Subject: Capital Charge Update
From: [email-masked]
To: [email-masked], [email-masked], [email-masked], [email-masked], [email-masked], [email-masked], [email-masked], [email-masked], [email-masked], [email-masked], [email-masked], [email-masked], [email-masked], [email-masked], [email-masked], [email-masked], [email-masked], [email-masked], [email-masked], [email-masked]
Cc: [email-masked], [email-masked], [email-masked]
Date: Tue, 15 May 2001 11:22:11 -0700 (PDT)

After the capital charge was recorded in CS in March, an error was found in the calculation.  For most business units, this results in only a small adjustment.  We plan to make the necessary correction and send the revised file to everyone.  After it has been reviewed, we will book the capital charge for Jan - April in FI in May business.  We will then book May's capital charge in FI in June.  We have not yet resolved the timing on booking June.  Since the balance sheet and cash flow continue to change after the income statement is closed,  it is difficult to record an accurate capital charge for the current month.  Suggestions are welcome.