The Financial Accounting Standards Board (FASB) has recently announced the members of the Transition Resource Group (TRG) for its upcoming credit losses standard.
The TRG will solicit, analyze, and discuss implementation issues that could arise when organizations implement the upcoming credit losses standard. The group will then share their views with the FASB, which will help the Board determine what, if any, action is appropriate to address those issues. The TRG also will provide stakeholders with a forum to learn about the new standard from others involved with implementation.
“Due to the success of the initial Transition Resource Group for the revenue recognition standard, we decided to establish a similar group to help the board proactively address stakeholder concerns related to the implementation and operationality of the upcoming credit losses standard,” said FASB Chair Russell G. Golden. “As the TRG discusses these issues, the board can decide if it should take additional steps to provide educational materials on specific areas of concern, or if it needs to clarify the standard accordingly.”
TRG members include financial statement preparers (including community banks and credit unions), auditors, users, and financial services regulators listed below:
- Diane Bellas, Director, Corporate Accounting Research at Allstate Insurance Company
- Fredrick Cannon, Director of Research, Chief Equity Strategist and Executive Vice President at Keefe, Bruyette, & Woods, Inc.
- Chip Currie, Partner, National Professional Services Group, at PricewaterhouseCoopers LLP
- Graham Dyer, Senior Manager, Accounting Principles Consulting Group, at Grant Thornton LLP
- Sydney Garmong, Partner, National Office, at Crowe Horwath LLP
- Susan Hannigan, Senior Vice President and Chief Financial Officer at Jeanne D’Arc Credit Union
- Jon Howard, Partner, Accounting Services, at Deloitte LLP
- Xihao Hu, Executive Vice President—Finance and Head of Accounting, Tax, Planning & Finance Shared Services at TD Bank
- Helen Killoch, Vice President and Chief Accountant at BMO Financial Group
- Mario Mastrantoni, Director of Accounting Policy at Wells Fargo & Company
- Mark Northan, Partner, Department of Professional Practice, at KPMG LLP
- Dan Palomaki, Managing Director, Accounting Policy at Citigroup
- Kevin Stoklosa, Senior Vice President and Senior Director—Accounting Policy at First Niagara Bank
- Robert Wadley, Partner, Assurance Services—National Accounting, at Ernst & Young LLP
- Doug Wright, Chief Financial Officer at Mission Federal Credit Union
- Timothy Zimmerman, President & CEO at Standard Bank, PaSB.
- Wes Bricker, Deputy Chief Accountant at the U.S. Securities and Exchange Commission
- Steven Brown, Senior Vice President—Wholesale Credit Risk Management at U.S. Bank and member of the Private Company Council
- Barbara Vanich, Associate Chief Auditor at the Public Company Accounting Oversight Board
- Representatives from the Board of Governors of the Federal Reserve System, Office of the Comptroller of the Currency, Federal Deposit Insurance Corporation, National Credit Union Administration, and the Federal Housing Finance Agency on a rotating basis.
The TRG held its first meeting with the Board on April 1, 2016, to discuss whether the measurement guidance of the expected credit loss portion of the upcoming standard clearly communicates the board’s decisions. Subsequent meetings will be announced shortly thereafter. All public meetings will be chaired by FASB Member Lawrence W. Smith and audio webcast live on the FASB website.
Stakeholders will be able to submit potential implementation issues for discussion by the TRG once the final standard is issued. Instructions for submission will be included on the TRG website. The FASB will evaluate each submission and prioritize the issues for discussion at public TRG meetings.
The FASB expects to issue the credit losses standard in mid-2016. For more information on the upcoming standard, please visit the FASB website. Established in 1973, the FASB is the independent, private-sector organization, based in Norwalk, Connecticut, that establishes financial accounting and reporting standards for public and private companies and not-for-profit organizations that follow Generally Accepted Accounting Principles (GAAP). The FASB is recognized by the Securities and Exchange Commission as the designated accounting standard setter for public companies. FASB standards are recognized as authoritative by many other organizations, including state Boards of Accountancy and the American Institute of CPAs (AICPA).