-understood. Steve and Heather discuss how to get started assessing both of these risk categories and how correctly identifying risks upfront can improve your reporting.
- 19:54 - Who is adopting the TCFD recommendations? The Task Force has structured its guidance for broad adoption across industries. Steve walks listeners through the steps involved in adoption and who should be involved from the organization.
- 28:29 - Stakeholders and data quality. Most organizations have done more work than they think in their focus on conventional risk assessment processes that can be useful in a TCFD disclosure. Steve explains how companies can use these processes to accelerate their climate reporting process. Steve and Heather also talk through the importance of data quality.
- 36:57 - Advice for listeners. Steve and Heather discuss some practical advice for companies that have adopted or are planning to adopt aspects of the TCFD framework. Steve provides his perspective on what the future holds for climate-related disclosures.
Want to learn more?
- Listen to our previous podcasts in this series, Talking ESG: How SEC proposals may shape future reporting, Talking ESG: A focus on the Global Reporting Initiative, and Talking ESG: How new EU rules may impact your reporting.
Steve Bochanski leads PwC's US Climate Risk Modeling team, comprising actuaries, financial engineers, and climate scientists, and other actuarial activities in the ESG space. He also leads PwC’s Actuary of the Future initiative globally, focusing on actuarial modernization, upskilling, and corporate risk modeling beyond the insurance sector.
Heather Horn is a Deputy Chief Accountant in PwC’s National Office and leader of the thought leadership group, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our What’s trending in SEC comments series, our guests bring you the latest themes in comment letters from the SEC’s Division of Corporation Finance for the most common topical areas of the financial statements.
This week we focus on debt, warrants, and equity. Tom Barbieri, a Deputy Chief Accountant in PwC’s National Office, and John Horan, Managing Director in PwC’s National Office, joined Heather Horn to break down some of the questions raised in these comments, giving you a deeper understanding of the SEC staff’s expectations, as well as context and insights into the GAAP requirements.
Topics include:
- 1:46 - What types of comments are companies getting? Tom and John discuss the main themes of comments. Common questions relate to SPAC warrants and earnouts, debt modifications, preferred stock, embedded derivatives, and EPS.
- 4:51 - SPAC warrants and earnouts. Accounting for SPAC warrants and earnouts can be complicated. John and Heather discuss the types of questions the SEC is asking on this topic and some best practices for determining the appropriate accounting.
- 17:34 - Debt modifications and extinguishments. Accounting for a troubled debt restructuring, debt modifications, or extinguishment can be complex. Tom and Heather discuss some tips for getting disclosures about these transactions right the first time.
- 23:51 - Preferred stock. John and Heather talk about the SEC staff’s interest in particular topical areas when asking about preferred stock.
- 31:05 - Embedded derivatives. Tom and Heather discuss accounting for embedded conversion features and other redemption provisions, and the importance of providing the right level of context for these in your disclosures.
- 33:51 - Earnings per share. EPS has continued to be an ongoing area of focus for the SEC staff. John explains some of the areas that might give rise to a comment.
- 40:03 - Key takeaways and reminders. We close with some future areas to pay attention to and helpful advice for issuers to address these issues heading into year end. Heather tries to stump Tom and John with some niche accounting questions.
Want to learn more?
Listen to our previous comment letter podcasts: Revenue: What’s trending in SEC comments, Goodwill: What’s trending in SEC comments, and Inventory and cost of sales: What’s trending in SEC comments, Segment reporting: What’s trending in SEC comments
Financial statement presentation guide: Chapter 5: Stockholders’ Equity, Chapter 12: Debt, Chapter 19: Derivatives and Hedging
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Talking ESG podcast series, we give an end-to-end look at what it takes to build effective ESG reporting in today’s environment. From investor to stakeholder expectations, from global frameworks to data, process, and controls—there’s something in it for everyone.
This week Heather Horn sat down with Kyle Moffatt, PwC National Office partner, and Sheri Wyatt, a partner in PwC’s ESG practice and Diversity leader for Trust Solutions, to help listeners gain a better understanding of the current landscape at the SEC related to ESG reporting and how it may affect your company.
Topics include:
- 1:30 - The latest from the SEC. We begin the conversation with an update on the SEC’s new administration and proposals for new disclosures. Kyle takes listeners through what this means for issuers.
- 6:56 - Human capital disclosures. Companies made their principles-based human capital disclosures for the first time last year. Kyle and Sheri discuss the result of those disclosures and where they see investor focus.
- 15:30 - Climate change disclosures. Kyle and Heather discuss the SEC’s continued focus on climate change-related risk disclosures. Even absent new rules on climate disclosures, there is a lot for companies to monitor in order to comply with existing guidance.
- 20:43 - Highlights from comment letters. The SEC has released a number of comment letters around companies' human capital and climate disclosures. Kyle and Sheri help unpack these letters and give listeners a preview of how registrants are responding.
- 38:45 - Advice for listeners. There’s some judgment to determining what’s sufficient disclosure. Kyle and Sheri give their points of view on what companies should be considering in relation to their human capital and climate change disclosures.
- 41:33 - What’s coming next? Sheri and Kyle take listeners through the expected timeline for upcoming SEC rules and proposals related to ESG disclosures.
Kyle Moffatt is a partner in PwC's National Office where he consults with engagement teams and audit clients on SEC reporting matters. He joined PwC in 2020 after spending almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Sheri Wyatt is a partner in PwC’s sustainability practice and also serves as the diversity leader for the US Assurance line of service. She has over 20 years of experience advising companies on the adoption of new accounting and financial reporting standards, from assessing current state through operationalizing compliance with new standards and policies.
Heather Horn is a Deputy Chief Accountant in PwC’s National Office and leader of the thought leadership group, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our What’s trending in SEC comments series, our guests bring you the latest themes in comment letters from the SEC’s Division of Corporation Finance for the most common topical areas of the financial statements.
This week we focus on segment reporting. Matt Sabatini and Reto Micheluzzi, PwC National Office partners, joined Heather Horn to break down some of the questions raised in these comments, giving you a deeper understanding of the SEC staff’s expectations, as well as context and insights into the GAAP requirements.
Topics include:
- 1:49 - A refresher on segment disclosures. Matt and Reto set the stage with an overview of the disclosure rules. Reto updates listeners on the current FASB project that may change the current segment disclosure requirements.
- 10:09 - What types of comments are companies getting? Matt and Reto discuss the main themes of recent comments. Common questions relate to how the company determined the Chief Operating Decision Maker, identified operating segments, and aggregated its operating segments to reportable segments, and the completeness of its entity-wide segment disclosures.
- 15:19 - Identifying reportable segments. Matt gives an overview of comments that issuers have received about identifying reportable segments. Issuers typically receive more questions when identifying only one reportable segment.
- 17:12 - Entity wide disclosures. There are a number of entity-wide disclosures that must be made even when the entity identifies only one reportable segment. Matt and Heather discuss some tips for getting these right.
- 20:19 - Aggregation of operating segments. Aggregating operating segments into a reportable segment is an area that requires significant judgment. Matt and Reto give some of the steps you can take to avoid common pitfalls.
- 31:32 - Key takeaways and reminders. We close with helpful advice to address segment issues heading into year end. Heather tries to stump Matt and Reto with some niche accounting questions.
Want to learn more?
- Financial statement presentation guide: Chapter 25 segment reporting, including the flowchart for determining reportable segments in Chapter 25.3
- See our overview of SEC Comment Letter Trends
Matt Sabatini is a partner in PwC's National Office.
Reto Micheluzzi is a partner in PwC’s National Office with over 25 years of experience solving his clients’ most complex accounting and financial reporting issues, creating a path through the dense regulatory framework and bodies of rules. He has a deep understanding of the demands associated with today’s accounting complexities and potential SEC reporting issues, primarily related to M&A, consolidation, reorganizations, and income taxes.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Talking ESG podcast series, we give an end-to-end look at what it takes to build effective ESG reporting in today’s environment. From investor to stakeholder expectations, from global frameworks to data, process, and controls—there’s something in it for everyone.
This week Heather Horn sat down with Eelco van der Enden, PwC’s Global ESG Tax & Legal Services platform leader and newly-appointed CEO of the Global Reporting Initiative, to help listeners gain a deeper understanding of the standards produced by GRI.
Topics include:
- 6:52 - What is GRI? We begin the conversation with a discussion on GRI’s past and present. Eelco takes listeners through the history of GRI and explains why he believes these standards have a strong linkage to enterprise value creation.
- 21:32 - Spurring companies to take action. As more investors call for standardization, Eelco and Heather discuss how the visibility and transparency that come from ESG reporting can spur companies to make changes.
- 32:27 - Setting up controls and processes. More and more companies are starting to move towards increased ESG reporting, whether purely voluntary or in anticipation of upcoming rules. Eelco explains how companies can effectively manage the necessary process and control changes.
- 41:55 - The current lay of the land. Eelco gives listeners his perspective on the current landscape of ESG reporting and how GRI fits in with the other broad frameworks such as SASB.
- 47:32 - Advice for listeners. Eelco gives his point of view on what companies should be thinking about as they start building out their ESG reporting.
Want to learn more?
- Listen to some of our previous podcasts in this series, Talking ESG: How new EU rules may impact your reporting, and Talking ESG: Demystifying the reporting landscape
Eelco van der Enden leads PwC’s global ESG platform for Tax & Legal and People Services and PwC's Tax Administration Consulting practice. He supports public and private sector organisations adjusting their tax operations to an ESG focused economy. Eelco is a member of the global board of directors of GRI and was a co-writer of the GRI 207: Tax standard. Eelco is also Chairman of the Tax Policy Group of Accountancy Europe, member of the EU GTG Committee and has published more than 50 articles on tax governance and reporting. Effective January 1, 2022, Eelco will join GRI as CEO.
Heather Horn is a Deputy Chief Accountant in PwC’s National Office and leader of the thought leadership group, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our What’s trending in SEC comments series, our guests bring you the latest themes in comment letters from the SEC’s Division of Corporation Finance for the most common topical areas of the financial statements.
This week we focus on inventory, cost of sales, and income statement presentation. Pat Durbin, PwC National Office Partner, joined Heather Horn to break down some of the questions raised in these comments, giving you a deeper understanding of the SEC staff’s expectations, as well as context and insights into the GAAP requirements.
Topics include:
- 3:34 - What types of comments are companies getting? Pat and Heather discuss the main themes of comments. Common questions relate to the presentation of cost of sales and other income statement line items.
- 5:21 - Completeness of cost of sales. Pat gives an overview of comments that issuers have received about the completeness of their cost of sales and how to avoid some common pitfalls.
- 11:25 - What about the classification of operating expenses? There is very little explicit guidance on how to classify operating expenses and what to disclose. Pat and Heather discuss some of the diversity in practice and tips for providing the right level of context in your disclosures.
- 18:27 - Navigating the application of SAB topic 11-B. Pat and Heather discuss how to appropriately address this SEC staff guidance.
- 22:14 - What about comments on inventory? Inventory can be a material line item for many companies that sell products. Pat and Heather discuss some of the inventory comment letter trends and some of the disclosures that might require more judgment.
- 24:09 - Key takeaways and reminders. Pat closes with helpful advice when making decisions about income statement presentation, and how to convey key judgments to the reader. Heather tries to stump Pat with some niche accounting questions.
Want to learn more?
- Listen to our previous comment letter podcasts Revenue: What’s trending in SEC comments and Goodwill: What’s trending in SEC comments
- PwC’s Inventory Guide
- See our overview of SEC Comment Letter Trends
Pat Durbin is a partner in PwC’s National Office. Pat is a partner in PwC’s Assurance National Office and has over 30 years of experience. He has expertise in financial reporting and extensive experience serving board, C-suite, and senior management level executives across a variety of industries and geographies both in the US and internationally.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Talking ESG podcast series, we give an end-to-end look at what it takes to build effective ESG reporting in today’s environment. From investor to stakeholder expectations, from global frameworks to data, process, and controls—there’s something in it for everyone.
This week Heather Horn sat down with Valerie Wieman and Andreas Ohl, PwC National Office partners, to help listeners sort through the volume of organizations focused on ESG reporting and provide an overview of the current landscape and the changes to come.
Topics include:
- 2:31 - Who are the current global players? We open the conversation with a discussion on the big picture of the current landscape. Who are the current players? How do all of the different frameworks fit together? Andreas and Val help answer these questions.
- 17:40 - How does this affect US companies? Val and Andreas explain how global reporting frameworks and developments should be considered by US companies. They also give an update on the SEC’s recent prioritization of ESG reporting and what happens next in terms of potential new SEC reporting requirements.
- 26:45 - Moving to mandatory. As reporting requirements increasingly move from voluntary to mandatory, Andreas and Val discuss how listeners should prepare for the future state of reporting frameworks.
- 34:46 - Advice for listeners. Even if your company is not facing mandatory requirements, investors are increasingly coming to expect some sort of ESG reporting. Andreas and Val give their perspective on where companies can start and stay ahead of the curve.
Want to learn more?
- Listen to our previous podcasts in this series, Talking ESG: Taking reporting from theory to action, Talking ESG: How investor views may impact your reporting, and Talking ESG: How new EU rules may impact your reporting
- Read our PwC ESG Investor Survey
Valerie Wieman is PwC’s National Office Editor-in-chief. She is involved in the creation, development, and publication of our brand-defining thought leadership, with a recent focus on ESG reporting. Prior to this role, she was part of PwC’s National Office SEC Services group, helping clients navigate SEC rules and regulations.
Andreas Ohl is a partner in PwC's National Office focused on thought leadership, standard setting, and mergers and acquisitions under US GAAP and IFRS. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's in-process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
Heather Horn is a Deputy Chief Accountant in PwC’s National Office and leader of the thought leadership group, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
This week we have a special episode focused on the FASB’s new guidance related to contract assets and contract liabilities (i.e., deferred revenue) acquired in a business combination (ASU 2021-08). Host Heather Horn is joined by Andreas Ohl and Jay Seliber, PwC National Office partners, to talk about key changes and considerations in the new rules, and the timing of adoption.
Topics include:
- 1:19 - Background. Jay and Andreas begin by discussing the scope of the newly-issued guidance, and the reasons why the rules are changing.
- 6:45 - Overview of application. Jay and Andreas provide more specifics on the application of the new guidance, including some important changes from existing GAAP, and why the amounts to record under the new standard won’t in some cases just be a carryover of the target’s balances.
- 19:43 - A reminder about valuations. Jay and Andreas explain how valuations of intangible and other assets will - and won’t - be affected by the new guidance.
- 22:23 - Key impact areas. Jay and Andreas take us through some of the most significant ways the new standard is expected to impact companies in the periods after a business combination.
- 28:26 - Effective date and transition. What’s the timing and method of adoption? Jay and Andreas wrap up with an overview of the effective date and transition aspects of the new guidance, along with key elements to carefully consider before simply jumping into the new standard. Heather tries to stump Jay and Andreas with some niche accounting questions.
Want to learn more? Read our In depth: Accounting for acquired contract assets and contract liabilities.
Andreas Ohl is a partner in PwC's National Office focused on thought leadership, standard setting, and mergers and acquisitions under US GAAP and IFRS. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's in-process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
Jay Seliber is a partner in PwC’s National Office. He leverages over 30 years of experience to help clients with their most complex accounting matters, particularly in the areas of mergers and acquisitions, revenue recognition, stock compensation, earnings per share, employee benefits, restructurings, impairments, and financing transactions. Jay is presently PwC's representative to the FASB's Emerging Issues Task Force.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our What’s trending in SEC comments series, our guests bring you the latest themes in comment letters from the SEC’s Division of Corporation Finance for the most common topical areas of the financial statements.
This week we focus on goodwill. Jay Seliber, PwC National Office Partner, joined Heather Horn to break down some of the questions raised in these comments, giving you a deeper understanding of the SEC staff’s expectations, as well as context and insights into the GAAP requirements.
Topics include:
- 1:40 - What types of comments are companies getting? Jay and Heather discuss the main themes of comments. Common questions relate to the determination of reporting units, the timing of goodwill impairments, and disclosures of impairments and at-risk goodwill.
- 4:30 - Reporting units. Jay gives an overview of comments that issuers have received about their determination of reporting units and how to avoid some common pitfalls.
- 10:41 - What about the timing of goodwill impairments? Impairment tests require a significant amount of judgment. Jay and Heather discuss how to navigate this complex area and some tips for identifying impairment indicators early to head off questions over timing.
- 15:04 - Disclosures of impairments and at-risk reporting units. Jay and Heather discuss how to appropriately foreshadow at-risk reporting units, as well as a few often-overlooked disclosures that may solicit comments.
- 23:58 - Key takeaways and reminders. Jay closes with helpful advice for issuers when responding to an SEC comment letter. Heather tries to stump Jay with some niche accounting questions.
Want to learn more?
- Listen to our previous comment letter podcast Revenue: What’s trending in SEC comments
- Read section 8.9, Goodwill, in our Financial Statement Presentation guide
- See our overview of SEC Comment Letter Trends
Jay Seliber is a partner in PwC’s National Office. He leverages over 30 years of experience to help clients with their most complex accounting matters, particularly in the areas of mergers and acquisitions, revenue recognition, stock compensation, earnings per share, employee benefits, restructurings, impairments, and financing transactions. Jay is presently PwC's representative to the FASB's Emerging Issues Task Force.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Talking ESG podcast series, we give an end-to-end look at what it takes to build effective ESG reporting in today’s environment. From investor to stakeholder expectations, from global frameworks to data, process, and controls—there’s something in it for everyone.
This week Heather Horn sat down with Nadja Picard, PwC’s Global Reporting Leader, and Andreas Ohl, PwC National office partner, to discuss ESG reporting with a focus on the European Commission’s Corporate Sustainability Reporting Directive or CSRD, and how it may impact companies outside the EU (including US companies that do business in Europe).
Topics include:
- 5:04 - What is CSRD? The Corporate Sustainability Reporting Directive or CSRD was proposed by the European Commission this year and introduces potential big changes for companies with operations in Europe. Heather and Nadja talk through the impact of the directive and why it will impact more than just EU companies.
- 13:27 - What are the requirements? Nadja and Andreas provide insight on the CSRD proposal, including the requirements that certain companies disclose information on the way they operate and manage social and environmental challenges.
- 28:08 - Advice for listeners. Complying with CSRD requirements goes beyond reporting. Companies may have articulated a net zero strategy, but often have not laid out in detail how they plan to get there and what processes they have to track their progress. An early draft of how climate related disclosures may look like under the CSRD requires transparency on exactly that. Nadja and Andreas give listeners practical advice on how to prepare.
- 42:59 - Blind spots? Nadja and Andreas discuss areas that companies are prone to overlook as they think about their ESG reporting. Some tend to focus on one topic, instead of addressing ESG holistically.
Want to learn more?
- Listen to our previous podcasts in this series, Talking ESG: Taking reporting from theory to action and Talking ESG: How investor views may impact your reporting
Nadja Picard is PwC’s Global Reporting Leader. In this role she leads PwC’s global initiative to help clients transform their corporate reporting to meet investor and stakeholder demands for trusted and assured reporting beyond financial reporting. Nadja also advises companies on the accounting, corporate reporting, and investor relations requirements in advance of capital markets transactions, especially IPOs.
Andreas Ohl is a partner in PwC's National Office focused on thought leadership, standard setting, and mergers and acquisitions under US GAAP and IFRS. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's in-process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
Heather Horn is a Deputy Chief Accountant in PwC’s National Office and leader of the thought leadership group, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In each episode of our What’s trending in SEC comments series, our guests bring you the latest themes in comment letters from the Division of Corporation Finance for the most common topical areas of the financial statements.
This week we focus on revenue. Angela Fergason, PwC National Office partner, joined Heather Horn to break down the questions raised in SEC comments, giving you a deeper understanding of the SEC staff’s expectations and context and insights into the GAAP requirements.
Topics include:
- 1:20 - What types of comments are companies getting? Angela and Heather discuss the different types of comments and give some examples of when each has come up. Common questions relate to completeness of disclosures, consistency with other disclosures, and requests for supporting analysis. And one hint for preparers: don’t use boilerplate language!
- 10:46 - Top elements of revenue guidance sourcing comments. Angela gives five topics where comments have been more prevalent: disaggregated revenue, determining the transaction price, identifying performance obligations, principal vs. agent, and timing of revenue recognition.
- 21:14 - What’s ahead? Angela shares what might be around the corner as attention is increasing for certain comments, including separately reporting certain categories of revenue in compliance with S-X Rule 5-03(b).
- 23:34 - Perspectives on responding. Angela closes with two pieces of advice for issuers when responding to an SEC comment letter. Heather tries to stump Angela with some niche accounting questions.
Want to learn more? Listen to Angela’s other podcast episodes on revenue, including Full disclosure: Revenue, Identifying performance obligations: PwC breaks it down, andVariable consideration: How it impacts your top and bottom line.
Angela Fergason is a partner in PwC's National Office with over 20 years of experience who specializes in accounting for revenue and employee compensation arrangements. She is a frequent speaker on accounting and financial reporting topics and is a contributor to many PwC National Office publications, including our accounting guides on revenue and stock-based compensation.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Talking ESG podcast series, we give an end-to-end look at what it takes to build effective ESG reporting in today’s environment. From investor expectations, to global frameworks, to data, process, and controls—there’s something in it for everyone.
This week Heather Horn sat down with Hilary Eastman, Director of Investor Engagement at PwC, to digest the results of the 2021 Global investor ESG survey.
Topics include:
- 1:47 - Overview. Hilary gives the background of the inaugural ESG investor survey, the goals of the survey, and who the respondents were.
- 7:04 - High level findings and focus areas. Hilary and Heather walk our listeners through the highlights of the investor survey results and the areas where finance and controllership teams should be focused.
- 19:25 - What about return on investment? With all of this focus on company investment in ESG, Hilary takes us through what the findings reveal about return on investment and whether investors are willing to accept a lower rate of return from companies having a beneficial impact on society and the environment.
- 26:53 - Where are investors looking for information? Hilary and Heather discuss the variety of sources investors can use to gather ESG-related information on companies. Additionally Hilary gives the investor perception of the current quality of corporate ESG reporting.
- 37:21 - Key Takeaways. In addition to the survey, PwC’s investor engagement team performed in-depth interviews to gain investor perspectives on how companies can improve their reporting about ESG issues. Hilary takes us through the common themes from these interviews.
Hilary Eastman leads global investor engagement at PwC and is an ESG reporting strategy expert, with responsibility for managing the firm’s relationships with the investment community in the UK and globally. In her role, Hilary works with investors and analysts to get their views on a variety of corporate reporting and governance matters to help companies improve their reporting to the capital markets.
Heather Horn is a Deputy Chief Accountant in PwC’s National Office and leader of the thought leadership group, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Our Full disclosure podcast series brings you back to the basics on all things related to financial statement presentation and disclosure, from the top of the financial statements through the footnotes.
This week we focus on the presentation and disclosure requirements for commitments and contingencies. Jay Seliber, PwC National Office partner, is back in the guest seat to share helpful insights and key reminders with our host, Heather Horn.
Topics include:
- 1:22 - Background. Jay and Heather discuss the scope of the commitments and contingencies guidance, including discussion of guarantees.
- 4:43 - Presentation on the balance sheet and income statement. Jay walks listeners through when commitments need to be recognized. He also covers the contingency model and related presentation, including insurance recoveries.
- 20:03 - Disclosure requirements. Jay takes us through the disclosure requirements for commitments and contingencies in the financial statements, including some of the areas that require more judgment.
- 39:42 - Closing remarks. Jay closes with areas of GAAP where disclosures of other types of commitments are required. Heather tries to stump Jay with some niche accounting questions.
Want to learn more?
- Financial statement presentation guide Chapter 23: Commitments, contingencies, and guarantees
Jay Seliber is a partner in PwC’s National Office. He leverages over 30 years of experience to help clients with their most complex accounting matters, particularly in the areas of mergers and acquisitions, revenue recognition, stock compensation, earnings per share, employee benefits, restructurings, impairments, and financing transactions. Jay is presently PwC's representative to the FASB's Emerging Issues Task Force.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Talking ESG podcast series, we will give an end-to-end look at what it takes to build effective ESG reporting in today’s environment. From investor expectations, to global frameworks, to data, process, and controls—there’s something in it for everyone.
In this week’s episode, Heather Horn sat down with Casey Herman, PwC’s US ESG leader, to talk through the current landscape of ESG reporting and how an in-depth understanding of your business’s purpose, strategy, and stakeholders can empower your messaging.
Topics include:
- 3:51 - What is the current state of ESG? Companies will likely have to make changes to their businesses to meet their ESG-related commitments. Casey lays out what stakeholders are looking for and how you can tie these expectations into your strategy.
- 7:45 - Complexities of ESG reporting. Stakeholders are beginning to put pressure on companies to report more on ESG. Casey walks us through the challenges that companies are facing and some potential solutions.
- 22:36 - How is finance getting involved? As companies begin migrating their ESG reporting into the finance function, Casey explains some of the core competencies they should be looking to develop.
- 29:38 - How to get up to speed. Heather and Casey discuss some of the ways the finance teams can move from theory to action on ESG reporting, and close with advice on how companies can stay ahead of the curve in the face of rapid developments.
Want to learn more?
Check out our ESG: What finance teams need to know webcast, and hear more from Casey in his earlier podcast Forecast 2021: The “E” in ESG, spotlight on achieving net zero.
Casey Herman is PwC’s US ESG Leader. Casey has over 35 years of experience leading and working on the audits of many significant, complex clients and is a member of the Edison Electric Institute's Wall Street Advisory Group, the Electric Power Research Institutes Advisory Council, and the NYU Stern Business School Center for Sustainable Business Advisory Council.
Heather Horn is a Deputy Chief Accountant in PwC’s National Office and leader of the thought leadership group, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
With the ever changing landscape of accounting practice, the FASB and IASB periodically request feedback from stakeholders to assist the boards prioritizing their standard-setting efforts. This week, Andreas Ohl, a partner in PwC’s National Office, and Gary Berchowitz, a partner in PwC’s global IFRS technical accounting group, join our host Heather Horn to help unpack what respondents were focused on in each respective consultation.
Topics include:
- 2:15 - What is the process? Andreas and Gary explain the FASB and IASB agenda consultations and how these processes ultimately feed into standard setting.
- 7:45 - Where did the FASB respondent’s focus? Andreas provides insight from the responses to the FASB’s agenda consultation. Notably he summarizes thoughts on digital assets, intangibles, ESG in the financial statements, and government grants.
- 26:45 - What about the IASB? Gary and Heather discuss where he thinks the IASB may land after their agenda consultation. Gary provides his perspective on cash flow statement disclosures, going concern, and variable payments to acquire intangible assets.
- 31:02 - Wrap up and timeline. We close by walking through what comes next in this process for the FASB and IASB and how this feedback will influence their agendas.
Andreas Ohl is a partner in PwC's National Office focused on mergers and acquisitions under US GAAP and IFRS. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's in-process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
Gary Berchowitz is a partner in PwC’s Global Accounting Consultancy Department. Gary brings more than 17 years of financial accounting experience, working to drive quality and connectivity throughout the PwC network and help local teams solve complex accounting issues in a practical way. Gary contributes to the firm’s global view on a variety of financial reporting matters.
Heather Horn is a Deputy Chief Accountant in PwC’s National Office and leader of the thought leadership group, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In this week’s episode we are taking a deep dive into current legislative developments, specifically the tax-related changes that may be on the horizon. Rohit Kumar, co-leader of PwC’s Washington National Tax Services practice, joins host Heather Horn to provide his perspective on anticipated developments. Tax leaders are already scenario planning - we break it down so CFOs can do the same.
Topics include:
- 2:12 - What’s the lay of the land? Rohit takes us through where things currently stand with negotiations in Washington. Heather and Rohit discuss the infrastructure and reconciliation bills as well as the likelihood of these bills getting signed into law before the end of the year.
- 9:53 - Possible scenarios. Rohit provides a few potential legislative outcomes, touching on the gross spending side of the budget equation as well as revenue raising, such as through changes to the corporate and individual tax rates and credits, among other domestic and international policy alternatives.
- 34:13 - Where should CFOs focus? Rohit and Heather talk about the policy changes CFOs should be focused on - think corporate rate, OECD agreements, and tax based on book income.
- 42:43 - Wrap up and timeline. It’s up to Congress now. Rohit expects that we will know in the next month whether politicians will be able to reach an agreement by the end of the year. We close by walking through this timeline.
Want to learn more?
- PwC podcast: Washington explained: Infrastructure, tax reform, and more
Rohit Kumar is co-leader of PwC’s Washington National Tax Services practice. In this role, he advises clients on all aspects of domestic policy, including tax policy. His insights and knowledge enable companies to assess critical policy issues more effectively and to develop legislative strategies to address those issues from both a technical and a political perspective.
Heather Horn is a Deputy Chief Accountant in PwC’s National Office and leader of the thought leadership group, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Our Full disclosure podcast series brings you back to the basics on all things related to financial statement presentation and disclosure, from the top of the financial statements through the footnotes.
This week we focus on the presentation and disclosure requirements for segments. Jay Seliber, PwC National Office partner, is back in the guest seat to share helpful insights and key reminders with our host, Heather Horn.
Topics include:
- 1:15 - Overview of segments. Jay explains the underlying objective of segment reporting and the importance of allowing financial statement users to see the company through the eyes of management.
- 4:45 - Identification of operating segments. Jay defines an operating segment, including how to interpret their key characteristics. He also walks through how to determine your Chief Operating Decision Maker.
- 11:38 - Identification of reportable segments. Next, Jay discusses how to assess which operating segments must be presented as reportable segments in the footnotes, including aggregation criteria and quantitative thresholds.
- 19:43 - Disclosure requirements. Jay takes us through the disclosure requirements for segments in the financial statements, including some of the areas that require more judgment.
- 32:32 - Closing Remarks. Jay closes with final reminders and a project update from the FASB. Heather tries to stump Jay with some accounting questions.
Want to learn more?
- Financial statement presentation guide on segmentreporting.
- Q3 2021 Quarterly accounting webcast includes a section on segment reporting comment letter trends
- FASB project page: Segment Reporting
Jay Seliber is a partner in PwC’s National Office. He leverages over 30 years of experience to help clients with their most complex accounting matters, particularly in the areas of mergers and acquisitions, revenue recognition, stock compensation, earnings per share, employee benefits, restructurings, impairments, and financing transactions. Jay is presently PwC's representative to the FASB's Emerging Issues Task Force.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In this week's episode we are exploring the current state of geopolitical forces that are shaping business today. Host Heather Horn sat down with Craig Stronberg, a former historian and current director in PwC Intelligence, and Christina Wobig, a senior manager in PwC Intelligence, to get some insight on the geopolitical landscape, trends, and ways to manage risk.
Topics include:
- 1:59 - Geopolitical forces. We begin by setting the stage and covering the trends that warrant heightened CFO focus, including displacement of power around the globe and the effects of inequity.
- 7:27 - Trust and distrust. Can you build trust in today’s geopolitical landscape? Craig stresses the importance of investing in strategic relationships. Christina tells us how trust in business has actually increased over the course of the pandemic.
- 9:41 - Measure, monitor, manage. Geopolitical forces create risk, but companies that look ahead can capture opportunity. Craig and Christina discuss how companies can put a framework into place to do just that.
- 22:29 - The role of culture in companies. Craig discusses ESG principles, specifically the social elements, and how companies are thinking through today’s social issues.
- 24:27 - What’s the new normal? Does normal exist anymore? Christina and Craig discuss how COVID has changed our world, and what areas CFOs should be paying attention to when looking forward to 2022.
Want to learn more? Check out PwC’s latest Trust in Business Survey and listen to Craig’s previous podcast, COVID-19: How looking back will help business move forward.
Craig Stronberg leads the Macro Capability for PwC Intelligence, spearheading the team of analysts that provide macroeconomic and geopolitical intelligence to key stakeholders. Named as one of the "100 Most Creative People in Business” by Fast Company, Craig had a nearly 20 year career in national security affairs working for and advising numerous agencies and international partners, having been decorated five times. He focused on a variety of areas, including counterintelligence, economic espionage, counterterrorism, cyber threats, political-military issues, special operations integration, and support for major events such as the Olympic Games.
Christina Wobig is a senior manager in PwC Intelligence with more than 15 years of experience working in strategy and commercial leadership roles in professional services and industry, including music, pharma, and education technology. She has worked on projects around the globe helping companies navigate geopolitical trends with strategic thinking.
Heather Horn is a Deputy Chief Accountant in PwC’s National Office and leader of the thought leadership group, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Our Full disclosure podcast series brings you back to the basics on all things related to financial statement presentation and disclosure, from the top of the financial statements through the footnotes.
This week we focus on the presentation and disclosure requirements for business combinations. Jay Seliber, PwC National Office partner, is back in the guest seat to share some helpful insights with our host, Heather Horn.
Topics include:
- 1:15 - Scope of business combinations. Jay explains the applicability of the business combinations guidance to different types of transactions.
- 3:24 - Balance sheet. Jay highlights the presentation rules on the balance sheet and addresses a common question about the classification of contingent consideration.
- 6:30 - Income statement. Jay takes us through the presentation requirements for business combinations on the income statement, including some of the areas that require more judgment - think previously held equity interests, mark-to-market adjustments on contingent consideration, and tax indemnifications.
- 10:23 - Statement of cash flows. Jay breaks down the cash flow presentation rules for common aspects of business combinations transactions, including debt financing and contingent consideration.
- 18:21 - Disclosure requirements. Jay outlines both GAAP and SEC disclosure requirements on business combinations.
- 41:20 - Key takeaways. Jay closes with final reminders. Heather tries to stump Jay with some accounting history questions.
Want to learn more? Read:
- Chapter 17: Business combinations of our Financial statement presentation guide.
- In depth, SEC amends disclosure rules for acquired and disposed businesses
- In depth, Domestic SPAC mergers - financial reporting and accounting considerations
Jay Seliber is a partner in PwC’s National Office. He leverages over 30 years of experience to help clients with their most complex accounting matters, particularly in the areas of mergers and acquisitions, revenue recognition, stock compensation, earnings per share, employee benefits, restructurings, impairments, and financing transactions. Jay is presently PwC's representative to the FASB's Emerging Issues Task Force.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
As much as we’d like to put COVID behind us—things are still unpredictable and businesses will need to continue to be agile. In this special episode of PwC’s accounting podcast, Bhushan Sethi, the joint global leader of PwC’s People & Organization practice, is back to discuss the results from PwC’s latest US Pulse Survey and how to translate what we found to your work environment.
Topics include:
- 2:14 - Employee turnover. There’s ongoing concern about rising turnover as the “Great Resignation” continues. Bhushan shares data from our latest pulse survey and how companies can address the underlying issues.
- 14:43 - Retention and safety. As you recruit replacements—think about what needs to be done to “re-recruit” existing employees. Bhushan discusses how companies can design an environment best suited to employee retention and how safety plays a hand.
- 22:14 - Making hybrid work, work. You heard Bhushan talk about optimizing a hybrid workforce in a past podcast—now he gives us an update on recent trends and how things continue to evolve.
- 26:52 - Looking to the future. As companies learn to strategize under the shadow of a pandemic, Bhushan talks about how companies can align their strategies with their workforce, and how to address dependencies and inequities.
- 35:22 - Wrap up. Bhushan wraps up with additional findings from the Pulse Survey and some final words of advice.
Want to learn more? Check out PwC’s latest US Pulse Survey.
Want to hear more from Bhushan? Check out a few of his previous podcasts:
- Forecast 2021: How to make hybrid work, work
- What’s next? The future of work and how to get there
- What’s next? Changes to the workforce mean changes for business
Bhushan Sethi is a joint global leader of PwC’s People & Organization group, where he shapes and drives the firm’s global network strategy, delivering standalone and integrated solutions across strategy, management, technology, and tax consulting disciplines. Bhushan is a thought leader, public speaker, media spokesperson, and influencer on "future of work,” risk culture, workforce strategy, employee experience, and diversity & inclusion.
Heather Horn is a Deputy Chief Accountant in PwC’s National Office and leader of the thought leadership group, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Our Full disclosure podcast series brings you back to the basics on all things related to financial statement presentation and disclosure, from the top of the financial statements through the footnotes.
This week we focus on equity method investments and consolidation matters—think majority interests and variable interest entities (VIEs). Matt Sabatini, PwC National Office partner, is back again to share helpful insights and key reminders.
Topics include:
- 1:12 - Consolidation. Matt and Heather begin with an overview of the purpose of, and requirements for, consolidated financial statements.
- 11:04 - Variable interest entities. Matt and Heather tackle VIEs first—how are they presented? What are the disclosure objectives and requirements? Our guest also explains what’s different if you’re not the primary beneficiary.
- 22:25 - Other consolidation considerations. Matt dives into a few exceptions to the rules, common SEC comments, and other considerations.
- 30:46 - Equity method investments. Not required to consolidate? Matt describes the presentation and disclosure objectives and requirements for equity method investments.
- 45:06 - Other key reminders. Matt gives more reminders for preparing equity method investment disclosures and offers some final words of advice.
Want to learn more? Read our Financial statement presentation guide on equity method investments and consolidation. Or check out our Equity method investments and joint venturesand Consolidation guides for questions about accounting.
Matt Sabatini is a partner in PwC's National Office with over 20 years of experience helping clients and engagement teams navigate the accounting and financial reporting for complex transactions. He specializes in the accounting for M&A, corporate reorganizations, recapitalizations, joint ventures, and other investments.
Heather Horn is a Deputy Chief Accountant in PwC’s National Office and leader of the thought leadership group, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In this special episode of PwC’s accounting podcast, Roz Brooks, PwC’s US Public Policy Leader, is back to discuss the latest in Washington—focusing on the current bipartisan infrastructure bill and budget reconciliation working its way through Congress, as well as other policy developments CFOs will want to know about.
Topics include:
- 2:29 - Infrastructure and budget reconciliation. As we head into the last quarter of 2021, the House and Senate are negotiating final versions of the bipartisan infrastructure bill and budget reconciliation. Roz talks through the standoffs and what she thinks is likely to happen.
- 22:03 - Tax reform. What are the latest tax rates on the table? Roz gives an overview of some of the possible changes and reforms being discussed on Capitol Hill.
- 28:42 - Foreign policy and relations. Whether it’s travel, the supply chain, vaccine availability, or other current events, the global equilibrium has undergone significant changes in recent years. Roz gives her perspective on what Biden and the US have planned.
- 39:22 - Policy and financial markets. Roz highlights recent and expected changes at the PCAOB, the SEC’s views on ESG disclosures, and rulemaking with respect to foreign companies listed on US exchanges.
- 42:51 - Final thoughts. After the inauguration, Roz gave us her thoughts on the topic of bipartisanship. We checked in with her again in May. Heather asks her if anything’s changed since then.
Want to hear more? Check out some of Roz’s past podcasts:
- Forecast 2021: What to expect from the new administration
- Forecast 2021: Advice for CFOs on the latest from Washington
And listen to our podcast from last week to hear more about how companies are dealing with current events: COVID-19: How looking back will help business move forward.
Roz Brooks is PwC's US Public Policy Leader. Roz is responsible for ensuring PwC has a voice in important debates at the nexus of business and government and helping the firm successfully execute its business strategy. Roz leads PwC’s engagement with Congress, the White House, regulatory agencies, state and local governments, and organizations including trade associations, think tanks, and NGOs.
Heather Horn is a Deputy Chief Accountant in PwC’s National Office and leader of the thought leadership group, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Our Full disclosure podcast series brings you back to the basics on all things related to financial statement presentation and disclosure, from the top of the financial statements through the footnotes.
This week we focus on a lessee’s presentation and disclosure requirements for leases. Suzanne Stephani and Marc Jerusalem, PwC National Office directors, are back in the guest seats to share helpful insights and key reminders.
Topics include:
- 1:15 - Balance sheet and income statement. Marc and Suzanne start with the balance sheet and income statement, highlighting the presentation for finance vs. operating leases, current vs. non-current, and more.
- 10:55 - Statement of cash flows. Suzanne explains how to avoid common stumbling blocks when presenting lease transactions in the statement of cash flows.
- 15:33 - Disclosure requirements. Lessees have a long list of qualitative and quantitative disclosure requirements that need to be met. Marc details where to start and what to watch out for.
- 24:11 - Leases in light of current events. The current economic environment has disrupted some companies’ leasing strategies. Marc and Suzanne provide some insight on how this may impact their presentation and disclosures.
- 29:47 - Wrap-up. Heather tries to stump Suzanne and Marc with a few trivia questions before they provide final reminders and advice for companies accounting under ASC 842.
Want to learn more? Read our guides for those who have adopted ASC 842 and those still applying ASC 840.
Suzanne Stephani is a director in PwC’s National Office specializing in the application and interpretation of the accounting guidance related to financing and leasing transactions as well as the cash flow statement.
Marc Jerusalem is a director in PwC’s National Office specializing in leasing. Marc consults with clients on complex lease accounting issues and is a contributor to many related PwC National Office publications.
Heather Horn is a Deputy Chief Accountant in PwC’s National Office and leader of the thought leadership group, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
As much as we’d like to put COVID behind us—things are still unpredictable and businesses will need to continue to be agile. This week we’re joined again by Chris Benko, PwC’s chief economist and leader of PwC Intelligence, and Craig Stronberg, a former historian and current Director in PwC Intelligence, for some insight on the impact of COVID-19 as compared to past crises and which lessons learned today may help companies in the future.
Topics include:
- 2:25 - Looking to the past and to the future. Craig sets the stage with how COVID has unfolded in the current geopolitical landscape, the direction things are headed, and lessons that can be learned from past crises.
- 12:35 - Economic impacts. Less uncertainty and more predictability—that’s what we all want. Chris discusses the current “stable disequilibrium” we’re in and how companies can continue to exercise strategic agility.
- 22:10 - Evolving workforce and supply chain. The pandemic continues to disrupt the workforce and supply chain. Business practices will have to change, but how? Chris and Craig provide their perspective.
- 34:04 - Key takeaways. Chris and Craig end on a few positive notes and share what they see as opportunities for companies when COVID is over.
Want to hear more from PwC Intelligence? Check out some of our past podcasts:
- Forecast 2021: How will your business respond to tectonic forces?
- Forecast 2021: Top US economic trends to watch
Chris Benko is PwC’s US Senior Economist, providing the firm and its clients with economic analysis and commentary. Chris leads a team of business and sector analysts, economists, and data scientists, leveraging data and analytics to develop provocative points of view and inform strategic decision-making.
Craig Stronberg leads the Macro Capability for PwC Intelligence, spearheading the team of analysts that provide macroeconomic and geopolitical intelligence to key stakeholders. Named as one of the "100 Most Creative People in Business” by Fast Company, Craig had a nearly 20 year career in national security affairs working for and advising numerous agencies and international partners, having been decorated five times. He focused on numerous areas, including counterintelligence, economic espionage, counterterrorism, cyber threats, political-military issues, special operations integration, and support for major events such as the Olympic Games.
Heather Horn is a Deputy Chief Accountant in PwC’s National Office and leader of the thought leadership group, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Our Full disclosure podcast series brings you back to the basics on all things related to financial statement presentation and disclosure, from the top of the financial statements through the footnotes.
This week we focus on presentation and disclosure requirements for derivatives and hedge accounting. Bret Dooley and Steve Halterman are in the guest seats to share helpful insights and key reminders.
Topics include:
- 4:14 - Balance sheet and income statement. Bret and Steve begin with an overview of how to present derivative instruments, whether in accounting hedges or or economic hedges.
- 12:52 - Disclosure requirements. There’s a long list of required disclosures for companies with derivatives. Bret and Steve help break down the objectives of the disclosures and discuss the key disclosures for fair value and cash flow hedges.
- 20:10 - Other key reminders. Bret highlights key reminders for interim reporting and reference rate reform, and Steve shares some expedients for private companies.
- 27:00 - Closing. Bret and Steve provide some final reminders and advice for companies with derivatives.
Want to learn more? Read our Derivatives and hedging guide for guidance on accounting questions and our Financial statement presentation guide for help with presentation and disclosure requirements.
Bret Dooley is a Partner in PwC’s National Office with over 25 years of experience specializing in the financial services, banking and capital markets industries. He focuses on emerging financial reporting issues relating to financial instruments, developing interpretive guidance, and assisting clients in resolving complex accounting matters.
Steve Halterman is a Director in PwC’s National Office with over 25 years of experience in auditing and accounting, with a focus on derivatives and hedging for the last 20 years. He assists clients with accounting issues for financial instruments, derivatives, hedging, and the statement of cash flows and contributes to PwC guidance and publications.
Heather Horn is a Deputy Chief Accountant in PwC’s National Office and leader of the thought leadership group, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In the third quarter of 2021, many companies are keeping a close eye on developments in Washington, including infrastructure legislation and tax reform. The timing for tax reform is not yet clear; however, companies will need to react quickly if new tax laws are enacted. We summarize the key tax reform proposals and how companies can plan ahead.
SEC Chair Gary Gensler went on record this quarter with his views on the crypto ecosystem, comparing it to the “wild West” and calling for more investor protection. Whether it’s stablecoins or CBDCs, if you’re having trouble keeping up on the crypto lingo, you’re not alone. We provide a primer on crypto assets and some of the related accounting considerations.
Another phrase you may begin hearing more often is energy efficiency-as-a-service. We explore the accounting implications of this growing ESG trend, including the potential for embedded leases.
In standard-setting news, the FASB has added projects to make course corrections on accounting for credit losses and issued new narrow-scope standards you’ll want to have on your radar.
This edition of The quarter close highlights these and other relevant accounting and reporting topics you should consider as you close out the third quarter of the year.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Special-purpose acquisition companies (SPACs) have been around for some time, but in the last 24 months there have been an unprecedented number of companies going public via a SPAC transaction. In our Facts on SPACs mini-series, we cut through the noise to help you focus on some of the key issues relating to these transactions.
In the final episode of our six-part series on SPACs, Mike Bellin, PwC’s IPO Services co-leader, is back to wrap-up our deep dive into SPACs. Mike and Heather reflect on how the SPAC market has continued to evolve and key considerations as companies prepare for going public.
Topics include:
- 1:09 - Developments in the past month. One month since our first conversation on SPACs - what’s happened in the market since then, and how have things evolved? Mike explains.
- 11:54 - SPAC strategy. There is an endless task list and many agreements to reach before going public. Mike highlights five items commonly negotiated between SPACs and their targets.
- 18:14 - Being public. We’ve talked about the difficulties companies face when shifting from private to public. Mike gives his take on the challenges he sees and some advice for companies dealing with this transition.
- 26:44 - Final words. We’ve covered a breadth of topics in the past few weeks. Mike leaves us with some final advice for listeners contemplating a SPAC or going public (hint: preparation is key).
Want to learn more? Explore our Roadmap for an IPO: A guide to going public and listen to all the other episodes from our “Facts on SPACs series”
- Facts on SPACs: New trends in 2021
- Facts on SPACs: Are you sure who’s the acquirer?
- Facts on SPACs: A focus on warrants, earnouts, and EPS
- Facts on SPACs: Compensation arrangements
- Facts on SPACs: Accounting differences between private and public
Mike Bellin is a PwC Deals partner and co-leads PwC’s IPO Services practice. Mike focuses on IPOs, SPACs, accounting for carve-outs/spin-offs, purchase accounting, pro forma financial statements, stock compensation, the SEC registration process, and much more. In addition, he frequently advises on IPOs, helping his clients with their initial registration process and operational readiness.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Our Full disclosure podcast series brings you back to the basics on all things related to financial statement presentation and disclosure, from the top of the financial statements through the footnotes.
This week we focus on loans and receivables, including how the credit losses standard, with its current expected credit loss (CECL) model, changed the presentation and disclosure requirements. Tom Barbieri and Bret Dooley, PwC National Office partners, sat down with our host, Heather Horn, to share insights and reminders in the post-adoption world.
Topics include:
- 2:06 - Balance sheet and income statement. Tom and Bret begin with an overview of what to present on two of the primary financial statements for loans and receivables.
- 10:14 - Disclosure requirements. Tom highlights key disclosures for companies with loans receivable assets. He addresses requirements from accounting policies through credit quality indicators.
- 19:02 - Allowance for credit losses. Bret dives into the required disclosures for companies that develop an allowance reserve estimate and explains the information that financial statements users need to understand non-performing receivables.
- 26:45 - Cash flows. Tom gives a few key reminders for getting the right geography when presenting loans in your statement of cash flows.
- 28:40 - SEC filings and comment trends. Tom and Bret discuss interim presentation and disclosure requirements and comment trends from the SEC after the first year of CECL.
- 33:04 - Wrap up. Heather tries to stump Tom and Bret with a few questions from pre-CECL periods before Tom and Bret provide some advice and resources when preparing credit disclosures.
Want to hear more about CECL? Check out some of our past podcasts and videos:
- The CECL standard - 5 things you need to know
- COVID-19: CECL consideration questions, answered
- CECL disclosures: Year-end reminders
- CECL - Impacts for nonfinancial services companies
Tom Barbieri is a Deputy Chief Accountant in PwC’s National Office and the financial instruments accounting leader. He has nearly 30 years of experience advising clients on complex accounting and financial reporting issues relating to financial instruments. During Tom’s tenure in the National Office, he has been at the forefront of emerging accounting issues and has regular interactions with the FASB, SEC, and other regulators and standard setters.
Bret Dooley is a Partner in PwC’s National Office with over 25 years of experience specializing in the financial services, banking and capital markets industries. He focuses on emerging financial reporting issues relating to financial instruments.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Special-purpose acquisition companies (SPACs) have been around for some time, but in the last 24 months there have been an unprecedented number of companies going public via a SPAC transaction. In our Facts on SPACs mini-series, we cut through the noise to help you focus on some of the key issues relating to these transactions.
In episode five of our six-part series on SPACs, Heather is joined by Jay Seliber, PwC National Office partner, and John Horan, PwC National Office managing director, to talk through key accounting and reporting differences between private and public company financial statements and to share related insights and reminders.
Topics include:
- 1:11 - Mezzanine equity. Found somewhere between liabilities and shareholders’ equity, John explains what mezzanine equity is and the SEC’s rules for presenting it.
- 9:58 - Earnings per share. A complicated area, made even more so by the complex capital structures commonly seen in the operating companies involved in a SPAC—Jay and John highlight some key areas of focus when computing earnings per share for the first time.
- 18:43 - GAAP alternatives for private companies. Sometimes referred to as Private Company Council accounting alternatives, John breaks down three accounting alternatives that can be elected by private companies but would need to be unwound before your first SEC filing.
- 23:12 - New accounting standards and additional disclosures for public companies. For public companies, there are a number of incremental required disclosures across many topics as compared to private companies. Additionally, most ASU adoption dates come quicker when compared to private companies—Jay and John explain.
- 30:45 - Wrap-up. Going from a private to public company can be a lot of work. Jay and John close with which areas they think may need the most attention.
Want to learn more? Explore our Financial statement presentation guide for specific topics and listen to some of our past podcasts mentioned by Jay and John:
- Facts on SPACs: A focus on warrants, earnouts, and EPS
- Full disclosure: Earnings per share (EPS)
- Stock-based compensation issues in an IPO and SPAC, explained.
Jay Seliber is a partner in PwC’s National Office. He leverages over 30 years of experience to help clients with their most complex accounting matters, particularly in the areas of mergers and acquisitions, revenue recognition, stock compensation, earnings per share, employee benefits, restructurings, impairments, and financing transactions. Jay is presently PwC's representative to the FASB's Emerging Issues Task Force.
John Horan is a managing director in PwC’s National Office with almost 15 years of experience assisting clients with complex accounting issues. With particular expertise in foreign currencies, liabilities and equity, earnings per share, and derivatives and hedging, John uses his expertise to help companies with large capital transactions and IPOs.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Our Full disclosure podcast series brings you back to the basics on all things related to financial statement presentation and disclosure, from the top of the financial statements through the footnotes.
This week we focus on the presentation and disclosure requirements for revenue. Angela Fergason is joining us again to break down revenue from contracts with customers and what needs to be included in your financial statements.
Topics include:
- 1:15 - Income statement and balance sheet. Angela opens with a quick overview of how to present revenue on the income statement and balance sheet, and a few reminders of key requirements.
- 11:29 - Disaggregated revenue. Angela gives an overview of the five major disclosure areas for revenue and dives into requirements around disaggregating revenue.
- 16:23 - Performance obligations. Angela explains the quantitative and qualitative disclosure requirements for performance obligations, paying particular attention to those related to remaining performance obligations—which are often the most time consuming to prepare.
- 21:27 - Remaining disclosures. Angela covers the final three primary areas of disclosures for public companies: significant judgments, contract balances, and cost to obtain or fulfill a contract
- 27:47 - Non-public companies. Angela highlights which disclosures apply to non-public companies, and which don’t.
- 29:05 - Closing. Heather tries to stump Angela with a few revenue and ASC 606 trivia questions before Angela provides some final advice and reminders to companies evaluating their disclosures.
Want to hear more about revenue from Angela? Check out some of our past podcasts:
- Identifying performance obligations: PwC breaks it down
- Variable consideration: How it impacts your top and bottom line
- Revenue contract costs: capitalize or expense?
- Revenue contract modifications: 5 things you need to know
Also listen to Full disclosure: The balance sheet to learn more about balance sheet offsetting and see our Financial statement presentation guide for more details on presentation and disclosure for revenue.
Angela Fergason is a partner in PwC's National Office with over 20 years of experience who specializes in accounting for revenue and employee compensation arrangements. She is a frequent speaker on accounting and financial reporting topics and is a contributor to many PwC National Office publications, including our accounting guides on revenue and stock-based compensation.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Special-purpose acquisition companies (SPACs) have been around for some time, but in the last 24 months there have been an unprecedented number of companies going public via a SPAC transaction. In our Facts on SPACs mini-series, we cut through the noise to help you focus on some of the key issues relating to these transactions.
In episode four of our six-part series on SPACs, Jay Seliber, PwC National Office partner, is back again. This time he’s explaining how to apply compensation guidance to certain arrangements common in a SPAC transaction.
Topics include:
- 1:08 - Identification. Jay explains how to identify instruments subject to the compensation guidance and the most common instruments used as compensation in SPAC transactions.
- 15:23 - What to look out for. Jay highlights pitfalls he’s seen in past SPAC deals and how to plan ahead to avoid them.
- 18:18 - EPS. Jay shares how earnouts and warrants impact EPS when they’ve been determined to be compensatory and not financial instruments.
- 21:18 - Key takeaways. Jay shares where to find more information and gives some parting advice to companies on navigating SPAC transactions.
Want to learn more? Read our Stock-based compensation and Financial statement presentation guides. And listen to our podcast, Stock-based compensation issues in an IPO and SPAC, explained.
Jay Seliber is a partner in PwC’s National Office. He leverages over 30 years of experience to help clients with their most complex accounting matters, particularly in the areas of mergers and acquisitions, revenue recognition, stock compensation, earnings per share, employee benefits, restructurings, impairments, and financing transactions. Jay is presently PwC's representative to the FASB's Emerging Issues Task Force.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Our Full disclosure podcast series brings you back to the basics on all things related to financial statement presentation and disclosure, from the top of the financial statements through the footnotes.
This week we focus on the fair value disclosure requirements for other liabilities—specifically payables, contingencies, and asset retirement obligations (AROs). Pat Durbin and John Brittain are in the guest seats to share helpful insights and key reminders
Topics include:
- 1:23 - Accounts and notes payable. Pat and John explain the presentation and disclosure requirements for payables and highlights key requirements in S-X Rule 5-02.
- 9:02 - Contingencies. Pat dives into accounting considerations for environmental liabilities as well as general presentation and disclosure matters for other contingencies.
- 20:19 - AROs. John breaks down the disclosure requirements for AROs and what to do when they cannot be reasonably estimated.
- 24:45 - Wrap up. Heather tries to stump Pat and John with two challenging questions, and Pat and John provide some final advice to companies to consider while preparing their financial statements.
Want to learn more? Read our Financial statement presentation guide on other liabilities and contingencies.
Pat Durbin is a Deputy Chief Accountant, leading the revenue and liabilities division in PwC’s National Office. He has nearly 30 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.
John Brittain is a partner in PwC's National Office with over 30 years of experience helping clients and engagement teams navigate the accounting and financial reporting considerations related to business combinations, as well as issues in the energy and utilities sector.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Special-purpose acquisition companies (SPACs) have been around for some time, but in the last 24 months there have been an unprecedented number of companies going public via a SPAC transaction. In our Facts on SPACs mini-series, we cut through the noise to help you focus on some of the key issues relating to these transactions.
In episode three of our six-part series on SPACs, Chip Currie, PwC National Office partner, discusses common financial instruments associated with SPAC transactions and their treatments.
Topics include:
- 0:44 - Background. Chip introduces two common arrangements associated with SPAC transactions and explains how equity-linked financial instruments issued prior to a merger with an operating company often survive the acquisition.
- 12:52 - Accounting treatment. Chip dives into the accounting model for certain warrant and earn-out arrangements and a recent opinion on this topic from the SEC.
- 23:02 - Earnings per share. Once the instruments have been issued and the accounting treatment determined, the focus shifts to calculating earnings per share. Chip highlights the basics you need to know.
- 32:22 - Key takeaways. Chip closes with some advice to consider before diving into a complicated accounting assessment. Little differences can have a big impact, so make sure to understand the facts and terms of your specific agreements.
Want to learn more? Read our In depth,Domestic SPAC mergers - financial reporting and accounting considerations and our Financing and Financial statement presentation guides. Also see the SEC staff statement on Accounting and Reporting Considerations for Warrants Issued by SPACs.
Chip Currie is a Partner in PwC’s National Office with over 25 years of experience assisting companies in resolving complex business and accounting issues. He concentrates on the accounting for financial instruments under both current and emerging standards and works with many of the firm's largest financial services clients and a number of non-financial service clients on treasury-related matters.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Our Full disclosure podcast series brings you back to the basics on all things related to financial statement presentation and disclosure, from the top of the financial statements through the footnotes.
This week we focus on the fair value disclosure requirements. Chip Currie from our National Office is back in the guest seat to discuss key reminders with our host, Heather Horn.
Topics include:
- 1:10 - The Basics. Chip and Heather begin by discussing some of the “core” fair value disclosure requirements and how the requirements evolved into their current state.
- 9:32 - Leveling. Chip explains the objectives of fair value leveling classifications, how they’re determined by their inputs, and their presentation in the footnotes.
- 23:58 - Additional requirements. Chip dives into additional required disclosures for public business entities and companies electing the fair value option.
- 32:12 - Wrap up. Heather tries to stump Chip with two challenging questions, and Chip provides pointers on where to find additional resources as companies hone their fair value disclosures.
Want to learn more? Read our Financial statement presentation and Fair value measurements guides. And listen to our podcast, Full disclosure: Investments—debt and equity securities.
Chip Currie is a Partner in PwC’s National Office with over 25 years of experience assisting companies in resolving complex business and accounting issues. He concentrates on the accounting for financial instruments under both current and emerging standards and works with many of the firm's largest financial services clients and a number of non-financial service clients on treasury-related matters.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Special-purpose acquisition companies (SPACs) have been around for a long time, but in the last 24 months, the SPAC market has seen an unprecedented amount of activity. In our Facts on SPACs mini-series, we cut through the noise to tell you exactly what you need to know about this boom.
In episode two of our six-part series on SPACs, Matt Sabatini, PwC National Office partner, is back to share some helpful insights when determining the accounting acquirer in a SPAC transaction.
Topics include:
- 0:56 - Background. Matt and Heather begin with an introduction to one of the first steps to any SPAC transaction – identifying the accounting acquirer. Generally, it’s the same assessment as in a business combination, but most importantly, it’s not a “one size fits all” analysis - Matt explains.
- 6:31 - Exceptions to the rule. We said it was “generally” the same as any business combination. Matt describes two exceptions when different accounting guidance needs to be used to identify the accounting acquirer.
- 12:39 - Downstream impacts. Once the accounting acquirer has been determined, the facts will tell you which accounting model to apply. Is it a reverse recapitalization? Matt tells you what you need to know.
- 18:01 - Key takeaways. Heather and Matt close with final advice on this assessment. Most importantly, understanding the facts. Not all SPACs are alike.
Want to learn more? Read our In depth, Determining the accounting acquirer.
Matt Sabatini is a partner in PwC's National Office with over 20 years of experience helping clients and engagement teams navigate the accounting and financial reporting for complex transactions. He specializes in the accounting for M&A, corporate reorganizations, recapitalizations, joint ventures, and other investments.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Our Full disclosure podcast series brings you back to the basics on all things related to financial statement presentation and disclosure, from the top of the financial statements through the footnotes.
This week we focus on the presentation and disclosure requirements for pension obligations and plan assets. Jay Seliber and Ken Stoler from our National Office are back in the guest seats to discuss key reminders with our host, Heather Horn.
Topics include:
- 1:24 - Pension costs. Jay outlines the typical six accounting components of pension and other postemployment benefit (OPEB) costs for single-employer defined benefit plans.
- 7:31 - Financial statement presentation. Ken explains the balance sheet and income statement and classification matters for pension and OPEB obligations.
- 11:02 - Disclosures. Jay highlights key objectives to consider and specific required disclosures for pensions.
- 24:47 - Key takeaways. Heather, Jay, and Ken close with some final advice to help make the preparation of these disclosures easier.
Want to learn more? Read our Financial statement presentation and Pensions and other employee benefitsguides. And listen to our podcast, Accounting for pension plans: Back to the basics with 5 things to know.
Jay Seliber is a partner in PwC’s National Office. He leverages over 30 years of experience to help clients with their most complex accounting matters, particularly in the areas of mergers and acquisitions, revenue recognition, stock compensation, earnings per share, employee benefits, restructurings, impairments, and financing transactions. Jay is presently PwC's representative to the FASB's Emerging Issues Task Force.
Ken Stoler is a partner in PwC’s National Office with over 15 years of experience. He helps companies to address one of their most fundamental concerns, how they should compensate their employees and executives. Helping companies navigate their employee issues during an IPO, spin off, acquisition, or other major transaction or event, Ken specializes in financial reporting and plan design issues related to equity compensation arrangements, retirement and healthcare plans, and other benefits.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Special-purpose acquisition companies (SPACs) have been around for a long time, but in the last 24 months, the SPAC market has seen an unprecedented amount of activity. In our Facts on SPACs mini-series, we cut through the noise to tell you exactly what you need to know about this boom.
This week we’re kicking off this series with a SPAC lifecycle overview. Mike Bellin, PwC’s IPO Services co-leader, is in the guest seat to give the what, why, and how of SPAC transactions, including a few of the latest trends emerging in 2021.
Topics include:
- 0:53 - Defining a SPAC. Mike introduces what a SPAC transaction is, what it accomplishes, and what’s driving its popularity.
- 11:27 - SPACs versus IPOs. Most companies are familiar with traditional IPOs. Mike describes the similarities and differences in the processes that make SPACs a popular choice, and the differences in risk.
- 18:23 - The current landscape. Mike highlights what’s happening in the SPAC market currently, including “divestiture-to-SPAC” and “up-SPAC” transactions, along with key accounting and reporting considerations.
- 24:40 - Key takeaways. Heather and Mike close with some final remarks around where CFOs and controllers can focus their preparation when contemplating various liquidity scenarios. If going public is on the table, it’s important to put investment into the organization now - Mike explains.
Want to learn more? Listen to our podcast Forecast 2021: Operational readiness for IPOs, SPACs, and spins, and read our In depth: Domestic SPAC mergers - financial reporting and accounting considerations.
Mike Bellin is a PwC Deals partner and co-leads PwC’s IPO Services practice. Mike focuses on IPOs, SPACs, accounting for carve-outs/spin-offs, purchase accounting, pro forma financial statements, stock compensation, the SEC registration process, and much more. In addition, he frequently advises on IPOs, helping his clients with their initial registration process and operational readiness.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Our Full disclosure podcast series brings you back to the basics on all things related to financial statement presentation and disclosure, from the top of the financial statements through the footnotes.
This week we focus on the presentation and disclosure requirements for stock-based compensation awards. Jay Seliber and Ken Stoler from our National Office are joining us to share helpful insights with our host, Heather Horn.
Topics include:
- 1:21 - Balance sheet. Jay opens with balance sheet presentation and classification matters for stock-based compensation awards.
- 5:02 - Income statement. Jay explains the income statement presentation requirements for stock-based compensation expense and the related SEC comment letter trends.
- 8:22 - Statement of cash flows. Ken walks through the impact of stock-based compensation awards on the statement of cash flows.
- 14:31 - Statement of stockholders’ equity. Ken highlights the areas affected by stock-based compensation awards in the statement of stockholders’ equity.
- 16:29 - Disclosures. Jay and Ken discuss the required disclosures and best practices.
- 27:52 - Key takeaways. Heather, Jay, and Ken close with some final remarks.
Want to learn more? Read our Financial statement presentation and Stock-based compensation guides. And listen to our podcast, Stock-based compensation issues in an IPO and SPAC, explained.
Jay Seliber is a partner in PwC’s National Office. He leverages over 30 years of experience to help clients with their most complex accounting matters, particularly in the areas of mergers and acquisitions, revenue recognition, stock compensation, earnings per share, employee benefits, restructurings, impairments, and financing transactions. Jay is presently PwC's representative to the FASB's Emerging Issues Task Force.
Ken Stoler is a partner in PwC’s National Office with over 15 years of experience. He helps companies to address one of their most fundamental concerns, how they should compensate our employees and executives. Helping companies navigate their employee issues during an IPO, spin off, acquisition, or other major transaction or event, Ken specializes in financial reporting and plan design issues related to equity compensation arrangements, retirement and healthcare plans, and other benefits.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Forecast 2021 podcast series, we’re focused on offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics.
This week we focus on recruiting and retaining talent in today’s world. Rod Adams, PwC’s Talent Acquisition and Onboarding leader, sat down with host Heather Horn to discuss the current market and how companies will need to be agile as time goes on in order to attract and retain the best talent.
Topics include:
- 1:10 - Recruiting today. Rod discusses what’s different when recruiting in the current environment and how organizations can respond to the evolving landscape.
- 8:39 - Be authentic. Rod explains how to effectively recruit and retain talent while remaining true to your organization’s working model—whether fully remote, fully in person or a hybrid.
- 19:43 - Diversity & inclusion. Companies want a diverse and inclusive environment. This requires ongoing focus during talent attraction and acquisition through retention and development. Rod discusses how diversity and inclusion efforts can help companies tap into key sources of competitive talent.
- 28:45 - Well being. Rod and Heather discuss how to showcase your organization’s well-being initiatives and how to align them with trends in the workforce.
- 35:20 - Looking to the future. Rod shares where he sees the conversation on talent acquisition is headed in the next few years.
Want to learn more? Read insights from PwC Workforce Transformation: The new virtual reality of recruiting, and Rod’s July 12, 2021 article published on Fortune.com, Building a diverse workforce starts with mentorship and sponsorship.
Rod Adams is PwC’s Talent Acquisition and Onboarding leader across Mexico and the US, with a focus on talent management, workforce planning, organizational design, talent acquisition, performance management, employee relations, digital upskilling, and employment branding. He is passionate about building a diverse and inclusive workforce and leveraging digital tools and disruptive strategies to create authentic, long-lasting relationships with key talent.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Our Full disclosure podcast series brings you back to the basics on all things related to financial statement presentation and disclosure, from the top of the financial statements through the footnotes.
This week we focus on the presentation and disclosure requirements for debt including term debt, revolving debt, and structured payables. Chip Currie and Suzanne Stephani from our National Office are back in the guest seats to discuss key reminders with our host, Heather Horn.
Topics include:
- 1:24 - Balance sheet. Chip and Suzanne highlight balance sheet classification matters for refinancings, repayments, covenant violations, issuance costs, and more.
- 12:58 - Income statement. Chip explains the income statement impacts of gains and losses on debt extinguishment and common acceptable approaches to classification.
- 14:18 - Statement of cash flows. Suzanne reminds listeners how to present debt activity in the statement of cash flows—from debt borrowings and repayments, to extinguishments and modifications.
- 17:09 - Disclosures. Chip highlights the key required disclosures for debt that investors are focused on.
- 24:19 - Structured payables. Chip explains structured payables and the related disclosure requirements.
- 22:33 - Key takeaways. Chip and Suzanne close with some final reminders.
Want to learn more? Read Chapter 12: Debt and Section 11.3.1.5: Structured payables of our Financial statement presentation guide, and listen to our podcast, Debt classification: Back to the basics with 5 things you need to know.
Chip Currie is a partner in PwC’s National Office with over 20 years of experience assisting companies in resolving complex business and accounting issues. He concentrates on the accounting for financial instruments under both current and emerging standards and works with many of the firm's largest financial services clients and a number of non-financial service clients on treasury-related matters.
Suzanne Stephani is a director in PwC’s National Office specializing in the application and interpretation of the accounting guidance related to financing transactions.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Forecast 2021 podcast series, we’re focused on offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics.
This week we discuss how organizational culture is at the forefront of leadership agendas across the globe. Christopher Hannegan, a principal in PwC’s Organization and Workforce Transformation group, and Gus Giacoman, a partner in PwC’s Strategy&, sat down with host Heather Horn to provide practical advice for CFOs on the benefits of understanding and managing their organizational cultures.
Topics include:
- 1:12 - Setting the stage. Christopher and Gus open with a discussion on how organizational culture has adapted to becoming more innovative, nimble, and agile. They highlight the observable gaps in the cultural views of executives and their employees.
- 13:30 - Defining “culture.” Our guests define four pillars that comprise culture - thinking, feeling, believing, and behaving. Behaviors change organizations and evolve cultures; defining those behaviors can increase innovation and agility.
- 18:05 - 2021 Global culture survey findings. PwC surveyed over 3,200 people in over 50 countries - Christopher and Gus discuss the impact of the pandemic on culture and performance.
- 24:14 - Influence within. Our guests encourage leaders to think of how they want to evolve their businesses, and suggest empowering their people to speak up.
- 28:38 - Advantages of a strong culture. Culture proved it could be a source of competitive advantage during the pandemic. But can you change the culture you have? Christopher and Gus discuss how to shape your culture to realize your business strategy.
- 38:52 - Inclusion. Be vulnerable as a leader and have empathy. Christopher explains the power in knowing your people.
- 43:56 - Key takeaways. Christopher and Gus share their advice for leaders.
Want to learn more? Read our Global culture survey report 2021 and listen to our Podcast Forecast 2021: How to make hybrid work, work.
Christopher Hannegan, is a principal in PwC’s Organization and Workforce Transformation group, focusing on helping C-suite leaders execute business strategy, accomplish transformational change, and shift cultures to be higher performing.
Gus Giacoman, is a partner in PwC’s Strategy& specializing in business transformation for profitable growth. He helps clients restructure their organizations and cost structure so they put their money where their strategy is.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Our Full disclosure podcast series brings you back to the basics on all things related to financial statement presentation and disclosure, from the top of the financial statements through the footnotes.
This week we focus on the presentation and disclosure requirements for other assets—specifically property, plant and equipment, inventory, intangible assets, goodwill, and capitalized software. Mike Coleman and Matt Sabatini, PwC National Office partners, are back in the guest seats to share some helpful insights with our host, Heather Horn.
Topics include:
- 1:29 - Property, plant and equipment (PPE). Matt explains the presentation and disclosure requirements for PPE and highlights key areas of focus for analysts.
- 8:29 - Inventory. Mike highlights the SEC’s and FASB’s presentation and disclosure rules, including where they differ depending on the costing method applied.
- 15:37 - Intangible assets and goodwill. Matt and Mike take us through the presentation and disclosure requirements for intangibles and goodwill, whether acquired through a business combination or an asset acquisition, and the related impairment assessments.
- 22:56 - Capitalized software. Mike breaks down the disclosure rules for capitalized software for both the sellers and buyers of internal and external use software.
- 27:41 - Standard setting. Matt and Mike update listeners on the FASB’s projects on goodwill, intangibles, and inventory disclosures.
- 30:17 - Key takeaways. Matt and Mike close with some final reminders.
Want to learn more? Read:
- Chapter 8: Other assets of our Financial statement presentation guide
- Sections 5.2.7.4 Presentation and disclosure–held and used impairment and 5.3.8 Presentation and disclosure (held for sale) of our PP&E and other assets guide
And listen to our podcasts:
- Accounting for cloud computing costs: 5 things you need to know
- Buying or developing new software? Know which guidance to use
Mike Coleman is a partner in PwC's National Office with over 30 years of experience specializing in accounting for revenue and software arrangements. In addition, Mike has been one of the firm's representatives on the AICPA Software Task Force. Prior to his time in National, Mike was an audit partner in the firm's NY Metro assurance practice serving technology clients.
Matt Sabatini is a partner in PwC's National Office with nearly 20 years of experience helping clients and engagement teams navigate the accounting and financial reporting for complex transactions. He specializes in the accounting for M&A, corporate reorganizations, recapitalizations, joint ventures, and other investments.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Forecast 2021 podcast series, we’re focused on offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics.
This week we discuss data storytelling and how this skill is vital to your company’s transformation journey. Heather Horn sat down with Scott Peck, PwC’s Data and Analytics leader, to discuss how and why CFOs of the future are looking to data storytellers to unearth the meaning behind data.
Topics include:
- 0:58 - Data storytelling. Scott explains what it means to tell a story with data and how CFOs can apply a new lens to data.
- 7:35 - Analyst of the future. A useful data story starts with building a successful supporting team with key skill sets, resulting in impactful insights for your business leaders. Scott encourages CFOs to look out for “business interpreters” who can connect the dots in the data and analytics transformation journey.
- 14:31 - Voice of the customer. We discuss how to understand the needs of the users of your data and how to build a narrative from data visualizations.
- 18:35 - Shifting from dashboards. Scott explains why dashboards are not enough anymore; timely narratives provide greater value than standing reports.
- 22:23 - General benefits. Consistency, centralization, and cohesiveness - Scott tells us why these are critical.
- 28:30 - Looking to the future. Scott highlights where he sees the data visualization journey going and how these data narrative models may evolve over time.
Want to learn more? Listen to our Podcast: What’s next in tech for finance? Data-driven decision making
Scott Peck is PwC’s Data and Analytics leader, with over 20 years of experience in business and system analytics. His focus is on building value through analytics and innovation, and modernizing the role of a data analyst to create real-time actionable insights.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Our Full disclosure podcast series brings you back to the basics on all things related to financial statement presentation and disclosure, from the top of the financial statements through the footnotes.
This week we focus on investments, specifically debt securities and equity instruments, as well as the related presentation and disclosure matters. Our host, Heather Horn, sat down with PwC National Office partners, Chip Currie and Bret Dooley, to share some helpful insights.
Topics include:
- 1:29 - Reminders on the accounting model. Bret and Chip open with recognition and measurement reminders for equity instruments and debt securities.
- 6:12 - Balance sheet. Bret explains the balance sheet presentation and classification matters for these types of investments.
- 9:31 - Income statement. Chip highlights the income statement considerations.
- 13:28 - Disclosures. Chip and Bret explain the key disclosures specific to equity instruments and debt securities. They also remind companies to disclose specific portfolio information.
- 19:47 - Other important disclosures. Our guests describe other required disclosures for available-for-sale securities, held-to-maturity securities, credit risk, and MD&A.
- 32:22 - Takeaways. Chip and Bret close with some final reminders.
Want to learn more? Read:
- Chapter 9: Investments—debt and equity securities of our Financial statement presentation guide
- Chapter 12: Presentation and disclosure of our Loans and investments guide
Chip Currie is a Partner in PwC’s National Office with over 20 years of experience assisting companies in resolving complex business and accounting issues. He concentrates on the accounting for financial instruments under both current and emerging standards and works with many of the firm's largest financial services clients and a number of non-financial service clients on treasury-related matters.
Bret Dooley is a Partner in PwC’s National Office, focusing on emerging financial reporting issues related to financial instruments and assisting clients in resolving complex accounting matters. He brings more than 25 years of experience in both public accounting and industry, including leadership roles in accounting policy, financial reporting and controllership teams at global financial institutions.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Forecast 2021 podcast series, we’re focused on offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics.
This week we discuss returning to the office and the impact of new workforce models on real estate needs and strategies. Heather Horn sat down with Byron Carlock, PwC’s US Real Estate Practice leader, to discuss how companies are reexamining their real estate footprint.
Topics include:
- 1:03 - A focus on safety. Safety is still top of mind for companies as they redesign their real estate workprint - Byron explains.
- 9:21 - The real estate industry. Byron provides insights on the changing real estate industry and the varying trends by market.
- 22:02 - Infrastructure needs. Changing your real estate footprint may call for a major readjustment of infrastructure needs - we discuss best practices.
- 27:16 - Investments and trends. Byron explains how companies are applying health and safety protocols from the healthcare and hospitality industries to their facilities and office spaces. He also shares what he thinks will influence real estate investments in the next few years.
Want to learn more? Listen to our Forecast 2021: How to make hybrid work, work
Byron Carlock, PwC’s US Real Estate Practice leader, brings years of knowledge of and exposure to the various aspects of the real estate life cycle, including the capital markets, acquisitions, M&A, development, dispositions, and capital structuring.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Our Full disclosure podcast series brings you back to the basics on all things related to financial statement presentation and disclosure, from the top of the financial statements through the footnotes.
In this week’s edition of our ongoing series focused on the financial statements, we look at income taxes, including balance sheet and income statement presentation, key disclosures, and related SEC comment letter trends. Kassie Bauman, a managing director in our National Office who specializes in income tax accounting, is back in the guest seat to share helpful insights with our host, Heather Horn.
Topics include:
- 1:20 - Balance sheet presentation. Kassie dives into the different income tax-related line items on the balance sheet.
- 6:17 - DTAs, DTLs, and valuation allowances. Kassie explains the required disclosures related to deferred tax assets, deferred tax liabilities, and valuation allowances, and she highlights the SEC comment letter trends in these areas.
- 14:35 - Other balance sheet disclosures. Kassie shares some final reminders on balance sheet disclosures, including the requirement to disclose unrecognized DTLs.
- 17:19 - Income statement presentation and disclosure. Next we break down the presentation and disclosure requirements for the income statement, including income tax expense and the effective tax rate, and we discuss related SEC comment letter trends.
- 26:02 - Other key disclosures. Kassie highlights other disclosures to pay attention to, including investment tax credits, tax holidays, and significant income tax risks and uncertainties.
- 28:46 - Standard setting. Kassie updates listeners on the FASB’s project on income tax disclosures.
Want to learn more? Read:
- Chapter 16: Income taxes of our Financial statement presentation guide
Listen to our podcasts:
- Uncertain tax positions: The basics
- Valuation allowance for deferred tax assets – the basics
- Accounting for outside tax basis differences
And watch our video:
- Income taxes: Uncertain tax positions, disclosures
Kassie Bauman is a managing director in PwC's National Office who consults on tax accounting under US GAAP and IFRS. Kassie has more than 20 years of auditing and accounting experience, including almost a decade of experience addressing complex technical accounting matters as part of our National Office.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Forecast 2021 podcast series, we’re focused on offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics.
In this week’s episode, we highlight the “Green Book,” which is the Treasury’s explanation of the tax proposals in the proposed FY2022 Federal budget. We focus on the proposals that will have a significant impact on corporate income tax policies. Heather Horn sat down with Jenn Spang, PwC’s National Office income tax accounting leader, and Pat Brown, co-leader of PwC’s Washington National Tax Services group, to discuss the big changes on the horizon. Tax leaders are already scenario planning - we break it down so CFOs can do the same.
Topics include:
- 1:03 - “Green Book.” The Treasury Department released the annual tax budget, or the “Green Book,” last month. Pat and Jenn highlight the significant corporate tax proposals and their financial statement impacts.
- 11:07 - GILTI. Pat digs deeper and explains the proposed changes to the global intangible low-taxed income (GILTI) tax policy. Jenn tells us the accounting ramifications.
- 18:30 - BEAT and SHIELD. The Biden administration has proposed to replace the base erosion and anti-abuse tax (BEAT) with a new provision called stopping harmful inversions and ending low-tax developments (SHIELD). Pat and Jenn explain what this all means.
- 23:37 - FDII. Pat fills us in on the proposal to repeal the deduction for foreign derived intangible income (FDII) tax, and the plan to use the resulting revenue to expand research and development investment incentives.
- 26:08 - The OECD framework. We discuss the proposed global minimum tax as part of the Organisation for Economic Co-operation and Development (OECD) framework and what it means for multinationals and international tax.
- 34:39 - Other key proposals. Pat highlights a number of other proposals affecting corporate income taxes, and Jenn provides takeaways from a financial statement perspective. The key is scenario planning - be prepared.
- 37:24 - What’s next? It’s up to Congress now. Pat and Jenn expect the increase in corporate taxes to be enacted by the end of 2021, with changes to international tax law having a longer runway.
Pat Brown is PwC’s Washington National Tax Services co-leader. Prior to joining PwC, he spent 16 years in the private sector, including a role as the director of tax policy for a Fortune 50 company. Pat has also served in the US Treasury’s Office of Tax Policy as an attorney-advisor and as Associate International Tax Counsel.
Jennifer Spang is PwC’s National Office income tax accounting leader specializing in tax accounting under US GAAP and IFRS. She has over 25 years of experience helping companies in a variety of industries navigate complex tax accounting matters.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Our Full disclosure podcast series brings you back to the basics on all things related to financial statement presentation and disclosure, from the top of the financial statements through the footnotes.
This week we focus on the presentation and disclosure requirements for comprehensive income and stockholders’ equity. Tom Barbieri and Jay Seliber from our National Office are joining us again to share helpful insights and key reminders with our host, Heather Horn.
Topics include:
- 0:39 - Comprehensive income. Tom and Jay break down the presentation basics of comprehensive income and dive into the elements of other comprehensive income.
- 14:57 - Stockholders’ equity. We run through the requirements of presenting and disclosing the changes in stockholders’ equity.
- 20:02 - Preferred stock. Jay and Tom explain the nuances related to the balance sheet presentation of preferred stock.
- 21:55 - Other common areas. Lightning round! Heather quizzes our guests on presentation and disclosure rules for mezzanine equity, treasury stock, dividends, and contracts indexed to a company’s own stock.
- 34:22 - Standard setting. Jay highlights some new disclosure requirements from the recent standard setting on convertible debt and warrant modifications.
- 38:10 - Wrap up. Tom and Jay share their final advice for our listeners and key takeaways.
Want to learn more? Read:
- Chapter 4: Reporting comprehensive income, Chapter 5: Stockholders’ equity, Chapter 21: Foreign currency, and Section 15.3.3: Temporary (mezzanine) equity of our Financial statement presentation guide
- Chapter 7: Preferred stock and Chapter 8: Accounting for certain contracts to issue shares of our Financing transactions guide
- In depth: Accounting for convertible instruments and own equity contracts
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Forecast 2021 podcast series, we’re focused on offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics.
In this week’s episode, we focus on central bank digital currencies, and what CFOs should know. From PwC’s Intelligence group, Craig Stronberg, Nataly Yackanich, and Zain Siddiqui join host Heather Horn to provide their insights on this hot topic.
Topics include:
- 1:23 - Background. We start with a discussion of the basic terminology—central bank digital currencies (CBDC), cryptocurrencies, and stable coins—and then touch upon how cryptocurrencies work on a blockchain and different types of “wallets.”
- 8:54 - Greater use of CBDCs. Nataly explains how central banks are researching the use of CBDCs to modernize the current payment systems and enhance financial inclusion.
- 14:17 - Control of central banks. Some CBDCs create central bank liability, essentially creating a digitized version of a currency. Zain explains.
- 19:17 - China on digital currencies. Craig and Zain explain China’s role in creating a central bank digital currency and why CFOs should watch this closely for strategic purposes.
- 26:19 - CFO focus. Nataly explains how the treasury function is undergoing a transformation to be increasingly digital and efficient, and how digital assets have the ability to transform business-to-business (B2B) payments infrastructure. This is an exciting change for CFOs.
- 32:05 - Key takeaways. Our guests summarize key points from a geopolitical perspective and where they see this conversation on digital currencies headed in the near term.
Want to learn more? Craig references this testimony as a great way to get up to speed.
For additional information, listen to our Podcast: Cryptocurrency? Digital Asset? What’s the accounting? and read our Regulatory brief - The evolution of money: Why financial institutions should start paying attention to CBDCs.
Craig Stronberg leads the Macro Capability for PwC Intelligence, spearheading the team of analysts that provide macroeconomic and geopolitical intelligence to key stakeholders. Named as one of the "100 Most Creative People in Business” by Fast Company, Craig had a nearly 20-year career in national security affairs working for and advising numerous agencies and international partners, having been decorated five times.
Nataly Yackanich is the lead financial services analyst for PwC Intelligence. She advises stakeholders on the business implications of emerging issues in the financial services industry. She is a CFA charterholder with buy and sell side equity experience covering multiple industries, including financial services, industrials, and technology.
Zain Siddiqui, is a senior economist for PwC Intelligence with a specialty in macroeconomics and finance. He advises stakeholders and clients on the business implications of emerging macro and geopolitical vulnerabilities, and helps them shape business strategy.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Our Full disclosure podcast series brings you back to the basics on all things related to financial statement presentation and disclosure, from the top of the financial statements through the footnotes.
This week we focus on the presentation and disclosure requirements for earnings per share. John Horan and Jay Seliber from our National Office are joining us again to share helpful insights and key reminders with our host, Heather Horn.
Topics include:
- 1:18 - The basics. Jay and John set the stage for today’s discussion with a refresher on the type of entities that are required to calculate EPS and the presentation and disclosure requirements for basic and diluted EPS.
- 8:41 - Basic EPS. We break down how to calculate basic EPS, potential adjustments to the numerator and denominator, and how to calculate weighted average shares outstanding.
- 19:04 - Diluted EPS and convertible instruments. Jay and John discuss how to calculate diluted EPS and the various methods used.
- 28:30 - Potential common shares. Our guests explain what potential common stock share instruments are anti-dilutive and how to consider them in the EPS calculation.
- 32:09 - Quarterly versus annual EPS. Jay gives us a refresher on how EPS is presented on a quarterly and annual (or year-to-date) basis.
- 36:21 - Wrap up. Our guests give us their final remarks and key takeaways.
Want to learn more? Read:
- Chapter 7: Earnings per share of our Financial statement presentation guide
- Section 6.6 of our Carve-out financial statements guide
- Sections 2.6.5.3, 2.10.5 and 6.4.2.2 of our Business combinations and noncontrolling interests guide
- Our In depth: Domestic SPAC mergers - financial reporting and accounting considerations
And listen to our podcasts, Got EPS questions? We've got answers and Earnings per share: 5 things you need to know.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
In our Forecast 2021 podcast series, we’re focused on offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics.
In this week’s episode, we build upon our summer 2020 conversation on the future of work and how CFOs can optimize a hybrid workforce model. Bhushan Sethi, PwC’s Joint Global People & Organization Leader, is back in the guest seat to provide insights on embracing a hybrid work environment.
Topics include:
- 1:05 - Phased return to work. Bhushan provides insight into the current landscape of the work environment, and tells us how organizations are thinking about culture, employee preferences, safety, location, and flexibility.
- 10:41 - The hybrid finance function. We discuss how leaders are focusing on their employees’ well being and encouraging members of their finance function to learn new skills using technology and immersive tools.
- 18:01 - Maintaining and improving your culture. We discuss how companies are doing this well - by investing in workflow, technology, and online design thinking tools.
- 24:53 - CFOs taking action for the future. Bhushan encourages CFOs to think about how short-term investments in technology and real estate can impact long-term business goals. He suggests engaging cross-functional talent to support the hybrid work environment and focus on purpose, leadership, and planning.
- 30:16 - Common pitfalls. Bhushan suggests that the pandemic has highlighted divisiveness in our society and encourages leaders to try to minimize that within their organizations, while engaging with their talent to foster their creativity.
- 32:32 - Equity and inclusion. We discuss how to have a strategy that is inclusive to all. We also hypothesize what hybrid work will look like in the future.
Want to learn more? Listen to our Podcast: What’s next? The future of work and how to get there and subscribe to PwC’s Workforce Inside podcast series
Bhushan Sethi is a joint global leader of PwC’s People & Organization group, where he shapes and drives the firm’s global network strategy, delivering standalone and integrated solutions across strategy, management, technology, and tax consulting disciplines. Bhushan is a thought leader, public speaker, media spokesperson, and influencer on "future of work,” risk culture, workforce strategy, employee experience, and diversity & inclusion.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
Our Full disclosure podcast series brings you back to the basics on all things related to financial statement presentation and disclosure, from the top of the financial statements through the footnotes.
This week we focus on the statement of cash flows and the common classification matters. Suzanne Stephani from our National Office is back in the guest seat to share helpful insights and key reminders with our host, Heather Horn.
Topics include:
- 1:14 - The basics. Suzanne sets the stage for today’s discussion with a refresher on the types of cash, cash equivalents and restricted cash to include in the statement of cash flows, and the related disclosures.
- 7:02 - General classification model. Suzanne reminds us of what the direct and indirect methods are and breaks down the three cash flow buckets on this statement: operating, investing, and financing activities. She also highlights what investors are focused on.
- 12:15 - Gross versus net. We discuss the requirements to present investing or financing inflows and outflows as gross, and what the specific criteria is for when a net presentation is permissible.
- 15:10 - Noncash investing and financing. Suzanne highlights the required disclosures for noncash activities and provides helpful examples.
- 19:11 - Common classification issues. We go through a lightning round of questions on common classification issues such as insurance claim proceeds, noncontrolling interest cash flows, repayment of debt that was issued at a discount, payment-in-kind notes, debt extinguishment costs, and structured payables.
- 29:20 - Close out. Suzanne gives us her final remarks and reminds us of the upcoming PwC Q2 Quarterly accounting webcast on emerging issues.
Want to learn more? Read Chapter 6: Statement of cash flows of our Financial statement presentation guide.
And listen to our podcasts:
- Building your cash flow statement in uncertain times
- Statement of cash flows: back to basics
Suzanne Stephani is a director in PwC’s National Office specializing in the application and interpretation of the accounting guidance related to financing transactions.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
In the second quarter of 2021, environmental, social, and governance--in particular, climate change--continues to be at the forefront. With Earth Day as the backdrop, President Biden announced new targets for reducing US greenhouse gas pollution. In May, President Biden issued an executive ordercalling for a wide range of actions to combat risks to the economy and financial system stemming from climate change. As Gary Gensler steps in to lead the SEC, ESG is expected to be one the agency’s priorities. We take a closer look at the SEC under Gensler’s leadership, including recent steps on the path toward new climate-change disclosures.
It’s not just the Biden administration focused on climate change. More and more companies are making net zero or carbon reduction commitments, bringing increased focus to the related accounting and reporting implications. Our National Office specialists weigh in on “green” accounting and what companies should be thinking about.
Leases also continue to be a hot topic as companies plan for a return to the office and consider making changes to their real estate strategies. This quarter we discuss frequently asked questions related to the accounting for subleases and leasehold improvements.
On the standard-setting front, the FASB is poised to issue an invitation to comment on its future agenda. Will ESG make the short list? We take a sneak peek at some of the topics likely to be part of the discussion, along with a recap of other standard-setting developments.
This edition of The quarter close highlights these and other relevant accounting and reporting topics you should consider as you close out the second quarter of the year.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
In our Forecast 2021 podcast series, we’re focused on offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics.
In this week’s episode, we are talking about the benefits of investing in your employees’ experience. Host Heather Horn sits down with Angela Lester, an Experience Strategy and Design partner, and Claudia Montgomery, a managing director in Organization and Workforce Transformation, to discuss how and why it’s time for companies to focus on their employees’ experience concurrent with their overall business strategy.
Topics include:
- 1:16 - Four Fs. Our guests explain the four Fs needed to create an employee-engaging experience: form, flow, feeling, and function.
- 8:29 - The role of the CFO. Angela and Claudia walk us through why and how the war for talent can impact a company’s operations and financial metrics.
- 11:58 - The happy employee. We discuss how to create a culture where employees feel valued, and how your discretionary efforts will translate to customer satisfaction and business success.
- 18:56 - Measuring employee pulse. We tell you how to use qualitative measures to understand what the specific dynamics are around your employees’ experience. We discuss how to balance employee priorities with driving business forward.
- 26:52 - Designing a better experience. Angela explains how to begin designing an improved employee experience: analyze different personas, map them to business units, and prioritize friction points.
- 32:02 - Crystal ball. We fast forward several years to project what the future employee experience may look like.
Want to learn more? Read The four Fs of employee experience
Angela Lester is a partner in PwC’s Experience Strategy and Design group, focused on brand innovation, product and service design, inclusive design, personalization, e-commerce, and purpose-led impact.
Claudia Montgomery is a managing director in PwC’s Organization and Workforce Transformation group, focused on helping clients optimize human capital practices and create forward-thinking workforce strategies.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
Our Full disclosure podcast series brings you back to the basics on all things related to financial statement presentation and disclosure, from the top of the financial statements through the footnotes.
Our second episode in this series focuses on the income statement. Valerie Wieman and Ashleigh Pierce from our National office join host Heather Horn to share helpful insights and key reminders.
Topics include:
- 1:28 - General presentation reminders. Valerie sets the stage for today’s discussion with a breakdown of the general income statement presentation requirements.
- 6:31 - Revenue presentation. Valerie and Ashleigh take us through the SEC requirements for presenting revenue and how to distinguish between revenues and gains.
- 11:55 - Cost of sales and operating expenses reminders. Valerie and Ashleigh remind us of the judgment involved when allocating your expenses between cost of sales and operating expenses.
- 18:52 - Operating measures and subtotals. Ashleigh provides some key reminders for companies that choose to present an operating measure on their income statement.
- 21:20 - SEC comment letters. Valerie highlights relevant SEC comment letter trends, including cost classification, depreciation and amortization, and gross profit subtotals.
- 23:24 - Other specific presentation requirements. Our guests walk through presentation and disclosure of research and development costs, collaborative arrangements, long-lived asset impairments and non-operating income and expenses.
- 30:27 - Government grants. Ashleigh shares presentation and disclosure reminders related to the receipt of government grants.
- 35:54 - Standard setting update. Ashleigh and Valerie wrap up by highlighting projects on the FASB’s technical agenda that impact the income statement and related disclosures.
Want to learn more? Read Chapter 3: Income statement of our Financial statement presentation guide.
And listen to our Podcast: Dealing with government grants? Here’s what you need to know
Valerie Wieman is PwC’s National office Editor-in-chief. She manages the creation, development, and publication of our brand-defining thought leadership. Prior to that role, she was part of PwC’s National office SEC services group, helping clients navigate SEC rules and regulations.
Ashleigh Pierce is a director in PwC’s National office specializing in technical accounting matters, strategic thought leadership, and podcast content. She has experience serving multinational clients, both public and private, primarily in the consumer markets, healthcare, not-for-profit, higher education, and industrial products sectors.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
In our Forecast 2021 podcast series, we’re focused on offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics.
In this week’s episode, we are talking about the deals landscape with a focus on the operational challenges of going public. Host Heather Horn sits down with Ed Jasaitis, a specialist in operational readiness, to discuss considerations for finance teams—from the offering stage (going public) to operating in a public company environment (being public).
Topics include:
- 1:36 - Current transaction landscape. Ed sets the stage by discussing the differences between the various transactions happening in the deals market aside from the traditional IPO, including SPACs, spins, and direct listings.
- 10:30 - Readiness. According to Ed, a company has to balance both the pre- and post-IPO (or acquisition close) stages. The finance team needs to be ready to close the transaction and operate as a public company on day one post-close.
- 13:50 - Resource skill and bandwidth gaps. Ed discusses the most important success factor—identifying resource requirements, including where gaps exist in skill sets and bandwidth. He encourages management to take stock of the finance function, internal audit function, control environment, and investor relations. Ed also suggests companies consider outsourcing resource needs when timing is very compressed.
- 19:10 - Project management best practices. Having a key finance leader dedicated to the overall vision of going public and being public is another key success factor. It allows the company to be ready for the immediate reporting requirements and plan for a path to compliance with the Sarbanes-Oxley Act.
- 23:38 - Technology for finance. Ed takes us through the digitization trend he has seen in practice and what it means to have a solid technology platform and integration process in place to gain efficiencies through automation.
- 27:00 - Anticipating a transaction. Ed says it’s helpful to anticipate a transaction to ensure market and operational readiness. He encourages listeners to consider the needs of all stakeholders in the organization and ensure the finance function supports those needs.
- 27:30 - Crystal ball. Ed shares his view of what we’ll be talking about in the future.
Want to learn more? Listen to our podcast Forecast 2021: From ESG to SPACs, the new deals landscape, check out our Deals page, and read our In the loop: The SPAC spree: Current state.
Ed Jasaitis is a partner in PwC’s advisory practice focusing on deals. He guides clients through significant business changes, including mergers and acquisitions, carve outs, cost reductions, finance transformation, and operational improvements.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
In our Full disclosure podcast series, we’re bringing you back to the basics on all things related to financial statement presentation and disclosure, from the top of the financial statements through the footnotes.
Our inaugural episode this week focuses on general reporting and balance sheet presentation requirements. Kyle Moffatt, a partner in our National Office, is back in the guest seat to set the stage for the series with our host, Heather Horn.
Topics include:
- 1:32 - General presentation reminders. GAAP comes first. Kyle reminds our listeners of the FASB codification guidance for interim and annual financial statement presentation for both public and private companies, as well as the incremental guidance from the SEC for public companies.
- 2:37 - Significant accounting policies. Kyle reminds companies how to determine which accounting policies are significant, and encourages listeners to take a fresh look at their disclosures.
- 9:13 - Significant account balances. Kyle outlines the SEC rules regarding when balances should be broken out and presented separately on the balance sheet.
- 14:53 - Balance sheet classification. Reporting entities are required to present a classified balance sheet. Kyle explains the requirements and how they provide insights for the users of the financial statements.
- 17:55 - Balance sheet offsetting. Kyle breaks down the key criteria that must be met to determine whether you can offset assets and liabilities on the balance sheet.
- 22:00 - Other considerations. We discuss other important considerations for balance sheet presentation, what the SEC staff focuses on, and key takeaways.
Want to learn more? Read the following chapters from our Financial statement presentation guide:
- Chapter 1: General presentation and disclosure requirements
- Chapter 2: Balance sheet
- Chapter 29: Interim financial reporting
Kyle Moffatt is a partner in PwC's National Office where he consults with engagement teams and audit clients on SEC reporting matters. He joined PwC in 2020 after spending almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
In our Forecast 2021 podcast series, we’re focused on preparing you for the year ahead by offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics.
This week we focus on the importance of needing access to the right information at the right time. John Simmons, a leader in PwC’s Data and Analytics Technology practice, is in the guest seat to discuss why gathering and managing information is crucial to the success of your business.
Topics include:
- 3:45 - Data versus information. According to John, companies need to get their arms around external and internal enterprise data, and understand the information derived from that data in order to make the right strategic decisions.
- 7:40 - Data in a post-pandemic world. The events and trends of the past year have highlighted the need for organizations to take a holistic approach to their data and understand their end-to-end enterprise. John explains how.
- 12:53 - Focus for CFOs. To create a sensible strategy for your business, John encourages you to derive context from the granular data you already have to create more value for your organization and optimize your next opportunity.
- 24:49 - Be the leading edge. Make focusing on data part of your organizational culture. We discuss how capturing and retaining information makes for better decision making.
- 30:30 - The challenges. Be careful with your data. Heather and John wrap up by discussing the importance of limiting access.
John Simmons is a Principal in PwC’s Data and Analytics Technologies group, helping clients understand the value of data. His work focuses on leveraging data and emerging technologies to enhance his clients’ knowledge of their markets.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
Distinguishing between a commercial joint venture and an accounting joint venture can be judgmental and will impact the accounting. In this week’s episode, Matt Sabatini, a partner in PwC’s National Office, joins host Heather Horn to discuss the accounting and financial reporting matters for companies to consider for an interest in a joint venture, as well as the accounting by the joint venture itself.
Topics include:
- 0:20 - Commercial joint ventures. When multiple investors come together to achieve a common goal, it’s important to think through how the joint venture will be structured to avoid surprises down the road.
- 6:03 - Accounting joint ventures. Do you have joint control? The answer might not be so simple. Matt walks us through some important indicators.
- 15:55 - Accounting by the joint venture. Historically, most joint ventures have recorded the assets or businesses they receive as contributions from investors at their carrying value. Matt explains some of the key accounting and financial reporting considerations at the joint venture level.
- 21:50 - Accounting for an interest in a joint venture. Investors typically account for their interest in an accounting joint venture using the equity method of accounting. Listen as Matt highlights some of the accounting complexities investors in an accounting joint venture might encounter.
- 27:20 - The FASB project. We discuss the FASB’s project on joint venture accounting and what changes we expect to see at the joint venture level.
- 30:05 - Key takeaways. Matt encourages listeners to understand the key distinctions between commercial and accounting joint ventures and keep up to date with the FASB’s joint venture project.
Want to learn more? Listen to our podcast episodes:
- Consolidation: A journey through the VIE model
- Consolidation: Back to the basics with 5 things you need to know
- Applying the equity method, Part I
- Applying the equity method, Part II
And read our Equity method investments and joint ventures guide.
Matt Sabatini is a partner in PwC's National Office with nearly 20 years of experience helping clients and engagement teams navigate the accounting and financial reporting for complex transactions. He specializes in the accounting for M&A, corporate reorganizations, recapitalizations, joint ventures, and other investments.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
In our Forecast 2021 podcast series, we’re focused on preparing you for the year ahead by offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics.
This week we focus on the global forces that are shaking up businesses. Craig Stronberg, who leads PwC’s Intelligence team advising global and firm leadership on macroeconomic and geopolitical events, is back in the guest seat to discuss how to prepare for forces that test your business’ resiliency.
Topics include:
- 1:01 - Tectonic forces. Geologists study tectonic plates to predict and learn about earthquakes. Companies should study the tectonic forces that affect business to predict and be prepared for the next shock wave.
- 7:43 - Key forces at play. Craig explains that powerful forces were accelerated because of the COVID-19 pandemic: inequity, nationalism, global governance, and distrust. They generally manifest negative reactions, but social justice and empowerment are major forces that have propelled positive change. Watch these closely.
- 14:43 - Challenge your assumptions. Corporate officers are thinking more critically and creatively about the future than ever before. Forecast and estimate a range of possibilities, think about your blind spots, do not fail to imagine, and rethink your possibilities.
- 21:29 - The next gray rhino. Look at your company’s postmortem state since the pandemic, and plan ahead for the next shock to your business. When the next gray rhino comes charging, you will be better prepared than your competitors.
- 29:58 - How to be successful. Craig encourages companies to anticipate the effects of forces and dedicate a team to understanding the core business and focus on possible scenarios. You can start by using the ADAPT framework - read more on ADAPT below.
Explore the PwC ADAPT framework and PwC’s 24th Annual Global CEO Survey.
Craig Stronberg leads the Macro Capability for PwC Intelligence, spearheading the team of analysts that provide macroeconomic and geopolitical intelligence to key stakeholders. Named as one of the "100 Most Creative People in Business” by Fast Company, Craig had a nearly 20-year career in national security affairs working for and advising numerous agencies and international partners, having been decorated five times. His focus is on numerous areas, including counterintelligence, economic espionage, counterterrorism, cyber threats, political-military issues, special operations integration, and support for major events, such as the Olympic Games.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
Identifying performance obligations in revenue contracts continues to be a hot topic as more companies are exploring business models that include a combination of products and services. In this week’s episode, Mike Coleman and Angela Fergason, partners in PwC’s National Office, join host Heather Horn to help navigate the accounting guidance in this area.
Topics include:
- 1:04 - Background. The most critical step in the ASC 606 5-step model for recognizing revenue is identifying performance obligations, as it determines the unit of account to apply to the rest of the model. Mike breaks down why we are talking about this now.
- 3:35 - Identifying performance obligations: an overview of the accounting model. Angela provides an overview of the guidance and criteria around identifying performance obligations.
- 5:45 - Separately identifiable. Angela highlights some of the indicators that a good or service might not be separately identifiable.
- 9:50 - Real life example: Sale of equipment with installation and consulting services. Mike walks us through a real life example and how to apply the guidance to determine whether there are separate performance obligations.
- 13:30 - Real life example: Licenses of software. Angela and Mike explain some other real life examples commonly seen with software licenses and how these could impact the identification of performance obligations.
- 22:14 - Real life example: Hardware and software. We talk about scenarios where products are also sold with software and how companies should determine whether the software is integral to the functionality of the equipment. We also discuss when the product is sold with cloud-based subscription services and whether to combine these elements into a bundled performance obligation.
- 26:24 - Key takeaways. Diligence and outreach across your organization is necessary to understand your contracts and get the right accounting and disclosure.
Want to learn more? Read chapter 3 of our Revenue from contracts with customers guide.
Mike Coleman is a partner in PwC's National Office with over 30 years of experience specializing in accounting for revenue and software arrangements. In addition, Mike has been one of the firm's representatives on the AICPA Software Task Force. Prior to his time in National, Mike was an audit partner in the firm's NY Metro assurance practice serving technology clients.
Angela Fergason is a partner in PwC's National Office with over 20 years of experience who specializes in accounting for revenue and employee compensation arrangements. She is a frequent speaker on accounting and financial reporting topics and is a contributor to many PwC National Office publications, including our accounting guides on revenue and stock-based compensation.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
In our Forecast 2021 podcast series, we’re focused on preparing you for the year ahead by offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics.
This week we focus on the benefits of supply chain diversification. Heather Horn sat down with Kevin Keegan and Brian Houck, partners in PwC’s Strategy&, to discuss how to create trust and transparency for a resilient supply chain.
Topics include:
- 1:01 - Supply chain resilience. Kevin provides an overview of the current supply chain landscape and what it means for companies to balance risk and cost, while focusing on eliminating single points of failures at the onsource.
- 7:01 - Consumer-focused. Resource scarcity is impacting supply chains in the consumer-focused supply chain, and Brian encourages CFOs to utilize the peer group’s risk-sensing capabilities to stay ahead.
- 12:10 - A trusted supply chain. Reliability, security and honesty - these are value-added factors needed to diversify your supply chain. Our guests explain how to achieve trust and transparency.
- 18:49 - Supply chain investment. The investor community has been very public on its desire for supply chain accountability. Focus your investment on risk, resiliency, and demand planning.
- 25:55 - The role of the CFO. There are both strategic and tactical ways to take a look at your operating and business models. In a consumer-focused supply chain, companies can create a new and unique experience for their customers.
- 32:05 - Best practices and takeaways. Kevin and Brian encourage the c-suite to work together to understand the financial- and customer-facing risks in their supply chain. Position yourself for success by allowing your supply chain to serve your customers.
Want to learn more? Read Study findings: Connected and autonomous supply chain ecosystems 2025, and listen to our Podcast: What's next? How finance can help reimagine the supply chain.
Kevin Keegan is a partner in PwC’s strategy consulting business working to improve business operations for the benefit of both current and future stakeholders. Kevin assists business leaders think through practical approaches to remove costs that are invasive to value and identify and firmly root new types of operating models that enhance growth.
Brian Houck is a partner with over 25 years of supply chain experience in both consulting and industry. He has worked across the end-to-end consumer value chain with deep experience in retail, distribution/wholesale, and consumer packaged goods clients. Brian supports his clients to achieve growth and profitability objectives, through transforming their operations through better strategies, processes, and technologies.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
There are many challenging financial reporting considerations a company faces as it goes through the process of becoming public, including those related to stock-based compensation. Stock-based compensation in traditional IPOs and SPAC mergers is also an area where the SEC has issued comment letters.
In this week’s episode, Jay Seliber, a partner in PwC’s National Office, joins host Heather Horn to discuss the compensation-related financial reporting matters for companies to consider as they go public.
Topics include:
- 0:58 - Cheap stock valuation. Jay opens with a discussion on what companies should think about as they are measuring the fair value of awards in the period leading up to the IPO, including what circumstances might warrant revisiting the initial valuations.
- 8:44 - Recognition of compensation awards that vest upon an IPO. Jay breaks down what to consider when recognizing compensation for awards where the vesting is contingent upon an IPO, including considerations in the quarterly filings leading up to the IPO.
- 13:30 - Employee stock purchase plans. Some companies will have employee stock purchase plans (ESPPs) that give employees the right to have money withheld from their paycheck in order to purchase stock at a discount in the future. Jay covers the accounting for ESPPs in an IPO.
- 17:55 - Earnings per share. Newly-public companies will have to incorporate earnings per share in their filings. Jay explains some of the complexities, including calculating the weighted average shares outstanding needed to disclose earnings per share for each period presented as required by the SEC.
- 24:58 - Mezzanine equity. Lastly, Jay walks us through mezzanine equity—what it is and what companies going public need to be thinking about.
Want to learn more? Read:
- Our Stock-based compensation guide
- Section 7.3.4 of our Financing transactions guide
- Chapter 7 and Chapter 15 of our Financial statement presentation guide
- Our Observations from the front lines: Avoiding "cheap stock" SEC scrutiny
And listen to our Podcast: Got EPS questions? We've got answers.
Jay Seliber is a partner in PwC’s National Office with over 30 years of experience. He helps clients with their most complex accounting matters, particularly in the areas of stock compensation, revenue recognition, M&A, employee benefits, restructurings, impairments, and financing transactions.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
In our Forecast 2021 podcast series, we’re focused on preparing you for the year ahead by offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics. With the first 100 days of the new administration behind us, host Heather Horn sat down with Roz Brooks, PwC’s US Public Policy Leader, to discuss the latest in Washington DC with a focus on our place in the global landscape and how CFOs should prepare to respond.
Topics include:
- 0:49 - New legislation. Roz opens with an update on the infrastructure bill. She notes that the focus is on innovation and restoring the US as a global leader. Other focus areas of the Biden administration include supply chain resiliency and our relationship with China.
- 10:43 - Innovation funding. CFOs should think about how an investment in human infrastructure could impact their workforce as the new plans focus on closing the income inequality gap.
- 19:10 - Onshoring. Roz and Heather turn their attention to how the administration is focused on helping companies onshore some of their supply chains.
- 22:01 - Climate change. The Biden administration has put addressing climate change at the forefront of their agenda, both domestic and foreign. Roz explains how climate is even influencing financing nowadays.
- 28:56 - Future focus. Roz answers our usual question about the hope for bipartisanship, noting DC is still much of a house divided but she sees future opportunities to find common ground.
Want to learn more? Check out PwC’s summary of the administration’s top priorities.
Listen to PwC’s podcast episodes:
- Forecast 2021: Top US economic trends to watch
- Forecast 2021: The impacts of China's global macrotrends
- Forecast 2021: What to expect from the new administration
Roz Brooks is PwC's US Public Policy Leader. Roz is responsible for ensuring PwC has a voice in important debates at the nexus of business and government and helping the firm successfully execute its business strategy. Roz leads PwC’s engagement with Congress, the White House, regulatory agencies, state and local governments, and organizations including trade associations, think tanks, and NGOs.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
The new SEC Chair is focused on change and action. In this week’s episode, host Heather Horn is joined by Kyle Moffatt, a partner in our National Office, and Michael O’Brien, a managing director in our Government, Regulatory Affairs & Public Policy group, to discuss what we think will drive the SEC’s agenda under the direction of new SEC Chair, Gary Gensler.
Topics include:
- 0:45 - President Biden’s address to congress. Michael sets the stage by giving us a rundown of what is going on in Washington and how President Biden’s address to Congress may influence the SEC’s agenda.
- 4:25 - Interagency cooperation. Michael and Heather discuss how the SEC’s cooperation with other agencies impacts rulemaking and how hedge fund oversight, cryptocurrency, and climate are interagency priorities right now.
- 8:07 - Regulatory Flexibility Agenda and rulemaking. Kyle and Michael talk about how and why the comment letter and rulemaking processes can be lengthy for certain issues, such as ESG and climate, with congressional oversight.
- 13:46 - The new SEC. Kyle and Michael discuss what the new SEC staff appointments are focused on and how the new chairman is driving change in the direction of the Commission.
- 22:56 - Bipartisan support. Kyle discusses where common ground has been found between the two parties in the past and how it has impacted other agencies.
- 25:08 - Focus on cryptocurrency and SPACs. Michael walks us through some of the immediate concerns relating to cryptocurrency and special-purpose acquisition companies. Kyle tells us where he sees the SEC going in these areas.
- 31:59 - Principles-based approach. Our guests tell us what changes we can expect to see to principles-based rulemaking.
- 36:05 - Key takeaways. Kyle and Michael encourage our listeners to keep an eye on Chair Gensler’s actions in the coming weeks as this could be the most active SEC we have seen in decades.
Want to learn more? Read our In the loops:
Don’t wait until the SEC staff asks you about climate change
New human capital disclosure rules: Getting your company ready
Making sense of ESG
Listen to our prior podcast episode:
The SEC’s request for comment on climate disclosure, explained
Kyle Moffatt is a partner in PwC's National Office where he consults with engagement teams and audit clients on SEC reporting matters. He joined PwC in April 2020 after spending almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Michael O'Brien is a Managing Director in the Office of Government, Regulatory Affairs & Public Policy. In his current role, Michael represents the firm and its interests before Congress, the Executive Branch, and Federal regulatory agencies. He has represented the firm on matters related to the implementation of Sarbanes-Oxley and Dodd-Frank, state and federal taxation, and litigation reform.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
In our Forecast 2021 podcast series, we’re focused on preparing you for the year ahead by offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics.
Due to the pandemic, there has been a huge increase in both B2B and B2C online sales over the past year. As a result of this shift, companies have had to adapt their business models to acknowledge the digital customer experience and to include new revenue streams, such as subscriptions. This week, host Heather Horn sat down with Romit Dey, PwC’s national leader on Anything-as-a-Service (XaaS), to talk about XaaS and digitizing your business. Romit will help us understand how and why more and more companies are shifting to subscription-based business models, and what that means in terms of a CFO’s focus.
Topics include:
- 0:57 - Anything-as-a-Service. Romit talks about how Silicon Valley software businesses changed their business models to subscription-based models over a decade ago and how subscription services are now offered through various industries.
- 5:13 - A digital business model. Romit explains the reasons companies are shifting their strategy to a digital business model.
- 10:16 - Benefits of an XaaS strategy. A digital customer experience also provides financial efficiencies. Romit explains.
- 14:35 - Challenges and adaptation. What are the challenges and hurdles faced by companies when modifying their existing business models? Romit gives examples of hybrid business models and what they mean for the company and the customer.
- 22:24 - Role of the CFO. Romit explains what the C-suite should consider when making these critical strategy decisions, what is needed for success, and how different industries can consider adopting a digital strategy.
- 32:03 - Crystal ball. Romit tells us where we could expect this conversation to be in three years and what the post-pandemic mindset may look like.
Want to learn more? Read PwC's 24th Annual Global CEO Survey to see how executives are thinking about digital transformation.
Romit Dey is PwC’s national leader on XaaS, focused on advising clients on business model transformation, digital transformation, revenue growth, and scalability through subscription- and consumption-based models.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
Given the increase in demand for climate change information and the ongoing debate regarding whether the current disclosures provide sufficient decision-useful information for investors, the SEC’s then-Acting Chair Allison Lee issued a public statement in which she requested input from market participants on climate change disclosure.
In this week’s episode, Heather Horn and PwC’s National Office team leading PwC’s comment letter response, comprising Kyle Moffatt, Andreas Ohl, Jay Sivakumaran, and Valerie Wieman, discuss considerations for responding to the SEC’s request.
Topics include:
- 0:50 - Overview and background. Val, Kyle, Andreas, and Jay explain what the common themes are in the SEC’s questions and what prompted the request for comment.
- 8:38 - Standard setting. Andreas and Kyle explain the current landscape of standard setting in the US and globally, what it means for ESG reporting, and what the future of standard setting may look like.
- 14:22 - Industry considerations. Val and Andreas give their views on industry-specific standards versus a universal approach.
- 17:59 - Measurements. Andreas explains the questions on measurements and what companies should consider as it relates to metrics.
- 24:54 - Geography of disclosures. Val and Kyle share their point of view on the geography of disclosures and what they feel matters most.
- 28:42 - Assurance and governance. Jay shares considerations on assurance, investor-grade information, and governance of ESG issues.
- 33:20 - Materiality. Val and Kyle explain how to consider materiality in the context of non-financial disclosure.
- 37:57 - Broader disclosures and phasing. Andreas, Kyle, and Val consider whether disclosures should encompass all of ESG. They also address whether private companies would benefit from similar guidance, and what the phasing of an ESG ecosystem project could look like.
- 45:07 - Best practices and next steps. Jay explains how companies should stay accountable to ensure they include quality and reliable disclosures. Kyle and Val encourage market participants to provide feedback to start the conversation and what to expect as far as timing.
Andreas Ohl is a partner in PwC's National Office focused on mergers and acquisitions under US GAAP and IFRS. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's in-process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
Kyle Moffatt is a partner in PwC's National Office where he consults with engagement teams and audit clients on SEC reporting matters. He joined PwC in April 2020 after spending almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Valerie Wieman is PwC’s National Office Editor-in-chief. She manages the creation, development, and publication of our brand-defining thought leadership. She is also responsible for Viewpoint, our new digital information platform.
Jay Sivakumaran is a director in PwC’s National Office. Prior to joining the National office, he served clients primarily in the consumer markets sector.
Transcripts available upon request. Please send requests to us_podcast@pwc.com.
In our Forecast 2021 podcast series, we’re focused on preparing you for the year ahead by offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics.
We’ve been focusing on geopolitical trends around the world lately and thought this week we would talk about our corner of the globe. This week, host Heather Horn sat down with Chris Benko, PwC’s US Senior Economist, to gather insight into the macroeconomic health of the US and its place in the world.
Topics include:
- 1:15 - Overall economic health. Chris believes we’ve moved through the most volatile part of the recession and are in the early stages of the recovery, but he believes the recession was an accelerant in the bifurcation of our country’s concentration of wealth.
- 5:17 - Inflation and labor. Chris explains that some inflation is okay. He does not think we will see above-average inflation. But a 9% unemployment rate indicates how much of this recovery is still ahead of us.
- 11:12 - Income inequality. There’s a mismatch in the market currently and the COVID recession is exacerbating the disparity in the workforce. Chris stresses the importance of putting people back to work and explains how this dynamic highlights the difference between the pace of growth and the underlying health of an economy.
- 15:10 - Skills, innovation, and infrastructure in the US. Chris explains why the US does not score well in global competitiveness and the importance of addressing structural issues and infrastructure investment to address this. He explains how infrastructure, specifically digital infrastructure, includes the fundamentals that support the sustainable functioning of an economy. Chris tells us how infrastructure investments would be funded and what that means for the economy.
- 27:22 - Reshoring manufacturing investments. Chris suggests that companies should focus on having on-shore, near-shore, or contingency supply chains, depending on company strategy and risk appetite. He encourages CFOs to plan for an operating environment in which the US is no longer the unrivaled power it once was.
- 30:36 - Other topics for CFOs to think about. Chris closes by explaining how the past year was a strong reminder that an economy is a finely balanced and delicate organism that is not pre-programmed or pre-ordained. He also looks to what may be the next economic catalysts.
Chris Benko is PwC’s US Senior Economist, providing the firm and its clients with economic analysis and commentary. Chris leads a team of business and sector analysts, economists and data scientists, leveraging data and analytics to develop provocative points of view and inform strategic decision-making.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
Finding embedded leases in your contracts is important to avoid misstating the balance sheet, and a lot of judgment is involved. Here to answer common questions, host Heather Horn is joined by Chad Soares and Marc Jerusalem to walk through the steps to identify embedded leases.
Topics include:
- 0:47 - Guidance reminder. Before we get into how to identify embedded leases, Marc gives a refresher on the accounting and why this topic is top of mind for companies.
- 4:17 - Identifying embedded leases. As a general rule, an embedded lease exists if there is an explicit or implicit identified asset in the contract and the customer controls use of the asset. Chad and Marc walk through assessing if an arrangement contains an embedded lease, and covers related topics such as:
- 7:09 - Substitution rights
- 12:54 - Customer control over the use of the asset
- 22:08 - You have an embedded lease. Now what? Once you identify an embedded lease, the contract needs to be separated into its lease and nonlease components. Chad walks through the steps and key considerations.
- 28:25 - Final reminders. There are a lot of contracts that aren’t called a “lease,” but that still fall within this guidance. Marc and Chad close with some reminders and some other key takeaways.
Chad Soares is a partner in PwC's National Office focused on leasing and financing arrangements. He was a primary author of PwC’s lease accounting guide and contributes to a variety of thought leadership related to leasing and financial instruments.
Marc Jerusalem is a director in PwC’s National Office specializing in leasing. As a leasing specialist, Marc consults with clients on complex lease accounting issues and is a contributor to many related PwC National office publications.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
In our Forecast 2021 podcast series, we’re focused on preparing you for the year ahead by offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics.
Geopolitically and economically, India is a complicated place to do business. This week, host Heather Horn sat down with Craig Stronberg, who leads PwC’s Intelligence team advising global and firm leadership on macroeconomic and geopolitical events, to get some insight on how companies are doing business in India, unpacking the challenges, opportunities, and what the future might hold for the third largest market in the world.
Topics include:
- 0:53 - Overview. Out of every country in the world that is not currently an economic powerhouse, India has the most promise. Craig begins with a brief introduction to India’s culture.
- 4:20 - The opportunities. When thinking about where to start, Craig explains it’s not about what’s offered there now, it’s about what’s not there yet and the investment and partnership potential.
- 9:08 - The challenges. While the economic potential is there, Craig and Heather discuss the other side of the coin that is the challenges of doing business with a still developing country.
- 26:32 - What the CFO should know. Craig explains the importance of adapting to different business practices and stresses the complex regulatory environment.
- 30:12 - Outlook. What will it take to transform India’s economy into one that has more industrial might and scale? Craig closes with his predictions.
Want to learn more? Explore PwC's 24th Annual Global CEO Survey.
Craig Stronberg leads the Macro Capability for PwC Intelligence, spearheading the team of analysts that provide macroeconomic and geopolitical intelligence to key stakeholders. Named as one of the "100 Most Creative People in Business” by Fast Company, Craig had a nearly 20 year career in national security affairs working for and advising numerous agencies and international partners, having been decorated five times. He focused on numerous areas, including counterintelligence, economic espionage, counterterrorism, cyber threats, political-military issues, special operations integration, and support for major events such as the Olympic Games.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
The FASB and the IASB each have projects on the subsequent accounting for goodwill and the implications may be bigger than whether one or both boards adopt an amortization model. Host Heather Horn sits down with Andreas Ohl, PwC National Office partner, and Ruth Preedy, PwC director and IFRS accounting specialist, to discuss the status of both projects, where they converge and diverge, and how the projects might develop.
Topics include:
- 0:44 - Summary of the FASB’s goodwill project. Andreas begins with an update on the FASB’s goodwill project, providing a brief history, outlining its scope, and sharing the discussion from the FASB’s March 2021 meeting.
- 5:41 - Summary of the IASB’s goodwill project. Ruth starts by clarifying that the IASB’s project differs from the FASB’s and then shares some background on the IASB’s project scope.
- 10:07 - The FASB’s and IASB’s tentative changes to the impairment test. Ruth and Andreas share the changes to the impairment test being discussed by each board.
- 12:31 - Comment letters. Next, we cover themes from comment letters received on both projects. We talk about some of the differences and similarities expressed in stakeholders’ letters.
- 34:04 - What’s next? Andreas and Ruth share the next steps for each project.
Want to learn more? Read our Point of view, The unbalanced balance sheet: Making intangibles count.
Andreas Ohl is a partner in PwC's National Office focused on mergers and acquisitions under US GAAP and IFRS. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's in-process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
Ruth Preedy is a PwC director and the IFRS Pharmaceutical Leader. Ruth previously hosted PwC’s IFRS Talks podcasts, covering IFRS accounting and reporting updates. Ruth specializes in navigating issues related to fair value measurement, impairment, and business combinations.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
In our Forecast 2021 podcast series, we’re focused on preparing you for the year ahead by offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics.
China is talked about a great deal in the press with many businesses wondering how trade partnerships will change over time. This week, host Heather Horn sat down with Craig Stronberg, who leads PwC’s Intelligence team advising global and firm leadership on macroeconomic and geopolitical events, to get some insight on the geopolitical landscape in China, clear-up common misconceptions, and discuss what the future might hold.
Topics include:
- 0:56 - Overview. We begin by setting the stage covering some of the big questions businesses are asking, including how the new administration is affecting policy and how business is being done between China and the US.
- 13:50 - Supply chain considerations. What are the alternatives to manufacturing in the region? Craig shares considerations of doing business with other potential markets and also covers US reshoring incentives.
- 25:51 - Doing business with China. Craig and Heather discuss the effects protectionism is having on business and look at which industries are most at risk.
- 30:47 - What the CFO should know. Whether you’re trading with China or have a supply chain in the region, Craig stresses the importance of understanding the cyber and data regulatory landscape.
- 35:03 - Best practices. Craig shares what other companies are doing.
- 37:27 - Outlook. Will China displace the US as the world’s largest economy? We close by offering some predictions.
Want to learn more? Explore PwC's 24th Annual Global CEO Survey and related webcast.Craig Stronberg leads the Macro Capability for PwC Intelligence, spearheading the team of analysts that provide macroeconomic and geopolitical intelligence to key stakeholders. Named as one of the "100 Most Creative People in Business” by Fast Company, Craig had a nearly 20 year career in national security affairs working for and advising numerous agencies and international partners, having been decorated five times. He focused on numerous areas including counterintelligence, economic espionage, counterterrorism, cyber threats, political-military issues, special operations integration and support to major events such as the Olympic Games.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
With the SEC’s new human capital disclosure rules now effective, PwC looked at more than 2,000 Form 10-K filings to understand what companies disclosed. In this episode, Heather Horn sits down with PwC’s Sheri Wyatt and Brandon Yerre to look at what human capital disclosure trends we saw in this year’s reporting season.
Topics include:
- 0:49 - Background. We begin with a refresher on the SEC’s new human capital rules and the types of measures and objectives required.
- 2:30 - Analysis overview. Sheri walks through an overview of our analysis of the disclosures in recent 10-Ks.
- 6:16 - Trends. Next, we summarize some of the human capital disclosure trends.
- 16:05 - SEC insights. We discuss feedback from the SEC staff on some early filers’ disclosures.
- 19:23 - Key focus areas. While there is no one-size-fits-all approach, there are important considerations to think through when deciding which disclosures to make.
- 23:24 - Where do we go from here? We share some insights on how human capital disclosure rules might evolve.
Want to learn more? Read our In the loop, New human capital disclosure rules: Getting your company ready.
Sheri Wyatt is a partner in PwC’s sustainability practice and also serves as the diversity leader for the US Assurance line of service. She has over 20 years of experience advising companies on the adoption of new accounting and financial reporting standards, from assessing current state through operationalizing compliance with new standards and policies.
Brandon Yerre is a principal in PwC’s Organization and Workforce Transformation group. Brandon specializes in matters dealing with the design, implementation, and governance of total reward programs and the development of organization-wide job architectures to support workforce strategy and planning.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
As the first quarter of 2021 comes to a close, listen as host Heather Horn and a panel of PwC partners highlight what companies should be thinking about for their interim reporting.
Topics include:
- 0:47 - New accounting standards to consider. We begin with reminders of new guidance effective (or early adoptable) for calendar year-end public companies this quarter.
- 19:01 - Trends from the quarter. Next, we cover top consultation trends and areas of interest from the past quarter.
Want more quarterly resources? Read our The quarter close — First quarter 2021 or watch our Q1 2021 Quarterly accounting webcast.
Tom Barbieri is a Deputy Chief Accountant in PwC’s National Office and the financial instruments accounting leader. He has nearly 30 years of experience advising clients on complex accounting and financial reporting issues relating to financial instruments. During Tom’s tenure in the National Office, he has been at the forefront of emerging accounting issues and has regular interactions with the FASB, SEC, and other regulators and standard setters.
Pat Durbin is a Deputy Chief Accountant in PwC’s National Office and the leader of the revenue and liabilities division. He has nearly 30 years of experience consulting with clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.
Kyle Moffatt is a partner in PwC's National Office where he consults with engagement teams and audit clients on SEC reporting matters. He joined PwC after spending almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Beth Paul is a Deputy Chief Accountant in PwC’s National Office responsible for a team of consultants that specialize in business combinations and related areas, such as consolidations, disposals, impairments, and segment reporting. Prior to this role, Beth was the Strategic Thought Leader in PwC’s National office, working closely with firm leadership to determine PwC’s position on emerging trends in auditing, accounting, and financial reporting matters.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
In our Forecast 2021 podcast series, we’re focused on preparing you for the year ahead by offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics.
Cyber risk is a top priority for businesses; and, considering every business can be vulnerable, targeted, and attacked, businesses are changing their cyber strategy and investing more. But, are those investments in the right areas? This week host Heather Horn sat down with Joseph Nocera, leader of PwC's Cyber & Privacy Innovation Institute, and Harshul Joshi, a PwC cybersecurity, privacy, and forensics principal, to understand cybersecurity risks and the leading practices for limiting exposure and recovering quickly.
Topics include:
- 0:59 - The hallmarks of good cybersecurity. Even the best can be breached, so what’s a company to do? We begin with the fundamentals of baking cybersecurity into every business decision and allocating cyber spend to technologies, processes, and developing talent.
- 7:41 - The 5 levers of security. We discuss leading practices for developing a risk management strategy: identification, prevention, detection, response, and recovery.
- 13:12 - Types of cyber attacks. Cyber attacks come in two flavors:
- 13:51 - External cyber attacks
- 19:21 - Internal cyber attacks
- 22:36 - Addressing the gaps. In addition to information technology considerations, attention also needs to be given to operational technology (OT). We discuss what that means and the cyber risk challenges in OT environments.
- 37:38 - Detection and response. You’ve had an attack, now what? We talk about early warning signals and key considerations post-breach.
- 40:09 - What’s next in cybersecurity. We close with thoughts on the increasing role privacy plays in cybersecurity and the rise of quantum computing.
Want to learn more? Read PwC's 2021 Global Digital Trust Insights and PwC’s Digital TrustInsights Pulse Survey.
Joseph Nocera is the leader of PwC's Cyber & Privacy Innovation Institute. Joe’s experiences range from IT auditing to large scale systems implementation. He has extensive experience helping organizations meet regulatory demands and build information security departments, information risk management functions, and effective IT governance functions.
Harshul Joshi is a PwC cybersecurity, privacy, and forensics principal with more than 17 years of experience in the fields of regulatory compliance, cyber security, governance, risk, internal audit, and privacy. Harshul has a successful track record of working with various C-suite executives, regulatory bodies, and functional stakeholders to implement effective security programs.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
As we wrap up the first quarter of the new year, join host Heather Horn and PwC tax specialists, Jenn Spang and Kassie Bauman, as they discuss some of the key considerations and complexities in accounting for income taxes during interim periods.
Topics include:
- 0:51 - How it works. We begin with an overview of how to calculate a quarterly income tax provision, including how to estimate the annual effective tax rate (AETR).
- 7:39 - Ordinary income. What does ordinary income mean in the context of your interim tax provision? Jenn explains.
- 10:21 - Discrete items. Kassie shares examples of what qualifies for treatment as a discrete item and the judgment involved.
- 16:51 - Exceptions and limitations. Kassie and Jenn discuss a few exceptions to using the worldwide estimated AETR.
- 22:55 - Roll of the controller. Setting the AETR involves more than just the tax department—it is a cross-specialty process. We close by discussing the importance of engaging the right people from the beginning and working together to apply the right controls and processes.
Jennifer Spang is a tax partner in PwC's National Office specializing in tax accounting under US GAAP and IFRS. She has over 25 years of experience helping companies in a variety of industries navigating complex tax accounting matters.
Kassie Bauman is a managing director in PwC's National Office who consults on tax accounting under US GAAP and IFRS. Kassie has more than 20 years of auditing and accounting experience, including almost a decade of experience addressing complex technical accounting matters as part of our National Office.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
In our Forecast 2021 podcast series, we’re focused on preparing you for the year ahead by offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics.
PwC recently released the findings from its 24th Annual Global CEO Survey, so this week host Heather Horn sat down with Bob Moritz, PwC’s Global Chairman, to look at a few of the emerging trends from the report. But she didn’t let him off that easy - listen to hear Bob’s candid thoughts on strategy and leadership.
Topics include:
- 1:03 - Findings from PwC’s 24th annual CEO Survey. The robust amount of data rendered from PwC’s CEO Survey came from companies of all sizes across the globe and they had a lot to say. Heather and Bob hit on a handful of the highlights:
- 2:07 - CEO optimism
- 5:53 - Innovation
- 11:04 - ESG
- 14:05 - The reinvented workplace
- 19:13 - Trade dynamics
- 24:25 - How to set—and execute—a strategy. By acknowledging the need for change, putting the right processes in place, accumulating quality data and proactively telling your story, Bob distills what he sees as the fundamentals to creating a winning strategy that engages all stakeholders.
- 38:50 - Leadership lightning round. We close with a few fun, rapid fire questions to hear Bob’s perspective on topics like how to come back from a setback, the characteristics of a great leader, and ways to find balance in this 24/7 environment.
Want to learn more? Explore the full report of findings in PwC's 24th Annual Global CEO Survey and related webcast.
Bob Moritz serves as the Global Chairman of the PwC International Network, which supports over 250,000 employees in 158 countries who proudly serve clients across the globe, ranging from multinational corporations to start-ups. Previously, serving as the PwC US Chairman and senior partner, Bob focused on increasing quality, building the PwC brand in the marketplace, and hiring and developing talent with an eye toward the future. Bob currently sits on a number of boards, including the Business Roundtable, the Oswego College Foundation, the Conference Board, and the International Business Community of the World Economic Forum.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
2021 began with President Biden stepping into office and the Democratic Party effectively taking control of Congress, paving the way for expected changes to tax, trade, and regulatory policy. This quarter, we will share some of the changes that we foresee as a result of the new administration, and discuss some recent trends that seem to be continuing unabated. For example, the pace of corporate transactions continues to rise since the depth of the pandemic, and special purpose acquisition companies (SPACs) are continuing to generate a lot of traction both in their initial public offerings (IPO) and subsequent mergers with non-public entities.
In addition, the start of a new reporting cycle usually means adopting various amendments from the FASB and this year is no different. Income tax simplification and equity investments are top of mind. Amendments to the SEC’s disclosure rules for business acquisitions and dispositions and changes to Regulation S-K disclosure requirements are effective this year as well, and companies are continuing to prepare for the impacts of reference rate reform.
In this edition of The quarter close, we highlight these and other relevant accounting and reporting topics you should consider as we close out the first quarter of the year.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
In our Forecast 2021 podcast series, we’re focused on preparing you for the year ahead by offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics.
This week host Heather Horn sits down with Chris Rhodes and Andreas Ohl, PwC partners who specialize in deals. We look at the drivers behind the busy deals market, and the trends reshaping the M&A space—from digital to ESG to— you guessed it, SPACs.
Topics include:
- 1:04 - Re-examining the buy vs. build question. Between today’s rapidly changing environment and the risk of missing a hot market, M&A has accelerated. We begin with an overview of the key trends.
- 6:03 - Trend 1: tech-enabled agility. Digital deals are prevalent. We talk about some of the reasons and post-deal integration challenges, as well as the valuation reward of capturing scale.
- 16:40 - Trend 2: ESG. We’re seeing a lot of opportunities in this market-driven movement. We also highlight the greater focus on due diligence and talk about the relationship to ESG reporting.
- 24:51 - Trend 3: SPACs. While we’re only beginning to see the impact of having SPACs competing for transactions, we talk about this new class of buyer.
- 30:16 - Looking into our crystal ball. Where is the deals market headed? We close with thoughts on adjusting to the new pace in deals while delivering on the value proposition.
Want to learn more? Check out our Deals page.
Andreas Ohl is a partner in PwC's National Office focused on mergers and acquisitions under US GAAP and IFRS. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's in-process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
Chris Rhodes is a partner in PwC's Transaction Services practice. He provides commercial structuring, valuation, and accounting advice for a variety of transactions under both US GAAP and IFRS. His focus includes strategic transactions, such as acquisitions, divestitures, and joint ventures, along with capital raising and capital restructuring.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
Distinguishing between a change in accounting principle and a change in estimate can be difficult, but the distinction is critical to applying the correct guidance. To help think through the accounting, host Heather Horn is joined by Pat Durbin and Tom Barbieri, Deputy Chief Accountants in PwC’s National Office.
Topics include:
- 0:41 - Background. We start with an overview of the different types of accounting changes and provide examples of each.
- 4:33 - Change in accounting principle. Pat walks through the steps that companies should take when changing an accounting principle, and how to navigate the preferability assessment.
- 18:03 - Accounting for changes in accounting principles. Once you’ve identified a change in principle, how is that reflected in the financial statements? Tom explains the two step process and shares thoughts on disclosures.
- 30:21 - Change in estimate. Changes in estimate frequently come up as a result of new information or modifications to estimating techniques. Pat highlights the accounting considerations.
- 35:33 - Key reminders. Don’t wait! Tom covers key reminders, including preferability letters and capturing the appropriate disclosures.
Want to learn more? Read chapter 30 of our Financial statement presentation guide.
Tom Barbieri is a Deputy Chief Accountant in PwC’s National Office and the financial instruments accounting leader. He has nearly 30 years of experience advising clients on complex accounting and financial reporting issues relating to financial instruments. During Tom’s tenure in National, he has been at the forefront of emerging accounting issues and has regular interactions with the FASB, SEC, and other regulators and standard setters.
Pat Durbin is a Deputy Chief Accountant in PwC’s National Office and the leader of the revenue and liabilities division. He has nearly 30 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS. Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
In our Forecast 2021 podcast series, we’re focused on preparing you for the year ahead by offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics.
This week host Heather Horn sits down with Roger Wery, PwC’s Global Consulting & Deals Leader for the technology, information, communications and entertainment industries, to talk about the six operational levers companies should pull concurrently to achieve revenue growth. A revenue command center can help.
Topics include:
- 0:52 - The time for growth is now. There is definitely a realization that growth needs to be central to a company’s agenda. We begin with an overview of an approach to boost revenue using a set of six growth initiatives.
- 5:10 - The operational levers to growth. Heather and Roger break down each of the six levers, all of which should be done concurrently, looking at how each is a sustainable source of growth and competitive differentiation.
- 6:11 - Lever 1: Reset segmentation roles
- 7:04 - Lever 2: Adopt new revenue models
- 11:18 - Lever 3: Enhance digital engagement capabilities
- 15:36 - Lever 4: Implement creative and dynamic pricing
- 17:20 - Lever 5: Accelerate and automate business processes
- 18:28 - Lever 6: Evolve the offerings portfolio
- 27:02 - Growth outlook? We close by looking into our crystal ball to share thoughts on what we’ll be talking about three years from now related to growth.
Want to learn more? Check out these resources, How companies can transform information into insight.
Roger Wery is PwC’s Global Consulting & Deals Leader for technology, information, communications and entertainment industries. Roger has been in consulting for over 25 years and has worked with a broad range of clients in the US and internationally. He has been a senior advisor to leadership and board members on a number of critical business priorities: Growth and Innovation strategy, M&A strategy, as well as business, digital and operating model transformation.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
Variable consideration in revenue contracts is more common than you might think, and the accounting for it can require a considerable amount of judgment. To help make sure you have the right revenue recognition, we’ve asked Angela Fergason, a partner in our National Office, to join host Heather Horn to walk through the guidance.
Topics include:
- 0:47 - The many forms of variable consideration. We begin with an overview of variable consideration under the new revenue guidance and share some common examples of the common types of variable consideration in a revenue contract.
- 6:25 - Estimating variable consideration. We cover the two methods for estimating variable consideration at contract inception: the “expected value” method and the “most likely amount” method.
- 9:36 - Constraint on variable consideration. An estimate of variable consideration is subject to a constraint. Listen as Angela breaks down what exactly this means.
- 15:49 - Exceptions for estimating variable consideration upfront. There are a few situations when you might not have to estimate variable consideration upfront. Angela walks through a few of the scenarios.
- 23:24 - Revenue vs lease components. We frequently see contracts with revenue and lease components. Angela explains how the revenue and lease models differ when contracts have variable fees.
- 25:38 - Reminders and disclosures. We close by wrapping-up with key takeaways and an overview of the multiple disclosure requirements.
Want to learn more? See chapter 4 of PwC’s Revenue from contracts with customers guide.Angela Fergason is a partner in PwC's National Office with over 20 years of experience, specializing in accounting for revenue and employee compensation arrangements. She is a frequent speaker on accounting and financial reporting topics and is a contributor to many PwC National Office publications, including our accounting guides on revenue and stock-based compensation.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
In our Forecast 2021podcast series, we’re focused on preparing you for the year ahead by offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics.
This week, we conclude our deep dive into ESG by focusing on the “S,” or social, initiatives. Heather Horn sits down with Aaron Gilcreast, PwC’s Global Valuation Leader, and Andreas Ohl, a partner in PwC’s National Office, to look at how companies are rebalancing their strategy to address societal challenges and building measurement frameworks that help prioritize and report on these societal initiatives.
Topics include:
- 1:05 - Overview. We begin by highlighting a few big societal challenges—from globalization impacting supply chains to employee wellness and satisfaction—and how the companies that work to address these matters gain a competitive advantage in the marketplace.
- 4:14 - Value creation vs. value destruction. To calculate ROI on societal investments, organizations need to begin thinking about the measurement of these intangibles, which is part of a disciplined capital allocation process and robust reporting.
- 10:44 - The time is now. The momentum behind ESG is powerful as a result of increasing interest from investors and consumers. But it’s good for the company too. We look at the brand-enhancing benefits of translating intangible attributes into quantifiable metrics.
- 20:44 - Global challenges. We talk through some of the challenges in executing and reporting on societal initiatives faced by companies with a global footprint.
- 22:59 - Key takeaways. Companies have a role to play in proactively addressing societal issues, but they must be disciplined to build resilient assets and maximize value.
Want to learn more about ESG? Check out our C-suite summary, Making sense of ESG.
Aaron Gilcreast is the PwC’s Global Valuation Leader. His professional services career in finance, M&A, and corporate strategy spans 25 years. In his concurrent role as leader of PwC's Global Valuation & Business Modeling practice, Aaron is responsible for its overall vision, strategy, and operations.
Andreas Ohl is a partner in PwC's National Office where he focuses on mergers and acquisitions under US GAAP and IFRS. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's In-Process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts are available upon request. Please send requests to us_podcast@pwc.com.
With the discontinuance of LIBOR in sight, there are things companies should be doing today to ensure a smooth transition. Host Heather Horn is joined by PwC partners Chip Currie and David Challen to discuss some of the business and accounting issues that need to be thought through prior to LIBOR going away.
Topics include:
- 1:01 - Background. We start with a refresher on the basics: what is LIBOR and why are we talking about it now?
- 4:54 - Timing. We discuss the estimated LIBOR transition timeline.
- 6:24 - Act now. Chip discusses what companies should be doing today to prepare for the change.
- 8:33 - Replacement rates. David highlights key differences between LIBOR and possible replacement benchmark rates, such as SOFR.
- 11:15 - Legacy LIBOR contracts. Lots of LIBOR references in legacy contracts? We talk you through next steps.
- 13:56 - Accounting issues. The accounting side of the LIBOR phase-out is complicated. Chip covers some of the accounting issues companies need to be thinking about now and some of the relief that’s available.
- 16:08 - Focus areas. It’s hard knowing how to start. We close with key takeaways for where finance teams should be focusing their attention first.
Want to learn more? Visit our LIBOR page, read our Reference rate reform guide, and listen to our podcast, Contracts filled with LIBOR references? Now what?Chip Currie is a Partner in PwC’s National Office with over 20 years of experience assisting companies in resolving complex business and accounting issues. He concentrates on the accounting for financial instruments under both current and emerging standards and works with many of the firm's largest financial services clients and a number of non-financial service clients on treasury-related matters.
David Challen is a Partner in PwC’s National Office, hailing from the Banking Capital Markets practice in New York. He has worked with clients ranging from large, multinational banking institutions to broker-dealers and asset management advisors and funds and currently focuses on consultations related to financial instruments.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Forecast 2021podcast series, we’re focused on preparing you for the year ahead by offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics.
This week, we continue our deep dive into ESG with a talk on the “E,” the environment. As more companies are announcing their commitments to reach net zero emissions, Heather Horn sits down with Casey Herman, PwC’s US Power & Utilities leader, and Ron Kinghorn, PwC’s ESG platform leader, to zero-in on how companies are developing their net zero strategy.
Topics include:
- 1:05 - Timing is everything. While it is possible for companies to reach low carbon or zero carbon energy, the question is how long it will take. We begin by looking at the pace of technology and where different types of companies— producers, industrial users, and non-industrial users—are on the journey to net zero.
- 7:57 - The role of regulation. Investors and consumers are pushing for change. What is the impact of regulation? Casey explains how the role of public policy affects the pace of change, but not the path.
- 11:09 - The ROI on necessary investments. As companies invest and assess the feasibility of new technologies, we look at how they need to turn long-term goals into measurable milestones.
- 19:36 - Managing risk. It is important to be appropriately aggressive, but appropriately thoughtful when developing the right policies and procedures.
- 28:18 - Best practices. Decarbonization is a transformational project. We look at the hard work companies are doing to manage challenges and implement the right plans.
- 30:48 - Future views. There’s a lot left to do. Regardless of the progress made in five years, how satisfied will we be? We close with thoughts on what can be accomplished and how companies leading in reducing their carbon footprint will have a competitive advantage.
Casey mentions the “duck curve.” Want to know more? Check out What the duck curve tells us about managing a green grid.
Want to learn more about ESG? Check out our C-suite summary, Making sense of ESG.
Casey Herman is PwC’s US Power & Utilities Practice leader and heads up the firm's Power & Utilities Practice in the US. Casey has over 30 years of experience leading and working on the audits of many significant, complex clients and is a member of the Edison Electric Institute's Wall Street Advisory Group and the Electric Power Research Institutes Advisory Council.
Ron Kinghorn is PwC’s Consumer Markets consulting leader for the US, Mexico, Japan and China; he also leads the firm’s ESG platform. Ron and his team help clients navigate what's next across the food and beverage, consumer products and retail industries to find growth, capture value, execute deals and win with digital and analytics.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
As digital assets continue to make the headlines and push into the mainstream of finance, more questions are popping up on the accounting implications. In this episode, host Heather Horn and guests discuss the emerging asset class of cryptocurrencies and what it means for your financial statements.
Topics include:
- 0:29 - The cryptocurrency landscape: We begin with a brief introduction and explanation of the crypto markets and a look at what’s happening in the US from a regulatory standpoint.
- 9:22 - Digital assets: We cover the different types of digital assets and what they are used for.
- 12:04 - Picking a model: How do you determine the right accounting model to use for digital assets and what does that mean for impairment assessments? We look at:
- 14:51 - The intangible asset model and how often to assess for impairment
- 18:21 - How to measure fair value if your digital assets are impaired
- 22:25 - Crypto custody: Sometimes companies use a custodian for the added security and safety of their digital assets. We discuss whether using a third party impacts the accounting.
- 27:43 - Future expectations: How will the increasing use and acceptance of digital assets redefine financial services? We close with our thoughts on what the future might look like.
Want to learn more? See our Point of view, Cryptocurrencies: Time to consider plan B.
Beth Paul is a partner and topical team leader in PwC’s National Office. In this role, Beth is responsible for a team of consultants that specialize in business combinations and related areas, such as consolidations, disposals, impairments, and segment reporting. Prior to this role, Beth was the Strategic Thought Leader in PwC’s National office, working closely with firm leadership to determine PwC’s position on emerging trends in auditing, accounting, and financial reporting matters.
Kevin Jackson is a director in PwC’s capital markets and accounting advisory practice. Kevin has 11+ years of experience assisting clients with complex accounting and financial reporting issues. Kevin is also a member of the AICPA's digital asset working group that provides interpretive guidance on how issuers and users of digital assets should apply existing accounting literature to their transactions.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Forecast 2021podcast series, we’re focused on preparing you for the year ahead by offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics.
This week, we begin our deep dive into ESG with a talk on the “G,” governance. Heather Horn sits down with Stephen Parker, a partner in PwC’s Governance Insights Group, to focus on governance from the CFO’s perspective, including how management can make governance more efficient and effective, and what to include about governance in ESG reporting.
Topics include:
- 0:45 - The CFO’s objectives. We begin by looking at the CFOs role in making sure that a company’s governance is as effective as it can be.
- 7:01 - Agenda prioritization. From employee safety to cybersecurity, we look at the top current-day issues boards are dealing with.
- 11:02 - Filling the skills gap. Stephen shares his recommendations on where to start on board composition.
- 19:30 - Transparency. There is a balance of what is proprietary versus what is good information to share with stakeholders. Heather and Stephen discuss the challenges on deciding what to share and how to share it.
- 23:20 - Telling your governance story. We share expectations on what should be disclosed and the five areas in which we expect to see different disclosures.
- 29:17 - The long view. What will boards be focused on in ten years? We close with our predictions on the changing nature of communications about governance.
Want to learn more about ESG? Check out our C-suite summary, Making sense of ESG.
Stephen Parker is a partner in PwC’s Governance Insights Center, which strives to strengthen the connection between directors, executive teams, and investors by helping them navigate the evolving governance landscape. With more than 30 years of experience, Stephen has worked with many Boards of Directors to advise on a variety of complex matters, in the context of their companies’ operations, technical accounting and SEC and financial reporting.
Heather Horn is PwC’s National Ooffice thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Are you in the midst of year-end reporting? In our latest podcast, we help ground you by providing some helpful investor perspectives—what information are they looking for most from companies? How have their expectations changed? And, how does ESG factor into it all? Listen as host Heather Horn sits down with Gregory Johnson, a PwC director in our National Office who leads outreach to the investor and analyst communities, to discuss what information investors seek from the financial statements and beyond.
Topics include:
- 0:56 - Current environment. As the economic recovery progresses, investors are placing more focus on a company's resilience and how they are evolving their business operations.
- 6:17 - ESG. Increased transparency continues to be in high demand from the investor community. We look at some of the recent developments that companies are focused on in this area and the different non-financial reporting frameworks.
- 10:11 - D&I. Large institutional investors continue to raise the bar on expectations for reporting on social issues such as diversity, equity, and inclusion. Gregory highlights areas of focus in this developing space.
- 12:16 - Financial reporting and disclosures. We hit on a few of the most common disclosures investors are interested in this year and whether they’re aligned with what companies are focused on.
- 18:04 - Consistency is key. As companies continue to evolve their reporting, what should they focus on first? We close by looking at next steps and the risks of poor communication.
Want to learn more? Read our In the loop: You're saying it. Are investors hearing it?
Gregory Johnson is a director in PwC’s National Office. His primary areas of focus are investor engagement and strategic thought leadership. Gregory builds relationships with the investment community to gain insight into their views and perspectives on financial reporting, industry trends, regulatory developments, and other issues that may impact investment decisions.
Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Forecast 2021 podcast series, we’re focused on preparing you for the year ahead by offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics. With the new administration hitting the ground running, host Heather Horn sat down with Roz Brooks, PwC’s US Public Policy Leader, to discuss what CFOs can expect this year.
Topics include:
- 0:52 - The senate. The Democratic party took control of the Senate, but what does that control really mean? We discuss how that might impact policy initiatives.
- 9:28 - The first 100 days. Disclosures are going to be high on the new administration's priority list, especially those related to priorities like climate. Roz explains.
- 20:21 - Tax policy. Roz and Heather turn their attention to what to possibly expect on the topic of taxes.
- 23:44 - The SEC. There’s going to be a new chair for the SEC. We share thoughts on what we expect to see on the SEC’s agenda.
- 32:01 - Finding optimism. Time will tell how well government operations and rule-making will progress over the next four years. We close with thoughts on the hope of the two parties working together.
Want to learn more? Check out PwC’s summary of the administration’s top priorities.
Roz Brooks is PwC's US Public Policy Leader. Roz is responsible for ensuring PwC has a voice in important debates at the nexus of business and government and helping the firm successfully execute its business strategy. Roz leads PwC’s engagement with Congress, the White House, regulatory agencies, state and local governments, and organizations including trade associations, think tanks, and NGOs.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
2020 has brought us a global pandemic, an election, and adoption of some major new accounting standards. So what does it all mean for your EPS calculations? In this episode, John Horan, a PwC managing director in our national office, joins host Heather Horn to discuss some important EPS reminders for companies to think about for their year-end reporting.
Topics include:
- 0:45 - Basic EPS:
- 2:13 - Participating securities—John describes what they are and why you may need to consider them in your EPS calculations.
- 11:53 - Mezzanine securities—John walks through how having securities classified here impacts EPS.
- 16:58 - Diluted EPS:
- 18:45 - Settlements in cash or shares—how it settles makes a difference to EPS - we give examples on each.
- 23:08 - Liability classified warrants—warrants classified as liabilities can be dilutive to EPS - even in periods of loss.
- 26:09 - New convertible debt standard—how does the new FASB standard on liabilities and equity change the presumption of share settlement? John brings you the inside scoop.
Want to learn more? See chapter 7 of our Financial statement presentation guide and listen to our podcast on Earnings per share: 5 things to know.
John Horan is a managing director in PwC’s National office where he assists clients with complex accounting issues in the areas of foreign currency, liabilities and equity, earnings per share, and derivatives and hedging. John specializes in large capital transactions and initial public offerings.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Forecast 2021 podcast series, we’re focused on preparing you for the year ahead by offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics. In this episode, host Heather Horn sits down with PwC’s Shannon Schuyler, US Chief Purpose & Inclusion Officer, and Jeff Senne, US Responsible Business Leader, to look at how discovering your company’s purpose—or “why”—drives business growth, elevate employees, and benefits communities, and we all have a role to play, especially the finance team.
Topics include:
- 0:59 - Finding your purpose. There is power in defining your purpose. We begin by looking at the importance of defining the bigger reason behind the work you do (the why), not only what you do. We also explore the trend toward building a broader stakeholder community.
- 6:44 - Standing on the sidelines is over. Companies don’t need to get everything right the first time, but they do need authentic leadership. Shannon discusses the value of being transparent, identifying the gaps in your plan, and showing your commitment to being a part of the solution.
- 14:15 - Purpose is quantifiable. The importance of non-financial reporting is rising, and companies are making big investments in this area. We discuss the ROI of creating a purpose-led and values-driven organization and the finance team’s role.
- 23:27 - Driving the conversation. It can’t just be HR taking action on important issues—everyone needs to be on the journey. We talk through the ways organizations are changing their systems, processes, and behaviors to create sustainable change.
- 32:21 - Outlook. We share closing thoughts on the journey towards lasting change.
Want to learn more? Check out PwC’s Diversity & Inclusion Transparency Report: Building a Culture of Belonging.
Shannon Schuyler is PwC’s US Chief Purpose & Inclusion Officer. Shannon also leads CEO Action for Diversity & Inclusion, the largest CEO-driven business commitment to advance diversity and inclusion in the workplace. She was named a 2019 World Changing Woman in Conscious Business by Conscious Company Media, and was included on Fast Company’s list of the 100 Most Creative People in Business in 2016.
Jeff Senne is the Responsible Business Leader at PwC US. In this role, Jeff drives the firm’s efforts to live its purpose and engage the more than 57,000 partners, principals, and staff in defining, cultivating, and communicating how they live their own purpose. Jeff also leads the team responsible for investing the firm’s resources into underserved communities.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
While financial statements users have always placed a lot of importance on the statement of cash flows, the focus has sharpened in today’s turbulent environment. Listen as host Heather Horn and Suzanne Stephani, a director in PwC’s national office, discuss frequently asked questions and share useful reminders for those in the process of preparing the cash flow statement for their year-end reporting.
Topics include:
- 0:16 - Debt restructuring. Debt restructuring often brings fees. We look at a few reporting scenarios and discuss the presentation of these fees.
- 7:04 - Borrowings and repayments under revolvers. Some companies are drawing down on their revolvers as a way to access liquidity. We discuss whether the borrowings and repayments under a revolver should be presented gross or net on the cash flow statement and share other key reminders.
- 9:48 - Supply chain financing. As a result of liquidity struggles, companies have gotten creative with pushing out payment terms in a variety of ways—and this raises questions on the statement of cash flows. Through practical examples, we look at how these transactions should be presented and discuss the FASB’s project on the disclosure of supply chain finance programs.
- 16:38 - Lease modifications/terminations. During 2020, many companies made changes to their lease agreements, especially real estate leases. We talk through presentation considerations in this area.
- 18:42 - Sale of accounts receivables. What are the cash flow considerations when a company sells or factors their trade receivables? Suzanne explains.
Have more cash flow presentation questions? Read our Financial statement presentation guide and listen to our podcast, Statement of cash flows: Back to basics.
About our guest
Suzanne Stephani is a director in PwC’s National Office specializing in the application and interpretation of the accounting guidance related to financing transactions.
About our host
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Forecast 2021 podcast series, we’re focused on preparing you for the year ahead by offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics. In this episode, host Heather Horn sits down with Roy Weathers, Vice Chair of Societal Engagement and Policy Solutions at PwC and CEO of CEO Action for Racial Equity, to talk about the business movement that has prompted hundreds of companies to bring their heads, hearts, and wallets to the table to better understand and solve societal challenges on race, equity, and social justice.
Topics include:
- 1:10 - CEO Action for Racial Equity. The corporate voice on social change has been soft— until now. We begin with an overview of the CEO Action pledge.
- 9:08 - Increase your cultural dexterity. Roy and Heather look at what it takes to lead a diverse workforce and create a culture of belonging.
- 19:20 - The challenges. Heather and Roy discuss the amount of attention and effort needed to make a difference and keep the momentum for societal change going.
- 23:24 - Get involved. The best way to get involved is to start through your own organization. Roy shares the key areas—public safety, economic empowerment, heath, and education—where companies should get engaged.
- 28:30 - Optimistic outlook. The sizable commitment from the corporate community marks a pivotal shift in policy and societal engagement. We close with Roy’s thoughts on why this is a dynamic time for change.
Want to learn more? Head to ceoaction.com to learn how you can get involved, spread the word, and continue the mission of change.
Roy Weathers currently serves as Vice Chair of Societal Engagement and Policy Solutions, and is a member of PwC's US Leadership Team. He is also the CEO of CEO Action for Racial Equity; in this role, he is responsible for helping advance policies that support social justice in our country.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The new Regulation S-K human capital disclosure rules became effective on November 9, 2020. So it’s no surprise that companies have a lot of questions as they enter into their year-end reporting cycle. Listen as host Heather Horn sits down with Sheri Wyatt, a partner in PwC’s sustainability practice and our Diversity, Equity, and Inclusion Assurance leader, and Brandon Yerre, a principal in our Organization and Workforce Transformation group, to discuss what these new rules mean for your company.
Topics include:
- 0:52 - Overview. We begin with an overview of the new human capital rules and how companies should think about the changes in terms of the measures or objectives disclosed.
- 5:32 - Diversity, equity and inclusion efforts. As companies work to create more equitable workplaces and respond to diversity, equity, and inclusion matters, we share some early filer trends in this area.
- 18:56 - COVID-19 impact on human capital. How has COVID-19 impacted companies' human capital management and what are they disclosing? We share perspectives and what we are seeing from early filers.
- 25:55 - Data reliability and consistency. We look at the challenges companies face as they accumulate this new data and what they need to think about to ensure reliability and consistency.
- 31:56 - Future considerations. What’s on the horizon related to human capital disclosures? We share some insights so that companies can be prepared for what’s to come.
Want to learn more? Read our In the loop, New human capital disclosure rules: Getting your company ready
Sheri Wyatt is a partner in PwC’s sustainability practice and also serves as the diversity leader for the US assurance line of service. She has over 20 years of experience advising companies in the adoption of new accounting and financial reporting standards, from assessing current state through operationalizing new standards and policies.
Brandon Yerre is a principal in PwC’s Organization and Workforce Transformation group. Brandon specializes in matters dealing with the design, implementation, and governance of total reward programs and the development of organization-wide job architectures to support workforce strategy and planning.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In our Forecast 2021 podcast series, we’re focused on preparing you for the year ahead by offering insights to help you better understand and manage some of the opportunities and challenges that your company might face—think policy, technology, and other big picture topics. In this episode, host Heather Horn sits down with Scott Likens, PwC’s New Services and Emerging Technology Leader, to look at the eight emerging technologies that every company must consider right now and how they are converging to drive greater value than ever across organizations. Scott talks about how finance executives can use these technologies to make better decisions.
Topics include:
- 0:58 - The essential eight. Every year, Scott and his team analyze the business impacts of emerging technologies. This year’s essential eight arose from review of more than 250 technologies.
- 12:30 - Convergence. Scott and Heather look at how the convergence of multiple technologies produce a higher level of business change and ROI. Noted areas of convergence include: automating trust, immersive interfaces, extended reality, hyper connected networks, and more.
- 27:40 - The CFO’s role. The technology is ready - are the humans? Here we discuss the ways in which companies are investing in technology.
- 34:50 - Team effort. To unleash innovation across the organization, companies must invest in increasing everyone’s digital IQ. We look at how citizen-led efforts drive business results.
- 38:18 - Future predictions. Scott shares which of the essential eight technologies he thinks will have the biggest business impact over the next few years.
Scott Likens is PwC’s New Services and Emerging Technology Leader helping clients in diverse industries use emerging technologies to grow their business. For over 20 years, Scott has worked in enterprise technology, including digital strategy and transformation, technology-enhanced business and IT strategy, enterprise architecture as it relates to emerging tech, agile engineering, e-commerce, advanced analytics, mobile technologies, and social customer engagement.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
After looking at CECL disclosures from the first three quarters of 2020, we’ve noted some clear trends. In this timely episode, host Heather Horn is joined by Chip Currie and Jonathan Odom, two PwC National office partners, to discuss CECL disclosures and share important reminders as calendar year-end companies dive into their year-end reporting cycle.
Topics include:
- 0:45 - Introduction. Before launching into the CECL disclosures, we highlight some changes made to the CARES Act deferral of CECL and troubled debt restructuring guidance as a result of the recent stimulus bill signed into law in December.
- 6:01 - Q3 2020—What we saw. We provide perspectives on how CECL-related disclosures have evolved through Q3 of 2020, including what we’ve heard from analysts.
- 14:18 - The FASB. The FASB has been actively working on their post-implementation review of the CECL accounting standard. In this section, we discuss what they’ve heard in terms of disclosures and share other observations on what we expect to come out of their review.
- 16:58 - SEC comment letters. Any new developments or focus areas of the SEC? We take a look.
- 18:22 - Final reminders. As companies prepare and refine their disclosures for their annual reports, we share some general best practices.
Chip Currie is a partner in PwC’s National Office with over 20 years of experience assisting companies in resolving complex business and accounting issues. He concentrates on the accounting for financial instruments for both current and emerging standards and works with many of the firm's largest financial services clients and a number of non-financial service clients on treasury-related matters.
Jonathan Odom is an assurance partner in PwC’s National Office SEC services practice with over 20 years of experience in providing accounting and advisory services to the financial services sector.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Let’s face it - as we approach year-end reporting, the pandemic is top of mind for most preparers. That’s why in this episode, Heather Horn and a team of PwC National Office partners come together to help listeners understand key year-end accounting and reporting considerations related to the impacts of COVID-19.
Topics include:
- 1:22 - Debt modifications
- 5:43 - Lease modifications
- 8:32 - Lease abandonment
- 12:18 - CECL considerations
- 15:06 - Fair value
- 20:33 - Impairment
- 26:01 - Strategic disposals
- 29:29 - Revenue and receivables
- 35:22 - Government grants
- 40:15 - Restructuring and compensation
- 42:42 - SEC reminders
Tom Barbieri is a PwC partner and the Financial Instruments Accounting Leader in PwC’s National Office. He has over 29 years of experience advising clients on complex accounting financial reporting issues relating to financial instruments. During Tom’s tenure in National, he has been at the forefront of emerging accounting issues and has regular interactions with the Financial Accounting Standards Board, SEC, and other nationally renowned accounting experts.
Matt Sabatini is a partner in PwC's National Office with nearly 20 years of experience helping clients and engagement teams navigate the accounting and financial reporting for complex transactions. He specializes in the accounting for M&A, corporate reorganizations, recapitalizations, joint ventures, and other investments.
Jay Seliber is a partner in PwC’s National Accounting Services group with over 30 years of experience. He helps clients with their most complex accounting matters, particularly in the areas of revenue recognition, M&A, stock compensation, employee benefits, restructurings, impairments, and financing transactions.
Ryan Spencer is a partner in PwC's National Office specializing in SEC financial reporting matters. He has over 20 years of experience serving clients in the technology and life sciences industries and is a frequent contributor to PwC’s publications and communications.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
A lot has happened this year that impacts leasing arrangements and your financial statements. In this timely episode, host Heather Horn is joined by Chad Soares and Marc Jerusalem to talk about some of the lease accounting issues in the commercial real estate area that are top-of-mind for companies in the current environment.
Topics include:
- 0:56 - Rent concessions. We begin with a refresher on the relief provided by the FASB and cover some common lessee/lessor questions when applying the new guidance.
- 15:19 - Lease abandonment. As a result of the pandemic, many companies are reassessing their real estate footprint and reconsidering their needs for leased space going forward. We discuss what companies should be thinking about when it comes to subleases and abandonments.
- 25:29 - Partial terminations. Many companies are looking for ways to cut costs, including modifying but not completely terminating a lease. We explain the accounting for partial terminations.
- 28:01 - Lasting impacts. Companies will likely rethink how some provisions are drafted in future agreements. We discuss lease negotiations and the accounting going forward.
Chad Soares is a partner in PwC's National office focused on leasing and financing arrangements. He was a primary author of PwC’s lease accounting guide and contributes to a variety of thought leadership related to leasing and financial instruments.
Marc Jerusalem is a director in PwC’s National office specializing in leasing. As a leasing specialist, Marc consults with clients on complex lease accounting issues and is a contributor to many related PwC National office publications.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Technology continues to reshape our world and has been accelerated by the pandemic. As you rethink processes for the new environment, you may be asking how technology can help improve efficiency and effectiveness. This podcast is the last episode in the second season of our What’s next? podcast series for CFOs, controllers — anyone in finance. This season we’re focusing on what’s next in tech for the finance professional — discussing the benefits of technology through the lens of the finance function. In this episode, host Heather Horn sits down with Thomas Puthiyamadam, PwC’s Consumer Markets & Digital Products Leader, to look at who the winners are when investing in digital.
Topics include:
- 1:04 - Overview. The pandemic has caused companies to be more digitally aggressive. We begin by looking at how product and service innovation is the key to rebuilding business and enhancing revenue.
- 5:18 - Drive results. What distinguishes the companies who are seeing ROI on their digital investments? Tom outlines what it takes to be a transcender in four key points
- 8:36 - Make people the most important asset
- 9:19 - Mandate change
- 9:55 - Commit to your investments
- 10:30 - Evolve your culture
- 14:54 - Find your hidden superpower. Tom helps companies tap into their hidden superpower to get ahead of disruption.
- 25:34 - Be resilient. To be resilient, you need to be flexible. Tom talks about the importance of having options for growth.
- 29:44 - Be brave. Now is the time to take big swings. We close by looking at how to maximize technology to gain momentum around innovation and new offerings.
Thomas Puthiyamadam is PwC’s Consumer Markets & PwC's Digital Products Leader. In this role, he is responsible for leading the growth and reinvention of PwC’s travel, hospitality, consumer goods, and retail practice.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
A lot has happened this year that impacts financial statements and tax accounting, and judgment will be needed to work through it all. In this timely episode, host Heather Horn, along with PwC tax specialists Jenn Spang and Kassie Bauman, give helpful tax accounting reminders for year-end reporting.
Topics include:
- 0:47 - COVID-19. The impacts of COVID-19 have continued to add complexity and judgment to the accounting for income taxes. With the pandemic top of mind, we start by looking at some of the ways tax accounting has been impacted.
- 2:43 - Goodwill impairment. As companies adopt the simplified goodwill standard, it’s especially critical that the financial accounting team doing the goodwill impairment analysis and the tax department work together. Jenn discusses the model and things to be on the lookout for.
- 14:03 - Valuation allowances. A company’s valuation allowance analysis continues to be top of mind. Jenn and Kassie discuss what companies need to be thinking about, including reminders about forecasting.
- 24:43 - Outside basis. In light of the current environment, we discuss how a company's cash flows needs in the US might impact their intent and ability to indefinitely reinvest foreign earnings.
- 29:32 - Uncertain tax positions. Tax laws and interpretations of laws continue to change. What should companies be focused on? Jenn boils it down to three main focus areas.
Jennifer Spang is a tax partner in PwC's National Office specializing in tax accounting under US GAAP and IFRS. She has over 25 years of experience helping companies in a variety of industries navigate complex tax accounting matters.
Kassie Bauman is a managing director in PwC's National office who consults on tax accounting under US GAAP and IFRS. Kassie has more than 20 years of auditing and accounting experience, including almost a decade of experience addressing complex technical accounting matters as part of our National office.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The 2020 AICPA Conference on Current SEC and PCAOB Developments included content focused on how all participants in the financial reporting ecosystem have a shared objective. Join Heather Horn, Valerie Wieman, and Kyle Moffatt as they discuss key takeaways from this year’s conference.
Topics include:
- 0:51 - Background and overall themes. Val kicks off our discussion giving some background on this year’s virtual conference, touching on the format and attendees.
- 1:54 - The search for fraud. Kyle discusses the SEC’s Enforcement Division’s initiatives intended to identify industry outliers and fraud.
- 9:47 - SEC update. Kyle and Val provide the highlights from the SEC sessions, including new rules, comment letter trends, the technical topics covered in staff speeches, as well as a summary of which amendments can be applied now, and which need to wait until 2021.
- 15:21 - FASB update. Val highlights the findings from the FASB’s in process post implementation reviews of the credit losses standard and updates us on the debate over the goodwill project.
- 19:35 - COVID-19 update. COVID-19 was addressed in nearly all sessions. Val fills us in on the details.
- 21:58 - The future of the profession. We wrap up sharing the conference’s overarching theme on the importance of diversity and technology upskilling.
Valerie Wieman is the National Office Editor-in-chief. She manages the creation, development, and publication of our brand-defining thought leadership. She is also responsible for Viewpoint, our new digital information platform.
Kyle Moffatt is a partner in PwC's National Office where he consults with engagement teams and audit clients on SEC reporting matters. He joined PwC in April 2020 after spending almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Technology continues to reshape our world and has been accelerated by the pandemic. As you rethink processes for the new environment, you may be asking how technology can help improve efficiency and effectiveness. This podcast is the next episode in the second season of our What’s next? podcast series for CFOs, controllers — anyone in finance. This season we’re focusing on what’s next in tech for the finance professional — discussing the benefits of technology through the lens of the finance function. In this episode, host Heather Horn sits down with Dr. Anand Rao, a PwC partner leading our Artificial Intelligence efforts globally, to look at how AI systems help solve problems and free up the finance professional for more strategic activities.
Topics include:
- 0:57 - AI overview. Many consider AI to be an emerging technology, but the truth is that AI has been evolving for over 6o years. AI is a computer sensing, thinking, or acting. We begin by explaining what that means.
- 8:54 - Bias in AI. Anand explains the complex trust and bias issues that surround AI and stresses the importance of robust testing.
- 18:51 - Uses of AI in the finance function today. The application possibilities for AI are countless. We discuss common areas of adoption and share practical examples.
- 24:54 - Where to begin. If you’re just starting your AI journey, how can you get started? We discuss how leading organizations start small, then gain momentum.
Dr. Anand Rao is a PwC partner leading Artificial Intelligence efforts globally. He is also the Innovation Lead for the US Analytics team. Anand works with C-level executives, advising them on a range of topics, including global growth strategies, marketing, sales, distribution and digital strategies, behavioral economics and customer experience, risk management, and statistical and computational analytics.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With nearly 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
With the results of the 2020 US election decided, it appears that Democrats will retake the White House and maintain control of the House - although control of the Senate will remain undecided until January 2021. While considering the potential tax, regulatory, and trade implications of the US election, many organizations continue to be challenged by the economic and human effects of the COVID-19 pandemic.
In this environment, many companies are looking to increase liquidity, including through restructuring programs, lease renegotiations, or strategic disposals of assets or businesses, and in some cases are considering the abandonment or sublease of unused real estate. We discuss accounting considerations for each of these in this edition.
Listen to this edition of The quarter close as we highlight these and other relevant accounting and reporting topics you should consider as we close-out 2020 and begin the year-end financial reporting season.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Technology continues to reshape our world and has been accelerated by the pandemic. As you rethink processes for the new environment, you may be asking how technology can help improve efficiency and effectiveness. This podcast is the next episode in the second season of our What’s next? podcast series for CFOs, controllers — anyone in finance. This season we’re focusing on what’s next in tech for the finance professional — discussing the benefits of technology through the lens of the finance function. In this episode, host Heather Horn sits down with Scott Likens, PwC’s New Services and Emerging Technology Leader, to discuss the range of business benefits blockchain technology offers.
Topics include:
- 0:54 - Overview. Blockchain is a somewhat new, complex technology. We begin with the fundamentals: what it is and how it works.
- 5:35 - How it’s being used today. As more finance functions begin to integrate blockchain, we look at how it’s being used to eliminate intermediaries, accelerate timelines, and increase transparency.
- 17:56 - Where to start. Knowing where to begin can be overwhelming. Scott shares his thoughts on starting small, repeatedly testing, and building internal knowledge around the values of blockchain technology.
- 22:25 - Challenges. We discuss the potential adoption barriers, such as privacy concerns, and emphasize the importance of collaboration and process controls.
- 25:50 - What’s next? As we continue to get more digital, what does tomorrow look like for blockchain applications? We close by sharing our thoughts.
Scott Likens is PwC’s New Services and Emerging Technology Leader helping clients in diverse industries use emerging technologies (artificial intelligence, blockchain, customer experience, and other digital strategies) to grow their business. For over 20 years, Scott has worked in enterprise technology, including digital strategy and transformation, technology-enhanced business and IT strategy, enterprise architecture as it relates to emerging tech, agile engineering, e-commerce, advanced analytics, mobile technologies, and social customer engagement.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The accounting is relatively straightforward when cash is received from a customer or paid to a vendor. But what if you receive cash from the vendor or pay the customer? When everything is reversed, the accounting is not as easy and it may be more common than you expect. In this episode, Angela Fergason and Jay Seliber, partners in PwC’s National Office, join host Heather Horn to help you think through the accounting implications.
Topics include:
- 0:44 - Overview. Before we begin navigating the accounting guidance, we set the stage by talking about why this topic generates so many questions and share common examples of transactions when this might occur.
- 4:50 - Consideration paid to a customer (ASC 606). Angela explains the vendor’s accounting when payments are made to a customer, touching on related judgments and the timing of recognition.
- 15:59 - Consideration received from a vendor (ASC 705-20). Switching gears, Jay walks us through the guidance for situations when a customer receives money from a vendor, touching on the different models and sharing illustrative examples.
- 29:52 - Final reminders. We close by sharing helpful reminders, highlighting the importance of assessing all of the relationships involved and not merely jumping to a default model.
Angela Fergason is a partner in PwC's National Office with over 20 years of experience who specializes in accounting for revenue and employee compensation arrangements. She is a frequent speaker on accounting and financial reporting topics and is a contributor to many PwC National Office publications, including our accounting guides on revenue and stock-based compensation.
Jay Seliber is a partner in PwC’s National Accounting Services group with over 30 years of experience. He helps clients with their most complex accounting matters, particularly in the areas of revenue recognition, M&A, stock compensation, employee benefits, restructurings, impairments, and financing transactions.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
To help you prepare your year-end financial statements, listen to PwC partners Heather Horn, Ryan Spencer, and Kyle Moffatt give their observations from SEC comment letters made public in 2020. In addition to discussing top areas of interest—including COVID-19, revenue recognition, non-GAAP, MD&A, and segment reporting—they also provide a few best practices for responding to SEC comments.
Topics include:
- 0:46 - Overview. As former Chief Accountant and Disclosure Program Director in the SEC’s Division of CorpFin, Kyle shares his unique perspective on the SEC’s filing review program and all the parties involved.
- 10:27 - Overall trends. Ryan shares his observations with respect to the overall trends in SEC comment letters in 2020, including:
- 13:16 - MD&A
- 17:07 - COVID-19
- 18:46 - Non-GAAP
- 25:37 - Revenue recognition
- 27:29 - Segment reporting
- 31:02 - Best practices. Before wrapping up, Ryan and Kyle provide a handful of best practices on the most effective way to respond to comment letters.
Ryan Spencer is a Partner at PwC's National Office specializing in SEC financial reporting. He has over 20 years of experience serving clients and is a frequent contributor to PwC’s publications and communications.
Kyle Moffatt is a partner in PwC's National Office where he consults with engagement teams and audit clients on SEC reporting matters. He joined PwC in April 2020 after spending almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Technology continues to reshape our world and has been accelerated by the pandemic. As you rethink processes for the new environment, you may be asking how technology can help improve efficiency and effectiveness. This podcast is the next episode in the second season of our What’s next? podcast series for CFOs, controllers — anyone in finance. This season we’re focusing on what’s next in tech for the finance professional — discussing the benefits of technology through the lens of the finance function. In this episode, host Heather Horn sits down with Paul Gaynor, leader of PwC’s Technology Consulting and Alliances businesses, and Scott Behrens, a PwC partner and information technology leader, to better understand the ways cloud-based business solutions are modernizing the workday.
Topics include:
- 1:00 - How businesses are using cloud technology. Whether it’s better analytics and the presentation of data, or having the ability to quickly develop new applications, we begin with an overview of how the cloud is transforming the way businesses run.
- 4:25 - Solving today’s problems. Every functional area within the business can leverage cloud capabilities to drive transformation and growth. We discuss how cloud technologies have evolved from being just a cost-saving play.
- 11:49 - Adopting a new way of working. As businesses move into the cloud, it’s important to manage this new investment. We discuss the behaviors and procedures organizations should have in place.
- 28:55 - The future of cloud technology. Cloud technology has given organizations the opportunity to rethink how to run their business—and that’s exciting. We close with a look at how the cloud will drive new products, business models, and a digitally-enabled workforce.
Paul Gaynor is the Global Technology and Alliance Consulting Leader with responsibility for setting PwC’s network Technology and Alliance Consulting vision and strategy. Previously, Paul led the US Technology Sector and Management Consulting capabilities for Technology, Information Communication and Entertainment, and Consumer, Industrial Products sectors. In addition, Paul served as the Global Relationship Partner for several Technology clients, and was team member in building PwC’s working capital and revenue assurance businesses.
Scott Behrens is a PwC partner with Strategy& and its Information Technology leader. With proven credentials in technology strategy and the alignment of IT strategies with associated business goals, Scott has extensive experience improving business performance through the design of new strategies and the creation of new capabilities and assets that support sustained value. Scott has significant experience in the analysis of process and technology architectures and in the quantification and direct capture of business benefits for the continued success of an organization.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Did you miss this year’s FEI Corporate Financial Reporting Insights Conference? We have you covered. In this episode, Valerie Wieman and Kyle Moffatt, both partners in PwC’s National Office, join host Heather Horn to provide their perspective on what we heard at the FASB and SEC sessions.
Topics include:
0:50 - Background and overall themes. We kick off our discussion with some background on the conference and summarize this year’s presenters.
2:02 - FASB standard setting update. Val discusses the remarks given by the FASB’s new chairman, Rich Jones, and new technical director, Hillary Salo, highlighting their key initiatives and areas of focus. Val also shares what we heard about the FASB’s agenda for the rest of the year and beyond.
10:50 - SEC update. Kyle provides the highlights from the SEC sessions, including OCA’s priorities and the common questions fielded from consults with Corp Fin.
16:00 - The COVID-19 environment. Not surprisingly, there was some discussion of the reporting implications of the COVID-19 pandemic. Kyle highlights the three key areas of focus: MD&A, goodwill impairment, and non-GAAP measures and metrics
20:05 - Wrap up. We close by discussing the primary messages that stood out during this year’s conference.
Valerie Wieman is an assurance partner in PwC’s National Office where she develops content and supports the creation of brand-defining thought leadership publications and communications.
Kyle Moffatt is a partner in PwC's National Office where he consults with engagement teams and audit clients on SEC reporting matters. He joined PwC in April 2020 after spending almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Technology continues to reshape our world and has been accelerated by the pandemic. As you rethink processes for the new environment, you may be asking how technology can help improve efficiency and effectiveness. This podcast is the next episode in the second season of our What’s next? podcast series for CFOs, controllers — anyone in finance. This season we’re focusing on what’s next in tech for the finance professional — discussing the benefits of technology through the lens of the finance function. In this episode, host Heather Horn sits down with Wes Bricker, PwC’s Vice Chair and Assurance Leader for the US and Mexico, and Jenn Neglia, a PwC risk assurance partner and the US XBRL technology leader, to discuss the full potential of using XBRL structured data to advance digital reporting.
Topics include:
- 0:53 - XBRL through a technology lens. While XBRL isn’t a standalone technology, it is integral to the broader tech conversation. We begin with an overview of how XBRL converts unstructured data to structured data, enabling users to get the information they need to drive better decision making.
- 6:40 - XBRL for public reporting. The use of XBRL is growing. We discuss how XBRL filings are being used and what companies are doing well to ensure their data is high quality.
- 16:44 - XBRL for internal use. How can finance organizations apply XBRL internally and gain a competitive advantage? We discuss how XBRL is solving the problems of disparate systems and inconsistent data structures.
- 21:09 - The future of XBRL. We close with an update on the areas of focus for the XBRL International Board and how XBRL and structured data will continue to transform the “last mile” of reporting.
Wes Bricker is PwC’s Vice Chair and Assurance Leader for the US and Mexico. In this capacity, he serves as a member of the US Leadership Team and the Global Assurance Executive Leadership Team. Wes’ leadership and oversight of the Assurance practice encompasses audit quality, business development and portfolio strategy, human capital, diversity, innovation, and technology.
Jennifer Neglia serves as PwC's US XBRL Technology Leader, focused on delivering the full spectrum of XBRL services. As a partner in the Risk Assurance practice she has helped companies with their financial accounting, system transformations, IT processes, and business process controls, primarily focused on the financial services sector.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
While the election day dust is still settling, this episode checks in on some of the early impacts businesses should expect, like what it means for taxes, trade, and tariffs. Rohit Kumar, Co-Leader of PwC’s National Tax Office, joins host Heather Horn to provide his perspective on recent developments.
Topics include:
0:45 - The results: what we know and what we don’t - While not all races have been called yet, we can directionally start to see where the election results are headed. We begin with an update on where we are today and what could happen next.
8:53 - The lame duck session - Rohit explains a few of possible outcomes, touching on: another COVID-19 relief bill, federal funding, and the extension of certain tax provisions.
19:58 - 2021 - Turning our attention to the near future, we discuss the potential ways executive orders can be used.
23:20 - Tax, tariff, and trade - Rohit and Heather talk about the possible trajectory of policy and regulation.
33:43 - Congress and a new administration - We close by looking at the dynamics for how congress and a new administration will work together.
Rohit Kumar is Co-Leader of PwC’s National Tax office. In this role, he advises clients on all aspects of domestic policy, including tax policy. His insights and knowledge enable companies to assess critical policy issues more effectively and to develop legislative strategies to address those issues from both a technical and a political perspective.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Related content:
- PwC's Election 2020 page
- Podcast: What’s next? Looking toward 2021 on tax, trade, and regulation
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Technology continues to reshape our world and has been accelerated by the pandemic. As you rethink processes for the new environment, you may be asking how technology can help improve efficiency and effectiveness. This podcast is the next episode in the second season of our What’s next? podcast series for CFOs, controllers — anyone in finance. This season we’re focusing on what’s next in tech for the finance professional — discussing the benefits of technology through the lens of the finance function. In this episode, host Heather Horn sits down with Michael Engel, intelligent automation leader at PwC Innovation Labs, to discuss Robotic Process Automation (RPA) and the ways finance professionals are embracing the RPA movement.
Topics include:
- 0:48 - What is RPA? We begin by talking about the evolution of RPA and how it has developed into an accessible and approachable technology that is being used today by finance teams to automate a broad range of activities and processes.
- 6:25 - Beyond upskilling. Often, it is wrongly assumed that RPA means replacing employees. We discuss the cultural change needed for the widespread adoption of RPA tools—which means going beyond offering training sessions.
- 11:27 - Identifying the right pain points. We discuss the importance of proactively identifying what should and should not be automated, and then talk about some of the benefits of RPA, beyond just the cost savings.
- 22:18 - What we’re seeing in practice. Michael addresses some common RPA adoption questions, including how RPA aids in attracting top talent and what the next level of RPA looks like.
Michael Engel, a PwC managing director and intelligent automation leader at PwC Innovation Labs, is focused on applying intelligent automation in support of business transformation. With over two decades of experience, Michael supports clients in extending, enhancing, enriching, and empowering their organizations in the extraction of genuine business value.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Earnouts and other forms of contingent consideration provisions are becoming more common, which adds a level of accounting complexity. To shed light on the fundamentals, PwC partners Andreas Ohl and Chris Rhodes join Heather Horn to discuss the different types of structures and the related accounting considerations from the perspective of both the buyer and seller.
Topics include:
- 0:46 - The motivations behind earnouts. Before getting into the accounting, we begin by discussing some of the typical motivations for these provisions.
- 6:28 - Deal structure. Andreas and Chris share common financial and non-financial deal structures stressing the importance of clearly defined terms.
- 9:18 - Buyer considerations. There are various considerations that a buyer needs to consider in their accounting. Andreas walks through the guidance.
- 17:49 - Seller considerations. What does the seller need to consider? We explain.
Andreas Ohl is a partner in PwC's National office focused on mergers and acquisitions under US GAAP and IFRS. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's In-Process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
Chris Rhodes is a partner in PwC's Transaction Services practice. He provides commercial structuring, valuation, and accounting advice for a variety of transactions under both US GAAP and IFRS. His focus includes strategic transactions, such as acquisitions, divestitures, and joint ventures, along with capital raising and capital restructuring. Chris has advised companies across a variety of industries, but concentrates on non-financial services companies.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Technology continues to reshape our world and has been accelerated by the pandemic. As you rethink processes for the new environment, you may be asking how technology can help improve efficiency and effectiveness. This podcast is the next episode in the second season of our What’s next? podcast series for CFOs, controllers—anyone in finance. This season we’re focusing on what’s next in tech for the finance professional—discussing the benefits of technology through the lens of the finance function. In this episode, host Heather Horn sits down with Michael Shehab and Michael Baccala, leaders in PwC’s innovation lab, to discuss the significant role that data analytics skills and technologies have on taking businesses to the next level in the decision-making process.
Topics include:
0:53 - We cannot operate without data: Data has always been important, but now more than ever we’re being asked to make decisions in high-stress, high-change environments, making the need for data-driven decisions the key to unlocking true digital transformation.
6:28 - The data maturity curve: Understanding your data means understanding your business. We discuss the four categories of analytics:
7:10 - Descriptive data
8:13 - Diagnostic data
15:13 - Predictive analytics
16:14 - Prescriptive analytics
19:33 - Think outside the spreadsheet: We discuss the three things that companies and individuals can do to step up their data analytics, starting now.
24:44 - Growing pains: Trying new things can be difficult, but the good news is that you don’t need to be a data scientist to get to the next level. We discuss ways individuals can challenge themselves to experiment with new tools and upskill.
29:30 - What’s exciting about the future?: Data-driven decisions made today will impact market resiliency in the future. We close by reinforcing the opportunities and technologies available to learn how to work with data.
Michael Shehab is the leader of PwC Labs and Tax Technology. As part of Michael’s role, he is responsible for leading the firm’s strategy to digitally upskill our people and help our clients redesign and redefine business processes. Michael has spent 23 years listening to clients’ needs and transforming the industry.
Mike Baccala is a PwC Principal with over 27 years of deep audit and technology consulting experience providing Fortune 500 companies with emerging technology, implementing enterprise systems, data analytics, financial audit support, internal controls over financial reporting, internal audit and business transformation program management.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
There’s a lot of uncertainty these days that can cause volatility in foreign exchange rates. In this episode, PwC managing director John Horan joins host Heather Horn to take a look at how to manage foreign currency risk and how to apply the basics of foreign currency hedge accounting.
Topics include:
- 0:50 - What’s going on with currencies? We begin by talking about what’s behind the current currency volatility, and the importance of having a comprehensive plan for currency risk management.
- 6:58 - The types of currency exposure. There are a variety of ways foreign currency volatility may impact the financial statements. Here we discuss the types of currency exposures that companies are concerned with.
- 8:58 - Transaction exposures. A company has transaction exposure when monetary assets or liabilities are recorded in currencies other than their functional currency. Although many companies hedge these risks, most do not apply hedge accounting.
- 17:49 - Economic exposures. An economic exposure occurs when a company expects to purchase goods or sell products in a currency other than its functional currency. The company is economically exposed to changes in exchange rates, even though the future purchases or sales are not yet recognized in its financial statements.
- 28:39 - FASB FAQ. The FASB released guidance related to cash flow hedging and the pandemic. John provides an overview.
- 31:51 - Translation exposures. Although most companies do not try to hedge this exposure, it is a concern. This exposure manifests itself through changes in reported earnings, as the US Dollar strengthens or weakens versus other currencies around the world.
John Horan is a managing director in PwC’s National office where he assists clients with complex accounting issues in the areas of foreign currency, liabilities and equity, earnings per share, and derivatives and hedging. John specializes in large capital transactions and initial public offerings.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Technology continues to reshape our world and has been accelerated by the pandemic. As you rethink processes for the new environment, you may be asking how technology can help improve efficiency and effectiveness. This podcast is the next episode in the second season of our What’s next? podcast series for CFOs, controllers—anyone in finance. This season we’re focusing on what’s next in tech for the finance professional—discussing the benefits of technology through the lens of the finance function. In this episode, host Heather Horn sits down with Bob Woods, a PwC partner, to discuss how the agile methodology is modernizing the finance function.
Topics include:
- 0:55 - Short-term outcomes to reach long-term visions. The pandemic has put into focus the question of how work gets done. We begin by discussing what the agile methodology is and the advantages driving its widespread adoption.
- 5:45 - Key areas of focus for finance. We discuss the ways teams can use agile sprints within the walls of the finance function, including: planning and forecasting, transaction processes, and compliance.
- 18:43 - Implementation and embracing change. Bob shares the best ways to drive adoption, including taking a peer-driven approach and the importance of the “tone at the top.”
- 29:30 - What’s exciting about the future? Disruption can be unpredictable, but readiness doesn’t have to be. We close by talking about the opportunities available to learn, listen and act in order to become more agile in your work day.
Bob Woods is a PwC partner providing consulting services to executives for public and private companies in the high-tech, software, cloud and internet industries. His experience includes business and digital transformation initiatives for the finance function including changing to digital, SaaS, or cloud-based models. Bob also led PwC's finance modernization solution and thought leadership efforts in the US.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
With companies increasing their expenditures on technology, including software and related services, questions about how to account for these costs are becoming more common. To help navigate the accounting and reporting guidance in this area, PwC partners Mike Coleman and Angela Fergason join Heather Horn to discuss what you need to know about accounting for software costs.
Topics include:
- 0:47 -Determine the appropriate accounting model. When companies incur costs on new software—either developed for internal or external use or purchasing it from a vendor—sometimes the most challenging part is navigating which accounting model to apply. Mike and Angela share similarities across three primary models and highlight important reporting differences. Summarizing each model, we address:
- 3:01 - Externally-marketed software
- 9:51 - Internal-use software
- 16:03 - Cloud computing (service) costs
- 20:31 - Final reminders. We close by going through a few other types of expenses with accounting impacted by which model is used, and re-emphasizing the reporting differences.
Michael Coleman is a partner in PwC's National Office with over 30 years of experience specializing in accounting for revenue and software arrangements. In addition, Mike has been one of the firm's representatives on the AICPA Software Task Force. Prior to his time in National, Mike was an audit partner in the firm's NY Metro assurance practice serving technology clients.
Angela Fergason is a partner in PwC's National Office with over 20 years of experience who specializes in accounting for revenue and employee compensation arrangements. She is a frequent speaker on accounting and financial reporting topics and is a contributor to many PwC National Office publications, including our accounting guides on revenue and stock-based compensation.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Technology continues to reshape our world and has been accelerated by the pandemic. As you rethink processes for the new environment, you may be asking how technology can help improve efficiency and effectiveness. This podcast is the second episode in the second season of our What’s next? podcast series for CFOs, controllers—anyone in finance. This season we’re focusing on what’s next in tech for the finance professional - discussing the benefits of technology through the lens of the finance function. In this episode, host Heather Horn sits down with Paul Sheward, a partner on PwC’s innovation leadership team, to discuss citizen-led innovation.
Topics include:
- 0:48 - What is citizen-led innovation? Citizen-led innovation is about adapting to a changing environment to rethink what you do and how you do it. We begin by talking about the importance of empowering workers to upskill.
- 5:03 - Where to start? You don’t need to come from a technology background to understand and apply new technologies. Paul advises to start small, prove the concept, and then expand it within the organization.
- 10:51 - What are the key areas of citizen-led innovation? There are three key legs of the citizen-innovation stool: data analysis, automation, and visualization. We explore the areas most ripe for innovation within the finance function.
- 20:52 - What if you hit a barrier? Employees may be resistant to innovation and technological change, especially if they think it will eliminate their position. Paul discusses some of the common challenges he’s seen and shares best practices for making a culture of innovation stick.
- 30:50 - What’s exciting about the future? Fueled by the ability to adapt quickly, Paul lets us know that the future of citizen-led innovation is bright.
Paul Sheward is a member of PwC’s assurance innovation leadership team with primary responsibility for leading citizen-innovation activities for the assurance practice. Paul is responsible for the development and implementation of a strategy to ensure that PwC’s assurance professionals develop and apply advanced digital acumen in delivering services to our clients.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In this episode, we go back to basics to talk about discontinued operations. It’s an area that’s recently seen an increase in questions, so we’re taking a closer look at when discontinued operations accounting applies and how it may impact financial statement users.
Topics include:
- 0:37: Discontinued operations—overview. We start with an overview of the purpose of discontinued operations presentation and why it’s meaningful to users of the financial statements.
- 3:10: Held-for-sale—overview. The held-for-sale impairment model is critical to assessing discontinued operations. We highlight how a component would meet the held-for-sale criteria as of the balance sheet date, and then look at the financial reporting implications.
- 0:00: Held-for-sale—FAQs. We examine the most common questions we hear when preparers are working through evaluating the criteria for held-for-sale.
- 0:00: Discontinued operations—the criteria. How does the held-for-sale model interact with the discontinued operations model? We explain.
- 0:00: Discontinued operations— presentation and disclosure. We close by talking through the impacts to the financial statements, as well as share final reminders and where listeners can find more information.
Beth Paul is a partner and topical team leader in PwC’s National office. In this role, Beth is responsible for a team of consultants that specialize in business combinations and related areas such as consolidations, disposals, impairments, and segment reporting. Prior to this role, Beth was the Strategic Thought Leader in PwC’s National office working closely with firm leadership to determine PwC’s position on emerging trends in auditing, accounting, and financial reporting matters.
Steve Dolph is a director in PwC’s National office, specializing in accounting for business combinations and related areas, including asset acquisitions, disposals, and impairments. Prior to joining the National Office, Steve had more than 10 years of experience as a member of PwC's Private Company Services group, focusing on private company accounting issues and business solutions.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Technology continues to reshape our world and has been accelerated by the pandemic. As you rethink processes for the new environment, you may be asking how technology can help improve efficiency and effectiveness. This podcast is the first episode in the second season of our series for CFOs, controllers—anyone in finance—wondering: what’s next in finance? This season we’re focusing on the benefits of technology through the lens of the finance function. In this episode, host Heather Horn sits down with Pierre Sur, PwC’s US Tech Enabled Audit leader, to discuss the importance of technology in the future of business.
Topics include:
- 1:31 - Tech trends. We begin by discussing the factors that are affecting the speed of innovation, such as market factors, workforce transitions, and the need to provide a remote and seamless operation to connect clients, customers, and employees.
- 6:46 - Facing change. We discuss the importance of having a change management plan when embarking on a finance transformation that weighs the benefits and drawbacks and has flexibility to adapt to the intended user.
- 9:57 - The current and future of technology. Pierre lays out the set of core technologies that companies currently utilize for data analysis, automation and storytelling...and adds why AI is an overused acronym.
- 23:56 - Beyond a CPA. What does the finance professional of the future look like? Pierre shares the importance of developing digital skills and going beyond what he calls “domain expertise.”
- 27:14 - What’s exciting about the future? Heather and Pierre close by talking about the opportunities to stay relevant and successful.
Pierre Sur is a PwC partner. As a member of the US Assurance Leadership Team, he oversaw all of PwC's Assurance practice innovation and disruption activities. He also specializes in delivering superior service to communications and technology companies, enabling them to reach their financial and organizational goals.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The OECD is an organization of member countries that set the framework for global policies in a number of areas. Recently, they have focused on developing guidance for equitable allocation of profits and what an appropriate minimum measure of taxation is for multinational companies. How will this affect a company's global business operations, and what does this mean for preparers of the financial statements? Let us fill you in.
Topics include:
- 0:50 - Overview. Before getting into the details, we cover the basics: the role of the OECD and how the organization works.
- 5:18 - Recent activity. We walk us through the specifics as we examine the two tax objectives: equitable allocation of profits and a worldwide minimum effective tax rate.
- 19:49 - Use of financial statement. Both objectives propose to utilize financial statements for a tax base. We discuss the challenges with this approach.
- 26:08 - Adjustments to financial reporting. What adjustments to the financial statements might be required? We touch on a few of the areas that would need to be considered.
- 34:31 - What’s next? There are still many questions for the OECD to work through. We close by talking through the next steps.
Jennifer Spang is a tax partner in PwC's National Office specializing in tax accounting under US GAAP and IFRS. She has over 25 years of experience helping companies in a variety of industries navigate complex tax accounting matters.
Pat Brown is the PwC Washington National Tax Services co-leader. Prior to joining PwC, he spent 16 years in the private sector, including a role as the director of tax policy for a Fortune 50 company. Pat has also served in the US Treasury’s Office of Tax Policy as an attorney-advisor and as Associate International Tax Counsel.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Amid the excitement of getting back to a semblance of business as usual, you’re probably asking yourself a lot of questions—as in, what is the new normal and where do I go from here? This podcast is the last episode in our series for CFOs, controllers—really, anyone in finance—asking big questions, like: how do we emerge from a crisis stronger than before? Over our 16 episodes, we’ve focused on the areas that may need your focus in this period of recovery.
In this episode, host Heather Horn sits down with Neil Dhar, PwC Vice Chairman and Chief Clients Officer.Topics include:
- 0:42 - Where are we now? We begin by looking at the results of PwC’s Road to Election 2020 Survey, which tracks C-suite sentiment on the top policy issues at play and their business impact on companies as they move beyond crisis management toward a return to growth.
- 6:05 - Scenario planning. How to make decisions in uncertain times? Scenario plan. We discuss how management teams are rebuilding revenue streams and how tax considerations may affect the ability to make investments.
- 8:56 - Digital transformation. Neil shares the ways companies are looking to deliver more value, at a lower cost, in a tech-enabled way.
- 12:31 - Risk management. Neil highlights the importance companies are placing on evolving their processes and controls to operate in the new world with increasing threats from such areas as cybersecurity because of the work-from-home environment.
- 13:26 - M&A activity. How has the M&A market changed over the past 8 months and how will the election impact transaction activity? Neil explains.
- 17:31 - Transparent reporting. As companies work toward greater transparency, Neil shares what he’s hearing from management teams on ESG and D&I initiatives.
- 20:04 - Going forward. From reopenings to investments in the future workforce, we close by talking about what makes Neil optimistic for 2021.
Neil Dhar serves as Vice Chairman - Clients, Markets and Sectors (Chief Clients Officer) at PwC. In this role, he serves as the firm's leading client advisor helping harness the firm's vast capabilities across the consulting, M&A, tax, and assurance segments to solve complex issues across the firm's extensive client base. He has overall responsibility for PwC’s markets & sectors and serves on the firm's management committee. Neil is a frequent guest on major news outlets (CNBC, Bloomberg, Fox Business News, Wall St Journal, Business Insider, Forbes, etc), lecturer at financial conferences and the author of numerous articles on transformational events.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Did you submit a question during our Q3 accounting webcast? Maybe this is where you’ll hear the answer. Even if you couldn’t join the webcast, you’ll find this episode helpful as we answer the most common questions on recent accounting developments. Tune in as Cody Smith, Andreas Ohl, Chad Soares, Suzanne Stephani, and Ryan Spencer from PwC’s National office join Heather Horn to address topics you need to know about, including:
- 0:41 - Q3 overview. Cody begins by discussing the top areas of interest during the third quarter, highlighting government assistance and COVID-19 disclosures.
- 7:21 -Accounting for lease changes. Andreas and Chad answer questions regarding the impairment of right-of-use assets and share notable areas from the FASB’s recent leases roundtable.
- 16:28 - Troubled debt restructuring. Suzanne provides clarification on the accounting for the CARES Act relief from a borrower's perspective.
- 20:35 - SEC. Ryan discusses the modernization of Regulation S-K.
Cody Smith is a partner in PwC’s National office with over 20 years experience specializing in the accounting for business combinations and related areas, such as consolidations, disposals, impairments, and segment reporting.
Andreas Ohl is a partner in PwC's National office focused on mergers and acquisitions under US GAAP and IFRS. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's In-Process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
Chad Soares is a partner in PwC's National office focused on leasing and financing arrangements. He was a primary author of PwC’s leases guide and contributes to a variety of thought leadership related to leasing and financial instruments.
Suzanne Stephani is a director in PwC’s National office with more than 20 years of experience assisting companies in resolving complex accounting issues. Suzanne specializes in the accounting for debt, preferred stock, leases, and cash flows.
Ryan Spencer is a partner in PwC's National Office specializing in SEC financial reporting matters. He has over 20 years of experience serving clients in the technology and life sciences industries and is a frequent contributor to PwC’s publications and communications.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Amid the excitement of getting back to a semblance of business as usual, you’re probably asking yourself a lot of questions—as in, what is the new normal and where do I go from here? This podcast is the next episode in a new series for CFOs, controllers—really, anyone in finance—asking big questions, like: how do we emerge from a crisis stronger than before? Each week, we’ll focus on a different area that may need your focus in this period of recovery.
This week, host Heather Horn sits down with Bruno Lopes, a PwC partner who specializes in finance transformation, to summarize the new order of the day: doing more with less... but also the opportunity that this type of disruption presents for transforming your finance operating model.
Topics include:
0:42: Overview. We begin by looking at the trends and the significant operational changes finance teams are making to adapt to uncertain times.
5:20: The challenges. A finance transformation has its opportunities—and its risks. Here we discuss simplifying processes, integrating technology, and avoiding breaks in controls.
9:03: Technology enablement. Digitizing processes is where the most value can be unlocked. Here we look at the importance of the finance function achieving a forward-looking digital agenda.
17:10: The forward-thinking finance function. Define your strategic direction, develop a tech-enabled workforce, and be mindful about where you invest time and resources. We discuss the ways successful companies are changing the finance operating model.
19:59: Key takeaways. To achieve simplified and standardized processes, flexibility is key.
Bruno Lopes is a PwC finance partner helping companies and business leaders around the globe build and transform finance organizations, and achieve efficiency through technology, data and process optimization to enable value creation to the business.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
As companies look ahead to their Q3 reports, what lessons can be learned from companies that took impairments in Q2? Heather Horn is joined by PwC partners to share observations on impairments triggered in the second quarter.
Topics include:
- 0:50 - Overview. We begin with a discussion of the challenges in assessing assets for impairment in the current environment.
- 2:41 - Notable observations. We dive into the analysis, highlighting key themes, similarities, and differences between Q1 and Q2, and expectations for Q3 and Q4.
- 10:10 - The market. How did market indicators affect the evaluation of impairment? We peel back the market’s Q2 performance and discuss potential triggering events.
- 13:55 - Looking ahead. We discuss some of the factors companies need to be thinking about as they look ahead to Q3 impairment testing.
Andreas Ohl is a partner in PwC's National office where he focuses on mergers and acquisitions under US GAAP and IFRS. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's In-Process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
John Benedetti is a Partner in the Capital Markets and Accounting Advisory practice at PwC. John advises large US and international companies in the accounting for complex transactions and the implications of financial and accounting structuring. His deep knowledge of US GAAP and IFRS financial reporting rules allows him to support clients through these challenging endeavors.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Amid the excitement of getting back to a semblance of business as usual, you’re probably asking yourself a lot of questions—as in, what is the new normal and where do I go from here? This podcast is the next episode in a new series for CFOs, controllers—really, anyone in finance—asking big questions, like: how do we emerge from a crisis stronger than before? Each week, we’ll focus on a different area that may need your focus in this period of recovery.
This week, host Heather Horn sits down with John Potter, PwC’s US Deals Sector Leader, to discuss deal making in today’s environment.
Topics include:
0:42 - Overview: Times of uncertainty can present the best opportunity to make a deal. We kick off by looking at the current M&A environment and the impact of the market into what’s going on with this active landscape.
10:40 - Different types of investments:
- 10:40 - Divestitures
- 13:27 - Special-purpose acquisition companies
- 14:00 - Distressed companies
17:08 - Risks and opportunities: You can’t eliminate uncertainty in an M&A transaction, but you can minimize it. John and Heather discuss the importance of considering the potential upside and downside.
20:25 - Finance’s role in M&A. How can the finance team lean into the deal model to help make—or not make—a deal? Heather and John discuss.
26:30 - Deal team FAQs. John shares answers to common questions companies ask, including how to adapt to doing a deal virtually.
John Potter is a PwC’s US Deals Sector Leader. He focuses on M&A and is known as an innovative and strategic leader in the field. He advises corporate and private equity clients through acquisitions, divestitures, and joint ventures, bringing clarity and focus to the inherent uncertainty of M&A.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Adopting a new standard while responding to disruption caused by the COVID-19 pandemic has been unprecedented and complex. So, as companies prepare for third quarter reporting and look ahead to year end, Heather Horn is joined by PwC partners Chip Currie, Christophe Cadiou, and Jonathan Odom to focus on the lessons learned from CECL implementations.
Topics include:
- 0:40 - Overview. With the CECL standard becoming effective for calendar year SEC filers right before a severe economic shock, we begin with an overview of adoption issues in 2020.
- 7:38 - Q2 2020—what we saw. The macroeconomic forecasts were more consistent in the second quarter, but some variability remained. Christophe discusses the uncertainty preparers faced and the related judgments required.
- 17:48 - Q3 2020—closing another quarter. As the third quarter comes to a close, what are some of the credit and accounting matters companies should consider? The panel of guests explain.
- 25:38 - Analysts and SEC perspective. We close by highlighting what we’re hearing from analysts and the SEC staff from a disclosure perspective.
Chip Currie is a Partner in PwC’s National Office with over 20 years of experience assisting companies in resolving complex business and accounting issues. He concentrates on the accounting for financial instruments for both current and emerging standards and works with many of the firm's largest financial services clients and a number of non-financial service clients on treasury-related matters.
Christophe Cadiou is a partner in PwC's Financial Markets practice with over 25 years experience. He advises financial institutions on practical implementation solutions to complex challenges presented by regulatory and accounting change.
Jonathan Odom is an assurance partner in PwC’s National Office SEC services practice with over 20 years of experience in providing accounting and advisory services to the financial services sector.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
As the financial, economic, and social impacts of the COVID-19 pandemic linger, finance leaders continue to adapt and adjust their ways of managing through these uncertain times.
The liquidity demands accelerated by the pandemic have resulted in the issuance of record levels of convertible debt instruments, which is an area of significant accounting complexity - although some accounting relief was recently provided by the FASB. Companies have also sought increased liquidity through other means, including increased levels of government assistance and through the restructuring of existing debt arrangements - both of which come with their own accounting considerations.
In this edition of The quarter close, we highlight these and other timely accounting and reporting topics, including:
- considerations when assessing the recoverability of deferred tax assets in the current environment;
- insights for navigating the hidden complexities when applying the new goodwill impairment guidance; and
- perspectives on how changes in business operations and strategy could impact segment reporting
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Amid the excitement of getting back to a semblance of business as usual, you’re probably asking yourself a lot of questions—as in, what is the new normal and where do I go from here? This podcast is the next episode in a new series for CFOs, controllers—really, anyone in finance—asking big questions, like: how do we emerge from a crisis stronger than before? Each week, we’ll focus on a different area that may need your focus in this period of recovery. This week, host Heather Horn sits down with Bhushan Sethi, the joint global leader of PwC’s People & Organization practice.
Topics include:
0:52 - Overview: We begin by looking at the state of reopening the economy and returning to the workplace by highlighting some of the top issues businesses face, including digitizing their business and workforce, improving worker flexibility, and caring for worker well-being.
4:36 - There are no right answers: While each company’s return-to-workplace plans are different, Bhushan shares some common themes from successful companies, such as bold communications and a personalized strategy.
7:31 - Workforce strategy: Bhushan and Heather discuss key focus areas for companies to consider when developing an agile future-of-work plan.
9:39 - Talent management: Bhushan hones in on talent management, including the future skills the finance team needs.
14:01 - Reskilling: Bhushan and Heather discuss the different models companies are using to work in the current environment.
17:26 - Future outlook: What will work look like in the summer of 2021? We close with rethinking how we’ll work, engage, and build community.
Bhushan Sethi is joint global leader of PwC’s People & Organization practice, where he shapes and drives the firm’s global network strategy across 11000+ practitioners in 150+ countries delivering standalone and integrated solutions across strategy, management, technology, and tax consulting disciplines. Bhushan is a thought leader, public speaker, media spokesperson, and influencer on "future of work,” risk culture, workforce strategy, employee experience, and diversity & inclusion.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The economic impact of the pandemic may result in companies looking to shed their non-core assets, which may lead to an increase in transactions requiring carve-out financial statements. With limited guidance, it’s no wonder preparers have questions. In this episode, Heather Horn is joined by PwC’s Andreas Ohl and Elizabeth Crego to discuss the judgments involved in preparing carve-out financial statements.
- 1:11 - Introduction. What information do carve-out financial statements contain and when should a seller prepare them? We kick things off with an overview of different types of divestitures and when these transactions may require financial statements to be filed with the SEC.
- 9:18 - Top accounting issues. Next we dive into some of the key accounting issues companies may face in the preparation of these statements, including:
- 9:31 - Basis of presentation
- 15:07 - Allocation of expenses
- 18:47 - Goodwill
- 21:11 - Taxes
- 22:09 - Subsequent events
- 25:5 - Parent company considerations
- 26:42 - Key success factors. In order to be successful with these types of statements, we close by sharing helpful reminders.
Andreas Ohl is a partner in PwC's National office where he focuses on mergers and acquisitions under US GAAP and IFRS. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's In-Process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
Liz Crego is a managing director in PwC’s Deals practice focused on accounting and financial reporting advisory services for transformative M&A integration, divestiture separation, IPOs and capital raising projects. With over 14 years of experience, she has worked closely with c-suite executives to deliver some of the most iconic mergers and divestitures in recent business history.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The FASB recently issued guidance that simplifies the accounting for certain financial instruments with characteristics of liabilities and equity. Heather Horn is joined by a panel of guests to summarize what’s changed and the impacted areas.
Topics include:
- 1:05 - Overview of convertible instruments. Before discussing the new model, we set the stage by providing background on the reason companies may issue convertible instruments, especially in the current market environment.
- 5:53 - Background on the FASB’s project. Distinguishing between liability and equity is one of the more complex areas in GAAP. Here we provide the genesis of the FASB’s project and highlight the areas that the Board worked to amend.
- 9:42 - Specific impacts. In simplifying the accounting framework, the FASB addressed a handful of areas, including:
- 9:49 - Convertible instruments
- 13:31 - Contracts in own equity
- 19:21 - Earnings per share
- 29:24 - Disclosure and effective dates. We close by highlighting some of the new disclosure requirements as well as sharing the effective dates to be aware of.
Chip Currie is a Partner in PwC’s National Office with over 20 years of experience assisting companies in resolving complex business and accounting issues. He concentrates on the accounting for financial instruments for both current and emerging standards and works with many of the firm's largest financial services clients and a number of non-financial service clients on treasury-related matters.
John Horan is a managing director in PwC’s National office where he assists clients with complex accounting issues in the areas of foreign currency, liabilities and equity, earnings per share, and derivatives and hedging. John specializes in large capital transactions and initial public offerings.
Brian Zenk is a partner with PwC’s Deals practice advising clients on complex accounting and valuation matters, including mergers and acquisitions, joint ventures and alliances, debt and equity financings, financial risk management, and structured transactions. Leveraging his experience, he works with clients to develop creative and innovative solutions to address client needs and business, legal, accounting, tax, and regulatory challenges.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Amid the excitement of getting back to a semblance of business as usual, you’re probably asking yourself a lot of questions—as in, what is the new normal and where do I go from here? This podcast is the next episode in a new series for CFOs, controllers—really, anyone in finance—asking big questions, like: how do we emerge from a crisis stronger than before? Each week, we’ll focus on a different area that may need your focus in this period of recovery. This week, host Heather Horn sits down with Rohit Kumar, leader of PwC’s Tax Policy Services group.
Topics include:
0:48 - Overview - We begin with an update on the phase four COVID relief legislation bill, funding for the US postal service, and how the upcoming election fits into all of this.
5:32 - Executive order on employee payroll tax credits - Rohit explains the open questions on the executive order and what could happen next.
12:09 - Policy between now and November - Turning our attention to the future, do we anticipate any major policy changes or other developments between now and the election? Rohit shares his thoughts on a possible partial government shutdown.
17:15 - Reshoring efforts - The COVID-19 crisis has led to evolving conversations about reshoring and rethinking the supply chain. Rohit and Heather talk about the three reshoring tools available: incentives, tariffs, and mandates.
21:44 - 2021 and beyond - As companies begin to scenario plan for what policy might look post-election, we close with how companies are rethinking business and the opportunity for a stronger, more resilient economic model.
Rohit Kumar is a principal and leader of PwC’s Washington National Tax Services (WNTS) Tax Policy Services group. In this role, he advises clients on all aspects of domestic policy, including tax policy. His insights and knowledge enable companies to assess critical policy issues more effectively and to develop legislative strategies to address those issues from both a technical and a political perspective.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Revenue is an important financial metric. So because the gross vs. net determination can have a large impact on the top line, companies need to get that decision right. In this episode, Heather Horn is joined by PwC partner Angela Fergason to discuss the accounting factors for gross vs. net revenue presentation.
Topics include:
0:35 - Overview. Why does the guidance for gross vs. net revenue generate so many questions? Angela kicks off with the history of the guidance and shares the emerging business models that have caused more focus on this area.
5:43 - Steps in the model. Angela and Heather discuss the two-step model and demonstrate its application by applying it to an example.
9:45 - Control indicators. The determination starts with whether a company controls the specified good or service. Angela discusses the three indicators of control transfer, and how they may apply to a supplier arrangement.
14:58 - Challenging fact patterns. The assessment is harder to navigate when the arrangement doesn’t involve a tangible good. Angela discusses the considerations for when the end customer is receiving a service.
19:40 - Key reminders. We close by highlighting the importance of disclosures and carefully reading all of the contracts.
Angela Fergason is a partner in PwC's National Office with over 20 years of experience who specializes in accounting for revenue and employee compensation arrangements. She is a frequent speaker on accounting and financial reporting topics and is a contributor to many PwC National Office publications, including our accounting guides on revenue and stock-based compensation.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Amid the excitement of getting back to a semblance of business as usual, you’re probably asking yourself a lot of questions—as in, what is the new normal and where do I go from here? This podcast is the next episode in a new series for CFOs, controllers—really, anyone in finance—asking big questions, like: how do we emerge from a crisis stronger than before? Each week, we’ll focus on a different area that may need your focus in this period of recovery. This week, host Heather Horn sits down with Kevin Keegan, a Partner in PwC’s strategy consulting business, to discuss supply chain risk and recovery planning for 2021.
Topics include:
0:59 - Overview. A new age of supply chain is coming. We begin by highlighting the emerging trends—and vulnerabilities that the pandemic uncovered—that are changing the way companies think about their supply chains.
6:06 - Strategic decisions. As the pandemic disruption taught us, lowest cost isn’t always the best strategy. Kevin covers how companies are rethinking their supply chain strategy—from better risk identification tools to alternative supplier sources and locations—and then shares the changes he’s seeing in supply chain financing.
16:20 - Where to start? Having back-up plans at the ready in the event of disruption is key to having a high-performing supply chain. Kevin and Heather discuss some of the changes companies can act on now and in the longer term.
20:19 - The finance team’s role. Working together is key. There needs to be collaboration between the finance and supply chain teams, including on budgets and goal setting.
26:31 - Supply chain FAQ. Kevin shares the top questions he’s hearing from companies, including how to account for and manage changes in fulfillment services.
29:35 - The road ahead. Preparing the supply chain for the new environment will include new innovations. We close by discussing a few emerging opportunities and what makes Kevin optimistic for the future of supply chains.
Kevin Keegan is a Partner in PwC’s strategy consulting business working to improve business operations for the benefit of both current and future stakeholders. Kevin assists business leaders think through practical approaches to remove costs that are invasive to value and identify and firmly root new types of operating models that enhance growth.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Form 8-K is a broad SEC form used to share specified events with shareholders. But it’s not always clear when it’s required. That’s why in this episode, Heather Horn is joined by Wayne Carnall to discuss the requirements for this type of filing.
Topics include:
- 0:56 - Overview. Do all significant events that take place between a quarterly and annual filing require a Form 8-K? Wayne shares examples of common events requiring Form 8-K and the required timing.
- 10:23 - COVID-19. Some companies have recorded an impairment due to the pandemic—which is one of the events that could require an 8-K. Wayne and Heather discuss the regulation for this type of event.
- 16:02 - Acquired businesses and pro forma information. The SEC recently amended its rules related to the financial statements of an acquired business and pro forma information. Wayne highlights how these rules interact with the Form 8-K regulations.
- 23:16 - Error corrections and auditor changes. Wayne and Heather give tips for navigating 8-K filings to report a correction of an error, and the considerations when there has been a change in an auditor.
Wayne Carnall is a former Chief Accountant of the Division of Corporation Finance at the SEC. Wayne has broad and extensive financial reporting and regulatory experience involving domestic and international companies in a wide range of industries. Having served in that role during the financial crisis, Wayne worked with other senior officials at the SEC and other agencies and organizations to address and resolve financial reporting matters of unprecedented complexity in a dynamic political environment.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Amid the excitement of getting back to a semblance of business as usual, you’re probably asking yourself a lot of questions—as in, what is the new normal and where do I go from here? This podcast is the next episode in a new series for CFOs, controllers—really, anyone in finance—asking big questions, like: how do we emerge from a crisis stronger than before? Each week, we’ll focus on a different area that may need your focus in this period of recovery. This week, host Heather Horn sits down with Dr. Deniz Caglar, strategic cost transformation leader at PwC’s Strategy&, to discuss how the lessons learned during the crisis can enable companies to build a new team culture that everyone benefits from.
Topics include:
0:54 - Overview. Culture is the connective tissue that holds teams together, especially during times of crisis. We begin by outlining what we’ve learned over the last few months and then we’ll get into how to make those lessons last.
7:49 - Keeping the momentum. In a matter of a weekend, the majority of the workforce began working from home; but a lot of good has come from it. Here we discuss how to preserve the positive behaviors brought forth by the crisis, such as faster decision making and collaboration.
14:57 - New ways of interacting. The key to changing culture is by changing specific behaviors. Deniz and Heather look at how to break down barriers, create authentic interactions, and engage everyone in the new work environment.
18:43 - Onboarding. As Deniz explains, the onboarding process has changed, and it’s going to take a little engineering to create social engagement and form new relationships.
20:42 - Heading back to the office—or not. How does culture fit into returning to the office? We close by looking at the impact on culture of the hybrid model of work.
Dr. Deniz Caglar is a leading practitioner in strategic cost transformation for Strategy&, PwC's strategy consulting business. He is a principal with PwC US in the Chicago office. He has deep expertise in organization design, corporate function efficiency and effectiveness, shared services, and outsourcing/offshoring.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The market activity for convertible instruments—specifically convertible debt—has increased in recent months. However, the accounting can be complex. In this episode, John Bishop, PwC partner, joins Heather Horn to provide a refresher on the model and explain the guidance.
Topics include:
- 0:41 - Overview. We begin by discussing what makes convertible debt an attractive financing vehicle for issuers in the current environment.
- 5:02 - The convertible debt instrument. Next, John discusses the economics of how a convertible debt instrument works.
- 7:53 - Accounting. We discuss the accounting model and common concerns in accounting for these instruments.
- 15:36 - Standard-setting developments. The FASB is expected to release new guidance in upcoming weeks. John and Heather talk about what we expect to change and the areas that will be impacted.
- 19:51 - Final thoughts. We close by discussing other types of transactions done in conjunction with the issuance of convertible debt and share key reminders.
John Bishop is a partner in PwC's National office and the co-leader of the financial instruments team. In this role, he leads the group in advising the firm’s clients on a wide array of accounting and reporting matters. John specializes in the accounting for derivatives, financial instruments, financing transactions (e.g., securitizations and leasing), and M&A transactions.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Amid the excitement of getting back to a semblance of business as usual, you’re probably asking yourself a lot of questions—as in, what is the new normal and where do I go from here? This podcast is the next episode in a new series for CFOs, controllers—really, anyone in finance—asking big questions, like: how do we emerge from a crisis stronger than before? Each week, we’ll focus on a different area that may need your focus in this period of recovery. This week, host Heather Horn sits down with Joe Atkinson, Vice Chair and Chief Products and Technology Officer at PwC, to discuss how investing in new tech tools helps to deliver more value and higher quality and grow your people’s skills.
Topics include:
0:50 - Getting your people ready. Are your people ready for a change? Bringing tech to the table can be challenging, so we begin with ways to drive adoption of new tools and new practices to get optimal opt in.
4:36 - Go big. The investment you make in digital goes beyond starting a new workstream or project. A true transformation effort is what Joe refers to as a saturation strategy. Here we discuss what is needed to give your digitally-enabled efforts staying power.
14:35 - Citizen-led efforts. Citizen-led effort means giving your people a license to innovate. Joe highlights that teams need guidance and training in addition to tools and applications to make an impactful change.
18:31 - Easier, smarter, better. Joe explains working around barriers and overcoming challenges.
27:18 - Future outlook. The willingness to engage and think differently can lead to big things. We close with the opportunities and upside ahead.
Joe Atkinson is the Vice Chair - Chief Products and Technology Officer. In this role, Joe is responsible for leading the firm through the next wave of digital transformation. This includes accelerating our growth in go-to-market products and digital solutions, as well as firmwide technology capabilities.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Accounting for uncertain tax positions requires considerable judgement; we understand. That’s why we’re going back to the basics: from the recognition of a tax position to the reassessment of positions at each reporting period. In this episode, host Heather Horn along with PwC tax specialists focus on the fundamental concepts of uncertain tax positions.
Topics include:
- 0:48 - Recognition. Before getting into the broader accounting model, we discuss the definition of a tax position and when it is recognized in the financial statements.
- 6:08 - Measurement. How should the entity measure the tax benefit of a position? We explain.
- 10:01 - Changes in recognition/measurement. Next, we help listeners understand when a company would reassess its uncertain tax positions. Then also cover the documentation.
- 16:34 - Subsequent events. Here we discuss how to handle developments that occur after the balance sheet date but before the issuance of the financial statements.
- 18:21 - Impact of new tax regulations. The accounting for changes in tax regulations is different from how new FASB standards are adopted. We close by discussing how developments in tax regulations can impact uncertain tax positions.
About our guestsJennifer Spang is a tax partner in PwC's National Office specializing in tax accounting under US GAAP and IFRS. She has over 25 years of experience helping companies in a variety of industries navigate complex tax accounting matters.
Kassie Bauman is a managing director in PwC's National office who consults on tax accounting under US GAAP and IFRS. Kassie has more than 20 years of auditing and accounting experience, including almost a decade of experience addressing complex technical accounting matters as part of our National office.
About our hostHeather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Amid the excitement of getting back to a semblance of business as usual, you’re probably asking yourself a lot of questions—as in, what is the new normal and where do I go from here? This podcast is the next episode in a new series for CFOs, controllers—really, anyone in finance—asking big questions, like: how do we emerge from a crisis stronger than before? Each week, we’ll focus on a different area that may need your focus in this period of recovery. This week, host Heather Horn sits down with Paul Leinwand, PwC Strategy& Principal, to discuss how companies can emerge stronger through a focus on their unique capabilities, preparing for disruption, and connecting employees to the company’s purpose.
Topics include:
0:52 - Overview. We’re in a different environment, so how can companies shape their own future? We begin by framing how to think about strategy during moments of change.
2:54 - Agility and differentiation. Waiting to see what happens is no longer a viable option. The bar has been raised on getting to market, launching new projects, and learning. Here we discuss the importance of making strategic decisions that are both meaningful—and have realistic timelines.
10:13 - Identify strengths. How can companies identify what’s behind their successes and use those strengths in other areas? Paul explains.
17:22 - Tactical investments. Paul and Heather talk about how to evaluate the bets companies make from a strategic perspective.
23:36 - Future outlook. We close with the ways companies can embrace the new environment and take charge of their own future.
Paul Leinwand is a thought leader on strategy, growth, and capability building for Strategy&, PwC's strategy consulting group. He is a co-author of three books, Strategy That Works: How Winning Companies Close the Strategy-to-Execution Gap, The Essential Advantage: How to Win with a Capabilities-Driven Strategy, and Cut - - Costs and Grow Stronger, as well as several articles in the Harvard Business Review and strategy+business. He currently teaches at Kellogg as an Adjunct Professor of Strategy.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
As many companies continue to be financially impacted by COVID-19, government grants remain a focus area of relief. Heather Horn is joined by PwC partners Pat Durbin and Angela Fergason to discuss the accounting considerations for government grants, which isn’t directly addressed in US GAAP.
Topics include:
0:51 - Types of assistance. We start with an overview of the types of relief programs available, including the Payroll Protection Program and employee retention credits.
5:16 - The accounting models. In US GAAP, there is no explicit government assistance standard for for-profit business entities. Angela and Pat walk through how and when revenue, loan or other guidance should be applied.
9:45 - IAS 20. Some companies apply an IFRS standard on government grants (IAS 20) by analogy.We give a summary of that model and illustrate the key principles.
21:18 - Not-for-profit guidance. After covering IAS 20, Angela shares how the accounting differs if a business entity applies not-for-profit accounting by analogy.
23:43 - Key reminders. We close by highlighting disclosures for government assistance and the importance of transparency.
Pat Durbin is the leader of the revenue and liabilities division in PwC’s National Office. He has over 25 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.
Angela Fergason is a partner in PwC's National Office with 20 years of experience who specializes in accounting for revenue and employee compensation arrangements. She is a frequent speaker on accounting and financial reporting topics and is a contributor to many PwC National Office publications, including our accounting guides on revenue and stock-based compensation.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Amid the excitement of getting back to a semblance of business as usual, you’re probably asking yourself a lot of questions—as in, what is the new normal and where do I go from here? This podcast is the next episode in a new series for CFOs, controllers—really, anyone in finance—asking big questions, like: how do we emerge from a crisis stronger than before? Each week, we’ll focus on a different area that may need your focus in this period of recovery. This week, host Heather Horn sits down with Carrie Duarte, PwC partner and Workforce of the future leader, to discuss cost savings and other strategic opportunities from workforce changes.
- 1:14 - Overview. The workforce has changed, and that means there are opportunities for significant cost savings and opportunities—whether that’s in real estate, productivity, or where you find your talent. Carrie lays the foundation for the discussion.
- 3:55 - The blended workforce. How are companies dealing with the shifting ways of working to overcome challenges such as video conference fatigue and a dispersed workforce? Carrie explains.
- 10:26 - The 6 Cs of productivity. Carrie shares the 6 Cs of measuring productivity: create, collaborate, communicate, coach, community, and commitment.
- 18:09 - The role of technology. There are many components to getting the work done, and a major factor to that is digital upskilling. Carrie shares tips on how to get teams comfortable with using technology, which can provide a competitive advantage.
Carrie Duarte is PwC's US workforce of the future leader and a director on PwC's US board. Carrie helps CEOs and their organizations build teams that thrive, today and in the future, by providing strategic and tactical guidance as organizations develop their workforce strategy, drive performance, upskill their workforce, and further the impact of their diversity and inclusion efforts. As a director on the PwC US board, Carrie provides governance oversight and strategy input to PwC’s US firm.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Stock compensation award modifications continue to be a challenging area with many factors to consider—and mishaps to avoid. In this episode, host Heather Horn is joined by PwC National office subject matter specialists Jay Seliber and Nicole Berman to discuss the fundamentals of modification accounting, including:
- 1:00 - Overview. Before diving into modifications, we start by discussing how a company would generally account for a stock award.
- 2:37 - Types of modifications. When is a change to an award considered a modification? Nicole provides an overview of the accounting for the four types of modifications.
- 7:46 - Cessation of employment. What happens when an award recipientdecides to leave the company? Jay and Nicole discuss the accounting for related modifications.
- 14:56 - Changes in performance conditions. Given the market impact of COVID-19, companies may be adjusting their performance targets. Nicole walks through the model for this type of modification.
- 23:01 - Spin-offs, stock splits, and large dividends. Next we move onto how different corporate actions result in award modifications.
Jay Seliber is a partner in PwC’s National Accounting Services group with over 30 years of experience. He helps clients with their most complex accounting matters, particularly in the areas of revenue recognition, M&A, stock compensation, employee benefits, restructurings, impairments, and financing transactions.
Nicole Berman is a Director in PwC's National office advising clients on the accounting for complex transactions related to revenue recognition and employee compensation matters, including stock-based compensation, pensions, OPEB, and restructurings, under both US GAAP and IFRS.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Amid the excitement of getting back to a semblance of business as usual, you’re probably asking yourself a lot of questions—as in, what is the new normal and where do I go from here? This podcast is the next episode in a new series for CFOs, controllers—really, anyone in finance—asking big questions, like: how do we emerge from a crisis stronger than before? Each week, we’ll focus on a different area that may need your focus in this period of recovery. This week, host Heather Horn sits down with Bhushan Sethi, Joint Global Leader of PwC’s People & Organization practice, to discuss the changed workforce.
- 1:00 - Introduction. As employment in many sectors of business have been impacted by recent events, we begin by discussing the importance of building sustainable productivity, resilience, well-being, and learning opportunities for people.
- 3:15 - Upskilling. Companies need to prepare their people to build back better and differently; here, Bhushan describes the ways to reconsider how people work, where they work, and the tools they use.
- 7:43 - Managing remote work. How can companies improve collaboration, coaching, and creativity all while avoiding burnout? Bhushan explains.
- 16:23 - Returning to the workplace. We take a look at lead concerns employees have about returning to the workplace and the importance of having the right agile plan in place.
- 21:10 - The future workforce. The workforce has changed, but there’s reason to be optimistic. We close with our thoughts on how new behaviors and tools will shape the future of work.
Bhushan Sethi is Joint Global Leader of PwC’s People & Organization practice, where he shapes and drives the firm’s global network strategy across 11000+ practitioners in 150+ countries delivering standalone and integrated solutions across strategy, management, technology, and tax consulting disciplines. Bhushan has specific industry expertise in Financial Services and increasingly in the technology sector. He is a thought leader, public speaker, media spokesperson, and influencer on "future of work,” risk culture, workforce strategy, employee experience, and diversity & inclusion.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In the current environment, information evolves quickly and subsequent events need close scrutiny. While the evaluation of a subsequent event is based on specific facts and circumstances, it’s helpful to understand the framework used to evaluate these events. Heather Horn is joined by PwC partners Tom Barbieri and Pat Durbin to discuss the considerations.
Topics include:
1:06 - Overview. We start with an overview of the types of subsequent events.
4:35 - Framework. Is the evaluation of a subsequent transaction different from receiving updated information? We discuss the considerations.
6:51 - Examples. We then move through some common subsequent event examples, including those related to:
- 7:19 - Loss/gain contingencies
- 9:50 - Credit losses (CECL)
- 14:21 - Fair value
- 18:29 - Inventory
Tom Barbieri is a PwC partner and the Financial Instruments Accounting Leader in PwC’s National Office with over 29 years of experience advising clients on complex accounting and financial reporting issues relating to financial instruments. During Tom’s tenure in National, he has been at the forefront of emerging accounting issues and has regular interactions with the FASB, SEC, and other regulators and standard setters.
Pat Durbin is the leader of the revenue and liabilities division in PwC’s National Office. He has over 25 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes and inventory under both US GAAP and IFRS.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Amid the excitement of getting back to a semblance of business as usual, you’re probably asking yourself a lot of questions—as in, what is the new normal and where do I go from here? This podcast is the next episode in a new series for CFOs, controllers—really, anyone in finance—asking big questions, like: how do we emerge from a crisis stronger than before? Each week, we’ll focus on a different area that may need your focus in this period of recovery. This week, host Heather Horn sits down with Vinay Couto, PwC’s Fit for Growth leader, to discuss the strategy of business recovery.
- 0:55 - Introduction. We begin by highlighting the five areas that companies are focused on as it relates to business recovery: revisiting strategy, recovering revenue, reshaping the cost agenda, bringing employees along, and retooling for the new world.
- 4:02 - Revisiting strategy. The rules of the game have changed and companies are throwing away their strategic plans and starting anew. Vinay talks about the three levels of strategic planning.
- 9:01 - Revenue recovery. Vinay shares the tactical things companies are doing to grow their businesses, including developing a laser-like focus to convert opportunities into sales and learning how to serve a new demand from a new type of customer.
- 13:06 - Reshaping the cost agenda. While liquidity management is vitally important, Vinay highlights the opportunities—including talent acquisition and digitization, companies are balancing to achieve sustainable growth.
- 23:06 - Bringing people with you. How do you get the organization to collaborate effectively to get things done? Make it part of your company DNA. Vinay explains.
- 29:28 - Retooling for the new world. Vinay closes with ways to outperform in the new environment.
Vinay Couto is a Principal and leading practitioner in strategic cost transformation for Strategy&, PwC's strategy consulting business. He leads the People and Organization Strategy practice and the Fit for Growth platform. He has worked with clients in the automotive, aerospace, pharmaceuticals, life sciences, media and broadcasting, packaged goods, banking, and insurance industries.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In the current environment, there are a number of complexities in applying the lease impairment model, specifically to right-of-use (ROU) assets. Heather Horn is joined by PwC National office subject matter specialists to discuss the most important considerations when assessing ROU assets for impairment.
Topics include:
- 1:09 - Right-of-use asset impairment model. As leases are now recorded on the balance sheet, we begin with a recap of how the long-lived asset impairment model works.
- 3:28 - Common questions on ROU asset impairment testing. When it comes to applying the impairment model to ROU assets, things can get tricky. We answer common questions received on the treatment of lease components and variable lease payments, recoverability testing, and discount rates.
- 10:50 - Other ROU asset impairment considerations. If a company determines that an impairment charge should be recognized, what’s next? We explain.
- 14:34 - Lease abandonment. In the current environment, companies are reevaluating their real estate footprint. We walk through the implications once this decision is made.
- 17:12 - Subleases. We close with a discussion around the decision to sublease and what companies should focus on if they are rethinking the use of the asset.
Andreas Ohl is a partner in PwC's National office where he focuses on mergers and acquisitions under US GAAP and IFRS. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's In-Process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
Steve Dolph is a director in PwC’s National office, specializing in accounting for business combinations and related areas, including asset acquisitions, disposals, and impairments. Prior to joining the National Office, Steve had more than 10 years of experience as a member of PwC's Private Company Services group, focusing on private company accounting issues and business solutions.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Amid the excitement of getting back to a semblance of business as usual, you’re probably asking yourself a lot of questions—as in, where does my business need to focus during this period of recovery? This podcast is the next episode in a new series for CFOs, controllers—really, anyone in finance—asking big questions, like: how do we emerge from a crisis stronger than before? This week, host Heather Horn sits down with Ed Ponagai, partner at PwC.
Topics include:
0:55 - Overview. We begin by outlining a three-part framework for change, focusing on people, process, and performance.
7:13 - People. Not sure where to start? Ed explains that it’s the people perspective—highlighting digital upskilling and leveraging broader talent pools—that leads the way to achieving goals.
12:01 - Process. People in action is the next step. Here we discuss how to think about changing processes through automation and better controls.
17:24 - Performance. People + process = opportunities to improve the entire organization. Heather and Ed discuss how the role of the finance organization is to help the business make better decisions, and shares examples.
20:39 - Moving forward. We close by giving key points of the overall finance transformation journey and highlight the opportunity finance has to become a true business partner to the rest of the company.
Ed Ponagai is a PwC partner and leads large scale back office transformations and merger integrations. He helps CFOs think through their finance organization’s vision and purpose, along with helping them address organizational challenges, operational processes, and technological innovations.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
What should companies consider in their quarter-end valuations? Heather Horn is joined by PwC valuation specialists Chris Merchant and Andrew Alperstein to discuss how the current environment may impact valuations.
Topics include:
- 0:58 - Overview. We begin with a broad discussion on how current events and general market trends are impacting valuations.
- 5:08 - Real estate. Real estate companies continue to face uncertainty regarding the timing and pace of recovery. Andrew discusses the impact on different types of real estate and how to incorporate these uncertainties into valuations.
- 9:13 - Private equity. What are the valuation considerations in the private equity space? Chris walks through specific challenges.
- 15:36 - Credit and restructured products. Chris and Andrew discuss the activity in the residential and commercial credit market.
- 19:51 - SEC rules and market events. The SEC proposed valuation guidance that will impact business development companies and registered investment companies. Chris provides an overview of the proposal.
Chris Merchant, a partner in PwC’s Financial Markets Practice, leads the Financial Analytics Team. With nearly 20 years of experience serving a diverse range of institutions, Chris advises clients on strategy, operations, and disruption, with a particular focus on harnessing emerging technologies to improve customer experience, draw insights, and leverage data to create institutional value.
Andrew Alperstein is a partner in PwC’s Financial Markets Real Estate group. Andrew has nearly 20 years of experience in transaction support, financial due diligence, forensic accounting, valuation, and other consulting services related to all major property types.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
With the world in a state of constant change, companies need to maintain their focus as the second quarter of 2020 comes to a close. PwC partners Heather Horn and Cody Smith highlight what companies should think about for their June 30 reporting.
Topics include:
- 1:04 - FASB standard setting update. We begin with an overview of the FASB staff Q&As addressing specific accounting challenges related to COVID-19 and then discuss the delay of effective dates of the revenue and leases standards.
- 8:04 - SEC update. Cody discusses the amendments to SEC Rule 3-05 disclosures and highlights the changes to the preparation of pro forma information.
- 16:06 - Other quarter-end considerations. We close our discussion by offering some perspectives on impairments and MD&A disclosures.
Cody Smith is a partner in PwC’s National office with over 20 years experience who specializes in the accounting for business combinations and related areas, such as consolidations, disposals, impairments, and segment reporting.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Amid the excitement of getting back to a semblance of business as usual, you’re probably asking yourself a lot of questions—as in, what is the new normal and where do I go from here? This podcast is the next episode in a new series for CFOs, controllers—really, anyone in finance—asking big questions, like: how do we emerge from a crisis stronger than before? Each week, we’ll focus on a different area that may need your focus in this period of recovery. This week, host Heather Horn sits down with Amity Millhiser, PwC’s Vice Chair and Chief Clients Officer, to discuss the ways finance teams are running their business differently through crises. From changes to their workforce to real estate to supply chains, we share how the finance community is rebuilding and reinventing.
Topics include:
- 0:50 - Where are we now? We begin by looking at the latest results of PwC’s CFO Pulse Survey, which tracks how finance leaders view the impacts of COVID-19 and the actions they are taking to respond.
- 7:54 - Cash preservation. While cash flow planning remains top of mind for many companies, Amity highlights the areas where companies are not cutting costs—namely, those related to the customer, technology, and cyber security.
- 11:12 - Rebuilding revenue. New products, new pricing models, and new distribution channels are among the ways companies are rebuilding revenue. Amity shares the details.
- 16:41 - Digital investments. Where is tech spending going? Amity and Heather discuss how innovation is driving growth and collaboration.
- 22:18 - Going forward. Recovery is not as simple as one action; it’s a series of actions over a short period of time. Amity tells listeners what to continue to focus on and highlights the importance of a multipronged approach.
Amity Millhiser is PwC’s Vice Chair and Chief Clients Officer, where she serves as the firm's leading client adviser. From her base in Silicon Valley, Amity brings perspectives on digital and emerging technologies to clients as well as experience leading transformations across industries and sectors. Amity is a thought leader on diversity in business as a contributor to PwC's co-founding of the CEO Action for Diversity and Inclusion.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
PwC provides a summary of the latest accounting, financial reporting, SEC, and regulatory updates to support your quarterly reporting.As global restrictions begin to ease, business leaders are looking ahead to restarting operations - and in many cases restructuring and reimagining those operations - to emerge stronger after the pandemic. Many are considering fundamental changes to the ways business is conducted, including developing cost containment strategies, diversifying supply chains, and making other operational modifications.
In this edition of The quarter close, we focus on COVID-19-related accounting and reporting considerations and other topics, including:
- recognition models for restructuring costs;
- reminders for liquidity and financing arrangements; and
- FASB staff Q&As on rent concessions and hedging.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Amid the excitement of getting back to a semblance of business as usual, you’re probably asking yourself a lot of questions—as in, what is the new normal and where do I go from here? This podcast is the 2nd episode in a new series for CFOs, controllers—really, anyone in finance—asking big questions, like: how do we emerge from a crisis stronger than before? Each week, we’ll focus on a different area that may need your focus in this period of recovery. This week, as preparedness is more relevant than ever, host Heather Horn sits down with Kristin Rivera, PwC’s Global Crisis Centre leader, to discuss the five actions that you, your team, and your business can take to emerge stronger from any crisis.
Topics include:
- 1:05 - Background. Crisis management is the process of responding to unplanned events in a thoughtful way. Kristin sets the stage for what to do when knocked off your strategy.
- 4:55 - The survey. Kristin describes PwC’s Global Crisis Survey—compiling data from over 4,000 individual crises to show how companies can manage crises more effectively.
- 9:34 - Survey findings. Kristin explains the five actions that will help your business emerge stronger from any crisis.
- 11:04 - Allocating a budget. Putting resources behind building a crisis management program is the first step.
- 15:48 - Testing your plan. Having a paper plan is not enough—practicing is important.
- 18:22 - Fact-based approach. Establish what facts are known and recognize what you don’t know.
- 24:50 - Root cause analysis. After the crisis, evaluate what you could have done better and operationalize your findings.
- 27:44 - Act as a team. Focus on your company’s values and mission to align your response.
Kristin Rivera serves as PwC’s Global Forensics Leader, overseeing a practice of over 3,500 professionals operating in more than 70 countries. In addition, Kristin also leads PwC's Global Crisis Centre, which helps companies and business leaders around the globe prepare for, respond to, and emerge stronger from crisis and other unexpected events.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
As companies look ahead to their Q2 reports, what lessons can be learned about impairments from Q1? Heather Horn is joined by PwC partners to share trends observed in impairments recorded in March and April.
Topics include:
- 1:05 - Overview. We begin with a discussion of the inherent challenges in assessing impairment in the current environment.
- 3:47 - Q1 trends. We then dive into the analysis, highlighting key themes and whether there are any indications of more triggering events and impairments at the end of Q2.
- 11:16 - Sector observations. We take a look at the data from a sector perspective. We examine the differences between industries that were immediately impacted and the companies that may just now be feeling the impact of the downturn.
- 16:00 - Triggering events. The most common triggering events related to declining cash flows and restructurings. Andreas walks us through specific examples.
- 23:46 - Key takeaways. We close by discussing some of the factors companies need to be thinking about as they look ahead to Q2 impairment testing.
Andreas Ohl is a partner in PwC's National office where he focuses on mergers and acquisitions under US GAAP and IFRS. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's In-Process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
John Benedett is a Partner in the Capital Markets and Accounting Advisory practice at PwC. John advises large US and international companies in the accounting for complex transactions and the implications of financial and accounting structuring. His deep knowledge of US GAAP and IFRS financial reporting rules allows him to support clients through these challenging endeavors.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Amid the excitement around getting back to a semblance of business as usual, you’re probably asking yourself a lot of questions—as in, what is the new normal and where do I go from here? This podcast is the first episode in a new series for CFOs, controllers—really, anyone in finance—asking big questions, like: how do we emerge from a crisis stronger than before? Each week, we’ll focus on a different area that may need your focus in this period of recovery. This week, host Heather Horn sits down with Tim Ryan, PwC’s US chairman and senior partner, to introduce the series and find out what the view looks like from his chair.
Topics include:
- 0:59 - Current events. Tim begins by sharing his perspective on the current race relations crisis and how COVID-19 impacted PwC.
- 7:41 - Crisis management. These days, everyone has a role in crisis management. Tim examines how to prepare for challenging times by boiling it down to two important actions.
- 13:58 - Strategy. How can you make decisions quickly and innovate when responding to crisis? Tim explains and shares real world examples.
- 18:07 - Digital transformation. There are three reasons why digital transformation is important. Tim shares his views on investing in technology during times of crisis.
- 23:29 - Culture. Tim talks about the value of a culture that allows employees to fail fast and move on. He also tackles how to maintain a positive culture in a remote environment.
- 27:23 - Our strength is our people. Employees are the ones who make things happen. Tim talks about the importance of supporting your people, and what returning to the office may look like.
- 35:05 - Wrap-up. Tim breaks down the crisis and summarizes his most important takeaways.
Tim Ryan is US Chairman and Senior Partner. Previously, he served as Vice Chairman and the Markets, Strategy and Stakeholders Leader at PwC, having responsibility for the firm’s strategy function and stakeholder relationships, including investor relations, regulatory affairs, public policy, corporate responsibility, and human capital.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
How has the FASB addressed accounting concerns during the COVID-19 crisis? To help keep preparers well-informed, PwC director Maria Constantinou joins Heather Horn to discuss recently-issued FASB guidance regarding COVID-19 and other areas of standard setting.
Topics include:
- 2:01 - Effective date deferral. In the midst of the COVID-19 pandemic, the FASB understood that preparers needed help and, therefore, approved a deferral of the revenue and leases standards for some companies. Maria walks through the details.
- 8:42 - COVID-19 issues. Maria covers how the FASB has been working to address the accounting for the impacts of COVID-19, including the recently-issued FASB staff Q&A on hedge accounting.
- 15:02 - Other active projects. While the formal agenda prioritization project has not happened yet, there are other projects moving forward to be aware of. Maria shares the highlights.
Maria Constantinou is a director in PwC’s National office, responsible for monitoring the FASB’s standard-setting activities and is a frequent contributor to PwC's thought leadership efforts. She is also a Digital Accelerator, responsible for automating and enhancing knowledge sharing using the latest technology.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
With reductions to revenue and disruptions to supply chains, companies started to feel the economic effects of COVID-19 at the end of the first quarter. How did this affect how they reported their quarterly results? We’re here to share some observations.
In this episode, Heather Horn is joined by Wayne Carnell to discuss how companies addressed the impact of the virus, including the use of non-GAAP measures, in their reports.
Topics include:
- 0:34 - Overview. We begin by sharing the various ways companies disclosed the impact of COVID-19 in their most recent filings.
- 3:19 - Non-GAAP. Wayne highlights the rules regarding non-GAAP disclosures and why companies like them. He also discusses how companies approached communicating the impact of COVID-19.
- 14:00 - MD&A and notes. How can companies provide investors with information about COVID-19 that would not be appropriate to include in the financial statements? Wayne explains.
- 22:53 - What’s next? As we look forward to the second quarter, Wayne discusses what companies should consider in identifying items related to COVID-19.
Wayne Carnall is a former Chief Accountant of the Division of Corporation Finance at the U.S. Securities and Exchange Commission. Wayne has broad and extensive financial reporting and regulatory experience involving domestic and international companies in a wide range of industries. Having served in that role during the financial crisis, Wayne worked with other senior officials at the SEC and other agencies and organizations to address and resolve financial reporting matters of unprecedented complexity in a dynamic political environment.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The variable interest entity (or VIE) model is the starting place for any company thinking through consolidation. It’s a complex model and a frequent area of confusion. We’re tackling the topic in this episode as Heather Horn is joined by PwC partner Matt Sabatini to discuss what you need to know to make sure you’re getting the VIE model right.
Topics include:
- 0:44 - Definition and scope. Matt explains how VIEs fit in the overall consolidation framework and highlights key scope exceptions.
- 5:40 - Variable interest. How do you determine if you have a variable interest? Matt explains.
- 12:38 - Variable interest entity. Matt shares the five characteristics of a VIE and discusses the considerations for each characteristic.
- 21:33 - What’s next? Once you’ve determined that you have a VIE, Matt walks through the determination of the primary beneficiary.
- 30:31 - Reassessment. The VIE model is not a set-it and forget-it model, periodic reassessment is necessary. Matt explains the specific scenarios that trigger reassessment.
Matt Sabatini is a partner in PwC's National Office with nearly 20 years of experience helping clients and engagement teams navigate the accounting and financial reporting for complex transactions. He specializes in the accounting for M&A, corporate reorganizations, recapitalizations, joint ventures, and other investments.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Need an update on the legislative events in Washington impacting your company? We understand. To keep informed, Heather Horn is joined again by PwC’s Rohit Kumar and Michael O’Brien to summarize the government relief programs aimed at energizing the economy.
Topics include:
- 0:40 - Regulatory developments. We begin by discussing where we are in terms of the congressional and federal response to the coronavirus crisis.
- 6:03 - Implementation and challenges. Here we give an update on The CARES Act. How did implementation go and what changes were made? Michael and Rohit fill us in.
- 17:15 - What’s next? We wrap up with thoughts on what listeners may see Congress do next.
Rohit Kumar is Principal and Co-Leader of the PwC Tax Policy Services practice. In his role, Rohit advises clients on all aspects of domestic policy including tax policy. His insights and knowledge enable companies to assess critical policy issues more effectively and develop legislative
strategies to address those issues from both a technical and political perspective. Prior to joining PwC, Mr. Kumar served as the Domestic Policy Director and Deputy Chief of Staff in the Office of Senate Republican Leader Mitch McConnell.
Michael O'Brien is a Managing Director in the Office of Government, Regulatory Affairs & Public Policy. In his current role, Michael represents the firm and its interests before Congress, the Executive Branch, and Federal regulatory agencies. He has represented the firm on matters related to the implementation of Sarbanes-Oxley and Dodd-Frank, state and federal taxation, and litigation reform.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Accounting for outside basis differences can be complex. In order to get the accounting right, it’s important to first understand the difference between inside basis and outside basis. Help is on the way as Jennifer Spang and Kassie Bauman join Heather Horn to walk you through the basics and then dive a little deeper into the specific considerations.
Topics include:
- 0:50 - The basics. Before jumping into some of the complexities, we start with the basics: what is an outside basis difference?
- 5:35 - Domestic vs. foreign classification. A mix of domestic and foreign entities comprises the legal entity structure of a multinational organization. Kassie helps explain this important distinction in the tax classification.
- 6:32 - Deferred tax liability exceptions. There are various exceptions to recording deferred tax liabilities. Jenn provides examples.
- 9:13 - Deferred tax asset exceptions. Are there any special considerations for deferred tax assets? Kassie explains.
- 10:31 - Measurement considerations. Measuring deferred tax assets or liabilities is an especially complex area. Jenn walks through what companies should consider.
Jennifer Spang is a tax partner in PwC's National Office specializing in tax accounting under US GAAP and IFRS. She has over 25 years of experience helping companies in a variety of industries navigate complex tax accounting matters.
Kassie Bauman is a managing director in PwC's National office who consults on tax accounting under US GAAP and IFRS. Kassie has more than 20 years of auditing and accounting experience, including almost a decade of experience addressing complex technical accounting matters as part of our National office.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In a special two-part episode, Heather Horn is joined by PwC partner Matt Sabatini to discuss the accounting for equity method investments. This Part 1 lays the groundwork for understanding the scope of the guidance and the determination of significant influence. Part II will build on the fundamentals to cover common misconceptions and helpful hints in the application of the guidance.
Part I topics include:
- 1:08 - Scope. We begin by discussing the types of investments within the scope of the equity method including common stock, in-substance common stock, partnerships, and LLCs.
- 13:22 - Significant Influence. The determination of significant influence requires judgment. Matt and Heather discuss the investment characteristics that companies need to consider in this area.
About our guestMatt Sabatini is a partner in PwC's National Office with nearly 20 years of experience helping clients and engagement teams navigate the accounting and financial reporting for complex transactions. He specializes in the accounting for M&A, corporate reorganizations, recapitalizations, joint ventures, and other investments.
About our hostHeather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In a special two-part episode, Heather Horn is joined by PwC partner Matt Sabatini to discuss the accounting for equity method investments. Part 1 laid the groundwork for understanding the scope of the guidance and the determination of significant influence. This Part II builds on the fundamentals to cover common misconceptions and helpful hints in the application of the guidance.
Part II topics include:
- 1:06 - Misconceptions. Accounting for equity method investments can be a source of confusion. Matt discusses basis differences, equity method losses, and impairment.
- 12:13 - Reporting reminders. We close with reminders related to reporting, such as: lag reporting from the investee, and GAAP and SEC requirements.
Matt Sabatini is a partner in PwC's National Office with nearly 20 years of experience helping clients and engagement teams navigate the accounting and financial reporting for complex transactions. He specializes in the accounting for M&A, corporate reorganizations, recapitalizations, joint ventures, and other investments.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
With all the attention on the pervasive impacts of the new revenue standard (ASC 606), some may have overlooked the new guidance on accounting for the costs related to contracts with customers. That’s why Heather Horn is joined by PwC partner Angela Fergason to help navigate the guidance and address some of the questions we’ve been receiving.
Topics include:
- 0:50 - Scope. We begin by discussing the types of costs covered by the guidance and how to navigate the accounting.
- 3:22 - Costs to obtain a contract. Angela expands on the types of costs associated with signing a new customer contract and the common expenses that meet the criteria for capitalization.
- 8:32 - Costs to fulfill a contract. Once the contract has been obtained, then what? Angela and Heather discuss the types of costs related to fulfilling a contract and when those costs may be capitalized.
- 14:59 - Day 2 accounting. After laying the groundwork for what qualifies for capitalization under the standard, Angela fills us in on how to think about the amortization period.
- 23:54 - Disclosures. Angela explains what companies should be thinking about in terms of disclosures regarding contract costs.
Angela Fergason is a partner in PwC's National Office with 20 years of experience specializing in accounting for revenue and employee compensation arrangements. She is a frequent speaker on accounting and financial reporting topics and is a contributor to many PwC National Office publications, including our accounting guides on Revenue and Stock-based compensation.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
If you’re unsure about how COVID-19 might impact your accounting, you're not alone. This podcast is the next episode in a series that will address questions surrounding the financial impact of certain transactions. Heather Horn is joined by PwC partners Pat Durbin and Angela Fergason to look at the accounting for revenue contract modifications.
Topics include:
1:17 - Current environment. Pat provides examples of the types of contract modifications we’re seeing and challenges companies are facing.
4:30 - Contract assessment. If a company changes the terms to a contract, what is the first step to evaluate whether it is a contract modification? Angela explains.
8:31 - Modification model. What is the accounting for a contract modification? Angela gives a refresher of the model under the revenue standard.
14:39 - Concessions. Price reductions and extended payment terms are common concessions. Pat and Angela discuss the accounting for these types of concessions.
21:09 - Disclosures. What should companies be thinking about regarding disclosures? We give a heads up on disclosures related to modifications.
Pat Durbin is the leader of the revenue and liabilities division in PwC’s National Office. He leads a team of partners and directors responsible for consulting with our clients and engagement teams on complex accounting matters relating to revenue, compensation, income taxes, inventory, and several other topics under both US GAAP and IFRS.
Angela Fergason is a partner in PwC's National Office with 20 years of experience specializing in accounting for revenue and employee compensation arrangements. She is a frequent speaker on accounting and financial reporting topics and is a contributor to many PwC National Office publications, including our accounting guides on Revenue and Stock-based compensation.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Even in a challenging market, deals are still being done. In this podcast episode, we turn our attention to the area of business combinations, specifically the differences in accounting for the acquisition of an asset versus a business. Heather Horn is joined by PwC partners Andreas Ohl and Dan Goerlich to walk through the accounting models.
Topics include:
5:13 - Transaction costs. Taking the perspective of the buyer, Andreas and Dan discuss how to think about transaction costs in the two models.
8:52 - In-process R&D. When the target company invests heavily in research and development, accounting at the purchase date is starkly different between the two models. Andreas discusses the impact on net income.
11:20 - Contingent considerations. What is contingent consideration and when is it recorded? Dan explains.
15:40 - Goodwill and other considerations. Does the transaction generate goodwill? Andreas and Dan discuss.
19:14 - The seller’s side. What should sellers be thinking about? We close by taking a look at derecognition.
Andreas Ohl is a partner in PwC's National office where he focuses on mergers and acquisitions under US GAAP and IFRS. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's In-Process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
Dan Goerlich is a deals partner at PwC with over 15 years of experience in public accounting, servicing clients primarily in the banking and capital markets industry, including broker dealers and asset managers, as well as the automotive, industrial products, and real estate sectors. Dan focuses on assisting clients with transformative and complex transactions, specializing in the related accounting and financial reporting.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
If you’re unsure about how COVID-19 might impact your accounting, you're not alone. In response to the COVID-19 crisis, this podcast is the next episode in a series that will address questions surrounding the financial impact. Heather Horn is joined by PwC’s partners Pat Durbin and Jay Seliber to help answer some common questions related to restructuring activities and severance actions.
Topics include:
1:10 - Where to start? Jay provides an overview of the three broad categories of severance benefits.
2:24 - Voluntary termination benefits. These are benefits offered by a company for a short period of time in exchange for an employee's voluntary termination. While it’s the quickest one to describe the accounting for, it’s not necessarily intuitive.
5:04 - Involuntary termination benefits under a pre-existing plan. Recently there have been more involuntary terminations, or expected to happen in the near future. Pat and Jay explain the guidance and highlight the differences when accounting for involuntary and voluntary terminations.
10:33 - One-time involuntary termination benefits that aren’t part of a previous plan. So, what’s the model if a company doesn’t have an established plan? Jay discusses the four requirements that need to be met before accruing a liability.
21:16 - Restructuring costs. Sometimes the termination of employees can have implications on other benefit programs. Pat and Jay explain some of the other restructuring or exit costs that are top of mind for companies.
26:01 - Income statement presentation. After covering the accounting models, we close by discussing where companies should report some of these “one-time” charges on their P&L.
Pat Durbin is the leader of the revenue and liabilities division in PwC’s National Office. He leads a team of partners and directors responsible for consulting with our clients and engagement teams on complex accounting matters relating to revenue, compensation, income taxes, inventory and several other topics under both US GAAP and IFRS.
Jay Seliber is a partner in PwC’s National Accounting Services group with over 30 years of experience. He helps clients with their most complex accounting matters, particularly in the areas of revenue recognition, M&A, stock compensation, employee benefits, restructurings, impairments, and financing transactions.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
By 2022, LIBOR will be discontinued, which could mean big changes for companies. To help manage the transition, Heather Horn is joined by PwC partners Brian Staniszewski and Nick Milone to discuss the key accounting and financial reporting considerations when LIBOR is phased out.
Topics include:
- 0:47 - Scope. The FASB issued new guidance to ease the potential accounting impacts when LIBOR is discontinued. Brian begins by sharing the scope of the guidance and to whom it will apply.
- 5:15 - Accounting model. A broad variety of contracts are expected to be impacted by the LIBOR transition. Nick elaborates on the judgment that will be needed to evaluate whether a contract modification qualifies for an optional expedient.
- 9:33 - Hedging. How will the transition from LIBOR affect hedge accounting? Brian shares insights on how the guidance will provide relief for hedging relationships.
- 15:32 - Other impacts. What are some of the other areas that could be impacted that companies should monitor? Nick explains.
- 19:20 - Transition dates. Brian explains the effective date and transition provisions, and the sunset provisions, of the FASB’s guidance.
Nick Milone is a partner in PwC’s Financial Markets practice where he advises companies on current accounting issues, and the application of accounting standards. Prior to this role, Nick was a Practice Fellow at the FASB, where he was a member of the Financial Instruments Team. As part of that team, Nick worked on the hedge accounting and recognition and measurement projects.
Brian Staniszewski is a partner in PwC’s National Office. Brian helps engagement teams and clients principally in the financial services industry navigate a broad range of technical topics, including hedging, derivatives, and credit losses.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
If you’re unsure about how COVID-19 might impact liquidity, you're not alone. In response to the COVID-19 crisis, this podcast is the next episode in a series that will address questions surrounding the financial impact. Heather Horn is joined by PwC’s business recovery service specialist, Steve Fleming, to help think through the cash flow challenges that companies face during times of crisis.
Topics include:
- 0:35 - Managing liquidity in a time of crisis. Managing liquidity in a crisis comes with unique challenges. Steve compares how companies have historically thought about liquidity to what has changed as a result of the COVID-19 environment.
- 1:40 - The role of the controller's department. Addressing liquidity concerns is a team effort. Steve discusses the planning and coordination needed across the finance and accounting departments.
- 3:40 - First steps. Know your numbers and plan for the worst. Steve highlights the importance of acting swiftly and establishing a liquidity runway.
- 5:11 - Contingency planning. After a company assesses its needs, what are the next steps to consider? Steve walks through the operational levers available to companies in order to protect their position.
- 11:21 - Managing stakeholders. Companies need to effectively communicate their plans related to liquidity to their various stakeholders—including key suppliers and customers. Steve outlines what should be considered in an effective communication strategy.
Steven Fleming is a PwC turnaround & restructuring leader helping clients in a variety of areas, including: strategic planning, complex debt restructurings, cash flow and working capital management, identification of liquidity enhancing activities and cost savings initiatives. He has over 22 years of experience assisting public and private clients in a range of industries.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
If you’re unsure about how COVID-19 might impact your financial reporting, you're not alone. In response to the COVID-19 crisis, this podcast is the next episode in a series that will address questions surrounding the impacts to financial reporting. Heather Horn is joined by PwC valuation specialists Chris Merchant and Chris Bailey to help resolve some of the valuation challenges in the current environment.
Topics include:
- 1:15 - Real estate. Recently, real estate has seen a lot of unexpected disruption. We begin by looking at the trends and hone in on areas of concern from a model perspective.
- 8:23 - Private equity. What are the valuation challenges for private equity? Chris walks through how to consider a lack of transactions in the market and delays in the availability of information.
- 13:31 - Governance. In times of disruption, strong governance is important. Here we discuss the current challenges to effective oversight.
- 17:29 - Operations. What operational questions should you be asking right now? In this segment, we discuss performing a holistic portfolio review.
- 22:30 - Looking ahead. As we look to the next reporting deadline, what information should be top of mind? Hint: documentation is key.
Chris Merchant, a partner in PwC’s Financial Markets Practice, leads the Financial Analytics Team. With nearly 20 years of experience serving a diverse range of institutions, Chris advises clients on strategy, operations, and disruption, with a particular focus on harnessing emerging technologies to improve customer experience, draw insights, and leverage data to create institutional value.
Chris Bailey, a director in PwC’s Financial Markets Practice, focuses on commercial real estate and private credit. Chris has experience in transaction advisory, underwriting, credit assessment, structuring, due diligence and valuations, and corporate entities within investment banking and advisory roles.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
This podcast is the next episode in a series addressing the impact COVID-19 can have on financial reporting. Heather Horn is joined by Gregory Johnson, a PwC director leading outreach to the investor and analyst communities, who shares his insights on the information and transparency investors will be seeking.
Topics include:
- 1:07 - Overview. Given current events, analysts and investors are looking for new information. Gregory sets the stage.
- 3:38 - Cash. What are investors looking for most from companies’ communication? Gregory outlines investors’ focus on cash and any restrictions on access.
- 4:57 - Liquidity. If cash is king, liquidity is a close second. Gregory discusses how the investor community is trying to understand the impact of COVID-19 on companies’ liquidity, which may be an indication on whether they can survive long term.
- 6:26 - Reducing expenses. What are companies disclosing in terms of cost cutting? Gregory also discusses how cash needs may impact dividends and stock buyback plans.
- 12:15 - Long-term viability. Given the high level of uncertainty for the future, we wrap up with insight on how companies have adjusted their strategy (or plan to) for longer-term success.
Gregory Johnson is a director in PwC’s National office with a primary focus on investor engagement. In this role, Gregory builds relationships with investors, analysts, and governance professionals to gain insights into their views on corporate reporting, industry trends, regulatory developments, and other issues that may impact investment decisions.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
To help navigate uncertain times, hear PwC discuss the CARES Act and the liquidity programs it aims to provide companies.
You’ve heard about the CARES Act - but do you know the business provisions and areas of focus that companies are most interested in? This podcast is the next episode in a series that addresses questions received surrounding the impacts of COVID-19 and related legislation on your financial statements. Heather Horn is joined by PwC’s Suzanne Roske, Rohit Kumar, and Michael O’Brien to discuss the business opportunities of the CARES Act.
Topics include:
- 1:16 - Background. We begin with an overview of the three-phased congressional action, and then give a view into the CARES Act and other remedies that the government is employing.
- 3:59 - Tax implications. What are some of the tax provisions in the CARES Act? Rohit discusses recovery rebates, loan facilities, unemployment insurance, and more.
- 8:55 - Loan programs. How can companies take advantage of the variety of available loan programs? Suzanne outlines three buckets of focus for companies.
- 22:05 - Accessing the right relief. There are effective moves to ensure you’re accessing the relief programs that make the most sense for your company. Here we discuss the importance of scenario planning and compliance considerations.
- 30:15 - What’s next? We wrap up with thoughts on what listeners may see next coming from Congress.
Suzanne Roske is a Partner in PwC’s Government Contracts Practice. With over 18 years experience, Suzanne provides expert advice to commercial companies and non-profit organizations that do business with the US Government. She specializes in assisting clients in the areas of business consulting, strategic initiatives, transaction services, and regulatory compliance actions.
Rohit Kumar is Principal and Co-Leader of the PwC Tax Policy Services practice. In his role, Rohit advises clients on all aspects of domestic policy including tax policy. His insights and knowledge enable companies to assess critical policy issues more effectively and develop legislative strategies to address those issues from both a technical and political perspective. Prior to joining PwC, Mr. Kumar served as the Domestic Policy Director and Deputy Chief of Staff in the Office of Senate Republican Leader Mitch McConnell.
Michael O'Brien is a Managing Director in the Office of Government, Regulatory Affairs & Public Policy. In his current role, Michael represents the firm and its interests before Congress, the Executive Branch, and Federal regulatory agencies. He has represented the firm on matters related to the implementation of Sarbanes-Oxley and Dodd-Frank, state and federal taxation, and litigation reform.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Hear the most recent results from PwC’s CFO survey tracking how finance leaders view the impacts of COVID-19 and the actions they are taking to respond.
Corporate leaders are dealing with a significant level of disruption. We surveyed CFOs on how they are dealing with it. This podcast is the next episode in a series that addresses the financial reporting impacts of COVID-19. Heather Horn is joined by Amity Millhiser, PwC Vice Chair and Chief Clients Officer, to explore the most recent findings from PwC’s biweekly CFO survey tracking how finance leaders view the impacts of COVID-19 and the actions they are taking to respond.
Topics include:
- 0:46 - Background of the CFO Pulse Survey. The PwC CFO Pulse Survey incorporates feedback from both private and public companies across a variety of sectors. We set the stage on what it has uncovered.
- 5:45 - Liquidity and cost cutting. Liquidity and cost containment are two areas of focus for companies. Amity and Heather discuss the survey findings in this area and the difficult decisions companies face.
- 8:55 - Government programs. Amity highlights the various government programs benefiting companies, including tax payment deferrals and the extension of deadlines.
- 10:46 - The workforce. CFOs must manage a remote workforce while balancing productivity. Amity discusses how CFOs are dealing with these challenges. 14:38 - Financial reporting. The vast majority of CFOs surveyed anticipate changes to their reporting and disclosures. Amity closes the episode by explaining what we’re hearing from a financial reporting perspective.
Amity Millhiser is PwC’s Vice Chair and Chief Clients Officer, where she serves as the firm's leading client adviser. From her base in Silicon Valley, Amity brings perspectives on digital and emerging technologies to clients as well as experience leading transformations across industries and sectors. Amity is a thought leader on diversity in business as a contributor to PwC's co-founding of the CEO Action for Diversity and Inclusion.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
To help navigate uncertain times, hear PwC leasing specialists discuss lease rent concessions as companies look ahead to their March 31 reporting.
If you’re unsure about how COVID-19 might impact your financial reporting, you're not alone. This podcast is the next episode in a series that will address questions surrounding the impacts of COVID-19 on your financial statements. Heather Horn is joined by John Bishop, a partner, and Suzanne Stephani, a director both from PwC’s National office. In this episode, we’re focusing on questions related to how rent concessions should be accounted for from both a lessee and a lessor perspective.
Topics include:
- 1:12 - Overview of rent concessions. We begin by giving background on common types of rent concessions.
- 6:01 - FASB relief on rent concessions. In response to preparers concerns, the FASB recently provided some relief. John fills us in on the details.
- 10:30 - Lessee accounting for rent concessions as a modification. The FASB's relief is structured as an election. Now companies are trying to decide whether to make the election. Suzanne walks through the various considerations.
- 12:46 - Rent concession and force majeure clauses. Here we discuss the alternative if a lessee chooses not to treat a concession as a modification. Suzanne helps us understand what this means.
- 24:40 - Lessor accounting for rent concessions and collectibility. We close the episode by turning to the lessor. John explains what the FASB’s relief means for lessors and answers some common questions.
John Bishop is a partner in PwC's National office and the co-leader of the financial instruments team. In this role, he leads the group in advising the firm’s clients on a wide array of accounting and reporting matters. John specializes in the accounting for derivatives, financial instruments, financing transactions (e.g., securitizations and leasing) and M&A transactions.
Suzanne Stephani is a director in PwC’s National office with more than 20 years of experience assisting companies in resolving complex accounting issues. Suzanne specializes in the accounting for debt, preferred stock, leases and cash flows.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
To help navigate uncertain times, hear PwC discuss the CARES Act—what’s in it and the accounting impacts.
You’ve heard about the CARES Act - but do you know how to account for its provisions. This podcast is the next episode in a series that addresses questions received surrounding the impacts of COVID-19 and related legislation on your financial statements. Heather Horn is joined by PwC’s Pat Durbin, Tom Barbieri, and Michael O’Brien to discuss the accounting implications of the CARES Act as well as highlights from the FASB’s April 8th meeting.
Topics include:
- 1:26 - Background. We begin by giving background on the genesis of the bill and an overview of what’s in it.
- 4:15 - Credit losses and troubled debt restructuring. Tom discusses the accounting relief provided to companies in these topical areas and helps to interpret the guidance.
- 11:40 - Grants. The bill contains many different types of grants, including grants for not-for-profits. Pat highlights the different accounting considerations.
- 21:24 - Loan programs. Tom provides an overview of the loan programs in the Act and discusses how borrowers can account for these loans.
- 23:00 - Tax implications. There are a number of items in the Act that have tax implications. Pat explores aspects of the CARES Act that will be accounted for under the income tax guidance.
- 30:55 - Disclosures. There are particular disclosure items that companies need to think about specific to the CARES Act. Pat explains.
- 32:25 - What’s next? We wrap up with thoughts on what listeners may see next coming from Congress.
As the leader of the revenue and liabilities division in PwC’s National Office, Pat Durbin leads a team of partners and directors responsible for consulting with our clients and engagement teams on complex accounting matters relating to revenue, compensation, income taxes, inventory and several other topics under both US GAAP and IFRS.
Tom Barbieri is a PwC partner and the Financial Instruments Accounting Leader in PwC’s National Office with over 29 years of experience advising clients on complex accounting financial reporting issues relating to financial instruments. During Tom’s tenure in National, he has been at the forefront of emerging accounting issues and has regular interactions with the Financial Accounting Standards Board, SEC, and other nationally renowned accounting experts.
Michael O'Brien is a Managing Director in the Office of Government, Regulatory Affairs & Public Policy. In his current role, Michael represents the firm and its interests before Congress, the Executive Branch, and Federal regulatory agencies. He has represented the firm on matters related to the implementation of Sarbanes-Oxley and Dodd-Frank, state and federal taxation, and litigation reform.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
To help navigate uncertain times, hear PwC partners discuss revenue collectibility considerations as companies look ahead to their March 31 reporting.
If you’re unsure about how COVID-19 might impact your financial reporting, you're not alone. In response to the COVID-19 crisis, this podcast is the next episode in a series that will address questions received surrounding the impacts to financial statements. Heather Horn is joined by PwC partners Pat Durbin and Angela Fergason to discuss the interaction of collectibility with the revenue standard.
Topics include:
- 0:53 - Overview. We begin by reminding listeners how the assessment of collectibility affects revenue recognition and how current events may impact the model.
- 4:46 - Concessions and extended payment terms. In the current environment, companies may provide price concessions and extended payment terms. Angela and Pat discuss these goodwill gestures and how they impact a company's accounting.
- 8:48 - Reassessing collectibility. Collectibility is an ongoing assessment. We explain the importance of assessing changes in facts and circumstances.
- 12:42 - When collection is not probable. When collection is no longer probable, what should companies be thinking about? Here we help listeners understand the model.
- 16:10 - Interaction with CECL. With many companies adopting CECL this quarter, Angela and Pat close by looking at the interplay between what we’ve discussed and the impairment of trade receivables under the CECL model.
As the leader of the revenue and liabilities division in PwC’s National Office, Pat Durbin leads a team of partners and directors responsible for consulting with our clients and engagement teams on complex accounting matters relating to revenue, compensation, income taxes, inventory and several other topics under both US GAAP and IFRS.
Angela Fergason is a partner in PwC's National Office with 20 years of experience specializing in accounting for revenue and employee compensation arrangements. She is a frequent speaker on accounting and financial reporting topics and is a contributor to many PwC National Office publications, including our accounting guides on Revenue and Stock-based compensation.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
To help navigate uncertain times, hear PwC discuss interim disclosure considerations as companies look ahead to their quarterly filings.
If you’re unsure about how COVID-19 might impact your financial reporting, you're not alone. In response to the COVID-19 crisis, this podcast is the next episode in a series that will address questions received surrounding the impacts to financial statements. Heather Horn is joined by Eric Sullivan, a PwC director, to focus on key impacts that COVID-19 could have on Form 10-Q filings, as well as other disclosure updates relevant for Q1 2020.
Topics include:
- 1:12 - SEC filing relief. We begin by reminding listeners about recent filing relief available for companies affected by the COVID-19 crisis.
- 4:10 - SEC disclosure guidance. The SEC recently issued guidance to consider when evaluating how COVID-19 might impact disclosure. Eric walks through key areas of disclosure within the financial statements and MD&A and discusses non-GAAP considerations.
- 14:58 - Internal controls. Companies are having to think through how their controls operate in the current environment. What do they need to consider from a 10-Q perspective? Eric explains.
- 17:46 - Other Q1 2020 considerations. Even while COVID-19 is top of mind, don’t lose sight of a few other important topics for Q1 reporting. Eric highlights SEC rule updates, leasing disclosures, and the adoption of the cloud computing and CECL standards.
- 23:26 - Final thoughts. We close with reminders about the importance of early communication with auditors and encourage listeners to reach out to the SEC with questions related to the deadline relief, disclosure guidance, or other concerns regarding the impacts of COVID-19.
Eric Sullivan is a director in PwC’s National Office specializing in SEC financial reporting matters. With over a decade of accounting and auditing experience, Eric has served public and private clients in the technology and media industries.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
If you’re unsure about how COVID-19 might impact your financial reporting, you're not alone. In response to the COVID-19 crisis, this podcast is part of a series that will address questions received surrounding the impacts to financial statements. Heather Horn is joined by PwC partner Andreas Ohl to focus on fair value in the context of goodwill, intangibles, and long lived assets.
Topics include:
- 1:05 - Overview. We begin by establishing a foundation for understanding fair value concepts. Andreas provides an overview of the concepts and key considerations to keep in mind.
- 2:35 - Best practices. What are some helpful tips when companies are determining fair value estimates? Andreas explains.
- 8:02 - Control premium considerations. A common question we hear relates to the control premium assumption. Andreas explains what the concept represents and what companies should think about in the current environment.
- 12:47 - Discount rates. Addressing another common question, Andreas walks listeners through the discount rate assumption model and how it should be applied in the current environment.
- 16:10 - Distressed markets. We close by discussing the concept of distressed markets. We close with a discussion on the goodwill impairment model and share examples of potential triggering events for interim impairment testing.
About our guest
Andreas Ohl is a partner in PwC's National office, where he focuses on mergers and acquisitions under US GAAP and IFRS. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's In-Process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
About our hostHeather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
If you’re unsure about how COVID-19 might impact your financial reporting, you're not alone. In response to the COVID-19 crisis, this podcast is part of a series that will address questions received surrounding the impacts to financial statements. Heather Horn is joined by PwC partner Andreas Ohl to cover common questions and give helpful reminders on an accounting fundamental: nonfinancial asset impairment.
Topics include:
- 1:10 - Order of impairment testing. Before diving into the specific impairment models, Andreas helps listeners understand the order in which assets should be tested for impairment. He also highlights the differences in testing order for assets that are held and used vs held for sale.
- 2:48 - Long-lived assets impairment model. The nature of and need for impairment testing varies based on the type of nonfinancial asset being assessed. Andreas walks through the specific models for performing impairment testing.
- 9:04 - Long-lived assets triggering events. The concept of a triggering event is critical to the nonfinancial asset impairment model - that’s what “sets off” the need for a full quantitative impairment test. Andreas provides some examples of triggering events.
- 12:24 - Goodwill impairment model. Once listeners understand the long-lived asset impairment model, Andreas explains how it differs from the model for goodwill and indefinite-lived intangible assets.
- 15:45 - Goodwill triggering events. We close with a discussion on the goodwill impairment model and share examples of potential triggering events for interim impairment testing.
About our guest
Andreas Ohl is a partner in PwC's National office, where he focuses on mergers and acquisitions under US GAAP and IFRS. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's In-Process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
About our hostHeather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
If you’re unsure about how COVID-19 might impact your financial reporting, you're not alone. In response to the COVID-19 crisis, this podcast is part of a series that will address questions received surrounding the impacts to financial statements. Heather Horn is joined by PwC partners Tom Barbieri, Chip Currie, and Matt Sabatini to focus on the impairment models for various financial instruments.
Topics include:
- 0:50 - Available-for-sale (AFS) debt securities. The current economic environment has companies focused on the application of impairment models. Chip and Tom begin by discussing the model for AFS debt securities, as well as give some practical considerations given today’s environment.
- 7:19 - Equity securities using the measurement alternative. Next, we discuss what companies should consider regarding the impairment model for equity investments accounted for using the measurement alternative.
- 12:30 - Equity method investments. Turning to the last financial instrument in our discussion, Matt provides thoughts on the impairment model for equity method investments and how companies will need to exercise judgment in their evaluation.
About our guests
Tom Barbieri is a PwC partner and the Financial Instruments Accounting Leader in PwC’s National Office with over 29 years of experience advising clients on complex accounting and financial reporting issues relating to financial instruments. During Tom’s tenure in National, he has been at the forefront of emerging accounting issues and has regular interactions with the Financial Accounting Standards Board, SEC, and other nationally renowned accounting experts.
Chip Currie is a Partner in PwC’s National Office with over 20 years of experience assisting companies in resolving complex business and accounting issues. He concentrates on the accounting for financial instruments for both current and emerging standards and works with many of the firm's largest financial services clients and a number of non-financial service clients on treasury-related matters.
Matt Sabatini is a partner in PwC's National Office with nearly 20 years of experience helping clients and engagement teams navigate the accounting and financial reporting for complex transactions. He specializes in the accounting for M&A, corporate reorganizations, recapitalizations, joint ventures, and other investments.
About our host
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
If you’re unsure about how COVID-19 might impact your financial reporting, you're not alone. In response to the COVID-19 crisis, this podcast is the second in a series that will address questions received surrounding the impacts to financial statements. Heather Horn is joined by Chip Currie and Christophe Cadiou, PwC partners, to focus on CECL considerations.
Topics include:
- 1:55 - Macroeconomic considerations. Since adopting the standard on Jan 1, much has happened in our economic environment—most of it unanticipated. Christophe provides insights into a few of the emerging economic forecasting themes.
- 4:55 - Controls and other considerations. There are many considerations when determining whether a company's processes function appropriately in this new environment. Christophe and Chip discuss some of the credit matters they are seeing and the adjustments companies are making to communicate the rapidly changing environment around CECL.
- 6:35 - Credit models and processes. Companies have developed new models to make estimates of credit losses. Christophe discusses what companies are asking themselves to make sure their models are capturing the right information.
- 12:07 - Third-party data. Beyond the importance of understanding the data and having effective controls, there are other critical areas that companies will need to think about when dealing with third-party data. Chip explains.
- 14:05 - Disclosures. A final, key item that companies will need to make sure they’ve appropriately addressed is the disclosures. Chip provides reminders.
About our guestsChip Currie is a Partner in PwC’s National Office with over 20 years of experience assisting companies in resolving complex business and accounting issues. He concentrates on the accounting for financial instruments for both current and emerging standards and works with many of the firm's largest financial services clients and a number of non-financial service clients on treasury-related matters.
Christophe Cadiou is a partner in PwC's Financial Markets practice with over 25 years experience. He advises financial institutions on practical implementation solutions to complex challenges presented by regulatory and accounting change.
About our host
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
If you’re unsure about how COVID-19 might impact your financial reporting, you're not alone. In response to the COVID-19 crisis, this podcast is the first in a series that will address questions received surrounding the impacts to financial statements. Heather Horn is joined by Chris Merchant and Tom Barbieri, PwC partners, to focus on fair value considerations.
Topics include:
- 0:40 - Market overview. We begin by discussing how COVID-19 is affecting world markets and the profound challenges that businesses are facing.
- 3:32 - Valuation considerations. Fair value is one area of GAAP that has not significantly changed in recent years. Here we discuss the fundamental principles for how companies should think about fair value including the valuation premise and the fair value hierarchy.
- 9:42 - Determining the fair value during market volatility. COVID-19 disruptions are causing a lot of uncertainty. Tom and Chris explain what companies need to know regarding certain judgements and assumptions.
- 15:30 - Levelling. Given that companies may be using different inputs in their valuations, Chris discusses what companies should consider as they prepare their levelling tables.
- 21:06 - Oversight. We close the episode by addressing questions received regarding governance over valuation.
About our guests
Tom Barbieri is a PwC partner and the Financial Instruments Accounting Leader in PwC’s National Office with over 29 years of experience advising clients on complex accounting financial reporting issues relating to financial instruments. During Tom’s tenure in National, he has been at the forefront of emerging accounting issues and has regular interactions with the Financial Accounting Standards Board, SEC, and other nationally renowned accounting experts.
Chris Merchant is a partner in PwC’s Financial Markets Practice, leading the Financial Analytics Team. With nearly 20 years of experience serving a diverse range of institutions, Chris advises clients on strategy, operations, and disruption, with a particular focus on harnessing emerging technologies to improve customer experience, draw insights, and leverage data to create institutional value.
About our host
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
When companies experience temporary cash flow issues during uncertain times, the ability to repay debt may come into question. What should companies know when that happens?
Listen as Heather Horn and Suzanne Stephani discuss debt from a borrower’s perspective, covering key reminders on the accounting for covenant violations and debt restructurings. Topics include:
- 0:37 - Overview. We begin by taking a look at the volume of corporate debt and why some worry about the potentially higher debt default rates.
- 2:36 - Covenant violations. Suzanne explains what companies should think about if they are at risk of violating a covenant in their debt agreement.
- 6:43 - Subjective acceleration clauses. What are subjective acceleration clauses, and how could they impact debt classification? Suzanne fills us in.
- 09:53 - Troubled Debt restructuring (TDR). Debt restructurings can happen for a variety of reasons; and, in times of economic uncertainty, there could be an uptick in TDRs. Suzanne covers the TDR accounting model.
- 18:07 - Related party debt restructurings. In economic downturns, we may see more related party debt being restructured or extinguished at terms favorable to the issuer. Suzanne helps companies think through the considerations in this area.
About our guest
Suzanne Stephani is a director in PwC’s National office with more than 20 years of experience assisting companies in resolving complex accounting issues. Suzanne specializes in the accounting for debt, preferred stock, leases, and cash flows. Suzanne is also the lead producer and director of PwC's popular quarterly accounting webcast.
About our host
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Coronavirus (COVID-19) is a global issue that continues to dominate the headlines. In addition to its immeasurable human toll, it is also altering business and consumer activity, which may impact your financial statements. That is why Heather Horn and a team of PwC National Office partners came together to help listeners understand the potential accounting implications. Topics include:
- 0:45 - Revenue recognition. We begin by providing perspective on the potential consequences of the disruption to revenue.
- 7:23 - Asset impairment. Many companies carry goodwill and intangibles on their balance sheet. Matt explains how companies should think about the potential impacts and shares reminders for evaluating whether the virus has caused an impairment.
- 12:27 - Hedging and debt. Next we turn our attention to how the recent events may affect companies in the areas of hedging and debt.
- 16:33 - Restructuring, stock comp, insurance and inventory. Heather and the panel discuss other areas that may not be quite as pervasive but ones that companies should still be thinking about in response to the virus.
- 23:08 - Disclosure (Updated April 2, 2020). We close the episode by talking about disclosures at two levels: first, by looking at US GAAP requirements and then by spending some time on SEC disclosures.
About the guests
Matt Sabatini is a partner in PwC's National Office with nearly 20 years of experience helping clients and engagement teams navigate the accounting and financial reporting for complex transactions. He specializes in the accounting for M&A, corporate reorganizations, recapitalizations, joint ventures, and other investments.
Jay Seliber is a partner in PwC’s National Accounting Services group with over 30 years of experience. He helps clients with their most complex accounting matters, particularly in the areas of revenue recognition, M&A, stock compensation, employee benefits, restructurings, impairments, and financing transactions.
Ryan Spencer is a partner in PwC's National Office specializing in SEC financial reporting matters. He has over 20 years of experience serving clients in the technology and life sciences industries and is a frequent contributor to PwC’s publications and communications.
Brian Staniszewski is a partner in PwC’s National Office. Brian helps engagement teams and clients principally in the financial services industry navigate a broad range of technical topics, including hedging, derivatives, and credit losses.
About the hostHeather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Dealing with an accounting change—whether it’s a new standard or some other business change that impacts your accounting—is time-consuming and complex. To help avoid rework (and reduce stress!) we discuss a four-step implementation methodology to get you over the finish line.
Heather Horn and a panel of guests use the newly-adopted revenue, leases, and CECL standards to share lessons learned. Topics include:
- 0:50 - GAAP change methodology. Paving the way for the four-step process, we give an overview of the methodology.
- 3:51 - Phase 1: assess. The accounting department can’t do it alone, so while it can be a complex exercise, the first step is bringing together all the right people.
- 7:31 - Phase 2: convert. To avoid rework, the convert stage is the time to think ahead and do your due diligence. The panel explains.
- 14:43 - Phase 3: embed. This stage is all about embracing a mindset around the controls. Heather and guests discuss systems and processes and how to identify control gaps.
- 21:18 - Phase 4: optimize. You’ve achieved compliance. Now what? Hear the importance of shifting your focus to sustaining and improving your new processes.
About the guestsChristophe Cadiou is a partner in PwC's Financial Markets practice with over 25 years experience. He advises financial institutions on practical implementation solutions to complex challenges presented by regulatory and accounting change.
Jon Spivey is a Partner with PwC's Digital Risk Solutions practice focused on delivering solutions that help his clients leverage the power of technology and data. He has successfully delivered data-enabled solutions for revenue and lease accounting changes to clients in a wide variety of industries.
Mei Yin Ng is a PwC director specializing in lease accounting implementation. Mei has managed large-scale global system implementation and transformation projects encompassing the integration of complex systems and platforms across front, middle and back office.
About the hostHeather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Despite the abundance of available technologies to address cybersecurity risk, breaches are still occurring at a rapid rate; but, with the right enterprise-wide policies and procedures, companies can mitigate the risks. Tune in as Heather Horn discusses cybersecurity and privacy with PwC principal Jim Fox. Topics include:
- 2:03 - The current environment. Is the cyber threat landscape worse or just different compared to recent years? Jim sets the stage.
- 3:46 - Considerations for cybersecurity. Jim and Heather discuss the three strategic components to an effective cyber program.
- 6:38 - A breach has happened. Now what? Jim shares what companies should think about when responding to an attack.
- 11:30 - The cyber and privacy regulation landscape. In response to an increase in breaches and public outcry, the regulatory landscape is changing quickly. Jim explains.
- 20:44 - What’s next? Jim closes by giving a future outlook of cyber, and a bonus topic, sharing a few tips for protecting your personal data.
About the guestJim Fox is a PwC principal specializing in cybersecurity and privacy. With over 20 years experience, Jim develops cybersecurity and technology strategies and engages at both the strategic and deep technical levels. His scope of expertise encompasses cybersecurity risk strategy and transformation, including risk quantification, program design, incident response and security assessment, and testing.
About the host
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Whether you report under IFRS or US GAAP, living in a global economy means it’s important to understand financial reporting around the world. Tune in as Heather Horn talks with PwC’s global leader of business combinations, Larry Dodyk, to discuss the IASB’s standard setting process and project agenda. Topics include:
- 2:45 - Board overview. Larry kicks off by giving an overview of the standard-setting process and setting the stage on the composition of the IASB.
- 5:04 - Upcoming changes. With some members’ terms coming to an end, the IASB will see some changes this year. Larry takes us through just how much change the IASB is preparing for.
- 8:34 - The interpretations committee. What is the role of the interpretations committee and how does it interact with the IASB? Larry fills us in.
- 12:32 - Active projects. Larry and Heather discuss how the IASB sets its agenda and highlight a few of the current projects it’s tackling.
- 17:58 - Future outlook. Beyond the short-term projects, what’s ahead for the IASB? We close out by talking about the issues that will keep the IASB busy in coming years.
About the guestLarry Dodyk is a partner in PwC’s National office, the global leader of the firm’s business combinations group, and a member of the EITF. With more than 30 years of experience assisting companies in resolving complex accounting issues, Larry helps determine the firm’s position on select accounting and financial reporting matters.
About the hostHeather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
It’s a different perspective in this week’s episode! Tune in as we go behind the curtain at PwC’s National office to hear from the wizards solving your most complex accounting issues.
Heather Horn, John Bishop, and Pat Durbin share best practices as they guide listeners through how to solve complex accounting issues. Topics include:
- 0:40 - Got questions? We are here to help. Clients and engagement teams consult with the National office when there are questions about how to apply the guidance―whether due to the complexity of the transaction or of the guidance itself, or the level of judgment necessary.
- 3:24 - The road to resolution. John walks us through different types of consultations―from answering quick questions on the guidance to evaluating more complex transactions.
- 6:08 - Focus on developing consensus. We discuss the collaboration and research involved in resolving issues as well as give examples of especially challenging areas.
- 10:55 - Outside help. Pat and John explain when and why the input of other parties (e.g., regulators or other firms) may be helpful in reaching a resolution.
- 15:54 - Best practices. A lot of work goes into developing and finalizing a point of view. Pat and John close by sharing best practices to help make the process as smooth as possible. Spoiler: start early!
About the guests
John Bishop is a partner in PwC's National office and the co-leader of the financial instruments team. In this role, he leads the group in advising the firm’s clients on a wide array of accounting and reporting matters. John specializes in the accounting for derivatives, financial instruments, financing transactions (e.g., securitizations and leasing) and M&A transactions.
As the leader of the revenue and liabilities division in PwC’s national office, Pat Durbin leads a team of partners and directors responsible for consulting with our clients and engagement teams on complex accounting matters relating to revenue, compensation, income taxes, inventory and several other topics under both US GAAP and IFRS.
About the host
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
As calendar year public companies get ready for their first year end lease reporting cycle, listen as Heather Horn, Suzanne Stephani and Marc Jerusalem answer some common questions. Topics include:
- 1:35 - Disclosures. The new guidance requires more disclosure, enabling financial statement users to better understand the cash flows arising from leases. So did that happen? Suzanne kicks off with what we are hearing from users and regulators.
- 10:48 - Balance sheet. A common question relates to the current vs noncurrent presentation of the lease liability. Marc fills us in on what companies should be thinking about.
- 13:23 - Income statement. You were able to sublease your space, but how do you present sublease income? We address common questions.
- 16:08 - Statement of cash flows. Are you clear how lease payments and changes in the lease liabilities and right of use assets should be presented in the statement of cash flows?
- 19:07 - Interim disclosures. Last year your first quarter likely had the full annual disclosures for leases. How much can you take out now that it’s just the interim requirements? Marc explains.
About our guestsSuzanne Stephani is a director in PwC’s National office with more than 20 years of experience assisting companies in resolving complex accounting issues. Suzanne specializes in the accounting for debt, preferred stock, leases and cash flows.
Marc Jerusalem is a director in PwC’s National office specializing in leasing. As a global leasing specialist, Marc consults with clients on complex lease accounting issues and is a contributor to many related PwC National Office publications.
About our hostHeather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The audit committee is one of the busiest committees on the board and has a wide range of responsibilities beyond financial reporting oversight. So, as listeners prepare for year-end audit committee conversations, host Heather Horn talks to PwC’s governance leader, Paula Loop, about the role of the audit committee and how management can help facilitate their oversight responsibilities. Topics include:
- 0:22 - Overview. Paula provides insights into the broad range of topics that keep audit committees busy.
- 2:57 - The audit committee players. To meet the long list of responsibilities, the audit committee must possess a wide breadth of experience. Paula discusses the composition of effective audit committees.
- 7:18 - Meeting effectiveness. Here’s where management teams and auditors can help. Paula gives practical tips for how to prepare more effective and efficient meeting materials.
- 10:41 - Key issues. How does the audit committee stay on top of its many agenda items? Paula explains.
- 14:15 - New topics. Heather and Paula discuss trending areas that may be moving higher on the committee’s priority list.
About our guestPaula Loop is the leader for PwC's Governance Insights Center, dedicated to helping directors meet the challenges of their critical roles. Previously she served as PwC's NY Metro Regional Assurance Leader, leading one of PwC's largest assurance practices. Paula has served clients almost exclusively in the retail and consumer products industry, serving several multinational companies, employing her significant experience in dealing with operational, technical accounting, and SEC/financial reporting matters.
About our hostHeather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The statement of cash flows is a window into a company’s performance and helps financial statement users make investing and lending decisions; but, it’s also a frequent source of restatements.
So, why do we continue to see so many issues? Listen as Heather Horn and Suzanne Stephani go back to the basics to cover statement of cash flows fundamentals, common questions, and helpful reminders. Topics include:
- 0:40 - Overall classification model. The statement of cash flows is the only financial statement that is done on a cash basis, so all ins and outs from a bank account have to be classified into either investing, financing, or operating cash flows. We begin by giving a refresher on how that works.
- 5:56 - Identifying cash and cash equivalents. It’s not always as straight forward as you may think to determine what does or does not need to be reflected on the statement of cash flows. Suzanne fills us in.
- 9:15 - Deferred costs. Where do deferred costs show up on a company’s financial statement? Suzanne helps listeners understand how deferred costs should be classified in the cash flow statement.
- 11:12 - Business combinations. Business combinations often generate cash flows that may be reflected in all sections of the cash flow statement. Suzanne takes us through common questions.
- 15:56 - Non-cash transactions. The statement of cash flows guidance requires separate disclosure of investing and financing non-cash transactions. We wrap up by looking at the requirements and examples in this area.
Suzanne Stephani is a director in PwC’s National office with more than 20 years of experience assisting companies in resolving complex accounting issues. Suzanne specializes in the accounting for debt, preferred stock, leases, and cash flows. Suzanne is also the lead producer and director of PwC's popular quarterly accounting and reporting developments webcast.
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Accounting for valuation allowances under ASC 740 can be a challenging area because of the extent of judgment involved. PwC’s Heather Horn and Kassie Bauman cover a lot of ground when they take on this complex area. Topics include:
- 4:35 - Weighing evidence from recent years. We start with how to think about positive and negative evidence and cumulative losses in recent years.
- 10:00 - Projections of income and what is “objectively verifiable.” Kassie discusses how companies are required to consider all four sources of potential taxable income when evaluating the realization of deferred tax assets and weigh the available positive and negative evidence.
- 15:09 - Tax planning strategies. Heather and Kassie talk about how to assess available prudent and feasible tax planning strategies, and the importance of real-time documentation of judgments.
- 18:42 - Common misconceptions. You might need a valuation allowance even when the company is in a net DTL position. And indefinite carryforwards don’t get you off the hook, either. Kassie explains.
- 22:19 - Valuation allowance reversal. Kassie switches gears to end with a discussion about what listeners should know about when to release a valuation allowance.
About our guestKassie Bauman is a managing director in PwC's National office who consults on tax accounting under US GAAP and IFRS. Kassie has more than 20 years of auditing and accounting experience, including almost a decade of experience addressing complex technical accounting matters as part of our National office.
About our hostHeather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Accounting for defined benefit pension plans can be a complex area, and companies need to be aware of the guidance. That’s why Heather Horn and PwC pension specialist Nicole Berman go back to the basics to highlight a few of the fundamental accounting rules for these types of plans, including:
- 2:33 - Remeasurement. Nicole walks through the timing of measurement, including how to measure plan assets and obligations.
- 4:42 - Pension costs. Nicole reminds listeners what’s included in pension costs and talks about how pension costs are determined.
- 6:02 - Recognizing costs. Nicole discusses the timing of recognition.
- 11:28 - Significant interim events. Big events, like plan freezes, require specific accounting. Nicole explains.
- 16:23 - Final thoughts. We wrap up by sharing a few frequently asked questions―including what to think about when it comes to disclosures.
About our guestNicole Berman is a Director in PwC's National office who advises the firm’s partners and clients on accounting for complex transactions related to revenue recognition and employee compensation matters, including stock-based compensation, pensions, OPEB, and restructurings, under both US GAAP and IFRS. She helps craft the firm's positions on new financial reporting pronouncements and assesses the technical merit of FASB and IASB proposals.
About our hostHeather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
PwC’s US public policy leader Roz Brooks joins Heather Horn to discuss Capitol Hill and the impact of politics and public policy on the financial statements. Topics include:
- 0:46 - Congressional interest in the FASB. Roz explains why Congress is focusing on accounting rules and how Congress and the FASB interact.
- 9:36 - Risks and uncertainties. We dive into more specific areas of focus that may impact companies, including privacy.
- 13:03 - Trade and tariffs. Roz provides an update on the trade wars and how they may impact financial statement preparers and users.
- 19:11 - Final thoughts. We wrap up by looking ahead to public policy in an election year.
About our guestAs PwC's US Public Policy Leader, Roz Brooks is responsible for ensuring PwC has a voice in important debates at the nexus of business and government and helping the firm successfully execute its business strategy. Roz leads PwC’s engagement with Congress, the White House, regulatory agencies, state and local governments, and organizations including trade associations, think tanks, and NGOs. In addition, she is responsible for the firm’s compliance matters in the areas of lobbying and political contributions. She also serves on PwC’s Global Regulatory & Policy Board, where she collaborates with her international counterparts to set direction of the global network’s strategy on engagement with regulators worldwide.
About our hostHeather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
With the CECL effective date just around the corner for most calendar year-end SEC filers, many companies are in the final stages of implementation. PwC partners Chip Currie and Chris Rickli join Heather Horn to discuss implementation hot topics and the areas generating the most questions, including:
- 0:53 - Where should companies be in their implementation? Chris talks about dry runs and shares other best practices.
- 4:06 - Implementation considerations for non-financial companies. Chip discusses what’s in scope and where non-financial companies should focus.
- 9:02 - Use of third-party vendors and data to support implementation. Chip and Chris highlight considerations for working with third-party vendors and share lessons learned.
- 13:36 - Disclosures. Chip and Chris discuss SAB 74 and the new vintage disclosures.
- 25:01 - Final thoughts. We wrap up by sharing areas of regulator focus and early lessons learned.
About our guestsChip Currie is a Partner in PwC’s National Office with over 20 years of experience assisting companies in resolving complex business and accounting issues. He concentrates on the accounting for financial instruments for both current and emerging standards and works with many of the firm's largest financial services clients and a number of non-financial service clients on treasury-related matters.
Chris Rickli is a Partner in the Banking and Capital Markets practice in New York. Formerly in the PwC National Office, Chris now serves a variety of clients ranging from large, multinational banking institutions to broker-dealers and asset management advisors and funds.
About our hostHeather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
As most calendar year public companies head into their first year-end close for the new leasing standard, we discuss some frequently asked questions around the ongoing accounting for operating leases. Listen as Suzanne Stephani and Marc Jerusalem, directors in our National office, join Heather Horn to take a closer look at some of the more common questions. Topics include:
- 1:01 - Lessee payments. We start with new leases and take a look at how to account for the payments that lessees make to get the asset ready for use.
- 4:54 - Lessor reimbursements. Next, we discuss common questions on how lessees account for reimbursement of those payments from the lessor.
- 10:59 - Ending a lease: termination accounting. Marc and Suzanne talk about what should companies be thinking about when a lessee is required to make a termination payment.
- 11:53 - Ending a lease: modification accounting. Some terminations are not so straight forward. Marc explains the accounting considerations for situations when a lessee continues to use the asset for a shortened period of time after the lease termination is agreed upon.
- 15:50 - The statement of cash flows. We wrap up by discussing how operating leases should be presented on the statement of cash flows.
About our guestsSuzanne Stephani is a director in PwC’s National office with more than 20 years of experience assisting companies in resolving complex accounting issues. Suzanne specializes in the accounting for debt, preferred stock, leases and cash flows. Suzanne is also the lead producer and director of PwC's popular quarterly accounting and reporting developments webcast.
Marc Jerusalem is a director in PwC’s National office specializing in the new leasing standards (ASC 842 and IFRS 16). As a global leasing specialist, Marc consults with clients on complex lease accounting issues and is a contributor to many PwC National Office publications, including the Leases accounting guide.
About our hostHeather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Stakeholder reporting is communicating how a company defines and measures its purpose and commitment to all stakeholders. It’s a topic of much interest as companies look to balance driving shareholder value with playing a broader role in society. Join Heather Horn as she and Wes Bricker discuss purpose-led reporting and where it’s going in the short and long term. Topics include:
- 0:47 - Overview. Recently, the Business Roundtable leaders met to redefine corporate purpose. Wes gets us up to speed. Then he explains that shareholder primacy and stakeholder capitalism are not mutually exclusive.
- 4:57 - Measurement. How are companies measuring the broader commitment they are making to stakeholders, and where should companies who are thinking about this type of reporting start? Wes explains.
- 9:20 - Best practices. We discuss three concepts― defining your purpose, measuring it, and reporting on it―that can help companies up their game in communicating to stakeholders.
About our guestWes Bricker is PwC’s Vice Chair and Assurance Leader for the US and Mexico. In this capacity, he serves as a member of the US Leadership Team and the Global Assurance Executive Leadership Team. Wes’ leadership and oversight of the Assurance practice encompasses audit quality, business development and portfolio strategy, human capital, diversity, innovation, and technology.
About our host
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The responses to the FASB’s invitation to comment on goodwill impairment are in. It’s a topic that has received a lot of attention from a wide range of stakeholders. Join Heather Horn, Andreas Ohl and Chad Morrissey as they take a closer look at the early reactions. Topics include:
- 1:13 - Overview of the comment letter and PwC’s responses. The FASB’s Invitation to Comment was a robust document. We discuss the key topics and PwC’s areas of focus.
- 10:01 - A look at who responded. The almost 100 respondents were from a diverse pool of stakeholders--we break their feedback down for you.
- 16:53 - Key response trends...or lack thereof. Why are some respondents in favor of amortizing goodwill while others are not? We take a closer look at the debate.
- 20:02 - New and surprising. We highlight a few of the more surprising ways some respondents thought about goodwill.
- 25:15 - Next steps. What’s next? We wrap it up by sharing some final thoughts.
About our guests
Andreas Ohl is a partner in PwC's National office, where he focuses on mergers and acquisitions under US GAAP and IFRS. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's In-Process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
Chad Morrissey is a principal in PwC's Deals Practice, where he performs valuations of businesses, business interests, various classes of capital structure, and intangible assets. Chad leads the Technology Sector for the US Valuation and Business Modeling Practice.
About our host
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Companies may restructure their debt before the debt is due, and the accounting can get complex. Listen as Suzanne Stephani, a director in our National office, joins Heather Horn to explain the various models and key accounting considerations. Topics include:
- 1:21 - Overview on debt restructuring. Does the guidance need to be applied any time you make a change to your debt? We start by looking at what to think about first.
- 6:10 - The accounting models. Suzanne walks through each of three accounting models.
- 12:52 - The 10% test. If the lender remains the same, the 10% test is important in determining if the restructuring should be accounted for as a debt modification or an extinguishment. Suzanne explains.
- 13:57 - Common questions and pitfalls. Suzanne explains prepayment options, principal changes and more.
- 20:55 - The statement of cash flows. We wrap up by discussing how debt restructuring fees should be presented on the statement of cash flows.
About our guest
Suzanne Stephani is a director in PwC’s National office with more than 20 years of experience assisting companies in resolving complex accounting issues. Suzanne specializes in the accounting for debt, preferred stock, leases and cash flows. Suzanne is also the lead producer and director of PwC's popular quarterly accounting and reporting developments webcast.
About our host
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Accounting for income taxes impacts almost all companies and can be complex. In order to get the accounting right, it’s important to understand what’s in the scope of the income tax guidance. Help is on the way as Jennifer Spang and Kassie Bauman join Heather Horn walk you through the principles involved. Topics include:
- 2:04 - Definition of income taxes. We start with an important first step: knowing what qualifies as an income tax.
- 3:46 - Withholding taxes. Withholding taxes are common. Kassie helps us understand how to determine whether withholding taxes are within the scope of ASC 740 and the different models to follow.
- 6:44 - Tax credits and other benefits. Jenn explains how it’s not always clear if credits and incentives are in the scope of the income tax guidance. It can take some detective work to get to the right answer.
- 10:22 - Partnerships and other non-taxable entities. Legal form alone isn’t always determinative. We discuss what else to consider when figuring out if you need to apply income tax accounting.
- 14:11 - The evolving tax landscape. Jenn provides some final reminders.
About our guests
Jennifer Spang is a tax partner in PwC's National Office who consults on tax accounting under US GAAP and IFRS.
Kassie Bauman is a managing director in PwC's National Office who consults on tax accounting under US GAAP and IFRS.
About our host
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Accounting for contract changes under the new revenue standard can be complex, and not all modifications are accounted for the same. Tune in as Angela Fergason joins Heather Horn to help navigate the guidance by sharing 5 things you need to know about contract modifications under ASC 606. Topics include:
- 0:47 - Definition of contract modification. Before we jump into the accounting, Angela explains what a contract modification is under the new revenue standard.
- 2:09 - Modifications accounting model. Angela explains the accounting for different types of contract modifications. (See table)
- 4:54 - Key areas of judgment. After discussing the basic framework, Angela and Heather discuss the judgments that impact the conclusion.
- 8:47 - Operational challenges. Having the right processes and controls in place is important. We tell you where to start.
- 10:55 - Disclosures. Before closing the show, we give a heads up on some of the disclosures that could be impacted by a modification.
About our guest
Angela Fergason is a partner in PwC's National Office with 20 years of experience specializing in accounting for revenue and employee compensation arrangements. She is a frequent speaker on accounting and financial reporting topics and is a contributor to many PwC National Office publications, including accounting guides on Revenue and Stock-based compensation.
About our host
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Service concession arrangements can be long term in nature, so day 1 accounting decisions will impact your financial statements for a long time. Tune in as Dusty Stallings joins Heather Horn to discuss 5 things you need to know about implementing the new guidance. Topics include:
- 0:43 - Overview. What is a service concession and what do we mean by ‘doing business with the government?'
- 2:29 - Scope. We dive into the scope of the new guidance in ASC 853 and talk about who it applies to.
- 8:18 - Balance sheet presentation. How does this affect your balance sheet? Dusty explains.
- 10:08 - Income statement impact. Next we discuss how this guidance affects the income statement.
- 17:43 - Common questions. To close out, we address common questions, including those on disclosure requirements and determining performance obligations.
About our guest
Dusty Stallings is a PwC partner who specializes in the application and interpretation of revenue recognition guidance. Dusty has worked closely with standard setters and industry experts in interpreting the new revenue recognition guidance, and assisted numerous multinational companies with application and implementation.
About our host
Heather Horn is PwC's National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Accounting for cloud computing costs is complicated and doesn’t just affect technology companies. Tune in as Angela Fergason joins Heather Horn to discuss 5 things you need to know about implementing the new guidance. Topics include:
- 0:56 - What’s happening. What is a cloud computing arrangement? In this segment we give a brief background and discuss the scope of the new guidance.
- 3:12 - Background on the new standard. Angela explains why new accounting guidance on this topic was needed.
- 5:35 - Details on the news guidance. Angela and Heather discuss the accounting, presentation, and disclosure requirements of the new guidance.
- 16:12 - Adoption and transition. When is the new guidance effective and what are the transition provisions? Angela fills us in.
- 19:19 - Next steps. We take a look forward on what companies should be doing now and where they can go for more information.
About our guest
Angela Fergason is a partner in PwC's National office with 20 years of experience specializing in accounting for revenue and employee compensation arrangements. She is a frequent speaker on accounting and financial reporting topics and is a contributor to many PwC National office publications, including accounting guides on Revenue and Stock-based compensation.
About our host
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Many companies hold inventory, and the accounting can be complex. It’s not surprising that “inventory” is one of the most searched terms on our website, but help is on the way. Pat Durbin is again with us in the studio joining Heather Horn to take us back to the basics on accounting for inventory including:
1:07 - Scope. We kick things off with a discussion of scope of the guidance and an overview of the general principles.
3:22 - Elements of cost. Pat discusses what types of costs would qualify (and not qualify) for capitalization in inventory.
10:53 - Accounting changes. What if you want to change inventory accounting methods? Pat shares some important considerations.
12:53 - Lower of cost and net realizable value. In this segment, we discuss the ongoing valuation considerations for inventory.
15:24 - Common questions. Before wrapping up, we address some common questions including accounting for vendor rebates and consignment arrangements.
About our guest
As the leader of the revenue and liabilities division in PwC’s national office, Pat Durbin leads a team of partners and directors responsible for consulting with our clients and engagement teams on complex accounting matters relating to revenue, compensation, income taxes, inventory and several other topics under both US GAAP and IFRS. In addition to client-specific matters, he and his team monitor the activities at the FASB, IASB, and other standard-setting and regulatory bodies (e.g., SEC) and develop the firm's accounting guidance on new and existing GAAP.
**About our host
Heather Horn** is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The PCAOB’s activities are a vital part of the financial reporting ecosystem. That’s why we’re turning our attention to their agenda and standard setting process. Brian Croteau joins Heather Horn to discuss developments, recent changes, and what’s to come.
1:34 - Who’s who. This is the first time the full board has simultaneously turned over since its inception 15+ years ago. Learn more about the notable people changes.
3:56 - Strategic plan. To drive reliable financial reporting, the PCAOB has been conducting a significant amount of outreach. Hear an overview on their key objectives.
6:14 - Inspection themes. We discuss areas of focus and how their process might evolve over time.
15:47 - Standard setting and research projects. Hear what’s up next as Brian provides an update on the PCAOB’s standard setting and research agenda priorities.
19:55 - Implementation support. The PCAOB is also spending time supporting the implementation of the new auditor reporting requirements. Hear the details you need to know.
**About our guest
Brian Croteau** is the leader of PwC's Regulatory Risk & Quality Control group. Most recently, Brian held a leadership role in PwC’s Auditing Services, Methods & Tools (ASM&T) group within the National Quality Organization, where he made important contributions across ASM&T’s practice support and quality initiatives. Prior to rejoining the firm in 2017, Brian served as Deputy Chief Accountant of the Professional Practice Group of the SEC’s Office of the Chief Accountant. Before then, Brian was a Partner in PwC’s National Office from 2007-2010.
**About our host
Heather Horn** is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The SEC is proposing significant changes to its disclosures required for acquisitions and dispositions of businesses. In this episode, Heather Horn welcomes back Martin Thiselton-Dyer to discuss the details of the proposal and what it could mean to registrants, including:
1:20 - Recap on existing rules. Learn more about the current guidance and the background on the proposals.
4:04 - Why change. We discuss how the proposals could reduce complexity and cost of compliance.
6:47 - Details of the proposal. Martin provides an overview of the proposed changes to disclosures required for acquisitions and dispositions of businesses.
19:41 - Feedback. We discuss some of the preliminary feedback on the proposals.
24:53 - Next steps. What else do you need to know? We wrap it up by sharing some final observations.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Wish you didn’t have to face another annual goodwill impairment test? Does amortizing goodwill or using a trigger-based assessment sound better? The FASB is soliciting feedback on these ideas and more in their recent invitation to comment on identifiable intangible assets and the subsequent accounting for goodwill. Before you put pen to paper, hear what Andreas Ohl tells Heather Horn regarding the details of the proposal, including:
6:19 - Amortization period. Over what period of time would a company amortize its goodwill? We discuss some options and the challenges involved.
11:44 - Other assets. Should other assets be subsumed into goodwill? We debate this and discuss the related private company alternative.
16:00 - Impairment testing model. How will impairment testing be impacted? We discuss how it could be simplified.
18:16 - Disclosures. What would a change mean to disclosures? We tell you what’s being considered.
20:22 - Other considerations. What else do you need to know? We wrap it up by sharing some final thoughts.
**About our guest
Andreas Ohl** is a partner in PwC's National office, where he focuses on mergers and acquisitions under US GAAP and IFRS. Andreas is chairman of the Business Valuation Standards Board at the International Valuation Standards Council, is a member of the working group that authored the AICPA's In-Process R&D guide, and has served as a member of the FASB's Valuation Resource Group.
About our host
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Accounting for loss contingencies, or, as some still refer to it, “FAS 5” liabilities, impacts many companies. The principles underlying the accounting serve as the foundation to other areas of GAAP. In this episode we’re going back to the basics and providing a refresher on the contingency model. Pat Durbin joins Heather Horn to help navigate the guidance and answer our questions, including:
5:47 - Remote loss contingencies. Pat explains the situations when a loss contingency should neither be accrued nor disclosed.
9:32 - Reasonably possible loss contingencies. In this segment, we turn our attention to circumstances when no accrual is required, but disclosures still need to be made. Pat walks us through the likelihood continuum.
13:58 - Probable loss contingencies. Pat discusses when a company is required to accrue a liability and disclose the nature of the contingency.
16:51 - Gain contingencies. After loss contingencies, Pat describes the gain contingency model and highlights differences from the loss contingency model.
20:25 - Recovery of a loss. To close out the episode, Pat answers a frequently asked question on how to account for loss contingencies when a company has insurance.
About our guest
As the leader of the revenue and liabilities team in PwC's national office, Pat Durbin leads a team of partners and directors responsible for consulting with our clients and engagement teams on complex accounting matters relating to revenue, compensation, income taxes, loss contingencies and several other topics under both US GAAP and IFRS. In addition to client-specific matters, he and his team monitor the activities at the FASB, IASB, and other standard-setting and regulatory bodies (e.g., SEC) and develop the firm's accounting guidance on new and existing GAAP.
About our host
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Think segment reporting is just about disclosure? Think again. In this episode we go back to the basics to discuss the broader impact it can have on your financial statements. Matt Sabatini joins Heather Horn to help navigate the guidance and answer our questions, including:
1:00 - Scope/overview of the model and why companies should care. Matt provides a brief background and takes us through the segment reporting model.
3:00 - Operating segments. The first step to segment reporting is to identify your operating segments. Matt explains how to identify an operating segment and the role of the chief operating decision maker.
12:12 - Aggregation and reportable segments. Not all operating segments need to be reported separately. Matt provides an overview of the aggregation criteria and how to determine your reportable segments.
19:42 - Disclosures. Matt provides an overview of the required disclosures for reportable segments. Spoiler alert― there’s a lot of them.
24:27 - Other considerations. Matt explains how the identification of segments impacts more than just disclosures and shares other insights.
About our guest
Matt Sabatini is a partner in PwC's National Office, where he helps clients and engagement teams navigate the accounting and financial reporting for complex transactions. He specializes in mergers, acquisitions, corporate reorganizations, recapitalizations, joint ventures and other investments. He is a frequent presenter at conferences and on webcasts on these topics.
About our host
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
As companies kick off their third quarter, we turn our attention back to the new leases standard to look at a key day 2 accounting issue: remeasurement. In this episode, Jillian Pearce joins Heather Horn to take a closer look at some of the more complex questions; topics include:
2:27 - The new rules of modifications. We first identify what a modification is and then look at some of the changes to the framework for how companies should evaluate them.
7:23 - Other types of remeasurements. Events other than formal lease modifications can result in the need to remeasure. Jillian provides examples of the types of events that may trigger a remeasurement and addresses related commonly asked questions.
11:10 - You have a modification or a remeasurement event. Now what? Jillian highlights how to think about the resulting reassessments, reallocations, and recalculations.
13:44 - Accounting for right of use assets. Jillian helps us think through remeasurement adjustments to the right-of-use assets.
15:20 - Processes and controls. What types of monitoring and ongoing controls should companies have in place? Jillian highlights the holistic processes companies should think about to make sure that changes that may impact lease accounting are communicated to the right people at the right time. She then wraps up by providing additional resources for understanding the new rules.
About our guest
Jillian Pearce is a Director in PwC's National office, providing advice on technical accounting issues to clients. She has over twelve years of experience performing audits of public and nonpublic entities, specializing in the power and utilities industry.
About our host
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Earnings per share measures get a lot of attention from users of financial statements; however, calculating EPS can be complex. In this episode, John Bishop, PwC partner, joins Heather Horn to provide a refresher on the models and demystify the calculations. Topics include:
2:22 - Basic EPS - John provides an overview of the basic EPS model and then breaks it down step-by-step (numerator and denominator considerations).
6:58- Diluted EPS. Before John dives deeper into the calculations, he provides a brief overview of what diluted EPS is intended to present and the various models to calculate it.
11:52 - Methods of incorporating potentially dilutive securities in diluted EPS. John dives deeper and provides overviews of the treasury stock method, if-converted method, contingent share model, and two class method.
17:51 - Anti-dilutive sequencing. When calculating diluted EPS, proper sequencing is important. John explains how sequencing impacts the calculations and the adjustments and judgments that need to be considered.
23:18 - Application of control number in interim and annual reporting. Last but not least, John shares some reminders on the application of the control number concept in interim and annual reporting.
About our guest
John Bishop is a partner in PwC’s National office and the co-leader of the financial instruments team. In this role, he leads the group in advising the firm’s clients on a wide array of accounting and reporting matters. John specializes in the accounting for derivatives, financial instruments, financing transactions (e.g., securitizations and leasing) and M&A transactions. He has worked with and advised a variety of the firm’s clients including investment banks, commercial banks, private equity firms and companies in the merchant power, utility, real estate and retail industries.
About our host
Heather Horn Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
To consolidate or not to consolidate - that is the question. If you need to better understand the answer (or just need a quick refresher) then listen to this week’s episode in which Heather Horn and Matt Sabatini go back to the accounting 101 of consolidations. Topics include:
- 0:41 - Scope/overview of models. Before jumping into the different models, Matt provides a brief history lesson and walks us through the scope of the consolidation guidance.
- 3:29 - Variable interest entity model. The variable interest entity (or VIE) model is the starting place for any company thinking through consolidations. Matt walks us through the five characteristics of a VIE.
- 10:44 - Voting interest model. Matt explains how the voting interest entity (or VOE) model differs from the VIE model, and explains when a company should use each model.
- 14:40 - Impact. After explaining the two models, Matt highlights the roles judgment and consistency play when thinking though consolidation, as well as why it’s important for companies to get it right.
- 21:51 - Recent guidance (private company alternative). Matt describes the recent guidance that simplifies the model for private companies, easing the economic burden.
About our guest
Matt Sabatini is a partner in PwC's National Office, where he helps clients and engagement teams navigate the accounting and financial reporting for complex transactions. He specializes in mergers, acquisitions, corporate reorganizations, recapitalizations, joint ventures and other investments. He is a frequent presenter at conferences and on webcasts on these topics.
About our host
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Need a refresher on accounting for foreign currency translations and transactions? In this week’s episode, Heather Horn and PwC managing director John Horan go back to the basics and examine the accounting for foreign currency, including:
- 3:10 - Identification of foreign entities - John discusses how to identify a company’s foreign entities, including the definition of a foreign entity, the concept of separate and distinct operations and why identification is so important to getting the right accounting.
- 8:29 - Determining the correct functional currency - John discusses the indicators that should be considered when determining the functional currency of foreign entities.
- 13:50 - Routine foreign currency accounting - John discusses foreign currency transactions, remeasurement, and the translation process.
- 18:10 - Releasing CTA - John shares his perspectives and answers common questions on when, and if, CTA should be released.
- 23:00 - Other complex areas seen in practice - John discusses the concept of loans designated as a permanent advance. He also discusses the steps a company should take if it wants to change the designation.
About our guest
As a managing director in PwC’s National office, John Horan assists clients with complex accounting issues in the areas of foreign currency, liabilities and equity, earnings per share and derivatives and hedging. John specializes in large capital transactions and initial public offerings.
About our host
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
What do investors and analysts really want to learn from your financial statements? And what are their areas of focus? We answer those questions (and more) from our investor outreach on this week’s episode. PwC director Gregory Johnson joins Heather Horn to discuss what’s on the minds of investors, including:
- 5:05 - An important part of adoption of new accounting standards is disclosures; so, how do disclosures tie into what investors are looking for? Gregory highlights the opportunity that companies have to tell their own story and better inform the market.
- 8:04 - What disclosures are investors focused on? Gregory discusses the investor feedback surrounding risks and uncertainties and the ways companies and preparers can ease concerns.
- 11:26 - All areas of reporting require judgment, but what are the recurring judgments the investment community cares about most? Gregory provides details on segment reporting and non-GAAP measures.
- 16:51 - What are the other focus areas being discussed in the investment community? Gregory helps us understand the differing views on share repurchase programs.
- 20:11 - What do investors think of the recent SEC proposal on earnings releases and quarterly reporting? Gregory shares insights from the investment community on the frequency of reporting.
About our guest
Gregory Johnson is a director in PwC’s National office with a primary focus on investor engagement. In this role, Gregory builds relationships with investors, analysts, and governance professionals to gain insights into their views on corporate reporting, industry trends, regulatory developments, and other issues that may impact investment decisions.
About our host
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
You’ve checked the new revenue and leases standards off your list. Next up: the current expected credit loss (CECL) standard. If you’ve only just begun or haven’t yet started to think about what CECL means for your company―then, tune in! PwC partner Seth Drucker joins Heather Horn to discuss the CECL model and what it means for companies as they prepare for adoption, including:
- 0:58 - How we got here. The new standard requires you to rethink your approach to the impairment of financial assets, with many of today’s impairment models under US GAAP soon being replaced. Seth gives an overview of the standard and discusses the scope of CECL.
- 4:16 - Key changes to the accounting model. Heather and Seth take a look at how the accounting for credit losses differs from current practice and examine the possible changes to a company’s processes, systems, and controls, as well as to key metrics and regulatory requirements.
- 12:02 - Disclosure considerations. Seth breaks down the enhanced disclosure requirements and the additional data and support that will be needed.
- 17:35 - Effective date. The clock is ticking. It’s important to get an implementation plan in place―now. Heather and Seth discuss the effective dates for the different types of filers and the importance of not waiting until the last minute.
- 20:35 - Best practices. Knowing what does and doesn’t apply to your company is a good first step to making a smooth transition. Heather and Seth conclude with a discussion of a few frequently asked questions to help companies gear up.
About our guestSeth Drucker is a partner in PwC’s National Quality Organization, specializing in accounting for financial instruments. Previously, Seth was a Practice Fellow at the FASB serving as a project manager for financial instruments projects, including credit losses. He also focused on implementation and emerging practice challenges posed by preparers, auditors, and regulators. About our hostHeather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Although the FASB simplified the accounting for stock based awards, it’s still a complex area of accounting. In this episode, PwC partner Heather Horn and director Nicole Berman go back to the basics and discuss five things you should know about accounting for stock compensation awards, including:
- 3:35 - How to determine the grant date and why it’s so important
- 7:12 - The balance sheet classification of awards (liability vs equity)
- 10:20 - The different types of vesting conditions
- 12:46 - Expense attribution, and graded vesting features
- 14:45 - The related tax accounting considerations and plan design considerations
About our guest
Nicole Berman is a Director in PwC's National office advising the Firm’s partners and clients on accounting for complex transactions related to revenue recognition and employee compensation matters, including stock-based compensation, pensions, OPEB, and restructurings, under both US GAAP and IFRS. She helps formulate the Firm's views and positions on new financial reporting pronouncements and assess the technical merit of FASB and IASB proposals.
About our host
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Help for private companies―adoption of the new revenue standard is just around the corner. So that you’re ready, hear some of the challenges and lessons learned by public companies from their adoption efforts. In this week’s episode, we’re joined by PwC partner, CJ Finn, to take a look back at how public companies adopted ASC 606 and discuss 5 things private companies need to know, including:
- 0:46 - Effective date and transition elections. A quick refresher on the effective date for private companies and why some private companies have elected to adopt the standard early.
- 2:57 - Overview of the 5-step model. We recap the 5 step approach to revenue recognition and share lessons learned by public companies during their adoption of the new standard.
- 7:50 - Identification of the performance obligations. We highlight where special attention can help avoid mistakes.
- 11:17 - Estimating the transaction price. Insights into specific areas, such as variable consideration, that can take some time and require professional judgment.
- 16:51 - Disclosure considerations. Understanding what’s required for private companies and the possible sensitivities around what is being disclosed.
You can also subscribe to our podcast series to stay current on other key technical accounting matters, business issues, current standard setting, and regulatory updates.
About our guest
CJ Finn, PwC’s private company accounting change leader, has 16 years of experience working with public and private companies. He has advised large multinational clients on complex accounting areas, SEC reporting, system development, mergers and acquisitions, and purchase accounting and valuation.
About our host
Heather Horn is PwC's National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather's accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Refinancing debt, but not quite sure how it will impact your balance sheet classification? The current guidance is complex, but help is on the way. Suzanne Stephani, PwC director and debt classification specialist, joins Heather Horn to decipher the guidance, discuss common questions, and provide an update on the FASB’s related project. Highlights include:
● 1:05 - Debt covenant violations - What should companies be thinking about if they violate a covenant at the balance sheet date?
● 3:35 - Refinancing short-term debt on a long term basis - How does this impact balance sheet classification of the debt?
● 9:50 - Puttable debt - What are the questions companies should be asking that will drive balance sheet classification of debt?
● 11:51 - Pre-payable debt - How do anticipated pre-payments impact classification?
● 13:57 - FASB’s simplification initiative - What should companies be considering in regard to the FASB’s ongoing debt simplification project?
About our guest
Suzanne Stephaniis a director with PwC with more than 17 years of experience assisting companies in resolving complex accounting issues. Suzanne specializes in the application and interpretation of the accounting guidance related to financing transactions, such as debt, preferred stock and convertible instruments. As a consultant in PwC's National office, she helps clients understand the application of the accounting guidance in these areas. Suzanne is also the lead producer and director of PwC's popular quarterly Current accounting and reporting developments webcast series.
About our host
Heather Horn is PwC’s National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The US economy is at a crossroads. While the changes we’re facing weren’t caused entirely by the great recession, it did send us down a different trajectory. In this week’s episode, we take a look forward to examine the dynamics that determine economic growth, including workforce and productivity growth, advancements in technology, and global governance. We also look at the risks that may impact our macroeconomic forecasts. Chris Benko, PwC’s senior economic advisor, joins Heather Horn to discuss:
- 0:52 - What’s the economy’s “new normal,” and its speed limit for growth? Chris provides an overview on the current US economy and trends.
- 6:06 - What could trigger the next economic downturn? Chris answers our questions on the risks associated with monetary policy and helps us understand interest rates and the inverted yield curve.
- 11:01 - What stimulates economic growth? Chris talks fiscal policy and the role tax reform plays in the bigger picture.
- 14:23 - Is the current economic climate rewriting the rules for how the global economy works? You bet. Chris discusses trade policy, tariffs, foreign direct investment and the challenges companies face.
- 19:35 - What’s going on at the corporate level? Chris shares his views on the new competitive dynamic, the fourth industrial revolution, corporate debt, and how this all affects society’s stability.
You can also subscribe to our podcast series to stay current on other key technical accounting matters, business issues, current standard setting, and regulatory updates.
About our guest
Chris Benko leads the PwC Analytic Insights organization, a team of 100 analysts and data scientists leveraging technology-enabled predictive analytics to develop forward-looking points of view on industry, company and thematic issues as well as help firm leadership solve its most complex problems.
About our host
Heather Horn is PwC's National office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 25 years of experience, Heather's accounting and auditing expertise includes financial instruments and rate-regulated accounting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Are you using non-GAAP financial measures? Need an update on the SEC’s rules and interpretative guidance around reporting this information? Then listen to this week’s episode. Diane Howell, a partner in PwC’s national office, joins Heather Horn to discuss 5 things companies should know about non-GAAP measures, including:
- 0:53 - A helpful refresher on the definition of a non-GAAP measure and common examples
- 1:47 - The drivers behind why companies report non-GAAP measures and why they believe the measure is useful
- 4:51 - An overview of the SEC’s rules and interpretative guidance around the use of non-GAAP measures
- 9:20 - Insights into how the SEC reviews non-GAAP information included in SEC filings, including how they view prominence, reconciliations, and individually tailored measures. Diane also discusses recent related comment letters and enforcement cases.
- 15:51 - Best practices for reporting high quality non-GAAP measures
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
In this episode Andreas Ohl, a partner in PwC's National office, joins Heather Horn to discuss "day 2" lease accounting considerations. After spending so much effort just to adopt the new standard, some companies may not have begun to evaluate what comes next. Andreas introduces a concept some companies may not have on their radar: how do you assess the new lease right-of-use asset for impairment.
Tune in to learn five things companies should know about the subsequent accounting by lessees for right-of-use assets, including:
- 0:40 - An overview of the accounting guidance for the impairment of right-of-use assets
- 1:25 - Unit of account considerations and the implications this determination has on the lessee's accounting
- 2:25 - A discussion of how to group assets to be tested for impairment, including the related available policy election.
- 8:30 - Impairment of right-of-use assets, including a discussion of triggering events and an overview of the two step impairment test
- 11:17 - Common questions and answers relating to impairment testing of right-of-use assets
For more information, read our In depth, FAQ: Lessee accounting for right-of-use assets in operating leases.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Determining when to recognize revenue under the new revenue standard for customers in financial distress or bankruptcy requires judgment. Don't assume the answer is the same as it used to be. In this episode, PwC partners Heather Horn and Pat Durbin discuss five things you need to know about assessing collectibility under the new revenue standard, with a specific focus on recognizing revenue when customers are in financial distress or bankruptcy. We discuss the collectibility model: credit risk v price concession, the implications of the new credit risk model, judgment points in the model/when to reassess, factors to consider and document in the assessment, and other considerations.
- 0:52 – The collectibility model: credit risk v price concession
- 3:30 – The implications of the new credit risk model
- 6:53 – Judgment points in the model/when to reassess
- 9:30 – Factors to consider and document in the assessment
- 12:02 – Other considerations
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
What are investors' expectations when it comes to sustainability reporting, and how can companies improve the transparency of disclosures so that they are viewed as adequate, comparable, and reliable? In this episode, PwC partners Heather Horn and Sara DeSmith discuss five things that stakeholders and investors should know about sustainability reporting, including: An overview of sustainability reporting and how companies report on it today, investors perspectives on sustainability reporting and how they use the information, corporate perspectives on providing the information and deciding what should be disclosed, SASB reporting standards and how they fit into the larger conversation, and recommendations for what corporations should focus on to continue building their sustainability strategy.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
The FASB's new guidance on hedging is effective this year. In this episode, PwC partners Heather Horn and Brian Staniszewski discuss five things you need to know when implementing the new hedging standard, including: An overview of the one-time transition elections available upon adoption of the new guidance, observations on applying the required transition guidance, understanding the new presentation and disclosure guidance, the potential impact on controls and processes, and some recent developments and future standard setting.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.
Getting ready to adopt the new leasing standard? PwC leasing specialists discuss overall readiness, new standard setting on transition elections and practical expedients, implementation challenges and best practices.
The new leases standard will impact companies across all industries, and the effective date is quickly approaching. The new standard will impact both lessees and lessors.
Based on an October 2018 survey, companies span the spectrum in terms of readiness, with about 76% of companies more than halfway done with their implementation. About 25% of respondents indicated they had concerns with their ability to “go-live” with system changes for a variety of reasons
Recent standard setting have added transition options to ease the transition to the new leases standard. We expect many companies will elect the option to not restate prior periods. In general, electing this transition method (i.e., to not restate prior periods), will not impact which other practical expedients a company may elect (e.g., the package of practical expedients).
We also discuss the package of practical expedients, including reminders about what rate a lessee should use to discount its lease payments in calculating its lease liability. As the effective date approaches, companies also need to remember the need to consider the status and effectiveness of controls around both manual and automated processes.
Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to us_podcast@pwc.com.