U.S. IFRS Leaders Deane, Lager Speak at
CPAmerica International Symposium in Chicago

Deane	Lager

At CPAmerica International's recent one day symposium in Chicago on International Financial Reporting Standards (IFRS), Jeffrey T. Deane of Malin Bergquist and Sean T. Lager of the firm's FD Alliance affiliate in Atlanta spoke on how IFRS has become the gold-standard for financial reporting around the world. They were joined by Bruce Mackenzie of Horwath South Africa.

IFRS has become the gold-standard for financial reporting around the world and is moving to the United States through convergence of U.S. generally accepted accounting principles (US GAAP) and IFRS and U.S. companies operating in a global market. 

Deane presented opening remarks discussing the history of IFRS and gave a progress report on the SEC roadmap.  He noted that IFRS was already an issue U.S. companies and their auditors are facing and is becoming widely accepted around the world in the global capital markets.  He also pointed out that the IFRS for Small and Medium Sized Enterprises (IFRS for SMEs) has been adopted in South Africa and the United Kingdom is considering replacing UK GAAP with IFRS for SMEs.  Additionally, IFRS for SME’s is becoming increasingly popular in smaller jurisdictions around the world. 

Lager shared insights on practice issues and common themes emerging in the U.S. regarding IFRS as well as implementation issues from the financial statement preparers and the auditor’s perspectives.  He discussed convergence with IFRS and emphasized that the convergence standards will not eliminate all of the differences and that many differences will remain.  The purpose of the convergence project is to align IFRS and U.S. GAAP principles as much as practicable with the overall objective of improving financial reporting. 

Lager pointed out that regardless of what the U.S. Securities and Exchange Commission decides on a way forward for domestic issuers (with or without IFRS), convergence will be a significant issue that both public and private companies will face in the very near future.  He noted that adopting the major convergence standards may be similar in magnitude to adopting IFRS due to the significant and overarching changes that are on the horizon. He added that the convergence standards will have a significant on a company’s IT infrastructure. 

Deane and Lager agreed that IFRS continues to move to the U.S. and financial statement preparers and auditors need to be ready for transition. 

About the Speakers: Jeffrey T. Deane, CPA is a partner and head of the International Business/IFRS Group of Malin Bergquist in Pittsburgh. Sean T. Lager, CPA is a partner with Malin Bergquist's FD Alliance joint venture partner, the Atlanta-based firm of Frazier & Deeter, whose financial reporting experience includes global and domestic companies reporting under U.S. generally accepted accounting principles, as well as International Financial Reporting Standards (IFRS).

About the FD Alliance: Known as the FD Alliance, Malin Bergquist's joint venture brings together top public company/SEC accounting resources in Atlanta, Chicago, Phoenix and Pittsburgh. More >>>