SEC thumbs up for ‘early adopter’ switch to IFRS

US companies which meet strict criteria could be allowed to ‘early adopt’ the
latest accounting rules by publishing their 2009 accounts under international
financial reporting standards (IFRS) from as early as the start of 2010,
according to detailed plans released by the
Securities and Exchange

Accountants report several blue-chip companies are considering the effect of
the rules on their companies and early adopting groups are likely to include
some household names, the Financial Times reports.

The detailed changes are part of a long-awaited road map where the SEC sets
out the milestones to be met before the regulators commit to the change in 2011.

However, the early adopters would have to reconcile their new IFRS accounts
with US GAAP, suggesting they could change back to the US system should the
project stall.

Further reading:

G20 asks standard setter to promote financial

the Financial Times story

Related reading

Fiona Westwood of Smith and Williamson.