Deloitte has developed a new software product, LDC Suite, to assist financial institutions that purchase distressed debt with their accounting for loans and debt securities that fall within the scope of American Institute of Certified Public Accountants Statement of Position 03-3 (SOP 03-3), accounting for certain loans or debt securities acquired in a transfer.
The software supports both asset-level and pool-level cost basis tracking, expected cash flow modeling and disclosure requirements for financial reporting. In addition to LDC Suite’s SOP 03-3 capabilities, the software also includes functionality to assist banks, insurance companies and other financial institutions with their FDIC reporting requirements.
Hillel Caplan, partner of Deloitte & Touche and leader of LDC Suite practice, said: Given the significant number of purchase transactions that are anticipated in the banking sector and beyond, as well as the tight financial, regulatory and other reporting timeframes that acquiring companies often face after executing a transaction, we saw a need in the market that we were well positioned to address.
We have been providing a variety of software solutions to financial institutions around the world for more than two decades. Our deep experience with technology-based solutions, coupled with the specialized technical knowledge of our accounting practitioners, allowed us to develop a unique product with significant value for the market.”
