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FASB issues four staff positions (FSPs) addressing FASB Statement no. 150, Accounting for Certain Financial Instruments with Characteristics of Both Liabilities and Equity. One, FSP no. 150-3 ( www.fasb.org/fasb_staff_positions ), contains information for nonpublic entities with certain stock buyback agreements with their major stockholders. The staff position defers indefinitely the effective date of the mandatory redemption provisions of statement no. 150 and all related FSPs, including FSP no. 150-2, for nonpublic entities if the redemption date either is not fixed or if the payout amount is variable and not based on an index.

The Financial Accounting Standards Advisory Council (FASAC) releases the findings of its 2003 annual survey ( www.fasb.org/fasac/results2003.pdf ). Among the 27 council members, 7 FASB members and 9 others who participated in the survey, revenue recognition was the issue most often mentioned as warranting FASB’s immediate attention. Other topics of concern included pension accounting, fair value, international convergence and changes related to the Sarbanes-Oxley Act of 2002.

The Public Company Accounting Oversight Board (PCAOB) issues a briefing paper describing its plans for overseeing—in cooperation with appropriate auditing regulators in other countries—the activities of U.S. accounting firms fully or partially responsible for auditing public companies in a foreign jurisdiction ( www.pcaobus.org/rules/Release2003-020.pdf ). The paper also described the board’s vision of a reciprocal arrangement it seeks with foreign regulators for the oversight of non-U.S. accounting firms auditing American companies. The PCAOB said such joint efforts will protect investors by improving participating nations’ audit quality and corporate reporting, minimizing unnecessary overlaps in their regulations and costs and allocating resources more efficiently.

The SEC proposes two rules that would allow it to supervise broker-dealers and their affiliates on a consolidated basis ( www.sec.gov/news/press/2003-134.htm ). One proposal would create an alternative method for computing certain net capital charges for broker-dealers that are part of a holding company that manages risks—and consents to SEC supervision—on a groupwide basis. The other proposed rule would implement section 17(i) of the Securities Exchange Act of 1934, which created a new structure for consolidated supervision of broker-dealers’ holding companies and their affiliates. Such SEC supervision would include recordkeeping, reporting and examination requirements. This proposal also would adjust the audit requirements for over-the-counter derivatives dealers to allow accountants to use agreed-upon procedures when conducting audits of risk management control systems. Comments are due by February 4.

The Governmental Accounting Standards Board releases a publication, Reporting Performance Information: Suggested Criteria for Effective Communication, which offers 16 criteria state and local governments can use when preparing reports on the nature and results of services they’ve rendered. The report can be downloaded free online ( www.seagov.org/sea_gasb_project/suggested_criteria_report.pdf ) or ordered in a print version (shipping charges and tax apply) by calling 800-748-0659.

The International Federation of Accountants (IFAC) publishes a proposed set of reforms ( www.ifac.org/Downloads/ReformProposals.doc ) to harmonize international auditing standards, strengthen the processes used to set them and ensure the international accounting profession serves the public interest. The proposal would establish a public interest oversight board to monitor IFAC’s standard-setting activities and open them to public commentary. Pending approval by IFAC’s council and anticipated support from regulators, the reforms will take effect this year.

IFAC also issues an exposure draft (ED) of a revision to its code of ethics for professional accountants ( www.ifac.org/Guidance/EXD-Details.php?EDID=0027 ) to clarify its November 2001 update of section 8, “Independence Requirements for Assurance Engagements.” The ED proposes language specifying that an individual who has completed a predefined period in the role of lead engagement partner for an audit of a listed entity should not participate in the assurance engagement until more time—normally two years—has passed. Comments are due February 15.

The international auditing and assurance standards board, an IFAC body, releases guidance to help auditors apply international standards on auditing to small entities. It is included in an updated version of International Auditing Practice Statement (IAPS) 1005, The Special Considerations in the Audit of Small Entities ( www.ifac.org/Store/Details.tmpl?SID=1067472421224231 ).

The Accounting Hall of Fame inducts Phillip W. Bell, Edgar O. Edwards and James J. Leisenring into its ranks. Bell served on many university faculties in the United States and has held visiting professorships throughout the world. He and Edwards, who taught at Princeton and Rice Universities, are coauthors of a well-known and respected text, The Theory and Measurement of Business Income, published in 1964. Leisenring is a former FASB vice-chairman and current member of the International Accounting Standards Board. Ohio State University’s Fisher College of Business established the Accounting Hall of Fame in 1950. Since then, the hall’s international board of electors has admitted to its rolls 73 influential and esteemed accountants from education, accounting practice, government and business.

The Financial Accounting Foundation (FAF) elects Robert E. Denham its chairman and president, effective January 1. FAF oversees and funds the activities of FASB, GASB and their advisory councils.

The SEC reappointed Charles D. Niemeier to the Public Company Accounting Oversight Board for a five-year term upon completion of his previous one-year term in October. Prior to his initial selection for the board, Niemeier was chief accountant in the SEC’s division of enforcement. The commission also announced the appointment of Kimberly Smith and Mary Brady Greenawalt as academic accounting fellows, each for one-year terms that began in August.

The Institute of Management Accountants and Robert Half International, an accounting and finance staffing company, name Nicholas Malden of Ventana Medical Systems Inc. of Tucson, Arizona, the winner of its 2003 national Financial Executive of the Year Award. Twenty other individuals won regional awards for excellence ( www.roberthalfmr.com/PressRoom?LOBName=MR&releaseid=391 ).

The American Accounting Association grants its Accounting Exemplar Award for 2003 to Cynthia Cooper, vice-president of internal audit at MCI, for her efforts to promote professionalism and ethics in accounting practice.

CPA Stanley Person, the founder and managing partner of Person and Co. in New York City, died on November 1, 2003, at the age of 69, after a long battle with heart disease. Person, who devoted much of his professional life to serving the accounting profession, was a tireless advocate for small firms and their clients. In addition to serving on various Institute committees, he was chairman of the AICPA continuing professional education executive committee (1992–1994) and the CPE national curriculum committee (1986–1988).

Person was a highly valued and enthusiastic member of the JofA family. The editor for many years of the JofA’s Practitioners Forum department, he also served as a longtime editorial adviser to the magazine and, in recent years, wrote book reviews for it.

He frequently wrote articles—many of them about taxes—for the JofA as well as for numerous other publications. He served on the New York state society of CPAs’ committees on small business taxation, individual taxation and practice management. Person was a committed philanthropist and was on the boards of many not-for-profit organizations. He also developed and taught Person/Wolinsky CPA exam review courses.