articles: offshore

Implications of new US lease accounting standard for shipping & offshore maritime sectors

The Financial Accounting Standards Board (FASB) in the United States has issued a lease accounting standard update following the release in January 2016 of an International Financial Reporting Standard (IFRS) dealing with the same subject. Although it had been expected that the FASB and IFRS standards would be identical, there are instead now two standards which, although similar in many respects, contain significant differences. The shipping and offshore maritime sectors will need to assess the effect of these changes on their balance sheets.