iGAAP Alert: November 2010
November 2010 Alert: IASB issues revisions to IFRS 9 for financial liability accounting
The initial IFRS 9 (issued in October 2009) addressed classification and measurement of financial assets only.
The revised IFRS 9 (issued in November 2010) incorporates requirements for derecognition of both financial assets and liabilities - copied from IAS 39, and classification and measurement of financial liabilities.
The requirements on classification and measurement are imported from IAS 39 with two exceptions:
- fair value changes arising from the entity’s own credit risk are generally recognised in OCI; and
- the cost exemption in IAS 39 for derivative liabilities to be settled by delivery of unquoted equity instruments is eliminated.
For more information, read our iGAAP Alert: November 2010.