Fujitsu Prepares Enterprises for the SEC's XBRL Financial Reporting Mandate

Market Wire, August, 2008

Fujitsu Computer Systems Corporation today discussed details of how the company's Interstage(R) XWand(R) solution can help organizations prepare for the expected SEC mandate that calls for the adoption of eXtensible Business Reporting Language (XBRL) tagging and reporting mechanisms for financial reporting. The company also announced that it is co-hosting a webinar with Compliance Week that will feature early adopters sharing their experiences using XBRL and discussing the benefits of combining it with process automation for better control over financial management processes. The webinar is scheduled for August 21, 2008, at 11 a.m. PDT/ 2 p.m. EDT.

In May of this year, the SEC proposed that companies using U.S.-based generally accepted accounting principles (GAAP) with a market capitalization of more than $5 billion be required to use XBRL for financial disclosure beginning in 2009, with all public companies following suit by 2011. A final decision on the adoption is expected in August.

This much anticipated announcement follows a series of decisions made by regulatory bodies and financial services organizations across the globe to standardize the way in which financial data is distributed. Momentum around XBRL has gathered steam over the last few years with the Federal Reserve and Federal Deposit Insurance Corporate (FDIC) mandating its use for bank call reports of 8,200 US Banks with more than a trillion dollar in assets; the Shanghai Stock Exchange adopting XBRL for Chinese public companies; the banking communities in Spain, Belgium, and Japan adopting XBRL; the adoption of XBRL by the Committee of European Banking Supervisors using the Common Reporting Framework (COREP); and the Netherlands discussing the world's first full-circle implementation of XBRL for regulatory reporting for its federal and local government.

Automated XBRL Reporting Aids Sustained Compliance & Financial Process Governance Improvement

The Fujitsu offerings that combine the power of XBRL with process automation will help companies manage the entire financial reporting lifecycle. It enables creating, extending and validating taxonomies and creating, editing and validating reports. It will also handle the processes surrounding report creation, including extracting data from multiple systems, conversion to XBRL, navigating reports through the approval chain, and automating report filing and storage.

"We have always believed in the reporting and compliance benefits of XBRL and welcome the move by the SEC, which is the next step in the global standardization on XBRL," said Ryosuke Mori, executive vice president, Software and Strategy, for Fujitsu Computer Systems. "We are fortunate to be able to leverage our global experience to advise companies on how to meet the immediate SEC requirements as well as establish better financial governance through process improvement initiatives."

Fujitsu is among the founding members of the XBRL international consortium and continues to drive the development of the XBRL specification and its adoption across the financial reporting ecosystem. Early adopters of the Fujitsu offerings include the Tokyo Stock Exchange Group, Inc., Financial Supervisory Service in Korea, Financial Services Agency in Japan , Bank of Spain , Merrill Corporation, TKC Corporation, Dynaxys, Clarity Systems, and United Technologies Corp. Fujitsu has seen a significant increase in the interest in XBRL from enterprises in the United States following the SEC's recent announcement.

Interstage XWand and the Financial Services Agency (FSA) in Japan

In March of 2008, Fujitsu, using Interstage XWand, completed the development of the Financial Services Agency's (FSA) new EDINET system, an electronic system for publicly listed corporations to file financial reports in accordance with the Financial Instruments and Exchange Law. The FSA is mandating the submission of XBRL-formatted reports to EDINET beginning with the 2008 fiscal year. The EDINET system accelerates the generation, distribution, and utilization of XBRL-formatted financial reports. For more information, visit http://www.fujitsu.com/global/news/pr/archives/month/2008/20080317-01.html

Interstage XWand and the Financial Supervisory Service (FSS) in Korea

The primary function of the FSS is the examination and supervision of all financial institutions in Korea. It also covers the oversight and enforcement functions as charged by the Financial Services Commission and the Securities and Futures Commission. The FSS wanted to leverage XBRL to quickly verify financial data and protect investors by improving the electronic disclosure system. The FSS set itself a goal of enhancing the system so that non-experts can create XBRL documents in compliance with the XBRL 2.1 standard. Following a year-long trial period, in October of 2007, South Korea mandated the submission of financial statements in XBRL in accordance with the K-GAAP taxonomy developed by XBRL Korea. Interstage XWand is being used for the creation and analysis of XBRL documents by FSS.