November 17, 2004
James V. Lorentsen, CPA
As many of you know, the Financial Accounting Standards Board delayed the implementation of EITF 03-01 for a second time. The EITF rule could require institutions to recognize an other-thantemporary impairment charge through earnings on debt securities that suffered market value declines solely due to changes in interest rates. The delay was influenced by an overwhelming response to the FASB’s request for comments on their proposed position. Over 235 comment letters are available on their web site (FASB.ORG); several of which were sent by Shape Management® practitioners.