After Rome has burned, call the fire department -- FASB Reviews Valuation Method

From The Wall Street Journal:

Accounting watchdogs are fast-tracking an effort to provide a small dose of "mark-to-market" relief for financial firms, as banks and life insurers continue grappling with deteriorating investment holdings.

The Financial Accounting Standards Board last week began steps to loosen a rule regarding when financial firms must book losses on a narrowly defined subset of lower-rated mortgage-backed securities, commercial-backed securities and certain other structured securities.

Late Friday, FASB asked for public comment on the proposal, a sign that it is under serious consideration.