NORWALK, Conn. -- The Financial Accounting Standards Board has issued a statement requiring more-complete disclosures of information about derivatives.

Statement 119 expands and amends Statement 105, which deals with off-balance-Sheet risk, and Statement 107, which requires disclosures about the fair value of financial instruments.

Statement 119 also requires disclosures about the amounts, nature, and terms of derivatives that do not fall under Statement 105. For derivatives held for trading purposes, the statement requires disclosure of the average fair-value balance of positions during the reporting period, and the net gains or losses occurring from trading activities. The board said Statement 119 applies to all business enterprises and not-for-profit organizations and is effective for calendar-year 1994 financial statements, with a one-year delay for entities with less than $150 million of assets.

TOKYO -- Japan's Ministry of Finance will require authorized foreign-exchange banks - which have been allowed to handle forward-rate and forward-exchange agreements for less than a month - to report details of their transactions on a monthly basis.

Banks are also required to report the transactions and fixed profits or losses on foreign-rate and foreign-exchange agreements on a quarterly basis.

The disclosure role was meant to prompt Japanese banks to strengthen their risk management.

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