This report examines the current status of major automotive companies reporting under IFRS, key countries adopting or converting to IFRS and key differences between US GAAP and IFRS. These differences exist in revenue recognition, research and development costs, tooling, accounting for loss contracts, impairment of assets and restructuring costs. Other key areas include joint ventures, union payments, asset-backed securities entities and inventories.
IFRS is emerging as the leading set of financial reporting standards for the world's capital markets - with more than 100 countries already adopting or permitting IFRS, or basing their local GAAP on the principles of IFRS. The U.S. Securities and Exchange Commission (SEC) is debating whether iFRS should be permitted as an alternative to US GAAP for US domestic companies.