11/05/2007
SEC releases SAB 109, Written Loan Commitments Recorded at Fair Value Through Earnings
By Cydney Posner
Today the SEC's Office of the Chief Accountant and Corp Fin announced the release of SAB 109, "Written Loan Commitments Recorded at Fair Value Through Earnings." The SAB provides the staff's views on the accounting for written loan commitments recorded at fair value under GAAP. According to the press release, the SAB "revises the SEC staff's views on incorporating expected net future cash flows related to loan servicing activities in the fair value measurement of a written loan commitment. The SAB retains the staff's views on incorporating expected net future cash flows related to internally-developed intangible assets in the fair value measurement of a written loan commitment."