Correspondence: Joseph Rosalie, Deloitte Consulting LLP, New York, NY, USA. Tel: +1 212 618 4734; Email: jrosalie@deloitte.com

¹is National Leader of Global Employer Rewards Practice at Deloitte and has over 25 years of diversified experience. His areas of expertise include retirement plan design, implementation, valuation and termination, long-term deferred compensation plans, post-retirement medical plan valuation, design and funding, merger and acquisition consulting, executive retirement and other deferred compensation arrangements.

²leads the Global Employer Rewards service offering for the North Central Region for Deloitte Tax. He and his team focus on the efficient design and delivery of employee benefit and compensation programmes customised to the human resource, tax, cash flow and financial needs of the employer. His nearly 20 years of experience includes consultation in the design and operation of executive compensation arrangements, stock option and equity-based compensation programmes, qualified retirement plans, welfare and fringe benefit plans.

³is a principal in the Valuation Services practice of Deloitte Financial Advisory Services LLP ('Deloitte FAS') and leads the Deloitte FAS National Valuation Group's SFAS 123 option valuation practice. He is also the Deloitte FAS representative for the Global Employer Rewards Integrated Service Offering ('GER ISO'). In this role, he serves as the national Deloitte FAS leader for projects related to the GER ISO, primarily focusing on SFAS 123R activities.

Received 20 July 2006; Revised 20 July 2006.

Abstract

This paper provides a comprehensive perspective of the overlapping requirements of FAS 123R, the American Jobs Creation Act (AJCA) and Sarbanes-Oxley. It details the Deloitte approach to compliance and how this process can generate programme and process improvements that can lead to a competitive advantage.