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Board of Governors of the Federal Reserve System
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Board of Governors of the Federal Reserve System

Monthly Report on Credit and Liquidity Programs
and the Balance Sheet

September 2010 (1.4 MB PDF)

Overview

Recent Developments

  • On August 20, 2010, American International Group, Inc. (AIG) made a payment of approximately $3.95 billion to the Federal Reserve Bank of New York (FRBNY) on the AIG revolving credit facility. AIG funded the payment with proceeds from the issuance of senior secured notes by International Lease Finance Corporation, a wholly owned subsidiary. Under the terms of the revolving credit facility, the payment also reduced the maximum amount available under the facility from approximately $34 billion to approximately $30 billion.
  • On August 30, 2010, the CPFF LLC, a limited liability company specially created to purchase commercial paper under the Commercial Paper Funding Facility (CPFF), was dissolved. The CPFF was closed on February 1, 2010, and the remaining commercial paper holdings under the CPFF matured on April 26, 2010. The LLC was dissolved following the payment of accrued professional fees and the termination or expiration of existing contractual arrangements. The final audited financial statements for the CPFF LLC are available at www.federalreserve.gov/monetarypolicy/bst_fedfinancials.htm.
  • On September 8, 2010, the Federal Reserve Board announced that it has authorized ongoing small-value offerings of term deposits under the Term Deposit Facility (TDF). These small-value offerings are designed to ensure the operational readiness of the TDF and to provide eligible institutions with an opportunity to gain familiarity with term deposit procedures. The Board currently anticipates that TDF auctions will be held about every other month. Following this approach, two auctions offering $5 billion of 28-day deposits will be conducted over the remainder of this year on October 4 and November 29. The schedule, amounts, and other terms for small-value auctions to be conducted in 2011 will be announced at later dates. The development of the TDF and the ongoing small-value TDF offerings are a matter of prudent planning and have no implications for the near-term conduct of monetary policy.
  • As previously announced, in March 2010 the Federal Reserve completed purchases of $1.25 trillion in agency-guaranteed mortgage-backed securities (MBS) under the large-scale asset purchase programs (LSAPs), but continued to conduct transactions to facilitate orderly settlement of outstanding purchases. As of August 19, 2010, the settlement of all remaining outstanding MBS from these purchases was completed.

Table 1. Assets, Liabilities, and Capital of the Federal Reserve System
Billions of dollars

Item Current
August 25, 2010 		Change from
July 28, 2010 		Change from
August 26, 2009
Total assets 2,304 -25 226
Selected assets
   Securities held outright 2,044 -10 559
       U.S. Treasury securities1 784 7 39
       Federal agency debt securities1 157 -2 40
       Mortgage-backed securities2 1,103 -14 480
       Memo: Overnight securities lending3 8 2 -5
       Memo: Net commitments to purchase mortgage-backed securities4 0 -3 -140
   Lending to depository institutions5 * -* -31
   Central bank liquidity swaps6 * -1 -60
   Lending through other credit facilities 37 -4 -47
       Net portfolio holdings of Commercial Paper Funding Facility LLC 0 -* -49
       Term Asset-Backed Securities Loan Facility7 37 -4 2
   Net portfolio holdings of TALF LLC8 1 +* 1
   Support for specific institutions 114 -4 13
       Credit extended to American International Group, Inc., net9 19 -4 -20
       Net portfolio holdings of Maiden Lane LLC10 29 -* 3
       Net portfolio holdings of Maiden Lane II LLC10 16 -* 1
       Net portfolio holdings of Maiden Lane III LLC10 23 -1 2
       Preferred interests in AIA Aurora LLC and ALICO Holdings LLC7 26 0 26
Total liabilities 2,248 -23 220
Selected liabilities
   Federal Reserve notes in circulation 906 3 36
   Term deposits of depository institutions 2 -2 2
   Other deposits of depository institutions 1,053 2 191
   U.S. Treasury, general account 6 -24 -7
   U.S. Treasury, supplementary financing account 200 -* +*
   Other deposits * +* +*
Total capital 56 -2 5
Unaudited. Components may not sum to totals because of rounding.
* Less than $500 million. Return to table
1. Face value. Return to table
2. Guaranteed by Fannie Mae, Freddie Mac, and Ginnie Mae. Current face value, which is the remaining principal balance of the underlying mortgages. Does not include unsettled transactions. Return to table
3. Securities loans under the overnight facility are off-balance-sheet transactions. These loans are shown here as a memo item to indicate the portion of securities held outright that have been lent through this program. Return to table
4. Current face value. Includes commitments associated with outright purchases, dollar rolls, and coupon swaps. Return to table
5. Total of primary, seasonal, and secondary credit. Return to table
6. Dollar value of the 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. Return to table
7. Book value. Return to table
8. As of August 25, 2010, TALF LLC had purchased no assets from the FRBNY. Return to table
9. Excludes credit extended to Maiden Lane II and III LLCs. Return to table
10. Fair value, reflecting values as of June 30, 2010. 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. Fair values are updated quarterly. Return to table

Figure 1. Credit and Liquidity Programs and the Federal Reserve's Balance Sheet

Figure 1. Credit and Liquidity Programs and the Federal Reserve's Balance Sheet
Accessible version

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Last update: August 2, 2013