SUMMARY OF BOARD DECISIONS

Summary of Board decisions are provided for the information and convenience of constituents who want to follow the Board´s deliberations. All of the conclusions reported are tentative and may be changed at future Board meetings. Decisions are included in an Exposure Draft for formal comment only after a formal written ballot. Decisions in an Exposure Draft may be (and often are) changed in redeliberations based on information provided to the Board in comment letters, at public roundtable discussions, and through other communication channels. Decisions become final only after a formal written ballot to issue an Accounting Standards Update.

September 19, 2012 FASB Board Meeting

Accounting for financial instruments: impairment. The Board discussed the scope of assets that should apply the Current Expected Credit Loss (CECL) model. The Board tentatively decided that the CECL model should apply to receivables that result from revenue transactions within the scope of Topic 605 (and revenue transactions within the scope of the ongoing Revenue Recognition project), lease receivables recognized by a lessor in accordance with Topic 840 (and lease receivables recognized as a result of the ongoing Leases project), and loan commitments that are not measured at fair value with qualifying changes in fair value recognized in net income (FV-NI). Subject to future discussions in the Insurance project on whether certain guarantees should follow an insurance accounting model, the Board tentatively decided that the CECL model also should apply to financial guarantees that are not remeasured at FV-NI and are not accounted for as insurance.