The migration to IFRS in Canada

Canada is making the move to International Financial Reporting Standards (IFRS) for Canadian
Public Companies. The IFRS will replace the existing Canadian Generally Accepted Accounting
Principles (GAAP) and are being promoted as a single set of globally accepted high-quality accounting standards.

Adopting IFRS is intended to make financial results more transparent and consistent for users globally. Companies should have easier access to international  capital, funding and nvestment opportunities. It is anticipated that the move to IFRS will be required by all Canadian publicly accountable enterprises by 2011. These are publicly listed companies and other enterprises that have a fiduciary responsibility for other people's money. Although the major changeover is not required until 2011, companies are encouraged to begin the process early and should be in a position to disclose their plans for the convergence by the end of 2008.

The IFRS standards are comprehensive and principle based, similar to the current Canadian GAAP, but will provide more accounting policy options requiring a greater use of professional judgment. For that reason among others, the implementation of the IFRS should be completed over a period of time to ensure enough time is allotted to evaluating these
choices for your organization.