Big-Four letter to US Congress on independent standard-setting
19 Mar 2004
The Big Four public accounting firms have collectively written a Letter to Members of Congress (PDF 184k) endorsing the broad policy objectives of independent accounting standard setting and encouraging the Congress not to legislate accounting standards for stock options.
Investors and the capital markets rely on transparent financial reporting and an independent accounting standards-setting process. As we have previously stated in other contexts, we urge Congress to preserve the independence of the Financial Accounting Standards Board (FASB) and to avoid legislation that would have the effect of restricting the FASB's ability to establish accounting standards. Further, we reaffirm our support, already expressed to the FASB, for the mandatory expensing of all employee stock options, whose fair value would be determined in a manner suitable for the reporting company. |