It also said it would maintain its mortgage-related holdings at current levels to support the housing market.
Sanyo will also write down the value of its equity portfolio under new accounting rules that require companies to price their holdings at current market prices.
The rule changes require that banks value their stock holdings at current market prices instead of the prices they paid for the securities, a practice known as mark to market.
Requiring banks to value their Italian and other sovereign debt holdings at current prices, known as marking the assets to market, would also create "serious risks," Mr. Dallara said in an interview.
Another would require lenders to value all their sovereign debt holdings at current market prices, as part of a "stress test" to ensure that Europe's banks have enough capital to insure against large-scale losses if the crisis were to spread.
We find that recidivist borrowers have lower reserve holdings, larger current account deficits and capital outflows, lower but less volatile terms of trade, larger debt service and external debt ratios, lower investment rates and per-capita income, and weak governance.
More notable, however, is the committee's announcement that it plans to reinvest the principal payments on the Fed's mortgage-backed securities (MBS) and agency debt in Treasurys, thereby implicitly capping the Fed's securities holdings at current levels and ending the passive tightening from the runoff of its portfolio.
The move will boost capital levels and reduce the bank's interest payments, but will also dilute the holdings of current stock holders.
Buffett's pressure adds to that from critics, most notably activist investor David Winters, who said the plan would dilute the holdings of current shareholders too much.
Focus on how well your current holdings are advancing toward your goals, and make changes in those holdings when necessary.
