[Federal Register Volume 59, Number 28 (Thursday, February 10, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-3112]
[[Page Unknown]]
[Federal Register: February 10, 1994]
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FEDERAL RESERVE SYSTEM
[Docket No. 7100-0128]
Bank Holding Company Reporting Requirements
AGENCY: Board of Governors of the Federal Reserve System.
ACTION: Extension of comment period on changes to bank holding company
reporting requirements (FR Y-9C, FR Y-9LP and FR Y-9SP) and a request
for public comments on additional changes to the reporting requirements
related to the proposed Call Report revisions.
BACKGROUND: Notice is hereby given by the Board of Governors of the
Federal Reserve System (the Board) under delegated authority from the
Office of Management and Budget (OMB), as per 5 CFR 1320.9 (OMB
Regulations on Controlling Paperwork Burdens on the Public), of an
extension of the comment period regarding revisions to the bank holding
company reporting requirements, and a request for public comment, on
additional changes to the Financial Statements for Bank Holding
Companies (FR Y-9C, FR Y-9LP and FR Y-9SP) necessitated by the proposed
revisions to the Reports of Condition and Income (Call Report). Some
revisions to the bank holding company reporting requirements were
initially published in the Federal Register on December 17, 1993 (58 FR
65997). The Board announced at that time that additional revisions to
the bank holding company reporting requirements may be necessary based
upon upcoming revisions to the Call Report, which were not finalized at
the time of publication of the December 17, 1993 Federal Register
Notice. Therefore, the Board is granting an extension of the initial
comment period, which ended January 3, 1994, to allow bank holding
companies more time to review and comment on the proposed initial
revisions, as well as the opportunity to comment on additional
reporting changes that are based upon the proposed Call Report
revisions. The specific changes to the FR Y-9 series of reports related
to the Call Report revisions are summarized below and will be required
for the March 31, 1994 reporting date.\1\
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\1\ The revisions to the FR Y-9SP are effective with the June
1994 reporting date.
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DATES: Comments must be submitted on or before March 9, 1994.
ADDRESSES: Comments, which should refer to the OMB Docket number should
be addressed to Mr. William W. Wiles, Secretary, Board of Governors of
the Federal Reserve System, 20th and C Streets, NW., Washington, DC
20551, or delivered to the Board's mail room B-2223 between 8:45 a.m.
and 5:15 p.m., and to the security control room outside of those hours.
Both the mail room and the security control room are accessible from
the courtyard entrance on 20th Street between Constitution Avenue and C
Street, NW. Comments received may be inspected in room B-1122 between
9:00 a.m. and 5:00 p.m., except as provided in Section 261.8(a) of the
Board's Rules Regarding Availability of Information, 12 CFR 261.8(a).
A copy of the comments may also be submitted to the OMB desk
officer for the Board: Gary Waxman, Office of Information and
Regulatory Affairs, Office of Management and Budget, New Executive
Office Building, Room 3208, Washington, DC 20503.
FOR FURTHER INFORMATION CONTACT: Robert T. Maahs, Supervisory Financial
Analyst (202/872-4935), Mark S. Benton, Senior Financial Analyst (202/
452-5205), or Tina Robertson, Senior Financial Analyst (202/452-2949),
Division of Banking Supervision and Regulation, Board of Governors of
the Federal Reserve System. A copy of the proposed form, the request
for clearance (SF 83), supporting statement, instructions, and other
documents will be placed into OMB's public docket files once approved
and may be requested from the Federal Reserve Board Clearance Officer,
Mary M. McLaughlin (202/452-3829), Chief, Financial Reports, Division
of Research and Statistics, Board of Governors of the Federal System,
Washington, DC 20551. For the hearing impaired only, Telecommunications
Device for the Deaf (TDD), Dorothea Thompson (202/452-3544), Board of
Governors of the Federal Reserve System, 20th and C Street, NW.,
Washington, DC 20551.
Description of Affected Reports
1. Report Title: Consolidated Financial Statements for Bank Holding
Companies
Agency Form Number: FR Y-9C
OMB Docket Number: 7100-0128
Frequency: Quarterly
Reporters: Bank Holding Companies
Annual Reporting Hours: 147,511
Estimated Average Hours per Response: Range from 5 to 1,250 hours
Number of Respondents: 1,418
Small businesses are affected.
The information collection is mandatory (12 U.S.C. 1844(b) and (c)
and part of the information is given confidential treatment.
Confidential treatment is not routinely given to the data in these
reports. However, confidential treatment for the report information, in
whole or in part, can be requested in accordance with the instructions
to the form.
The FR Y-9C consolidated financial statements are currently filed
by all bank holding companies that have total consolidated assets of
$150 million or more, or with more than one subsidiary bank.\2\ In
addition, an FR Y-9C must be filed by lower-tier BHCs that have total
consolidated assets of $1 billion or more. The following bank holding
companies are exempt from filing the FR Y-9C, unless the Board
specifically requires an exempt company to file the report: bank
holding companies that are subsidiaries of another bank holding company
and have total consolidated assets of less than $1 billion; bank
holding companies that have been granted a hardship exemption by the
Board under section 4(d) of the Bank Holding Company Act; and foreign
banking organizations as defined Y section 211.23(b) of Regulation K.
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\2\ Proposed revisions to the FR Y-9C reporting panel are
discussed in the December 17, 1993 Federal Register Notice.
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The report includes a balance sheet, income statement, and
statement of changes in equity capital with supporting schedules
providing information on securities, loans, risk-based capital,
deposits, interest sensitivity, average balances, off-balance sheet
activities, past due loans, and loan charge-offs and recoveries.
2. Report Title: Parent Company Only Financial Statements for Large
Bank Holding Companies
Agency Form Number: FR Y-9LP
OMB Docket Number: 7100-0128
Frequency: Quarterly
Reporters: Bank Holding Companies
Annual Reporting Hours: 28,722
Estimated Average Hours per Response: Range from 2.0 to 13.5 hours
Number of Respondents: 1,751
Small businesses are affected.
The information collection is mandatory (12 U.S.C. 1844(b) and (c)
and part of the information is given confidential treatment.
Confidential treatment is not routinely given to the data in these
reports. However, confidential treatment for the report information, in
whole or in part, can be requested in accordance with the instructions
to the form.
The FR Y-9LP financial statements are to be filed on a parent
company only basis by any bank holding company filing an FR Y-9C, or by
the parent company of any bank holding company that is a majority-owned
subsidiary of a FR Y-9C respondent.\3\ The following bank holding
companies are exempt from filing the FR Y-9LP, unless the Board
specifically requires an exempt company to file the report: bank
holding companies that are subsidiaries of another bank holding company
and have total consolidated assets of less than $1 billion; bank
holding companies that have been granted a hardship exemption by the
Board under section 4(d) of the Bank Holding Company Act; and foreign
banking organizations as defined y section 211.23(b) of Regulation K.
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\3\ Proposed revisions to the FR Y-9LP reporting panel are
discussed in the December 17, 1993 Federal Register Notice.
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3. Report Title: Parent Company Only Financial Statements for Small
Bank Holding Companies
Agency Form Number: FR Y-9SP
OMB Docket Number: 7100-0128
Frequency: Semiannual
Reporters: Bank Holding Companies
Annual Reporting Hours: 33,600
Estimated Average Hours per Response: Range from 1.5 to 6.0 hours
Number of Respondents: 4,480
Small businesses are affected.
The information collection is mandatory (12 U.S.C. 1844(b) and (c)
and part of the information is given confidential treatment.
Confidential treatment is not routinely given to the data in these
reports. However, confidential treatment for the report information, in
whole or in part, can be requested in accordance with the instructions
to the form.
The FR Y-9SP is a parent company only financial statement filed by
one bank holding companies with total consolidated assets of less than
$150 million.\3\ This report, an abbreviated version of the more
extensive FR Y-9LP, is designed to obtain basic balance sheet and
income information for the parent company, information on intangible
assets, information on intercompany transactions, and data for capital
adequacy evaluation.
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\4\ Proposed revisions to the FR Y-9SP reporting panel are
discussed in the December 17, 1993 Federal Register Notice.
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Additional Reporting Form Revisions Necessitated By Call Report
Revisions.
FR Y-9C:
(1) Revise the reporting of securities in the followingFR Y-9C
schedules to reflect the effect of Financial Accounting Standards Board
Statement No. 115, ``Accounting for Certain Investments in Debt and
Equity Securities'' (FASB 115), which bank holding companies must adopt
for reporting purposes for fiscal years beginning after December 15,
1993:
(a) In the body of Schedule HC-A, ``Securities,'' the amortized
cost and fair value for each type of held-to-maturity securities would
be reported separately from the amortized cost and fair value for each
type of available-for-sale securities. In addition, as announced in the
December 17, 1993 Federal Register Notice, bank holding companies with
total consolidated assets of $1 billion or more will be required to
report additional detail as a memoranda item on certain debt
securities, mortgage-backed securities and equity securities. This
information will include the amortized cost and fair value of each type
of held-to-maturity or available-for-sale security classified as
certain debt, mortgage-backed securities and equity securities.
(b) On Schedule HC-A, Memoranda item 5, ``Debt securities held for
sale,'' would be deleted. A new Memorandum item would be added for the
amortized cost of held-to-maturity securities sold or transferred
during the calendar year-to-date.
(c) On Schedule HC, ``Balance Sheet,'' item 2, ``Securities,''
would be split into separate items for ``Available-for-sale
securities'' and ``Held-to-maturity securities,'' while a new item
(26.e) would be added and entitled ``Net unrealized holding gains
(losses) on available-for-sale securities.''
(d) On Schedule HI, ``Income Statement,'' item 6, ``Gains (Losses)
on securities not held in trading accounts,'' would be split into
separate items for gains (losses) on available-for-sale securities and
held-to-maturity securities.
(e) On Schedule HI-A, ``Changes in Equity Capital,'' item 13 would
be recaptioned as ``Change in net unrealized holding gains (losses) on
available-for-sale securities.''
(2) Revisions related to trading activities and derivative
products:
(a) On Schedule HC, ``Balance Sheet,'' a new category of
liabilities, ``Trading liabilities,'' would be added.
(b) On Schedule HC-G, ``Memoranda,'' revaluation gains and losses
on interest rate, foreign exchange rate, and other commodity and equity
contracts would be reported, as well as ``liability for short
positions.'' This additional information on Schedule HC-G would be
reported only by bank holding companies with total consolidated assets
of $1 billion or more, or with $2 billion or more in par/notional
amounts of interest rate, foreign exchange rate, and other commodity
and equity contracts.
(c) On Schedule HC-H, which collects past due and nonaccrual data,
additional items would be added to collect interest rate, foreign
exchange rate, and other commodity and equity contracts that are past
30 through 89 days or past due 90 days or more. Bank holding companies
would report the book value of amounts carried as assets on the balance
sheet for such past due contracts as well as the replacement costs of
those past due contracts with a positive replacement cost. This
additional information on Schedule HC-G would be reported only by bank
holding companies with total consolidated assets of $1 billion or more,
or with $2 billion or more in par/notional amounts of interest rate,
foreign exchange rate, and other commodity and equity contracts.
Consistent with existing treatment of certain Schedule HC-H data, bank
holding company information on contracts past due 30 through 89 days
would be treated as confidential.
FR Y-9LP:
Revise the reporting in the following FR Y-9LP schedules to reflect the
effect of FASB 115:
(a) On Schedule PC, ``Balance Sheet,'' add a new item to equity
(item 20.e) entitled ``Net unrealized holding gains (losses) on
available-for-sale securities.''
(b) On Schedule PC-b, ``Memoranda,'' revise item 11 to collect the
``market value of securities classified as available-for-sale in
Schedule PC, item 2.a through 2.c'' and the ``amortized cost of
securities classified as held-to-maturity in Schedule PC, item 2.a
through 2.c.''
FR Y-9SP:
Revise the reporting in the following FR Y-9SP schedules to reflect the
effect of FASB 115:
(a) On the Balance Sheet, add a new item to equity (item 16.d)
entitled ``Net unrealized holding gains (losses) on available-for-sale
securities.''
(b) On the Memoranda section of the balance sheet, revise item 6 to
collect the ``market value of securities classified as available-for-
sale in item 2 of the balance sheet'' and the ``amortized cost of
securities classified as held-to-maturity in item 2 of the balance
sheet.''
Legal Status
The Legal Division has determined that (12 U.S.C. 1844(b) and (c))
authorizes the Board to require these reports.
Overall, the Board does not consider the data in these reports to
be confidential. However, a bank holding company may request
confidential treatment pursuant to section (b)(4) and (b)(6) of the
Freedom of Information Act (5 U.S.C. 552(b)(4) and (b)(6)). Section
(b)(4) provides exemption for ``trade secrets and commercial or
financial information obtained from a person and privileged or
confidential.'' Section (b)(6) provides exemption for ``personnel and
medical files and similar files the disclosure of which would
constitute a clearly unwarranted invasion of personal privacy.''
Section (b)(8) exempts matters that are ``contained in or related to
examination, operating, or condition reports prepared by, on behalf of,
or for the use of an agency responsible for the regulation or
supervision of financial institutions.''
The Legal Division has also determined that on the Y-9C, Schedule
HC-H, Column A, requiring information on ``assets past due 30 through
89 days and still accruing'' and memoranda item 2 are confidential
pursuant to Section (b)(8) of the Freedom of Information Act (5 U.S.C.
552(b)(8)).
Regulatory Flexibility Act Analysis
The Board certifies that the above bank holding company reporting
requirements are not expected to have a significant economic impact on
small entities within the meaning of the Regulatory Flexibility Act (5
U.S.C. 601 et seq.). The reporting requirements for the small companies
require significantly fewer items of data to be submitted than the
amount of information required of large bank holding companies.
The information that is collected on the reports is essential for
the detection of emerging financial problems, the assessment of a
holding company's financial condition and capital adequacy, the
performance of pre-inspection reviews, and the evaluation of expansion
activities through mergers and acquisitions. The imposition of the
reporting requirements is essential for the Board's supervision of bank
holding companies under the Bank Holding Company Act.
Board of Governors of the Federal Reserve System, February 2,
1994.
William W. Wiles,
Secretary of the Board.
[FR Doc. 94-3112 Filed 2-9-94; 8:45 am]
BILLING CODE 6210-01-F