Regulatory Alerts2009-02-03
Instructions on Accounting Principles and Standards for Annual and Interim Financial Statements (2007)
The Jordan Securities Commission issued binding instructions requiring all supervised issuing companies to prepare annual and interim financial statements in strict accordance with specified accounting principles and International Standards. The regulations mandate consistent consolidation for parent entities, enforce detailed equity method disclosures, and require that investment income from supervised subsidiaries be classified as realized gains while restricting the distribution of unrealized portions. Effective for financial years ending December 31, 2007, the directives further obligate companies to present comparative financial statements and explicitly disclose material operational revenues and expenses across all balance sheets and income statements.