Handbook: Reference rate reform

Our in-depth guide explains the optional expedients in ASC 848 that permit an entity to not apply otherwise applicable US GAAP to contracts or transactions that are modified or otherwise affected due to reference rate reform

Applicability

• ASC 848

All companies with contracts or hedging relationships that reference an interest rate that is expected to be discontinued (e.g. LIBOR)

Report contents

• Scope of Topic 848 
• Contract modifications
• Hedging relationships: Changes to critical terms 
• Fair value hedges 
• Cash flow hedges 
• Sale and/or transfer of HTM debt securities 
• Effective date, transition and termination

Related content

Defining Issues: FASB proposes amendments to ASC 848 and ASC 815

Insights: Evolving LIBOR

FRV Podcast: Reference rate reform

Defining issues: FASB provides relief to companies for reference rate reform

Defining issues: FASB provides relief for discounting transition