ANALYSIS: Crisis Magnifies Need for More Corporate Disclosure

The coronavirus pandemic has profoundly changed the way companies do business in just a few short weeks. The upheaval in business operations will also have a significant impact on how companies disclose information to their investors, to the markets, and to regulators. Companies should heed the advice of regulators in making their disclosures, as an SEC enforcement action is the last thing any issuer needs during a time of economic upheaval.

In a joint public statement issued April 8, SEC Chairman Jay Clayton and SEC Corporation Finance Director William Hinman urged public companies “to provide as much information as is ...