The Securities and Exchange Commission has adopted new deadlines for filing quarterly and annual reports, depending upon the size of the company.
In phasing in the final stage of its accelerated filing deadlines, the SEC created a new category called “large accelerated filers,” which includes companies with a market capitalization of $700 million or more, and redefined “accelerated filers” as companies with a market cap between $75 million and $700 million.
Beginning with fiscal years ending on or after December 15, 2006, large accelerated filers are required to file their annual report within 60 days of their year-end and quarterly reports within 40 days. Accelerated filers retain their current deadlines of 75 days for their annual report and 40 days for their quarterly reports.
Companies with a market cap below $75 million retain their current 90-day and 45-day deadlines, which applied to all companies before the SEC adopted new filing deadlines in September 2002.
This is the second time in less than a year that the SEC has postponed changing the filing deadlines. Beginning with fiscal years ending on or after December 15, 2005, the deadlines for accelerated filers were to have been trimmed to 60 days after year-end for annual reports and 35 days after quarter-end for quarterly reports. In November 2004, however, the commission retained, for one more year, the current 75-day and 40-day deadlines.
According to Glass, Lewis & Co., 98 companies with a market cap greater than $100 million filed for a five-day extension to report their results for the third quarter, compared with 77 for the second quarter. Last year 61 companies sought extensions in the third quarter, 30 in the second quarter, and 34 in the first, added Glass, Lewis.