“The preparation of annual financial reports in a single electronic reporting format will be mandatory as from January 1, 2020” XBRL Europe Working Group: IFRS, Securities and Markets Rome May 6, 2014 XBRL Europe Working Group: IFRS, Securities and Markets Working Group Aims: to promote XBRL for European securities and markets, to ensure comparability of XBRL data for investment professionals, to harmonize IFRS Taxonomy Extensions in Europe, and to optimize the XBRL-implementation processes of European stock listed companies. Our main domains of activity are: Supporting European institutions and European associations in the area of capital markets with XBRL. We are serving these institutions with the worldwide experience of the XBRL International community in capital markets and with best practices know how. Offering a platform to European XBRL jurisdictions, listed companies, investment professionals, regulators, service providers and software companies to share XBRL experiences, for example how to implement EU national IFRS XBRL Taxonomy extensions. Transparency Directive The preparation of annual financial reports in a single electronic reporting format will be mandatory as from January1, 2020 XBRL EUROPE involvement ? Communication with ESMA ? Role of the IFRS, Securities and Markets WG ? 4 Goal of W. Group XBRL AS ENABLER Promote an XBRL-enabled, IFRSbased, electronic reporting Improving cross border access to information in European Securities Markets Promote adoption for European securities and markets in relation with the EU transparency directive Process Identify, develop and agree together on Ways to set communications with ESMA Prepare a White Paper presenting options for the Transparency Directive requirements Preparation: IFRSSAM WG Inputs: Business Registers WG Usability WG IFRS Foundation? Review: XBRL Europe Review Committee 4 5 Goal of W. Paper Promote XBRL Europe views on implementation options of the Transparency Directive Executive summary and WP 1. Efficient interconnection Process The White Paper will present: XBRL implementation options to improve current situation and answer reporting options 2. Adequate level of analysis and comparability 3. Best course of action 4. Expected benefits 5 6 Goal of XBRL EU XBRL Europe has decided to promote XBRL as a language Letter to ESMA 1. What is XBRL? Process 2. How is XBRL used around the world? A letter has been sent to ESMA to answer questions that had been raised informally by ESMA to XBRL Europe representatives. 3. How does the investor community benefit from XBRL? 4. How is the XBRL standard governed? 5. How is the XBRL standard developed and maintained? 6 Circular Process IFRS WG Review Committee IFRS WG Executive Summary Proposed new Executive summary New Executive Summary Outline of the WP Final WP Two possible positions Exposure Anticipate questions and propose options for solutions Involvement? Wait for ESMA questions and give answers Time Why anticipate? Anticipate! Best ways of impementing XBRL Dimensions Implementing Reporting Implementing XBRL Many ways of implementing XBRL Formulas XBRL options References Reporting FilesiXBRL structure Centrally defined Table linkbase Extensible Better options Other options ? Tables TextBlocks IFRS TAXONOMY [3768] Company concepts Regulatory concepts Common and industry practice concepts [789] Guidance and example concepts [495] Core disclosure requirement concepts [2484] Extensions Comparable Fundamental Accounting concepts 11 Goal Produce the White Paper March May write, edit, review Process WG members and other WG contribute on relevant sections Share and agree the content with WG members Sept endorse Input and contribute Write and review Final review Publish XBRL Europe Review Committee endorses ESEF questions to market ESMA public consultation Executive Committee publishes the White Paper 11 Scope of the TRANSPARENCY DIRECTIVE (ESEF) ‘Annual financial report’ (AFR) as defined in art 4.2 includes: - The audited consolidated and individual financial statements - The management report (in some countries it also includes corporate governance and/or sustainability reports) – Statements by the issuer Reporting framework applicable according to art 4.3 - Consolidated Financial Statements - prepared under IFRS according to the IAS Regulation or equivalent to IFRS – Individual Financial Statements •prepared under local GAAPs or IFRS •Accounting Directive is a common basis for local GAAPs 8 12