IASB February 2010 - AP 9

The boards discussed possible criteria for designation of eligible hedged risks and possible bifurcation-by-risk approaches for hedged financial items.

The IASB tentatively decided to explore a new criterion for the purpose of determining risk components eligible for designation as hedged items.

The FASB tentatively decided that bifurcation-by-risk would be permitted for hedged financial items within the context of the recognition and measurement model agreed to by the Board for accounting for financial instruments. The Board will continue to discuss issues relating to hedge accounting, specifically how to identify the hedged risk and how the assessment of effectiveness will be determined.