IASB and joint IASB–FASB Update July 2019

IASB meeting

2019 Comprehensive Review of the IFRS for SMEs Standard (Agenda Paper 30)

The Board met on 22 July 2019 to discuss the 2019 Comprehensive Review of the IFRS for SMEs Standard (2019 Review). In particular, the Board discussed whether a Request for Information to be published as part of the 2019 Review should seek views on whether and how to align the IFRS for SMEs Standard with IFRS Standards and amendments not incorporated in the IFRS for SMEs Standard.

IFRS 3 Business Combinations (Agenda Paper 30A)

The Board decided that, in the Request for Information, it will seek views on aligning the IFRS for SMEs Standard with IFRS 3 Business Combinations. The Board decided to seek views on whether:

1. to introduce requirements for step acquisitions into the IFRS for SMEs Standard. Twelve of 14 Board members agreed and two disagreed with this decision.
2. to align such requirements with IFRS 3, if introduced. Ten of 14 Board members agreed and four disagreed with this decision.
3. to recognise acquisition-related costs as an expense at the time of the acquisition. Eleven of 14 Board members agreed and three disagreed with this decision.
4. to require that contingent consideration be measured at fair value on initial recognition. Eleven of 14 Board members agreed and three disagreed with this decision.
5. to extend the undue cost or effort exemption to apply to the fair value measurement of the contingent consideration. Eleven of 14 Board members agreed and three disagreed with this decision.
6. to align the definition of a business. Thirteen of 14 Board members agreed and one disagreed with this decision.

The Board decided it will clarify, in the Request for Information, that it does not intend to amend the requirements in the IFRS for SMEs Standard:

1. to introduce the option to measure non-controlling interests at fair value;
2. to change the recognition criteria for recognising an intangible asset acquired in a business combination;
3. to clarify that an assembled workforce must not be recognised; and
4. to provide additional guidance in relation to reacquired rights.

All 14 Board members agreed with this decision.

IFRS 10 Consolidated Financial Statements (Agenda Paper 30B)

The Board decided that, in the Request for Information, it will seek views on aligning the IFRS for SMEs Standard with IFRS 10 Consolidated Financial Statements. The Board decided to seek views on:

1. aligning the definition of control in Section 9 of the IFRS for SMEs Standard with IFRS 10. Ten of 14 Board members agreed and four disagreed with this decision.
2. retaining the presumption that an entity controls an investee if it has direct power over that investee solely from voting rights. Eleven of 14 Board members agreed and three disagreed with this decision.

The Board decided it will clarify in the Request for Information that it does not intend to introduce an exception in the IFRS for SMEs Standard for the accounting for investment entities. Eleven of 14 Board members agreed and three disagreed with this decision.

IFRS 11 Joint Arrangements (Agenda Paper 30C)

The Board decided it will clarify in the Request for Information that it does not intend to align the IFRS for SMEs Standard with IFRS 11 Joint Arrangements. Eight of 14 Board members agreed and six disagreed with this decision.

IFRS 15 Revenue from Contracts with Customers (Agenda Paper 30D)

The Board decided to seek views in the Request for Information on three approaches to aligning the IFRS for SMEs Standard with IFRS 15 Revenue from Contracts with Customers. Specifically, the Board decided to seek views on:

1. the three approaches to be set out in the Request for Information:
   1. Alternative 1—modifying Section 23 of the IFRS for SMEs Standard to remove the clear differences in outcomes from applying Section 23 and IFRS 15, without a wholesale reworking of Section 23;
   2. Alternative 2—fully rewriting Section 23 to reflect the principles and language used in IFRS 15; and
   3. Alternative 3—omitting amendments to Section 23 from the 2019 Review.

Thirteen of 14 Board members agreed and one disagreed with this decision.

2. identifying Alternative 1 as its preferred approach to alignment. Ten of 14 Board members agreed and four disagreed with this decision.
3. whether to provide transition relief, if the Board proceeds to an exposure draft using Alternative 1 or Alternative 2, by permitting an entity to continue its current revenue accounting treatment for any contracts already in progress at the transition date or scheduled to be completed within a set time after the transition date. Ten of 14 Board members agreed and four disagreed with this decision.

Amendments to IFRS Standards and IFRIC Interpretations (Agenda Paper 30E)

The Board reviewed staff recommendations for aligning the IFRS for SMEs Standard with IFRIC^® Interpretations and amendments to IFRS Standards not incorporated in the IFRS for SMEs Standard. The Board decided to seek views on these recommendations in the Request for Information. Thirteen of 14 Board members agreed and one disagreed with this decision.

Next step

In September 2019 the Board will continue discussing whether and how to align the IFRS for SMEs Standard with Standards and amendments not incorporated in the IFRS for SMEs Standard.

Implementation matters: IFRIC Update (Agenda Paper 12)

The Board met on 22 July 2019 to discuss implementation matters.  

The Board received an update on the June 2019 meeting of the IFRS Interpretations Committee. Details of this meeting were published in IFRIC Update.

The Board was not asked to make any decisions.

Classification of Liabilities as Current or Non-current (Amendments to IAS 1) (Agenda Paper 29)

The Board met on 22 July 2019 to continue its discussion of comments on the Exposure Draft Classification of Liabilities, which proposes amendments to paragraphs 69–76 of IAS 1 Presentation of Financial Statements.

Liabilities with equity-settlement features (Agenda Paper 29A)

Paragraph 69(d) of IAS 1 states that terms of a liability that could, at the option of the counterparty, result in its settlement by the issue of equity instruments do not affect its classification as current or non-current.

The Board tentatively decided to amend IAS 1 to clarify that this statement applies only to a counterparty conversion option recognised separately from the liability as an equity component of a compound financial instrument. Any other term of a liability that could result in its settlement by the transfer of the entity’s own equity instruments does affect the classification of the liability as current or non-current.

Thirteen of 14 Board members agreed and one disagreed with the decision.

Transition and early application (Agenda Paper 29B)

The Board tentatively decided to:

1. require an entity to apply the amendments retrospectively in accordance with IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors;
2. provide no exemption for an entity adopting IFRS Standards for the first time; and
3. permit an entity to apply the amendments before their effective date (early application), but to require an entity that applies the amendments early to disclose that fact.

Thirteen of 14 Board members agreed and one disagreed with the decision.

Next steps

At a future meeting, the Board will review the due process steps carried out on this project; decide whether to give staff permission to begin the balloting process; and select an effective date for the amendments.

Goodwill and Impairment (Agenda Paper 18)

The Board met on 22 July 2019 to discuss what type of consultation document to publish for this project. The Board decided to publish a discussion paper as the next stage in the research project.

Thirteen of 14 Board members agreed and one disagreed with this decision.

The Board reviewed the due process steps it has taken in the project. 

All 14 Board members confirmed they are satisfied that the Board has complied with applicable due process steps and instructed the staff to prepare a discussion paper for balloting.

The Board also decided to set a comment period of 180 days for the discussion paper.

All 14 Board members agreed with this decision.

Management Commentary (Agenda Paper 15)

The Board met on 22 July 2019 to discuss:

1. an approach to developing guidance on the qualitative characteristics of useful financial information to be included in the revised IFRS Practice Statement 1 Management Commentary (Practice Statement)—Agenda Paper 15A; and
2. guidance to be included in the revised Practice Statement on making relevance and materiality judgements—Agenda Paper 15B.

Approach to guidance on qualitative characteristics (Agenda Paper 15A)

Agenda Paper 15A sets out a plan for the revised Practice Statement to:

1. include a brief description of each qualitative characteristic based on its description in the Conceptual Framework for Financial Reporting.
2. provide specific guidance on considering particular qualitative characteristics where such guidance is needed due to the nature of information included in management commentary. Some aspects of this guidance are discussed in Agenda Paper 15B.

The Board was not asked to make any decisions.

Making relevance and materiality judgements (Agenda Paper 15B)

The Board tentatively decided to introduce in the revised Practice Statement guidance on making materiality judgements in preparing management commentary that would:

1. incorporate key elements of the guidance from Practice Statement 2 Making Materiality Judgements (Materiality Practice Statement) supported, where necessary, by cross-references to further guidance in the Materiality Practice Statement;
2. provide additional guidance where it is necessary because the nature of management commentary differs from the nature of financial statements; and
3. focus on explaining the materiality process, in particular on identifying material information.

Thirteen of 14 Board members agreed and one disagreed with this decision.

Further, the Board tentatively decided that the guidance on identifying material information in the revised Practice Statement would:

1. recognise the guidance in the Practice Statement on elements of management commentary (content elements) as a general source of identifying such information;
2. provide the following guidance on considering primary users’ common information needs in identifying material information:
   1. make an explicit link between identification of material information and the objective of management commentary—that is providing information that is useful in assessing the prospects for future net cash inflows to the entity and in assessing management’s stewardship of the entity’s economic resources; and
   2. describe practical sources that could help management identify matters that may need to be discussed in management commentary; and
3. explain how management would consider what information to provide about such matters in each content element to deliver a coherent narrative.

All 14 Board members agreed with this decision.

Finally, the Board tentatively decided to include in the revised Practice Statement guidance on the other steps of the materiality process that would prompt management to:

1. consider the likelihood of a matter occurring, not just the size of the impact, in assessing the quantitative factors when making materiality judgements;
2. consider the appropriate level of aggregation when assessing what information an entity needs to provide in management commentary; and
3. highlight the links between different pieces of information when organising the information within management commentary.

All 14 Board members agreed with this decision.

Next step

The Board will discuss guidance on the fundamental qualitative characteristic of faithful representation and the enhancing qualitative characteristics at a future meeting. The Board noted that an additional meeting of the Management Commentary Consultative Group will take place in December 2019. To allow time to consider the input from this additional meeting, the publication of the planned Exposure Draft is now expected in the second half of 2020 rather than the first half.

Business Combinations under Common Control (Agenda Paper 23)

The Board met on 22 July 2019 to discuss the research project on Business Combinations under Common Control. 

Potential equity investors in BCUCC (Agenda Paper 23A)

The Board discussed the information needs of potential equity investors in the combining entities in relation to transactions that affect non-controlling shareholders of the receiving entity and to transactions that do not affect such shareholders.

The Board was not asked to make any decisions.

How measurement approaches could apply (Agenda Paper 23B)

The Board discussed an overview of how alternative measurement approaches could apply to transactions in the scope of the project, and the questions the Board will need to consider in developing such approaches.

The Board was not asked to make any decisions.

Next step

The Board expects to continue its discussion on methods of accounting for transactions within the scope of the project at future meetings.

Financial Instruments with Characteristics of Equity (Agenda Paper 5)

The Board met on 24 July 2019 to hear a summary of feedback on the Board’s proposals set out in the Discussion Paper Financial Instruments with Characteristics of Equity. The summary related to the following sections of the Discussion Paper:

1. Section 1—Objective, scope and challenges;
2. Section 6—Presentation;
3. Section 7—Disclosures; and
4. Section 8—Contractual terms.

The Board was not asked to make any decisions.

Next step

The Board will discuss the project’s direction at a future meeting.

Rate-regulated Activities (Agenda Paper 9)

The Board met on 24 July 2019 to discuss the accounting model (model) being developed for regulatory assets and regulatory liabilities. Agenda Paper 9 provided, for information only, a summary of the tentative decisions made by the Board that determine the features of the model.

Interactions between the model and IFRS 3 Business Combinations (Agenda Paper 9A)

The Board tentatively decided that, as an exception to the recognition and measurement principles of IFRS 3 Business Combinations, an entity should recognise and measure regulatory assets acquired and regulatory liabilities assumed in a business combination in accordance with the recognition and measurement principles of the model.

Ten of 14 Board members agreed and four disagreed with this decision.

Application of the model (Agenda Papers 9B–9C)

The Board discussed how an entity would apply the model in either of the following situations:

1. the term of the regulatory agreement is, or may be, shorter than the period over which the regulatory assets would be recovered and regulatory liabilities would be fulfilled through the future rate(s) to be charged to customers; or
2. at the financial reporting date, it is not yet certain whether the entity will become entitled to a bonus (or liable for a penalty).

The Board was not asked to make any decisions. However, the Board asked the staff to further analyse situation (a) for discussion at a future Board meeting.

The consultation document—an exposure draft or a discussion paper (Agenda Paper 9D)

The Board decided the consultation document for the project should be an exposure draft of a new standard to replace IFRS 14 Regulatory Deferral Accounts.

Thirteen of 14 Board members agreed with this decision. One member was absent.

Effect analysis (Agenda Paper 9E)

The Board has considered the model’s likely effects in making tentative decisions throughout the project. At this meeting, the Board reviewed a summary of those likely effects.

The Board was not asked to make any decisions.

Due process and permission to begin the balloting process (Agenda Paper 9F)

The Board reviewed the due process steps it has taken in developing the model. Thirteen of 14 Board members confirmed they are satisfied that the Board has complied with applicable due process steps and instructed the staff to prepare an exposure draft for balloting. One member was absent.

The Board also decided to set a comment period of 120 days for the exposure draft.

Ten of 14 Board members agreed and three disagreed with this decision. One member was absent.

A Board member plans to dissent from the proposals in the exposure draft.

Next steps

The staff expect to discuss the following issues with the Board in September 2019:

1. further analysis of situation (a) described in the section above on the application of the model;
2. analysis on any other interactions with IFRS Standards in addition to those already addressed to date;
3. transition; and
4. amendments to other IFRS Standards.

The Board expects to publish the exposure draft in the first quarter of 2020.

Disclosure Initiative—Targeted Standards-level Review of Disclosures (Agenda Paper 11)

The Board met on 24 July 2019 to discuss amendments to the disclosure objectives in IAS 19 Employee Benefits. Agenda Paper 11A summarises the staff recommendations.

IAS 19 disclosure objectives—defined benefit plans (Agenda Paper 11B)

High-level, catch-all disclosure objective

The Board tentatively decided to include a high-level, catch-all disclosure objective in IAS 19 for defined benefit plans. Such an objective would, among other things, address aggregation and disaggregation of information provided to meet the specific disclosure objectives (also set out in this Update). Thirteen of 14 Board members agreed and one disagreed with this decision.

Specific disclosure objectives

The Board tentatively decided to include detailed and specific disclosure objectives in IAS 19. These objectives would require an entity to disclose information that enables users of financial statements to:

1. understand the amounts and components of those amounts, in the entity’s statements of financial performance, financial position and cash flows arising from its defined benefit plans. All 14 Board members agreed with this decision.
2. understand the: 
   1. nature of the benefits provided by the entity’s defined benefit plans;
   2. nature and extent of risks, in particular the investment risks, to which those plan(s) expose the entity; and
   3. the entity’s strategies for managing the plan(s) and associated risks.

   All 14 Board members agreed with this decision.

3. understand the expected future cash flows resulting from the defined benefit obligation and the nature of those cash flows. Eleven of 14 Board members agreed and three disagreed with this decision.
4. understand the time period over which payments will continue to be made to members of plans that are closed to new members and for which the entity still has an obligation. All 14 Board members agreed with this decision.
5. understand the significant actuarial assumptions used in determining the defined benefit obligation. All 14 Board members agreed with this decision.
6. understand the drivers of changes in the net defined benefit liability or asset from the beginning of a reporting period to the end of that period. All 14 Board members agreed with this decision.

The Board instructed the staff to consider when drafting how best to articulate these decisions.

Other user information needs

The Board tentatively decided not to develop specific disclosure objectives to address the information needs of users of financial statements about:

1. alternative defined benefit plan valuations to those required by IAS 19. All 14 Board members agreed with this decision.
2. sensitivity of the defined benefit obligation to different assumptions. Thirteen of 14 Board members agreed and one disagreed with this decision.
3. the forecasting of future defined benefit obligations. All 14 Board members agreed with this decision.

IAS 19 disclosure objectives—employee benefits other than defined benefit plans (Agenda Paper 11C)

Defined contribution plans

The Board tentatively decided to include a high-level, catch-all disclosure objective in IAS 19 requiring an entity to disclose information that enables users of financial statements to understand how defined contribution plans affect the entity’s statements of financial performance and cash flows. Twelve of 14 Board members agreed and two disagreed with this decision.

Multi-employer and group plans

The Board tentatively decided that an entity that accounts:

1. for its multi-employer or group plan as a defined benefit plan should comply with the disclosure objectives for defined benefit plans. All 14 Board members agreed with this decision.
2. for its multi-employer plan as a defined contribution plan should comply with the disclosure objective for defined contribution plans. All 14 Board members agreed with this decision.

The Board tentatively decided that an entity that accounts for its share of a defined benefit multi-employer plan or group plan as if it were a defined contribution plan should comply with:

1. the disclosure objective for defined contribution plans; and
2. a specific disclosure objective to disclose information that enables users of financial statements to understand the: 
   1. nature of the benefits provided by its defined benefit plans;
   2. nature and extent of risks, in particular the investment risks, to which those plan(s) expose the entity; and
   3. entity’s strategies for managing the plan(s) and associated risks.

All 14 Board members agreed with this decision.

Other employee benefits

The Board tentatively decided to include a high-level, catch-all disclosure objective in IAS 19. Such an objective would require an entity to disclose information that enables users of financial statements to understand:

1. the nature of termination benefits and other long-term employee benefits; and
2. how those benefits affect the entity’s statements of financial performance, financial position and cash flows.

Eleven of the 14 Board members agreed and three disagreed with this decision.

The Board tentatively decided to include a high-level, catch-all disclosure objective in IAS 19 requiring an entity to disclose information that enables users of financial statements to understand how short-term employee benefits affect the entity’s statements of financial performance and cash flows. Ten of 14 Board members agreed and four disagreed with this decision.

Next steps

At a future meeting, the Board will discuss:

1. items of information that could be used to meet the proposed disclosure objectives in IAS 19; and
2. disclosure objectives in IFRS 13 Fair Value Measurement, and items of information that could be used to meet those objectives.

Primary Financial Statements (Agenda Paper 21)

The Board met on 24 July 2019 to discuss:

1. possible amendments to IAS 34 Interim Financial Reporting to reflect the Board’s tentative decisions in the Primary Financial Statements project;
2. whether subtotals similar to gross profit that meet the definition of management performance measures should be exempt from the disclosure requirements for management performance measures;
3. whether to change its tentative decisions on the classification of interest and dividends in the statement of cash flows;
4. whether to amend IAS 33 Earnings per Share to restrict the numerator in an adjusted earnings per share calculation to amounts based on defined subtotals or management performance measures; and
5. due process steps and permission to begin the balloting process.

Amendments to IAS 34 Interim Financial Reporting (Agenda Paper 21A)

The Board tentatively decided to amend IAS 34 to require entities, in their condensed interim financial statements, to:

1. apply the requirements for management performance measures. Ten of 14 Board members agreed and two disagreed with this decision. Two members were absent.
2. apply, in the first year of application only, the amended requirements for subtotals in the statement(s) of financial performance. That is, entities will be required to present the new subtotals in their condensed interim financial statements during the first year of application of the new requirements. Eight of 14 Board members agreed and five disagreed with this decision. One member was absent.

Management performance measures and subtotals similar to gross profit (Agenda Paper 21B)

The Board tentatively decided to:

1. add ‘subtotals similar to gross profit’ to the list of subtotals that are not management performance measures;
2. describe such subtotals as ‘representing the difference between (a type of) revenue and directly related expenses incurred in generating that revenue’; and
3. provide a non-exhaustive list of examples of subtotals ‘similar to gross profit’—such as net interest income—and subtotals that are not considered ‘similar to gross profit’.

Thirteen of 14 Board members agreed with this decision. One member was absent.

Classification of interest and dividends in the statement of cash flows (Agenda Paper 21C)

The Board tentatively decided to reaffirm its tentative decisions regarding the classification of interest and dividends in the statement of cash flows. Eleven of 14 Board members agreed and two disagreed with this decision. One member was absent.

Management performance measures and adjusted earnings per share (Agenda Paper 21D)

The Board tentatively decided to amend IAS 33 Earnings per Share to restrict the numerator in an adjusted earnings per share calculation to amounts based on defined subtotals or management performance measures. Thirteen of 14 Board members agreed with this decision. One member was absent.

Due process steps and permission to begin the balloting process (Agenda Paper 21E)

The Board:

1. decided to allow 180 days for comment on the exposure draft. Thirteen of 14 Board members agreed with this decision. One member was absent.
2. reviewed the due process steps it has taken in the project. Thirteen of 14 Board members confirmed they are satisfied that the Board has complied with applicable due process steps and instructed the staff to prepare an exposure draft for balloting. One member was absent.

Two Board members stated that they will need to review the detailed drafting before deciding whether to dissent from the proposals in the exposure draft.

Next step

The staff will prepare an exposure draft for balloting. 

IBOR Reform and its Effects on Financial Reporting (Agenda Paper 14)

The Board met on 25 July 2019 to discuss the staff’s analysis of feedback on the Exposure Draft Interest Rate Benchmark Reform, which proposes amendments to IFRS 9 Financial Instruments and IAS 39 Financial Instruments: Recognition and Measurement.

The Board was not asked to make any decisions.

Next steps

At future Board meetings, the Board will redeliberate some matters raised by respondents on the Exposure Draft as well as start the deliberations on the next phase of the IBOR Reform project.

Dynamic Risk Management (Agenda Paper 4)

The Board met on 25 July 2019 to discuss the Dynamic Risk Management (DRM) research project.

Demonstration of the core model (Agenda Paper 4B)

The presentation summarised the Board’s tentative decisions about the DRM accounting model with examples that demonstrate how the model operates.

The Board was not asked to make any decisions.

Operational simplifications (Agenda Paper 4C)

Agenda Paper 4C discussed simplifications to the DRM accounting model, specifically focused on the benchmark derivative. Given that, over time, the benchmark derivative will become a portfolio of derivatives, the paper explored methods of aggregation to reduce the number of derivatives in the portfolio. The paper recommended that aggregation of the benchmark derivatives would be permitted if the maturity dates, payment dates and interest rate basis are the same.

All 14 Board members agreed with this decision.

Optional application and areas of focus for disclosure (Agenda Paper 4D)

The Board tentatively decided:

1. that the application of the DRM accounting model should be optional; and
2. to set areas of focus (set out below) for disclosure.

The Board tentatively decided that the areas of focus for disclosure should be those that assist users to:

1. understand and evaluate an entity’s risk management strategy;
2. evaluate management’s ability to achieve that strategy;
3. understand the impact on current and future economic resources; and
4. understand the impact on an entity’s financial statements from the application of the model.

All 14 Board members agreed with these decisions.

Next step

In future meetings, the Board plans to discuss its approach to gathering stakeholders’ views about the core model.

Joint FASB and IASB meeting

The FASB met with the IASB on 23 July 2019 for an educational session on:

1. the FASB Segment Reporting project (Agenda Paper 27). The boards received an update on the project and discussed feedback on targeted improvements to segment reporting (Topic 280) the FASB is considering. 
2. the IASB project on Primary Financial Statements and the FASB project on Financial Performance Reporting (Agenda Paper 21). The boards received updates on and discussed both projects. The boards heard the IASB’s plans to publish an exposure draft by the end of 2019.
3. the IASB project on Financial Instruments with Characteristics of Equity and the FASB project on Distinguishing Liabilities from Equity (Agenda Paper 5). The boards heard that the FASB has completed its initial deliberations and expects to publish an exposure draft by the end of 2019. The boards received an overview of the proposals in IASB Discussion Paper Financial Instruments with Characteristics of Equity published in June 2018 and the feedback from stakeholders. The boards gave feedback on both projects.
4. the IASB project on IBOR Reform and the FASB project on Reference Rate Reform (Agenda Paper 14). The boards received an overview of the proposals in the IASB’s Exposure Draft Interest Rate Benchmark Reform and feedback from stakeholders. The boards received a summary of recent tentative FASB decisions on the Reference Rate Reform project and heard the FASB’s plans to publish an exposure draft by the end of 2019. 
5. the IASB project on Goodwill and Impairment and the FASB project on Identifiable Intangible Assets and the Subsequent Accounting for Goodwill (Agenda Paper 18). The boards heard updates on both projects, discussed the FASB’s Invitation to Comment and discussed various aspects of their projects, in particular:
   1. improving the quality of disclosures about business combinations;
   2. amortising goodwill as opposed to using an impairment-only model; and
   3. simplifying the impairment test.
6. the IASB’s Disclosure Initiative—Targeted Standards-level Review of Disclosures project and the FASB’s Disclosure Framework project (Agenda Paper 11). The boards shared experiences and feedback from stakeholders on disclosure requirements for employee benefits and fair value measurement. The boards heard the FASB finalised amendments to these requirements in August 2018, and that the IASB is considering potential amendments in the light of feedback from stakeholders.
7. respective activities supporting implementation of the revenue recognition standards (IFRS 15 Revenue from Contracts with Customers and Topic 606, Revenue from Contracts with Customers) and leases standards (IFRS 16 Leases and Topic 842, Leases) (Agenda Paper 12).

The boards were not asked to make decisions.