PwC's accounting podcast

Continuing our October all-star series, Tom Barbieri, PwC US Chief Accountant, shares insights on critical accounting and reporting topics.

Tom is joined by Nick Milone, a PwC practice partner with experience advising clients on hedging strategies, to discuss effective hedging strategies for various types of macroeconomic and business risks.

In this episode, you’ll hear:

• 2:47 - An overview of the theory and purpose of hedge accounting
• 6:04 - Initial considerations for applying hedge accounting, including an overview of the effectiveness assessment
• 10:07 - A breakdown of the three most common hedge strategies and why companies might use them
  • 10:21 - Cash flow hedges
  • 12:23 - Fair value hedges
  • 14:33 - Net investment hedges
• 17:49 - Common examples of and questions related to hedging strategies 
• 22:02 - Common pitfalls in applying hedge accounting
• 27:57 - An overview of other hedging strategies, their purpose and how to use them
  • 28:04 - Forecasted debt issuance hedges
  • 35:29 - Foreign currency hedges
  • 39:04 - Hedging strategies for companies with foreign subsidiaries
  • 42:42 - Commodity hedges
• 47:05 - Hedging strategies that do not qualify for hedge accounting
• 50:22 - Final reporting considerations and key reminders for companies using hedge accounting

For more information, read our Derivatives and hedging guide. 

Tom Barbieri is PwC’s Chief Accountant. He has over 30 years of experience advising large financial services and multinational corporations on complex accounting issues. Tom leads the Accounting & SEC Services Group within the National Office, which is focused on supporting our clients and engagement teams in navigating complex technical accounting and financial reporting matters. He is also a member of the Financial Accounting Standards Advisory Council.

Nick Milone is a partner in PwC’s Financial Markets practice, and formerly a practice fellow at the Financial Accounting Standards Board (FASB), with a wealth of experience advising clients on structured transactions, derivatives and hedging activities, transfers of financial assets, securitizations, financings, investments, valuation and other issues. 

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. 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].

Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.

The Taskforce on Nature-related Financial Disclosures (TNFD) released its final disclosure recommendations for nature-related dependencies, impacts, risks and opportunities on September 18. Given the interrelationship between climate and nature — and the dependence of business on nature — companies may want to consider this new framework as a tool in communicating their full sustainability story.

This week, Heather Horn is joined by Daniel O’Brien, PwC Canada’s Sustainable Business Solutions leader and TNFD member, to discuss what companies should do now to prepare to make effective nature-related disclosures.

In this episode, you’ll hear discussion of:

• 4:18 - Background on the TNFD, including how the taskforce was formed and its mission
• 8:11 - The key principles of the TNFD framework and interoperability of the TCFD framework with existing climate reporting frameworks
• 13:36 - Complexities in critical areas of the TNFD framework 
• 20:08 - Recommendations for how companies should approach TNFD disclosures
• 29:29 - How companies should approach data collection for qualitative and quantitative nature disclosures
• 31:10 - Best practices and common pitfalls in reporting nature-related disclosures
• 37:33 - Final thoughts on why companies should consider utilizing the TNFD framework

Looking for more information on nature related reporting? Check out a podcast from our “Becoming nature positive” series on Committing, measuring, and reporting. 

Daniel O'Brien is PwC Canada’s Sustainable Business Solutions leader, helping clients to align their business strategies with the environmental and social challenges and opportunities of the future economy. Daniel has over 18 years of experience in environmental consulting and management. He is also a member of the Taskforce on Nature-related Financial Disclosures (TNFD).

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. 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].

Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.

From inflation to labor markets to monetary policy, the economy has faced some unexpected headwinds in 2023. This week, host Heather Horn is joined by Chris Benko, PwC Intelligence chief economist, for an economic update to help companies prepare for the end of the year.

In this episode, you’ll hear:

• 2:53 - An overview of the current state of the economy, including the balance between inflation and recession
• 12:58 - A discussion of market factors, including the impacts of federal monetary policy and unemployment, as well as the definition of a “soft landing”
• 25:48 - Instability indicators companies should consider, including:
  • 28:10 - Domestic politics
  • 29:38 - The global economy
  • 32:01 - Geopolitics
• 33:36 - Insights on markets for companies looking to stay ahead of the curve as they head into the final quarter of the calendar year

Want to hear more about the geopolitical and macroeconomic factors impacting the global economy? Tune into the prior podcast in this mini series.

Chris Benko is PwC Intelligence chief economist, providing the firm and its clients with economic analysis and commentary. Chris leads a team of business and sector analysts, economists, and data scientists, leveraging data and analytics to develop points of view and inform strategic decision-making.

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. 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].

Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.

In this episode, we discuss the SEC’s new cybersecurity disclosure rules finalized in July. 

The new disclosure rules expand registrants’ annual disclosures and require timely reporting for material cybersecurity incidents. With these significant changes and the implementation approaching, companies should not wait to get ready. 

This week, Heather Horn is joined by Kyle Moffatt, PwC National Office Professional Practice Leader, and Matt Gorham, PwC Cyber & Privacy Innovation Institute Leader, to discuss what companies can do to prepare now for the new requirements.

In this episode, you’ll hear discussion of:

• 4:28 - Why cybersecurity is an area of focus for the SEC 
• 8:03 - A summary of the SEC’s new cybersecurity rules and disclosure requirements
• 10:21 - Types of cyber incidents, including what’s required to be disclosed in the Form 8-K and how companies should think about “material” impacts
• 12:58 - The importance of developing relationships with federal law enforcement and how smaller companies can start to build those relationships
• 20:19 - An ideal sequence of action steps when a cyber incident occurs
• 24:32 - Top considerations when preparing to disclose in accordance with the SEC’s cybersecurity rules
• 33:10 - Key takeaways for companies reviewing their processes and preparing for the new disclosure requirements

Looking for more information on cybersecurity? Check out our publication and register for our Q3 2023 Quarterly accounting webcast for a detailed discussion of the SEC’s cybersecurity rules with Kyle; PwC Vice Chair, Wes Bricker; and Raquel Fox, Partner & Co-Head of SEC Reporting and Compliance; Capital Markets; M&A; Corporate Governance at Skadden, Arps, Slate, Meagher & Flom LLP and Affiliates. 

Kyle Moffatt is PwC’s Professional Practice leader, leading a team responsible for working with standard setters and regulators as well as delivering brand-defining thought leadership and educational materials. He also consults with engagement teams and audit clients on SEC reporting matters. Before PwC, Kyle spent almost 20 years with the SEC, most recently as Chief Accountant and Disclosure Program Director in the Division of Corporation Finance.

Matt Gorham is PwC Cyber & Privacy Innovation Institute Leader, providing thought leadership, perspective, and analysis on trends affecting all aspects of cybersecurity and privacy. He has over three decades of experience mitigating threats through building and leading cross functional teams. Before PwC, Matt spent 25 years with the FBI as the Assistant Director of Cyber.

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. 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].

Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.

Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.

Tom Barbieri, PwC’s Chief Accountant, is accelerating the first episode in our October all-star series to share insights on critical accounting and reporting topics.

To kick off the series, Tom is joined by Gary Sardo, Financial Accounting Standards Board (FASB) practice fellow, to discuss FASB’s disaggregation of income statement expenses (DISE) project.

In this episode, you’ll hear:

3:51 - An overview of investor feedback and background on the FASB’s decision to propose enhancing the disclosure requirements for income statement expenses
7:54 - Companies impacted by the proposed standards
10:32 - A breakdown of the proposed disclosure requirements, including:
13:42 - Defining “relevant expense captions,” distinguishing features of each caption and the associated proposed requirements
16:22 - Materiality considerations
17:30 - Investor and preparer feedback on the proposed standard, including practical challenges in the inventory expense breakdown
21:26 - Details on the proposal to further break down inventory and manufacturing expense
24:00 - Operability challenges and data needs that companies should be considering now
24:42 - Details on the proposed disclosure requirements for:
24:44 - “Other” expense categories
29:59 - Selling expenses
32:26 - A summary of the proposed reporting requirements, including timing considerations and how companies can prepare for the transition
37:53 - Next steps on the FASB’s agenda and final advice for companies who seek to get prepared and engaged prior to the end of the comment period

For more on the status and details of the project, refer to the exposure draft on the FASB website. Additionally, tune into PwC’s Q3 2023 quarterly accounting webcast for more on the DISE project.

Tom Barbieri is PwC’s Chief Accountant. He has over 30 years of experience advising large financial services and multinational corporations on complex accounting issues. Tom leads the Accounting & SEC Services Group within the National Office, which is focused on supporting our clients and engagement teams in navigating complex technical accounting and financial reporting matters. He is also a member of the Financial Accounting Standards Advisory Council.

Gary Sardo is a practice fellow at the Financial Accounting Standards Board. Prior to his role at the FASB, Gary was a director at PwC with over 15 years of experience, most recently in PwC’s Deals practice specializing in capital markets and accounting advisory services.

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.

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On October 7, 2023, California Governor Gavin Newsom signed into law two landmark climate-disclosure bills that are poised to change the landscape of climate reporting in the United States. Over 10,000 US companies - including both public and private companies as well as subsidiaries of non-US headquartered companies - will be subject to the climate disclosure requirements in the near term.  

In this episode, podcast host Heather Horn brings you an audio version of our publication covering the expansive impact of these new laws (previously California Climate Bills SB 253 ad SB 261). 

In this podcast, you’ll hear:

• 1:15 - Background and introduction
• 6:10 - Who would be subject to the new laws?
• 12:20 - What are the disclosure requirements?
• 22:28 - Monitoring
• 24:23 - What’s next?

Refer also to the print version, California's not waiting for the SEC's climate disclosure rules.

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. 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].

Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.

In the third quarter 2023 edition of The quarter close, we highlight the SEC’s final rule on cybersecurity, which will require new reporting and disclosures for many companies beginning next quarter. We also provide key reminders when accounting for debt restructurings, updates on sustainability reporting, and the latest FASB standard-setting developments. Read or listen to The quarter close for these and other relevant accounting and reporting topics you should consider as you close out the third quarter of 2023.

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

Every Tuesday in September, Craig Stronberg, PwC’s Macro Intelligence Leader, is taking over the podcast to share insights on how geopolitical and macroeconomic trends, forces, and movements are likely to impact your business.

To continue the series, Craig is joined by Zain Siddiqui, PwC senior economist, to discuss the current state of the global supply chain and how companies should evaluate their supply chain strategies.

In this episode, you’ll hear a discussion of:

• 2:07 - The current state of the global supply chain
• 5:55 - How companies should think about their supply chain business strategies in light of external factors and risks
• 11:21 - The impact of government policy on economic policy and the incentives for domestic production
• 21:02 - Sector- and geographic-specific insights on supply chain challenges and opportunities, including:
  • 28:55 - The impact of geographical diversification on supply-chain resiliency
  • 30:55 - Expectations for long-term trends in the global supply chain
• 33:54 - Final advice for companies managing supply chain strategies

Want to hear more about the geopolitical and macroeconomic factors impacting the global economy? Tune into a prior podcast in this miniseries.

Craig Stronberg leads the business acumen capability for PwC Intelligence, spearheading the team of analysts that provides macroeconomic, sector, and geopolitical intelligence to key stakeholders. Named as one of the "100 Most Creative People in Business” by Fast Company, Craig had a nearly 20 year career in national security affairs working for and advising numerous agencies and international partners, having been decorated five times. 

Zain Siddiqui is a senior economist for PwC Intelligence with a specialty in macroeconomics and finance. He advises stakeholders and clients on the business implications of emerging macro and geopolitical vulnerabilities, and helps them shape business strategy. His research has appeared in books on international economic policy and macroeconomic journals.

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. 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].

Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.

In today’s episode, sustainability and financial reporting intersect. We discuss accounting for green incentives that arise from the Inflation Reduction Act (IRA). The IRA, signed into law in August 2022, provides climate and clean energy tax credits. 

With many types of credits available in the IRA, companies have raised questions about the financial accounting implications of the credits given the unique features that these credits have compared to past federal incentives. This week, Heather Horn is joined by Pat Durbin, a Deputy Chief Accountant in PwC’s National Office, and Jillian Pearce, a partner in our utilities practice, both of whom have closely followed accounting for the credits, to discuss what to look out for in accounting for IRA tax credits.

In this episode, you’ll hear discussion of:

• 2:38 - The background, including the breadth, scope, and structure of available IRA credits
• 7:45 - The different pathways to realization of tax credits
• 11:45 - How companies should allocate consideration paid for IRA credits
• 17:07 - The difference between renewable energy credits (RECs) and IRA credits
• 24:32 - Accounting for tax credits by analogy to IAS 20, Accounting for Government Grants and Disclosure of Government Assistance
• 43:16 - Accounting for tax credits using under the ASC 740, Income Taxes, model
• 56:44 - Tax credit disclosure and control considerations

Looking for more information on accounting for IRA energy incentives? Check out our latest publication on IRA credits. Additionally, check out our podcast episode on renewable energy credits for more information.

Pat Durbin is a Deputy Chief Accountant in PwC’s National Office. He has over 30 years of experience consulting with our clients and engagement teams on complex accounting matters, including issues related to revenue, compensation, income taxes, and inventory under both US GAAP and IFRS.

Jillian Pearce is a partner in PwC's National Office, providing advice on financial instruments and other technical accounting issues to power and utilities clients. She was a Professional Accounting Fellow in the Office of the Chief Accountant at the SEC, and has over 15 years of auditing experience.

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. 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].

Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.

Every Tuesday in September, Craig Stronberg, PwC’s Macro Intelligence Leader, is taking over the podcast to share insights on how geopolitical and macroeconomic trends, forces, and movements are likely to impact your business.

To continue the series, Craig is joined by Zain Siddiqui, PwC Intelligence senior economist, to discuss India’s economy and the risks and opportunities it presents for companies worldwide.

In this episode, you’ll hear a discussion of:

• 4:50 - India’s evolving role as a key player in the global economy
• 10:54 - The driving factors, including population growth and its impact on the labor market, contributing to India’s positioning as a global force 
• 16:54 - Considerations that are key to understanding India’s economy, its influence and challenges, including:
  • 18:15 - Human capital - education, job creation, and equal opportunities in India
  • 27:50 - India’s economic tendencies as a domestic-driven, consumption heavy, services economy
  • 32:12 - India’s business sentiment and power to influence the global economy
  • 37:46 - Sector-specific insights
• 45:17 - Advice for companies navigating the risks and opportunities present in India’s economy

Want to hear more about the geopolitical and macroeconomic factors impacting the global economy? Tune into the prior podcast in this mini series.

Craig Stronberg leads the business acumen capability for PwC Intelligence, spearheading the team of analysts that provides macroeconomic, sector, and geopolitical intelligence to key stakeholders. Named as one of the "100 Most Creative People in Business” by Fast Company, Craig had a nearly 20 year career in national security affairs working for and advising numerous agencies and international partners, having been decorated five times. 

Zain Siddiqui is a senior economist for PwC Intelligence with a specialty in macroeconomics and finance. He advises stakeholders and clients on the business implications of emerging macro and geopolitical vulnerabilities, and helps them shape business strategy. His research has appeared in books on international economic policy and macroeconomic journals.

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. 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].

Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.