Letter of comment

Letter of comment

A communication to the firm from the SEC that suggests changes to its registration statement.

Letter of Comment

A letter from the SEC to a company that is in the process of registering a new issue, especially for the first time. The letter suggests changes to the company's registration statement to ensure that it is as accurate and transparent as possible. The letter of comment is not a cause for concern; that is, it is not an indication that the SEC believes that the company has done something illegal. Rather, it is a way to ensure that the new issue occurs as smoothly as possible for all involved.
References in periodicals archive ?
* A copy of the report and letter of comment from the firm's most recent peer review, and the results of the most recent PCAOB inspection, if any.
This was a pivotal moment for ADHA's advocacy efforts, and it resulted in the FTC providing a supportive letter of comment to CODA.
The Hamilton-based company, which provides work-ready labor crews for infrastructure projects across Canada, submitted a letter of comment to the NEB in support of the project because Line 9B could help get more Ontarians working in Canada's energy sector here in the province.
The IMA[R] Small Business Financial and Regulatory Affairs Committee (SBFRC) and IMA's other technical committees will continue to monitor these projects and determine whether to submit a letter of comment. The advocacy efforts of these IMA committees, including previous comment letters, can be viewed at www.imanet.org/about_ima/advocacy_activity.aspx.
In its letter of comment, The Ohio Society's A&A Committee said, "The proposed draft seeks to expand disclosures not meaningful to financial statement users with detail and estimate information for contingencies not likely to significantly impact organizations.
A "pass" report replaces the old unmodified reports--both those with and without a letter of comment. The letter of comments has been eliminated.
Council had voted at its May 2004 meeting to support the idea of granting a broader range of stakeholders greater access to certain peer review information, such as the peer review report, the acceptance letter, and any letter of comment and applicable firm response.
The American Institute of CPAs made his letter an addendum to its letter of comment, and thus it is a part of the public record.
On initial quality reviews for periods after SAS 55 became effective, a frequent letter of comment finding was the lack of documentation of the firm's understanding of the internal control structure when control risk was assessed at maximum, but the reviewer was satisfied a sufficient understanding had been obtained to properly plan the audit.
A post-audit conference will be held with the Director of Financial Operations to review the financial statements, internal control reports, compliance reports and a draft of the letter of comments and recommendations.etc.
The three levels of grading are pass, pass with letter of comments and fail.
* Hearing panels deemed these firms failed to submit the report, letter of comments and letter of response: Bliss & Honey of Jamestown, N.Y.; Perry, Hay & Chu, LLP of Woodland Hills, Calif.