Investments-Debt and Equity Securities
–> FSP FAS 115-2, April 2009
–> FSP FAS 115-2, April 2009
Other-Than-Temporary Impairments
FASB Staff Position FAS 115-2, April 2009
“Recognition and Presentation of Other-Than-Temporary Impairments”
“Recognition and Presentation of Other-Than-Temporary Impairments”
SFAS 115, May 1993
“Accounting for Certain Investments in Debt and Equity Securities”
“Accounting for Certain Investments in Debt and Equity Securities”
Other-Than-Temporary Impairments of Debt Securities
–> classified as “held-to-maturity” or “available-for-sale” securities
–> Apply FSP FAS 115-1 as revised by FSP FAS 115-2 in April 2009
–> Apply FSP FAS 115-1 as revised by FSP FAS 115-2 in April 2009
Other-Than-Temporary Impairments of Equity Securities
–> classified as “available-for-sale” securities
–> Apply SAB Topic 5M as revised by SAB 111 in April 2009
–> SAB: SEC Staff Accounting Bulletin
–> classified as “available-for-sale” securities
–> Apply SAB Topic 5M as revised by SAB 111 in April 2009
–> SAB: SEC Staff Accounting Bulletin
For investments in securities classified as “held-to-maturity” or “available-for-sale”
–> If the decline in fair value below amortized cost
–> is other than temporary,
–> the investments are impaired
–> is other than temporary,
–> the investments are impaired
FSP FAS 115-2, November 2005
–> “The Meaning of Other-Than-Temporary Impairment and Its Application to Certain Investments”
–> provides guidance to determine whether the decline in fair value
–> is other than temporary
–> provides guidance to determine whether the decline in fair value
–> is other than temporary
FSP FAS 115-2 revised FSP FAS 115-1 in April 2009