Cheers, jeers greet easing of banks' accounting rules

Associated Press by Marcy Gordon | Apr. 3, 2009 (News Report)

The board that sets U.S. accounting standards on Thursday gave companies more leeway in valuing assets and reporting losses. The changes should help boost battered banks' balance sheets and financial stocks rallied on Wall Street, but the rules may undercut a new financial-rescue program. Full Story »

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by Naomi Isler - Apr. 3, 2009

It's a good presentation of a couple of the issues involved in the new standards. One issue that it leaves out - maybe because it's an unknown - is how many banks would appear to be bankrupt themselves if they had to put current nonexistent market value on their toxic assets. And I assume, that would mean FDIC would have to close them and pay off their depositors unless buyers could be found?