"We are suggesting this as the best practice for the banks, although we will avoid making it the minimum standard," an FSA official said, according to Dow Jones.

For many years, outsiders have blamed the enormous debt taken on by these huge banks for a large portion of Japan's recent economic woes.

Akio Okuyama, who heads the Japanese Institute of Certified Public Accountants, told the Associated Press that banks are already making the transition to the new accounting method, which would force banks to more accurately report bad loans.

But, according to the wire service, critics say the accounting changes won't accelerate bad debt write-offs and could prompt some banks to cut lending to small and medium-sized businesses.

Just what they need in Japan: another credit crunch.

CFO, CEO Buy Company
The chief financial officer and chief executive officer of Resonate Inc. are buying the business services company in a leveraged buyout.

Rocket Holdings, LLC, a Delaware limited liability company wholly-owned by Resonate CFO Richard Hornstein and CEO Peter Watkins, said they will buy all of the outstanding shares of Resonate common stock.

Resonate said Watkins, who sits on the company's board of directors, did not participate in any of the deliberations of the Resonate board when it approved the transaction.

Under the terms of the merger, Rocket will use the company's cash and cash equivalents to acquire all of the outstanding shares of Resonate common stock for $1.79 per share, putting the value of the transaction at around $50 million.

Observers say the deal might spark a revival of interest in management buyouts. MBOs, which were popular during the junk-bond frenzy of the late 1980s, have been dormant in recent years.

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