30-1-2009 | EFRAG's Final Comment Letter on the proposed amendments to IFRS 5 - Discontinued Operations

EFRAG has finalised its due process and submitted to the IASB its comment letter on the ED 'Discontinued Operations'.
	Although EFRAG in principle supports the objective of trying to achieve greater convergence in this area, we disagree with some key elements of the approach proposed. In particular: EFRAG does not agree with the proposal in the ED that the definition of discontinued operations should focus on ‘operating segments’. We think the definition should focus on some sort of major discontinuance notion, but do not think that will always be achieved by focusing on operating segments. EFRAG does not support the proposal that information about all components of the reporting entity that have been either disposed of or are classified as held for sale should be disclosed, regardless whether those components are a discontinued operation as defined. We think the scope of the disclosure should be limited to only those discontinuances presented separately in the income statement.
Document : EFRAGs comment letter on ED on IFRS 5 Discontinued Operations.pdf
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