NEWS RELEASE 07/23/01

FASB Issues Technical Bulletin on Statement 140

Norwalk, CT, July 23, 2001—Today the Financial Accounting Standards Board (FASB) published FASB Technical Bulletin No. 01-1, Effective Date for Certain Financial Institutions of Certain Provisions of Statement 140 Related to the Isolation of Transferred Financial Assets. The publication may be obtained by placing an order on-line or by contacting the FASB's Order Department at 800-748-0659.

The Technical Bulletin defers, until 2002, application of the isolation standards of Statement 140, as clarified in staff guidance published in April of this year, to banks and certain other financial institutions. Those institutions also will be allowed up to five years of additional transition time for transfers of assets to certain securitization master trusts. That additional transition time applies only if all beneficial interests issued to investors after July 23, 2001, permit the changes in structure necessary to comply with those isolation standards.


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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. Additional information about the FASB is available at this website.

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