FRB: H.4.1 Release--Factors Affecting Reserve Balances--January 2, 2015

FEDERAL RESERVE statistical release

H.4.1

Factors Affecting Reserve Balances of Depository Institutions and
Condition Statement of Federal Reserve Banks January 2, 2015

1. Factors Affecting Reserve Balances of Depository Institutions
Millions of dollars
Reserve Bank credit, related items, and Averages of daily figures Wednesday
reserve balances of depository institutions at Week ended Change from week ended Dec 31, 2014
Federal Reserve Banks Dec 31, 2014 Dec 24, 2014 Jan 1, 2014

Reserve Bank credit 4,459,689 - 11,879 + 478,177 4,457,837
Securities held outright (1) 4,238,404 - 11,548 + 482,232 4,236,873
U.S. Treasury securities 2,461,388 - 64 + 252,597 2,461,364
Bills (2) 0 0 0 0
Notes and bonds, nominal (2) 2,346,712 0 + 242,840 2,346,712
Notes and bonds, inflation-indexed (2) 98,469 0 + 7,090 98,469
Inflation compensation (3) 16,207 - 64 + 2,667 16,183
Federal agency debt securities (2) 38,677 0 - 18,544 38,677
Mortgage-backed securities (4) 1,738,339 - 11,483 + 248,179 1,736,832
Unamortized premiums on securities held outright (5) 207,016 - 745 - 1,681 206,835
Unamortized discounts on securities held outright (5) -18,406 + 35 - 6,049 -18,394
Repurchase agreements (6) 0 0 0 0
Loans 135 + 23 - 38 145
Primary credit 50 + 18 + 33 79
Secondary credit 0 0 0 0
Seasonal credit 85 + 5 + 26 67
Term Asset-Backed Securities Loan Facility (7) 0 0 - 97 0
Other credit extensions 0 0 0 0
Net portfolio holdings of Maiden Lane LLC (8) 1,678 0 + 137 1,678
Net portfolio holdings of Maiden Lane II LLC (9) 0 0 - 63 0
Net portfolio holdings of Maiden Lane III LLC (9) 0 0 - 22 0
Net portfolio holdings of TALF LLC (10) 0 0 - 109 0
Float -436 + 37 + 133 -555
Central bank liquidity swaps (11) 672 + 642 + 400 1,528
Other Federal Reserve assets (12) 30,627 - 323 + 3,240 29,726
Foreign currency denominated assets (13) 21,049 - 82 - 2,771 21,071
Gold stock 11,041 0 0 11,041
Special drawing rights certificate account 5,200 0 0 5,200
Treasury currency outstanding (14) 46,353 + 14 + 860 46,353

Total factors supplying reserve funds 4,543,332 - 11,947 + 476,267 4,541,502

Note: Components may not sum to totals because of rounding. Footnotes appear at the end of the table.

1. Factors Affecting Reserve Balances of Depository Institutions (continued)
Millions of dollars
Reserve Bank credit, related items, and Averages of daily figures Wednesday
reserve balances of depository institutions at Week ended Change from week ended Dec 31, 2014
Federal Reserve Banks Dec 31, 2014 Dec 24, 2014 Jan 1, 2014

Currency in circulation (14) 1,341,572 + 8,671 + 101,111 1,343,008
Reverse repurchase agreements (15) 346,451 + 66,004 + 111,365 509,837
Foreign official and international accounts 104,682 + 6,408 - 11,827 113,132
Others 241,769 + 59,596 + 123,192 396,705
Treasury cash holdings 197 + 6 - 38 201
Deposits with F.R. Banks, other than reserve balances 216,845 + 21,300 + 63,496 249,014
Term deposits held by depository institutions 0 0 0 0
U.S. Treasury, General Account 192,063 + 16,970 + 86,959 223,452
Foreign official 5,214 + 1 - 2,768 5,242
Other (16) 19,567 + 4,328 - 20,697 20,320
Other liabilities and capital (17) 63,481 - 912 + 180 61,447

Total factors, other than reserve balances,
absorbing reserve funds 1,968,546 + 95,068 + 276,114 2,163,507

Reserve balances with Federal Reserve Banks 2,574,784 - 107,017 + 200,151 2,377,995

Note: Components may not sum to totals because of rounding.

1. Includes securities lent to dealers under the overnight securities lending facility; refer to table
1A.
2. Face value of the securities.
3. Compensation that adjusts for the effect of inflation on the original face value of
inflation-indexed securities.
4. Guaranteed by Fannie Mae, Freddie Mac, and Ginnie Mae. The current face value shown is the
remaining principal balance of the securities.
5. Reflects the premium or discount, which is the difference between the purchase price and the face
value of the securities that has not been amortized. For U.S. Treasury and Federal agency debt
securities, amortization is on a straight-line basis. For mortgage-backed securities, amortization is on an
effective-interest basis.
6. Cash value of agreements.
7. Includes credit extended by the Federal Reserve Bank of New York to eligible borrowers through the
Term Asset-Backed Securities Loan Facility.
8. Refer to table 4 and the note on consolidation accompanying table 6.
9. Fair value. Fair value reflects an estimate of the price that would be received upon selling an
asset if the transaction were to be conducted in an orderly market on the measurement date. Refer to the
note on consolidation accompanying table 6.
10. Refer to the note on consolidation accompanying table 6.
11. Dollar value of foreign currency held under these agreements valued at the exchange rate to be used
when the foreign currency is returned to the foreign central bank. This exchange rate equals the
market exchange rate used when the foreign currency was acquired from the foreign central bank.
12. Includes accrued interest, which represents the daily accumulation of interest earned, and other
accounts receivable. Also, includes Reserve Bank premises and equipment net of allowances for
depreciation.
13. Revalued daily at current foreign currency exchange rates.
14. Estimated.
15. Cash value of agreements, which are collateralized by U.S. Treasury securities, federal agency debt
securities, and mortgage-backed securities.
16. Includes deposits held at the Reserve Banks by international and multilateral organizations,
government-sponsored enterprises, and designated financial market utilities.
17. Includes the liability for interest on Federal Reserve notes due to U.S. Treasury.

Sources: Federal Reserve Banks and the U.S. Department of the Treasury.

1A. Memorandum Items
Millions of dollars
Memorandum item Averages of daily figures Wednesday
Week ended Change from week ended Dec 31, 2014
Dec 31, 2014 Dec 24, 2014 Jan 1, 2014

Securities held in custody for foreign official and
international accounts 3,293,152 - 14,979 - 60,689 3,298,372
Marketable U.S. Treasury securities (1) 2,959,985 - 12,947 - 38,654 2,965,585
Federal agency debt and mortgage-backed securities (2) 291,350 - 2,038 - 20,439 290,949
Other securities (3) 41,817 + 6 - 1,596 41,838
Securities lent to dealers 10,835 - 1,541 - 3,935 10,721
Overnight facility (4) 10,835 - 1,541 - 3,935 10,721
U.S. Treasury securities 10,162 - 1,556 - 3,558 10,105
Federal agency debt securities 673 + 15 - 377 616

Note: Components may not sum to totals because of rounding.

1. Includes securities and U.S. Treasury STRIPS at face value, and inflation compensation on TIPS.
Does not include securities pledged as collateral to foreign official and international account holders
against reverse repurchase agreements with the Federal Reserve presented in tables 1, 5, and 6.
2. Face value of federal agency securities and current face value of mortgage-backed securities, which
is the remaining principal balance of the securities.
3. Includes non-marketable U.S. Treasury securities, supranationals, corporate bonds, asset-backed
securities, and commercial paper at face value.
4. Face value. Fully collateralized by U.S. Treasury securities.

2. Maturity Distribution of Securities, Loans, and Selected Other Assets and Liabilities, December 31, 2014

Millions of dollars
Remaining Maturity Within 15 16 days to 91 days to Over 1 year Over 5 year Over 10 All
days 90 days 1 year to 5 years to 10 years years

Loans 140 5 0 0 0 ... 145
U.S. Treasury securities (1)
Holdings 0 5 3,516 1,112,927 686,627 658,289 2,461,364
Weekly changes - 1 + 1 0 + 7,074 - 7,089 - 41 - 56
Federal agency debt securities (2)
Holdings 1,089 711 3,933 30,597 0 2,347 38,677
Weekly changes + 1,089 - 1,089 0 0 0 0 0
Mortgage-backed securities (3)
Holdings 0 0 0 12 6,453 1,730,367 1,736,832
Weekly changes 0 0 0 - 1 - 110 - 10,434 - 10,545
Repurchase agreements (4) 0 0 ... ... ... ... 0
Central bank liquidity swaps (5) 1,528 0 0 0 0 0 1,528

Reverse repurchase agreements (4) 509,837 0 ... ... ... ... 509,837
Term deposits 0 0 0 ... ... ... 0

Note: Components may not sum to totals because of rounding.
...Not applicable.

1. Face value. For inflation-indexed securities, includes the original face value and compensation
that adjusts for the effect of inflation on the original face value of such securities.
2. Face value.
3. Guaranteed by Fannie Mae, Freddie Mac, and Ginnie Mae. The current face value shown is the
remaining principal balance of the securities.
4. Cash value of agreements.
5. Dollar value of foreign currency held under these agreements valued at the exchange rate to be used
when the foreign currency is returned to the foreign central bank. This exchange rate equals the
market exchange rate used when the foreign currency was acquired from the foreign central bank.

3. Supplemental Information on Mortgage-Backed Securities
Millions of dollars
Account name Wednesday
Dec 31, 2014

Mortgage-backed securities held outright (1) 1,736,832

Commitments to buy mortgage-backed securities (2) 27,486
Commitments to sell mortgage-backed securities (2) 0

Cash and cash equivalents (3) 29

1. Guaranteed by Fannie Mae, Freddie Mac, and Ginnie Mae. The current face value shown is the
remaining principal balance of the securities.
2. Current face value. Generally settle within 180 days and include commitments associated with
outright transactions, dollar rolls, and coupon swaps.
3. This amount is included in other Federal Reserve assets in table 1 and in other assets in table 5
and table 6.

4. Information on Principal Accounts of Maiden Lane LLC
Millions of dollars
Account name Wednesday
Dec 31, 2014

Net portfolio holdings of Maiden Lane LLC (1) 1,678

Outstanding principal amount of loan extended by the Federal Reserve Bank of New York (2) 0
Accrued interest payable to the Federal Reserve Bank of New York (2) 0
Outstanding principal amount and accrued interest on loan payable to JPMorgan Chase & Co. (3) 0

1. Fair value. Fair value reflects an estimate of the price that would be received upon selling an
asset if the transaction were to be conducted in an orderly market on the measurement date. Revalued
quarterly. This table reflects valuations as of September 30, 2014. Any assets purchased after this
valuation date are initially recorded at cost until their estimated fair value as of the purchase date
becomes available.
2. Book value. This amount was eliminated when preparing the Federal Reserve Bank of New York's
statement of condition consistent with consolidation under generally accepted accounting principles. Refer
to the note on consolidation accompanying table 6.
3. Book value. The fair value of these obligations is included in other liabilities and capital in
table 1 and in other liabilities and accrued dividends in table 5 and table 6.

Note: On June 26, 2008, the Federal Reserve Bank of New York (FRBNY) extended credit to Maiden Lane LLC
under the authority of section 13(3) of the Federal Reserve Act. This limited liability company was formed to
acquire certain assets of Bear Stearns and to manage those assets through time to maximize repayment of the credit
extended and to minimize disruption to financial markets. The remaining outstanding balances of the senior
loan from FRBNY to Maiden Lane LLC, and the subordinated loan from JPMorgan Chase & Co. to Maiden Lane LLC were
repaid in full, with interest.

5. Consolidated Statement of Condition of All Federal Reserve Banks
Millions of dollars
Assets, liabilities, and capital Eliminations Wednesday Change since
from Dec 31, 2014 Wednesday Wednesday
consolidation Dec 24, 2014 Jan 1, 2014

Assets
Gold certificate account 11,037 0 0
Special drawing rights certificate account 5,200 0 0
Coin 1,873 + 2 - 82
Securities, unamortized premiums and discounts,
repurchase agreements, and loans 4,425,460 - 11,174 + 472,873
Securities held outright (1) 4,236,873 - 10,601 + 480,715
U.S. Treasury securities 2,461,364 - 56 + 252,589
Bills (2) 0 0 0
Notes and bonds, nominal (2) 2,346,712 0 + 242,841
Notes and bonds, inflation-indexed (2) 98,469 0 + 7,090
Inflation compensation (3) 16,183 - 56 + 2,658
Federal agency debt securities (2) 38,677 0 - 18,544
Mortgage-backed securities (4) 1,736,832 - 10,545 + 246,670
Unamortized premiums on securities held outright
(5) 206,835 - 631 - 1,775
Unamortized discounts on securities held outright
(5) -18,394 + 31 - 6,042
Repurchase agreements (6) 0 0 0
Loans 145 + 26 - 26
Net portfolio holdings of Maiden Lane LLC (7) 1,678 0 + 137
Net portfolio holdings of Maiden Lane II LLC (8) 0 0 - 63
Net portfolio holdings of Maiden Lane III LLC (8) 0 0 - 22
Net portfolio holdings of TALF LLC (9) 0 0 - 109
Items in process of collection (0) 86 - 40 - 79
Bank premises 2,264 - 1 - 25
Central bank liquidity swaps (10) 1,528 + 1,498 + 1,256
Foreign currency denominated assets (11) 21,071 + 30 - 2,750
Other assets (12) 27,463 - 2,117 + 2,884

Total assets (0) 4,497,660 - 11,802 + 474,020

Note: Components may not sum to totals because of rounding. Footnotes appear at the end of the table.

5. Consolidated Statement of Condition of All Federal Reserve Banks (continued)
Millions of dollars
Assets, liabilities, and capital Eliminations Wednesday Change since
from Dec 31, 2014 Wednesday Wednesday
consolidation Dec 24, 2014 Jan 1, 2014

Liabilities
Federal Reserve notes, net of F.R. Bank holdings 1,298,725 + 4,478 + 100,805
Reverse repurchase agreements (13) 509,837 + 211,004 + 193,913
Deposits (0) 2,627,009 - 225,438 + 181,389
Term deposits held by depository institutions 0 0 0
Other deposits held by depository institutions 2,377,996 - 231,639 + 128,926
U.S. Treasury, General Account 223,452 + 45,541 + 61,053
Foreign official 5,242 + 33 - 2,728
Other (14) (0) 20,320 - 39,372 - 5,861
Deferred availability cash items (0) 641 - 17 - 486
Other liabilities and accrued dividends (15) 4,304 - 1,838 - 3,731

Total liabilities (0) 4,440,516 - 11,811 + 471,889

Capital accounts
Capital paid in 28,572 + 4 + 1,065
Surplus 28,572 + 4 + 1,065
Other capital accounts 0 0 0

Total capital 57,144 + 9 + 2,130

Note: Components may not sum to totals because of rounding.

1. Includes securities lent to dealers under the overnight securities lending facility; refer to table
1A.
2. Face value of the securities.
3. Compensation that adjusts for the effect of inflation on the original face value of
inflation-indexed securities.
4. Guaranteed by Fannie Mae, Freddie Mac, and Ginnie Mae. The current face value shown is the
remaining principal balance of the securities.
5. Reflects the premium or discount, which is the difference between the purchase price and the face
value of the securities that has not been amortized. For U.S. Treasury and Federal agency debt
securities, amortization is on a straight-line basis. For mortgage-backed securities, amortization is on an
effective-interest basis.
6. Cash value of agreements, which are collateralized by U.S. Treasury and federal agency securities.
7. Refer to table 4 and the note on consolidation accompanying table 6.
8. Fair value. Fair value reflects an estimate of the price that would be received upon selling an
asset if the transaction were to be conducted in an orderly market on the measurement date. Refer to the
note on consolidation accompanying table 6.
9. Refer to the note on consolidation accompanying table 6.
10. Dollar value of foreign currency held under these agreements valued at the exchange rate to be used
when the foreign currency is returned to the foreign central bank. This exchange rate equals the
market exchange rate used when the foreign currency was acquired from the foreign central bank.
11. Revalued daily at current foreign currency exchange rates.
12. Includes accrued interest, which represents the daily accumulation of interest earned, and other
accounts receivable.
13. Cash value of agreements, which are collateralized by U.S. Treasury securities, federal agency debt
securities, and mortgage-backed securities.
14. Includes deposits held at the Reserve Banks by international and multilateral organizations,
government-sponsored enterprises, and designated financial market utilities.
15. Includes the liability for interest on Federal Reserve notes due to U.S. Treasury.

6. Statement of Condition of Each Federal Reserve Bank, December 31, 2014
Millions of dollars
Assets, liabilities, and capital Total Boston New York Philadelphia Cleveland Richmond Atlanta Chicago St. Louis Minneapolis Kansas Dallas San
City Francisco

Assets
Gold certificate account 11,037 352 4,125 338 464 824 1,349 706 278 173 291 880 1,257
Special drawing rights certificate acct. 5,200 196 1,818 210 237 412 654 424 150 90 153 282 574
Coin 1,873 30 79 122 120 307 208 279 23 45 152 188 320
Securities, unamortized premiums and
discounts, repurchase agreements,
and loans 4,425,460 89,527 2,716,101 106,024 96,620 247,335 244,634 180,899 54,583 27,168 58,322 134,841 469,405
Securities held outright (1) 4,236,873 85,704 2,600,438 101,503 92,506 236,802 234,212 173,167 52,259 25,965 55,809 129,099 449,409
U.S. Treasury securities 2,461,364 49,789 1,510,695 58,967 53,740 137,567 136,063 100,599 30,359 15,084 32,422 74,998 261,079
Bills (2) 0 0 0 0 0 0 0 0 0 0 0 0 0
Notes and bonds (3) 2,461,364 49,789 1,510,695 58,967 53,740 137,567 136,063 100,599 30,359 15,084 32,422 74,998 261,079
Federal agency debt securities (2) 38,677 782 23,739 927 844 2,162 2,138 1,581 477 237 509 1,178 4,103
Mortgage-backed securities (4) 1,736,832 35,133 1,066,005 41,609 37,921 97,073 96,011 70,987 21,423 10,644 22,878 52,922 184,228
Unamortized premiums on securities held
outright (5) 206,835 4,184 126,948 4,955 4,516 11,560 11,434 8,454 2,551 1,268 2,725 6,302 21,939
Unamortized discounts on securities
held outright (5) -18,394 -372 -11,290 -441 -402 -1,028 -1,017 -752 -227 -113 -242 -560 -1,951
Repurchase agreements (6) 0 0 0 0 0 0 0 0 0 0 0 0 0
Loans 145 11 4 7 0 1 5 30 0 48 31 0 8
Net portfolio holdings of Maiden
Lane LLC (7) 1,678 0 1,678 0 0 0 0 0 0 0 0 0 0
Net portfolio holdings of Maiden
Lane II LLC (8) 0 0 0 0 0 0 0 0 0 0 0 0 0
Net portfolio holdings of Maiden
Lane III LLC (8) 0 0 0 0 0 0 0 0 0 0 0 0 0
Net portfolio holdings of TALF LLC (9) 0 0 0 0 0 0 0 0 0 0 0 0 0
Items in process of collection 86 0 0 0 0 0 85 0 0 0 0 0 0
Bank premises 2,264 125 437 76 110 220 212 201 122 96 241 223 201
Central bank liquidity swaps (10) 1,528 70 491 115 122 319 88 42 13 6 16 26 221
Foreign currency denominated
assets (11) 21,071 954 6,836 1,578 1,669 4,376 1,206 579 176 89 221 351 3,036
Other assets (12) 27,463 587 16,633 658 602 1,676 1,516 1,112 396 199 388 841 2,856
Interdistrict settlement account 0 + 49,256 - 187,135 - 3,978 + 38,310 - 2,866 + 13,822 - 756 - 4,413 + 3,822 + 3,791 + 23,463 + 66,685

Total assets 4,497,660 141,096 2,561,062 105,142 138,253 252,603 263,774 183,488 51,328 31,688 63,576 161,094 544,556

Note: Components may not sum to totals because of rounding. Footnotes appear at the end of the table.

6. Statement of Condition of Each Federal Reserve Bank, December 31, 2014 (continued)
Millions of dollars
Assets, liabilities, and capital Total Boston New York Philadelphia Cleveland Richmond Atlanta Chicago St. Louis Minneapolis Kansas Dallas San
City Francisco

Liabilities
Federal Reserve notes outstanding 1,469,554 45,981 475,436 46,584 68,797 103,501 214,071 101,542 41,505 23,234 38,360 120,016 190,528
Less: Notes held by F.R. Banks 170,829 4,688 56,971 4,940 7,811 11,153 22,254 10,427 4,734 3,078 4,537 14,760 25,477
Federal Reserve notes, net 1,298,725 41,292 418,465 41,644 60,986 92,348 191,817 91,115 36,771 20,156 33,822 105,257 165,052
Reverse repurchase agreements (13) 509,837 10,313 312,919 12,214 11,132 28,495 28,183 20,838 6,288 3,124 6,716 15,535 54,079
Deposits 2,627,009 86,762 1,809,358 47,925 61,516 118,197 39,638 69,740 7,610 7,978 22,333 39,294 316,657
Term deposits held by depository
institutions 0 0 0 0 0 0 0 0 0 0 0 0 0
Other deposits held by depository
institutions 2,377,996 86,758 1,560,513 47,897 61,513 118,097 39,629 69,727 7,610 7,978 22,332 39,292 316,649
U.S. Treasury, General Account 223,452 0 223,452 0 0 0 0 0 0 0 0 0 0
Foreign official 5,242 2 5,214 3 3 8 2 1 0 0 0 1 6
Other (14) 20,320 2 20,178 25 0 92 6 12 0 0 1 1 2
Deferred availability cash items 641 0 3 0 0 0 556 0 0 82 0 0 0
Interest on Federal Reserve notes due
to U.S. Treasury (15) 1,161 15 769 20 14 65 69 38 9 4 11 26 121
Other liabilities and accrued
dividends (16) 3,143 123 1,132 146 149 383 260 222 117 104 93 159 255

Total liabilities 4,440,516 138,505 2,542,647 101,949 133,798 239,489 260,523 181,953 50,796 31,448 62,975 160,270 536,164

Capital
Capital paid in 28,572 1,296 9,208 1,597 2,228 6,557 1,626 767 266 120 301 412 4,196
Surplus 28,572 1,296 9,208 1,597 2,228 6,557 1,626 767 266 120 301 412 4,196
Other capital 0 0 0 0 0 0 0 0 0 0 0 0 0

Total liabilities and capital 4,497,660 141,096 2,561,062 105,142 138,253 252,603 263,774 183,488 51,328 31,688 63,576 161,094 544,556

Note: Components may not sum to totals because of rounding. Footnotes appear at the end of the table.

6. Statement of Condition of Each Federal Reserve Bank, December 31, 2014 (continued)

1. Includes securities lent to dealers under the overnight securities lending facility; refer to table 1A.
2. Face value of the securities.
3. Includes the original face value of inflation-indexed securities and compensation that adjusts for the effect of inflation on the original face value of such securities.
4. Guaranteed by Fannie Mae, Freddie Mac, and Ginnie Mae. The current face value shown is the remaining principal balance of the securities.
5. Reflects the premium or discount, which is the difference between the purchase price and the face value of the securities that has not been amortized. For U.S. Treasury and Federal agency debt
securities, amortization is on a straight-line basis. For mortgage-backed securities, amortization is on an effective-interest basis.
6. Cash value of agreements, which are collateralized by U.S. Treasury and federal agency securities.
7. Refer to table 4 and the note on consolidation below.
8. Fair value. Fair value reflects an estimate of the price that would be received upon selling an asset if the transaction were to be conducted in an orderly market on the measurement date. Refer
to the note on consolidation below.
9. Refer to the note on consolidation below.
10. Dollar value of foreign currency held under these agreements valued at the exchange rate to be used when the foreign currency is returned to the foreign central bank. This exchange rate equals
the market exchange rate used when the foreign currency was acquired from the foreign central bank.
11. Revalued daily at current foreign currency exchange rates.
12. Includes accrued interest, which represents the daily accumulation of interest earned, and other accounts receivable.
13. Cash value of agreements, which are collateralized by U.S. Treasury securities, federal agency debt securities, and mortgage-backed securities.
14. Includes deposits held at the Reserve Banks by international and multilateral organizations, government-sponsored enterprises, and designated financial market utilities.
15. Represents the estimated weekly remittances to U.S. Treasury as interest on Federal Reserve notes or, in those cases where the Reserve Bank's net earnings are not sufficient to equate surplus to
capital paid-in, the deferred asset for interest on Federal Reserve notes. The amount of any deferred asset, which is presented as a negative amount in this line, represents the amount of the
Federal Reserve Bank's earnings that must be retained before remittances to the U.S. Treasury resume. The amounts on this line are calculated in accordance with Board of Governors policy, which requires
the Federal Reserve Banks to remit residual earnings to the U.S. Treasury as interest on Federal Reserve notes after providing for the costs of operations, payment of dividends, and the amount
necessary to equate surplus with capital paid-in.

Note on consolidation:

The Federal Reserve Bank of New York (FRBNY) extended loans to several limited liability companies under the authority of section 13(3) of the Federal Reserve Act. On June 26, 2008, a loan
was extended to Maiden Lane LLC, which was formed to acquire certain assets of Bear Stearns. On June 14, 2012, the remaining outstanding balance of the senior loan from FRBNY to Maiden Lane LLC
was repaid in full, with interest. On November 15, 2012, the remaining outstanding balance of the subordinated loan from JPMorgan Chase & Co. to Maiden Lane LLC was repaid in full, with
interest. On November 25, 2008, a loan was extended to Maiden Lane III LLC, which was formed to purchase multi-sector collateralized debt obligations on which the Financial Products group of the
American International Group, Inc. had written credit default swap contracts. On June 14, 2012, the loan from FRBNY to Maiden Lane III was repaid in full, with interest. On December 12, 2008, a
loan was extended to Maiden Lane II LLC, which was formed to purchase residential mortgage-backed securities from the U.S. securities lending reinvestment portfolio of subsidiaries of American
International Group, Inc. On March 1, 2012, the loan from FRBNY to Maiden Lane II was repaid in full, with interest. On November 25, 2008, the Federal Reserve Board authorized the FRBNY to
extend credit to TALF LLC, which was formed to purchase and manage any asset-backed securities received by the FRBNY in connection with the decision of a borrower not to repay a loan extended
under the Term Asset-Backed Securities Loan Facility. On January 15, 2013 the FRBNY's commitment to extend credit to TALF LLC was eliminated.

The FRBNY was the primary beneficiary of TALF LLC, because of the two beneficiaries of the LLC, the FRBNY and the U.S. Treasury, the FRBNY was primarily responsible for directing the
financial activities of TALF LLC. The FRBNY was the primary beneficiary of the other LLCs cited above because it received a majority of any residual returns of the LLCs and absorbed a majority of any
residual losses of the LLCs. Consistent with generally accepted accounting principles, the assets and liabilities of these LLCs were consolidated with the assets and liabilities of the FRBNY
in the preparation of the statements of condition shown on this release. As a consequence of the consolidation, the extensions of credit from the FRBNY to the LLCs were eliminated, the net
assets of the LLCs appeared as assets on the previous page (and in table 1 and table 5), and the liabilities of the LLCs to entities other than the FRBNY, including those with recourse only to
the portfolio holdings of the LLCs, were included in other liabilities in this table (and table 1 and table 5).

7. Collateral Held against Federal Reserve Notes: Federal Reserve Agents' Accounts
Millions of dollars
Federal Reserve notes and collateral Wednesday
Dec 31, 2014

Federal Reserve notes outstanding 1,469,554
Less: Notes held by F.R. Banks not subject to collateralization 170,829
Federal Reserve notes to be collateralized 1,298,725
Collateral held against Federal Reserve notes 1,298,725
Gold certificate account 11,037
Special drawing rights certificate account 5,200
U.S. Treasury, agency debt, and mortgage-backed securities pledged (1,2) 1,282,489
Other assets pledged 0
Memo:
Total U.S. Treasury, agency debt, and mortgage-backed securities (1,2) 4,236,873
Less: Face value of securities under reverse repurchase agreements 473,590
U.S. Treasury, agency debt, and mortgage-backed securities eligible to be pledged 3,763,283

Note: Components may not sum to totals because of rounding.

1. Includes face value of U.S. Treasury, agency debt, and mortgage-backed securities held outright,
compensation to adjust for the effect of inflation on the original face value of inflation-indexed
securities, and cash value of repurchase agreements.
2. Includes securities lent to dealers under the overnight securities lending facility; refer to table
1A.

Statistical releases