In a press release, S&P said that a U.S. company, for index purposes, should have the following characteristics:
- Incorporated in the U.S.
- Financial reporting should be U.S. GAAP, in U.S. dollars, and the company should not be considered a foreign entity by the SEC
- A corporate governance structure consistent with U.S. practice
- Headquartered in the U.S.
- The U.S. portion of revenues, operations, fixed assets and employees should be a significant portion of the total, but need not exceed 50%
- The common stock should be listed on NYSE, Amex, NASDAQ or NYSE Arca (ADRs are not acceptable)
- The company should generally be considered a U.S. company by analysts and investors
Nonetheless, S&P said that if one of these criteria is not met and there is no other major market in which a company would logically be assigned, S&P may deem it a U.S. company for index purposes.