FASB Statement 166 and Commercial Loan Participations
Meeting Complex Accounting and Disclosure Standards for Lead and Participating Lenders
Recording of a 110-minute CPE webinar with Q&A
This webinar will prepare accounting advisors and corporate finance professionals to make accurate decisions about accounting for loan participations under FAS 166, and to make required disclosures in financial statements.
- Changes in FAS 166 relevant to loan participations
- Addresses concerns that many financial assets no longer recognized should continue to be reported in transferor’s financial statements
- New standard for “participating interest” as specific conditions for reporting transfer of portion of financial asset as sale rather than borrowing
- Institutions selling loan participations must meet “participating interest” definition and FAS 140 surrender of control
- Which provisions of loan participation agreements that previously qualified as sales don’t qualify as participating interests
- Removes concept of qualifying special-purpose entity from FAS 140 and removes FAS 46 exception for those entities
- Formerly qualifying special-purpose entities must be re-evaluated for consolidation
- New disclosures required in financial statements
- Greater transparency about transfers of financial assets
- Greater transparency about transferor’s continuing involvement with asset transfers accounted for as sales
- Practical FAS 166 accounting considerations affecting all entities involved in loan participations
The panel will help you make sense of these and other key aspects of FASB's new standard affecting loan participations:
- Meeting the new standard for "participating interest": What structures will pass the twin tests of meeting conditions for both participating interest and surrender of control?
- Handling special-purpose entities: Will previously independent SPEs now need to consolidate?
- Producing required disclosures: How should financial institutions report transfers of financial assets and any continuing involvement with transfers accounted for as sales?
Executive Vice President and Director of Capital Markets
Excel National Bank
He has been a frequent speaker on FAS 166 challenges and serves on the Secondary Market Committee for the National... | Read More
He has been a frequent speaker on FAS 166 challenges and serves on the Secondary Market Committee for the National Association of Government Guaranteed Lenders. He also has experience originating, purchasing, selling and securitizing SBA 7(a) and 504 loans.Close
Senior Manager and Technical Issues Committee Chair
His particular industry focus is the financial services sector, and he has nearly 15 years of experience working with... | Read More
His particular industry focus is the financial services sector, and he has nearly 15 years of experience working with financial institution clients. He is a frequent speaker on current accounting trends and complex accounting issues for professional groups.Close
Morrison & Foerster
Her work is primarily for the insurance industry but she also has broad capital markets experience, and she has written... | Read More
Her work is primarily for the insurance industry but she also has broad capital markets experience, and she has written extensively on fair value accounting and other topics for that audience.Close
Morrison & Foerster
His practice covers a broad range of corporate and capital matters, including public offerings and private placements.... | Read More
His practice covers a broad range of corporate and capital matters, including public offerings and private placements. He also has extensive experience representing banks, REITs and other parties involved with corporate finance and securitization transactions.Close