Search
 

New Rules Could Potentially Refund Corporate Capital Accounts

News that the International Accounting Standards Board and Federal Accounting Standards Board might reconsider some mark-to-market accounting rules is good news for corporate credit unions.

By Heather Anderson | Updated on December 10, 2009

News that the International Accounting Standards Board and Federal Accounting Standards Board might reconsider some mark-to-market accounting rules is good news for corporate credit unions that are scrambling to avoid permanent capital write-downs based on what could be only temporary market dislocations.

Association of Corporate Credit Unions Executive Director Brad Miller called the move “huge”, saying under the proposed rules, it’s his understanding corporates could return any future gains on impaired investments back to capital accounts. Currently, if impaired investments perform better than estimated, those gains would be applied to earnings, and couldn’t be used to fund member contributed capital accounts.

Complete your profile to continue reading and get FREE access to CUTimes.com, part of your ALM digital membership.

Your access to unlimited CUTimes.com content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Critical CUTimes.com information including comprehensive product and service provider listings via the Marketplace Directory, CU Careers, resources from industry leaders, webcasts, and breaking news, analysis and more with our informative Newsletters.
  • Exclusive discounts on ALM and CU Times events.
  • Access to other award-winning ALM websites including Law.com and GlobeSt.com.

Already have an account?

 

Recommended Stories

Credit Union Times

Join Credit Union Times

Don’t miss crucial strategic and tactical information necessary to run your institution and better serve your members. Join Credit Union Times now!

  • Free unlimited access to Credit Union Times' trusted and independent team of experts for extensive industry news, conference coverage, people features, statistical analysis, and regulation and technology updates.
  • Exclusive discounts on ALM and Credit Union Times events.
  • Access to other award-winning ALM websites including TreasuryandRisk.com and Law.com.

Already have an account? Sign In Now
Join Credit Union Times

Copyright © 2023 ALM Global, LLC. All Rights Reserved.