High quality, reliable financial statements form the bedrock of our U.S. capital markets.  By setting accounting and reporting standards for U.S. companies, nonprofit organizations and state and local governments, the Financial Accounting Standards Board (FASB) and Governmental Accounting Standards Board (GASB) play critical roles in promoting effective financial reporting to investors.  The Board of Trustees of the Financial Accounting Foundation (FAF) maintains important responsibility for the oversight, administration and finances of the FASB and GASB.  Through its oversight of these organizations, the FAF helps promote an independent and effective standard-setting process.

The FAF and the FASB have announced leadership transitions that we believe will continue and further their respective commitments to high quality, reliable financial reporting.  We thank Charles (Chuck) Noski (FAF) and Russell (Russ) Golden (FASB) for their exemplary leadership and commitment to our capital markets.

Financial Accounting Foundation (FAF) Leadership

In furtherance of these goals, the FAF announced that commencing January 1, 2020, Kathleen (Kathy) Casey will be the next Chair of the Board of Trustees of the FAF.[1]  Through her service as a FAF Trustee since January 2018,  as well as her extensive experience in our domestic and global securities markets (including as a board director, audit committee member and SEC Commissioner), Kathy is well-positioned to lead the FAF in its important mission.  We thank Kathy for agreeing to take this leadership role.    

The FAF also announced the appointment of five new members to its Board of Trustees: Bruce Herring, Michael Rollings, Timothy Ryan, Lawrence Salva, and Shundrawn Thomas.  With these appointments, the Board of Trustees of the FAF continues its tradition of seeking diverse perspectives to carry out its responsibilities, which include promoting an independent and effective standard-setting process.  We are grateful that these individuals have agreed to serve on the Board of Trustees of the FAF, and for their dedication to promoting high-quality financial reporting for the benefit of investors in the U.S. capital markets. 

At the end of this month, Chuck Noski will complete his tenure as the Chair of the Board of Trustees of the FAF.  Since January 2016, Chuck has played an instrumental role in preserving the integrity opf the independent accounting standard-setting process.  Chuck’s extensive background, which includes time spent as a chief financial officer of a global financial institution, an audit committee chair, and an audit partner, among other roles, proved to be integral in his leadership of the FAF.  Chuck was a valued partner to the Commission in supporting our shared goal of promoting high-quality financial reporting.

We thank Chuck for what he has done on behalf of investors through his leadership at the FAF.  We also extend our sincere gratitude to the outgoing members of the FAF Board of Trustees – Gary Bruebaker, Myra Drucker, Ann Spruill, and John Veihmeyer – for their positive contributions to the organization and our capital markets. 

Financial Accounting Standards Board (FASB) Chair

The FAF also announced the appointment of Richard (Rich) Jones as the next Chair of the FASB, effective July 1, 2020.[2]  We are grateful that Rich has agreed to serve in this important leadership role, which is critical to the successful functioning of and confidence in our capital markets.  Throughout his career, including in his most recent role as the Chief Accountant (and Partner) with Ernst & Young, LLP, Rich has established himself as a respected leader in the accounting profession. 

Rich will succeed Russ Golden, who will complete his term with the FASB on June 30, 2020.  We look forward to continuing to work with Russ during the transition to Rich’s leadership.  Throughout his term, Russ has utilized his extensive background, knowledge, and experience to promote improvements in accounting standards for the benefit of investors.  Russ has been a tireless and valuable partner to the Commission in supporting our shared goal of promoting high-quality financial reporting.