Yesterday (April 9), the Financial Accounting Standards Board announced the release of three final FASB Staff Positions (FSPs) on fair value in inactive markets, other-than-temporary impairment, and fair value disclosures in interim periods. The press release and related FSPs are linked below:
FSP FAS: 157-4, Determining Fair Value When the Volume and Level of Activity for the Asset or Liability Have Significantly Decreased and Identifying Transactions That Are Not Orderly (the ‘fair value FSP’)
FSP FAS 115-2 and FAS 124-2, Recognition and Presentation of Other-Than-Temporary Impairments (the ‘OTTI FSP’)
FSP FAS 107-1 and APB 28-1, Interim Disclosures about Fair Value of Financial Instruments (the ‘interim disclosures FSP’)
Next Up: Effective Date of Upcoming Amendments to Securitization Standards (FAS 140, FIN 46R)
As noted in FASB’s most recent Action Alert, topics to be addressed at next week’s FASB board meeting include the effective date and transition for the upcoming amendments to the securitization standards, FAS 140, Transfers of Assets, and FIN 46R, Consolidation of Variable Interest Entities.
According to FASB’s Technical Plan, the board is scheduled to issue the final amendments to these standards by the end of June.
FIN 48, Uncertain Income Taxes, for Private Entities
Also at next week’s board meeting, FASB is slated to discuss guidance on the application of FASB Interpretation No. 48, (FIN 48), Accounting for Uncertainty in Income Taxes, to pass-through and not-for-profit entities, as well as proposed amendments to the FIN 48 disclosures for nonpublic entities. The effective date of FIN 48 for private companies had been deferred, most recently through FSP FIN 48-3 issued on Dec. 30, 2008, for another year, while FASB works on this additional guidance. The deferral of the effective date did not apply to public companies, but only to certain private companies, and required certain disclosures to be made by those companies electing to take the deferral, as explained here.
SEC Votes To Release Short Sales Proposals
In other news, the SEC voted on April 7 to release for public comment various proposals on restricting short sales. There will be a 60 day comment period, further details are here.