Press Release: Accounting standards: Commission endorses IAS 39

The European Commission adopted a Regulation on 19 November 2004 endorsing International Accounting Standard (IAS) No.39 on Financial Instruments: Recognition and Measurement, with the exception of certain provisions on the use of the full fair value option and on hedge accounting. This text was supported both by a qualified majority of Member States at the Accounting Regulatory Committee (ARC) on 1 October 2004 and by the European Parliament. The Commission also adopted a political declaration stating that it expected the International Accounting Standards Board (IASB) to bring forward the necessary amendments to the current full fair value option by December 2004 and to the provisions on hedge accounting by September 2005. Use of IAS 39, apart from the 'carved-out' sections, was to be legally binding for all listed companies in the EU from 1 January 2005.

European Commission: MEMO: MEMO/04/265 http://europa.eu/rapid/pressReleasesAction.do?reference=MEMO/04/265&format=HTML&aged=0&language=EN&guiLanguage=en

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