SEC’s Proposed Amendments to Financial Disclosure Requirements in Regulation S-K and New Guidance on Metrics in MD&A

On January 30, 2020, the Securities and Exchange Commission (SEC) announced its proposal to amend certain financial disclosure requirements in Regulation S-K for the purpose of eliminating duplicative disclosures and modernizing and enhancing disclosures in Management’s Discussion and Analysis (MD&A) for the benefit of investors, while reducing compliance burdens and costs for companies. This proposal is part of a comprehensive evaluation of the SEC’s disclosure requirements that was recommended in the SEC staff’s Report on Review of Disclosure Requirements in Regulation S-K in December 2013, which was mandated by Section 108 of the Jumpstart Our Business Startups Act of 2012.