For a Smoother Landing into the New Leases Standard

February 2019

At first, transition to the new standard may seem relatively straight-forward. However, applying the transition requirements can be complex with important nuances that should be considered. After issuing ASU 2016-02, the FASB also issued several additional ASUs that affect certain aspects of transition. Both the FASB and SEC staffs have also on a number of occasions provided interpretive views about specific aspects of the new standard. Accordingly, having a clear understanding of the transition provisions as amended, and as interpreted, will be key to successfully adopting the new standard.

This publication summarizes the transition requirements of the new standard. It includes insights into certain aspects of the transition requirements and practical examples to assist entities in implementation.