• SEC Proposes New Disclosure Rules Targeting Balance Sheet Window-Dressing and Issues New MD&A Guidance
  • September 23, 2010 | Authors: Mark S. Bergman; David S. Huntington; John C. Kennedy; Raphael M. Russo; Tong Yu
  • Law Firm: Paul, Weiss, Rifkind, Wharton & Garrison LLP - New York Office
  • On September 17, 2010, the Securities and Exchange Commission (the “SEC”) unanimously proposed new disclosure rules with respect to short-term borrowings.1 The new rules would require enhanced disclosure of liquidity positions by all SEC reporting companies (whether domestic or foreign (other than those reporting under MJDS)). The proposed disclosure requirements would be similar to requirements currently applicable only to bank holding companies. In addition, bank holding companies would be subject to stricter reporting requirements in respect of short-term borrowings. The new disclosure would be required in annual and quarterly periodic reports filed under the Securities Exchange Act of 1934, in registration statements filed under the Securities Act of 1933 and under the Securities Exchange Act of 1934, and in proxy or information statements that include financial statements.