PracticeAuditIT giant reviews share options policy

IT giant reviews share options policy

Semiconductor company ARM, is reviewing the possibility of booking the cost of its share options to its accounts, potentially knocking as much as a third off its profits.

If the former FTSE-100 company goes ahead with the radical accounting changeit will be the first UK company to make the move.

Robin Saxby, ARM chief executive, is expected to announce the decision whenthe technology group reports second-quarter profits on Tuesday.

A spokeswoman for the company said the issue ‘was under review’.

The news comes following the International Accounting Standards Board’sannouncement last week to issue a draft rule on accounting for share optionsin the autumn despite fierce opposition from UK and US companies.

Technology companies in particular have shown strong resistance to a newrule because they have increasingly used share options as a way ofremunerating suppliers as well as staff.

Related Articles

PwC replaces EY as Domino's auditor

Audit PwC replaces EY as Domino's auditor

5d Alia Shoaib, Reporter
The ‘uncomfortable truth’ behind FRC’s Big Four fines recommendations

Audit The ‘uncomfortable truth’ behind FRC’s Big Four fines recommendations

2w Carl Johnson, Stephensons
BDO holds off Big Four to retain top position as AIM auditor

Audit BDO holds off Big Four to retain top position as AIM auditor

2w Alia Shoaib, Reporter
FRC urged to fine Big Four firms penalties over £10m

Audit FRC urged to fine Big Four firms penalties over £10m

3w Alia Shoaib, Reporter
EY to audit Standard Chartered bank

Audit EY to audit Standard Chartered bank

1m Alia Shoaib, Reporter
KPMG replaces PwC as Croda auditor

Accounting Firms KPMG replaces PwC as Croda auditor

2m Emma Smith, Managing Editor
EY fined £1.8m over Tech Data audit

Accounting Standards EY fined £1.8m over Tech Data audit

2m Emma Smith, Managing Editor
Top 50+50: Firms post significant growth in new tax and audit rankings

Audit Top 50+50: Firms post significant growth in new tax and audit rankings

2m Emma Smith, Managing Editor