Securities Law Prof Blog

Editor: Eric C. Chaffee
Univ. of Toledo College of Law

A Member of the Law Professor Blogs Network

Wednesday, April 18, 2007

Blackstone IPO Tests New Fair Value Accounting Rule

The Blackstone Group IPO will test FASB's new fair-value accounting rule that allows management to estimate the current fair value of its investments even if not traded in public markets.  Critics say it gives management too much discretion and can lead to Enron-type abuses.  Further, it is difficult for public investors to assess the reasonableness of management's assumptions based on the information in the prospectus.  See WSJ, Blackstone Tests Fairness of Using 'Fair Value' Rule.

http://lawprofessors.typepad.com/securities/2007/04/blackstone_ipo_.html

News Stories | Permalink

TrackBack URL for this entry:

http://www.typepad.com/services/trackback/6a00d8341bfae553ef00d83451822269e2

Listed below are links to weblogs that reference Blackstone IPO Tests New Fair Value Accounting Rule:

Comments

Post a comment