Bailout Bill Allows SEC to Suspend FAS 157 Mark-to-Market Accounting

The Emergency Economic Stabilization Act passed by Congress permits the SEC to suspend the application of FASB Standard No. 157 on fair value accounting, or mark-to-market accounting, for any issuer, including financial institutions, or for any transaction. In addition to this broad power,
the Act mandates that the SEC conduct a study of FAS 157 and report back to Congress in 90 days. Among other things, the study will examine how FASB adopts standards.