Disclosure requirements for
market risk sensitive instruments:

• Derivative financial instruments
• Other financial instruments
• Derivative commodity instruments

SEC summaries

• Final release 1997

S-B Item 10(g)

• Rule
• For small business issuers

Form 20-F Item 11

• Form 20-F
• For foreign private issuers

S-X Rule 4-08(n)

• Rule
• Notes to financials - Accounting policies for derivatives

Final release 33-7386 1997

• Adopted S-K 305
• Proposal release 33-7280 1996

• Added "safe harbor" provisions to the proposal

• Proposal release 33-7250 1995

• Initial proposal

SEC FAQs on Market Risk Disclosures 1997

• Companies affected
• Compliance dates
• Coverage
• Accounting policy disclosures
• Quantitative disclosure:

• General
• Interim reports
• Tabular information
• Sensitivity analysis
• Value-at-risk (VAR)

• Qualitative disclosure
• Safe harbor requirements

SEC's Current accounting issues 2001

• Topic II.F  Market Risk Disclosures

• II.F.1  General
• II.F.2  Sensitivity and liquidity
• II.F.3  Qualitative disclosures
• II.F.4  Quantitative disclosures

SEC's Current accounting issues 2005

• Topic II.L  Market Risk Disclosures

Disclosure threshold

• Final release commentary

Location of disclosures

• Final release commentary

Cross-referencing of disclosures

• Final release commentary

Application to registrants

• Final release commentary

Reporting frequency

• Final release commentary

Application to Small Business Issuers

• Final release commentary

Summary of SEC / FASB rule-making 1997

Article on FRR 48 - Market risk disclosures

Form 10-K Item 7A

10-Q

10-KSB

10-QSB

20-F

S-K 303 (MD&A)

S-K Index

Financial Reporting Issues:

• Contingencies
• Derivatives
• Fair Value
• Foreign Accounting
• Inflation