[December 19, 2007]

Canada's CAs Recommend a New Year's Resolution

(Canada Newswire English Via Thomson Dialog NewsEdge) Attention Business Editors

TORONTO, Dec. 19 /CNW/ - Canada's Chartered Accountants (CAs) have a suggested New Year's resolution for the business leaders of this country's publicly traded companies. Those businesses are being urged to ensure that preparation for the changeover to international accounting standards be an essential element of any corporate plan for 2008.

Canada's transition to International Financial Reporting Standards (IFRS) is anticipated to take effect in 2011 and will significantly impact financial reporting for all publicly accountable enterprises, including this country's 4,500 publicly listed companies.

"Businesses increasingly make decisions in a global context and the move to international standards will place Canada on the same reporting playing field as more than 100 other countries," said Ron Salole, Vice-President, Standards, with the Canadian Institute of Chartered Accountants (CICA). "The new accounting standards will assist Canadian companies by reducing the cost of capital, increasing access to international capital markets and eliminating the need for reconciliations."

Indications from a variety of sources are that while some progress is being made in preparation for the changeover, a significant amount of work remains to be done.

"Planning for the move to international accounting standards would be an ideal corporate New Year's resolution," stressed Salole. "The clock is ticking and we urge companies to start now to gauge the scope and complexity of these changes on their businesses. Global experience clearly demonstrates that the earlier organizations begin implementation, the smoother the transition."

Salole suggested that companies appoint a project team, learn more about the international standards, assess the impact on the business and then draft a plan. For those companies that have already initiated planning, Salole applauded their efforts and encouraged them to keep going.

Earlier this year, the CICA launched a dedicated on-line information source called Transition to International Standards that can be accessed through its web site (www.cica.ca) or through those of the provincial institutes across Canada. This one-stop information site offers a variety of resources to assist individuals and companies through the transition process. In addition, the CICA recently held two IFRS related courses and more are planned for 2008. The coming year also will see the CICA and International Accounting Standards Committee Foundation host a major conference on IFRS in Toronto from April 23-25.

"We are committed to ensuring that Canadian individuals and businesses are well equipped for this change," said Salole.

The Canadian Institute of Chartered Accountants (CICA), together with the provincial, territorial and Bermuda Institutes/Ordre of Chartered Accountants, represents a membership of approximately 72,000 CAs and 10,000 students in Canada and Bermuda. The CICA conducts research into current business issues and supports the setting of accounting, auditing and assurance standards for business, not-for-profit organizations and government. It issues guidance on control and governance, publishes professional literature, develops continuing education programs and represents the CA profession nationally and internationally. CICA is a founding member of the International Federation of Accountants (IFAC) and the Global Accounting Alliance (GAA).

or to arrange an interview, contact: Tobin Lambie, Media Manager, CICA, (416) 204-3228, tobin.lambie@cica.ca

Copyright 2007 Canada Newswire Ltd. All Rights Reserved.

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