PODCAST

Podcast: Supplier finance programs

We discuss ASU 2022-04, which requires buyers to disclose information about their supplier finance program obligations.

John Barbagallo

John Barbagallo

Managing Director, Dept. of Professional Practice, KPMG US

+1 212-954-7258

Mahesh Narayanasami

Mahesh Narayanasami

Partner, Dept. of Professional Practice, KPMG US

+1 212-954-7355

Angela Tran

Angela Tran

Senior Manager, Dept. of Professional Practice, KPMG US

+1 713-319-3242

Podcast overview

KPMG professionals discuss the impacts of the recent ASU 2022-04, which enhances transparency of supplier finance programs to understand their effect on an entity’s working capital, liquidity and cash flows.

Applicability

  • All entities that use supplier finance programs in connection with the purchase of goods and services

Relevant dates

  • Effective for annual and interim periods for fiscal years beginning after December 15, 2022 except for the rollforward disclosure, which is effective for fiscal years beginning after December 15, 2023
  • Early adoption permitted 

Podcast contents

  • 00:25 – Introduction 
  • 00:55 – What is a supplier finance program?
  • 04:20 – IFRS® Accounting Standards requirements
  • 05:25 – ASU on disclosure only?
  • 07:15 – Scope and definition
  • 08:20 – Key provisions of ASU
  • 11:00 – What are buyers disclosing today?
  • 12:05 – Effective date and transition
  • 13:40 – Closing remarks