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Article Title:
The Influence of Board Characteristics and Ownership Structure on the Extent of Internet Financial Disclosure in Saudi Arabia
by Rahayu Abdull Razak and Khadija Majdi Zarei

Abstract:
This study investigates whether board characteristics and ownership structure affect the extent of internet financial disclosure in Saudi Arabia listed companies (SLC). A total of 90 companies were selected as a sample from 168 companies listed on the Tadawul website in Saudi Arabia for the year 2013. This study aim to shows that board characteristics (board independence, board size, role duality and board activity) and ownership structure (concentration of ownership, private ownership, foreign ownership and government ownership) affect the extent of financial disclosure on the company websites. The result for this study indicated that concentration of ownership is significant in explaining the extent of internet financial disclosure on Saudi companies? websites. This paper extends the stream of research that confirms the widespread use of internet in disclosing financial information. The paper provides insights into internet financial reporting in Saudi Arabia that will benefit all stakeholders with an interest in corporate reporting in this region. The findings highlight the need for improvement by Saudi Companies in many areas, especially in regard to the regular updates of information provided on their websites. This paper also provides a better understanding of the choice of the internet to release information in Saudi Arabia, where internet reporting is not standardized.

Keywords: disclosure, internet financial reporting, board characteristics, ownership structure

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