Congressional Research Service Reports - 7 Matching Results

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The Exon-Florio National Security Test for Foreign Investment

Description: The proposed acquisition of major operations in six major U.S. ports by Dubai Ports World and of Unocal by the China National Offshore Oil Corporation sparked intense concerns among some Members of Congress and the public and has reignited the debate over what role foreign acquisitions play in U.S. national security. The United States actively promotes internationally the national treatment of foreign firms. Several Members of Congress have introduced various measures during the 2nd Session of the 109th Congress that can be grouped into four major areas: those that deal specifically with the proposed Dubai Ports World acquisition; those that focus more generally on foreign ownership of U.S. ports; those that would amend the CFIUS process; and those that would amend the Exon-Florio process.
Date: July 15, 2005
Creator: Jackson, James K.
Partner: UNT Libraries Government Documents Department

China and the CNOOC Bid for Unocal: Issues for Congress

Description: The bid by the China National Offshore Oil Corporation (CNOOC) to acquire the U.S. energy company Unocal for $18.5 billion raised many issues with U.S. policymakers. This report provides an overview and analysis of the CNOOC bid, U.S. interests, implications for U.S. energy security, U.S. investment in the PRC’s (People’s Republic of China’s) oil industry, the process for reviewing the security and other implications of foreign investment in the United States, Congressional activity, and a listing of unresolved issues.
Date: September 15, 2005
Creator: Nanto, Dick K.; Jackson, James K.; Morrison, Wayne M. & Kumins, Lawrence C.
Partner: UNT Libraries Government Documents Department

Accounting Problems at Fannie Mae

Description: On September 22, 2004, the Office of Federal Housing Enterprise Supervision (OFHEO) made public a report that was highly critical of accounting methods at Fannie Mae, the government-sponsored enterprise that plays a leading role in the secondary mortgage market. OFHEO charged Fannie Mae with not following generally accepted accounting practices in two critical areas: (1) amortization of discounts, premiums, and fees involved in the purchase of home mortgages and (2) accounting for financial derivatives contracts. According to OFHEO, these deviations from standard accounting rules allowed Fannie Mae to reduce volatility in reported earnings, present investors with an artificial picture of steadily growing profits, and, in at least one case, to meet financial performance targets that triggered the payment of bonuses to company executives. On November 15, 2004, Fannie Mae reported that it was unable to file a third-quarter earnings statement because its auditor, KPMG, refused to sign off on the accounting results. On December 15, 2004, the Securities and Exchange Commission (SEC), after finding inadequacies in Fannie’s accounting policies and methodologies, directed Fannie Mae to restate its accounting results since 2001. Shortly thereafter, the company’s CEO and CFO resigned. It is estimated that earnings since 2001 will be revised downwards by as much as $12 billion, but the formal restatement of earnings is not expected before late 2006.
Date: November 15, 2005
Creator: Jickling, Mark
Partner: UNT Libraries Government Documents Department

Stock Options: The Accounting Issue and Its Consequences

Description: The Financial Accounting Standards Board (FASB) has issued a long-anticipated rule that stock options must be recognized as an expense on corporation income statements. The previous accounting rule permitted but did not require recognition; corporations that elected to omit the cost of options, as most did, have been able to report higher earnings. This report examines the debate surrounding the issue and discusses the potential consequences.
Date: November 15, 2005
Creator: Lyke, Bob & Shorter, Gary
Partner: UNT Libraries Government Documents Department