Ideas & Insights

Certain expedients available under ASC 848 may be relevant now to entities that hedge LIBOR-based debt instruments.

We have updated our hedging guide to refer to certain temporary optional expedients and exceptions included in ASC 848.

The GASB's guidance addressing financial reporting implications of the replacement of interbank offered rates.

The FASB has clarified that certain ASC 848 expedients and exceptions apply to derivatives affected by the discounting transition.

A recent proposed ASU would clarify the scope of ASC 848 with respect to certain transitions in the derivatives market.

The IASB’s recent amendments address the transition to alternative interest rate benchmarks as a result of benchmark reform.

An educational webcast to financial institutions of all sizes on LIBOR and proactively managing the transition at your institution.

What makes the shift from Libor challenging is how deep and interwoven it is in every corner of the financial services industry.

Temporary optional expedients and exceptions to account for the effects of LIBOR transition (e.g., contract modifications, hedge accounting)

The FASB recently provided temporary optional guidance intended to ease the burden reference rate reform on financial reporting.

Concerns have been raised that replacing Libor with an alternative reference rate may trigger a number of challenges.

Guidance would facilitate transitions of existing debt and derivatives to alternative benchmark rates without creating taxable exchanges.

Information about the LIBOR phase out, identification of replacement rates and resultant operational and accounting considerations.

A recent GASB proposal addresses financial reporting implications resulting from the replacement of an Interbank Offered Rate.