FRB: H.4.1 Release--Factors Affecting Reserve Balances--December 18, 2014

FEDERAL RESERVE statistical release

For Release at
4:30 P.M. EST
December 18, 2014

Publication Note

The Board's H.4.1 statistical release, "Factors Affecting Reserve Balances of Depository Institutions and
Condition Statement of Federal Reserve Banks," for the week ending December 24, 2014, will be published on
Monday, December 29, 2014, because the federal government is closed on both Thursday, December 25, 2014, and
Friday, December 26, 2014.

FEDERAL RESERVE statistical release

H.4.1

Factors Affecting Reserve Balances of Depository Institutions and
Condition Statement of Federal Reserve Banks December 18, 2014

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 17, 2014
Federal Reserve Banks Dec 17, 2014 Dec 10, 2014 Dec 18, 2013

Reserve Bank credit 4,463,861 + 16,101 + 505,375 4,462,036
Securities held outright (1) 4,243,803 + 13,728 + 510,921 4,242,129
U.S. Treasury securities 2,461,519 - 65 + 269,259 2,461,495
Bills (2) 0 0 0 0
Notes and bonds, nominal (2) 2,346,713 0 + 259,494 2,346,712
Notes and bonds, inflation-indexed (2) 98,469 0 + 7,090 98,469
Inflation compensation (3) 16,337 - 66 + 2,675 16,314
Federal agency debt securities (2) 38,677 0 - 18,544 38,677
Mortgage-backed securities (4) 1,743,607 + 13,793 + 260,206 1,741,957
Unamortized premiums on securities held outright (5) 207,805 + 203 - 1,063 207,632
Unamortized discounts on securities held outright (5) -18,477 + 32 - 7,073 -18,463
Repurchase agreements (6) 0 0 0 0
Loans 95 - 5 - 73 90
Primary credit 8 + 1 + 2 9
Secondary credit 0 0 0 0
Seasonal credit 88 - 5 + 24 81
Term Asset-Backed Securities Loan Facility (7) 0 0 - 98 0
Other credit extensions 0 0 0 0
Net portfolio holdings of Maiden Lane LLC (8) 1,681 0 + 161 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 -534 + 50 + 86 -535
Central bank liquidity swaps (11) 2 0 - 271 2
Other Federal Reserve assets (12) 29,485 + 2,091 + 2,880 29,501
Foreign currency denominated assets (13) 21,492 + 262 - 2,465 21,463
Gold stock 11,041 0 0 11,041
Special drawing rights certificate account 5,200 0 0 5,200
Treasury currency outstanding (14) 46,314 + 14 + 826 46,314

Total factors supplying reserve funds 4,547,909 + 16,377 + 503,736 4,546,054

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 17, 2014
Federal Reserve Banks Dec 17, 2014 Dec 10, 2014 Dec 18, 2013

Currency in circulation (14) 1,322,792 + 4,391 + 93,082 1,326,814
Reverse repurchase agreements (15) 235,294 - 4,612 + 119,431 230,016
Foreign official and international accounts 97,267 + 4,967 - 2,884 98,233
Others 138,027 - 9,579 + 122,315 131,783
Treasury cash holdings 187 - 5 - 40 190
Deposits with F.R. Banks, other than reserve balances 137,414 - 338,492 + 24,691 186,366
Term deposits held by depository institutions 0 - 402,153 - 13,532 0
U.S. Treasury, General Account 114,776 + 54,684 + 44,204 171,314
Foreign official 5,207 - 12 - 2,776 5,206
Other (16) 17,431 + 8,988 - 3,205 9,846
Other liabilities and capital (17) 65,315 + 1,327 + 966 63,559

Total factors, other than reserve balances,
absorbing reserve funds 1,761,001 - 337,393 + 238,129 1,806,944

Reserve balances with Federal Reserve Banks 2,786,907 + 353,769 + 265,607 2,739,110

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 17, 2014
Dec 17, 2014 Dec 10, 2014 Dec 18, 2013

Securities held in custody for foreign official and
international accounts 3,328,158 + 3,942 - 51,598 3,318,643
Marketable U.S. Treasury securities (1) 2,986,660 + 5,113 - 34,363 2,978,012
Federal agency debt and mortgage-backed securities (2) 299,623 - 969 - 15,824 298,807
Other securities (3) 41,875 - 201 - 1,410 41,824
Securities lent to dealers 11,338 - 292 + 92 11,461
Overnight facility (4) 11,338 - 292 + 92 11,461
U.S. Treasury securities 10,689 - 295 + 438 10,821
Federal agency debt securities 649 + 3 - 346 640

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 17, 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 39 52 0 0 0 ... 90
U.S. Treasury securities (1)
Holdings 1 4 3,516 1,105,863 693,726 658,385 2,461,495
Weekly changes + 1 0 - 1 - 9 - 9 - 48 - 65
Federal agency debt securities (2)
Holdings 0 1,800 3,933 30,597 0 2,347 38,677
Weekly changes 0 0 0 0 0 0 0
Mortgage-backed securities (3)
Holdings 0 0 0 13 6,563 1,735,382 1,741,957
Weekly changes 0 0 0 0 + 37 + 12,105 + 12,141
Repurchase agreements (4) 0 0 ... ... ... ... 0
Central bank liquidity swaps (5) 2 0 0 0 0 0 2

Reverse repurchase agreements (4) 130,016 100,000 ... ... ... ... 230,016
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 17, 2014

Mortgage-backed securities held outright (1) 1,741,957

Commitments to buy mortgage-backed securities (2) 31,300
Commitments to sell mortgage-backed securities (2) 0

Cash and cash equivalents (3) 84

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 17, 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 17, 2014 Wednesday Wednesday
consolidation Dec 10, 2014 Dec 18, 2013

Assets
Gold certificate account 11,037 0 0
Special drawing rights certificate account 5,200 0 0
Coin 1,876 + 14 - 88
Securities, unamortized premiums and discounts,
repurchase agreements, and loans 4,431,389 + 12,244 + 494,118
Securities held outright (1) 4,242,129 + 12,076 + 502,210
U.S. Treasury securities 2,461,495 - 65 + 264,203
Bills (2) 0 0 0
Notes and bonds, nominal (2) 2,346,712 - 1 + 254,438
Notes and bonds, inflation-indexed (2) 98,469 0 + 7,090
Inflation compensation (3) 16,314 - 65 + 2,675
Federal agency debt securities (2) 38,677 0 - 18,544
Mortgage-backed securities (4) 1,741,957 + 12,141 + 256,550
Unamortized premiums on securities held outright
(5) 207,632 + 159 - 1,250
Unamortized discounts on securities held outright
(5) -18,463 + 35 - 6,752
Repurchase agreements (6) 0 0 0
Loans 90 - 27 - 91
Net portfolio holdings of Maiden Lane LLC (7) 1,678 - 3 + 159
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) 101 + 21 + 2
Bank premises 2,264 + 1 - 23
Central bank liquidity swaps (10) 2 0 - 271
Foreign currency denominated assets (11) 21,463 + 38 - 2,513
Other assets (12) 27,237 + 1,067 + 2,994

Total assets (0) 4,502,247 + 13,382 + 494,185

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 17, 2014 Wednesday Wednesday
consolidation Dec 10, 2014 Dec 18, 2013

Liabilities
Federal Reserve notes, net of F.R. Bank holdings 1,282,562 + 5,146 + 93,386
Reverse repurchase agreements (13) 230,016 - 17,337 + 118,050
Deposits (0) 2,925,476 + 26,007 + 282,395
Term deposits held by depository institutions 0 - 402,153 - 13,532
Other deposits held by depository institutions 2,739,110 + 310,176 + 273,178
U.S. Treasury, General Account 171,314 + 122,507 + 54,316
Foreign official 5,206 - 46 - 2,767
Other (14) (0) 9,846 - 4,477 - 28,800
Deferred availability cash items (0) 635 + 12 - 158
Other liabilities and accrued dividends (15) 6,443 - 466 - 1,618

Total liabilities (0) 4,445,131 + 13,361 + 492,054

Capital accounts
Capital paid in 28,558 + 10 + 1,066
Surplus 28,558 + 10 + 1,066
Other capital accounts 0 0 0

Total capital 57,116 + 21 + 2,132

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 17, 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 1,876 30 78 124 121 308 207 279 24 44 151 189 322
Securities, unamortized premiums and
discounts, repurchase agreements,
and loans 4,431,389 89,638 2,719,770 106,160 96,751 247,668 244,968 181,121 54,660 27,201 58,390 135,027 470,034
Securities held outright (1) 4,242,129 85,811 2,603,664 101,628 92,620 237,095 234,502 173,382 52,324 25,997 55,879 129,259 449,967
U.S. Treasury securities 2,461,495 49,792 1,510,776 58,970 53,743 137,575 136,070 100,605 30,361 15,085 32,424 75,002 261,093
Bills (2) 0 0 0 0 0 0 0 0 0 0 0 0 0
Notes and bonds (3) 2,461,495 49,792 1,510,776 58,970 53,743 137,575 136,070 100,605 30,361 15,085 32,424 75,002 261,093
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) 1,741,957 35,237 1,069,150 41,732 38,033 97,359 96,294 71,196 21,486 10,675 22,946 53,078 184,771
Unamortized premiums on securities held
outright (5) 207,632 4,200 127,437 4,974 4,533 11,605 11,478 8,486 2,561 1,272 2,735 6,327 22,024
Unamortized discounts on securities
held outright (5) -18,463 -373 -11,332 -442 -403 -1,032 -1,021 -755 -228 -113 -243 -563 -1,958
Repurchase agreements (6) 0 0 0 0 0 0 0 0 0 0 0 0 0
Loans 90 1 0 0 0 0 8 8 3 45 20 4 2
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 101 0 0 0 0 0 100 0 0 1 0 0 0
Bank premises 2,264 124 438 75 110 220 213 199 122 96 242 224 201
Central bank liquidity swaps (10) 2 0 1 0 0 0 0 0 0 0 0 0 0
Foreign currency denominated
assets (11) 21,463 976 6,904 1,614 1,707 4,475 1,234 593 180 91 226 359 3,105
Other assets (12) 27,237 580 16,371 772 590 1,652 1,485 1,093 380 193 377 936 2,809
Interdistrict settlement account 0 + 25,236 - 78,174 - 11,292 + 19,418 - 14,720 - 195 - 11,740 - 7,027 + 2,065 - 973 + 12,878 + 64,526

Total assets 4,502,247 117,132 2,673,008 98,000 119,397 240,839 250,015 172,675 48,768 29,953 58,857 150,774 542,828

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 17, 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 1,470,496 45,742 477,500 46,107 68,792 103,294 214,740 101,275 41,227 23,094 38,096 120,058 190,573
Less: Notes held by F.R. Banks 187,935 5,224 64,266 5,551 8,946 11,984 23,316 11,122 4,937 3,368 5,010 16,970 27,241
Federal Reserve notes, net 1,282,562 40,518 413,233 40,556 59,846 91,309 191,425 90,153 36,290 19,726 33,085 103,088 163,332
Reverse repurchase agreements (13) 230,016 4,653 141,175 5,510 5,022 12,856 12,715 9,401 2,837 1,410 3,030 7,009 24,398
Deposits 2,925,476 69,176 2,097,207 48,478 49,809 122,912 41,668 71,252 8,957 8,320 22,003 39,615 346,078
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 2,739,110 69,172 1,911,046 48,446 49,805 122,788 41,659 71,239 8,957 8,320 21,999 39,609 346,070
U.S. Treasury, General Account 171,314 0 171,314 0 0 0 0 0 0 0 0 0 0
Foreign official 5,206 2 5,179 3 3 8 2 1 0 0 0 1 6
Other (14) 9,846 2 9,669 30 0 115 6 12 0 0 4 5 2
Deferred availability cash items 635 0 0 0 0 0 505 0 0 130 0 0 0
Interest on Federal Reserve notes due
to U.S. Treasury (15) 1,826 31 1,190 51 41 24 104 79 22 9 22 57 197
Other liabilities and accrued
dividends (16) 4,616 176 1,786 212 224 632 347 258 132 118 115 185 432

Total liabilities 4,445,131 114,553 2,654,593 94,807 114,941 227,733 246,763 171,144 48,238 29,713 58,256 149,954 534,437

Capital
Capital paid in 28,558 1,290 9,208 1,597 2,228 6,553 1,626 766 265 120 301 410 4,196
Surplus 28,558 1,290 9,208 1,597 2,228 6,553 1,626 766 265 120 301 410 4,196
Other capital 0 0 0 0 0 0 0 0 0 0 0 0 0

Total liabilities and capital 4,502,247 117,132 2,673,008 98,000 119,397 240,839 250,015 172,675 48,768 29,953 58,857 150,774 542,828

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 17, 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 17, 2014

Federal Reserve notes outstanding 1,470,496
Less: Notes held by F.R. Banks not subject to collateralization 187,935
Federal Reserve notes to be collateralized 1,282,562
Collateral held against Federal Reserve notes 1,282,562
Gold certificate account 11,037
Special drawing rights certificate account 5,200
U.S. Treasury, agency debt, and mortgage-backed securities pledged (1,2) 1,266,325
Other assets pledged 0
Memo:
Total U.S. Treasury, agency debt, and mortgage-backed securities (1,2) 4,242,129
Less: Face value of securities under reverse repurchase agreements 211,574
U.S. Treasury, agency debt, and mortgage-backed securities eligible to be pledged 4,030,555

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