On March 31, SASB concluded a six-month consultation period to gather additional input on its provisional standards before they are revised and formally adopted as the SASB code in early 2018. During this period, we sought feedback from companies and investors on the materiality of disclosure topics and usefulness of the accounting metrics. In total, SASB analysts reached out to engage over 700 companies and 60 industry associations. Out of this group, 224 companies (adding up to $11.8T in market cap) met with analysts to learn more about SASB and the standards for their industry. 141 companies (adding up to $7.5T in market cap) went on to provide feedback on SASB standards via consultation meetings. In addition, SASB analysts provided 41 briefings for industry associations, 19 of which (representing hundreds of companies) went on to provide feedback on the standards.
SASB analysts also engaged investors in the consultation process, seeking feedback on how to improve the usefulness of SASB standards in investment analysis. SASB engaged 38 institutional investors to conduct 271 industry-level consultations (on average, each institutional investor provided feedback on around 7 industries). Approximately two-thirds of the 271 investor consultations were with SASB’s Investor Advisory Group participants.
SASB analysts are incorporating the responses from this deep consultation process into a proposed Technical Agenda for each industry. The Technical Agenda will be published publicly this summer, followed by an Exposure Draft Standard for each industry that will be put out for a 90-day public comment period. During the fall, the SASB technical board will review comments received (as well as all prior input from the provisional standards development phase and the consultation period) to oversee revisions. They will vote to codify the final standards at the beginning of next year. (For more information about our codification process, please read the Rules of Procedure.)
Companies and investors are always encouraged to participate in the standards development process, as the standards are market-based and reflective of both industry and investor views. To receive updates about SASB’s standards development process, please sign up for our email list or connect with the SASB analysts.
Thank you to everyone who took time to provide feedback during the consultation period. We hope for your ongoing participating in our standards development process.