“The preparation of annual financial reports in a single electronic reporting format will be mandatory as from January 1, 2020”

XBRL Europe Working Group: IFRS, Securities and Markets

RomeMay 6, 2014

XBRL Europe Working Group:IFRS, Securities and Markets Working Group

Aims: to promote XBRL for European securities and markets, to ensure comparability of XBRL data for investment professionals, to harmonize IFRS Taxonomy Extensions in Europe, and to optimize the XBRL-implementation processes of European stock listed

companies.

Our main domains of activity are: Supporting European institutions and European associations in the area of

capital markets with XBRL.We are serving these institutions with the worldwide experience of the XBRL International community in capital markets and with best practices know how.

Offering a platform to European XBRL jurisdictions, listed companies, investment professionals, regulators, service providers and software companies to share XBRL experiences, for example how to implement EU national IFRS XBRL Taxonomy extensions.

Transparency Directive

The preparation of annual financial reports in a single electronic reporting format will be

mandatory as from January1, 2020

XBRL EUROPE involvement ?Communication with ESMA ?

Role of the IFRS, Securities and Markets WG ?

4

XBRL AS ENABLER Improving cross border access to information in European Securities Markets

Preparation: IFRSSAM WGInputs: Business Registers WG

Usability WGIFRS Foundation?

Review: XBRL Europe Review Committee

Goal of W. Group Promote an XBRL-enabled, IFRS-

based, electronic reporting Promote adoption for European

securities and markets in relation with the EU transparency directive

ProcessIdentify, develop and agree together on Ways to set communications

with ESMA Prepare a White Paper

presenting options for the Transparency Directive requirements

4

5Goal of W. PaperPromote XBRL Europe views on implementation options of the Transparency Directive

ProcessThe White Paper will present: XBRL implementation options to

improve current situation and answer reporting options

5

Executive summary and WP

1. Efficient interconnection

2. Adequate level of analysis and comparability

3. Best course of action

4. Expected benefits

6Goal of XBRL EUXBRL Europe has decided to promote XBRL as a language

ProcessA letter has been sent to ESMA to answer questions that had been raised informally by ESMA to XBRL Europe representatives.

6

Letter to ESMA

1. What is XBRL?

2. How is XBRL used around the world?

3. How does the investor community benefit from XBRL?

4. How is the XBRL standard governed?

5. How is the XBRL standard developed and maintained?

Circular Process

IFRS WG

ReviewCommittee

IFRS WG

Executive Summary

Proposed new Executive summary

New Executive Summary

Outline of the WPFinal WP

Two possible positions

Time

Expo

sure

Anticipate questionsand propose options for solutions

Wait for ESMAquestions and give answers

Involvement?

Why anticipate?

Many ways of implementing XBRL

Implementin

g XBR

L

Best ways of impementing XBRL

Implementin

g Reporti

ng

Reporting options

Better options

DimensionsFormulasReferencesFiles structure

XBRLiXBRLTable linkbase?

Centrally definedExtensibleTablesTextBlocks

Anticipate!

IFRS TAXONOMY [3768]

Regulatory concepts

Company concepts

Extensions

Comparable Fundamental Accounting concepts

Core disclosure requirement concepts [2484]

Guidance and example concepts [495]

Common and industry practice concepts [789]

11GoalProduce the White Paper

Process WG members and other WG

contribute on relevant sections Share and agree the content

with WG members

XBRL Europe Review Committee endorses

Executive Committee publishes the White Paper

11

March May Sept

write, edit, review endorseInput and contribute

Write and review

Final review

PublishESEF questions to market ESMA public consultation

Scope of the TRANSPARENCY DIRECTIVE (ESEF)

‘Annual financial report’ (AFR) as defined in art 4.2 includes:

- The audited consolidated and individual financial statements - The management report (in some countries it also includes

corporate governance and/or sustainability reports) – Statements by the issuer Reporting framework applicable according to art 4.3 - Consolidated Financial Statements - prepared under IFRS

according to the IAS Regulation or equivalent to IFRS – Individual Financial Statements

•prepared under local GAAPs or IFRS •Accounting Directive is a common basis

for local GAAPs 8 12