The FASB has voted
to delay the effective dates for private companies and certain other entities for the standards on accounting for leases, credit losses (known as CECL), and hedging. The FASB also extended implementation deadlines for a standard that requires insurers to revise how they value long-term insurance contracts. As a result of the delays, private companies and nonprofits will have to implement the hedging and leasing standards for the fiscal year and interim periods beginning after Dec. 15, 2020. Small public lenders, public lenders that don’t file with the SEC, and private and nonprofit lenders will have to implement CECL for the fiscal year and interim periods beginning after Dec. 15, 2022. Large public banks (defined as all SEC-filing lenders minus small-business entities) were unaffected and will have the same deadline of the fiscal year after Dec. 15, 2019. The delayed implementation of the insurance standard will affect all insurers. SEC-filing insurers will have until the fiscal year after Dec. 15, 2021, while all other insurers will have until the fiscal year after Dec. 15, 2023.
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