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Grappling with CECL Implementation? Learn from Those Who’ve Traveled That Road

Posted 04/30/2019

The Alta Group’s Shawn Halladay to Discuss CECL Strategies at Bloomberg Tax and Deloitte Conference May 7

GLENBROOK, NV, April 30, 2019 - As U.S. finance companies prepare for major changes in accounting requirements for calculating credit losses, they can benefit from hard lessons learned by international equipment finance businesses that have already tackled similar new standards, says Shawn Halladay, managing director of The Alta Group consultancy and head of its professional development practice. He will discuss implementation strategies for the current expected credit losses (CECL) accounting standard on a panel at Bloomberg Tax and Deloitte’s Financial Instruments: The Way Forward conference May 7 at the Newseum in Washington, D.C.

The conference is designed to help chief financial officers, controllers, financial accountants, auditors, analysts, and other professionals prepare for new accounting standards issued by the Financial Accounting Standards Board (FASB), not only ASC 326 on financial instruments, which includes CECL, but also the new hedge accounting standard ASC 815.

Halladay will speak as part of the 10 a.m. panel on “Key Implementation Activities: A Timeline” along with Michael Jacobs, lead quantitative analytics and modeling expert for PNC; Marie J. Robles, vice president and controller of Northwest Federal Credit Union; Troy Vollertsen, partner and U.S. banking audit practice leader for Deloitte & Touche LLP; and moderator Alexey Smurov, senior vice president of PNC.

CECL represents a significant shift in generally accepted accounting principles (GAAP) for credit losses. Instead of calculating incurred losses, U.S. finance companies will have to estimate expected credit losses up front and adjust them over the life of the loan, lease or other financial instrument. CECL’s effective dates for calendar-year companies are Jan. 1, 2020 for public businesses that are SEC filers, and Jan. 1, 2021 for all other organizations. 

“International equipment leasing companies implemented similar changes last year as part of IFRS 9 (International Financial Reporting Standard 9). My comments will address the commonalities between IFRS 9 and CECL, and lessons learned from the implementation challenges that international lessors experienced, such as properly assessing loss given default,” Halladay says.

Halladay’s career as an equipment leasing and finance professional, trainer, consultant, auditor, author and speaker spans more than 40 years. His areas of consulting expertise include accounting, tax law and analysis. He is a member of the Financial Accounting Committee of the Equipment Leasing and Finance Association.

About The Alta Group

The Alta Group is the leading global consultancy dedicated exclusively to the business of equipment leasing and asset finance. Since 1992, Alta has represented equipment leasing and finance companies, vendor/captive finance organizations, financial institutions, manufacturers and service providers, offering counsel on strategy and competitive alignment, asset management, business quality assurance, digital business transformations, legal services, mergers and acquisitions, and professional development. For information on the group’s services in the United States and Canada, Latin America, Europe, the Middle East and Africa, China, and Asia Pacific, visit www.thealtagroup.com and follow us on Twitter @thealtagroupllc.

Related Resource http://thealtagroup.com/
Author
Susan Carol, APR
Organization
Susan Carol Creative for The Alta Group
Phone Number
540.847.1804