SEC reporting for corporate jets just got a lot easier.
Columbus, Ohio (PRWEB) May 21, 2013
AircraftLogs has automated the incremental cost disclosures for corporate jets, eliminating a large amount of manual financial analysis. Publicly-traded companies must include these SEC disclosures in their annual proxy statements. Prior to the AircraftLogs release, these calculations were prepared manually by corporate accounting staff.
In its annual proxy statement, an SEC registrant must disclose the incremental cost of any non-business flights provided to each of its top executives (the Named Executive Officers or "NEOs"). These calculations are deceptively difficult, requiring extensive analysis of trip data – largely because of the "what if" calculations required to estimate the incremental flight hours on trips with both business and non-business destinations.
Proxy disclosures have been a recurring subject of media and SEC scrutiny, escalating their visibility within a company. SEC registrants must provide specific disclosures when the incremental cost for any NEO exceeds $25,000. It is common to exceed the threshold. For most large corporate jets, a single round trip between Los Angeles and New York will reach the $25,000 threshold. A typical corporate jet may fly 200 - 300 flights per year, so the disclosure threshold is frequently surpassed.
“Without a methodology, the incremental cost calculations become lengthy and subjective. They require too many ‘what if’ calculations, inviting further debate and speculation,” said Doug Stewart, president of AircraftLogs. "We looked at the problem differently. AircraftLogs applies the same methodology to each trip, generating objective results - instantly. It's also much easier to explain. You can see how the calculation was performed – and the standardization helps eliminate debate."
The AircraftLogs software now automates these incremental “what if” calculations, providing an objective, rules-based estimate of the incremental flight hours associated with non-business destinations, as well as reducing the amount of discussion and review required of corporate reporting staff.
For more information, visit the AircraftLogs website to request a Software Overview or web demo.
About AircraftLogs: AircraftLogs provides web-based aircraft scheduling software and aviation data management systems for corporate and private business aircraft. Based at Port Columbus International Airport, its software is available on a SaaS basis (Software-as-a-Service). Additional details are available by calling 888-359-5647 or by visiting http://www.AircraftLogs.com. AircraftLogs is also the Platinum sponsor of the NBAA annual tax classes, taught by national experts in aviation tax, law, and regulatory issues and which provides CPE and CLE credits.