FierceFinanceFierceFinanceITFierceComplianceIT   FierceCIO

CDA disclosures to follow Sarbox precedent?

The ramp-up to Sarbanes Oxley compliance was painful for many companies. For many, the pain got even worse in subsequent years, as many companies were left flailing for standards and guidance. Are we now seeing a repeat? Turns out the SEC has conducted a year-one review of CDA (compensation discussion and analysis) disclosures and isn't very happy. It wants shorter, less technical discussions, less focus on processes and more on the actual decisions. The SEC hopefully has learned a bit from its Sarbox experience. In the absence of solid guidance and strong examples, companies will embrace a cover-your-butt approach that will ultimately undermine the goal of the new disclosure rules, which is to provide a simple explanation to investors of why a company paid its top dogs what it did. It will be interesting to watch this unfold.  

For more:
- here's a CFO.com article

SHARE WITH:
Email Twitter Facebook LinkedIn StumbleUpon
Get Your FREE FierceComplianceIT Email Newsletter:
Be the first to comment

Comments

Post new comment

The content of this field is kept private and will not be shown publicly.

More information about formatting options

CAPTCHA
This question is for testing whether you are a human visitor and to prevent automated spam submissions.