Norwalk, Conn. (Dec. 29, 2003) -- The Financial Accounting Standards Board) published a revised Interpretation No. 46 Consolidation of Variable Interest Entities, in an effort to clarify several provisions in the original draft as well as exempt certain entities from its requirements.

Under the new guidance, special effective date provisions apply to enterprises that have fully or partially applied Interpretation 46 prior to issuance of the revision.

Otherwise, application of Interpretation 46R is required in financial statements of public entities that have interests in special-purpose entities for periods ending after Dec. 15, 2003.

• Application by public entities, other than small business issuers, for all other types of variable interest entities is required in financial statements for periods ending after March 15, 2004.

• Application by small business issuers to variable interest entities other than special-purpose entities and by nonpublic entities to all types of variable interest entities is required at various dates in 2004 and 2005.

The document is available on the FASB Web site at

-- WebCPA staff

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