IFRS US GAAP Swiss GAAP FER Abstract of baseities and varietys 2007/2008 Edition 1 IFRS – US GAAP – Swiss GAAP FER Abstract of baseities and varietys 2007/2008 Edition This PricewaterhouseCoopers referable attributable attributableification is restraint those who longing to execute a coarse mind of the explanation baseities and varietys among IFRS, US GAAP and Swiss GAAP FER. No abstract referable attributable attributableification can do right to the multifarious varietys of specialty that continue among IFRS, US GAAP and Swiss GAAP FER. Uniform if the plainion is base, there can be varietys in the specialtyed impression, which could keep a esthetic collision on the financial announcements.
It demands to be stressed that this article deals with the deep varietys singly. Multifarious aggravate pages would be demanded to be aggravate symbolical, referable attributable attributablewithstanding that was referable attributable attributable attributable our concrete with this referable attributable attributableification. This referable attributable attributableification focuses on the extent baseities and varietys most commsingly set in action. When engageing the one accounting frameworks, readers should regard whole the appropriate accounting scales and, where convenient, their referableorious sequence. Listed companies should so supervene appropriate securities regulations.
IFRS and US GAAP are globally unquestioned accounting scales restraint which a coarse adjust of presumptive elucidation, interpretations and reading is advantageous. Swiss GAAP FER focuses on accounting restraint smwhole and mediocre bignessd organisations and assemblages installed in Switzerland; if there are questions that are referable attributable attributable attributable answered by a appertaining scale, the open teentangle of a penny and spothither design should be applied. This abstract is installed on IFRS and US GAAP quenchedgrowths up to August 2007 and on Swiss GAAP FER as convenient from January 1, 2007.

It does referable attributable attributable attributable shield Swiss GAAP FER 14 Dim financial announcements of insurance companies, Swiss GAAP FER 21 Accounting restraint benevolent, political non-advantage organisations and Swiss GAAP FER 26 Accounting of pension guiles. We hope you conciliate invent this referable attributable attributableification advantageous in conducive you confirm the explanation varietys among IFRS, US GAAP and Swiss GAAP FER. SUBJECT Accounting framework Unadorned retain or valuation IFRS US GAAP Swiss GAAP FER Openly manifestations unadorned retain, referable attributable attributablewithstanding insensible domain, domain, settle and equipment (PPE) and bombardment dodeep may be revalued to spothither esteem.
Derivatives, regular other financial tools and biological dodeep are revalued to spothither esteem. Ample retrospective impression of whole IFRS serviceable at the reputeing object restraint an truth’s principal IFRS financial announcements, with some libertyal exemptions and scant mandatory saveions. Pacifications of advantage or mislaying in deference of the conclusive conclusion reputeed inferior restraintegoing GAAP, of equity at the object of that conclusion and of equity at the set-on-foot of the primitive conclusion proffered in comparatives must be middle in an truth’s principal IFRS financial announcements.
No revaluations save restraint regular types of financial tool. Basically, unadorned retain compact applies. Calm?}, restraint incongruous counterpoise shuffle positions Swiss GAAP FER defines deviations from that compact (spothither esteem) or wholeows choices among brace libertys. Principal-age excerption exacts a gift of the precedent year counterpoise shuffle in docility with Swiss GAAP FER singly. Principal-age excerption of accounting framework Principal-age excerption of US GAAP exacts retrospective impression. There is no fitness to prproffer pacifications of equity or advantage or mislaying on principal-age excerption of US GAAP.
Financial announcements Ingredients of financial announcements Brace years’ counterpoise shuffles, integralowance announcements, circulation course announcements, qualifys in equity and accounting policies and referable attributable attributablees. Base to IFRS, save three years exactd restraint SEC registrants restraint whole announcements save counterpoise shuffle. Multiplyicular accommodations in regular requisite restraint restrainteign referable attributable attributable attributable attributable attributable-generally-known issuers that may prproffer support from the three-year fitness. Entities may prproffer either a classified or non-classified counterpoise shuffle. Multiplys on the aspect of the counterpoise shuffle are openly proffered in decreasing adjust of liquidity.
SEC registrants should supervene SEC regulations. Base to IFRS. Counterpoise shuffle Does referable attributable attributable attributable enjoin a detail restraintmat. A liquidity gift of dodeep and liabilities is manifestationd, instead of a offer/ non-offer gift, singly when a liquidity gift provides aggravate appropriate and referable attributable attributable attributable spurious instruction. Regular poverty multiplys are proffered on the aspect of the counterpoise shuffle. Does referable attributable attributable attributable enjoin a detail restraintmat. A offer/nonoffer gift of dodeep and liabilities is manifestationd cosmical a liquidity gift provides aggravate appropriate and referable attributable attributable attributable spurious instruction.
Regular poverty multiplys are proffered on the aspect of the counterpoise shuffle. A poverty composition is exactd. Incongruous multiplys keep to be generally-known restrictedly on the aspect of the counterpoise shuffle or among the referable attributable attributablees. Integralowance announcement Proffer as either a one-step or multiple-step restraintmat. Expenditures are proffered by operation. SEC registrants should supervene SEC regulations. A poverty composition is exactd, either by constitution or by operation. Incongruous multiplys keep to be generally-known restrictedly on the aspect of the integralowance announcement or among the referable attributable attributablees. 3 SUBJECT Saveional (significant) multiplys
IFRS Does referable attributable attributable attributable manifestation the expression referable attributable attributablewithstanding exacts severed unveiling of multiplys that are of such bigness, impression or constitution that severed unveiling is compulsory to decipher the work of the truth. Prohibited. US GAAP Base to IFRS, referable attributable attributablewithstanding onely symbolical multiplys are proffered on the aspect of the integralowance announcement and generally-known in the referable attributable attributablees. Swiss GAAP FER Does referable attributable attributable attributable manifestation the expression saveional, referable attributable attributablewithstanding symbolical multiplys are to be generally-known restrictedly. Unwonted multiplys Defined as truth twain sparse and strange, and are absorbly. Privative goodconciliate is proffered as an unwonted multiply.
Completion symbolical integralowance and accumulated other symbolical integralowance are generally-known, proffered either as a severed primitive announcement or in-one with the integralowance announcement or with the announcement of qualifys in supplyholders’ equity. Base to IFRS save that US GAAP does referable attributable attributable attributable keep a SoRIE, and SEC rules sanction the announcement to be proffered either as a primitive announcement or in the referable attributable attributablees. Defined as truth extremely absorbly in the texture of the conventional operations and as truth referable attributable attributable attributable predictable. Referable attributable attributable attributable addressed. Announcement of recognised integralowance and expenditure (SoRIE)/ Other symbolical integralowance and announcement of accumulated other symbolical integralowance
A SoRIE can be proffered as a primitive announcement, in which subject a announcement of qualifys in segregateholders’ equity is referable attributable attributable attributable proffered. Resourcely, it may be generally-known restrictedly among the primitive announcement of qualifys in segregateholders’ equity. Announcement shows cardinal affairs with acknowledgeers, the move in accumulated advantage and a pacification of whole other ingredients of equity. The announcement is proffered as a primitive announcement save when a SoRIE is proffered. In this subject, singly unveiling in the referable attributable attributablees applies. Scale headings referable attributable attributablewithstanding scant plainion on fluctuation. Manifestation plain or inplain victuals.
Announcement of qualifys in segregateholders’ (stockholders’) equity Base to IFRS save SoRIE resource. Regular poverty unveilings of ingredients of equity and qualifys in equity. Circulation course announcements – restraintmat and victuals Base headings to IFRS, referable attributable attributablewithstanding aggravate multiplyicular plainion restraint multiplys middle in each truth. Plain or inplain victuals manifestationd. Base to IFRS, save that bank aggravatedrafts are surrounding. Base to IFRS, referable attributable attributablewithstanding with aggravate plainion respecting fluctuation and with ins of noncirculation affairs. Circulation involves circulation equivalents with maturities of three months or hither from the counterpoise shuffle object and may involve bank aggravatedrafts.
Base to IFRS. Circulation course announcements – deconclusion of circulation and circulation equivalents Circulation involves circulation equivalents with maturities of three months or hither from the object of expiation and may involve bank aggravatedrafts. No exemptions. Circulation course announcements – exemptions Qualifys in accounting system Scant exemptions restraint regular bombardment entities and defined behoof guiles. Base to IFRS. Comparatives and precedent year are restated counter chink retained hues, cosmical multiplyicularally exempted. Precedent year financial announcements keep to be restated.
The referable attributable attributablees demand to confess why the accounting teentangle has transitional, the constitution of the qualify and its financial collision. Precedent year financial announcements keep to be restated. Explanation and requisite unveiling of the integralowance of falsitys among the referable attributable attributablees. Correction of falsitys Comparatives are restated and, if the falsity happenred anteriorly the primitive precedent conclusion proffered, the chink counterpoises of domain, liabilities and equity restraint the primitive precedent conclusion proffered are restated. Base to IFRS. 4 SUBJECT Qualifys in accounting estimates IFRS Reputeed in integralowance announcement in the offer conclusion and coming, if convenient.
US GAAP Base to IFRS. Swiss GAAP FER Qualifys in accounting estimates are to be reputeed in the integralowance announcement in the offer conclusion and coming, if convenient, and to be generally-known among the referable attributable attributablees. Dim financial announcements Confederacy type Installed on manage, which is the authority to manage the financial and untrammelled policies. Manage is presumed to continue when inventor acknowledges, plainly or disunitedly through subsidiaries, aggravate than one half of an truth’s voting authority. Manage so continues when the inventor acknowledges half or hither of the voting authority referable attributable attributablewithstanding has legitimate or subjugateual hues to manage, or de facto manage (costly requisite).
The continueence of offerly exercisable immanent voting hues is so enthralled into motive. Dim where the stuff of the intercommunity indicates manage. A bipolar confederacy type is manifestationd, which distinguishes among a mutable segregate type and a voting segregate type. The mutable segregate type is discussed beneath. Inferior the voting segregate type, manage can be plain or inplain and may continue with hither than 50% occupation. ‘Serviceable manage’, which is a base referable attributable attributableion to de facto manage inferior IFRS, is very absorblyly if firmly populated in action. Manage rinciple applies. Manage is presumed to continue when inventor acknowledges, plainly or disunitedly through subsidiaries, aggravate than one half of an truth’s voting authority. Manage so continues when the inventor acknowledges half or hither of the voting authority referable attributable attributablewithstanding has legitimate or subjugateual hues to manage (e. g. segregateholder commitment subjugate, bulk in the supervisory mass/skillful-treatment mass). Special purposes truth (SPE) Mutable segregate entities (VIEs) are dim when the truth has a mutable segregate that conciliate retain the bulk of the expected mislayinges, admit a bulk of the expected produce, or twain.
A voting segregate truth, in which the truth holds a manageling financial segregate, is dim. If a SPE ass the deconclusion of a suitable SPE (QSPE), the transferor does referable attributable attributable attributable consoliobject the QSPE. Organisations with a disagreeing occupation distillation are to be pondered in the purpose of confederacy. This so applies, as a stuff of tenet, restraint SPEs. Deconclusion of multiplyner Installed on symbolical rule, which is the authority to join-in in the financial and untrammelled system decisions; presumed if 20% or senior segregate. Equity victuals is manifestationd. Segregate of post-admonish fruits is shown.
Particular instruction on multiplyners’ domain, liabilities, enrichment and advantage/mislaying is exactd. Base to IFRS, although the expression “equity bombardment” is manifestationd instead of “associate”. Homogeneous to IFRS. Voting hues ;= 20% and ; 50% and manage canreferable attributable be exercised. Gift of multiplyner fruits Unveilings encircling multiplyners Base to IFRS. Base to IFRS. Homogeneous to IFRS. Referable attributable attributable attributable addressed. Calm?}, symbolical counterpoise shuffle instruction of non-dim organisations has to be generally-known if the esteem of those bombardments yields 20% of the assemblage’s equity.
If multiplynerd organisations repute goodconciliate such goodconciliate conciliate demand to be generally-known among the referable attributable attributablees. 5 SUBJECT Multiplyner’s accounting policies IFRS Compromises are made restraint confederacy purposes to the multiplyner’s policies to obey to those of the investor. Twain proportional confederacy and equity victuals sanctionted. Dim where stuff of intercommunity indicates manage (SIC-12 type). Truth’s acknowledge segregates held by an employee segregate hope are accounted restraint as ammunition segregates. US GAAP No compromise to accounting policies is exactd if the multiplyner supervenes an exquisite resource US GAAP texture.
Equity victuals exactd save in multiplyicular requisite. Base to IFRS save where multiplyicular plainion applies restraint Employee Supply Occupation Guiles (ESOPs) in SOP 93-6. Swiss GAAP FER Base to IFRS. Gift of elbowly manageled entities (elbow ventures) Employee segregate (stock) hopes Base to IFRS. Referable attributable attributable attributable addressed. Occupation associations Types: expiations or mergers Whole occupation associations are expiations, thus the merit victuals is the singly victuals of accounting that is wholeowed. Domain, liabilities and reinforcement liabilities of artificial truth are spothither esteemd.
If manage is obtained in a restricted expiation of a helpful, the ample spothither esteem of domain, liabilities and reinforcement liabilities, including component attributable to the boy (non-controlling) segregate, is commemorative on the dim counterpoise shuffle. Goodconciliate is recognised as the residual among the motive paid and the percentage of the spothither esteem of the occupation artificial. Liabilities restraint restructuring activities are recognised singly when acquiree has an continueing amenability at expiation object. Liabilities restraint coming mislayinges or other retains expected to be incurred as a fruit of the occupation association canreferable attributable be recognised.
Merit victuals – reinforcement motive Middle in retain of association at expiation object if compromise is credible and can be measured reliably. Stated at boy’s segregate of the spothither esteem of artificial identifiable domain, liabilities and reinforcement liabilities. Base to IFRS. Referable attributable attributable attributable addressed. Merit victuals – spothither esteems on expiation There are multiplyicular varietys to IFRS. Reinforcement liabilities of the acquiree are recognised if, by the object of the wholeocation conclusion: • theirfairvaluecanbe solid, or • theyareprobableandcan be reasonably estimated.
Particular rules continue restraint artificial in-mode inquiry and quenchedgrowth (generally expenditured). Some restructuring liabilities environing barely to the artificial truth may be recognised if multiplyicular criteria encircling restructuring guiles are inspiration. Homogeneous to IFRS. Entangle dodeep enthralled aggravate in an expiation are to be esteemd at spothither esteems. Goodconciliate is recognised as the pit of expiation retain aggravate the newly esteemd entangle dodeep and to be cardinalised as an insensible asset. Reinforcement liabilities and restructuring liabilities referable attributable attributable attributable multiplyicularally addressed. Openly, referable attributable attributable attributable recognised until freedom is resolute and the whole is appreciable.
Stated at boy’s segregate of pre-expiation carrying esteem of entangle domain. Referable attributable attributable attributable addressed. Merit victuals – boy segregates at expiation Referable attributable attributable attributable addressed, referable attributable attributablewithstanding texture would demand to be generally-known as multiply of the confederacy tenets. 6 SUBJECT Merit victuals – insensible dodeep with tortuous advantageous lives and goodconciliate IFRS Cardinalised referable attributable attributablewithstanding referable attributable attributable attributable amortised. Goodconciliate and tortuous-lived insensible dodeep are trialed restraint languor at last every-year at either the circulation-generating individual (CGU) flatten or assemblages of CGUs, as convenient. US GAAP Base to IFRS, although the flatten of languor trialing and the languor trial itself are incongruous.
Swiss GAAP FER Kindliness: Either cardinalise and amortise aggravate advantageous personality (normally five years; confess the goodconciliate severed in the counterpoise shuffle or among the referable attributable attributablees) or wholeocate plainly to retained hues at expiation object singly (in this subject severed unveiling among the announcement of qualifys in equity compulsory and the integralowance of a presumptive cardinalisation as courteous as of any languor and conventional amortisation keep to be proffered among the referable attributable attributablees). Restraint insensible dodeep with a advantageous personality that canreferable attributable be plainly solid an amortisation conclusion of five years is applied, in justified subjects a conclusion of twenty years at the most.
Merit victuals – privative goodconciliate The identification and extent of acquiree’s identifiable domain, liabilities and reinforcement liabilities are reassessed. Any surplus cherishing following reassessment is recognised in integralowance announcement apparently-delay. Referable attributable attributable attributable multiplyicularally addressed. Entities elite and conformably engage either merit or pooling-of-segregate accounting restraint whole such affairs. Any cherishing surplus following reassessment is manifestationd to subjugate proportionately the spothither esteems assigned to nonoffer dodeep (with regular saveions). Any surplus is recognised in the integralowance announcement apparently-delay as an unwonted execute.
Generally commemorative at elder retain; the manifestation of elder retain or spothither esteem depends on a compute of criteria. Referable attributable attributable attributable addressed, referable attributable attributablewithstanding texture would demand to be generally-known as multiply of the confederacy tenets. Occupation associations involving entities inferior base manage Referable attributable attributable attributable addressed. Enrichment avowal Enrichment avowal Installed on incongruous criteria, which exact the avowal of enrichment when risks and rewards and manage keep been communicated and the enrichment can be measured reliably. Base to IFRS in tenet, although there is ample specialtyed plainion restraint multiplyicular types of affairs that may bring to varietys in action.
Homogeneous to IFRS. Integralowance is the incourse of behoofs in the reputeing conclusion through growth of dodeep and/or inferior of liabilities that growth segregateholders’ equity apparently receiving an bombardment from the segregateholders. Integralowance is singly recognised if the completionied qualifys of dodeep and/or liabilities may be reliably solid. Referable attributable attributable attributable addressed. Multiple-element stipulations Enrichment avowal criteria are applied to each restrictedly identifiable ingredient of a afopen to ponder the stuff of the afopen – e. g. to segregate one afopen into the sale of issue and to the later servicing of those issue.
No exalt specialtyed plainion continues. Stipulations with multiple deliverables are segregated into severed living-souls of accounting if deliverables in victuals as urban criteria quenchedlined in EITF 00-21. Multiplyicular plainion continues restraint software vendors with multiple-element enrichment stipulations. 7 SUBJECT Raiseion subjugates IFRS Accounted restraint using percentage-of-completion (PoC) victuals. Completed subjugate victuals is prohibited. US GAAP Base to IFRS; calm?}, completed subjugate victuals is sanctionted in absorbly requisite. Swiss GAAP FER Accounted restraint using the PoC victuals.
Completed subjugate victuals exactd if prestipulations restraint PoC victuals are referable attributable attributable attributable inspiration. Expenditure avowal Segregate expenditure Recognised on an accruals caconservation using the serviceable segregate victuals. Segregate incurred on borrowings to raise an asset aggravate a embodied conclusion of age is cardinalised as multiply of the retain of the asset. Employee behoofs: pension retains – defined behoof guiles Projected individual security victuals is manifestationd to designate behoof contract and guile dodeep are commemorative at spothither esteem. Actuarial executes and mislayinges can be yielding.
If actuarial executes and mislayinges are recognised apparently-delay, they can be recognised beyond the integralowance announcement. Base to IFRS. Referable attributable attributable attributable addressed, in action base to IFRS. Segregate incurred on borrowings to raise perceptible urban dodeep and inventories including long-expression subjugates may be cardinalised. Swiss GAAP FER mould manifestation of the financial announcements of the appertaining pension fund, if any. An organisation has to assess every-year whether an available behoof or available contracts from a pension guile (and from a living fund) continues.
Swiss GAAP FER resourcely wholeow the impression of an internotorious accounting scale (e. g. IFRS, US GAAP) in proffering the available collision of pension contracts; calm?}, entities engageing this liberty singly manifestation appertaining prescriptions restraint pension contracts. Referable attributable attributable attributable addressed. Base to IFRS with some varietys in the specialtyed impression. Base to IFRS referable attributable attributablewithstanding with incongruous areas of variety in specialtyed impression. Actuarial executes and mislayinges canreferable attributable be yielding and are recognised in accumulated other symbolical integralowance with later amortisation to the integralowance announcement.
Employee segregate-installed liquidation affairs Expenditure restraint services meritd is recognised installed on the spothither esteem of the equity awarded or the amenability incurred. Expressionination behoofs arising from redundancies are accounted restraint commsingly to restructuring stipulations. Expressionination satisfaction schemes are accounted restraint installed on actuarial prproffer esteem of behoofs. Base type to IFRS, although multifarious areas of variety continue in impression. Expressionination behoofs Four types of expressionination behoofs with three incongruous timing stipulations restraint avowal.
Conclusion satisfaction schemes are accounted restraint as pension guiles; completionied amenability is fitted as either a vested behoof contract or according to the actuarial prproffer esteem of behoofs. Expressionination behoofs are accounted restraint as stipulations and do referable attributable attributable attributable fwhole among the purpose of Swiss GAAP FER 16 Pension behoof contracts. 8 SUBJECT Dodeep Artificial insensible dodeep IFRS US GAAP Swiss GAAP FER Cardinalised if avowal criteria are inspiration; amortised aggravate advantageous personality. Insensibles assigned an tortuous advantageous personality are referable attributable attributable attributable amortised referable attributable attributablewithstanding reviewed at last every-year restraint languor.
Revaluations are sanctionted in absorbly requisite. Base to IFRS, save revaluations are referable attributable attributable attributable sanctionted. Cardinalised if they succumb measurable economic behoofs aggravate incongruous years. Amortisation aggravate advantageous personality. If the advantageous personality canreferable attributable be plainly solid an amortisation conclusion of five years is applied, in justified subjects one of twenty years at the most. Restraint insensible dodeep completionied to ones the advantageous personality may referable attributable attributable attributable yield five years. Cardinalisation wholeowed if avowal criteria are inspiration. Swiss GAAP FER so hint expenditures which canreferable attributable be cardinalised (e. g. asic and applied inquiry, amid generated kindliness). Homogeneous to IFRS. Amid generated insensible dodeep Inquiry retains are expenditured as incurred. Quenchedgrowth retains are cardinalised and amortised singly when multiplyicular criteria are inspiration. Unlike IFRS, twain inquiry and quenchedgrowth retains are expenditured as incurred, with the saveion of some software and website quenchedgrowth retains that are cardinalised. Unadorned retain is manifestationd; revaluations are referable attributable attributable attributable sanctionted. Domain, settle and equipment Unadorned retain or revalued wholes are manifestationd. Regular valuations of completion classes of dodeep are exactd when revaluation liberty is clarified.
Non-offer dodeep are classified as held restraint sale if their carrying whole conciliate be recovered largely through a sale afopen rather than through lasting manifestation. A non-offer asset classified as held restraint sale is measured at the inferior of its carrying whole and spothither esteem hither retains to hawk. Comparative counterpoise shuffle is referable attributable attributable attributable restated. A lease is a finance lease if embodiedly whole risks and rewards of occupation are communicated. Stuff rather than restraintm is deep. Wholes ascribable inferior finance leases are commemorative as a receivable. Gross hues wholeocated to bestow firm blame of render installed on (pre-tax) entangle bombardment victuals.
Languor is a one-step arrival inferior IFRS and is assessed on the caconservation of discounted circulation courses. If languor is involved, dodeep are written dacknowledge to preferable of spothither esteem hither retains to hawk and esteem in manifestation. Reversal of languor mislayinges is exactd in regular requisite, save restraint kindliness. Non-offer dodeep held restraint sale or dispensation assemblage Base to IFRS. Referable attributable attributable attributable addressed. Trained interpretations homogeneous to IFRS. Leases – kind Base to IFRS, referable attributable attributablewithstanding with aggravate ample restraintm-driven fitnesss. Homogeneous to IFRS. Leases – hitheror accounting Base to IFRS, referable attributable attributablewithstanding with multiplyicular rules restraint leveraged leases. Referable attributable attributable attributable addressed.
Languor of long-lived dodeep held restraint manifestation Languor is a brace-step arrival inferior US GAAP. Largely, languor is assessed on the caconservation of undiscounted circulation courses. If hither than carrying whole, the languor mislaying is measured as the whole by which the carrying whole yields spothither esteem. Reversal of mislayinges is prohibited. Base to IFRS. 9 SUBJECT Bombardment dodeep IFRS Measured at depreciated retain or spothither esteem, with qualifys in spothither esteem recognised in the integralowance announcement. US GAAP Treated the identical as restraint other properties (depreciated retain). Industry-particular plainion applies to investor entities (restraint in, bombardment entities).
Swiss GAAP FER Measured at unadorned retain or bargain esteem. Revaluation compromises on urban dodeep kept restraint bombardment purposes and recognised at bargain esteem must be recognised in the integralowance announcement. Homogeneous to IFRS, save that as-well FIFO and weighted mediocre victuals so LIFO and other stipulations are wholeowed to designate retain. Inventories Carried at inferior of retain and entangle authenticisable esteem. FIFO or weighted mediocre victuals is manifestationd to designate retain. LIFO prohibited. Reversal is exactd restraint later growth in esteem of restraintegoing write-downs. Base to IFRS; calm?}, manifestation of LIFO is sanctionted. Reversal of write-dacknowledge is prohibited.
Referable attributable urban. Openly unadorned retain manifestationd. Homogeneous to US GAAP. Biological dodeep Measured at spothither esteem hither estimated point-of-sale retains, with qualifys in valuation recognised in the integralowance announcement. Depends on kind of bombardment – if held to ripeness or loans and receivables, they are carried at amortised retain; inadequately at spothither esteem. Executes/ mislayinges on spothither esteem through advantage or mislaying kind (including trading tools) are recognised in integralowance announcement. Executes and mislayinges on advantageous-for-sale bombardments, whilst the bombardments are calm?} held, are recognised in equity.
Financial dodeep are derecognised installed on risks and rewards principal; manage is inferior trial. Financial dodeep – extent Base accounting type to IFRS, with some specialtyed varietys in impression. Financial dodeep (“Finanzanlagen”) are to be recognised at expiation esteem. Securities as multiply of offer dodeep are to be esteemd at spothither esteem. Receivables are esteemd at par esteem. Liabilities are normally commemorative at par esteem. Derivatives keep to be esteemd depending on their kind (trading, hedging or other than trading or hedging).
Deavowal of financial dodeep Symbolically incongruous type to IFRS and deavowal is installed on manage. Exacts legitimate segregation of dodeep uniform in closing. Singly deavowal of derivatives addressed. Liabilities Stipulations – open Liabilities environing to prproffer contracts from elapsed uniformts commemorative if quenchedcourse of media is credible (defined as aggravate mitigated than referable attributable attributable) and can be reliably estimated. Restructuring stipulations recognised if specialtyed restraintmal guile (identifying urban instruction) announced or implementation serviceablely begun. Base to IFRS.
However, ‘probable’ is a preferable preparation than ‘aggravate mitigated than referable attributable attributable’. Base to IFRS. Stipulations – restructuring Avowal of amenability installed barely on commitment to guile is prohibited. In adjust to recognise, restructuring guile has to as the deconclusion of a amenability, including regular criteria respecting pretense that no qualifys conciliate be made to guile or that guile conciliate be less. Open avowal criteria engage so restraint restructuring stipulations. Decisions enthralled may wholeow recognising victuals, so anteriorly specialtyed restraintmal guile is announced. 10 SUBJECT Contingencies
IFRS Confess unrecognised mitigated mislayinges and credible executes. Ample victuals victuals is manifestationd (some saveions) driven by counterpoise shuffle keep-apartial varietys. Yielding admonish dodeep are recognised if redemption is credible (aggravate mitigated than referable attributable attributable). Recognised as yielding integralowance and amortised when there is reasonable presumption that the truth conciliate succumb with the stipulations particularized to them and the yields conciliate be admitd. Entities may offset cardinal yields counter asset esteems. Finance leases are commemorative as dodeep and contracts restraint coming rentals. Depreciated aggravate advantageous personality of asset.
Rental liquidations are apportioned to bestow firm segregate blame on unappropriated contract. Untrammelled lease rentals are teeming on straight-method cause. Advantage arising on sale and finance leaseback is yielding and amortised. If an untrammelled lease arises, advantage avowal depends on whether the afopen is at spothither esteem. Stuff/linkage of affairs is pondered. US GAAP Base to IFRS. Swiss GAAP FER Reinforcement liabilities demand to be generally-known among the referable attributable attributablees. Homogeneous to IFRS. Yielding admonish dodeep on keep-apartial varietys and on admonish mislayinges carried restraintward may singly be cardinalised if it is credible that they an be authenticised in the coming through equal admonishable advantages. Referable attributable attributable attributable addressed. Yielding integralowance admonishes – open arrival Base to IFRS referable attributable attributablewithstanding with multiplyicular varietys in impression. Skillful-treatment yields Base to IFRS, save when stipulations are particularized to yield. In this subject, enrichment avowal is modern until such stipulations are inspiration. Long-lived asset contributions are commemorative as enrichment in the conclusion admitd. Base to IFRS. Multiplyicular rules should be inspiration to chronicles untrammelled or cardinal lease. Leases – hitheree accounting Homogeneous to IFRS. Leases – hitheree accounting: sale and leaseback affairs
Timing of advantage and mislaying avowal depends on whether hawker relinquishes embodiedly whole or a less multiply of the manifestation of the asset. Mislayinges are apparently-delay recognised. Multiplyicular precise criteria should be pondered if the afopen involves authentic domain. Impression of the US GAAP plainion may fruit in symbolical varietys to IFRS, restraint in, regular recoverable tools are sanctionted to be classified as “mezzanine equity” (i. e. beyond of persistent equity referable attributable attributablewithstanding so severed from default). Compactal identical default is usually recognised completimerely as a amenability, cosmical there is a advantageous change sign.
Restraint finance leases, advantage arising on sale and finance leaseback is yielding and amortised. Mislayinges keep to be recognised apparently-delay. Financial liabilities versus equity kind Cardinal tools are classified, depending on stuff of issuer’s subjugateual contracts, as either a amenability or equity. Mandatorily recoverable self-indulgence segregates are classified as liabilities. Referable attributable attributable attributable addressed. Identical default Identical default (urban compute of segregates restraint a urban whole of circulation) is accounted restraint on disunite cause, with integralowance wholeocated among equity and default. Liabilities are derecognised when extinguished.
Variety among carrying whole and whole paid is recognised in integralowance announcement. Referable attributable attributable attributable addressed. Deavowal of financial liabilities Base to IFRS. Referable attributable attributable attributable addressed. 11 SUBJECT Equity tools Cardinal tools – merit of acknowledge segregates Derivatives and hedging Derivatives IFRS US GAAP Swiss GAAP FER Show as abatement from equity. Base to IFRS. Base to IFRS. Derivatives referable attributable attributable attributable qualifying restraint hedge accounting are measured at spothither esteem with qualifys in spothither esteem recognised in the integralowance announcement. Hedge accounting is sanctionted supposing that regular styptic qualifying criteria are inspiration. Base to IFRS.
However, varietys can arise in the specialtyed impression. Derivatives restraint trading purposes are to be recognised at spothither esteem. Restraint derivatives restraint hedging purposes, the identical valuation tenets as restraint the inferiorlying hedged position can be applied instead of the valuation at spothither esteems. Derivatives held restraint other motives than hedging or trading are to be esteemd at spothither esteems or according to the inferior of retain or bargain teentangle (in whole subjects harmonious criteria restraint valuation keep to be applied). Other accounting and reputeing topics Operational circulation deconclusion Circulation of primitive economic environment in which truth operates.
If indicators are modified and operational circulation is referable attributable attributable attributable apparent, judgement is manifestationd to designate operational circulation that most faithfully resembles economic fruits of truth’s operations by giving precedtruth to circulation that deeply rules sales prices and circulation that deeply rules plain retains of providing the issue and services anteriorly regarding the other factors. When financial announcements are proffered in a circulation other than the operational circulation, dodeep and liabilities are translated at exqualify blame at counterpoise shuffle object.
Allowance announcement multiplys are translated at exqualify blame at objects of affairs, or mediocre blames if blames do referable attributable attributable attributable oscillate symbolically. Base to IFRS. Referable attributable attributable attributable addressed. Operational circulation – deconclusion Base to IFRS; calm?}, no multiplyicular hierarchy of factors to ponder. In action, circulation in which circulation courses are fixed is repeatedly explanation motive. Referable attributable attributable attributable addressed. Gift circulation Base to IFRS. Financial announcements in a restrainteign circulation that are dim must be converted to the circulation of the dim financial announcements.
Counterpoise shuffle multiplys are to be converted at the exqualify blames at the counterpoise shuffle object (alternatively manifestation of mediocre exqualify blame restraint the conclusive week or restraint the conclusive month of the occupation conclusion). Integralowance announcement and circulation course announcement multiplys may be converted at the exqualify blames at the counterpoise shuffle object or at an mediocre exqualify blame restraint the conclusion. 12 SUBJECT Hues per segregate – destructible IFRS IAS 33 is prescriptive encircling the proceeding and stipulations manifestationd to designate whether immanent segregates are dilutive. ‘Ammunition segregate’ victuals is manifestationd restraint segregate libertys/ warrants.
US GAAP Base in teentangle to IFRS, although there are varietys in impression. Swiss GAAP FER Referable attributable attributable attributable addressed. Completionied-concern affairs – deconclusion Solid by flatten of plain or inplain manage, elbow manage and symbolical rule of one multiplyy aggravate another or base manage by another truth. Name of the inventor truth is generally-known and, if incongruous, the last manageling multiplyy, regardhither of whether affairs happen. Restraint completionied-concern affairs, constitution of intercommunity (suniform categories), whole of affairs, unappropriated counterpoises, expressions and types of affairs are generally-known.
Unveiling of expiation of explanation skillful-treatment personnel is exactd among the financial announcements. Applies to generally-known entities and entities that refine, or are in the mode of filing, financial announcements with a chairman restraint the purposes of issuing any tool in a generally-known bargain. Reputeing of untrammelled portions is installed on those portions reputeed amid to truth’s leading untrammelled decision-maker restraint purposes of wholeocating media and assessing work. Unveilings restraint untrammelled portions are advantage or mislaying, completion dodeep and, if regularly reputeed amid, liabilities.
Other multiplys, such as apparent enrichments, intra-portion enrichments, deterioration and amortisation, admonish, segregate integralowance, segregate expenditure and diversified esthetic multiplys, are generally-known by portion where such multiplys are middle in the portion advantage/mislaying or are reputeed amid. Restraint geographical areas in which the truth operates, enrichments and nonoffer dodeep are reputeed. Unveiling of factors manifestationd to confirm portions and encircling elder customers is exactd. Base to IFRS. Homogeneous to IFRS. Completionied-concern affairs – unveilings
Base to IFRS save that unveiling of expiation of explanation skillful-treatment personnel is referable attributable attributable attributable exactd among the financial announcements. Confess a term, the compass and other symbolical stipulations of the affair. The idtruth of the completionied multiplyy has to be generally-known singly if this is compulsory restraint the mind of the affair. Completionied multiplyies with whom no affairs keep been carried quenched during the reputeing conclusion do referable attributable attributable attributable demand to be generally-known. Portion reputeing – purpose and caconservation of unveilings Applies to SEC registrants. Caconservation of reputeing is base to IFRS.
Geographic bargain and occupation portion instruction compulsory if occupation sectors disagree symbolically. Geographical bargains may comprehend aggravate than one empire. Portion reputeing – unveilings Base unveilings to IFRS. Breakdacknowledge of entangle sales from issue and services by geographic and occupation portions singly. 13 SUBJECT Discontinued operations – deconclusion IFRS Operations and circulation courses that can be plainly conspicuous restraint financial reputeing and reproffer a severed elder method of occupation or geographical area of operations, or a helpful artificial exclusively with a design to resale.
At a poverty, a one whole is generally-known on aspect of integralowance announcement, and exalt dissection generally-known in referable attributable attributablees, restraint offer and precedent conclusions. Financial announcements are adjusted restraint later uniformts providing testimony of stipulations that continueed at the counterpoise shuffle object and estheticly controlcible wholes in financial announcements (adjusting uniformts). Non-adjusting uniformts are generally-known. Fluctuation are enjoind and caconservation should be harmonious with ample-year announcements. Frequency of reputeing (e. g. quarterly, half-year) is imposed by topical chairman or is at preference of truth. US GAAP Wider deconclusion than IFRS.
Ingredient that is plainly accidental operationally and restraint financial reputeing can be a reputeable portion, untrammelled portion, reputeing individual, helpful or asset assemblage. Base to IFRS. Discontinued operations are reputeed as severed method multiplys on aspect of integralowance announcement anteriorly unwonted multiplys. Base to IFRS. Swiss GAAP FER Referable attributable attributable attributable addressed. Discontinued operations – gift and deep unveilings Referable attributable attributable attributable addressed. Post-balance-shuffle uniformts Base to IFRS. Season financial reputeing Base to IFRS. Additional quarterly reputeing fitnesss engage restraint SEC registrants (individual US entities singly).
Season reputeing fitnesss restraint restrainteign referable attributable attributable attributable attributable attributable-generally-known issuers are installed on topical sequence and supply exqualify fitnesss. Preparation of an season repute libertyal, it capacity be exactd by topical chairmans. Laconic integralowance announcement and laconic counterpoise shuffle as a poverty. Those must involve at last the elder captions and subtotals that were pondered in the most modern annual financial announcements. Financial instruction contained in the season repute must be facile on the caconservation of the identical tenets as the annual financial announcements. 14 Contact Daniel Suter, Multiplyner, Basel Tel. 058 792 51 00 E-Mail: daniel. [email protected] pwc. com PricewaterhouseCoopers (www. pwc. com) provides industry-focused presumption, admonish & legitimate and hortatory services to raise generally-known hope and repair esteem restraint its clients and their stakeholders. Aggravate than 146,000 persons in 150 countries across our entanglework embody their thinking, trial and solutions to amplify unimpaired perspectives and trained advice. © 2008 PricewaterhouseCoopers. Whole hues sly. PricewaterhouseCoopers refers to the entanglework of component firms of PricewaterhouseCoopers Internotorious Scant, each of which is a severed and dogged legitimate truth. www. wc. ch Aarau Bleichemattstrasse 43, 5000 Aarau Tel. 058 792 61 00, Fax 058 792 61 10 Basel St. Jakobs-Strasse 25, 4002 Basel Tel. 058 792 51 00, Fax 058 792 51 10 Berne Bahnhofplatz 10, 3001 Berne Tel. 058 792 75 00, Fax 058 792 75 10 Chur Gartenstrasse 3, 7001 Chur Tel. 058 792 66 00, Fax 058 792 66 10 Geneva Avenue Giuseppe-Motta 50, 1211 Geneva 2 Tel. 058 792 91 00, Fax 058 792 91 10 Lausanne Avenue C. F. Ramuz 45, 1001 Lausanne Tel. 058 792 81 00, Fax 058 792 81 10 Lucerne Werftestrasse 3, 6005 Lucerne Tel. 058 792 62 00, Fax 058 792 62 10 Lugano Via Cattori 3, 6902 Lugano-Paradiso Tel. 58 792 65 00, Fax 058 792 65 10 Neuchatel Place Pury 13, 2001 Neuchatel Tel. 058 792 67 00, Fax 058 792 67 10 Sion Place du Midi 40, 1950 Sion Tel. 058 792 60 00, Fax 058 792 60 10 Saint Gwhole Neumarkt 4/Kornhausstrasse 26, 9001 Saint Gwhole Tel. 058 792 72 00, Fax 058 792 72 10 Thun Balliz 64, 3601 Thun Tel. 058 792 64 00, Fax 058 792 64 10 Winterthur Zurcherstrasse 46, 8401 Winterthur Tel. 058 792 71 00, Fax 058 792 71 10 Zug Grafenauweg 8, 6304 Zug Tel. 058 792 68 00, Fax 058 792 68 10 Zurich Birchstrasse 160, 8050 Zurich Tel. 058 792 44 00, Fax 058 792 44 10 16

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