The Board met on 13 December 2016 to discuss implementation and maintenance projects.
Revenue from Contracts with Customers (oral update)
The Board received an oral update on the meeting of US stakeholders of the Transition Resource Group (TRG) held by the FASB on 7 November 2016. No follow-up is required by the Board in respect of the issues discussed at that TRG meeting.
Agenda Paper 12: IFRIC Update
The Board received an update from the November 2016 meeting of the IFRS Interpretations Committee (the Interpretations Committee). Details of this meeting were published in the IFRIC® Update, available here.
Agenda Paper 12A - Agenda Paper 12E: Proposed amendments to IAS 19 and IFRIC 14
The Board discussed Interpretations Committee recommendations on the proposed amendments to IAS 19 Employee Benefits and IFRIC 14 IAS 19—The Limit on a Defined Benefit Asset, Minimum Funding Requirement and their Interaction.
At this meeting, the Board tentatively decided to finalise the amendments to IFRIC 14, subject to some drafting changes. Ten Board members agreed with this decision and one member was absent.
For the amendments to IAS 19, the Board asked the Interpretations Committee to consider the implications of including minor plan events (ie plan events for which the past service cost, or gain or loss on settlement, would not be material) within the scope of the amendments.
Other than the topic of minor plan events, the Board agreed with the Interpretations Committee’s recommendations to finalise the amendments to IAS 19, subject to some drafting changes. Ten Board members agreed with this decision and one member was absent.
The Board did not discuss Agenda Paper 12D (transition, effective date and first-time adoption) or Agenda Paper 12E (due process steps) at this meeting.
At a future meeting, the Interpretations Committee will discuss the implications of including minor plan events within the scope of the amendments to IAS 19. The Board will then consider the recommendations from the Interpretations Committee on this topic at a future Board meeting, together with transition, first-time adoption, effective date and due-process steps.
Agenda Paper 12F: IFRS 9 Financial Instruments: Prepayment Options
The Board discussed whether to add to its agenda a narrow-scope project on IFRS 9 Financial Instruments regarding financial assets with symmetric ‘make-whole’ prepayment options. The Board considered the classification of financial assets with such prepayment options applying IFRS 9, together with a summary of feedback from the Interpretations Committee. Interpretations Committee members had recommended that the Board add the topic to its agenda.
The Board agreed with the staff recommendation to add a narrow-scope project on financial assets with symmetric ‘make-whole’ prepayment options.
Eight Board members agreed and two members disagreed with this decision; one member was absent.
The Board will discuss the topic at its January 2017 meeting.