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SEC Renews Focus on Climate Change: Public Companies Should Be Prepared to Enhance Disclosure of Climate Change Risks & Uncertainties | Weil, Gotshal & Manges LLP

To embed, copy and paste the code into your website or blog: Since issuing disclosure guidance in 2010 (“Commission Guidance Regarding Disclosure Related to Climate Change,”) the SEC has been expecting public companies to address climate change in their SEC filings, but the resulting disclosures have been disappointing to certain constituencies, including institutional investors, certain members of Congress,1 and the Democratic appointees to the Commission. In an unsurprising move, Acting Chair Allison Lee2announced Wednesday that she was directing the Division of Corporation Finance to enhance its focus on climate-related disclosure in public company filings.3 As a result, public companies, at a minimum, should expect their climate change disclosures, or lack thereof, to be scrutinized in 2021 as part of this targeted review in the form of comment letters from the Division’s Staff. It remains to be seen whether the ultimate product of this review will extend beyond Acting Cha

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