New lease accounting rules – What will be the impact?
Abstract: After 10 years of deliberations, the FASB has finally issued its new lease accounting rules with the publication of Accounting Standards Update No. 2016-02, Leases (Topic 842). This article discusses how off-balance-sheet leases are now history and the effect of the new rules on bank-loan customers. Other ramifications for banks also are examined. A sidebar discusses timing considerations for making the transition.