US SEC issues guidance on how listed companies disclose stock-based compensation to executives | WSAU News / Talk 550 AM · 99.9 FM

WASHINGTON (Reuters) – The U.S. Securities and Exchange Commission (SEC) on Monday issued guidance to listed companies on how to properly recognize and disclose publicly-traded stock-based compensation arrangements. made to executives before corporate earnings and other issuances.

Regulators say their new guidance explains how companies must consider the impact such ‘spring prizes’ will have on market-moving releases.

“Companies should not award the Spring Prize under any false belief that they should not reflect any additional value transferred to recipients from the anticipated release of significant information prior to release. recognize the cost of compensation for the award,” the agency said. guidance.

(Reporting by Katanga Johnson in Washington, Editing by Franklin Paul)