XBRL Overview

1
XBRL Overview

• Grant Boyd
• General Manager - Corporate Services with the
  Institute
• Co - Chair of XBRL-NZ, Steering Committee

2
Overview

• Defining XBRL - Technology Overview-What is it ?
• What problem does it solve OR the Value
  Proposition of XBRL
• How does it work?
• Global Update
• International Consortium
• Who is using XBRL
• New Zealand
• Contacts

3
XML Markup What Does it Look Like?

• Grant Boyd
• Institute of Chartered Accountants of New Zealand
• 40 Mercer Street
• Wellington
• New Zealand 6001
• (64) -4 -4600-607
• Birthdate 11 June 1962

• ltnamegtGrant Boydlt/namegt
• ltaddressgt
• ltCoynamegtInstitute of Chartered Accountants
  of New Zealandlt/coynamegt
• ltstreetgt40 Mercer Streetlt/streetgt
• ltcitygtWellingtonlt/citygt
• ltcountrygtNew Zealandlt/countrygt
• ltpostcodegt6001lt/postcodegt
• lt/addressgt
• lttelephonegt6444600607lt/telephonegt
• ltbirthdategt1962-06-11lt/birthdategt

Metadata Information about information
Ordinary information
4
Content and Context

• Thousands of companies release financial results
  quarterly
• The contents are not organized. The data must be
  re-entered into computer applications for
  interpretation.
• What if financial documents included both
• Content (75,044,453) and
• Context
• (EUR 75,044,453net income for Q1/2001)

5
XBRL Terminology

• Specification - now at Version 2.1 - released
  December 2003
• Taxonomy Includes x-link (link Bases)
• Instance Document
• Style sheets

6
Taxonomy - Dictionary of Terms and a Building
Block
IAS
NZ
Industry
GCD
Company
7
Taxonomy as Dictionary
Disclosure
Result
Expense
Income
inc
exp
inx
Marketing
Advertising
Profit
Net Interest
exp.adv
exp.mkt
inx.prf
inx.int
8
Taxonomy as Classification
Disclosure
Defined as
Result
Expense
Income
Defined as
Defined as
Marketing
Advertising
Profit
Net Interest
9
Taxonomy as Calculation
Disclosure
Added into
Result
Expense
Income
Subtracted from
Added into
Added into
Marketing
Advertising
Profit
Net Interest
Added into
10
Taxonomy as Reference
Disclosure
Reference IAS 1
Result
Expense
Income
Ref IAS 5.6.a.i
Ref IFRS X.X
Reference IAS 3.9.a
Marketing
Advertising
Profit
Net Interest
Ref IFRS X.X
11
Taxonomy as Reusable Building Block
Disclosure
Added into
Result
Income
Expense
Subtracted from
Added into
Added into
Advertising
Marketing
Profit
Net Interest
Rebates
Added into
Website Expenses
12
Instance Document

• A discrete XBRL document
• A set of financial statements - rendered in XBRL
• Your Annual report is an Instance Document
• A set of monthly management reports in XBRL is an
  instance document

13
Style Sheets

• The same terminology as used for a Website style
  sheet.
• A style sheet translates your XBRL Instance
  document into the format you set.
• E.g a file for a printer, a web page, A GST
  statement etc

14
Raw XBRL
ltgaaplb.noncur.crd numericContext"rg.cy00.jpy"gt
-310000000.lt/gaaplb.noncur.crdgt ltgaaplb.noncur.
crd numericContext"rg.cy00.usd"gt-449000.lt/gaaplb
.noncur.crdgt ltgaaplb.noncur.crd
numericContext"rg.cy01.jpy"gt-344000000.lt/gaaplb.
noncur.crdgt ltgaaplb.noncur.crd
numericContext"rg.cy01.usd"gt-499000.lt/gaaplb.non
cur.crdgt ltgaaplb.provisions numericContext"rg.c
y00.jpy"gt-112000000.lt/gaaplb.provisionsgt ltgaapl
b.provisions numericContext"rg.cy00.usd"gt-163000.
lt/gaaplb.provisionsgt ltgaaplb.provisions
numericContext"rg.cy01.jpy"gt-212000000.lt/gaaplb.
provisionsgt ltgaaplb.provisions
numericContext"rg.cy01.usd"gt-307000.lt/gaaplb.pro
visionsgt ltgaapopc numericContext"rg.cy00.jpy"gt-
3181000000.lt/gaapopcgt ltgaapopc
numericContext"rg.cy00.usd"gt-4613000.lt/gaapopcgt
ltgaapopc numericContext"rg.cy01.jpy"gt-358300000
0.lt/gaapopcgt ltgaapopc numericContext"rg.cy01.u
sd"gt-5196000.lt/gaapopcgt ltgaapopc.acq
numericContext"rg.cy00.jpy"gt0.lt/gaapopc.acqgt ltg
aapopc.acq numericContext"rg.cy00.usd"gt0.lt/gaap
opc.acqgt ltgaapopc.acq numericContext"rg.cy01.jp
y"gt-35000000.lt/gaapopc.acqgt ltgaapopc.acq
numericContext"rg.cy01.usd"gt-50000.lt/gaapopc.acq
gt ltgaapopc.cnt numericContext"rg.cy00.jpy"gt4110
00000.lt/gaapopc.cntgt ltgaapopc.cnt
numericContext"rg.cy00.usd"gt595000.lt/gaapopc.cnt
gt ltgaapopc.cnt numericContext"rg.cy01.jpy"gt3370
00000.lt/gaapopc.cntgt ltgaapopc.cnt
numericContext"rg.cy01.usd"gt488000.lt/gaapopc.cnt
gt ltgaapopf numericContext"ins.cy00.jpy"gt1570000
00.lt/gaapopfgt ltgaapopf numericContext"ins.cy00
.usd"gt228000.lt/gaapopfgt ltgaapopf
numericContext"ins.cy00h1.jpy"gt84000.lt/gaapopfgt
ltgaapopf numericContext"ins.cy00h2.jpy"gt73000.lt
/gaapopfgt
ltgaapopc numericContext"rg.cy01.jpy"gt-3583000000
.lt/gaapopcgt
According to GAAP Operating Costs for Rock Gravel
Corporation Calendar Year 2001 in Yen 3,583 m
15
More Raw XBRL
ltxbrllfootnoteLink xlinktype"extended"
xlinkrole"Pebble Power" xlinktitle"Footnote 1
links" xmlnsxbrll"http//www.xbrl.org/2001/XLink
/xbrllinkbase" xmlnsxlink"http//www.w3.org/1999
/xlink"gt ltxbrllloc xlinktype"locator"
xlinklabel"fact1" xlinkhref"jv1"/gt
ltxbrllloc xlinktype"locator"
xlinklabel"fact1" xlinkhref"jv2"/gt
ltxbrllloc xlinktype"locator"
xlinklabel"fact1" xlinkhref"jv3"/gt
ltxbrllloc xlinktype"locator"
xlinklabel"fact1" xlinkhref"jv4"/gt
ltxbrllloc xlinktype"locator"
xlinklabel"fact1" xlinkhref"jv5"/gt
ltxbrllloc xlinktype"locator"
xlinklabel"fact1" xlinkhref"jv6"/gt
ltxbrllloc xlinktype"locator"
xlinklabel"fact1" xlinkhref"jv7"/gt
ltxbrllloc xlinktype"locator"
xlinklabel"fact1" xlinkhref"jv8"/gt
ltxbrllfootnote xlinktype"resource"
xlinklabel"footnote1" xlinktitle"Footnote 1"
xlinkrole"standard" xmllang"en"gtShare
of joint ventures revenue excludes amounts
invoiced to Pebble Power.lt/xbrllfootnotegt
ltxbrllfootnote xlinktype"resource"
xlinklabel"footnote1" xlinktitle"Apostille 1"
xlinkrole"standard xmllang"fr"gtLa quote
part des revenus dans les joint ventures exclue
les montants facturés à Pebble Powerlt/xbrllfootno
tegt ltxbrllfootnoteArc xlinktype"arc"
xlinkfrom"fact1" xlinkto"footnote1"
xlinktitle"fact1-footnote1"
xlinkarcrole"http//www.xbrl.org/linkprops/arc/f
act-footnote" xlinkshow"replace"
xlinkactuate"onRequest"/gt lt/xbrllfootnoteLinkgt
ltxbrllfootnote xlinktype"resource"
xlinklabel"footnote1 xlinktitle"Footnote 1"
xlinkrole"standard" xmllang"en"gtShare of
joint ventures revenue excludes amounts
invoiced to Pebble Power.lt/xbrllfootnotegt
A footnote that indicates which of the revenue
amounts reported here exclude the amounts
invoiced to a related party, Pebble Power Inc.
16
Another Serving of Raw XBRL
ltnumericContext id"rg.cy00.jpy" cwa"false"
precision"4"gt ltentitygt ltidentifier
schemehttp//www.gov.tx"gtrglt/identifiergt
lt/entitygt ltperiodgt ltstartDategt2000-01-01lt/star
tDategt ltendDategt2000-12-31lt/endDategt
lt/periodgt ltunitgt ltmeasuregtiso4217jpylt/measu
regt lt/unitgt lt/numericContextgt
Rock Gravel Corporation Period from 1 Jan 2000
to 31 Dec 2000 In Yen Precise to 4 digits
17
Sample of the IAS PFS Taxonomy
ltelement id"iascf-pfs_StatementChangesEquity"
name"StatementChangesEquity" abstract"true" /gt
ltelement id"iascf-pfs_StatementCashFlows"
name"StatementCashFlows" abstract"true" /gt
ltelement id"iascf-pfs_ShortTermEmployeeBenefitsN
ature" name"ShortTermEmployeeBenefitsNature"
type"xbrlimonetaryItemType" substitutionGroup"x
brliitem" xbrlibalance"debit" /gt ltelement
id"iascf-pfs_ShortTermDeposits"
name"ShortTermDeposits" type"xbrlimonetaryItemT
ype" substitutionGroup"xbrliitem"
xbrlibalance"debit" /gt ltelement
id"iascf-pfs_ShareProfitLossInvestmentsRelatingCa
shFlowsOperatingActivities" name"ShareProfitLossI
nvestmentsRelatingCashFlowsOperatingActivities"
type"xbrlimonetaryItemType" substitutionGroup"x
brliitem" /gt ltelement id"iascf-pfs_ShareProfitL
ossEquityAccountedSubsidiaries"
name"ShareProfitLossEquityAccountedSubsidiaries"
type"xbrlimonetaryItemType" substitutionGroup"x
brliitem" xbrlibalance"credit" /gt ltelement
id"iascf-pfs_ShareProfitLossEquityAccountedJointV
entures" name"ShareProfitLossEquityAccountedJoint
Ventures" type"xbrlimonetaryItemType"
substitutionGroup"xbrliitem" xbrlibalance"cred
it" /gt ltelement id"iascf-pfs_ShareProfitLossEqui
tyAccountedInvestments" name"ShareProfitLossEquit
yAccountedInvestments
18

19
Overview

• Defining XBRL - Technology Overview-What is it ?
• What problem does it solve OR the Value
  Proposition of XBRL
• How does it work?
• Global Update
• International Consortium
• Who is using XBRL
• New Zealand
• Contacts

20
The business information supply chain
External Financial Reporting
Business Operations
Internal Financial Reporting
Investment, Lending, Regulation
Economic Policymaking
Processes
XBRL
XBRL
XBRL
XBRL
Investors
Financial Publishers and Data Aggregators
Companies
Central Banks
Participants
Auditors
Trading Partners
Regulators
Management Accountants
Software Vendors
21
The Problem
Source A
Function V
Source B
Function W
Source C
Function X
Source D
Function Y
22
The Solution

• Any business reporting information
• Any software application

XBRL
Source A
Function V
Source B
Function W
Source C
Function X
Source D
Function Y
Source E
Function Z
23
Borrower Financials
Annual and Quarterly Financials
Portfolio Financials
Divisional Financials
Management Reports
Call Reports
External Financial Reporting
Companies Financial Reporting
Internal Financial Reporting
Markets and Regulators
Credit Assessment
Counterparty Financials
Tax Filings
Subsidiary Financials
Joint Venture Financials
Partnership Financials
24
Annual and Quarterly Financials
Call Reports
Borrower Financials
Subsidiary Financials
Divisional Financials
Management Reports
Counterparty Financials
Partnership Financials
Portfolio Financials
Tax Filings
Joint Venture Financials
External Financial Reporting
Companies Financial Reporting
Internal Financial Reporting
Markets and Regulators
Credit Assessment
25
Overview

• Defining XBRL - Technology Overview-What is it ?
• What problem does it solve OR the Value
  Proposition of XBRL
• How does it work?
• Global Update
• International Consortium
• Who is using XBRL
• New Zealand
• Contacts

26
As a preparer of financial information how do I
make this work?

• Map COA to a Taxonomy (once only exercise) Needs
  some accounting knowledge
• Create financial statements XBRL Instance
  document.
• Build stylesheets to provide my reports

27
Map my Chart of Accounts to a Taxonomy

• You need a New Zealand Taxonomy Released today.
• You need a taxonomy builder (tools are available)
• You need a mapping tool (some on market)
• You need a system that holds your data - Current
  system enabled to use XML

28
Create XBRL Financial Statements

• You need an Instance document creator - some on
  the market will ultimately become a part of
  software packages
• Microsoft is developing a tool to work with excel
  and create instance documents
• You need a style sheet developed ( can use
  current tools)

29
Overview

• Defining XBRL - Technology Overview - What is it
  ?
• What problem does it solve OR the Value
  Proposition of XBRL
• How does it work?
• Global Update
• International Consortium
• Who is using XBRL
• New Zealand
• Contacts

30
XBRL InternationalA non-profit consortium

• Manage the royalty-free intellectual property
• Facilitate knowledge sharing among members
• Organise conferences

IASB
Sweden
United Kingdom
Ireland
Japan
Canada
Spain
Denmark
Taiwan
Sweden
Netherlands
Germany
China
Hong Kong
United States
Argentina
Austria
Singapore
Italy
Russia
Mexico
Australia
New Zealand
South Korea
Finland
Belguim
31
Known Installations
32
Size of XBRL International
33
(No Transcript)
34

Live Applications

• APRA (2001)
• EDGAR Online (2001)
• DATEV/Bundesbank (3Q 2002)
• Wacoal (4Q 2002) Internal Reporting
• OneSource (1Q 2003)
• Tokyo Stock Exchange (1Q 2003)
• Sumitomo Mitsui Banking Corp. (1Q 2003)
• Danish Commerce Companies Agency (1Q 2004)
• Dutch Water Authority (3Q 2003) Internal
  Reporting
• UK Inland Revenue (4Q 2003)
• KOSDAQ Korea (4Q 2003)
• National Tax Agency of Japan (1Q 2004)
• US FDIC (3Q 2004)
• Morgan Stanley, Reuters, Microsoft
• NASDAQ-MSFT-PricewaterhouseCoopers Pilot

35

Representative XBRL-enabled Products

• Shipping
• SAP mySAP financials
• Microsoft Business Solutions Navision
• Oracle FSG
• Creative Solutions (et al.)
• Announced
• Microsoft Office Solution Accelerator for XBRL
• Hyperion Financials
• PeopleSoft Enterprise Financial Management
• CaseWare Financials
• Hitachi GEMPlanet

36

• SO WHEN SHOULD I ADOPT OR USE XBRL?

37
Readiness for XBRL
Committed to Current Processes or Technology
Examining Business Requirements
Committed to Improving End-to-end Reporting
Process
Aware but not yet using Internet and XML
Technology
Low
High
38
Overview

• Defining XBRL - Technology Overview - What is it
  ?
• What problem does it solve OR the Value
  Proposition of XBRL
• How does it work?
• Global Update
• International Consortium
• New Zealand
• Contacts

39
Why do we need National Jurisdictions?

• Functions best done locally
• Operate in their native language (e.g. Yahoo
  Group)
• Responsible for own taxonomies
• Lobby their government agencies for adoption
• Functions best leveraging the whole international
  organization
• Cross-company, cross-border knowledge sharing
• Common intellectual property protection
• Conference co-ordination
• Relationships with multinational member companies

40
NZ has become a Full Jurisdiction member August
2002

• Provisional Jurisdiction
• Protection of XBRL trademarks, domain names
• Facilitator staff
• XBRL e-mail and archives
• Participation in XBRL International working
  groups
• Eligible to host International Conference
• Eligible to submit Approved Taxonomy to ISC

• Full Jurisdiction
• Voting Representation on Steering Committee
• Member company
• Voting participation on Supply Chain Communities
• Voting participation on Working Groups
• Resident company staff
• Discounted attendance at hosted conferences
• All member company staff
• XBRL e-mail and archives

41
XBRL-NZ Members

• Institute of Chartered Accountants of NZ
• Inland Revenue NZ Stock Exchange
• Statistics New Zealand KMPG
• Deloitte. Ernst Young
• PriceWaterhouseCoopers Reserve Bank
• Audit New Zealand Companies Office
• University of Auckland APS Solutions
• Redspider Fifth Web
• UNITEC Inline to Online

42
Why join as a member?Benefits of Corporate
Membership

• Early Access to Information
• Technical
• Marketing
• Influence on XBRL Evolution
• Technology directions
• (Often incorporating jurisdiction specific
  issues)
• Industry focus
• (Also varies in importance by jurisdiction)
• Community and knowledge sharing
• What you get out depends on what you put in
• Whats not written down is sometimes of most value

43
Benefits to New ZealandE-Filing Costs The
filers perspective

• Multiple, specialised reporting schemes
• All companies bear costs of all reporting
  channels
• No incremental benefit from one initiative to the
  next

• Common reporting scheme based on XBRL
• Companies initial costs the same, subsequently
  reduced
• All other agencies e-filing benefits from common
  base

Companies Office
NZX SEC
Reserve Bank NZ
Inland Revenue
Company
44
Who is leading this?

• The members
• Co-Chairs of XBRL-NZ are Grant Boyd and Graeme
  Sinclair
• Currently a strategy group of 6 people
• Steering group of about 30 people

45
What work is happening in New Zealand?

• Regular phone calls
• Email group established and use to pass
  information
• Two key people developing taxonomy - Alan
  Teixeira and Josef Macdonald
• NZ draft taxonomy was completed last year -
  helped with learning formal release May 2004
• Members on the IAS taxonomy development team
• NZX new announcements system built to utilise
  XBRL when taxonomy is ready - Completion May
  2004
• Current discussions with IRD and Statistics -
  pilot?

46
What is Project First Step?

• You will hear about that later today!
• And other developments in New Zealand including
• Companies office and MYOB tomorrow session.

47
Contacts

• Grant Boyd
• Institute of Chartered Accountants of New Zealand
• email grant_b_at_icanz.co.nz
• Phone [phone]
• Graeme Sinclair
• KPMG - Wellington

48
Information and resources

• Web sites
• www.xbrl.org
• www.xbrl.org.nz

49
XBRL OverviewQuestions?

• Grant Boyd
• Institute of Chartered Accountants of New Zealand