Voluntary Disclosure of Segment Information by Australian Diversified Companies

Abstract: This paper reports an examination of economic incentives motivating listed diversified companies in Australia to voluntarily disclose segment information. The study is based on a sample of 65 listed diversified companies. Support is found for ownership diffusion, the level of minority interest in subsidiaries, firm size and industry membership as factors influencing the voluntary disclosure of segment information. No support is found for leverage or diversification into related versus unrelated industries.