October 2012 International Financial Reporting Standards IASB Agenda Ref

XBRL activities at IASB & IFRS Foundation

Kiev, Ukraine

3-5 October 2012

Olivier Servais Director – XBRL Activities The views expressed in this presentation are those of the presenter, not necessarily those of the IASB or IFRS Foundation.

© 2012 IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

Agenda

• Governance for IASB XBRL activities • The IFRS taxonomy • Activities for 2012 and planned activities • Adoption of the IFRS taxonomy • Cooperation between Ukraine and IASB on XBRL

30 Nvember 2011 International Financial Reporting Standards

XBRL activities at IASB & IFRS Foundation

The views expressed in this presentation are those of the presenter, not necessarily those of the IASB or IFRS Foundation

The IFRS XBRL initiative

4 • Established by the Trustees in 2001 • Part of the adoption and implementation of IFRSs; recognised that XBRL could: – Become the de facto standard for electronic reporting – Support the presentation of financial statements – Support convergence through the codification of concepts – Improve access to financial information – Increase the range of users of financial information (i.e. translation) – Ease IFRS conversion, understanding and implementation The mission of the XBRL team is to create and provide a framework for the consistent adoption and implementation of IFRSs with a high quality IFRS Foundation-developed IFRS Taxonomy in the same languages and at the same time as the IFRSs © IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

XBRL advisory committees

XBRL Board advisory 5 • • • • 6 IASB members and two Director (Technical Activities, Implementation) Formal liaison between IASB and XBRL Team Mutual advice on XBRL-specific issues Facilitates coordination of IFRS and XBRL due processes and work efforts XBRL Advisory Council (XAC) • • Strategic external advisory committee Provides strategic advice on IFRS Taxonomy adoption and implementation across the globe XBRL Quality Review Team (XQRT) • • • Technical external advisory committee Reviews developed taxonomies Provides input and practical recommendations on taxonomy usability (XBRL technology and financial reporting) © IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

What we provide

6 •

A licence-free IFRS Taxonomy

consistent with the IFRSs and the IFRSs for SMEs, with effective standards and standards for early adoption •

Translations of the IFRS Taxonomy

available in Arabic, Simplified and Traditional Chinese, Dutch, French, German, Italian, Japanese, Korean and Spanish •

Support materials

–

IFRS Taxonomy Illustrated

, presents a simplified view of the Taxonomy in an easy to read, – visual format, with non-technical language

xIFRS (IFRSs with XBRL)

, presents a view of the electronic IFRSs with embedded XBRL available for both the IFRSs and the IFRS for SMEs – –

Illustrative examples

, presents case studies for statements prepared with IFRS taxonomy available for both the IFRSs and the IFRS for SMEs

IFRS Taxonomy Guide

, a technical guide for issuers and preparers, analysts, accountants, regulators, software vendors and service providers •

Outreach activities

to national jurisdictions, regulators and supervisors, issuers and preparers, software vendors… © IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

International Financial Reporting Standards The views expressed in this presentation are those of the presenter, not necessarily those of the IASB or IFRS Foundation

IFRS taxonomy

The IFRS Taxonomy Building Blocks

2011 taxonomy

1,851

2012 taxonomy

2,259 Core disclosure requirement concepts 281 112 2,545* 399 694 3,770**

* Includes also 301 technical elements without reference ** Includes also 418 technical elements without reference

Guidance and example concepts Common / Industry practice concepts Local/regulatory concepts Company concepts 8 © 2012 IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

XBRL Due Process stages

• • • • • • •

Input from:

XBRL Advisory Council XBRL Quality Review Team XBRL International working groups Other taxonomy developers Regulators Software developers International groups: - Preparers - Financial institutions - Analysts - Users © 2012 IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

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Some statistics

Number of taxonomy items Total Full IFRS (excluding the IFRS for SMEs) (1) IFRS for SMEs (2) Disclosure requirements (part A of the Bound Volume) Examples (part B of the Bound Volume) Common Practices Final 2012 taxonomy

3,769* 3,658 1,135

Final 2011 taxonomy

2,545 2,426 1,128

Final 2010 taxonomy

2,027 1,936 1,026 2,259 1,851 1,688 399 694 281 112 2 114

*Also includes 418 technical elements without reference

© 2012 IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

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Statistics cont.

Number of taxonomy items Final 2012 taxonomy monetary string text block domain per cent per share

1,660 1,209 367 396 70 14

shares decimal date

13 25 10

pure TOTAL

5 3,769 © 2012 IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

Final 2011 taxonomy

1,145 905 158 267 31 11 9 9 8 2 2,545

Final 2010 taxonomy

8 6 4 11 2,027 913 775 95 195 9 11 44.0% 32.1% 9.7% 10.5% 1.9% 0.4% 0.3% 0.7% 0.3% 0.1% 100.0% 11

IFRS Taxonomy: annual development time line

12 End of annual taxonomy development cycle Taxonomy development* XBRL Quality Review Team review Further taxonomy development Exposure draft IFRS Taxonomy IFRS Bound Volume Final IFRS Taxonomy New / improved IFRSs IFRS Taxonomy interim releases NOVEMBER DECEMBER JANUARY FEBRUARY *including consolidation of IFRS Taxonomy interim releases MARCH APRIL MAY to OCTOBER © 2012 IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

International Financial Reporting Standards

Supporting materials & translations

The views expressed in this presentation are those of the presenter, not necessarily those of the IASB or IFRS Foundation

IFRS Taxonomy 2012 files

14 • All files available at

http://www.ifrs.org/XBRL/IFRS+Taxonomy/IFRS+Taxonomy+2012/IFRS+Taxonomy+2012+files.htm

• Taxonomy files, including XSD entry points • IFRS Taxonomy Illustrated: – PDF format: – IFRSs organised according to financial statements – IFRSs organised by IFRSs – IFRS for SMEs – HTML format, with taxonomy versioning information: – IFRSs organised according to financial statements – IFRS for SMEs •

x

IFRS (IFRSs with XBRL) © 2012 IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

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IFRS Taxonomy Illustrated (ITI)

16

Versioned IFRS Taxonomy Illustrated

17

xIFRS

18

Illustrative examples

• 16 Illustrative examples available

http://www.ifrs.org/XBRL/Resources/XBRL+Illustrative+examples.htm

• Examples include: – Illustrative primary financial statements – Financial instruments – Operating segments – First-time adoption of IFRSs – Share-based payments – Business combinations – Property, plant and equipment – Fair value measurement – Illustrative financial statements for IFRS for SMEs

Translations

19 • 10+ IFRS Taxonomy translations to date Arabic, Chinese (simplified and traditional), Dutch, French, German, Hungarian, Italian, Japanese, Korean, Portuguese, Spanish and … Ukrainian • Translated materials available: – IFRS Taxonomy files – IFRS Taxonomy Illustrated Arabic Spanish © 2012 IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

IFRS Taxonomy translation process

20 9. Completed spreadsheet 3. English label request XBRL Team Translation Team 4. Translation spreadsheet Quality check Publishing Hosting 1. Agreement 5. Response 6. Translation request Appointed Translator 7. Completed spreadsheet © 2012 IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

National Standard Setter 2. Translation request 8. Response

Taxonomy Management System (TMS)

21 •

Internal proprietary platform for taxonomy management

•

Tests :

Concepts, Labels, References, Presentation, Calculation, Definition, Generic labels & references, General linkbase & role rules •

Over 10 different taxonomies have been tested and over 100 reports have been generated

•

Necessary to produce ITI

•

And… it is free

© 2012 IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

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International Financial Reporting Standards

Planned activities for the next 6-12 months

The views expressed in this presentation are those of the presenter, not necessarily those of the IASB or IFRS Foundation

Planned activities for the next 6-12 months

25 • New IFRS standards • Development of common practices reflecting specific activities (banking, insurance and extractive, including oil & gas and mining) • Review of the XBRL due process • 2013 version of the taxonomy & translations • Maintenance of existing platforms (TMS, REPO, XPLOT) • Interaction with stakeholders: regulators, users… • Data Point Model and Abstract Modelling • Development of the documentation labels, and… • Review of the strategy © 2012 IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

International Financial Reporting Standards

IFRS taxonomy expected Interim releases

The views expressed in this presentation are those of the presenter, not necessarily those of the IASB or IFRS Foundation

IASB Work Plan

27 © 2012 IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

IASB Work Plan

28 © 2012 IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

Standards impacting Taxonomy - 2012

IASB FINAL STANDARDS

Topic

Annual improvements 2009-2011

IASB due process stage

Completed

Timing

Transition Guidance (Amendments to IFRS 10) Completed Consolidation – Investment entities IFRS to be issued H2 2012 General hedge accounting ** IFRS to be issued Q4 2012

Impact

29 3 string elements * 2 string elements * significant significant * - to be included with Interim Release for Investment Entities ** - most likely to be included in XQRT draft of IFRST 2013 © 2012 IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

Standards impacting Taxonomy - 2013

IASB FINAL STANDARDS AND EXPOSURE DRAFTS

Topic IASB due process stage Timing Impact

Leases Re-exposure Draft Q4 2012 30 significant Impairment Insurance contracts IFRS 9: Classification and measurement Macro hedge accounting Annual improvements 2010-2012 Revenue recognition Re-exposure Draft Re-exposure Draft Exposure Draft Discussion Paper IFRS to be issued IFRS to be issued Q4 2012 H2 2012 Q4 2012 H2 2012 Q1 2013 H1 2013 significant significant limited significant limited significant © 2012 IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

International Financial Reporting Standards

Documentation labels (definitions)

The views expressed in this presentation are those of the presenter, not necessarily those of the IASB or IFRS Foundation

Documentation labels

32 • Documentation labels are labels within the taxonomy that provide additional information on the content of a concept. For example (UGT):

Assets - Assets are probable future economic benefits obtained or controlled by an entity as a result of past transactions or events.

• Documentation labels may also contain examples • Documentation labels might be released in Q3 2012 © 2012 IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

Levels of documentation labels

33 •

Level 1: Technical, no definition. [17%]

•

Level 2: Label sufficient for definition. [38%]

•

Level 3: Definition available in IFRSs. [5%]

•

Level 4: Definition derived from a defined element. [29%]

•

Level 5: Element to be newly defined. [11%]

© 2012 IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

Examples

label

Liabilities in subsidiary or businesses acquired or disposed

type

mon 34

ref lev Definition

D 2 The amount of the liabilities in subsidiaries or other businesses over which control is obtained or lost.

Date of acquisition date Increase (decrease) in property, plant and equipment mon D D 3 The date on which the acquirer obtains control of the acquiree in a business combination.

4 The increase (decrease) in property, plant and equipment. [Refer: Property, plant and equipment] Construction in progress [member] Statutory reserve domain CP 5 This member stands for expenditure capitalised during the construction of items of property, plant and equipment that are not yet available for use (ie not yet in the location and condition necessary for it to be capable of operating in the manner intended by the management). [Refer: Property, plant and equipment] mon CP 5 A component of equity representing reserves created based on legal requirements.

© 2012 IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

International Financial Reporting Standards The views expressed in this presentation are those of the presenter, not necessarily those of the IASB or IFRS Foundation

Formula Linkbase

Formula specifications

36 • Existing Calculation check (linkbase) cannot express complex relations between concepts. • Therefore the new Formula specifications cover new areas which are critical for checking correctness, consistency and integrity : – Correctness (i.e. how the components of one piece relate to another within that piece). This includes roll ups rolling up, roll forwards working, and domain partition aggregations working. – Consistency (i.e. authorized shares is greater than or equal to issued shares). – Integrity (i.e. how the pieces relate to one another; for example, ensuring property, plant and equipment on the statement of financial position are consistent with the details of the components of PPE communicated in the disclosures).

Formula specifications

– Continued

• New formula specifications cover six areas split into three categories: Correctness – Cross period validations – Axis aggregation validations • Consistency – Earnings per share validations – Positive / negative fact validations – Percentage warnings • Integrity – Facts equivalence validations.

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Formula in the IFRS taxonomy

38 • The IFRS Foundation has developed formula linkbase as a prototype to receive feedback on business and technical aspects from the public and to estimate market demand. • The Formula 2012 release is based on the final IFRS taxonomy 2012 and on the XBRL International Formula specifications 1.0 (*). • The Formula 2012 release has been reviewed by XQRT and is expected to be published before end of July 2012 as an educational material. • Interim releases published after the final IFRS taxonomy 2012 will not be covered within this formula linkbase. (*) 2009-06-22 including errata corrections as of 2011-03-10

International Financial Reporting Standards The views expressed in this presentation are those of the presenter, not necessarily those of the IASB or IFRS Foundation

Adoption

Current IFRS Taxonomy projects

40 © IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

Adoption of the IFRS taxonomy

• • The following are examples of organisations that have adopted the IFRS taxonomy: Corporate/securities filing: – Accounting and Corporate Regulatory Authority of Singapore ACRA Taxonomy ; – – – – – – – – – – – – Danish Chamber of Commerce Association,

Denmark

;

DART

System of the Financial Supervisory Service,

Korea

; Financial Services Agency of Japan EDINET ;

Israel

Securities Authority

MAGNA

platform; Ministry of Finance, PR of China Chinese Accounting StandardsTaxonomy ; Standard Business Reporting Program in

Australia

and

The Netherlands

; Superintendencia de Valores y Seguros información del Mercado de Valores of

Chile

; Johannesburg Stock Exchange, South Africa SA Taxonomy ; Comisión Nacional del Mercado de Valores of

Spain

;

UK HRMC

and Companies House UK-IFRS Taxonomy; Emirates (

UAE

) Securities and Commodities Authority (SCA)

UAE taxonomy;

Financial Supervisory Commission of the Executive Yuan (

Taiwan

) & the Taiwan Stock Exchange Banking/Insurance regulation: –

EBA

(European Banking Authority)

Financial Reporting framework taxonomy;

– Bermuda Monetary Authority Solvency II XBRL Taxonomy and

IFRS for Insurance XBRL Taxonomy

– – EIOPA-Solvency II Solvency II XBRL Taxonomy and

IFRS for Insurance XBRL Taxonomy

Microfinance

Information eXchange

MIX Microfinance Taxonomy

Other XBRL (not IFRS and/or non financial) initiatives that are consistent with our development:

Carbon Disclosure, WICI, GRI

… Most countries that have adopted IFRSs are also considering whether to adopt XBRL and the IFRS taxonomy. These countries include Brazil, Canada, India, Indonesia, Italy, Korea, Luxembourg, Malaysia, Mexico, Panama, Peru, Poland, Switzerland, Ukraine and others.

The European ‘case’

Mandatory XBRL in the European Union? Assessment as of October 2012

October 2011:

European Commission's legislative proposals for a review of the Transparency Directive (applies to all listed companies, IFRS users) and Accounting Directive (applies to SMEs, national accounting standards users) - XBRL as an EU standard not proposed.

January 2012:

EU legislative process commences: parallel work carried out by the European Parliament (Legal Affairs Committee, JURI (lead) and Economic Affairs Committee, ECON) and the Council (Member States representatives); commonly referred to as the co-decision procedure.

March 2012:

ECON draft report by Wolf Klinz, Member of Parliament: calling for mandatory XBRL reporting from 2018 in both the Transparency and Accounting Directives.

May 2012:

European Council adopts its position: limited to the issues included in the Commission's proposal; XBRL not discussed and therefore not proposed.

June 2012:

ECON vote on Wolf Klinz' draft report; 95% of ECON members in favour of the XBRL mandate in both Directives. © 2012 IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

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The European ‘case’

– Cont’d

Mandatory XBRL in the European Union? Assessment as of October 2012

June 2012:

European Commission indicates support for mandatory XBRL reporting in the Transparency Directive.

September 2012:

SMEs. JURI vote on both reports (incorporating ECON reports): mandatory electronic reporting – according to a standard set out by ESMA from 2018 for listed companies, IFRS users (Transparency Directive), no mandate for (Adopted wording attached)

Autumn/Winter 2012:

"Trialogue" negotiations between the EP, the Council and the Commission in order to finalise the legislative process (EP plenary vote); strong EP commitment for XBRL, unknown position of the Council and the Commission (changes?). If adopted according to the EP: ESMA to develop technical standards by the end of 2015 concerning the electronic reporting language, the enhanced role of the European Commission (impact assessments etc.) and maybe EFRAG (advisory to the Commission). (This is dependent on the outcome of the trialogue discussions!) (Depending on the outcome of the trilogue negotiations!) listed companies, IFRS users will be in place as of 1 January 2018. (This is dependent on the outcome of the trialogue discussions!) © 2012 IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

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Other initiatives in Europe

• At global level – – – – – European Banking Authority European Insurance and Operational Pension Authority ECCBSO Eurostat XBRL in Europe… • At country level – – – Belgium, and NBB The Netherlands, and SBR UK, and HMRC and Companies House… 44 © 2012 IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

© Gilles Maguet  XBRL Europe: XII affiliate - foster European efforts between members - liaise with European Authorities and organisations    XBRL EUROPE membership: 19 members: XBRL EU Jurisdictions Belgium, Denmark, Germany, France, Italy, Luxembourg, Netherlands, Spain , UK and XII Direct members: European Federation of Financial Analyst Societies, Deloitte Innovation BV, Bermuda Monetary Authority, Fujitsu Poland EMEA, Infogreffe, Theia Partners, Ernst & Young EMEIA, Central Bank of Morocco and BR-AG Poznan       Working Groups XBRL EU Business Register WG COREP, FINREP, Solvency II Harmonization WG IFRS, Securities & Markets WG Marketing and Communication Monnet Project funded by EC, development of automatic translation tools for XBRL    Events Regular XBRL Europe days (next one in Frankfurt 12/13 th December) Specific thematic seminars (next on solva II in Paris the 23 rd of October)

International Financial Reporting Standards

Cooperation between Ukraine and IASB on XBRL

The views expressed in this presentation are those of the presenter, not necessarily those of the IASB or IFRS Foundation © 2012 IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

Ways to cooperate

• Education & outreach 47 • Review of materials: taxonomy (TMS test), translation, filing samples… • Assistance on related topics i.e. inception of jurisdiction, conference and other public events… • Contact with peers • Others… © 2012 IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

Thank you

© 2012 IFRS Foundation. 30 Cannon Street | London EC4M 6XH | UK. www.ifrs.org

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