FEDERAL RESERVE statistical release H.4.1 Factors Affecting Reserve Balances of Depository Institutions and Condition Statement of Federal Reserve Banks November 6, 2008 1. Factors Affecting Reserve Balances of Depository Institutions Millions of dollars Reserve Bank credit, related items, and Averages of daily figures reserve balances of depository institutions at Week ended Change from week ended Wednesday Federal Reserve Banks Nov 5, 2008 Oct 29, 2008 Nov 7, 2007 Nov 5, 2008 Reserve Bank credit 2,055,846 + 182,898 +1,191,384 2,057,946 Securities held outright 490,027 - 355 - 289,576 489,691 U.S. Treasury (1) 476,462 - 23 - 303,141 476,456 Bills (2) 18,423 0 - 248,596 18,423 Notes and bonds, nominal (2) 410,529 - 228 - 60,455 410,491 Notes and bonds, inflation-indexed (2) 41,033 + 227 + 4,122 41,071 Inflation compensation (3) 6,477 - 22 + 1,788 6,470 Federal agency (2) 13,565 - 332 + 13,565 13,235 Repurchase agreements (4) 80,000 0 + 37,179 80,000 Term auction credit 301,363 0 + 301,363 301,363 Other loans 359,009 - 29,800 + 358,764 346,531 Primary credit 109,994 - 1,952 + 109,803 108,567 Secondary credit 0 - 1 0 0 Seasonal credit 10 - 7 - 44 9 Primary dealer and other broker-dealer credit (5) 77,020 - 10,373 + 77,020 71,642 Asset-backed commercial paper money market mutual fund liquidity facility 91,729 - 8,173 + 91,729 85,097 Other credit extensions 80,257 - 9,292 + 80,257 81,215 Net portfolio holdings of Commercial Paper Funding Facility LLC (6) 226,008 + 185,189 + 226,008 243,305 Net portfolio holdings of Maiden Lane LLC (7) 26,850 + 41 + 26,850 26,863 Float -1,326 - 86 - 662 -1,559 Other Federal Reserve assets 573,915 + 27,909 + 531,458 571,753 Gold stock 11,041 0 0 11,041 Special drawing rights certificate account 2,200 0 0 2,200 Treasury currency outstanding (8) 38,801 + 14 + 92 38,801 Total factors supplying reserve funds 2,107,889 + 182,913 +1,191,477 2,109,989 Note: Components may not sum to totals because of rounding. Footnotes appear on the following page. H.4.1 1. Factors Affecting Reserve Balances of Depository Institutions, continued Millions of dollars Reserve Bank credit, related items, and Averages of daily figures reserve balances of depository institutions at Week ended Change from week ended Wednesday Federal Reserve Banks Nov 5, 2008 Oct 29, 2008 Nov 7, 2007 Nov 5, 2008 Currency in circulation (8) 860,823 + 3,375 + 45,037 863,774 Reverse repurchase agreements (9) 95,271 + 948 + 57,981 96,663 Foreign official and international accounts 70,271 + 948 + 32,981 71,663 Dealers 25,000 0 + 25,000 25,000 Treasury cash holdings 271 + 2 - 27 264 Deposits with F.R. Banks, other than reserve balances 613,169 - 54,397 + 601,082 606,540 U.S. Treasury, general account 31,800 - 68,936 + 26,681 18,652 U.S. Treasury, supplementary financing account 558,851 - 13 + 558,851 558,851 Foreign official 208 + 34 + 110 229 Service-related 6,000 + 2 - 583 6,000 Required clearing balances 6,000 + 2 - 583 6,000 Adjustments to compensate for float 0 0 0 0 Other 16,311 + 14,517 + 16,024 22,808 Other liabilities and capital (10) 44,722 + 276 + 2,413 45,166 Total factors, other than reserve balances, absorbing reserve funds 1,614,256 - 49,796 + 706,485 1,612,405 Reserve balances with Federal Reserve Banks 493,633 + 232,709 + 484,992 497,583 Note: Components may not sum to totals because of rounding. 1. Includes securities lent to dealers under the overnight and term securities lending facilities; 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. Cash value of agreements. 5. Includes credit extended through the Primary Dealer Credit Facility and credit extended to certain other broker-dealers. 6. Refer to table 4 and the notes on consolidation accompanying table 6. 7. Fair value. Refer to table 3 and the notes on consolidation accompanying table 6. 8. Estimated. 9. Cash value of agreements, which are collateralized by U.S. Treasury securities. 10. Includes the liabilities of Maiden Lane LLC and Commercial Paper Funding Facility LLC to entities other than the Federal Reserve Bank of New York, including liabilities that have recourse only to the portfolio holdings of these entities. Refer to tables 3 and 4 and the notes on consolidation accompanying table 6. Sources: Federal Reserve Banks and the U.S. Department of the Treasury. 1A. Memorandum Items Millions of dollars Averages of daily figures Memorandum item Week ended Change from week ended Wednesday Nov 5, 2008 Oct 29, 2008 Nov 7, 2007 Nov 5, 2008 Marketable securities held in custody for foreign official and international accounts (1) 2,494,267 + 8,075 + 461,696 2,495,962 U.S. Treasury 1,587,762 + 16,588 + 350,587 1,594,096 Federal agency 906,504 - 8,514 + 111,108 901,865 Securities lent to dealers 220,648 - 1,918 + 213,399 219,513 Overnight facility (2) 20,649 - 4,418 + 13,400 19,514 Term facility (3) 199,999 + 2,500 + 199,999 199,999 Note: Components may not sum to totals because of rounding. 1. Face value of the securities. Includes U.S. Treasury STRIPS and other zero-coupon bonds at face value. 2. Fully collateralized by U.S. Treasury securities. 3. Fully collateralized by U.S. Treasury securities, federal agency securities, and other highly rated debt securities. 2. Maturity Distribution of Term Auction Credit, Other Loans, and Securities, November 5, 2008 Millions of dollars Remaining maturity Within 15 16 days to 91 days to Over 1 year Over 5 years Over 10 All days 90 days 1 year to 5 years to 10 years years Term auction credit 138,271 163,092 --- --- --- --- 301,363 Other loans (1) 186,055 90,122 8,989 61,365 --- --- 346,531 U.S. Treasury securities (2) Holdings 24,416 21,763 61,228 173,414 94,312 101,323 476,456 Weekly changes + 9,096 - 8,961 - 112 - 21 - 5 - 10 - 13 Federal agency securities Holdings 734 8,917 3,584 0 0 0 13,235 Weekly changes + 83 - 318 - 150 0 0 0 - 385 Commercial paper held by Commercial Paper Funding Facility LLC (3) 0 244,593 0 --- --- --- 244,593 Repurchase agreements (4) 40,000 40,000 --- --- --- --- 80,000 Reverse repurchase agreements (4) 96,663 0 --- --- --- --- 96,663 Note: Components may not sum to totals because of rounding. --- Not applicable. 1. Excludes the loans from the Federal Reserve Bank of New York to Maiden Lane LLC and Commercial Paper Funding Facility LLC that were eliminated when preparing that Bank's statement of condition consistent with consolidation under generally accepted accounting principles. The loan to Maiden Lane LLC is designed to be repaid from the orderly liquidation of Maiden Lane LLC's portfolio holdings and does not have a fixed amortization schedule. 2. 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. 3. Face value of commercial paper held by Commercial Paper Funding Facility LLC. 4. Cash value of agreements. H.4.1 3. Information on Principal Accounts of Maiden Lane LLC Millions of dollars Wednesday Account name Nov 5, 2008 Net portfolio holdings of Maiden Lane LLC (1) 26,863 Outstanding principal amount of loan extended by the Federal Reserve Bank of New York (2) 28,820 Accrued interest payable to the Federal Reserve Bank of New York (2) 221 Outstanding principal amount and accrued interest on loan payable to JPMorgan Chase & Co. (3) 1,178 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, 2008. 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 notes 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. Payments by Maiden Lane LLC from the proceeds of the net portfolio holdings will be made in the following order: operating expenses of the LLC, principal due to the FRBNY, interest due to the FRBNY, principal due to JPMorgan Chase & Co., and interest due to JPMorgan Chase & Co. Any remaining funds will be paid to the FRBNY. 4. Information on Principal Accounts of Commercial Paper Funding Facility LLC Millions of dollars Wednesday Account name Nov 5, 2008 Commercial paper holdings, net (1) 242,197 Other investments, net 1,108 Net portfolio holdings of Commercial Paper Funding Facility LLC 243,305 Memorandum: Commercial paper holdings, face value 244,593 Outstanding principal amount of loan extended by the Federal Reserve Bank of New York (2) 243,124 Accrued interest payable to the Federal Reserve Bank of New York (2) 60 1. Book value, which includes amortized cost and related fees. 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 notes on consolidation accompanying table 6. Note: On October 27, 2008, the Federal Reserve Bank of New York began extending loans under the authority of section 13(3) of the Federal Reserve Act to Commercial Paper Funding Facility LLC. This LLC is a limited liability company that was formed to purchase three-month U.S.dollar-denominated commercial paper from eligible issuers and thereby foster liquidity in short-term funding markets and increase the availability of credit for businesses and households. H.4.1 5. Consolidated Statement of Condition of All Federal Reserve Banks Millions of dollars Eliminations Change since from Wednesday Wednesday Wednesday Assets, liabilities, and capital consolidation Nov 5, 2008 Oct 29, 2008 Nov 7, 2007 Assets Gold certificate account 11,037 0 0 Special drawing rights certificate account 2,200 0 0 Coin 1,648 + 3 + 418 Securities, repurchase agreements, term auction credit, and other loans 1,217,584 - 23,631 + 388,627 Securities held outright 489,691 - 398 - 289,922 U.S. Treasury (1) 476,456 - 13 - 303,157 Bills (2) 18,423 0 - 248,596 Notes and bonds, nominal (2) 410,491 - 266 - 60,493 Notes and bonds, inflation-indexed (2) 41,071 + 265 + 4,160 Inflation compensation (3) 6,470 - 14 + 1,771 Federal agency (2) 13,235 - 385 + 13,235 Repurchase agreements (4) 80,000 0 + 32,000 Term auction credit 301,363 0 + 301,363 Other loans 346,531 - 23,232 + 345,187 Net portfolio holdings of Commercial Paper Funding Facility LLC (5) 243,305 + 98,497 + 243,305 Net portfolio holdings of Maiden Lane LLC (6) 26,863 + 15 + 26,863 Items in process of collection (438) 1,424 + 341 - 1,507 Bank premises 2,169 - 5 + 59 Other assets (7) 569,591 + 29,921 + 528,826 Total assets (438) 2,075,822 + 105,142 +1,186,593 Liabilities Federal Reserve notes, net of F.R. Bank holdings 826,880 + 3,167 + 44,676 Reverse repurchase agreements (8) 96,663 + 2,008 + 60,305 Deposits (0) 1,104,130 + 98,432 +1,079,062 Depository institutions 503,590 + 77,618 + 483,793 U.S. Treasury, general account 18,652 - 832 + 13,750 U.S. Treasury, supplementary financing account 558,851 - 13 + 558,851 Foreign official 229 + 42 + 131 Other (0) 22,808 + 21,616 + 22,536 Deferred availability cash items (438) 2,983 + 666 - 402 Other liabilities and accrued dividends (9,10) 4,009 + 130 - 1,954 Total liabilities (438) 2,034,665 + 104,404 +1,181,688 Capital accounts Capital paid in 20,364 + 50 + 2,411 Surplus 18,532 + 197 + 3,076 Other capital accounts 2,261 + 492 - 583 Total capital 41,157 + 739 + 4,905 Note: Components may not sum to totals because of rounding. 1. Includes securities lent to dealers under the overnight and term securities lending facilities; 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. Cash value of agreements, which are collateralized by U.S. Treasury and federal agency securities. 5. Refer to table 4 and the notes on consolidation accompanying table 6. 6. Fair value. Refer to table 3 and the notes on consolidation accompanying table 6. 7. Includes assets denominated in foreign currencies and any exchange-translation assets, which are revalued daily at market exchange rates. 8. Cash value of agreements, which are collateralized by U.S. Treasury securities. 9. Includes any exchange-translation liabilities, which are revalued daily at market exchange rates. 10. Includes the liabilities of Maiden Lane LLC and Commercial Paper Funding Facility LLC to entities other than the Federal Reserve Bank of New York, including liabilities that have recourse only to the portfolio holdings of these entities. Refer to the notes on consolidation accompanying table 6. H.4.1 6. Statement of Condition of Each Federal Reserve Bank, November 5, 2008 Millions of dollars Kansas San Assets, liabilities, and capital Total Boston New York Philadelphia Cleveland Richmond Atlanta Chicago St. Louis Minneapolis City Dallas Francisco Assets Gold certificate account 11,037 424 3,935 453 423 891 1,221 913 344 199 349 636 1,249 Special drawing rights certificate acct. 2,200 115 874 83 104 147 166 212 71 30 66 98 234 Coin 1,648 50 77 129 132 225 214 191 44 56 113 177 240 Securities, repurchase agreements, term auction credit, and other loans 1,217,584 123,551 579,297 30,143 37,969 133,092 72,558 59,655 22,856 15,942 25,654 27,825 89,042 Securities held outright 489,691 20,539 174,229 21,381 18,569 44,404 48,723 43,220 16,922 9,245 17,980 20,313 54,165 U.S. Treasury (1) 476,456 19,984 169,520 20,803 18,067 43,204 47,407 42,052 16,465 8,995 17,494 19,764 52,701 Bills (2) 18,423 773 6,555 804 699 1,671 1,833 1,626 637 348 676 764 2,038 Notes and bonds (3) 458,033 19,212 162,965 19,998 17,368 41,534 45,574 40,426 15,828 8,647 16,818 19,000 50,663 Federal agency (2) 13,235 555 4,709 578 502 1,200 1,317 1,168 457 250 486 549 1,464 Repurchase agreements (4) 80,000 3,356 28,464 3,493 3,034 7,254 7,960 7,061 2,765 1,510 2,937 3,318 8,849 Term auction credit 301,363 14,500 140,138 2,505 15,860 69,047 15,515 7,467 3,000 5,060 670 3,506 24,095 Other loans 346,531 85,156 236,467 2,764 506 12,387 360 1,907 170 126 4,066 688 1,933 Net portfolio holdings of Commercial Paper Funding Facility LLC (5) 243,305 0 243,305 0 0 0 0 0 0 0 0 0 0 Net portfolio holdings of Maiden Lane LLC (6) 26,863 0 26,863 0 0 0 0 0 0 0 0 0 0 Items in process of collection 1,862 55 96 268 281 -13 344 82 10 175 47 141 376 Bank premises 2,169 123 210 64 150 217 225 206 129 111 274 251 209 Other assets (7) 569,591 32,201 146,194 54,840 39,189 150,811 43,967 25,724 5,924 10,899 6,359 11,506 41,977 Interdistrict settlement account 0 - 78,098 + 242,067 - 36,428 - 15,367 - 103,082 - 4,759 + 6,855 + 3,848 - 8,719 + 2,368 + 1,942 - 10,628 Total assets 2,076,260 78,420 1,242,919 49,552 62,882 182,288 113,935 93,838 33,227 18,693 35,230 42,576 122,700 Note: Components may not sum to totals because of rounding. 1. Includes securities lent to dealers under the overnight and term securities lending facilities; 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. Cash value of agreements, which are collateralized by U.S. Treasury and federal agency securities. 5. Refer to table 4 and the notes on consolidation below. 6. Fair value. Refer to the notes on consolidation below. 7. Includes assets denominated in foreign currencies and any exchange-translation assets, which are revalued daily at market exchange rates. Notes on consolidation: On June 26, 2008, the Federal Reserve Bank of New York (FRBNY) extended a loan under the authority of section 13(3) of the Federal Reserve Act to Maiden Lane LLC, a limited liability company formed to acquire certain assets of Bear Stearns. The FRBNY is the primary beneficiary of Maiden Lane LLC. Consistent with generally accepted accounting principles, the assets and liabilities of Maiden Lane LLC have been 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 extension of credit from the FRBNY to Maiden Lane LLC is eliminated, the net assets of Maiden Lane LLC appear as an asset in this table (and table 1 and table 5), and the liabilities of Maiden Lane LLC to entities other than the FRBNY, including those with recourse only to the portfolio holdings of Maiden Lane LLC, are included in other liabilities on the next page (and in table 1 and table 5). On October 27, 2008, the Federal Reserve Bank of New York (FRBNY) began extending loans under the authority of section 13(3) of the Federal Reserve Act to Commercial Paper Funding Facility LLC (CPFF LLC). This LLC is a limited liability company that was formed to purchase three-month U.S. dollar-denominated commercial paper from eligible issuers. The FRBNY is the sole beneficiary of CPFF LLC. Consistent with generally accepted accounting principles, the assets and liabilities of CPFF LLC have been 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 extension of credit from the FRBNY to CPFF LLC is eliminated, the net assets of CPFF LLC appear as an asset in this table (and table 1 and table 5), and the liabilities of CPFF LLC to entities other than the FRBNY are included in other liabilities on the next page (and table 1 and table 5). 6. Statement of Condition of Each Federal Reserve Bank, November 5, 2008 (continued) Millions of dollars Kansas San Assets, liabilities, and capital Total Boston New York Philadelphia Cleveland Richmond Atlanta Chicago St. Louis Minneapolis City Dallas Francisco Liabilities Federal Reserve notes outstanding 1,002,439 38,429 350,475 42,372 47,472 82,219 119,996 82,045 29,703 17,364 30,481 54,483 107,400 Less: Notes held by F.R. Banks 175,560 5,711 44,865 5,868 7,572 11,487 28,379 13,135 3,324 2,731 3,600 22,787 26,101 Federal Reserve notes, net 826,880 32,718 305,610 36,504 39,899 70,732 91,618 68,910 26,378 14,633 26,882 31,697 81,299 Reverse repurchase agreements (8) 96,663 4,054 34,392 4,220 3,665 8,765 9,618 8,531 3,340 1,825 3,549 4,010 10,692 Deposits 1,104,130 39,480 891,407 3,386 15,504 90,598 8,748 14,247 2,911 1,072 4,115 5,746 26,916 Depository institutions 503,590 39,457 291,089 3,380 15,501 90,473 8,745 14,244 2,907 1,071 4,114 5,695 26,913 U.S. Treasury, general account 18,652 0 18,652 0 0 0 0 0 0 0 0 0 0 U.S. Treasury, supplementary financing account 558,851 0 558,851 0 0 0 0 0 0 0 0 0 0 Foreign official 229 2 199 4 3 11 3 2 0 1 0 1 3 Other 22,808 21 22,616 1 0 115 0 0 3 0 1 50 0 Deferred availability cash items 3,421 91 0 533 531 359 258 291 31 361 124 288 555 Other liabilities and accrued dividends (9,10) 4,009 182 1,221 210 204 546 405 309 161 111 132 184 345 Total liabilities 2,035,103 76,526 1,232,631 44,853 59,803 171,000 110,647 92,288 32,821 18,002 34,801 41,924 119,807 Capital Capital paid in 20,364 784 5,162 2,330 1,524 5,841 1,610 685 208 324 207 269 1,419 Surplus 18,532 1,050 4,693 1,815 1,291 4,999 1,426 816 180 355 193 364 1,351 Other capital 2,261 59 433 554 263 448 252 50 18 12 29 19 123 Total liabilities and capital 2,076,260 78,420 1,242,919 49,552 62,882 182,288 113,935 93,838 33,227 18,693 35,230 42,576 122,700 Note: Components may not sum to totals because of rounding. 8. Cash value of agreements, which are collateralized by U.S. Treasury securities. 9. Includes any exchange-translation liabilities, which are revalued daily at market exchange rates. 10. Includes the liabilities of Maiden Lane LLC and Commercial Paper Funding Facility LLC to entities other than the Federal Reserve Bank of New York, including liabilities that have recourse only to the portfolio holdings of these entities. Refer to the notes on consolidation on the previous page. H.4.1 7. Collateral Held against Federal Reserve Notes: Federal Reserve Agents' Accounts Millions of dollars Federal Reserve notes and collateral Wednesday Nov 5, 2008 Federal Reserve notes outstanding 1,002,439 Less: Notes held by F.R. Banks not subject to collateralization 175,560 Federal Reserve notes to be collateralized 826,880 Collateral held against Federal Reserve notes 826,880 Gold certificate account 11,037 Special drawing rights certificate account 2,200 U.S. Treasury and agency securities pledged (1) 478,849 Other assets pledged 334,794 Memo: Total U.S. Treasury and agency securities (1) 569,691 Less: Face value of securities under reverse repurchase agreements 90,842 U.S. Treasury and agency securities eligible to be pledged 478,849 Note: Components may not sum to totals because of rounding. 1. Includes face value of U.S. Treasury and agency 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.