On January 7th, the FDIC issued an Advance Notice of Proposed Rulemaking regarding safe harbor protection for treatment by the FDIC as conservator or receiver of financial assets transferred by an insured depository institution in connection with a securitization or participation. The FDIC has provided important safe harbor protections to securitizations by confirming that in the event of a bank failure, the FDIC would not try to reclaim loans transferred into a securitization so long as an accounting sale had occurred. However, with the Financial Accounting Standards Board June 2009 changes to FAS 166 and 167, most securitizations will no longer meet the off-balance sheet standards for sale treatment that took effect on January 1, 2010. The FDIC Board therefore approved a transitional safe harbor that permanently grandfathered securitization or participations in process through March 31, 2010. The ANPR seeks public comment on what standards should be applied to safe harbor treatment for transactions created after March 31, 2010. Comments should be submitted on or before February 22, 2010. See also FDIC Press Release.