Securities Law/Litigation

SEC Updates Guidance on Non-GAAP Financial Measure Disclosures

, The Legal Intelligencer

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Earlier this year, the Securities and Exchange Commission updated its guidance on the use of non-Generally Accepted Accounting Principles financial measures. Based on the revised guidance, the SEC appears to have changed its tone on the use of non-GAAP financial measures, most notably in SEC filings. From the updated guidance, companies may be inclined to disclose more non-GAAP financial measures so long as they comply with the SEC disclosure requirements.

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