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PrimeGlobal member Calvetti Ferguson provide an update on the situation surrounding current SEC relief in the US.
Houston, TX (March 17, 2020) – The impact of the Coronavirus on businesses is expected to be significant creating both operational challenges and issues with customer service. Some have completely shut down retail operations such as Apple and Macy’s while others have decided to be open for limited hours including Walmart and JC Penney’s.
Although necessary to prevent the spread of Coronavirus (COVID-19) it’s certain these changes will drastically impact first quarter revenues and profits. Given the challenges faced by companies located in, or with operations in affected areas, companies meeting certain conditions are able to take an additional 45 days to file disclosure reports that would otherwise be due between March 1, 2020 and April 30, 2020. To help clients and others, Calvetti Ferguson has provided a summary of key points below.
SEC Filing Relief Summary
The filing relief offered by the SEC includes:
- Form S-3 – Any SEC filers relying on the deadline relief will be considered current and timely in its Exchange Act filing requirements if it was current and timely as of the first day of the relief period and it files any required report due during the 45 day relief period.
- Form S-8 – For purposes of Form S-8 eligibility and current public information eligibility requirements of Rule 144(c), a company relying on deadline relief will be considered current in filing responsibilities if it was current as of the day of the relief period and it files required reports during the 45 day relief period.
- Annual/Quarterly Reports – Any company that receives an extension on these reports will be considered to have a due date 45 days after the report filing deadline.
Qualifying for SEC Relief
It’s important to remember that this relief is only available to companies meeting certain conditions. The primary condition is on the impact to operations from Coronavirus, but companies are also required to convey through a current report a summary of why relief is needed in their circumstances. The SEC may elect to the time period for the relief, with additional conditions, or provide additional relief as needed.
As the virus continues to spread and businesses are required to modify operations, it’s quite likely companies may not be able to make timely filings. In this situation, it’s important to take advantage of the opportunity offered by the SEC. If you have questions about the information outlined above or need assistance with a SEC filing issue, Calvetti Ferguson can help. For additional information, click here to contact us.
Calvetti Ferguson is a middle-market CPA firm that provides accounting, advisory, assurance, & tax services with an entrepreneurial mind & spirit. We combine the experience and know-how of a Big Four firm with tailored business solutions to provide our clients with the ultimate consulting experience.Learn more