NOTES

1. Members, Directors and deputy directors are governed by the rules set out in “Policies in Respect of Investments, Personal Activities, Speeches and Publications of Members, Directors and Deputy Directors of the Financial Accounting Standards Board (As amended December 21, 1976)."

2. The rule states that “no financial or other obligations shall be owed, directly or indirectly, to such Member or Director by any former employer, business partnership or client.” Exceptions are made for normal banking relationships, limited partnerships, and holdings in government or publicly traded securities. No retirement or deferred benefits may be paid except fixed, vested amounts or annuities not materially affected by the prospects of the business.

3 The rule states that "no Member or Director shall have any financial or other obligations to any former employer, business relationship or client." Obligations such as normal banking relationships and covenants not to divulge trade secrets are excepted.

4 Members and Directors may be affiliated with non-profit organizations and may serve as directors or officers of family or personal investment holding companies, as executors, administrators, guardians, trustees of inter vivos or testamentary trusts, custodians for minors and in similar representative capacities, provided that such activities do not interfere materially with their devoting their full business time to the FASB and do not affect their independence or objectivity.

5. The rule states that "no Member or Director shall have any formal or informal agreement, arrangement or understanding with any person to the effect that after termination of his employment relationship with the Foundation or the Standards Board he can or will return to, or become affiliated with, an employer or business partnership, or resume or enter into consulting or other similar arrangements; provided, however, that, in the case of a Director, this subparagraph... shall not prohibit a leave of absence of an academician with or without tenure from an educational institution;

6. The rule states, “Members and Directors may accept reimbursement for out-of-pocket expenses incurred in connection with any such speech or writing, but any fees, honorariums or other payments in connection therewith shall be remitted or paid over to the Foundation."

7. The rule states, "Members and Directors shall not, directly or indirectly, use or otherwise place themselves in a situation to benefit personally from, or, directly or indirectly, disclose or make available to others (other than as required by their employment and duties), any information which might be regarded as material relating to the functions or activities of the Foundation or the Standards Board obtained in the course of their employment and which has not been released or announced or otherwise made available publicly."

8. Both sets of rules provide that each member, director, deputy director, and staff member "should take great care to conduct himself and all his activities in such a manner so that [they] will not affect his independence or objectivity or be detrimental to the interests or repute of the Foundation or the Standards Board."

9. Staff members are governed by Internal Policy Bulletin, File Ref. 1.07, "Policies in Respect of Personal Activities, Speeches and Publications of Members of the Staff of the Financial Accounting Standards Board" (April 1976).