FASB Considers QSPE Disclosures

Market Media reports: "Companies that either transfer assets off their balance sheets or have significant variable interest in qualified special purpose entities may soon face increased disclosure requirements under U.S. GAAP."

"A proposed staff position under Financial Accounting Standards Board consideration this week requires new disclosures to be provided both by sponsors with variable interest in a variable interest entity and enterprises that hold a significant variable interest in a QSPE but were not the transferor of the asset."

"FASB decided in April to amend FAS 140 and Interpretation 46(R) to remove QSPEs from accepted accounting. The comment deadline for the amendments is Nov. 14."