FASB Calls For More Disclosure On Repurchase Deals

Law360, San Diego (January 15, 2013, 10:23 PM EST) -- The Financial Accounting Standards Board on Tuesday proposed requirements for companies to provide more financial disclosure on repurchase agreements, seeking to prevent a repeat of MF Global Inc.'s meltdown and misplacement of more than $1 billion in customer funds.

The board aims to clarify the guidance for how to distinguish these transactions as sales or as secured borrowings and improve disclosures to ensure that investors are receiving useful information about the arrangements. It is seeking comment on the proposal until March 29.

The rules are in...
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