FASB: Katrina not Extraordinary

Citing the frequency of hurricane in the Gulf Coast region, FASB has decided for now not to consider Katrina an extraordinary event. A similar ruling was made after the World Trade Center/Pentagon attacks in September 2001. A stunning decision, perhaps you can make a case that large businesses such as oil companies had contingency plans for such a disaster but smaller local companies with less opportunity to cover losses in other ways should (at least in my opinion) be able to take this outside the main part of the income statement.