|Moderator's Comment. The attached report summarizes the discussion over the last two years. In addition, it includes the results of the survey undertaken in July 2004 with the aim of bringing the discussion to a conclusion. Taking these results into account, the moderator's recommendation is that:
The primary valuation of loans should be nominal value, supplemented by memorandum items to showing other pertinent information, including:
1) Interest arrears on nonperforming loans, and
2) Realizable Loan Values.
This paper is posted for further discussion (deadline August 31) and the final version will be considered by the Advisory Expert Group on National Accounts at the November 2004 Meeting.