In last week's redeliberations, the Financial Accounting Standards Board again overturned a tentative decision that has significance to the securitization market, ruling that under most conditions no party will be made to consolidate a qualifying special purpose entity (QSPE). FASB also tentatively ruled that there will be no more deliberations prior to the release of the final interpretation.

"It's a continuation of positive trends coming out of FASB over the past few meetings," said Sam Pilcer, head of ABCP at Moody's Investors Service. "They seem to be leaning back towards the silo concept which moves consolidation away from the bank sponsors. For arbitrage conduits, there's still a pretty big question mark, dependent really on whether or not they can be structured as QPSEs."

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