COMMERCE COMMITTEE DEMOCRATS
Congressman John D. Dingell, Ranking Member

News Release
September 11, 1997 		Contact: Dennis B. Fitzgibbons
202/225-3641

DINGELL RELEASES REPORT ON MARKET VOLATILITY;
FASB GETS WORKING GROUP AND ISAC NOD

WASHINGTON--Rep. John D. Dingell (D-MI), Ranking Minority Member of the House Committee on Commerce, today released the report of the President's Working Group on Financial Markets on recent actions by federal agencies to reduce risks in financial markets. The 30-page report was prepared in response to Rep. Dingell's request of April 8, 1997 which was triggered by concerns about the level and nature of volatility in the stock and futures markets.

Dingell issued the following statement:

"The nation's financial regulators, as well as the marketplaces themselves, have taken encouraging measures to protect our market and payment systems during emergencies. The Working Group remains an effective forum for financial regulators to coordinate their activities and share information and ideas.

"The report states the Working Group's support for ongoing efforts to enhance derivatives accounting and disclosure, with specific reference to FASB's hedge accounting proposal and the SEC's derivatives disclosure rules (p. 30). Moreover, the International Accounting Standards Committee has moved to adopt FASB's standard (requiring companies to show derivatives at market value in their accounts) as an interim global accounting standard. FASB's hard work and courage in addressing this important and difficult issue will benefit investors worldwide.

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NOTE: Copies of the report are available through the Commerce Committee Democratic Staff Office at 202-225-3641.


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