NEWS RELEASE 02/15/02

FASB Publishes Revised Exposure Draft on the Rescission of Statements No. 4, 44 and 64 and Technical Corrections

Norwalk, CT, February 15, 2002—The Financial Accounting Standards Board (FASB) has issued an Exposure Draft to include an amendment of Statement 13, Accounting for Leases, in the Rescission of Statements No. 4, 44 and 64 and Technical Corrections.

 

This proposed Statement would amend paragraph 14(a) of Statement 13 to eliminate an inconsistency between the required accounting for sale-leaseback transactions and the required accounting for certain lease modifications that have economic effects that are similar to sale-leaseback transactions.

The amendment was suggested by several respondents to the Board’s Exposure Draft, Rescission of FASB Statements No. 4, 44, and 64 and Technical Corrections. The Board decided to expand the scope of the technical corrections project to include the proposed amendment and issue a revised Exposure Draft because the proposed amendment is substantive in nature and must be subjected to due process.

Comments on the Exposure Draft must be received in writing by the FASB by March 18, 2002. The Exposure Draft can be accessed from the FASB website, www.fasb.org.


About the Financial Accounting Standards Board (FASB)

Since 1973, the Financial Accounting Standards Board has been the designated organization in the private sector for establishing standards of financial accounting and reporting. Those standards govern the preparation of financial reports and are officially recognized as authoritative by the Securities and Exchange Commission and the American Institute of Certified Public Accountants. Such standards are essential to the efficient functioning of the economy because investors, creditors, auditors and others rely heavily on credible, transparent and comparable financial information. For more information about the FASB, visit our website at www.fasb.org.

The Financial Accounting Standards Board (FASB)...

Serving the investing public through transparent information resulting from high-quality financial reporting standards, developed in an independent, private sector, open due process.