FASB TO ISSUE FINAL STANDARD ON FINANCIAL INSTRUMENTS—RECOGNITION AND MEASUREMENT IN EARLY JANUARY 2016


Norwalk, CT, December 21, 2015—The Financial Accounting Standards Board (FASB) today announced that it plans to issue its final standard on the recognition and measurement of financial instruments during the first week of January 2016.

The final Accounting Standards Update (ASU) will take effect for public companies for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. For private companies, the standard becomes effective for fiscal years beginning after December 15, 2018, and for interim periods within fiscal years beginning after December 15, 2019.

Companies will be allowed to adopt the guidance on presentation of liability’s credit risk upon issuance of the ASU in financial statements of annual or interim reporting periods that have not yet been issued or, for private companies, have not yet been made available for issuance.

More information about the FASB’s financial instruments projects and upcoming standards is available at www.fasb.org.


About the Financial Accounting Standards Board

Established in 1973, the FASB is the independent, private-sector, not-for-profit organization based in Norwalk, Connecticut, that establishes financial accounting and reporting standards for public and private companies and not-for-profit organizations that follow Generally Accepted Accounting Principles (GAAP). The FASB is recognized by the Securities and Exchange Commission as the designated accounting standard setter for public companies. FASB standards are recognized as authoritative by many other organizations, including state Boards of Accountancy and the American Institute of CPAs (AICPA). The FASB develops and issues financial accounting standards through a transparent and inclusive process intended to promote financial reporting that provides useful information to investors and others who use financial reports. The Financial Accounting Foundation (FAF) supports and oversees the FASB. For more information, visit www.fasb.org.