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.
March 22, 2011 FASB Board Meeting
and servicing—repurchase agreements. The Board discussed
comments received from respondents to the November 2010 Exposure Draft,
Transfers and Servicing (Topic 860): Reconsideration of Effective Control
for Repurchase Agreements. The Board made the following
The Board directed
the staff to draft a final Accounting Standards Update for vote by written
- Affirmed the project scope—that its focus would be limited to reexamining
the certain guidance for determining whether a transferor has maintained
effective control over a transferred asset.
- Affirmed its previous decision to eliminate the existing criterion that
requires a transferor to be able to repurchase or redeem a transferred asset
on substantially the agreed terms, and related implementation
- Considered additional disclosures suggested by certain respondents, but
decided not to change existing disclosure requirements in this limited scope
- Affirmed that all entities would apply the revised guidance prospectively
to transactions or modifications of existing transactions that occur on or
after the first interim or annual period beginning December 15, 2011. Early
adoption will not be permitted.
- Decided to clarify that a reporting entity should apply the transition
guidance on a transactional basis as opposed to a broader set of multiple
transactions, such as a master netting arrangement.