CESR consultation on implementation of regulation on prospectuses

24 June 2004

CESR published its Consultation Paper on the recommendations for the consistent implementation of the Commission’s Regulation on Prospectuses. The purpose is to seek comments on a number of items set out in the schedules and building blocks included in the annexes of the Regulation. These annexes set out how different types of prospectus or offering documents should be structured and the type of information they should include.

CESR agrees that only an effective implementation will ensure that the full benefits of the new legal framework are realised. Therefore, CESR proposes to issue recommendations to facilitate the understanding of certain disclosure requirements included in the Regulation.

The measures included in the paper cover:
Financial Information Issues:

to clarify certain disclosure requirements included in the Regulation where necessary. Among others the paper includes recommendations on Operating and Financial Review, Profit forecast or estimates, Pro forma financial information or Working capital statements.

Non Financial Information Issues:

recommendations to ensure co-ordination among competent authorities when applying Article 23 of the Regulation.

recommendations for further clarification. Among others, on related party transactions, legal and arbitration proceedings or rules in respect of the administrative, management and supervisory bodies of the issuer.

recommendations on certain issues not related to the prospectuses schedules and building blocks. For example, to ensure co-ordination on the contents of the document required in case of securities offered to employees.

Responses to the consultation are requested by 18 October 2004. CESR would also welcome interested parties to attend an open hearing in Paris on 7 September, 2004.

Press release
Consultation document

© CESR - Committee of European Securities Regulators