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The Making Of Sausages

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FASB doesn't do its rule making in a vacuum. It solicits (and mostly ignores) comments from a wide range of stakeholders. The result is a rich set of data to examine the role of large institutions in shaping the rules that govern them. The result is language like this:

We believe that certain aspects of the proposed FSP fail to meet the Board's objective and would, in fact, increase the difficulties experienced by preparers and auditors by limiting the number of data points that preparers may consider in making valuation estimates. In addition, we are concerned that the example provided in the proposed FSP is confusing and may lead to conclusions that are not consistent with the concepts and framework of Statement 157, further resulting in significant inconsistencies in the fair value measurements estimates for the same financial instruments among various preparers.

Which should properly be read as "This fucking mark to market stuff is killing us!"
Deutsche Bank Letter To FASB, March 27, 2009.
SIMFA Letter To FASB, March 27, 2009.
Citi Letter To FASB, March 30, 2009.


How Your CNBC Sausage Gets Made (Update)

Step 1: Come up with story idea, say, about how small businesses are being hurt due to the NBA lockout Step 2: Reach out to Twitter followers, ask them to corroborate said story Step 3: Wait. Step 4: Practice asking Kate Upton to be your Valentine. ["Will you, Kaaa" voice cracks. "Will you, Kate Upton.." No, that's stupid. "Kate I would be most honored if you.."] Step 5: Daydream about how you and "Katie" will tell your families you eloped. Step 6: Marvel at your good fortune when a guy, who in real life is a bored teenager but over the internet seems like a legit businessman, emails you to say that he runs an escort service in New York, "mostly for away team players after games but some Knicks and Nets too; they are high rollers and I'm not getting the constant business I that I need to stay running." Step 7: Double fist pump the air and shout "Yes, D-Rove, you got this!" Step 8: Breathe, tell yourself to calm down and reel it in. Step 9: Put on your reporter hat and ask "Henry James" some questions like, "How much money would say you're losing? What cut do you then get? What is the cheapest woman and what is the most expensive woman? I assume it's by the hour and what is the typical # of hours?" Step 10: Make no attempt to verify source is who he says he is, that his business exists, that you're not being taken for a ride. Step 11: Cut, print. How A Teenager With A Fake Escort Service Duped Darren Rovell And CNBC [Deadspin] Related: SI Swimsuit Model Doesn’t Have To Worry About Things Getting Weird With CNBC Reporter Because He’s Known Her Since She Was 17