Consider a survey of European banks and blue-chips released last week by the Committee of European Securities Regulators. A hasty amendment from the IASB in October, borrowing an exception from US rules, allowed preparers to shift some assets to other categories to avoid recognising losses – yet half of banks and almost two-thirds of companies did not change a thing. This probably reflects fierce discussions with auditors, and a reluctance to take steps they might have to unwind as the rules shifted again. Convergence on a simple, clear global standard cannot come soon enough.
FT.com / Lex / Finance & governance - Fair value accounting
