Management's Discussion and Analysis of Financial Condition and Results of Operations ("MD&A").
Comunicar a los inversion en una forma directa, transparente para entender las condiciones financieras, cambios en las condiciones financieras y resultados de la operación.
* Proveer una narrativa explicación de los EF, permitiendo a los inversionistar ver al Banco bajo una visióngerencial.
* Brindar una información financiera de fácil análisis.
* Brindar información sobre el flujo de efectivo
* on about the quality of, and potential variability of, a company's earnings and cash flow, so that investors can ascertain the likelihood that past performance is indicative of future performance.3
MD&A should be a discussion and analysis of a company's business as seenthrough the eyes of those who manage that business. Management has a unique perspective on its business that only it can present. As such, MD&A should not be a recitation of financial statements in narrative form or an otherwise uninformative series of technical responses to MD&A requirements, neither of which provides this important management perspective. Through this release we encourage eachcompany and its management to take a fresh look at MD&A with a view to enhancing its quality. We also encourage early top-level involvement by a company's management in identifying the key disclosure themes and items that should be included in a company's MD&A.
Based on our experience with many companies' current disclosures in MD&A, we believe there are a number of general ways for companies toenhance their MD&A consistent with its purpose. The recent review experiences of the staff of the Division of Corporation Finance, including its Fortune 500 review,4 have led us to conclude that additional guidance would be especially useful in the following areas:
* the overall presentation of MD&A;
* the focus and content of MD&A (including materiality, analysis, key performancemeasures and known material trends and uncertainties);
* disclosure regarding liquidity and capital resources; and
* disclosure regarding critical accounting estimates.
Therefore, in this release, we emphasize the following points regarding overall presentation:
* within the universe of material information, companies should present their disclosure so that the most importantinformation is most prominent;
* companies should avoid unnecessary duplicative disclosure that can tend to overwhelm readers and act as an obstacle to identifying and understanding material matters; and
* many companies would benefit from starting their MD&A with a section that provides an executive-level overview that provides context for the remainder of the discussion.
We alsoemphasize the following points regarding focus and content:
* in deciding on the content of MD&A, companies should focus on material information and eliminate immaterial information that does not promote understanding of companies' financial condition, liquidity and capital resources, changes in financial condition and results of operations (both in the context of profit and loss and cashflows);5
* companies should identify and discuss key performance indicators, including non-financial performance indicators, that their management uses to manage the business and that would be material to investors;
* companies must identify and disclose known trends, events, demands, commitments and uncertainties that are reasonably likely to have a material effect on financialcondition or operating performance;6 and
* companies should provide not only disclosure of information responsive to MD&A's requirements, but also an analysis that is responsive to those requirements that explains management's view of the implications and significance of that information and that satisfies the objectives of MD&A.
C. Impact of Increased Amounts of Information Available to...