In August 2010, the FASB and the IASB published for public comment proposals that would change accounting and financial reporting for lease contracts. Among other requirements, lessees and lessors would need to estimate the lease term and contingent payments at the beginning of the lease and subsequently reassess these estimates throughout the lease term. These changes would entail more effort than under existing standards and have significant business implications. In this podcast, Protiviti Managing Director Charles Soranno discusses these important proposed changes in lease accounting and financial reporting.