Our Full disclosure podcast series brings you back to the basics on all things related to financial statement presentation and disclosure, from the top of the financial statements through the footnotes. 

This week we focus on the presentation and disclosure requirements for segments. Jay Seliber, PwC National Office partner, is back in the guest seat to share helpful insights and key reminders with our host, Heather Horn. 

Topics include:

• 1:15 - Overview of segments. Jay explains the underlying objective of segment reporting and the importance of allowing financial statement users to see the company through the eyes of management.
• 4:45 - Identification of operating segments. Jay defines an operating segment, including how to interpret their key characteristics. He also walks through how to determine your Chief Operating Decision Maker.
• 11:38 - Identification of reportable segments. Next, Jay discusses how to assess which operating segments must be presented as reportable segments in the footnotes, including aggregation criteria and quantitative thresholds.
• 19:43 - Disclosure requirements. Jay takes us through the disclosure requirements for segments in the financial statements, including some of the areas that require more judgment. 
• 32:32 - Closing Remarks. Jay closes with final reminders and a project update from the FASB. Heather tries to stump Jay with some accounting questions.

Want to learn more?  

• Financial statement presentation guide on segment reporting.
• Q3 2021 Quarterly accounting webcast includes a section on segment reporting comment letter trends
• FASB project page: Segment Reporting 

Jay Seliber is a partner in PwC’s National Office. He leverages over 30 years of experience to help clients with their most complex accounting matters, particularly in the areas of mergers and acquisitions, revenue recognition, stock compensation, earnings per share, employee benefits, restructurings, impairments, and financing transactions. Jay is presently PwC's representative to the FASB's Emerging Issues Task Force.  

Heather Horn is PwC’s National Office thought leader, responsible for developing our communications strategy and conveying firm positions on accounting and financial reporting matters. She is the engaging host of PwC’s accounting and reporting weekly podcast and quarterly webcast series, as well as periodic webcasts for the power and utilities industry. With over 30 years of experience, Heather’s accounting and auditing expertise includes financial instruments and rate-regulated accounting.

Transcripts available upon request for individuals who may need a disability-related accommodation. Please send requests to [email protected].

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