XML 36 R25.htm IDEA: XBRL DOCUMENT v3.19.1
Significant Accounting Policies (Policies)
3 Months Ended
Mar. 31, 2019
Accounting Policies [Abstract]  
New Accounting Pronouncements, Policy [Policy Text Block]
New Accounting Standards
Not
Yet Adopted
 
In
August 2018,
the Financial Standards Accounting Board (FASB) issued Accounting Standards Update (ASU)
2018
-
15,
Intangibles – Goodwill and Other – Internal-Use Software: Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That is a Service Contract.
This guidance was issued to address the diversity in practice related to the accounting for costs of implementation activities performed in a cloud computing arrangement that is a service contract. The guidance can be applied either retrospectively or prospectively to all implementation costs incurred after the date of adoption, and is effective for the Company in
2020.
The Company is currently assessing the impact the adoption of this guidance will have on the Company’s results of operations and financial position.
 
There are several other new accounting pronouncements issued by the FASB. Each of these pronouncements, as applicable, has been or will be adopted by the Company. Management does
not
believe any of these accounting pronouncements has had or will have a material impact on the Company’s consolidated financial statements.
 
Recently Adopted Accounting Standards
 
On
January 1, 2019,
the Company adopted ASU
2016
-
02,
Leases
. This guidance was issued to increase transparency and comparability among organizations by requiring the recognition of lease assets and lease liabilities in the balance sheet and by disclosing key information about leasing arrangements. The Company adopted this standard using the modified retrospective approach as of the date of adoption, meaning
no
prior period balances were impacted by the adoption. Additionally, the Company elected to adopt the standard using the package of practical expedients permitted under the standard’s transition guidance, which allowed the Company to carryforward its historical lease classifications, and embedded lease and initial direct cost assessments. The adoption of the standard had a material impact on the Company’s condensed consolidated balances sheet primarily related to the recognition of right-of-use (ROU) assets and lease liabilities for operating leases. However, the adoption did
not
have a material impact on the condensed consolidated statement of comprehensive income and statement of cash flows. Refer to Note
9,
“Leases,” for further information regarding the Company’s leases.
 
On
January 1, 2019,
the Company adopted ASU
2018
-
02,
Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income
. This guidance was issued to address the impact of the change in the U.S. federal corporate income tax rate from the
2017
U.S. Tax Cuts and Jobs Act (the “Tax Act”) on items recorded as a component of accumulated other comprehensive income (AOCI). This guidance allows companies to reclassify to retained earnings the stranded tax effects lodged in AOCI as a result of the Tax Act. Upon adoption of the ASU, the Company elected to
not
reclassify the stranded income tax effects from AOCI to retained earnings.