FASB Plans to Revise Repo Agreement Standards

The Financial Accounting Standards Board has added a new item to its agenda to revise the accounting standards for repurchase agreements in response to the problems that led to the collapse of MF Global. Last year, FASB revised its standards for repurchase agreements in response to the use of so-called “Repo 105” transactions that were identified by the bankruptcy examiner for Lehman Brothers .

FASB decided at a meeting Wednesday to add a new agenda item on repurchase agreements because of problems at an