SEC makes XBRL official

The Securities and Exchange Commission (SEC) published its written rule last Friday on XBRL, making it official - companies will be using the new...

The Securities and Exchange Commission (SEC) published its written rule last Friday on XBRL, making it official - companies will be using the new electronic tagging system for financial reports in the not-so-distant future.

Michelle Savage, VP of communication for XBRL US commented on the report, saying it offered a couple of clarifications.

"In the final rule, issuers [from smaller companies] were encouraged to early adopt," she said. "They can do the XBRL submissions at their own pace until it becomes mandatory."

Savage said the report also made clear that the shorter 10Q form rather than the 10K can be used by the first wave of filers, this coming June.



Sue Childs, EVP of EDGAR Online, which has been working with XBRL for a number of years, said the written report "represents the next chapter for EDGAR Online" and that the company was "prepared for everything that came down."

Many companies are still in the process of getting prepared, according to Savage, with more people participating in educational webinars and using services and tools to beef up on their XBRL knowledge. IROs should also be getting prepared as Savage says the nature of the interaction between them and investors will likely change as XBRL is adopted.

"Investors will be turning to the IRO for more information about strategy rather than explaining the numbers," she said. "With XBRL they'll know the explanation behind the numbers."

Have you registered with us yet?

Register now to enjoy more articles and free email bulletins

Register
Already registered?
Sign in