[Federal Register Volume 60, Number 43 (Monday, March 6, 1995)]
[Notices]
[Pages 12218-12219]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-5369]
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FEDERAL RESERVE SYSTEM
Agency Forms Under Review
Background:
Notice is hereby given of the submission of proposed information
collection to the Office of Management and Budget (OMB) for its review
and approval under the Paperwork Reduction Act (Title 44 U.S.C. Chapter
35) and under OMB regulations on Controlling Paperwork Burdens on the
Public (5 CFR Part 1320). A copy of the proposed information
collection(s) and supporting documents is available from the agency
clearance officer listed in the notice. Any comments on the proposal
should be sent to the agency clearance officer and to the OMB desk
officer listed in the notice.
DATES: Comments are welcome and should be submitted on or before March
20, 1995.
FOR FURTHER INFORMATION CONTACT:
Federal Reserve Board Clearance Officer--Mary M. McLaughlin--Division
of Research and Statistics, Board of Governors of the Federal Reserve
System, Washington, D.C. 20551 (202-452-3829); for the hearing impaired
only, telecommunications device for the deaf (TTD) (202-452-3544),
Dorothea Thompson, Board of Governors of the Federal Reserve System,
Washington, D.C. 20551.
OMB Desk Officer--Milo Sunderhauf--Office of Information and Regulatory
Affairs, Office of Management and Budget, New Executive Office
Building, Room 3208, Washington, D.C. 20503 (202-395-7340)
Request for OMB approval to revise the following report:
1. Report title: Report of Assets and Liabilities of U.S. Branches
and Agencies of Foreign Banks.
Agency form number: FFIEC 002.
OMB Docket number: 7100-0032.
Frequency: Quarterly.
Reporters: U.S. branches and agencies of foreign banks.
Annual reporting hours: 49,350.
Estimated average hours per response: 22.15.
Number of respondents: 557.
Small businesses are affected.
General description of report: This information collection is
mandatory to obtain or retain a benefit (12 U.S.C. 3105(b)(2)),
1817(a)(1) and (3), and 3102(b) and is given confidential treatment (5
U.S.C. 552(b)(8).
SUMMARY: The proposed revisions to the FFIEC 002 that have been
submitted to the Office of Management and Budget for approval are
mandated by the Federal Financial Institutions Examination Council
(FFIEC).
On a quarterly basis, all U.S. branches and agencies of foreign
banks (U.S. branches) are required to file detailed schedules of assets
and liabilities in the form of a condition report and a variety of
supporting schedules. This balance sheet information is used to fulfill
the supervisory and regulatory requirements of the International
Banking Act of 1978. The data are also used to augment the bank credit,
loan, and deposit information needed for monetary policy purposes. The
report is collected and processed by the Federal Reserve on behalf of
all three federal bank regulatory agencies. The proposed changes affect
several existing schedules.
The following revisions are proposed for implementation as of March
31, 1995.
(1) On Schedule RAL, ``Assets and Liabilities,'' item 1.c for
``Other bonds, notes, debentures, and corporate stock (including U.S.
state and local securities) would be divided into ``Securities of
freign governmental units'' and ``All other.''
(2) On Schedule RAL, ``Assets and Liabilities'', a new item would
be added for ``Trading Liabilities'' to disclose further information on
trading activities (open short positions and revaluation losses on
derivatives).
(3) On Schedule RAL, ``Memoranda,'' five items would be added in
which branches and agencies would separately report the amortized cost
and fair value of any ``high-risk mortgage securities'' and of any
``structured notes'' that are held in either the held-to-maturity or
available-for-sale portfolios, and total sales of mutual funds and
annuities.
(4) On Schedule M, ``Due from/Due to Related Institutions in the
U.S. and in Foreign Countries,'' a memorandum item would be added for
revaluation gains and revaluation losses from the marking-to-market of
off-balance-sheet derivatives contracts with related parties that are
held for trading purposes.
(5) The banking agencies would add three items to Schedule O,
``Other Data for Deposit Insurance Assessments,'' in order to identify
the amount of the these adjustments to reported demand deposits of a
branch or agency for deposit insurance assessment purposes:
(i) Amount by which demand deposits would be reduced if reciprocal
demand balances between the reporting branch or agency and savings
associations were reported on a net basis rather than a gross basis in
Schedule E,
(ii) Amount by which demand deposits would be increased if
reciprocal demand balances between the reporting branch or agency and
U.S. banks were reported on a gross basis rather than a net basis in
Schedule E, and
(iii) Amount by which demand deposits would be reduced if cash
items in process of collection were included in the calculation of net
reciprocal demand balances between the reporting branch or agency and
U.S. banks savings associations in Schedule E.
The following revisions are proposed for implementation as of June
30, 1995.
(1) Notional Amounts/Par Values
At present, all branches and agencies report notional amount/par
value data for interest rate, foreign exchange rate, and other
commodity and equity contracts in items 2,3,4, and 9 of Schedule L,
``Commitments and Contingencies,'' for transactions with non-related
depository institutions, and in items 2,3,4, and 9 of Schedule M, Part
V, ``Commitments and Contingencies,'' for transactions with related
depository institutions. The existing items would be expanded to
separate exchange-traded contracts from over-the-counter contracts and
to separate equity derivative contracts from commodity and other
contracts. (Spot foreign exchange contracts would also be reported
separately.) In addition, for each of the four types of underlying risk
exposures (i.e., interest rate, foreign exchange, equity, and commodity
and other), the total notional amount/par value of contracts held for
trading and held for purposes other than trading will be reported
separately, with the latter further divided between contracts that are
marked to market for FFIEC 002 reporting purposes and those that are
not.
(2) Gross Fair Values of Derivative Contracts
For branches and agencies with $100 million or more in total assets
that file the FFIEC 002 reporting forms, Schedule L and Schedule M,
Part V, would also be expanded to include gross fair value data for
derivatives. For each of the four types of underlying risk exposures,
the gross positive and gross negative fair values will be reported
separately for [[Page 12219]]
(i) Contracts held for trading purposes,
(ii) Contracts held for purposes other than trading that are marked
to market, and
(iii) Contracts held for purposes other than trading that are not
marked to market. When reporting gross fair values, no netting of
contracts would be permitted.
Board of Governors of the Federal Reserve System, February 28,
1995.
William W. Wiles,
Secretary of the Board.
[FR Doc. 95-5369 Filed 3-3-95; 8:45AM]
Billing Code 6210-01-F
