Federal Register, Volume 74, Number 73, April 17, 2009, Pages 17765-17898 Page: 17,769
vii, 17898, iii p. ; 28 cm.View a full description of this periodical.
Extracted Text
The following text was automatically extracted from the image on this page using optical character recognition software:
Federal Register/Vol. 74, No. 73/Friday, April 17, 2009/Rules and Regulations
B-10 Aggregate Overdraft and Returned Item Fees Sample Form
Total For Total
This Period Year-to-Date
Total Overdraft Fees $60.00 $150.00
Total Returned Item Fees $0.00 $30.00By order of the Board of Governors of the
Federal Reserve System, April 14, 2009.
Jennifer J. Johnson,
Secretary of the Board.
[FR Doc. E9-8847 Filed 4-16-09; 8:45 am]
BILLING CODE 6210-01-PSECURITIES AND EXCHANGE
COMMISSION17 CFR Part 211
[Release No. SAB 111]
Staff Accounting Bulletin No. 111
AGENCY: Securities and Exchange
Commission.
ACTION: Publication of Staff Accounting
Bulletin.
SUMMARY: This staff accounting bulletin
("SAB") amends Topic 5.M. in the Staff
Accounting Bulletin Series entitled
Other Than Temporary Impairment of
Certain Investments in Debt and Equity
Securities ("Topic 5.M."). On April 9,
2009, the FASB issued FASB Staff
Position No. FAS 115-2 and FAS 124-
2, Recognition and Presentation of
Other- Than- Temporary Impairments
("FSP 115-2") to provide guidance for
assessing whether an impairment of a
debt security is other than temporary.
This SAB maintains the staff's previous
views related to equity securities. It also
amends Topic 5.M. to exclude debt
securities from its scope.
DATES: Effective April 13, 2009.
FOR FURTHER INFORMATION CONTACT:
Robert Malhotra, Senior Advisor, or
Adam Brown, Professional Accounting
Fellow, Office of the Chief Accountant,
at (202) 551-5300; or Stephanie
Hunsaker, Associate Chief Accountant,
Division of Corporation Finance, at
(202) 551-3400, Securities and
Exchange Commission, 100 F Street,
NE., Washington, DC 20549.
SUPPLEMENTARY INFORMATION: The
statements in staff accounting bulletinsare not rules or interpretations of the
Commission, nor are they published as
bearing the Commission's official
approval. They represent interpretations
and practices followed by the Division
of Corporation Finance and the Office of
the Chief Accountant in administering
the disclosure requirements of the
Federal securities laws.
Dated: April 13, 2009.
Elizabeth M. Murphy,
Secretary.
PART 211-[AMENDED]
m Accordingly, Part 211 of Title 17 of
the Code of Federal Regulations is
amended by adding Staff Accounting
Bulletin No. 111 to the table found in
Subpart B.
Staff Accounting Bulletin No. 111
This staff accounting bulletin ("SAB")
hereby amends and replaces Topic 5.M.
in the Staff Accounting Bulletin Series
entitled Other Than Temporary
Impairment of Certain Investments in
Debt and Equity Securities ("Topic
5.M."). On April 9, 2009, the FASB
issued FASB Staff Position No. FAS
115-2 and FAS 124-2, Recognition and
Presentation of Other- Than- Temporary
Impairments ("FSP 115-2") to provide
guidance for assessing whether an
impairment of a debt security is other
than temporary. Topic 5.M. (as
amended) maintains the staff's previous
views related to equity securities. It also
amends Topic 5.M. to exclude debt
securities from its scope.
Note: The text of SAB 111 will not appear
in the Code of Federal Regulations.
Topic 5: Miscellaneous Accounting
M. Other Than Temporary Impairment
of Certain Investments in Equity
Securities
Facts: FASB Staff Position No. FAS
115-2 and FAS 124-2, Recognition and
Presentation of Other- Than- Temporary
Impairments ("FSP 115-2") does not
define the phrase "other thantemporary" for available-for-sale equity
securities. For its available-for-sale
equity securities, Company A has
interpreted "other than temporary" to
mean permanent impairment. Therefore,
because Company A's management has
not been able to determine that its
investment in Company B's equity
securities is permanently impaired, no
realized loss has been recognized even
though the market price of Company B's
equity securities is currently less than
one-third of Company A's average
acquisition price.
Question: For equity securities
classified as available-for-sale, does the
staff believe that the phrase "other than
temporary" should be interpreted to
mean "permanent"?
Interpretive Response: No. The staff
believes that the FASB consciously
chose the phrase "other than
temporary" because it did not intend
that the test be "permanent
impairment," as has been used
elsewhere in accounting practice.'
The value of investments in equity
securities classified as available-for-sale
may decline for various reasons. The
market price may be affected by general
market conditions which reflect
prospects for the economy as a whole or
by specific information pertaining to an
industry or an individual company.
Such declines require further
investigation by management. Acting
upon the premise that a write-down
may be required, management should
consider all available evidence to
evaluate the realizable value of its
investment in equity securities
classified as available-for-sale.
There are numerous factors to be
considered in such an evaluation and
their relative significance will vary from
case to case. The staff believes that the
following are only a few examples of the
1FASB Staff Position No. 115-1 and 124-1, "The
Meaning of Other-Than-Temporary Impairment and
Its Application to Certain Investments" refers to
this SAB for a discussion of considerations
applicable to a determination as to whether a
decline in market value below cost of an equity
security, at a particular point in time, is other than
temporary.17769
Upcoming Pages
Here’s what’s next.
Search Inside
This issue can be searched. Note: Results may vary based on the legibility of text within the document.
Tools / Downloads
Get a copy of this page or view the extracted text.
Citing and Sharing
Basic information for referencing this web page. We also provide extended guidance on usage rights, references, copying or embedding.
Reference the current page of this Periodical.
United States. Office of the Federal Register. Federal Register, Volume 74, Number 73, April 17, 2009, Pages 17765-17898, periodical, April 17, 2009; Washington D.C.. (https://digital.library.unt.edu/ark:/67531/metadc132935/m1/12/: accessed April 24, 2024), University of North Texas Libraries, UNT Digital Library, https://digital.library.unt.edu; crediting UNT Libraries Government Documents Department.