12th XBRL Europe day & 18th Eurofiling Workshop – Luxembourg 11 December 2013

European Union directives and XBRL Europe update

Gilles Maguet –XBRL Europe Secretary General

Quick glance on XBRL projects in Europe

From 55 to 65 XBRL projects in 19 European Countries for national reporting or European

Reporting though EU directives

Banking regulated

sector

Insurance regultaed

sector

Securities Market

Regulated sector

Business register sector

Tax sector StatisticsOthers(Stock

exchg, Private)

More than 13 projetcs

At least 8 within the NCAs for

mandatory reporting and from NCAs to

EBA EBA Project

with the new COREP and FINREP taxonomies

Many under Preparation within the NCAs for

mandatory reporting and from NCAs to EIOPAEIOPA

project with Solvency II Taxonomy

3/4 projects

1 for mandatory reporting

(Spain CNMV IFRS Taxonomy)

ESMA project for

listed companies reporting following IFRS XBRL Taxonomy

13 projects

7 for mandatory reporting of

annual accounts following

local Gaaptaxonomies

6 projects

4 for mandatory reporting following

local fiscal taxonomies

6 projetcs

10 projetcs

European Parliament – Discussions and votes of directives European Commission - Discussions and implementation of

directives. Implementation of those with delegated acts with MS European Council – Discussions and Final decision maker European Banking Authority – EU Banking supervisor in charge of

CRD IV implementation with NCAs (National Competent authorities – the National supervisors)

European Central Bank – Enforcement of European Banking regulation of 200 major banks for CRD IV

EIOPA EU Insurance supervisor in charge of SII implementation with NCAs

ESMA EU Securities Market supervisor in charge of Transparency directive with NCAs through a specific TF.

EFRAG – European Financial Reporting Advisory Group - In charge of advising the Union on the IFRS implementation – Current Reshape of its mission after the Maystad Report

Stakeholders involved

ARC – Accounting Regulatory Committee representing the Member states and in charge with European Commission of the implementation of the Accounting directive and certainly of discussions

IFRS – International Financial Reporting Standard developed by the IASB – Basis of the Transparency directive

BRIS – Business Register Interoperability System – Developed under the leadership of the European Commission for the implementation of the Interoperability directive

ECRF – European Commerce Registries Forum – Interesting forum to advocate for XBRL

FEE – Federation of European Accountants – Strong follow up on the implementation of the Accounting and Transparency directives

EBF – European Banking Federation – Strong follow up on the CRD IV directive implementation. Advocates for more European reporting integration.

EFFAS – European Federation of Financial Analysts societies – Involvement for the comparability issues with ESMA

XBRL Europe – tries to be known, to push XBRL and to survive in this jungle

Stakeholders involved

The Jungle of the directives

ASSURANCESOLVENCY II

2009/138/EC

OMNIBUS IIYet to be adopted

BANQUESBASEL II / CRD

2006/48-49/EC and updates

BASEL III / CRD 4Adopted in April 2013

For the COREP & FINREP

reportings

The Jungle of the directives

LISTED COMPANIESTRANSPARENCY

2009/307/EC Voted the 12 June 2013

ALL COMPANIESACCOUNTING

2011/308/EC

COMPANIES - BRBUSINESS REGISTERS2012/17/EC

Voted the 12 June 2013 UNDER IMPLEMENTATION

Directive voted the 12 June 2013, finally published the 6th of November 2013 on the Official Journal

The directive introduces XBRL as the possible standard for the mandatory reporting for all the stock listed companies in EU.

The directive covers the whole supply chain (filing, storing, availability of datas)

Transparency directive

(26) A harmonised electronic format for reporting would be very beneficial for issuers, investors and competent authorities, since it would make reporting easier and facilitate accessibility, analysis and comparability of annual financial reports. Therefore, the preparation of annual financial reports in a single electronic reporting format should be mandatory with effect from 1 January 2020, provided that a cost-benefit analysis has been undertaken by ESMA. ESMA should develop draft technical regulatory standards, for adoption by the Commission, to specify the electronic reporting format, with due reference to current and future technological options, such as eXtensible Business Reporting Language (XBRL).

Transparency Directive - Introductory Text

(26) (...) ESMA, when preparing the draft regulatory technical standards, should conduct open public consultations for all stakeholders concerned, make a thorough assessment of the potential impacts of the adoption of the different technological options, and conduct appropriate tests in Member States on which it should report to the Commission when it submits the draft regulatory technical standards. In developing the draft regulatory technical standards on the formats to be applied to banks and financial intermediaries and to insurance companies, ESMA should cooperate regularly and closely with the (...) (European Banking Authority) (...) and the (...) (European Insurance and Occupational Pensions Authority) (...), in order to take into account the specific characteristics of those sectors, ensuring cross-sectoral consistency of work and reaching joint positions. The European Parliament and the Council should be able to object to the regulatory technical standards pursuant to Article 13(3) of Regulation (EU) No 1095/2010, in which case those standards should not enter into force.

Transparency Directive - Introductory Text

Article 4 § 7 . With effect from 1 January 2020 all annual financial reports shall be prepared in a single electronic reporting format provided that a cost-benefit analysis has been undertaken by the European Supervisory Authority (European Securities and Markets Authority) (ESMA) established by Regulation (EU) No 1095/2010 of the European Parliament and of the Council (*).

ESMA shall develop draft regulatory technical standards to specify the electronic reporting format, with due reference to current and future technological options.

Before the adoption of the draft regulatory technical standards, ESMA shall carry out an adequate assessment of possible electronic reporting formats and conduct appropriate field tests. ESMA shall submit those draft regulatory technical standards to the Commission at the latest by 31 December 2016. Power is delegated to the Commission to adopt the regulatory technical standards referred to in the second subparagraph in accordance with Articles 10 to 14 of Regulation (EU) No 1095/2010.

Transparency Directive – the text

Article 21a European electronic access point

1. A web portal serving as a European electronic access point (“the access point”) shall be established by 1 January 2018. ESMA shall develop and operate the access point.

2. The system of interconnection of officially appointed mechanisms shall be composed of :◦ — the mechanisms referred to in Article 21(2),◦ — the portal serving as the European electronic access point.

3.  Member States shall ensure access to their central storage mechanisms via the access point.’;

Transparency Directive – the text

‘Article 22 Access to regulated information at Union level

1. ESMA shall develop draft regulatory technical standards setting technical requirements regarding access to regulated information at Union level in order to specify the following:

(a) the technical requirements regarding communication technologies used by the mechanisms referred to in Article 21(2);

(b) the technical requirements for the operation of the central access point for the search for regulated information at Union level

(c) the technical requirements regarding the use of a unique identifier for each issuer by the mechanisms referred to in Article 21(2);

(d) the common format for the delivery of regulated information by the mechanisms referred to in Article 21(2);

(e) the common classification of regulated information by the mechanisms referred to in Article 21(2) and the common list of types of regulated information.

Directive Transparence - le texte

‘Article 22 Access to regulated information at Union level (...)

2. In developing the draft regulatory technical standards, ESMA shall take into account the technical requirements for the system of interconnection of business registers established by Directive 2012/17/EU (...)

ESMA shall submit those draft regulatory technical standards to the Commission by 27 November 2015.

Power is delegated to the Commission to adopt the regulatory technical standards referred to in the first subparagraph of this paragraph in accordance with Articles 10 to 14 of Regulation (EU) No 1095/2010.

Transparency Directive – The text

In short◦ 1 January 2020 Mandatory Reporting in XBRL for the stock-listed

companies◦ 1 January 2018 – web portal /access point operational.

Development and operation by ESMA of the access point◦ 31 December 2016 – ESMA has transmitted to the Commission for

adoption by MS the draft regulatory technical standards◦ December 2015 – ESMA has started the tests of the draft

regulatory technical standards◦ 27 November 2015 - draft regulatory technical standards to the

Commission – Report from the Commission to EP & Council◦ 2014 - 2015 – ESMA develop the draft regulatory technical

standards◦ 2014 - XBRL Europe develops a White Paper for the implementation

the transparency directive with the draft regulatory technical standards the electronic reporting format and XBRL

Let’s start the work !!

Transparency Directive

For the Accounting Directive (non listed companies) the text has been reduced to an encouragement to the Member States“to develop electronic publication systems that allow undertakings to file accounting data, including statutory financial statements, only once and in a form that allows multiple users to access and use the data easily. With regard to reporting financial statements the Commission is encouraged to explore means for a harmonised electronic format. Such systems should, however, not be burdensome to small and medium-sized undertakings.”

That directive (with maybe the directive of interconnection of the business register) is opening the way to an harmonised way of using XBRL in this sector of the non listed companies.

This directive must be transposed and the implementation discussed between the EC the MS, the ARC (Accounting Regulatory Committee ) and other stakeholders like EFRAG

Accounting directive

Directive which focuses on some elements to be exchanged like name, identification number but without any reference to Financial statements

Its implementation is made through delagated acts negotiated between the European Commission and the Members States. Discussions to set up the BRIS (Business Register Interoperability System) for 2017/2018

In XBRL Europe EU Business Register Working Group we advocate towards BRIS to include the xEBR taxonomy and solutions in their works.

Interconnection of Business Registers Directive

Directive which focuses on some elements to be exchanged like name, identification number but without any reference to Financial statements

Its implementation is made through delagated acts negotiated between the European Commission and the Members States. Discussions to set up the BRIS (Business Register Interoperability System) for 2017/2018

In XBRL Europe EU Business Register Working Group we advocate towards BRIS to include the xEBR taxonomy and solutions in their works.

Interconnection of Business Registers Directive

XBRL EuropeSet up to foster European XBRL efforts and to implement

common XBRL projects in Europe between its members and to liaise with European Authorities and organizations

EXECUTIVE COMMITTEE •Chair: XBRL Luxembourg represented by Marc Hemmerling•Vice Chair: XBRL Belgium represented by Camille Dumm•XBRL France (represented by Eric Jarry)•XBRL Spain represented by Enrique Bonsón•XBRL International represented by John Turner (for the permanent seat reserved to XBRL International)•EFFAS represented by Hans Buysse (for the seat reserved to the Direct members)SECRETARY GENERAL Gilles Maguet

XBRL International, XBRL Belgium, XBRL Denmark, XBRL France, XBRL Germany, XBRL Luxembourg, XBRL Italy, XBRL Netherlands, XBRL Spain, XBRL United Kingdom, Deloitte Innovation B.V., EFFAS, Bermuda Monetary Authority, Fujitsu Poland, Infogreffe, Theia partners, E&Y EMEA, Bank al-Maghrib, BR&AG provisional direct, ATOS International & UB Partners ; Thus 21 members in 2013

Pleasure to announce 2 New approved members XBRL Sweden and AxiomSL EMEA

Membership increases to 23 in 2014

Next members ?

XEU – Members in 2013/2014

EU Business Register WG (Thomas Verdin)◦ Purpose : to increase the coordination and interoperability

for European Business Register's XBRL efforts and taxonomies

◦ Work on the implementation of the European Directive for the interconnection of the BRs and on the taxonomy xEBR which reached the V7 version in including the BACH scheme.

COREP FINREP SOLVENCY 2 WG (Derek de Brandt)◦ Group set up to allow the regulators to involve, within a

neutral platform (XBRL Europe), the private stakeholders in the common works related to the COREP FINREP and Solvency II taxonomies with Eurofiling. Deliverables are Data Point Models, XBRL documents and taxonomies, know-how and materials for Supervisory Frameworks: COREP, FINREP and Solvency II.

◦ Support to the CEN Workshop for XBRL Europe contributed to be awarded this workshop – CEN : European Standardisation Committee

XEU Working groups

IFRS, SECURITIES AND MARKETS WG (Pierre Hamon)◦ Supporting European institutions and European

associations in the area of securities market with XBRL.

◦ Work on the Transparency directive implementation with the a White Paper writing

Usability WG (Hans Buysse)◦ Forum of the users and mainly of the analysts

XEU Working groups

EU Adoption Committee (Gilles Maguet and Dave van den Ende – established in 2013)◦ Aim at liaising with the European Authorities and

European ad National stakeholders to coordinate all efforts vis à vis the adoption.

Euromarcom (Poul Kjaer)◦ Support to the preparation of events like the CRD

IV event in London◦ Support to the XEU days preparation◦ Marketing materials

XEU Working groups

Work on the transparency directive implementation with ESMA and other stakeholders – the White Paper – IFRSSAM WG with xEBR and Usability WGs & EU adoption Committee

Work with the Eurofiling community (EBA and EIOPA) for the implementation of the CRD IV and Solvency II reporting in Banks and Insurances – COREP FINREP SII WG

Work about XBRL standard on the MSP - Multi Stakeholder Platform of the EU (ad-hoc XEU TF)

Work with the BRIS project lead by the European Commission for the interoperability of Business Registers - xEBR WG

Work on the Accounting directive implementation with the European Commission

And events …

Main Focus of XBRL Europe for 2014

XBRL Events in 2013/2014 12th XBRL Europe day and 18th Eurofiling workshop –

Luxembourg December 2013 13th XBRL Europe day and 19th Eurofiling workshop –

May/June 2014 with an XBRL Europe General Assembly which include elections

ECRF (European Commerce Registries Forum) Conference – Rome 4/5 June 2014

27th XBRL International conference – Orlando 11/12 June 2014

And more to come …

Secretary General of XBRL Europe, the European organisation grouping European XBRL Members of the non-profit XBRL International consortium of over 650 members developing the XBRL Standard.He is the past Secretary General of XBRL France which has developed several XBRL projects such as those in the banking sector or in the business register sector.

Gilles MaguetSECRETARY GENERAL XBRL EuropeAvenue d’Auderghem, 22-28B-1040 Brussels+33.4.72.41.05.22+33.6.71.62.31.19gilles.maguet@xbrl-eu.org www.xbrleurope.org

Thank you - Questions & Contacts