Rolling the DISE: FASB issues final ASU

The final ASU requires new tabular disclosures disaggregating prescribed expense categories within relevant income statement captions.

Relevant expense captions: Functional or natural expense line items within continuing operations.

Purchases of inventory: Costs of acquiring raw materials and other externally purchased inputs.

Employee compensation: Wages, bonuses, social security contributions, benefits, stock compensation.

Depreciation: Consistent with amounts recorded for long-lived assets under ASC 360.

Intangible asset amortization: Consistent with amounts recorded under ASC 350.

Depreciation, Depletion, and Amortization: Specific to oil-and-gas producing activities.

Depletion: For industries other than oil-and-gas, should be disclosed separately.

• Specific expenses, gains and losses required by existing US GAAP to be disclosed are included as separate line items in the same tabular disclosure.
• Items that do not require disaggregation are combined in the ‘other items’ category.
• Reconciling items are included as separate line items when disaggregating any relevant expense caption on a cost-incurred basis.
• Qualitative descriptions are required for other items and reconciling items.