Comments on IAS 19 – Defined Benefit Plans Exposure Draft – London, UK

On behalf of the National Association of Surety Bond Producers (NASBP), an international trade association of firms employing surety bond professionals, I am writing you to express our comments on and concerns about Exposure Draft IAS 19. Our comments focus on Paragraphs 29–33A regarding multiemployer plans. As end-users of employer audited financial statements, we have a unique view with respect to the proposed increase in disclosure. Although we generally applaud an increase in transparency regarding an employer’s potential liability with respect to multiemployer plans, we believe that the proposed amendments will provide misleading information to end-users that will impair, not enhance, the ability to determine the financial wherewithal of construction employer’s which seek surety bonding. NASBP is not aware of any entity in the surety bond industry that has requested or suggested that the IASB amend its standards as set forth in the Exposure Draft.

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