First Penalty for Retaliation vs. Internal-only Whistleblower

The Securities and Exchange Commission announced Tuesday that SandRidge Energy, an oil and gas company, agreed to pay $1.4 million to settle charges that it retaliated against a whistleblower and used illegal language in separation agreements.It was the first time a company was penalized for alle...

By David McCann • Dec. 21, 2016

The Year in Review

Financial fallout from the Brexit vote dominated the dialogue in the first half of 2016, and a boorish presidential election captured everyone’s attention in the second half. With all that excitement, some developments in the world of finance flew under the radar. Take our quiz for a look back at...

By CFO Editorial Staff • Dec. 20, 2016

Explore the Trendline➔

Tax policy shifts: What CFOs need to know to stay ahead

Discover how evolving tax policies are creating new opportunities and challenges for CFOs.

By CFO.com staff

Supplemental Financial Disclosure: What Stakeholders Really Want

Investors and analysts continually look for meaningful and concise financial disclosure. However, most 10-K and 10-Q filings are filled with extraneous information required by the Securities and Exchange Commission (SEC) — information that’s often considered boilerplate. The information can leave...

By Phillip Joseph • Dec. 20, 2016

Oracle’s Cloud Sales Rise 62% But IaaS Lags

Oracle’s second-quarter earnings narrowly topped analysts’ estimates but revenue came in below expectations as the company’s “public cloud” infrastructure offerings showed weak growth.Oracle on Thursday reported non-GAAP earnings per share of $0.61, one cent above the Wall Street consensus. Reven...

By Matthew Heller • Dec. 16, 2016

Goodwill Impairments Double

While 2015 was filled with merger and acquisition activity in the U.S., it was, unfortunately, also filled with goodwill impairments — the charges companies record when goodwill’s carrying value on financial statements exceeds its fair value.After increasing 18% in 2014, goodwill impairments doub...

By Vincent Ryan • Dec. 16, 2016

Top 10 CFO Risks for 2017

The potential for global developments to unsettle economic conditions and restrict growth opportunities both here and overseas is the top risk cited by executives in a survey from the consulting firm Protiviti and North Carolina State University’s Poole College of Management. Seventy-two percent ...

By Sean Allocca • Dec. 13, 2016

10 Steps to Financial Audit Success

There are a variety of reasons why private companies need to subject themselves to the often-bemoaned financial audit. Whether it’s to provide reporting for investors, lenders, or creditors or to make better decisions on regulatory actions or succession planning, conducting a financial audit is a...

By Rahul Sheth • Dec. 12, 2016

Trade Deficit: Don’t Worry. Budget Deficit: Worry

“Make America Great Again.” Hmm — certainly a catchy campaign slogan designed to rouse our inner patriot.Marc Wagman Unfortunately, at least part of the message implicit in that sound bite is the misguided idea that because of our trade deficit — because the United States purchases more goods and...

By Marc Wagman • Dec. 12, 2016

Costco Returns to Same-Store Sales Growth

Costco Wholesale’s profit rose more than expected in the first quarter and the warehouse retailer returned to same-store sales growth despite lower food prices.Net income increased nearly 14% from a year ago to $545 million, producing earnings of $1.24 per share. Net sales rose 3.2% to $27.5 bill...

By Matthew Heller • Dec. 9, 2016

Airline Stocks Rise on Unit Revenue Guidance

Shares in American Airlines and United Airlines rose more than 3% Friday after the carriers boosted their revenue and profit outlook for the fourth quarter.American, the world’s largest airline, said it expects unit revenue to range between a decline of 1% percent and an increase of 1%, compared ...

By Matthew Heller • Dec. 9, 2016

Latest Sears Loss Fuels Bankruptcy Speculation

Sears Holdings on Thursday reported its fifth straight quarterly loss and a 14% drop in sales, prompting predictions that the struggling retailer is headed for bankruptcy.Net loss attributable to Sears’ shareholders swelled to $748 million, or $6.99 per share, in the third quarter, from $454 mill...

By Matthew Heller • Dec. 8, 2016

Metric of the Month: Performance Management Cost

With 2017 budgets now wrapped up, CFOs are preparing to kick off the new race toward financial performance targets. Why not take a moment to consider your organization’s true philosophy toward investment in finance staff, analytical skills, and enabling technology?Do operating executives really h...

By Mary Driscoll • Dec. 7, 2016

Sustainability Disclosures Fall Short

Sustainability is still far from the top priority for most investors, but environmental factors can have material impacts on the health and longevity of a company. By increasing energy efficiency, for example, companies can bring down operational costs. Effectively managing resources, in another ...

By Sean Allocca • Dec. 7, 2016

Trump Tax Cut Could Add 20% to Corporate Profits

U.S. companies could be in line for a significant earnings boost if President-elect Donald Trump makes good on his campaign promise of corporate tax cuts, according to Standard & Poor’s Investment Advisory Services (SPIAS).The current federal corporate income tax rate in the United States is ...

By Matthew Heller • Dec. 6, 2016

Renewed Focus on Non-GAAP Measures: How to Comply

Where there’s smoke, there may not be fire, but there will be firefighters. This year, there has been a lot of agitation in the press and among regulators about public companies using non-GAAP financial measures that look better than GAAP numbers.In May, the SEC staff in charge of reviewing compa...

By Yoon-jee Kim, Harald Halbhuber, Robert Evans, and Richard Alsop • Dec. 6, 2016

PCAOB Imposes $8M Penalty on Deloitte Brazil

The Public Company Accounting Oversight Board said on Tuesday that Brazil-based Deloitte Touche Tohmatsu Auditores Independentes will pay an $8 million civil penalty, the largest ever imposed by the PCAOB, to settle charges of issuing materially false audit reports and attempting to cover up audi...

By Vincent Ryan • Dec. 5, 2016

The Future of Finance in a Trump Presidency

Even before he takes the oath of office, President-elect Donald J. Trump is taking a number of bold steps that will shape the future of the economy. Here are five articles looking at what a Trump administration might mean to CFOs.Post-Election Advice for CFOs: Keep Calm and Carry OnLessons learne...

By CFO Editorial Staff • Dec. 3, 2016

Audit Fees Rise Again

Audit fees swelled for the majority of publicly and privately held companies last year, but some of the largest SEC filers are combating rising costs by improving internal controls before auditors come knocking.A new survey by the Financial Executives Research Foundation found audit fees increase...

By Sean Allocca • Dec. 2, 2016

Pimco Fined $20M for Overvaluing Securities

Pacific Investment Management Co. has agreed to pay nearly $20 million to settle charges that it misled investors about the initial performance of an exchange-traded fund by overvaluing mortgage-backed securities it had purchased.According to the U.S. Securities and Exchange Commission, the early...

By Matthew Heller • Dec. 2, 2016

A ‘Sad Case’ of Execs’ Personal Liability for Sales Taxes

The Wisconsin Tax Appeals Commission has issued a final ruling in a tax dispute that began eight years ago, holding executives of an affiliated group of marinas personally liable for the payment of sales taxes.Found liable were Richard Heckel and Robert Heckel II, who owned three now-defunct, sep...

By David McCann • Dec. 2, 2016

Kroger Earnings Hit by Food Price Deflation

Kroger on Thursday reported a drop in third-quarter earnings, citing a “difficult operating environment” caused by lower food prices.The largest U.S. supermarket chain recorded net earnings of $391 million, or 41 cents per share, matching the Wall Street estimate but two cents below the prior-yea...

By Matthew Heller • Dec. 1, 2016

PCAOB Chair Goes on the Defensive

Public Company Accounting Oversight Board Chairman James R. Doty delivered a detailed defense of his tenure on Tuesday in the keynote address at the annual auditing conference sponsored by Baruch University’s Zicklin School, stressing the PCAOB’s economic benefits and its advantages in cutting th...

By David Katz • Nov. 30, 2016

Is Court Ruling on Overtime Regs the Last Word?

After the Labor Department issued new rules last May that doubled the salary threshold under which workers were eligible for overtime pay, many companies undertook an employee-by-employee review of compensation and hours worked to determine how to minimize any financial fallout.But now that a fed...

By David McCann • Nov. 29, 2016

OECD Lifts Global Growth Forecast on Resurgent U.S. Fiscal Policy

Global economic growth is projected to rise over the next two years thanks to ongoing or projected changes to economic policies. It will also be buoyed in part by a Trump administration that is expected to follow an expansionary fiscal policy in the United States.The world economy is expected to ...

By Sean Allocca • Nov. 29, 2016

WTO Tells U.S. to Withdraw Boeing Tax Break

The World Trade Organization has given the European Union a partial victory in a trade battle with the U.S., finding that a tax break granted to Boeing amounted to an illegal subsidy.The EU had filed a complaint over seven separate tax incentives for the aerospace industry that were included in l...

By Matthew Heller • Nov. 28, 2016