IASB published the new IFRS 16 which succeeds IAS 17 on 1st January 2019. The standard requires the recognition of the operating leases in the firms’ balance sheet, aiming to increase the comparability and transparency of the financial statements. Therefore, the created impacts at organizational and accounting level were investigated as well as repercussions on the stakeholders’ perception.
The purpose of this study is to present, based on TAP’s Financial Statement Reformulation, the main requirements to be in compliance with the standard and the effects on financial ratios, and to corroborate the material effects on the airline industry
