Board of Governors of the Federal Reserve System

Data Dictionary

Item Number 5990

Call confidentiality applies to FFIEC 031/041.

Data Description:

Includes all cumulative perpetual preferred stock that does not have the rate features of auction rate perpetual preferred stock.

NOTE:

Reported on Schedule HC-R for the FR Y-9C (BHCK) report.

COMPARABILITY:

Prior to 3/31/01, reported on Schedule HC-IC for the FR Y-9C (BHCK) report.

Also included in this item, cumulative preferred stock instruments issued out of a special purpose subsidiary that is wholly owned by the parent company and are eligible for inclusion in Tier 1 capital. These instruments, which are marketed under a variety of names such as MIPS and TOPRS, will result in the reporting of minority interest on Schedule HC upon consolidation. The amount of these instruments, together with other cumulative preferred stock a bank holding company may include in Tier 1 capital, is limited to 25 percent of Tier 1 capital, as specified by the Risk-Based Capital Guidelines.

Cumulative perpetual preferred stock is perpetual preferred stock that has dividend rights that accumulate whether earned or not. Any dividends that are not declared by the board of directors ("passed") that are legally due will result in dividend arrearages that constitute a claim by cumulative preferred stockholders that must be paid in full before any dividends may be paid to the common shareholders.

The amount reported in this item is reported net of any perpetual preferred stock included in treasury stock. In addition, if the holding company's ESOP uses the proceeds of its borrowings to purchase cumulative perpetual preferred stock other than auction rate perpetual preferred stock, the amount of the offsetting debit to the liability recorded for that debt is netted from the amount of other perpetual preferred stock reported in this item.