Joint Trades Letter to the SEC on Reforming Regulation S-K's Cybersecurity Disclosures

Dear Ms. Countryman,

The American Bankers Association, Bank Policy Institute, Securities Industry and Financial Markets Association, Independent Community Bankers of America, and Institute of International Bankers appreciate the opportunity to provide comments in response to Chair Atkins's request for public input on reforming Regulation S-K. Our members are subject to extensive cybersecurity oversight and incident-reporting regimes administered by prudential regulators and federal agencies, in addition to the public disclosure requirements of the Commission's Cybersecurity Risk Management, Strategy, Governance, and Incident Disclosure rule. This letter focuses on Item 106 of Regulation S-K and the related cybersecurity incident disclosure mandate on Form 8-K, Item 1.05.

We welcome the Commission’s comprehensive review of Regulation S-K and its effort to restore a materiality-centered, principles-based disclosure framework whereby companies assess disclosure obligations based on longstanding materiality standards. As noted in the recently released Cyber Strategy for America, cyber regulations should be streamlined to "reduce compliance burdens, address liability, and better align regulators and industry globally." As part of the Commission's review, we urge the Commission to rescind Item 106.

Download the joint comment letter to read the full text.