Financial Accounting Standards Board Chairman Edmund Jenkins on Tuesday said the controversial derivatives rule will not be finished by Dec. 31, the previously scheduled release date.

"We'll not finish by the end of the month," Mr. Jenkins said before a speech to the American Institute of Certified Public Accountants here. "We're going to take whatever time is necessary to make sure we have a quality document, and we have carefully considered all the comments we received."

However, in his speech, Mr. Jenkins stressed the importance of setting accounting standards independently. The derivatives rule has been criticized by lawmakers, who have introduced legislation that would give banking regulators the power to blunt its effect.

"If they were to be successful, the board's credibility, independence, and objectivity would be further damaged," Mr. Jenkins said.

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