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50
No. 115” (“SFAS No. 159”), which permits entities to
choose to measure eligible financial instruments and other
items at fair value. The provisions of SFAS No. 159 are
effective for fiscal years beginning after November 15,
2007. We adopted SFAS No. 159 on August 2, 2008,
the first day of 2009, and did not elect the fair value option
for eligible items that existed at the date of adoption.
The Emerging Issues Task Force (“EITF”) reached a
consensus on EITF 06-11, “Accounting for Income Tax
Benefits of Dividends on Share-Based Payment Awards”
(“EITF 06-11”) in June 2007. The EITF consensus
indicates that the tax benefit received on dividends
associated with share-based awards that are charged to
retained earnings should be recorded in additional paid-in
capital and included in the pool of excess tax benefits
available to absorb potential future tax deficiencies on
share-based payment awards. The consensus is effective
for the tax benefits of dividends declared in fiscal years
beginning after December 15, 2007. We do not expect
the adoption of EITF 06-11 in the first quarter of 2009
will have a significant impact on our consolidated
financial statements.
In March 2008, the FASB issued SFAS No. 161,
“Disclosures about Derivative Instruments and Hedging
Activities” (“SFAS No. 161”), which amends SFAS No. 133,
“Accounting for Derivative Instruments and Hedging
Activities” (“SFAS No. 133”). SFAS No. 161 requires
enhanced disclosures about how and why an entity uses
derivative instruments, how derivative instruments and
related hedged items are accounted for under SFAS
No. 133 and its related interpretations, and how derivative
instruments and related hedged items affect an entity’s
financial position, results of operations, financial
performance and cash flows. SFAS No. 161 is effective for
financial statements issued for fiscal years and interim
periods beginning after November 15, 2008, with early
application encouraged. We do not expect that the
adoption of SFAS No. 161 in the third quarter of 2009
will have a significant impact on our consolidated
financial statements.
In May 2008, the FASB issued SFAS No. 162, “The
Hierarchy of Generally Accepted Accounting Principles”
(“SFAS No. 162”). SFAS No. 162 identifies the sources of
accounting principles and the framework for selecting
the principles to be used in the preparation of financial
statements of nongovernmental entities that are
presented in conformity with GAAP. SFAS No. 162 is
effective sixty days following the SEC’s approval of the
Public Company Accounting Oversight Board amendments
to AU Section 411, “The Meaning of Present Fairly in
Conformity With Generally Accepted Accounting Principles.”
We do not expect that the adoption of SFAS No. 162
will have a significant impact on our consolidated
financial statements.