Release of revised ASBJ’s Project Plan
September 19, 2008
Accounting Standards Board of Japan
The Accounting Standards Board of Japan (ASBJ) is working on the initiatives toward
international convergence of accounting standards, based on the “Medium-Term Operating
Policy” issued in June 2007.
The ASBJ publishes today the revised Project Plan approved at the Board meeting held on
September 18, 2008, which is based on the Tokyo Agreement on achieving convergence ofaccounting standards jointly announced with the International Accounting Standards Board(IASB) in August 2007 and the update of the Memorandum of Understanding (MoU) between
the IASB and the Financial Accounting Standards Board (FASB) in September 2008.
This is a revised version of the Project Plan dated December 2007 that mainly set forth thestatus of initiatives in 2008.
The revised Project Plan, in accordance with the content of the Tokyo Agreement, firstly
classifies the project items into three categories (short-term, medium-term and medium andlong-term). Items exhibited in “2. Items related to the remaining differences between existing
Japanese GAAP and IFRSs (medium-term)” and “3. Items related to the MoU between theIASB and the FASB (medium and long-term)” are only the items that have already beenlaunched or clearly planned.
Furthermore, the revised Project Plan adds “4. Items related to the IASB projects other than theMoU between the IASB and the FASB (medium and long-term)” to widely show the status ofinitiatives toward convergence of accounting standards1.

1

In the Tokyo Agreement, the goal by June 30, 2011 is to bring about convergence on “2. Items
related to the remaining differences”. As for “3. Items related to the MoU between the IASB andthe FASB” and “4. Items related to the IASB projects other than the MoU between the IASB and theFASB” that are areas of difference on which the IASB now has a major project that will result in anew standard with an effective date after June 30, 2011, the ASBJ and the IASB will work closely toensure the acceptance of the international approach in Japan when new standards become effective.

ASBJ Project Plan
September 2008
2008

2010

2009

Remarks
3Q

4Q

1Q

2Q

3Q

4Q

1. Items advised by CESR for EU equivalence assessment purpose (short-term)
Business combinations (Step1)
see note2
Inventories (LIFO)

Final
Final
The ASBJ will deliberate this item considering developments at
IASB/FASB. See note3
With respect to capitalization of development costs, the ASBJ
will deliberate this item considering developments at
IASB/FASB. See note3

Impairments of fixed assets
Intangibles (In-process R&D）
Retirement benefits(Discount rate)
Investment property

Final
Final
Final

2. Items related to the remaining differences between existing Japanese GAAP and IFRSs (medium-term)
The Technical Committee for Business Combinations
deliberates this item.

Business combinations (Step2)
Issues for PhaseⅡ(see note4 )DPEDAmortization of goodwillDPED
DPIntangibles
Retrospective restatement(Change in accounting policy)

ED

Final

Discontinued operations

DPED

The Technical Committee for Intangible Assets deliberates thisitem, including enhancement of disclosures and development ofa comprehensive accounting standard, etc.
The Technical Committee for Retrospective Application
deliberates this item.

Final

The Technical Committee for Financial Statement Presentation
deliberates this item.

3. Items related to the MoU between the IASB and the FASB (medium and long-term)
Scope of consolidations

DPEDFinalED

Final

Financial statement presentation(Comprehensive income and other)

DP（Phase B (see note4 )）DPRevenue recognitionDP

The Technical Committee for SPEs deliberates this item. IASB
expects to issue the ED in 4Q of 2008.
The Technical Committee for Financial Statement Presentation
deliberates this item.

IASB/FASB expect to issue the DP in 3Q of 2008.
The Technical Committee for Revenue Recognition deliberates
this item. IASB/FASB expect to issue the DP in 4Q of 2008.
The Working Group for Liabilities and Equity deliberates thisitem (considering developments at IASB/FASB). FASB andIASB issued the DP in November 2007 and February 2008,
respectively.
The Technical Committee for Financial Instruments deliberates
this item.

Liabilities and equity distinctions

Financial instruments(Replacement of existingstandards)

DPIASB/FASB issued the DP in March 2008.

(Fair value measurement)

DPIASB expects to issue the ED in 1st half of 2009.

Post-employment benefits

The Technical Committee for Retirement Benefits deliberates
this item. IASB issued the DP in March 2008.
The Technical Committee for Lease Accounting will deliberate
this item. IASB/FASB expect to issue the DP in 4Q of 2008.

DPLeases

4 ． Items related to the IASB projects other than the MoU between the IASB and the FASB (medium and long-term)
Earnings per share

TCProvisions

TC

Insurance contracts

ED

Final
DP

IASB/FASB issued the ED in August 2008.

ED

IASB expects to issue the final standard in 2010.
The Working Group for Insurance Contracts deliberates thisitem. IASB expects to issue the ED in 2nd half of 2009.

(Note1)For "2008/ 2010" column:
TC : Technical Committee to be established.
DP : Discussion Paper to be issued.
ED : Exposure Draft to be issued.
Final: Accounting Standard/Guidance, etc.
(Note2)ASBJ will divide "Business combinations project" into Step1 and Step2.
Step1 deals with the items related to EU equivalence assessment, and Step2 takes up others.
"Business combinations (Step1)" includes issues for "Pooling-of-interest method", "Date of exchange", "Negative goodwill","Minority interests at historical cost", "Step acquisitions", and "Translation of goodwill".
(Note3)No schedule has been fixed at this stage, due to monitoring progress of IASB/FASB discussions.
(Note4)Phase Ⅱand Phase B are references used in the IASB project.