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To: Investor2 who wrote (4670)	4/22/1999 12:40:00 PM
From: Wally Mastroly	Respond to of 15132

I2: Perhaps great minds think alike? Message 9073743 Interesting "reversal" in the 2 titles of the articles referenced/linked...... * Accounting change could slow mergers... (i.e., in the long run) * Corporate Mergers Could Speed Up... (i.e., in the short term) Wally

To: Investor2 who wrote (4670)	4/22/1999 3:31:00 PM
From: Boca_PETE	Read Replies (1) \| Respond to of 15132

I2: re:< FASB 's vote to kill "Pooling" accounting for mergers > Hay - I remember the days when mergers could be accounted for as part "pooling" and part "purchase". That practice was banned in 1970. It's about time they banned "pooling of interests accounting" I agree fully with the proposal (to be effective for deals after Jan 1, 2001) to ban the adding of book values of merging companies with recognition of ZERO GOODWILL - pooling accounting. International accounting rules in most countries don't allow for such nonsense - this rule change will increase comparability of U.S. companies to international companies. The big question remaining is "will the Financial Accounting Standards Board ("FASB") shorten the current 40 year maximum amortization period for goodwill (excess of fair value paid over book value of the acquired company)?" Some predict that the maximum goodwill write-off period could be shortened to as little as 10 years. Another alternative proposal is to require or allow immediate write-off of goodwill - either directly to earnings or to that new stockholder's equity account "Other Comprehensive Income" (which by-passes the income statement). FASB expects to announce their decision on this matter next month. Stay tuned. These impending accounting rule changes should initiate a rush to merge until the effective date of the rule change. Get ready for MERGER MANIA EXTRAORDINARE. P