CURRENT PRACTICE ISSUE
Venezuela currency devalued
On February 8, 2013, Venezuela's government announced that
it is devaluing the country's currency. Effective February 13,
the fixed exchange rate changed from 4.30 bolivars to the U.S.
dollar to 6.30 bolivars to the U.S. dollar. Under FASB
Accounting Standards Codification® (ASC) 830-20-35-8,
Foreign Currency Matters, an entity should not adjust its
financial statements for a rate change that occurs after the
reporting date. For example, a calendar-year reporting entity would
not reflect the devaluation in its December 31, 2012 financial
statements. Management should consider, however, whether it needs
to disclose the impact of the devaluation in the 2012 financial
statements or in MD&A.
