Firms to Disclose More on Non-Cash Deals After Investor Grumbles

Global accounting standard-setters voted Wednesday to make companies report more on non-cash transactions such as leases, responding to investors’ complaints that it can be hard to reconcile financial accounts with cash-flow statements.

All 12 members of the International Accounting Standards Board voted for the move. The IASB is researching how to change the cash-flow statement after feedback that it didn’t give investors enough information.

• “Investors need better information to understand the effect of non-cash transactions and other non-cash changes,” a staff paper for the meeting said.
• The board agreed that investors needed more specific information on several areas regarded ...