FASB Doesn't Plan to Revisit Options

Despite pressure from the International Accounting Standards Board, the Financial Accounting Standards Board (FASB) in the U.S. has no current intention of revisiting the issue of whether stock options should be accounted for on a company's income statement. FASB chair Edmund Jenkins was recently asked if the IASB were to conclude that options should be accounted for differently, whether the FASB would revisit the issue. Jenkins told the Bureau of National Affairs Pension Reporter (7-17-01) that while the FASB would consider the IASB request, it has no plans to revisit stock options and, the newsletter concluded, Jenkins showed no enthusiasm for reopening the contentious issue.