Voya 2014 Annual Report Download - page 283

Voya Financial, Inc.
Notes to the Consolidated Financial Statements
(Dollar amounts in millions, unless otherwise stated)
Going Concern
In August 2014, the FASB issued ASU 2014-15, “Presentation of Financial Statements-Going Concern (ASC
Subtopic 205-40): Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern” (“ASU
2014-15”), which requires management to evaluate whether there are conditions or events, considered in the
aggregate, that raise substantial doubt about the entity’s ability to continue as a going concern within one year
after the date that the financial statements are issued. The provisions of ASU 2014-15 will not affect a company’s
financial condition, results of operation, or cash flows, but require disclosure if management determines there is
substantial doubt, including management’s plans to alleviate or mitigate the conditions or events that raise
substantial doubt.
The provisions of ASU 2014-15 are effective for annual periods ending after December 15, 2016, and annual and
interim periods thereafter. The Company does not expect ASU 2014-15 to have an impact.
Collateralized Financing Entities
In August 2014, the FASB issues ASU 2014-13, “Consolidation (ASC Topic 810): Measuring the Financial
Assets and the Financial Liabilities of a Consolidated Collateralized Financing Entity” (“ASU 2014-13”), which
allows an entity to elect to measure the financial assets and financial liabilities of a consolidated collateralized
financing entity using either:
• ASC Topic 820, whereby both the financial assets and liabilities are measured using the requirements
of ASC Topic 820, with any difference reflected in earnings and attributed to the reporting entity in the
statement of operations.
• The measurement alternative, whereby both the financial assets and liabilities are measured using the
more observable of the fair value of the financial assets and the fair value of the financial liabilities.
The provisions of ASU 2014-13 are effective for annual periods, and interim periods within those annual periods,
beginning after December 15, 2015, with early adoption permitted. The Company is currently in the process of
determining the impact of the adoptions of the provisions of ASU 2014-13.
Share-based Payments
In June 2014, the FASB issued ASU 2014-12, “Compensation-Stock Compensation (ASC Topic 718):
Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could
Be Achieved after the Requisite Service Period” (“ASU 2014-12”), which requires that a performance target that
affects vesting and that could be achieved after the requisite service period be treated as a performance condition
and should not be reflected in estimating the grant-date fair value of the award. Compensation cost should be
recognized in the period in which it becomes probable that the performance target will be achieved.
The provisions of ASU 2014-12 are effective for annual periods, and interim periods within those annual periods,
beginning after December 15, 2015. The amendments can be applied prospectively or retrospectively. The
Company does not expect ASU 2014-12 to have an impact on its financial condition or results of operations, as
the guidance is consistent with that previously applied.
Repurchase Agreements
In June 2014, the FASB issued ASU 2014-11, “Transfers and Servicing (ASC Topic 860): Repurchase-to-
Maturity Transactions, Repurchase Financings, and Disclosures” (“ASU 2014-11”), which (1) changes the
accounting for repurchase-to-maturity transactions to secured borrowing accounting, and (2) requires separate
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