Environmental Liability Disclosures

ASTM International’s committee on environmental assessment, risk management and corrective action (E50) has revised its important guide for disclosure of environmental liabilities (E2173). Originally approved in 2001, the guide provides options consistent with good commercial and customary practice for environmental liability disclosures that accompany financial statements. 

According to ASTM member John Rosengard, president, Environmental Risk Communications, Inc., the revised standard provides a clearer and more quantitative evaluation of environmental liabilities in place of more generic narratives in financial reports. “Owners and creditors will be able to understand if liabilities are material and accumulating at an unsustainable rate,” says Rosengard.

ASTM’s disclosure guide is used by:
•    companies and public agencies to understand the magnitude of environmental liabilities and the effectiveness of efforts to reduce them;
•    financial auditors to evaluate environmental liabilities within the context of an entire enterprise; and,
•    owners, creditors, and outside investors to put liabilities in context and improve capital stewardship (preventing future problems, doing more with less, etc.). 

To purchase standards, visit www.astm.org and search by the standard designation, or contact ASTM Customer Relations (tel +1.877.909.ASTM; sales@astm.org). ASTM welcomes participation in the development of its standards. Become a member at www.astm.org/JOIN.

ASTM Committee E50 on Environmental Assessment, Risk Management and Corrective Action Next Meeting: April 4-6, 2017, April Committee Week, Toronto, Canada
Technical Contact: John Rosengard, ERCI, Oakland, Calif., tel +1.510.548.5570 
ASTM Staff Contact: Kathleen Chalfin, tel +1.610.832.9717  

Industry Sectors: 
Issue Month: 
Issue Year: