Report of Changes in Organizational Structure - ongoing
Report of Changes in Organizational Structure; Supplement to the Report of Changes in Organizational Structure; Annual Report of Bank Holding Companies; Annual Report of Foreign Banking Organizations
FRY10.instructions.20081205
Report of Changes in Organizational Structure - ongoing
OMB: 7100-0297
Board of Governors of the Federal Reserve System
Instructions for Preparation of
Report of Changes in Organizational Structure
Reporting Form FR Y-10
Effective December 2008
Instructions for the Report of Changes in
Organizational Structure (FR Y-10)
GENERAL INSTRUCTIONS
Introduction
Use the FR Y-10 to report changes to the worldwide organizational structure of bank holding companies (BHCs), member banks, Edge and agreement corporations, and to the U.S. operations of foreign banking organizations (FBOs).1 Such changes include:
information about the Reporter itself;
acquisition of interests in BHCs, FBOs, banks organized under U.S. law;
acquisition of interests in nonbanking companies that are owned by BHCs and non-qualifying FBOs, and nonbanking companies conducting business in the United States that are owned by qualifying FBOs;
transfer, sale, or liquidation of such interests;
merger of companies;
internal reorganization;
commencement of new activities;
certain merchant banking or insurance company investments;
establishment in the United States of branches, agencies, and representative offices of FBOs and activities through managed non-U.S. branches;
opening, closing, or relocation of foreign branches of member banks, BHCs, or Edge or agreement corporations and of their foreign subsidiaries;
opening, acquisition, sale, closing or relocation of domestic branches of U.S. subsidiary depository institutions of top-tier BHCs, of unaffiliated state member banks, and of Edge and agreement corporations; and
changes to previously reported information.
Depending on the nature of reported changes in structure and activity information, it will not always be necessary to file all schedules. Blank schedules should be omitted.
The instructions are divided into the following sections:
General Instructions describing overall reporting
requirements
Specific Instructions for completing the:
Cover Page
Banking Schedule
Nonbanking Schedule
Merger Schedule
4(k) Schedule
Branch, Agency, and Representative Office
of FBOs Schedule
Foreign Branches of U.S. Banking Organizations
Schedule
Domestic Branch Schedule
Glossary of terms used in these instructions
Appendices consisting of definitions of Federal Reserve Board Legal Authority Codes and of North American Industry Classification System (NAICS) Activity Codes for Commonly Reported Activities
Reporters are required to prepare and file this report in accordance with these instructions to reflect an accurate representation of their organizational structure.
If more than one transaction is reportable for a particular submission, multiple schedules should be submitted. Several supporting schedules may be included under one Cover Page.
Who Must Report
The following companies (termed Reporters for purposes of the FR Y-10) are required to file this report:
Top-tier BHCs (including Employee Stock Option Plans (ESOPs) that are BHCs) organized under U.S. or foreign law that are not FBOs, regardless of financial holding company (FHC) status.
FBOs (both qualifying and nonqualifying) (see the Glossary), whether or not a BHC.
State member banks (SMBs) not controlled by a BHC or a FBO.
Edge and agreement corporations not controlled by a BHC, FBO, or member bank.
National banks not controlled by a BHC or FBO, but only with respect to their foreign branches, their investments made under Subpart A of Regulation K, and foreign branches of their foreign subsidiaries that are investments made under Subpart A of Regulation. K.
Tiered Organizations
In the case of a tiered BHC organization where one BHC that is not a FBO controls another BHC that is not a FBO, the top-tier BHC should file reports on behalf of all lower-tier BHCs.
The same procedure should be followed by tiered organizations consisting of nonqualifying FBOs.
In the case of a tiered FBO organization, where one qualifying FBO2 controls another qualifying FBO, the top-tier FBO may file on behalf of all lower-tier FBOs or the lower-tier FBOs may choose to file separately.
In the case where an FBO owns lower-tier FBOs and BHCs, the top-tier FBO may file on behalf of itself and any lower-tier FBOs. The top-tier U.S. BHC is responsible for filing for itself and all lower-tier BHCs.
What Events Must Be Reported
The following categories of events (termed Reportable Events for purposes of the FR Y-10 and these instructions) generally trigger the requirement to file an FR Y-10. Note that a single transaction by a Reporter may involve more than one reportable event:
New Reporters: Any event that causes a company to become a Reporter. See the Changes in Reporter Status part of these instructions for further explanation and reporting directions.
Interests in Banking Companies: Acquisition, sale, or transfer of a controlling interest in, or more than 5 percent of a class of voting securities of, an existing or new BHC, bank organized under U.S. law, or FBO (Banking Company for purposes of the FR Y-10); changes in the level or type of ownership interest in a Banking Company; cessation of business or liquidation of a Banking Company; changes in the principal activities of a Banking Company; and changes to information previously reported on Federal Reserve structure reports3 about a Banking Company. See the Banking Schedule part of these instructions for further explanation and reporting directions.
Interests in Nonbanking Companies: Acquisition, sale, or transfer of a controlling interest in an existing or new company other than a BHC, bank organized under U.S. law, or FBO (Nonbanking Company for purposes of the FR Y-10); changes in the level or type of ownership interest in a Nonbanking Company; cessation of business or liquidation of a Nonbanking Company; changes in the principal activities of a Nonbanking Company; and changes to information previously reported on Federal Reserve structure reports about a Nonbanking Company. See the Nonbanking Schedule part of these instructions for further explanation and reporting directions.
Mergers: A merger involving a Banking or Nonbanking Company in which the Reporter previously had reported an ownership interest on Federal Reserve structure reports. See the Merger Schedule part of these instructions for further explanation and reporting directions.
4(k) Activities: Commencement by a Reporter that is a FHC of an activity it has not previously conducted, whether the result of acquisition of an existing Nonbanking Company, formation of a new Nonbanking Company, or commencement of a new activity by an existing company.
Merchant Banking or Insurance Company Investments: Certain large merchant banking investments or insurance company investments. See the 4(k) Schedule part of these instructions for further explanation and reporting directions.
Branches, Agencies, and Representative Offices: The opening, closing (with or without license surrender), or liquidation of a branch, agency, or representative office located in the United States and the commencement or termination of the management by a U.S. branch or agency of a non-U.S. branch of a FBO; and any changes to information previously reported on Federal Reserve structure reports about such offices. See the Branch, Agency, and Representative Office of FBOs Schedule part of these instructions for further explanation and reporting directions.
Foreign Branches of U.S. Banking Organizations: The opening, closing, or relocation of foreign branches of unaffiliated member banks, BHCs, or Edge or agreement corporations, or of foreign subsidiaries of such organizations; and any changes to information previously reported on Federal Reserve structure reports about such offices. See the Foreign Branches of U.S. Banking Organizations Schedule of these instructions for further explanation and reporting directions.
Domestic Branches: The opening, purchase, acquisition, sale, closure, relocation, name change, change in service type, or deletion of erroneously reported information of domestic branches of domestic depository institutions (including thrifts) of top-tier BHCs, of unaffiliated state member banks and of Edge and agreement corporations; and any changes to information previously reported on Federal Reserve structure reports about such branches. See the Domestic Branch Schedule part of these instructions for further explanation and reporting directions. A top-tier BHC is responsible for filing branch information for its domestic subsidiary depository institutions’ U.S. offices. Also, unaffiliated state member banks and unaffiliated Edge and agreement corporations are responsible for filing for their offices.
Cessation of Status as a Reporter: Any event that terminates a company's status as a Reporter. See the Changes in Reporter Status part of these instructions for further explanation and reporting directions.
Changes in Reporter Status
The following are Reportable Events:
Becoming a Reporter: Any event that causes a company to become a Reporter. To report, a new Reporter (BHC, FBO, unaffiliated SMB or Edge or agreement corporation, or National Bank) must complete a Banking or Nonbanking Schedule for itself, and a Banking or Nonbanking Schedule for its subsidiary. If the Reporter was a going concern prior to becoming a Reporter, follow instructions for “Acquisition of a Going Concern.” If the Reporter is a new company, follow instructions for “De Novo Formation.”
In addition, a new Reporter must report interests in any companies that are going concerns at the time the Reporter becomes a Reporter and must report any activity engaged in by the Reporter under Section 4(k) of the BHC Act. Report an interest in a going concern as if the Reporter acquired the interest simultaneously with becoming a Reporter by completing a Banking Schedule or Nonbanking Schedule, as appropriate, following directions for "Acquisition of a Going Concern." Report activities engaged in under Section 4(k) as if commenced simultaneously with becoming a Reporter by completing a 4(k) Schedule, following directions for "Acquisition of a Going Concern Resulting in a New Activity."
A foreign bank that becomes a FBO (and thereby becomes a Reporter) due to the establishment of an initial U.S. branch or agency must also complete a Branch, Agency, and Representative Office of FBOs Schedule with respect to the branch or agency. Such a foreign bank becomes a Reporter when the initial branch or agency opens for business, not when the branch or agency is licensed.
If deemed warranted for supervisory purposes, the Federal Reserve may request an organization chart. Because FR Y-10 reporting requirements differ from the Annual Report of Bank Holding Companies - FR Y-6 and the Annual Report of Foreign Banking Organizations – FR Y-7 reporting requirements, the organization chart submitted with the FR Y-10 may be different from the organization chart submitted with the Reporter's FR Y-6 or FR Y-7 report.
Cessation of Status as a Reporter: Any event that terminates a company's status as a Reporter. If termination of Reporter status results from sale or liquidation of a Reporter or from the Reporter becoming inactive, complete a Banking Schedule or Nonbanking Schedule, as appropriate, with respect to the Reporter. Follow the instructions for reporting the event type "External Transfer," "Liquidation," or "Became Inactive", as appropriate, and also check the event type box next to "No Longer Reportable."
If termination of Reporter status results from sale or liquidation of a Reporter's U.S. subsidiary banks, commercial lending company, or Edge or agreement corporation, complete a Banking Schedule or Nonbanking Schedule, as appropriate, following the instructions for "External Transfer" or "Liquidation," as appropriate. In addition, submit a Banking Schedule or Nonbanking Schedule, as appropriate, with respect to the Reporter, but only check the event type box next to "No Longer Reportable," provide the date of the event, and provide the Reporter's legal name and location in items 2 and 3 of the Characteristics Section.
If termination of Reporter status results from sale or closure of a Reporter’s U.S. branch(es) or agency(s), complete a Branch, Agency, and Representative Office of FBOs Schedule. In addition, submit a Banking Schedule or Nonbanking Schedule, as appropriate, with respect to the Reporter, but only check the event type box next to “No Longer Reportable”, and provide the date of the event and the Reporter’s legal name and location in the Characteristics Section.
Where and When to File this Report
The appropriate Federal Reserve Bank (see the Glossary) must receive an original and one copy of this report within 30 calendar days after a reportable event. Earlier submission would aid the Federal Reserve in reviewing and processing the report.
As an alternative, the Reporter may file the FR Y-10 electronically. Respondents interested in filing electronically must contact the appropriate Federal Reserve Bank in order to obtain a User ID and password. To access the FR Y-10 Online website, use the following URL:
https://y10online.federalreserve.gov.
Note: Reports that contain a request for confidential treatment should not be submitted electronically.
Information on the CUSIP number of the Reporter (BHC or unaffiliated state member bank); a BHC’s lower-tier U.S. BHCs, subsidiary U.S. banks; or a Reporter’s largest subsidiary U.S. nonbanking company that has a currently active CUSIP number must be assessed only once a year as of December 31. Changes to this data must be reported on an event-generated basis within 30 calendar days of such changes.
The as-of date for the initial collection of Item 8, Tax ID Number, on both the Banking and Nonbanking Schedules, is December 31, 2008. The initial data must be received by the appropriate Federal Reserve Bank by March 31, 2009.
Transactions Occurring Between January 1, 2009 and March 31, 2009
Changes to the Tax ID Number that occur between January 1 and March 31, 2009, should be reported by April 30, 2009. Changes to Tax ID Number that occur after March 31, 2009, should be reported within thirty days after the event. De novo institutions established between January 1, 2009, and March 31, 2009, should report all applicable Tax ID data by April 30, 2009. De novo institutions established after March 31, 2009, should report all applicable Tax ID data within days after they are established and changes going forward within thirty days after the change.
Confidential Treatment
Once submitted, a FR Y-10 report becomes a Federal Reserve Board (Board) record and may be requested by any member of the public pursuant to the Freedom of Information Act (FOIA), 5 U.S.C. § 552. Under the FOIA, Board records generally must be disclosed unless they are determined to fall, in whole or in part, within the scope of one or more of the FOIA exemptions from disclosure. See 5 U.S.C. § 552(b)(1)-(9).
The exempt categories include (but are not limited to) “trade secrets and commercial or financial information obtained from a person and privileged or confidential” (exemption 4), and information that, if disclosed, “would constitute a clearly unwarranted invasion of personal privacy” (exemption 6). A Reporter may request confidential treatment for any information submitted on the FR Y-10 that the Reporter believes is exempt from disclosure under FOIA. The Reporter must follow the steps outlined immediately below, and certify on the completed and signed Cover Page to the FR Y-10 that these steps have been followed.
Reporters that seek confidential treatment for specific responses to the FR Y-10 must divide their report submission into two parts, filed simultaneously. The separately bound confidential volume should be accompanied by a cover page marked “confidential” and include only those report item responses for which confidential treatment is requested. The public volume should include responses to all of the report items. The responses to those items for which confidential treatment is requested should indicate that the responsive data may be found in the confidential volume. They also should clearly describe or visually indicate the amount of information for which confidential treatment is sought.
The Reporter also must submit a letter concurrent with submission of the two-part FR Y-10, identifying the specific information for which confidential treatment is sought, providing legal justification for the request, and describing the specific harm that would result from disclosure of the information. Unsupported or conclusory statements that disclosure will cause competitive harm or result in an invasion of privacy will be considered insufficient to support the request for confidential treatment.
Reporters must submit a request for confidential treatment at the time of filing this report even if they previously requested (and were or were not accorded) confidential treatment for the same information as previously provided to the Board.
Information for which confidential treatment is requested may be released subsequently by the Federal Reserve System if the Board of Governors determines that the disclosure of such information is required by law or in the public interest. In general, Federal Reserve staff will notify the Reporter before releasing information for which confidential treatment has been requested. For further information on the procedures for requesting confidential treatment and the Board’s procedures for addressing such requests, consult the Board's Rules Regarding Availability of Information, 12 CFR part 261, including 12 CFR 261.15, which governs requests for confidential treatment.
Additional Information Requests
In some instances, the appropriate Federal Reserve Bank may request a Reporter to submit organization charts, narrative descriptions, or other information to supplement information provided on the FR Y-10. Provision of such information is not a substitute for a requirement to file a FR Y-10, but can aid in the understanding of significant acquisitions, mergers, reorganizations, or other transactions involving multiple reportable events. The Reporter must follow the steps outlined immediately above with respect to any additional information for which it seeks confidential treatment.
What Is the Legal Authority for the FR Y-10?
Submission of the FR Y-10 is required under authority of Sections 4(k) and 5(c)(1)(A) of the Bank Holding Company Act (12 U.S.C. §§ 1843(k), 1844(c)(1)(A)); Section 8(a) of the International Banking Act (12 U.S.C. § 3106(a)); Sections 9, 11(a)(1), 25(7), and 25A of the Federal Reserve Act (12 U.S.C. §§ 248(a)(1), 321, 602, 611a, and 615; Section 211.13(c) of Regulation K (12 CFR 211.13(c)); ; and Sections 225.5(b) and 225.87 of Regulation Y (12 CFR 225.5(b) and 225.87).
Specific Instructions for the Cover Page
(FR Y-10)
Submission Date
Provide the date on which the FR Y-10 is submitted.
Reporter's Name, Street and Mailing Addresses
Legal Name: Provide the Reporter's full legal name. If the Reporter's legal name has changed since the Reporter's last FR Y-10 filing, provide the Reporter’s new name on this line. In addition, report the name change in the Characteristics Section of the Banking Schedule or Nonbanking Schedule, as appropriate.
Street Address (Physical Location), City, County, State/Province, Country, and Zip/Postal Code: Provide the street address of the Reporter's main office. Do not use a post office box number as the street address. Provide the nine-digit zip code, if available.
Reporter's Mailing Address (if different from street address): For mailing purposes, provide the Reporter’s mailing address to which mailings for the Reporter should be sent. A street address or post office box is acceptable. Provide the nine-digit zip code, if available.
Contact's Name and Mailing Address for this Report
Name and Title: Provide the name and title of the person responsible for preparing the report on the Reporter's behalf as the contact person.
Phone Number: Provide the telephone number (including area code and if applicable, the extension) of the contact person.
Fax Number: Provide the fax number (including the area code) of the contact person.
E-mail Address: Provide the electronic mailing address of the contact person.
Contact's Mailing Address (if different from the Reporter’s mailing address): For mailing purposes, provide the contact’s mailing address to which mailing for the Reporter's contact person should be sent. The street address or post office box is acceptable. Provide the nine-digit zip code, if available.
Authorized Official
Printed Name & Title: Print the name and title of the Authorized Official (see Glossary for definition).
Signature of Authorized Official, Date of Signature: An authorized officer of the Reporter must sign and date the cover page of the FR Y-10 report to indicate that the report has been reviewed for accuracy. The signer may or may not be the same person as the contact person for the report.
Confidential Treatment
Indicate, by checking the box next to “Yes” or “No,” as appropriate, whether the Reporter seeks confidential treatment for any portion of the submission. If the Reporter has checked the “Yes” box, the Reporter should identify the specific report responses by schedule(s) and item number(s) for which confidential treatment is sought. The Reporter also should indicate (by checking the appropriate boxes on the cover page) that a letter justifying the request is being submitted with the form; and that the information for which confidential treatment is sought is being submitted separately and labeled “confidential.”
Specific Instructions for the Banking Schedule (FR Y-10)
What to Report
Use this schedule to report the acquisition of interests in Banking Companies, and other transactions involving interests in Banking Companies.4 For purposes of the FR Y-10, a Banking Company is a Bank Holding Company (BHC), bank organized under U.S. law, or Foreign Banking Organization (FBO).5 To complete the Banking Schedule, check the appropriate event type box(es), provide the date of the reportable event(s), and complete other items on the schedule as directed in the following instructions.
Interests in Banking Companies
Initial Acquisition / Formation: Reporters are required to file the FR Y-10 reports for the following list of general reporting categories. A Reporter's initial acquisition of an interest in a Banking Company, including the formation of a top-tier BHC, is a reportable event if as a result of the acquisition, the Reporter directly or indirectly acquires control of the Banking Company, or directly or indirectly acquires control of more than 5 percent of a class of the Banking Company's voting shares. The acquisition of such an interest is reported either as an "Acquisition of a Going Concern" or as a "De Novo Formation." To determine whether a Reporter controls a Banking Company, apply the definition of “control” found in the Glossary.
Subsequent Events: Once a Reporter has acquired such an interest in a Banking Company, the following events become reportable:
Any subsequent sale or transfer of the interest in whole or in part, and most changes to the Reporter's level of ownership in a Banking Company;
The transfer of all or part of the interest to another subsidiary within the Reporter’s organization;
Liquidation of a Banking Company;
Any changes rendering the Reporter's interest in a Banking Company no longer reportable; and
Any change to information previously reported on this schedule.
Multiple Direct Holders: In the case of a reportable event in which a Reporter acquires an interest in a Banking Company through more than one direct holder, the Reporter must file a separate Banking Schedule for each direct holder.6 As long as the Reporter's interest in the Banking Company remains reportable, the Reporter must report any subsequent acquisition of any additional interest in the Banking Company by any additional direct holders.
Reporting Mergers: When a Banking Company is merged into a Reporter or a Reporter's subsidiary as part of the same transaction in which the Reporter acquires the Banking Company (i.e., the Banking Company no longer exists as a legal entity), the acquisition of that Banking Company should be reported on the Merger Schedule instead of the Banking Schedule.
Check box if correction: Check this box to indicate that previously reported information was filed incorrectly and has been corrected with the information provided.
Item l.a. – Event Type
Check the event type box(es) that best describes the event type being reported. Do not report events that occur on separate dates on the same schedule.
Acquisition of a Going Concern: Initial acquisition by a direct holder of an interest in a Banking Company that is a going concern. To report, check the event type box next to "Acquisition of a Going Concern," report the date of the event in Item 1.b, and complete all sections of the schedule. Subsequent acquisition by the same direct holder of additional shares or other additional interest in the Banking Company should be reported as a "Change in Ownership."
Note: If the acquired going concern has one or more subsidiaries, the Reporter must file a separate Banking or Nonbanking Schedule (as appropriate) for each subsidiary.
De Novo Formation: Opening for business of a new Banking Company in which a direct holder has an interest. To report, check the event type box next to
"De Novo Formation," report the date of the event in Item 1.b, and complete all sections of the schedule. An interest in a Banking Company is not reportable until the Banking Company opens for business.
External Transfer: Sale, divestiture, or other transfer of a direct holder's entire previously reported interest in a Banking Company to a company other than the Reporter or its subsidiaries. To report, check the event type box next to "External Transfer," report the date of the event in Item 1.b, the Banking Company's legal name in Item 2.a, and location in Item 3.a of the Characteristics Section. In addition, in the Ownership Section, the Reporter should list the name and location of the former direct holder of the divested company in Item 16. Item 12 should be left blank.
Note: Report any partial external transfer of a previously reported interest in a Banking Company as a "Change in Ownership."
Internal Transfer: Sale or other transfer of a direct holder's entire previously reported interest in a Banking Company to the Reporter or to a different subsidiary of the Reporter. To report, check the event type box next to "Internal Transfer," report the date of the event in Item 1.b, the Banking Company's legal name in Item 2.a, and location in Item 3.a of the Characteristics Section. In addition, in the Ownership Section, report the new direct holder's (the acquirer's) name and location in Item 12, and report the former direct holder's (the seller's) name and location in Item 16. If the event results in any change in legal authority, also report the new legal authority code in the Activity and Legal Authority Section.
Note: Report any partial internal transfer of a previously reported interest in a Banking Company by filing two Banking Schedules: one as a "Change in Ownership" by the transferring direct holder and one as an "Acquisition of a Going Concern" by the acquiring direct holder.
The transferring direct holder should report by following the directions for reporting a “Change in Ownership.” The acquiring direct holder need only report the date of the event in Item 1.b and the Banking Company’s legal name in Item 2.a, and complete the Ownership Section as appropriate, excluding Item 16. If the event results in any change in legal authority, also report the new legal authority code in the Activity and Legal Authority Section.
Change in Ownership: Report any of the following: an increase or decrease in a direct holder's ownership percentage of a class of voting shares of a Banking Company if the percentage changes by one point or more, after rounding; a change in the direct holder's status with
respect to control of nonvoting shares of the Banking Company, control of any other ownership interest in the Banking Company, or control of the Banking Company; or a change in the Reporter's status with respect to control of the Banking Company. A direct holder's ownership percentage of a class of voting securities may change due to acquisition of additional shares, sale or transfer of some of the direct holder's shares, stock redemption, nonparticipation in a share issuance by the reportable bank, or other causes. To report, check the event type box next to "Change in Ownership," report the date of the event in Item 1.b, the Banking Company's legal name in Item 2.a, and location in Item 3.a of the Characteristics Section. In addition, in the Ownership Section, complete Items 12, 13, 14, 15, and 16 as appropriate, to reflect the Change in Ownership.
Liquidation: Liquidation of a Banking Company in which a direct holder previously had reported an interest. For purposes of the FR Y-10, liquidation refers to final distribution of assets, satisfaction of liabilities, and closing of capital accounts of a company, as opposed to sale or transfer of the company. Liquidation may result from voluntary dissolution or bankruptcy, and the liquidation process typically ends with termination of the company's legal existence. To report, check the event type boxes next to "No Longer Reportable" and "Liquidation," report the date of the event in Item 1.b, the Banking Company's legal name in Item 2.a, and location in Item 3.a of the Characteristics Section.
Note: A Reporter need not file a FR Y-10 if liquidating a company previously reported as "Became Inactive."
Change in Characteristics: Change of a Banking Company's legal name or address, or any other change to information previously reported. To report, check the event type box next to "Change in Characteristics" and report the date of the event in Item l.b. In addition, to report a name change, complete Items 2.a and 2.b, and for relocation, complete Items 3.a and 3.b. For any other change to this section, report the Banking Company's legal name in Item 2.a and location in Item 3.a of the Characteristics Section, and report updated information for the appropriate items in the section.
Change in Activity or Legal Authority: Change in a Banking Company's previously reported primary or secondary activity, commencement of a secondary activity, termination of a previously reported activity, or change in the legal authority under which a previously reported activity is conducted. To report, check the event type box next to "Change in Activity or Legal Authority," report the date of the event in Item l.b, the Banking Company's legal name in Item 2.a, and location in Item 3.a of the Characteristics Section. In addition, in the Activity and Legal Authority Section, report only the updated information.
No Longer Reportable: Any transaction that renders a Reporter's interest in a Banking Company no longer reportable. In general, once a Reporter acquires an interest in a Banking Company, the interest remains reportable so long as the Banking Company is actively engaged in business and: (1) the Reporter in the aggregate directly or indirectly controls more than 5 percent of any class of voting shares of the Banking Company or (2) the Reporter controls the Banking Company. To determine if the Reporter controls the Banking Company, apply definition of “control” found in the Glossary. To report, check the event type box next to "No Longer Reportable." In addition, check the event type box corresponding to the event type that rendered the interest no longer reportable and follow the instructions for reporting that event type. Event types that render an interest no longer reportable include "External Transfer," "Liquidation,” and “Became Inactive.” Event types that may render an interest no longer reportable include “Change in Ownership" and "Change in Activity or Legal Authority.,"
Note: If reporting a company, which has subsidiaries, as "No Longer Reportable", please report the disposition of each subsidiary. Typically the disposition of a company’s interest in a subsidiary may be reported as an “External Transfer,” “Internal Transfer,” “Liquidation,” or “Became Inactive,” as appropriate.
Became Inactive: Cessation of business by a company in which a direct holder previously had reported an interest. To report, check the event type boxes next to "No Longer Reportable" and "Became Inactive," report the date of the event in Item 1.b, the Banking Company's legal name in Item 2.a, and the location in Item 3.a of the Characteristics Section. If a Banking Company that is inactive subsequently becomes active and was not previously reported by the Reporter, report as a "De Novo Formation." However, if the Reporter had previously reported an interest in the Banking Company and it subsequently became inactive and then it was re-activated, report as a "Change in Activity or Legal Authority."
Debts Previously Contracted: For purposes of the FR Y-10, acquisition of shares in a BHC or U.S. bank to secure or collect a debt previously contracted is a reportable event, even if the Federal Reserve System's prior approval is not required. To report such an acquisition, check the event type box next to "Debts Previously Contracted" and also report as "Acquisition of a Going Concern" or "Change in Ownership," as appropriate.
Became Reportable: Any transaction that renders reportable a Reporter’s interest in a Banking Company that is already a going concern, but does not involve the Reporter’s initial acquisition of an interest in, or formation of, that Banking Company. To report, check the event type box next to “Became Reportable,” report the date of the event in Item 1.b, and complete all sections of the schedule.
Other: If none of the listed event types adequately describes the reportable event, check the box next to "If other, please describe,” and provide a text description in the space provided.
Item 1.b – Date of Event
Provide the date on which the reportable event took legal effect:
Acquisition of a Going Concern or full or partial sale or transfer: the date of consummation of the transaction, sometimes alternatively described as the date of closing;
De Novo Formation: the date on which the new Banking Company opened for business;
Liquidation: the date on which a Banking Company ceased engaging in business;
Became Inactive: the date on which a Banking Company ceased engaging in business;
Change in Characteristics: the date on which the name change, relocation, or other change became legally effective;
Change in Activity: the date on which a Banking Company commenced a new activity or terminated a previously reported activity; or
Change in Legal Authority: the date on which the activity is conducted under a new legal authority.
Became Reportable: the date on which a Banking Company became reportable.
Characteristics Section
Item 2.a – Legal Name of Banking Company
Provide the Banking Company's current full legal name.
Item 2.b – If Name Change or Correction, Prior Legal Name of Banking Company
In the event of a name change or correction, provide the Banking Company's previously reported legal name.
Item 3.a – Current Street Address; City and County; State/Province, Country; and Zip/Postal Code
Provide the current street address, city and county, state/province, country, and zip/postal code of the Banking Company's main office. Do not use a post office box as the street address. Report the nine-digit zip code, if available.
Item 3.b – If Relocation or Correction, Prior Street Address, City and County; State/Province, Country; and Zip/Postal Code
In the event of a relocation or correction, provide the prior street address, city and county, state/province, country, and zip/postal code of the Banking Company's main office. Do not use a post office box as the street address. Report the nine-digit zip code, if available.
Item 4 – Date Opened
Provide the date on which the Banking Company opened for business, only if reporting one of the following: Acquisition of a Going Concern, De Novo Formation, or a correction to the Date Opened that was previously reported in error.
Item 5 – Fiscal Year End (FBOs and BHCs Only)
Provide the month and day of the FBO’s or BHC's fiscal year end. Leave blank if the Banking Company is neither a BHC nor a FBO.
Item 6 – SEC Reporting Status
Check the box corresponding to the Banking Company’s current SEC reporting status:
Not Applicable-
This box should be checked if the Banking Company is not subject to any of the other check box selections described for this item. For example: A De Novo bank that is not subject to sections 13(a) or 15(d) of the Securities Exchange Act. of 1934.
Subject to 13(a) or 15(d) of Securities Exchange Act of 1934 and Section 404 of SOX Act-
This box should be checked if the Banking Company meets the requirements to file annual and other periodic reports pursuant to section 13(a) or 15(d) of the Securities Exchange Act of 1934 and is also subject to Section 404 of the Sarbanes-Oxley Act of 2002, regardless if the banking company has a delay in reporting under Section 404 of the Sarbanes-Oxley Act of 2002.
Note: Pursuant to section 12(i) of the Securities Exchange Act of 1934, the Federal Reserve has delegated authority to act on behalf of the Securities and Exchange Commission to collect reports from unaffiliated state member banks. Therefore, unaffiliated state member banks should apply the same SEC reporting requirements pursuant to section 13(a) and 15(d) of the Securities Exchange Act of 1934 and should check this box if such periodic SEC reports are filed to the Board of Governors instead of the Securities and Exchange
Commission.
Subject to 13(a) or 15(d) of Securities Exchange Act of 1934, but not Section 404 of SOX Act-
This box should be checked if the Banking Company is required to file annual and other periodic reports pursuant to section 13(a) or 15(d) of the Securities Exchange Act of 1934 and not subject to the Sarbanes-Oxley Act of 2002. Do not check this box if the Banking Company has a delay in reporting under Section 404 of the Sarbanes-Oxley Act of 2002.
Terminated or Suspended reporting requirements under 13(a) or 15(d) of the Securities Exchange Act of 1934 -
This box should be checked if the Banking Company has terminated or suspended duties to file periodic reports under section 13(a) or 15(d) of the Securities Exchange Act of 1934 for reasons specified by the SEC regulations.
Item 7 – CUSIP Number
The Reporter must report the most recently assigned and currently active six-digit CUSIP number for itself, its lower-tier U.S. BHCs and its subsidiary U.S. banks. State member banks not controlled by a BHC should report the CUSIP number for themselves.
A CUSIP number identifies most securities, including (1) stocks and debt (including subordinated issues) of all SEC-registered U.S. companies and (2) U.S. government and municipal bonds. The number consists of nine characters (a combination of letters and numbers) in which the first six digits uniquely identify an issuer. The first six digits (leading six digits) should be reported in the boxes on item 7.
The six-digit CUSIP number may change, for example when:
The last three digits of the nine-digit CUSIP number are not sufficient to accommodate all outstanding issues (greater than 999) and an additional issuer (six-digit) CUSIP number is assigned; or
Changes occur to the corporate name, whether or not associated with a merger or reorganization; or
Reverse stock splits of corporate shares occur.
Note: A change in a CUSIP number is a reportable event on the FR Y-10 as a “Change in Characteristics.” Exclusions:
Do not report any CUSIP numbers associated with entities that are nonsurvivors of mergers. In the event of a merger, the nonsurvivor’s debt-related CUSIP numbers will remain in use until outstanding debt is paid off since the entity will still service the debt. However, no new issues will be made under the nonsurvivor’s CUSIP number. New debt instruments will be issued under the survivor’s CUSIP number. The nonsurvivor’s equity-related CUSIP numbers will be retired.
Do not report CUSIP numbers associated with securitization vehicles and issuers of trust preferred securities.
Do not report any CUSIP numbers associated with money market instruments7 such as certificates of deposit, medium-term notes,8 and commercial paper.
Do not report historical information on CUSIP numbers that existed prior to December 31, 2005.
Item 8 – Tax ID Number
Enter a 9-digit number for the reporter and its reportable Banking entities. A federal tax identification number (also known as an employer identification number or EIN) is a nine-digit number assigned solely to a business by the Internal Revenue Service. The Tax ID Number is required only for entities located in the United States.
Item 9 – Banking Company Type
Check the box corresponding to the type that most accurately describes the Banking Company:
U.S. Bank Holding Company (BHC),
Foreign Banking Organization (FBO),
U.S. Commercial Bank,
U.S. State Chartered Savings Bank, or
If none of the listed types adequately describes the Banking Company, check the box next to "If other, please describe," and provide a text description.
Item 10 – Business Organization Type
Check the appropriate box to indicate the legal organization type of the Banking Company. If none of the listed descriptions adequately describes the organization type, check the box next to "If other, please describe," and provide a text description.
Item 11 – Is the Banking Company
Consolidated in the reporter’s Financial
Statements? (only reportable for foreign investments)
Check “Yes” if the Banking Company is consolidated in any subsidiary domestic commercial bank’s Consolidated Reports of Condition and Income (FFIEC 031) within the reporter’s organization. Otherwise, check “No.”
Ownership Section
Item 12 – Direct Holder's Name and Location Provide the legal name, city, state/province, and country of the direct holder. If the Reporter holds the interest through more than one direct holder, complete a separate Banking Schedule for each direct holder. Leave this item blank if filed by a Reporter about itself or for event type "External Transfer."
Item 13.a – Percentage of a Class of Voting Shares
If the Reporter in the aggregate controls more than 5 percent of a class of the Banking Company's voting shares, report the percentage of such class controlled by the direct holder. If the Reporter in the aggregate controls more than 5 percent of more than one class of the Banking Company's voting shares, report the direct holder's percentage for the class in which the Reporter controls the highest percentage. If needed, see the instructions on page Banking – 1 (and accompanying footnote) of these instructions for further information on multiple classes of voting shares and multiple direct holders.
Determine the appropriate percentage by rounding the actual number down to the nearest whole percentage. For example, a percentage of 79.85 should be rounded down to 79.
Note: There are two exceptions to this rounding rule: when the percentage is greater than 50 but less than 51, report the percentage as 51, or if the percentage is greater than 0 but less than 1, report the percentage as 1.
In general, a direct holder is considered to control all shares that it has the power to vote, but not shares held in a fiduciary capacity. However, shares held by the direct holder as fiduciary are deemed controlled by the direct holder if the shares are held for the benefit of employees, shareholders, members, or affiliates of the Reporter or any subsidiary of the Reporter, or if the shares are of a BHC or bank organized under U.S. law and the Reporter has directly or indirectly had the sole power to vote the shares for more than 2 years. In addition, a security that is convertible into a voting security at a holder's option is deemed to be a share of the class into which it is convertible.
Interests in Partnerships or Limited Liability Companies: Report general partner interests in limited partnerships, managing member interests in limited liability companies, and partner interests in general partnerships and limited liability partnerships, by reporting the percentage as 0 in item 13.a, and completing Item 13.c Report limited partner interests in limited partnerships, as well as nonmanaging member interests in limited liability companies, by completing Item 13.c but not Item 13.a.
Item 13.b – Percentage of Nonvoting Equity: Only if the Reporter has left Item 13.a blank because it does not control more than 5 percent of any class of the Banking Company's voting shares, report the percentage that, of the total nonvoting equity of the Banking Company, is controlled by the direct holder. Report the percentage rounded down to the nearest whole percentage. For example, a percentage of 61.75 should be reported as 61.
Note: There are two exceptions to this rounding rule: when the percentage is greater than 50 but less than 51, report the percentage as 51, or if the percentage is greater than 0 but less than 1, report the percentage as 1. Leave blank if the direct holder does not control any nonvoting shares.
Item 13.c – Other Interest
Only if the Reporter has left Items 13.a and 13.b blank (except as described above for certain interests in partnerships and limited liability companies), check the “Yes” box to indicate whether the direct holder has an ownership interest, other than voting or nonvoting shares, in the Banking Company. Such an interest may include exercise of control over the management of the Banking Company through a management agreement, or the direct holder's election of one or more directors of the Banking Company. Otherwise, check the “No” box.
Item 14 – Control by Direct Holder
Check the appropriate box to indicate whether the direct holder controls the Banking Company. To determine if the direct holder controls the Banking Company, apply the definition of “control” found in the Glossary.
Item 15 – Control by Reporter
Check the appropriate box to indicate whether the Reporter controls the Banking Company. To determine if the Reporter controls the Banking Company, apply the definition of “control” in the Glossary.
Item 16 – Former Direct Holder's Name and Location
Provide the name and location of the former direct holder, if the Event Type reported in Item l.a is an External or Internal Transfer.
Activity and Legal Authority Section
Item 17.a – Primary Activity
Report the activity that generated the largest percentage of the Banking Company's gross revenue during the Banking Company's most recently completed fiscal year. For a Banking Company that has been in operation for less than one year, report the activity that the Reporter expects will generate the largest percentage of the Banking Company's gross revenue during the Company's first fiscal year.
Item 17.b – Secondary Activity
For Banking Companies other than a bank, report the activity that generated the second largest percentage of the company's gross revenue as of the company's most recent fiscal year. For a Banking Company that has been in operation for less than one year, report the activity that the Reporter expects will generate the second largest percentage of the Banking Company's gross revenue during the Company's first fiscal year. Do not report more than one secondary activity. If the Banking Company does not engage in any activity other than its primary activity or is a bank, leave this item blank.
Item 17.c – Termination of Activity
Report the termination of any previously reported primary or secondary activity.
FRS Legal Authority Code
Consult Appendix A of these instructions and choose the appropriate FRS legal authority code under which this activity is being conducted.
NAICS Activity Code
Consult Appendix B (North American Industry Classification System (NAICS) Activity Codes) for commonly reported activities and select the code that best describes the activity being reported. If an appropriate code is not listed in Appendix B, select a five or six-digit NAICS code from the U.S. Census Bureau's website: http://www.census.gov/epcd/www/naics.html.
Description of Activity
Provide a text description of an activity only if unable to identify a five or six-digit NAICS code corresponding to the activity.
Specific Instructions for the Nonbanking Schedule (FR Y-10)
What to Report
Use this schedule to report the acquisition of interests in Nonbanking Companies, and other transactions involving interests in Nonbanking Companies, with certain exclusions.9 For purposes of the FR Y-10, a Nonbanking Company is any company that is not a BHC, bank organized under U.S. law, or Foreign Banking Organization (FBO); Nonbanking Companies include Edge and agreement corporations and foreign banks that are not FBOs.10 In addition to completing a Nonbanking Schedule, a FHC must complete a 4(k) Schedule with respect to the acquisition of an interest in a nonbanking company that results in the FHC engaging in a nonbanking activity it has not previously conducted. To complete the Nonbanking Schedule, check the appropriate event type box(es), provide the date of the reportable event(s), and complete other items on the schedule as directed in the following instructions.
Interests in Nonbanking Companies
In general, a Reporter's acquisition of an interest in a Nonbanking Company is a reportable event if, as a result of the acquisition, the Reporter directly or indirectly acquires control of the Nonbanking Company. The acquisition of such an interest is reported either as an “Acquisition of a Going Concern" or as a "De Novo Formation." In all cases, a Reporter that is required to file a regulatory financial report with the Federal Reserve System about a Nonbanking Company is also required to file FR Y-10 report(s) regarding the subject Nonbanking Company. In addition, a Reporter is required to file FR Y-10 reports for any company (even if it does not otherwise meet the reporting criteria) that is both a subsidiary of the Reporter and a parent of the subject Nonbanking Company.11
Control: To determine whether a Reporter controls a Nonbanking Company for purposes of the FR Y-10, apply the definition of “control” in the Glossary. In addition, with respect to control of interests held under authority of Subpart A of Regulation K, please see the instructions for reporting such interests under Item 15.
Note: In general, an interest in a Nonbanking Company is not reportable unless the Reporter directly or indirectly controls the Nonbanking Company12. Accordingly, note the following:
Variable Interest Entities (as defined in Financial Accounting Standards Board Interpretation No. 46R) generally are not reportable on the FR Y-10.
Advising and administering a mutual fund by itself does not constitute a reportable interest of a Reporter in that fund.
Exclusions: The following interests are not reportable on the FR Y-10 even if they meet the definition of control found in the Glossary:
Inactive Companies: An interest in a company that exists as a matter of law, but does not engage in any business activity. The interest becomes reportable once the company begins to engage in business, as follows: report as either a "De Novo Formation" if the Reporter has not previously reported an interest in the Nonbanking Company or report as a "Change in Activity or Legal Authority" if the Reporter has previously reported an interest in the Nonbanking Company. Note that the term "inactive companies" includes companies that have been setup as name-saving organizations or have been formed or incorporated but do not yet conduct any business activity. These types of companies become reportable only when they commence an activity;
U.S. Investments of Unaffiliated National Banks: Any interest held under any authority other than Subpart A of Regulation K, by a national bank not controlled by a BHC or FBO;
Companies Held by a Small Business Investment Company: Companies held directly or indirectly by Small Business Investment Companies (SBICs) are not required to be reported on the FR Y-10. However, if a BHC or a FBO that is a FHC engaged in merchant banking activities holds shares in the same merchant banking investment through a merchant banking subsidiary as well as through a SBIC, the entire investment is treated as the merchant banking investment, subject to the reporting criteria;
Debts Previously Contracted An interest in a Nonbanking Company acquired to secure or collect a debt previously contracted or in a Nonbanking Company that solely holds assets acquired in satisfaction of a debt previously contracted;
Interests Held as Collateral: An interest held solely as collateral securing an extension of credit;
Companies Controlled Through an Insurance Underwriter: An interest in a Nonbanking Company organized under U.S. federal or state law, if controlled directly or indirectly by an insurance underwriter. This exception does not apply to either of the following: an interest in a Nonbanking Company that is the underwriter's highest-tier provider in the United States of any primary line of insurance, or any interest that is a reportable merchant banking or insurance company investment as described in the 4(k) Schedule instructions;
Special Purpose Vehicles (SPV): An interest in a special purpose vehicle formed for specific leasing transactions, such as a special purpose vehicle engaged in a single leasing transaction;
Companies Required to be Conformed or Divested: An interest in any company which must be divested, or the activities of which must be conformed, pursuant to Sections 4(a) (2) or 4(n)(7) of the BHC Act or pursuant to a commitment made to the Board or the Federal Reserve Bank. (See also 12 C.F.R. 225.85.)
Certain Interests Held Under Regulation K: With respect to any company that is held under authority of Subpart A of Regulation K, but is not a subsidiary of the Reporter as defined in Section 211.2(w) of Regulation K,13 do not report any interest held directly or indirectly by such company under authority of Subpart A of Regulation K.
Investments Held by FBOs Under Section 211.23(f)(5) of Regulation K: A FBO that is, or is treated as, a QFBO, need not report an interest in any Nonbanking Company (1) that does not engage in any activities in the U.S.; or (2) the U.S. activities of which, pursuant to Section 211.23(f)(5) of Regulation K, are to the same kind of activities or related to the activities the company primarily conducts outside the U.S This exception does not apply, however, to interests held by a FBO through a BHC or bank organized under U.S. law, or through an Edge or agreement corporation.
Public Welfare Investments: Public welfare investments subject to prior-notice or post-notice filing requirements with federal banking agencies (such as CD-1 or H-6), if held through a company that has been reported on the FR Y-10 and that is principally engaged in community development or public welfare investment activities.
Subsequent Events: Once a Reporter has reported the acquisition of a reportable interest in a Nonbanking Company, the following events become reportable:
Any subsequent sale, transfer or change in ownership affecting the voting interest in whole or in part which causes a direct holder's interest to fall within a different range than that previously reported;
The transfer of all or part of a reportable company to another subsidiary within the Reporter's organization;
A Reporter's liquidation of a Nonbanking Company;
Any changes rendering the Reporter's interest in the Nonbanking Company no longer reportable; or
Any change to information previously reported on this schedule.
Multiple Direct Holders: In the case of a reportable event in which a Reporter acquires an interest in a Nonbanking Company through more than one direct holder, the Reporter must file a separate Nonbanking Schedule for each direct holder.14 As long as the Reporter's interest in the Nonbanking Company remains reportable, the Reporter must report any subsequent acquisition of any additional interest in the Nonbanking Company by any additional direct holders.
Reporting Mergers: When a Nonbanking Company is merged into a Reporter or a Reporter's subsidiary as part of the same transaction in which the Reporter acquires the Nonbanking Company (i.e., the Nonbanking Company no longer exists as a legal entity), the acquisition of that Nonbanking Company should be reported on the Merger Schedule instead of the Nonbanking Schedule.
Check box if correction: Check this box to indicate that previously reported information was filed incorrectly and has been corrected with the information provided.
Item l.a – Event Type
Check the event type box(es) that best describes the event type being reported. Do not report events that occur on separate dates on the same schedule.
Acquisition of a Going Concern: Initial acquisition by a direct holder of an interest in a Nonbanking Company that is a going concern. To report, check the event type box next to "Acquisition of a Going Concern," report the date of the event in Item 1.b, and complete all sections of the schedule. Subsequent acquisition by the same direct holder of additional shares or other additional interests in the Nonbanking Company or disposition of such shares or interests should be reported as a "Change in Ownership."
Note: If the acquired going concern has one or more subsidiaries, the Reporter must file a separate Banking or Nonbanking Schedule (as appropriate) for each subsidiary.
De Novo Formation: Opening for business of a new Nonbanking Company in which a direct holder has an interest. To report, check the event type box next to "De Novo Formation," report the date of the event in Item 1.b, and complete all sections of the schedule. An interest in a Nonbanking Company is not reportable until the Nonbanking Company opens for business.
External Transfer: Sale, divestiture, or other transfer of a direct holder's entire previously reported interest in a Nonbanking Company, to a company other than the Reporter or its subsidiaries. To report, check the event type box next to "External Transfer," report the date of the event in Item 1.b, the Nonbanking Company's legal name in Item 2.a, and location in Item 3.a of the Characteristics Section. In addition, in the Ownership Section, the Reporter should list the name and location of the former direct holder of the divested company in Item 16. Item 12 should be left blank.
Note: Report any partial external transfer of a previously reported interest in a Nonbanking Company as a "Change in Ownership."
Internal Transfer: Sale or other transfer of a direct holder's entire previously reported interest in a Nonbanking Company to the Reporter or to a different subsidiary of the Reporter, as part of an internal reorganization. To report, check the event type box next to "Internal Transfer," report the date of the event in Item 1.b, the Nonbanking Company's legal name in Item 2.a, and location in Item 3.a of the Characteristics Section. In addition, in the Ownership Section, report the new direct holder's (the acquirer's) name and location in Item 12, and report the former direct holder's (the seller's) name and location in Item 16. If the event results in any change in legal authority, also report the new legal authority code in the Activity and Legal Authority Section.
Note: Report any partial internal transfer of a previously reported interest in a Nonbanking Company by filing two Nonbanking Schedules: one as a "Change in Ownership" by the transferring direct holder and one as an "Acquisition of a Going Concern" by the acquiring direct holder. The transferring direct holder should report by following the directions for reporting a “Change in Ownership”. The acquiring direct holder need only report the date of the event in Item 1.b, the Nonbanking Company’s legal name in Item 2.a, and complete the Ownership Section, as appropriate, excluding Item 16. If the event results in any change in legal authority, also report the new legal authority code in the Activity and Legal Authority Section.
Change in Ownership: Denote any of the following: an increase or decrease in a direct holder's ownership percentage of a class of voting shares of a Nonbanking Company if the resulting percentage would fall within a range different from the range previously reported in Item 13.a of the Ownership Section; a change in the direct holder's status with respect to control of any other ownership interest in the Nonbanking Company or control of the Nonbanking Company; or a change in the Reporter's status with respect to control of the Nonbanking Company. A direct holder's ownership percentage of a class of voting securities may change due to acquisition of additional shares, sale or transfer of some of the direct holder's shares, stock redemption, nonparticipation in a share issuance by the reportable Nonbanking Company, or other causes. To report, check the event type box next to "Change in Ownership," report the date of the event in Item l.b, the Nonbanking Company's legal name in Item 2.a, and location in Item 3.a of the Characteristics Section.
In addition, in the Ownership Section complete Items 12, 13, 14, 15, and, 16 as appropriate, to reflect the Change in Ownership.
Liquidation: Liquidation of a Nonbanking Company in which a direct holder previously had reported an interest. For purposes of the FR Y-10, liquidation refers to final distribution of assets, satisfaction of liabilities, and closing of capital accounts of a company, as opposed to sale or transfer of the company. Liquidation may result from voluntary dissolution or bankruptcy, and the liquidation process typically ends with termination of the company's legal existence. To report, check the event type boxes next to "No Longer Reportable" and "Liquidation," report the date of the event in Item 1.b, the Nonbanking Company's legal name in Item 2.a, and location in Item 3.a of the Characteristics Section.
Note: A Reporter need not file a FR Y-10 if liquidating a company previously reported as "Became Inactive."
Change in Characteristics: Change of a Nonbanking Company's legal name or address or any other change to information previously reported on the Characteristics Section of this schedule. To report, check the event type box next to "Change in Characteristics" and report the date of the event in Item 1.b. In addition, to report a name change, complete Items 2.a and 2.b and for relocation, complete Items 3.a and 3.b. For any other change to this section, report the Nonbanking Company's legal name in Item 2.a and location in Item 3.a of the Characteristics Section, and report updated information for the appropriate items in the section.
Change in Activity or Legal Authority: Change in a Nonbanking Company's previously reported primary or secondary activity, commencement of a secondary activity, termination of a previously reported activity, or change in the legal authority under which a previously reported activity is conducted. To report, check the event type box next to "Change in Activity or Legal Authority," report the date of the event in Item 1.b, the Nonbanking Company's legal name in Item 2.a, and location in Item 3.a of the Characteristics Section. In addition, in the Activity and Legal Authority Section, report only the updated information.
No Longer Reportable: Any transaction that renders a Reporter's interest in a Nonbanking Company no longer reportable. In general, once a Reporter acquires control of a Nonbanking Company, the Reporter's interests in the Nonbanking Company remain reportable so long as the Nonbanking Company is actively engaged in business and the Reporter controls the Nonbanking Company (apply the definition of control in the Glossary). To report, check the event type box next to "No Longer Reportable." In addition, check the event type box corresponding to the event type that rendered the interest no longer reportable and follow the instructions for reporting that event type. Event types that will render an interest no longer reportable include "External Transfer," "Liquidation," and "Became Inactive.” Event types that may render an interest no longer reportable include "Change in Ownership," and "Change in Activity or Legal Authority."
Note: If reporting a company, which has subsidiaries, as "No Longer Reportable," please report the disposition of each subsidiary. Typically the disposition of a company’s interest in a subsidiary may be reported as an “External Transfer,” “Internal Transfer,” “Liquidation,” or “Became Inactive,” as appropriate.
Became Inactive: Cessation of business activity by a company in which a direct holder previously had reported an interest. To report, check the event type boxes next to "No Longer Reportable" and "Became Inactive," report the date of the event in Item 1.b, the Nonbanking Company's legal name in Item 2.a, and the location in Item 3.a of the Characteristics Section. If a Nonbanking Company that is inactive subsequently becomes active and was not previously reported by the Reporter, report as a "De Novo Formation." However, if the Reporter had previously reported an interest in the Nonbanking Company and it subsequently became inactive and then it was re-activated, report the event as a "Change in Activity or Legal Authority."
Became Reportable: Any transaction that renders reportable a Reporter’s interest in a Nonbanking Company that is already a going concern, but does not involve the Reporter’s initial acquisition of an interest in, or formation of, that Nonbanking Company. To report, check the event type box next to "Became Reportable," report the date of the event in Item 1.b, and complete all sections of the schedule.
Other: If none of the listed event types adequately describes the reportable event, check the box next to "If other, please describe," and provide a text description in the space provided.
Item 1.b – Date of Event
Provide the date on which the reportable event took legal effect as follows:
Acquisition of a Going Concern or full or partial sale or transfer: the date of consummation of the transaction, sometimes alternatively described as the date of closing;
De Novo Formation: the date on which the new Nonbanking Company opened for business;
Liquidation: the date on which the Nonbanking Company ceased engaging in business;
Became Inactive: the date on which the Nonbanking Company ceased engaging in business;
Change in Characteristics: the date on which the name change, relocation, or other change became legally effective;
Change in Activity: the date on which a Nonbanking Company commenced a new activity or terminated a previously reported activity; or
Change in Legal Authority: the date on which the activity is conducted under a new legal authority.
Became Reportable: the date on which the Nonbanking Company became reportable.
Characteristics Section
Item 2.a – Legal Name of Nonbanking Company Provide the Nonbanking Company's current full legal name.
Item 2.b – If Name Change or Correction, Prior Legal Name of Nonbanking Company
In the event of a name change or correction, provide the Nonbanking Company's previously reported legal name.
Item 3.a – City and County; State/Province, Country and Zip/Postal Code
Provide the current city, county, state/province, country, and zip/postal code for the head office of the Nonbanking Company. Report the nine-digit zip code, if available.
Item 3.b – If Relocation or Correction, Prior City and County, State/Province, Country, and Zip/Postal Code
In the event of a relocation or correction, provide the prior city, county, state/province, country, and zip/postal code for the head office of the Nonbanking Company. Report the nine-digit zip code, if available.
Item 4 – If the Nonbanking Company is a Functionally Regulated Subsidiary, indicate its functional regulator
Check the box to indicate the regulator(s) of the Nonbanking Company, if the Nonbanking Company is not an insured depository institution but is regulated by one of the functional regulators listed below. If the Nonbanking Company is not regulated by one of the functional regulators listed below, check the box next to "Not Applicable."
Not applicable;
The Securities and Exchange Commission (SEC) and the Commodities Futures Trading Commission (CFTC); or
The Securities and Exchange Commission (SEC) only; or
The Commodities Futures Trading Commission (CFTC) only; or
A state securities department; or
A state insurance regulator.
Item 5 – Is the Nonbanking Company a Financial Subsidiary of an Insured Depository Institution?
Check the applicable box to indicate whether or not the Nonbanking Company is a financial subsidiary. A financial subsidiary is a subsidiary of an insured depository institution that, as authorized under 12 U.S.C. §§ 24a, 335, or 1831w, engages in activities not permissible for the insured depository institution itself.
Item 6 – SEC Reporting Status
Check the box corresponding to the Nonbanking Company’s current SEC reporting status:
Not Applicable-
This box should be checked if the Nonbanking Company is not subject to any of the other check box selections described for this item. For example: A De Novo bank that is not subject to sections 13(a) or 15(d) of the Securities Exchange Act of 1934.
Subject to 13(a) or 15(d) of Securities Exchange Act of 1934 and Section 404 of SOX Act-
This box should be checked if the Nonbanking Company meets the requirements to file annual and other periodic reports pursuant to section 13(a) or 15(d) of the Securities Exchange Act of 1934 and is also subject to Section 404 of the Sarbanes-Oxley Act of 2002, regardless if the Nonbanking Company has a delay in reporting under Section 404 of the Sarbanes-Oxley Act of 2002.
Note: Pursuant to section 12(i) of the Securities Exchange Act of 1934, the Federal Reserve has delegated authority to act on behalf of the Securities and Exchange Commission to collect reports from nonbank subsidiaries of state member banks. Therefore, nonbank subsidiaries of state member banks should apply the same SEC reporting requirements pursuant to section 13(a) and 15(d) of the Securities Exchange Act of 1934 and should check this box if such periodic SEC reports are filed to the Board of Governors instead of the Securities and Exchange Commission.
Subject to 13(a) or 15(d) of Securities Exchange Act of 1934, but not Section 404 of SOX Act-
This box should be checked if the Nonbanking Company is required to file annual and other periodic reports pursuant to section 13(a) or 15(d) of the Securities Exchange Act of 1934 and not subject to the Sarbanes-Oxley Act of 2002. Do not check this box if the Nonbanking Company has a delay in reporting under Section 404 of the Sarbanes-Oxley Act of 2002.
Terminated or Suspended reporting requirements under 13(a) or 15(d) of the Securities Exchange Act of 1934 -
This box should be checked if the Nonbanking Company has terminated or suspended duties to file periodic reports under section 13(a) or 15(d) of the Securities Exchange Act of 1934 for reasons specified by the SEC regulations.
Item 7 – CUSIP Number:
The Reporter must report the most recently assigned and currently active six-digit CUSIP number for the Reporter’s largest subsidiary Nonbanking Company in the U.S with an active CUSIP number. A CUSIP number identifies most securities, including (1) stocks and debt (including subordinated issues) of all SEC-registered U.S. companies and (2) U.S. government and municipal bonds. The number consists of nine characters (a combination of letters and numbers) in which the first six digits uniquely identify an issuer. The first six digits (leading six digits) should be reported in the boxes on Item 7.
The six-digit CUSIP number may change, for example when:
The last three digits of the nine-digit CUSIP number are not sufficient to accommodate all outstanding issues (greater than 999) and an additional issuer (six-digit) CUSIP number is assigned; or
Changes occur to the corporate name, whether or not associated with a merger or reorganization; or
Reverse stock splits of corporate shares occur.
Note: A change in the CUSIP number is a reportable event on the FR Y-10 as a “Change in Characteristics.”
The largest subsidiary Nonbanking Company in the U.S. with an active CUSIP number is determined by dividing the total assets of each U.S. subsidiary Nonbanking Company with an active CUSIP number by the consolidated assets of the Reporter as of the most recent December 31 and ranking the percentages from the highest to lowest (with the resulting entity with the highest percentage value). If available, please use total assets reported on Federal Reserve or FFIEC regulatory reports.
The largest U.S. subsidiary Nonbanking Company with an active CUSIP number must be assessed only once a year as of December 31. Thus any changes to the CUSIP numbers for this subsidiary that occur during the year should be reported within thirty days. If there is a change as to which company is the largest U.S. subsidiary Nonbanking Company with an active CUSIP number (when reviewing the most recent December 31 financial data), begin reporting information on the new subsidiary starting January 30 the following year.
Exclusions:
Do not report any CUSIP numbers associated with entities that are nonsurvivors of mergers. In the event of a merger, the nonsurvivor’s debt-related CUSIP numbers will remain in use until outstanding debt is paid off since the entity will still service the debt. However, no new issues will be made under the nonsurvivor’s CUSIP number. New debt instruments will be issued under the survivor’s CUSIP number. The nonsurvivor’s equity-related CUSIP numbers will be retired.
Do not report CUSIP numbers associated with securitization vehicles and issuers of trust preferred securities.
Do not report any CUSIP numbers associated with money market instruments15 such as certificates of deposit, medium-term notes16, and commercial paper. Do not report historical information on CUSIP numbers that existed prior to December 31, 2005.
Item 8 – Tax ID Number
Enter a 9-digit number for the reporter and its reportable Nonbanking entities. A federal tax identification number (also known as an employer identification number or EIN) is a nine-digit number assigned solely to a business by the Internal Revenue Service. The Tax ID Number is required only for entities located in the United States.
Item 9 – Nonbanking Company Type
Provide the Nonbanking Company type from the list below. The type selected should be based upon the legal documents issued by the chartering or licensing authority or other documents of formation. Note that a reportable change in nonbank company entity type is likely to be associated with a change in activity.
Nonbanking Company Types
Industrial bank, industrial loan company
or Morris Plan bank
Limited charter bank
Savings and loan association
Federal savings bank
Cooperative bank
Banking Edge or agreement corporation
Depository trust company
Investment Edge or agreement corporation
Foreign bank other than a FBO
Securities underwriter Securities broker or dealer
Insurance underwriter
Insurance broker or agent
Nondepository trust company
Other holding company
Other company - If "Other company," describe business activity17
Item 10 – Business Organization Type
Check the appropriate box to indicate the legal business organization type of the Nonbanking Company. If none of the listed descriptions adequately describes the organization type, check the box for "If other, please describe" and provide a text description.
Item 11 – Is the Nonbanking Company
Consolidated in the reporter’s Financial
Statements? (for certain types of foreign offices)
Answer this question only if the Nonbanking Company is one of the following “foreign” offices: (a) Consolidated subsidiary in a foreign country; or (b) Majority-owned Edge or agreement subsidiary. Check “Yes” only if the Nonbanking Company is consolidated in any subsidiary domestic commercial bank’s Consolidated Reports of Condition and Income (FFIEC 031) within the reporter’s organization. Otherwise, check “No.”
Note: A consolidated subsidiary in Puerto Rico or a U.S. Territory or possession is a “foreign” office.
Ownership Section
Item 12 – Direct Holder's Name and Location Provide the legal name, city, state/province, and country of the direct holder. If the Reporter holds the interest through more than one direct holder, complete a separate Nonbanking Schedule for each direct holder. Leave this item blank on any Nonbanking Schedule filed by a Reporter about itself or for event type "External Transfer."
Item 13.a – Percentage of a Class of Voting Shares
If the Reporter in the aggregate controls 25 percent or more of a class of the Nonbanking Company's voting shares, check the appropriate box for the percentage of such class controlled by the direct holder. If the Reporter in the aggregate controls 25 percent or more of more than one class of the Nonbanking Company's voting shares, check the box corresponding to the direct holder's percentage for the class in which the Reporter controls the highest percentage. If needed, see the instructions on page Nonbanking-2 (and accompanying footnote) of these instructions for further information on multiple classes of voting shares and multiple direct holders.
Determine the appropriate box to check by rounding the actual percentage down to the nearest whole percentage. For example, a percentage of 79.85 should be rounded down to 79 and reported by checking the box next to “>50% to <80%”.
Note: There are two exceptions to this rounding rule: when the percentage is greater than 50 but less than 51, report the percentage as 51 by checking the box next to “>50% to <80%”; and if the percentage is greater than 0 but less than 1, report the percentage by checking the box next to “<25% but 25% or more in the aggregate or otherwise controlled elsewhere within the organization”.
In general, a direct holder is considered to control all shares that it has the power to vote, but not shares held in a fiduciary capacity. However, shares held by the direct holder as fiduciary are deemed controlled by the direct holder if the shares are held for the benefit of employees, shareholders, members, or affiliates of the Reporter or any subsidiary of the Reporter. In addition, a security that is convertible into a voting security at a holder's option is deemed to be shares of the class into which the security is convertible.
Interests in Partnerships or Limited Liability Companies: Report general partner interests in limited partnerships or managing member interests in limited liability companies, and partner interests in general partnerships and limited liability partnerships, by checking the box next to “<25% but 25% or more in the aggregate or otherwise controlled elsewhere within the organization” in Item 13.a, and completing Item 13.b Report limited partner interests in limited partnerships and limited liability limited partnerships, as well as nonmanaging member interests in limited liability companies, by completing Item 13.b but not Item 13.a.
Item 13.b – Other Interest
Only if the Reporter has left Item 13.a blank (except as described above for certain interests in partnerships and limited liability companies), check the box next to “Yes” to indicate whether the direct holder has an ownership interest, other than voting shares, in the Nonbanking Company. Such an interest may include nonvoting shares, exercise of control over the management of the Nonbanking Company through a management agreement, or the direct holder's election of one or more directors of the Nonbanking Company. Otherwise, check the box next to “No.”
Item 14 – Control by Direct Holder
Check the appropriate box to indicate whether the direct holder controls the Nonbanking Company. To determine if the direct holder controls the Nonbanking Company, apply the standard found in the definition of “control” in the Glossary.
Item 15 – Regulation K, Subpart A Investments
Complete this item only if the interest in the Nonbanking Company is held under authority of Subpart A of Regulation K (12 CFR section 211.1 et seq.). This item is intended to indicate the character of the investment under subpart A of Regulation K. For interests held under Subpart A of Regulation K, check the box that best describes the Reporter's aggregate investment in the Nonbanking Company.
The FR Y-10 relies on the Regulation Y standard of control, found in the definition of control found in the Glossary, for determining the reportability of investments in Nonbanking Companies, regardless of the authority18 (e.g., Regulation K or Y) under which those investments were made. The control standard applicable under Subpart A of Regulation K differs in some respects from the Regulation Y control standard. The Reporter should follow the “control” standard set forth in the Glossary in determining the reportability of investments made under subpart A of Regulation K. The Reporter should refer to the Regulation K definitions of “subsidiary” (12 CFR section 211.2(w)), “joint venture” (12 CFR section 211.2(p)), and “portfolio investment” (see 12 CFR sections 211.2(u) and 211.8(c)(3)(i)) for purposes of characterizing the nature of the investment under Regulation K and responding to this report item.
Under Regulation K:
A Nonbanking Company is a subsidiary of a Reporter for purposes of Item 14 if the Reporter directly or indirectly holds more than 50 percent of the Nonbanking Company's voting shares, or the Nonbanking Company is otherwise controlled or capable of being controlled by the Reporter or an affiliate under any authority. Among other circumstances, an investor is considered to control an organization if: the Reporter or an affiliate is a general partner of the Nonbanking Company; or the Reporter and its affiliates directly or indirectly own or control more than 50 percent of the equity of the Nonbanking Company. See 12 CFR 211.2(w).
An investment in a Nonbanking Company is a joint venture of a Reporter for purposes of Item 15 if the Nonbanking Company is not a subsidiary of the Reporter (as defined immediately above), but the Reporter or an affiliate directly or indirectly holds 20 percent or more of the Nonbanking Company's voting shares under any authority. See 12 CFR 211.2(p).
An investment in a Nonbanking Company is a portfolio investment of a Reporter for purposes of Item 15 if the total direct and indirect investments by the Reporter and its affiliates in the Nonbanking Company, when combined with all other shares in the Nonbanking Company held under any authority, do not exceed: 40 percent of the total equity of the organization; or 19.9 percent of the Nonbanking Company’s voting shares. See 12 CFR 211.8(c)(3)(i), and also 12 CFR 211.2(u).
Item 16 – Former Direct Holder's Name and Location
Provide the name and location of the former direct holder if Event Type reported in Item l.a is an External or Internal Transfer.
Activity and Legal Authority Section
Item 17.a – Primary Activity
Report the activity that generated the largest percentage of the Nonbanking Company's gross revenue during the Nonbanking Company's most recently completed fiscal
year. For a Nonbanking Company that has been in operation for less than one year, report the activity that the Reporter expects will generate the largest percentage of the Nonbanking Company's gross revenue during the company's first fiscal year.
Item 17.b – Secondary Activity
Report the activity that generated the second largest percentage of the company's gross revenue as of the company's most recent fiscal year. For a Nonbanking Company that has been in operation for less than one year, report the activity that the Reporter expects will generate the second largest percentage of the Nonbanking Company's gross revenue during the Company's first fiscal year. Do not report more than one secondary activity. If the Nonbanking Company does not engage in any activity other than its primary activity, leave this item blank.
Item 17.c – Termination of Activity
Report the termination of any previously reported primary or secondary activity.
FRS Legal Authority Code
Consult Appendix A of these instructions and choose the appropriate FRS legal authority code under which this activity is being conducted.
NAICS Activity Code
Consult Appendix B (North American Industry Classification System (NAICS) Activity Codes) for commonly reported activities and select the code that best describes the activity being reported. If an appropriate code is not listed in Appendix B, select a five or six-digit NAICS code from the U.S. Census Bureau's website
http://www.census.gov/epcd/www/naics.html.
Description of Activity
Provide a text description of an activity only if unable to identify a five or six-digit NAICS code corresponding to the activity.
Specific Instructions for the Merger Schedule (FR Y-10)
What to Report
Use this schedule to report a merger of a Banking or Nonbanking Company with a Reporter or with a company in which the Reporter has a previously reported interest, if after the merger the Reporter has a reportable interest in the surviving company. If correcting information previously reported on this schedule, check the box provided for that purpose at the top of the schedule.
Determine the surviving company based upon considerations such as the source of the management of the merged company and the relative asset size of each company involved in the merger, irrespective of the source of the surviving charter. If the merger involves more than one nonsurviving company, file a separate schedule for each nonsurvivor.
Note: The following event types are not reportable on a Merger Schedule:
The disposition of banking or nonbanking subsidiaries of merged (nonsurviving) entities. Complete other FR Y-10 schedules, as appropriate, for these reportable business events.
Banking or nonbanking companies that, as a result of a merger, become non-reportable. Changes to the status of these entities should be reported on the appropriate Banking or Nonbanking Schedule.
Reportable Events
The following are event types reported on this schedule.
Merger Involving the Acquisition of a Company, with Reporter or Reporter Subsidiary as Survivor: In the following examples, Company B is not affiliated with the Reporter before the merger.
Company B merges with and into the Reporter, with the Reporter as the surviving company:
Reporter Survivor
Company B Nonsurvivor
Company B merges with and into Company A, with Company A as the surviving company:
Reporter
Company A Survivor
Company B
Nonsurvivor
To report these types of events, complete the Merger Schedule.
M
erger
Involving the Acquisition of a Company, with the Company as Survivor:
In the following example, Company B is not affiliated with the
Reporter prior to the merger. Company A merges into Company B, with
Company B as the survivor, and the Reporter acquires a reportable
interest in Company B as a result of the merger.
Reporter
Company A Nonsurvivor
Company B Survivor
To report this type of event, complete the Merger Schedule. In addition, complete a Banking Schedule or Nonbanking Schedule, as appropriate, for the surviving company, according to instructions for ”Acquisition of a Going Concern.”
Internal Merger: In the following example, the Reporter has previously reported interests in both Company A and Company B. Company B merges into Company A, with Company A as the surviving company.
Reporter
Company A
Survivor
Company B Nonsurvivor
To report this type of event, complete the Merger Schedule.
Non-reportable Events
Mergers Involving an External Transfer:
In the following example, Company B is unaffiliated with the Reporter both before and after the merger. Company A merges with Company B, with Company B as the surviving company.
Reporter
Company B Survivor
Company A Nonsurvivor
Do not report this type of merger on this schedule. Instead, report on the Banking Schedule or Nonbanking Schedule, as appropriate for the company being transferred (Company A in this case), following the instructions for "External Transfer."
N
ote:
If a bank is the only subsidiary held by a BHC, and the subsidiary
bank merges, one of the following events should be reported: No
longer reportable, the BHC liquidated, the BHC was merged, or the BHC
was acquired as a lower tier BHC.
Check box if correction: Check this box to indicate that previously reported information was filed incorrectly and has been corrected with the information provided.
Item 1 – First Full Calendar Date the Nonsurvivor No Longer Exists
All information provided for a particular transaction date or effective date should reflect the structure of the organization on the first full calendar date the nonsurvivor no longer exists.
Item 2 – Survivor
P
rovide
the surviving company's current legal name and the location of the
company's head office.
Item 3 – Nonsurvivor
P
rovide
the nonsurviving company's legal name and the location of
the company's head office.
Item 4 – Did the head office of the nonsurvivor become a branch of the survivor?
Only
for a merger involving an insured depository institution organized
under U.S. law, check the appropriate box to indicate whether the
head office of the nonsurviving company became a branch of the
surviving company.
Specific Instructions for the 4(k) Schedule (FR Y-10)
What to Report
Use this schedule to fulfill legal obligations of FHCs under Section 4(k) of the Bank Holding Company Act to notify the Federal Reserve System within 30 days of commencing a new 4(k) activity, acquiring a controlling interest in a going concern or a de novo company, or making certain large merchant banking or insurance company investments. To determine if a FHC controls a Nonbanking Company, apply the standard for “control” found in the Glossary section of these instructions.
Note: In some instances a Reporter must complete a Nonbanking Schedule in addition to completing this schedule.
Reportable Events
The following event types are reportable on this schedule.
New Activity Commenced Directly by a FHC or through an Existing Subsidiary: Commencement under Section 4(k) by a FHC, whether directly or indirectly through an existing subsidiary (or subsidiaries), of an activity not previously engaged in directly or indirectly by the FHC. If a new activity is commenced through more than one subsidiary on the same date, only one 4(k) Schedule is required. If more than three new activities are commenced, complete additional schedules, as needed. In Item l.a check the box next to "New Activity Commenced Directly by a FHC or through an Existing Subsidiary." Report the date of the event in Item 1.b. In Item 2.a check the box next to the appropriate FRS legal authority code, provide the five or six-digit NAICS activity code, and provide a description of the activity only if unable to identify a five or six-digit NAICS code corresponding to the new activity. Report additional new activities in Items 2.b and 2.c if applicable. Note: If commencement of the new activity results in a change to the primary or secondary activity of the FHC or any of its subsidiaries, also report as a "Change in Activity or Legal Authority" on the Banking Schedule or Nonbanking Schedules, as appropriate, with respect to the relevant FHC or FHC subsidiary.
New Activity Commenced Through Acquisition of a Going Concern: A FHC's acquisition of control of a Nonbanking Company (or companies) pursuant to Section 4(k) that also results in the FHC conducting an activity not previously engaged in directly or indirectly by the FHC. To determine if a FHC controls a Nonbanking Company, apply the standard for “control” found in the Glossary section of these instructions. If a new activity is commenced through the acquisition of more than one company on the same date, only one 4(k) Schedule is required. If more than three new activities are commenced, complete additional schedules, as needed. In Item l.a check the box next to "New Activity Commenced Through Acquisition of a Going Concern." Report the date of the event in Item 1.b. In Item 2.a check the box next to the appropriate FRS legal authority code, provide the NAICS activity code, and provide a description of the activity only if unable to identify a five or six-digit NAICS code corresponding to the new activity. Report additional new activities in Items 2.b and 2.c if applicable. In addition, complete a Nonbanking Schedule(s) for the "Acquisition of a Going Concern."
New Activity Commenced Through a De Novo Formation: Conducting an activity under Section 4(k) through a de novo company (or companies) that was not previously engaged in directly or indirectly by the FHC. To determine if a FHC controls a Nonbanking Company, apply the standard for “control” found in the Glossary section of these instructions. If a new activity is commenced through the formation of more than one company on the same date, only one 4(k)Schedule is required. If more than three new activities are commenced, complete additional schedules, as needed. In Item l.a check the box next to "New Activity Commenced Through a De Novo Formation." Report the date of the event in Item 1.b. In Item 2.a check the box next to the appropriate FRS legal authority code, provide the NAICS five or six-digit activity code, and provide a description of the activity only if unable to identify a five or six-digit NAICS code corresponding to the new activity. Report additional new activities in Items 2.b and 2.c if applicable. In addition, complete a Nonbanking Schedule(s) for the "De Novo Formation."
Previously Reported Activity Commenced through an Existing Company is not reportable on the 4(k) Schedule: A FHC that has filed notice on the 4(k) Schedule that it is engaging in a particular activity pursuant to Section 4(k) may subsequently engage in that activity directly, or indirectly through other existing subsidiaries, as authorized under Section 4(k), without filing an additional post-transaction notice on this schedule. Note: If commencement of the previously reported activity results in a change to the primary or secondary activity of the FHC or any of its subsidiaries, also report as a "Change in Activity or Legal Authority" on the Banking Schedule or Nonbanking Schedule, as appropriate, with respect to the relevant FHC or FHC subsidiary.
Large Merchant Banking Investments or Insurance Company Investments as a New Activity: Commencement of large merchant banking activities by a FHC that has not previously engaged directly or indirectly in merchant banking activities, or commencement of insurance company investment activities by a FHC that has not previously engaged directly or indirectly in insurance company investment activities. This may be a "New Activity Commenced directly or indirectly through an Existing Subsidiary," or a "New Activity Commenced Through Acquisition of a Going Concern," or a "New Activity Commenced Through a De Novo Formation," and should be reported according to the instructions above for the appropriate event type.
Large Merchant Banking Investments or Insurance Company Investments: A large merchant banking investment or insurance company investment by a FHC is reportable if: a) the FHC directly or indirectly acquires more than 5 percent of a Nonbanking Company's voting shares or assets or total equity and b) the cost to the FHC exceeds $200 million or 5 percent of the FHC's tier 1 capital, whichever is less. To report, complete the Items 1 through 5 of the Large Merchant Banking or Insurance Company Investments Section. Companies held directly or indirectly by Small Business Investment Companies (SBICs) are not required to be reported on the FR Y-10. However, if a BHC or a FBO that is a FHC engaged in merchant banking activities holds shares in the same merchant banking investment through a merchant banking subsidiary as well as through a SBIC, the entire investment is treated as the large merchant banking investment, and is subject to the reporting criteria. Note: Large merchant banking and insurance company investments are exempt from reportability on the Banking and Nonbanking Schedules. Only the initial transaction should be reported on this schedule when the company meets the reporting criteria for the first time. Subsequent changes to or divestiture of a large merchant banking or insurance company investment are not reportable.
Check box if correction: Check this box at the top of the 4(k) Schedule to indicate that previously reported information was filed incorrectly and has been corrected with the information provided.
Post-Transaction Notice Section
Item 1.a – Event Type (check one only)
Check the box that best describes the event type being reported:
New Activity Commenced Directly by a FHC or Through an Existing Subsidiary;
New Activity Commenced Through Acquisition of a Going Concern;
New Activity Commenced Through a De Novo Formation;
Item 1.b – Date of Event
Provide the date on which the reportable event legally took effect:
For a New Activity Commenced Directly by a FHC or Through an Existing Subsidiary, report the date the activity commenced;
For an Acquisition of a Going Concern, report
the date of consummation of the acquisition; orFor a Formation of a New Company, report the date on which the new company opened for business.
Item 2 – New Activities Commenced
FRS Legal Authority Code (check one)
Check the box next to the legal authority code under which the new activity is conducted. Consult Appendix A of these instructions and choose the appropriate FRS legal authority code under which this activity is being conducted.
NAICS Activity Codes
Consult Appendix B (North American Industry Classification System (NAICS) Activity Codes) for commonly reported activities and select a five or six-digit code that best describes the activity being reported. If an appropriate code is not listed in Appendix B, select a five or six-digit NAICS code from the Census Bureau website (provided below):
http://www.census.gov/epcd/www/naics.html.
Description of Activity
Provide a text description of an activity only if unable to identify a five or six-digit NAICS code corresponding to the activity.
Large Merchant Banking or Insurance Company Investments Section
A large merchant banking investment or insurance company investment by a FHC is reportable if the FHC directly or indirectly acquires more than 5 percent of a Nonbanking Company's voting shares or total equity or assets and the cost of the investment to the FHC exceeds 1) $200 million; or 2) 5 percent of the FHC's tier 1 capital, whichever is less.
Item 1 – Date of Event
Provide the date of consummation of the investment transaction.
Item 2 – Direct Holder's Name and Location
Provide the legal name, city and county, state/province, and country of the head office of the direct holder of the Reporter's large merchant banking or insurance company investment in the Nonbanking Company. If the Reporter holds the investment through more than one direct holder, complete a separate 4(k) Schedule for each direct holder.
Item 3 – Nonbanking Company's Name and Location
Provide the legal name, city and county, state/province, and country of the Nonbanking Company in which the large merchant banking or insurance company investment has been made.
Item 4 – Direct Holder's Investment in Nonbanking Company
Report the percentage amount of voting securities, percentage of total equity, or percentage of assets, as applicable, to represent the direct holder's investment in the Nonbanking Company. Report the percentage rounded down to the nearest whole percentage. For example, a percentage of 61.75 should be reported as 61. Note: There are two exceptions to this rounding rule: when the percentage is greater than 50 but less than 51, report the percentage as 51; or if the percentage is greater than 0 but less than 1, report the percentage as 1.
Item 5 – Initial Aggregate Cost of Investment to the FHC (in millions of U.S. dollars)
Report the initial aggregate cost of the FHC's investment, in millions of U.S. dollars, rounded down to the nearest million. Changes to or divestiture of the investment are not reportable events.
Specific Instructions for Branch, Agency, and Representative Office of Foreign Banking Organizations (FBOs) Schedule
What to Report
Use this schedule to report the following changes in organizational structure:
The initial opening of U.S. branches, agencies, and representative offices, including managed non-U.S. branches of FBOs;
The initial licensing of a U.S. branch or agency that is required to file the FFIEC 002 report and has not yet opened for business;
Changes to the location or other reportable characteristics of the entities listed above; or
Closing and surrender of licenses of a reportable entity.
The date reported for the opening of an office should reflect the actual opening date. For purposes of this schedule, the actual opening date occurs when the first accounting entry is made. For offices newly acquired by the reporting head office through a merger or acquisition, report the opening date as the date the office was acquired.
Include any entity that, although inactive, continues to retain its license.
Check box if correction: Check this box to indicate that previously reported information is incorrect and should be corrected with the information provided.
Item 1.a – Event Type (check one only)
Check the box that best describes the event type being reported:
Opening;
License Issued;
Relocation;
Change in Office Type;
Became Inactive;
License Surrendered;
Commenced Activities Through Managed Non-U.S. Branch
Ceased Activities Through Managed Non-U.S. Branch; or
If Other, please describe event type.
Item 1.b – Date of Event
Provide the date on which the reportable event took legal effect.
Item 2 – Office Type (including Managed Non-U.S. Branches)
Check the box that best describes the office type being reported:
Branch;
Agency; or
Representative Office
Item 3 – Popular Name
Provide the popular name of the office being reported.
Item 4.a – Current Address
Provide the current street address, city, county (if applicable), state, country, and zip/postal code for the office. The location reported should be the physical location of the office which is not necessarily its legal location. Do not use a post office box as the street address. Report the nine-digit zip code, if available.
Item 4.b – Previous Address (if changes have occurred)
In the event of relocation or correction, provide the prior street address, city and county (if applicable), state, country, and zip/postal code of the office. Do not use a post office box as the street address. Report the nine-digit zip code, if available.
Item 5 – Head Office Legal Name and Location
Provide the legal name of the head office and its current location: city, province, country, and zip/postal code.
Specific Instructions for Foreign Branches of U.S. Banking Organizations Schedule
What to Report
Use this schedule to report the following changes in organizational structure:
The initial opening of foreign19 branches of U.S. banking organizations and of banks located in the U.S. territories. This includes branches of
member banks;
Edge or agreement corporations; or
bank holding companies
It also includes branches of foreign subsidiaries of the above if located in a different foreign country than the foreign subsidiary;
Changes to the location or other reportable characteristics of the entities listed above; or
Closing and surrender of licenses of a reportable entity.
The date reported for the opening of an office should reflect the actual opening date. For purposes of this schedule, the actual opening date occurs when the first accounting entry is made. For offices newly acquired by the reporting head office through a merger or acquisition, report the opening date as the date the office was acquired.
Include any entity that, although inactive, continues to retain its license. Note: For purposes of this schedule, an inactive foreign branch is reportable until it surrenders its banking license.
Check box if correction: Check this box to indicate that previously reported information is incorrect and should be corrected with the information provided.
Item 1.a – Event Type (check one only)
Check the box that best describes the event type being reported:
Opening;
Closure;
Relocation; or
If Other, please describe event type.
Item 1.b – Date of Event
Provide the date on which the reportable event took legal effect.
Item 2 – Office Type
Check the box that best describes the office type being reported:
Full-Service Branch;
Shell Branch; or
Other (i.e., foreign office of a U.S. nonbank entity or a foreign subsidiary)
Item 3 – Date of Board Consent or Prior Notification (if applicable)
Provide the date of the Board consent or prior notification to establish this branch. Note: This item is only applicable when reporting the opening of a foreign branch.
Item 4 – Popular Name
Provide the popular name of the office being reported.
Item 5.a – Current Address
Provide the current street address, city, province, country, and zip/postal code for the office. The location reported should be the physical location of the office which is not necessarily its legal location. Do not use a post office box as the street address.
Item 5.b – Previous Address (if changes have occurred)
In the event of relocation or correction, provide the prior street address, city, province, country, and zip/postal code of the office.
Item 6 – Head Office Legal Name and Location
Provide the legal name of the head office and its current location: city, state, country, and zip/postal code.
Specific Instructions for the
Domestic Branch Schedule
What to Report
Use this schedule to report the following information for: 1) domestic branches and offices (hereafter referred to as branches) of any domestic depository institution (including thrifts and banking Edge and agreement corporations) that is a subsidiary, directly or indirectly, of a top-tier bank holding company (BHC)20, or 2) domestic branches of a state member bank or a banking Edge/agreement corporation that is not affiliated with a BHC:
Initial opening of a branch;
Acquisition of branches through a merger or absorption, or through a purchase and assumption;
Sale of branches to another depository institution;
Changes to the name, service type, location, or other reportable characteristics of a branch;
Closure of a branch;
Deletion of erroneously reported branch/office; or
Changes to previously reported information.
For purposes of this schedule, a domestic branch is defined as: 1) a branch located in the fifty states of the United States, which is a branch of a U.S. depository institution; or 2) a branch located in the U.S. territories, which is located in the same territory as their head office depository institution.
For purposes of this report item, a branch is any location or facility of a domestic depository institution, including the main office, where any of the following occur: accounts are opened, deposits are accepted, checks are paid or loans are granted. Reportable branches include, but are not limited to: brick and mortar locations, drive-in facilities, mobile/seasonal offices, offices on military bases of government installations, paying or receiving stations or units (not stand-alone automated teller machines (ATMs)), and Internet and Phone Banking locations where a customer can open accounts, make deposits or borrow money.
Note: A branch does not include Administrative offices, Loan Production offices, Consumer Credit offices, stand-alone ATMs, Contractual offices, Customer Bank Communications Terminals (CBCT) and Electronic Fund Transfer Units (EFTU).
Allowable exclusions:
Address changes that result from changes in street names or zip codes, with no actual change in the physical location of the branch; and
Relocations of less than 1,000 feet, if the move does not involve a change of county.
The date reported for the opening of a branch should reflect the actual opening date. For branches newly acquired by the reporting head office through a merger or acquisition, report the date the event occurred.
A Reporter may choose to separately provide an attachment listing each of the branches acquired in a merger or absorption. Reporters that choose to use an attachment to report the acquisition of branches through a merger or absorption (as reported on the Merger Schedule) must contact the appropriate Federal Reserve Bank for further instructions on the format of the attachment.
When to Report
Information must be received at the appropriate Federal Reserve Bank within 30 calendar days of the occurrence of a reportable event. Reporters may choose to file all reportable events occurring in a month at one time (for example, at month-end) as long as each reportable event is received within 30 calendar days of its occurrence.
Check box if correction: Check this box to indicate that previously reported information was filed incorrectly and has been corrected with the information provided.
Item 1.a – Event Type
Check the box that best describes the event type being reported. Generally, only one event type should be checked unless reporting multiple events such as a relocation and name change.
Opening (De Novo);
Purchase of Branches;
Acquisition of Branches Through Merger/Absorption;
Sale of Branches;
Closure;
Relocation;
Name Change;
Change in Service Type;
Deletion of Erroneously Reported Branch/Office; or
If Other, please describe event type. (If none of the listed event types adequately describes the reportable event, check the box next to “If other, please describe event type,” and provide a text description in the space provided.)
Item 1.b – Date of Event
Provide the date on which the reportable event took legal effect.
Characteristics Section
Item 2 – Check Applicable Service Type
Check the box that best describes the service type of the branch:
Full Service – A branch that accepts deposits, makes loans, opens/closes accounts, has a loan officer and full-time staff on site, maintains normal hours, and may have safe deposit facilities on site. The site may be owned or leased by the institution or located in a retail facility such as a supermarket.
Limited Service – A branch that accepts deposits and payments; however, it may not offer other services. Examples include a Military Facility that operates on a military base for the sole purpose of cashing military and government payroll checks, a drive-through facility that can accept deposits and make payments but may not offer other services, a mobile/seasonal or otherwise temporary branch that may not have a fixed location or is only open for a limited period, or a limited service facility located in a retail establishment.
Trust – An office that only conducts trust activities and does not accept deposits.
Electronic Banking - A facility with phone, PC, and/or website services through which customers can open accounts, apply for loans, make fund transfers into accounts and other types of electronic transactions from a remote location.
Item 3.a – Popular Name
Provide the popular name of the branch being reported. Please include the word mobile in the popular name of a mobile office. Each popular name in the branch structure should be unique.
Item 3.b – Prior Popular Name
Provide the prior popular name, if reporting a name change.
Item 4.a – Current Address
Provide the current street address, city, county, state, country, and zip/postal code for the branch. The location reported should be the physical location of the branch, which is not necessarily its mailing address. Do not use a post office box as the street address. Report the nine-digit zip code, if available. When reporting the current address for an Electronic Banking branch, use the address of the operations center that performs the back room operations associated with this activity. When reporting the current address for a mobile branch, use the address of the main office.
Item 4.b – Previous Address (if changes have occurred)
In the event of relocation or correction, provide the prior street address, city, county, state, country and zip/postal code of the branch.
Item 5 – Head Office Legal Name and Location
Provide the legal name of the head office, and its current location: city, state, country, and zip/postal code. Changes to head office information should be reported on the Banking Schedule.
Item 6 – Branch Sales or Purchases
Provide the name and address of the depository institution that either sold the branches to your organization or purchased the branches from your organization as reported in Item 1.a, Event Type.
Also, in the applicable space, provide the number of branches only when reporting the following types of transactions:
Sale of branches through a partial purchase and assumption transaction; or
Purchase of branches through a partial purchase and assumption transaction.
For purposes of reporting the Domestic Branch Schedule, a partial purchase and assumption transaction is defined as the sale or purchase of one or more branches, but not all branches, to or from another depository institution. For example, Bank A is engaging in a partial purchase and assumption transaction when it sells three of its six branches to Bank B.
A Reporter may choose to separately provide an attachment listing each of the branches sold or purchased through a partial purchase and assumption transaction. Reporters that choose to report these types of transactions using an attachment must contact the appropriate Federal Reserve Bank.
S
(FR Y-10, FR Y-6, FR Y-7)
Glossary
Affiliate: A company that controls, is controlled by, or is under common control with another company.
Agreement Corporation: A state-chartered corporation that has entered into an agreement or understanding with the Federal Reserve Board under the provisions of Section 25 of the Federal Reserve Act to limit its banking activities to those permitted to an Edge corporation.
Appropriate Federal Reserve Bank: Unless otherwise determined by the Board:
for a bank holding company (or a company applying to become a bank holding company), the Reserve Bank of the Federal Reserve District in which the company's banking operations are principally conducted, as measured by total domestic deposits in its subsidiary banks on the date it became (or will become) a bank holding company;
for a foreign banking organization that has no subsidiary bank and is not a bank holding company, the Reserve Bank of the Federal Reserve District in which the total assets of the organization's United States branches, agencies, commercial lending companies, and Edge and agreement corporations are the largest as of the date it became (or will become) a foreign banking organization (12 CFR § 225.3(b)); or
for an unaffiliated state member bank, a nationally chartered bank, or an Edge or agreement corporation, the Federal Reserve District in which it is physically located.
Authorized Official: An officer of the Reporter who has the authority to; make representations, present factual information, and legally bind the Reporting organization with respect to the information set forth in the Report.
Bank: Any of the following, subject to the exception noted below:
Any national bank or state-chartered bank (including any former savings association), the deposits of which are insured in accordance with the provisions of the Federal Deposit Insurance Act; or
Any institution organized under federal law or the laws of any U.S. state or territory that both -
(a) Accepts demand deposits or deposits that the depositor may withdraw by check or similar means for payment to third parties or others; and
Is engaged in the business of making commercial loans.
Exception: The term “bank” does not include institutions that are exempt from the BHC Act definition of bank under 12 U.S.C. § 1841(c)(2), such as savings associations, limited purpose trust companies, credit unions, limited purpose credit card banks, and industrial loan companies.
Bank Holding Company (BHC): Any company that has control over any bank or over any company that is or becomes a bank holding company by virtue of the BHC Act, unless exempt from the BHC Act definition of bank holding company under 12 U.S.C. § 1841(a)(5).
Banking Company: A bank organized under U.S. law, a bank holding company, or foreign banking organization..
Banking Offices: Foreign branches of member banks, BHCs, Edge and agreement corporations and their foreign investment subsidiaries (other than in the country of incorporation), managed non-U.S. branches of FBOs, and U.S. branches, agencies, and representative offices of FBOs.
Bearer Security: Any security that is not registered to a particular party on the books of the issuing company, and, therefore, all rights associated with the security are assigned to the party that is in possession of the security.
BHC Act: The Bank Holding Company Act of 1956, as amended (12 U.S.C. § 1841 et seq.).
Commercial Lending Company: Any organization, other than a bank or an Agreement Corporation, organized under the laws of any state that maintains credit balances permissible for an agency and engages in the business of making commercial loans. This definition
includes any company chartered under Article XII of the banking law of the State of New York (12 CFR § 211.21(g)).
Company:
Any corporation, partnership, business trust, association, or
similar organization, or any other trust unless by its terms it must
terminate within twenty-five years or not later than twenty-one
years and ten months after the death of individuals living on the
effective date of the trust. Exception: the definition of
“Company” does not include a
Consolidated Financial Statements: Statements that present the results of operations and the financial position of a parent company and its subsidiaries as if the group were a single company with one or more branches or divisions, after giving effect to the elimination of intercompany balances and transactions.
Control: Company A controls Company B if any of the following are true:21
Company A controls 25 percent or more of any class of voting securities of Company B.22 For purposes of this definition of control, limited partnership interests are generally considered to be a class of voting securities.23
Company A elects a majority of Company B's board of directors, trustees, general partners, or others with similar management responsibilities under the company's organizing documents;
Company A is a general partner, managing member, or trustee of Company B; or
In certain situations, where Company A acquires all or substantially all of Company B's assets.
In addition, Company A is deemed to control Company B if any of the following are true (absent a reporter's presentation of evidence of noncontrol to the appropriate Federal Reserve Bank and the Federal Reserve Bank's acceptance of such evidence):
Company A has entered into a management agreement with Company B under w
hich Company A exercises significant influence over Company B's general management or overall operations;
Company A controls more than 5 percent of a class of voting securities of Company B, one or more individuals serve as director or officer of both Company B and Company A, and no person unaffiliated with Company A controls 5 percent or more of Company B;
Company A controls more than 5 percent of a class of voting securities of Company B and together with directors or officers of Company A controls more than 25 percent of a class of voting securities of Company B;
Company A controls 10 percent or more of a class of voting securities of Company B and an individual serves as both a director or officer of Company B and a director or officer of Company A; or
Staff at the Board or the appropriate Federal Reserve Bank has informed the reporter that, for purposes of the FR Y-6, Y-7, and Y-10, Company A is deemed to control Company B.
De Novo: A newly chartered bank or company, a newly opened branch or office, or a newly commenced activity.
Depository Institution: An institution defined in 12 CFR § 225.2(t) or 12 CFR § 204.2(m)(1).
Directly / Indirectly:
Directly – An entity that conducts activities or makes investments on its own, and not through any of its subsidiaries, is considered to conduct those activities and make those investments directly.
Indirectly – An entity that conducts activities and or makes investments through any of its subsidiaries is considered to conduct those activities and make those investments indirectly.
Edge Corporation: A corporation chartered under Section 25A of the Federal Reserve Act to engage in international banking and financial operations.
Employee Stock Ownership Plan (ESOP): A stock ownership plan whereby employees purchase shares of their company’s stock.
Financial Holding Company (FHC): A BHC or FBO that effectively has elected to be or be treated as a financial holding company and therefore, may conduct activities as outlined in Section 4(k) of the BHC Act.
Financial Subsidiary: A subsidiary of a commercial bank, as defined in Section 121 of the Gramm-Leach-Bliley Act of 1999, 12 CFR § 208.77(e), or Section 46 of the Federal Deposit Insurance Act.
Foreign Bank: An organization that is organized under the laws of a foreign country and that engages directly in the business of banking outside the United States. The term foreign bank does not include a central bank of a foreign country that does not engage or seek to engage in a commercial banking business in the United States through an office. (12 CFR § 211.21(n))
Foreign Banking Organization (FBO): A foreign bank that operates a branch, agency, or commercial lending company subsidiary in the United States, controls a bank organized under U.S. law, or controls an Edge or agreement corporation, and any company of which a foreign bank is a subsidiary.
Foreign Investment: An investment made or interest acquired in a company pursuant to Subparts A or C of Regulation K (12 CFR § 211).
Functionally Regulated Subsidiary: Any subsidiary that is not a BHC or a depository institution and is regulated by one of the following domestic regulators: State securities department, State insurance commissioner, SEC, or CFTC. Companies subject to functional regulation are:
a broker or dealer registered under the Securities and Exchange Act of 1934;
a registered investment adviser, properly registered by or on behalf of either the Securities and Exchange Commission or any State, with respect to the investment advisory activities of such investment adviser and activities incidental to such investment advisory activities;
an investment company that is registered under the Investment Company Act of 1940;
an insurance company, with respect to insurance activities of the insurance company and activities incidental to such insurance activities, that is subject to supervision by a State insurance regulator; or
a company that is subject to regulation by the Commodity Futures Trading Commission, with respect to the commodities activities of such company and activities incidental to such commodities activities.
See 12 U.S.C. § 1844(c)(2)(B).
Insurance Company: A company licensed to sell insurance products or to underwrite or reinsure insurance products either for coverage of third-parties or for the self-insurance programs of a bank holding company and its affiliates.
Limited Charter Bank: A bank that offers only a narrow product line (such as credit cards or motor vehicle loans) for which a designation as a limited charter bank is in effect. To be considered a limited charter bank, a bank needs to request such designation and receive approval from its primary regulator in accordance with the provisions listed in the CRA regulation (12 CFR § 25.25).
Legal Authority Code: A code designated by the Federal Reserve Board (Appendix A), used to describe the authority for which an activity is being conducted.
M
Merchant Banking: The activity of acquiring or controlling any amount of shares, assets, or ownership interests of a company or other entity that is engaged in any activity not otherwise authorized for a financial holding company under Section 4 of the BHC Act. Merchant banking activities must be conducted in accordance with Subpart J of Regulation Y (12 CFR § 225.170).
Multiple Direct Holders: Companies under the common control of a reporter that all hold direct interests in another company, and together hold a controlling interest in that company.
NAICS Activity Code: Consult Appendix B (North American Industry Classification System (NAICS) Activity Codes) for commonly reported activities and select the code that best describes the activity being reported. If an appropriate code is not listed in Appendix B, select a five or six-digit NAICS code from the U.S. Census Bureau’s website:
http ://www. census. gov/epcd/www/naics.html.
Nonbanking Company: Any company other than a bank, BHC, or FBO as those terms are defined in this Glossary and in Section 2(c) of the BHC Act (12 U. S .C. § 1841(c)). Nonbanking companies include finance companies; savings associations, as defined in section 2(j) of the BHC Act (12 U.S.C. § 1841(j)); and certain institutions that function solely in a fiduciary capacity, as described in Section 2(c)(2) of the BHC Act (12 U.S.C. § 1841(c)(2)).
Nonbearer Security: Any security that is registered to a particular party on the books of the issuing company. The issuer of the nonbearer security is required to maintain a record of ownership of the security.
Nonvoting Securities: Preferred shares, limited partnership shares or interests, or similar interests, are nonvoting securities if:
any voting rights associated with the shares or interests are limited solely to the type customarily provided by statute with regard to matters that would significantly and adversely affect the rights or preference of the security or other interest, such as the issuance of additional amounts or classes of senior securities, the modification of the terms of the security or interest, the dissolution of the issuing company, or the payment of dividends by the issuing company when preferred dividends are in arrears;
the shares or interest represent an essentially passive investment or financing device and do not otherwise provide the holder with control over the issuing company; and
the shares or interest do not entitle the holder, by statute, charter, or in any manner, to select or to vote for the selection of directors, trustees, or partners (or persons exercising similar functions) of the issuing company.
Physical Location: The address at which the main office of the entity is physically located, which is not necessarily the entity’s legal location or place of incorporation. It is not an e-mail address or a post-office box.
Qualifying Foreign Banking Organization (QFBO): A foreign banking organization (FBO), more than half of the worldwide business of which is banking and more than half of the banking business of which is conducted outside the United States, such that the FBO meets the requirements of Section 211.23(a) of Regulation K (12 C.F.R. 211.23(a)). In general, a FBO that fails to meet these requirements for two consecutive years ceases to be a QFBO, under Section 211.23(d) of Regulation K (12 C.F.R. 211.23(d)).
Representative Office: Any place of business of a foreign bank, located in any state within the United States, that is not a branch or agency of a foreign bank (12 U.S.C. § 3101(15)).
State Member Bank (SMB): A state-chartered bank that is a member of the Federal Reserve System.
Subsidiary: For purposes of this form, a subsidiary is a company or bank that is controlled by another company, as control is defined above in this Glossary. For example, a subsidiary is a company in which another company owns, controls, or holds with power to vote 25 percent or more of the outstanding shares of a class of voting securities.
Tiered Reporter: A BHC, FBO or FHC that has a controlling interest in another BHC, FBO or FHC.
Ultimate Parent: A top-tier company that is not a subsidiary of any other company.
Unaffiliated State Member Bank (Unaffiliated SMB): A state member bank that is not a subsidiary of a BHC, FHC, or FBO.
U
A branch is”any office or any place of business of a foreign bank located in any State of the United States at which deposits are received.” (12 U.S.C. § 3101(3)).
An agency is “any office or any place of business of a foreign bank located in any state of the United States at which credit balances are maintained incidental to or arising out of the exercise of banking powers, checks are paid, or money is lent but at which deposits may not be accepted from citizens or residents of the United States.” (12 U.S.C. § 3101(1)).
Voting securities - Shares of common or preferred stock, general or limited partnership shares or interests, or similar interests if the shares or interests, by statute, charter, or in any manner, entitle the holder:
To vote for or to select directors, trustees, or partners (or persons exercising similar functions of the issuing company); or
To vote on or to direct the conduct of the operations or other significant policies of the issuing company.
Class of voting shares - Shares of stock issued by a single issuer are deemed to be the same class of voting shares, regardless of differences in dividend rights or liquidation preference, if the shares are voted together as a single class on all matters for which the shares have voting rights (other than voting rights described above in the first bullet of the definition of nonvoting shares).
Appendix A
Federal Reserve Board Legal Authority Codes
Note: Appendix A contains codes that apply to both domestic and foreign organizations and codes that apply only to foreign organizations. Therefore, not all codes will be applicable to all reporters. Unless otherwise noted, all section references are to the Bank Holding Company Act (12 U.S.C.§ 1841 et seq.).
Code Provision
7 Section 3—Acquisitions of shares of or mergers with a bank holding company, or acquisition of shares or
control of a bank.
10 Section 25 or 25A of the Federal Reserve Act (12 U.S.C.§§ 601-604(a) and 611-631) Establishment of a foreign branch; investment in a foreign bank; establishment of an Edge or agreement corporation; or an investment made or activity conducted by an Edge or agreement corporation in accordance with subpart A of the Board’s Regulation K (12 C.F.R. §§ 211.1 through 211.10).
14 Section 4(c)(i)/(ii)—Engaging in nonbanking activities in reliance on the grandfather provisions of section 4(c)(i)/(ii) of the BHC Act. This code only may be used by the tax-exempt labor, agricultural, and horticultural organizations and the family-owned bank holding companies described in section 4(c)(i)/(ii).
17 Section 4(c)(1)—Servicing and safe deposit activities that are permissible without Board approval.
22 Section 4(c)(5)— An investment by a bank holding company or its nonbank subsidiary if the investment specifically is authorized by federal statute for a national bank. Shares held under this authority must be of the kinds and amounts explicitly described by federal statute as permissible for investment by a national bank.
24 Section 4(c)(7)—Ownership or control of the shares of an investment company whose only activity is acquiring up to 5 percent of the voting share of a company or companies.
26 Section 4(c)(8)—Nonbanking activities determined to be closely related to banking and permissible upon compliance with applicable notice procedures.
44 Section 4(c)(9)—Owning or controlling voting shares of a company that is not engaged, directly or indirectly, in any activities in the United States other than those that are incidental to the international or foreign business of such company, in accordance with section 211.23(f)(3) of the Board’s Regulation K (12 C.F.R. 211.23(f)(3)).
57 Section 4(c)(14)—Owning shares of any company that is an export trading company in accordance with subpart C of the Board’s Regulation K (12 C.F.R. §§ 211.31-211.34).
62 Section 4(c)(13)—An investment in a company, other than one described in Legal Authority Code 10, made in accordance with section 211.5 of the Board’s Regulation K (12 C.F.R. 211.8 through 211.10).
68 Section 8(c) of the International Banking Act (12 U.S.C. § 3106) – Grandfathered nonbanking activities of foreign banking organizations.
Code Provision
104 A subsidiary of a state or national bank, other than a financial subsidiary described in Legal Authority code 314.
311 Section 4(k)(1)(A)/4(k)(4)/4(k)(5)—Activities determined by statute or by the Board to be financial in nature or incidental to a financial activity.
312 Section 4(k)(1)(B)—Activities determined by the Board to be complementary to a financial activity.
314 Section 46 of the Federal Deposit Insurance Act and Section 5136A of the National Bank Act—A financial subsidiary that a bank establishes under one of these provisions and that may conduct certain financial activities in addition to activities the bank may conduct directly.
999 Grandfathered regulatory provision not elsewhere classified
Appendix B
NAICS Activity Codes for Commonly Reported Activities
Note: If an appropriate code that best describes the activity being reported is not listed in Appendix B, select a five or six-digit North American Industry Classification System (NAICS) code that accurately describes the activity from the Census Bureau’s web site at http://www.census.gov/epcd/www/naics.html.
Credit Intermediation and Related Activities
52211 Commercial Banking
Entities primarily engaged in accepting demand and other deposits, and making commercial, industrial and consumer loans.
Branches of foreign banks
Commercial banking
Commercial banks
Depository trust companies
National commercial banks
State commercial banks
52212 Savings Institutions
Entities primarily engaged in accepting time deposits, making mortgage and real estate loans, and investing in high-grade securities.
Federal savings and loan associations (S&L)
Federal savings banks
Mutual savings banks
Savings and loan associations (S&L)
Savings banks
Savings institutions
State savings and loan associations
State savings banks
52219 Other Depository Institutions
Entities primarily engaged in accepting deposits and lending funds (except commercial banking, savings institutions, and credit unions).
Industrial banks
Morris Plans
Private banks
52221 Credit Card Issuing
Entities primarily engaged in providing credit by issuing credit cards. Credit card issuance provides the funds required to purchase goods and services in return for payment of the full balance or payments on an installment basis.
Charge card issuing
Credit card banks
Credit card issuing
52222 Sales Financing
Entities primarily engaged in sales financing in combination with leasing. Sales financing establishments are primarily engaged in lending money for the purpose of providing collateralized goods through a contractual installment sales agreement, either directly from or through arrangements with dealers.
Automobile finance leasing companies
Automobile financing
Equipment finance leasing
Installment sales financing
Leasing in combination with sales financing
Machinery finance leasing
Sales financing
Truck finance leasing
522291 Consumer Lending
Entities primarily engaged in making unsecured cash loans to consumers.
Consumer finance companies
Consumer lending
Finance companies
Loan companies (i.e., consumer, personal, small, student)
Personal credit institutions
Personal finance companies
Small loan companies
Student loan companies
522292 Real Estate Credit
Entities primarily engaged in lending funds with real estate as collateral.
Construction lending
Farm mortgage lending
Federal land banks
Home equity credit lending
Loan correspondents
Mortgage banking (i.e., nondepository mortgage lending)
Mortgage companies
Real estate credit lending
Reverse mortgage lending
522293 International Trade Financing
Entities primarily engaged in providing one or more of the following: working capital funds to U.S. exporters, lending funds to foreign buyers of U.S. goods, and/or lending fund to domestic buyers of imported goods.
Agencies of foreign banks
Agreement corporations (except offices of other holding companies, see 551112)
Edge Act corporations (except nondepository credit intermediation, see 522298)
Export trading companies
Export-Import banks
International trade financing
Trade banks
Trade financing, international
522294 Secondary Market Financing
Entities primarily engaged in buying, pooling, and repackaging loans for sale to others on the secondary market.
Financing, secondary market
Real estate mortgage investment conduits (REMICs) issuing, private
Repackaging loans for sale to others (i.e., private conduits)
Secondary market financing
522298 All Other Nondepository Credit Intermediation
Entities primarily engaged in providing nondepository credit (except credit card issuing, sales finance, consumer lending, real estate credit, international trade financing, and secondary market financing). Examples of types of lending in this industry are: short-term inventory credit, agricultural lending (except real estate and sales financing), and consumer cash lending secured by personal property.
Agricultural credit institutions, making loans or extending credit
Agricultural lending (except real estate, sales financing)
Commodity Credit Corporation
Edge Act corporations (except international trade financing, see 522293)
Factoring account receivable
Industrial banks, nondepository
Industrial loan companies, nondepository
Morris Plans, nondepository
Pawnshops
Purchasing of accounts receivable
Short-term inventory credit lending
52231 Mortgage and Nonmortgage Loan Brokers
Entities primarily engaged in arranging loans by bringing borrowers and lenders together on a commission or fee basis.
Loan agencies
Loan brokerages
Loan brokers’ or agents’ offices (i.e., independent)
Mortgage brokerages
Mortgage brokers’ or agents’ offices (i.e., independent)
52232 Financial Transactions Processing, Reserve, and Clearinghouse Activities
Entities primarily engaged in one of more of the following: financial transaction processing (except central bank), reserve and liquidity services (except central bank), and / or check or other financial instrument clearinghouse services (except central bank).
Automated clearinghouses, bank or check
Bank clearinghouse associations
Check clearing services
Check clearinghouse services
Check validation services
Credit card processing services
Electronic financial payment services
Electronic funds transfer services
Financial transactions processing
Processing financial transactions
Reserve and liquidity services
52239 Other Activities Related to Credit Intermediation
Entities primarily engaged in facilitating credit intermediation (except mortgage and loan brokerage, and financial transactions processing, reserve, and clearinghouse activities).
Check cashing services
Loan servicing
Money order issuance services
Travelers’ check issuance services
Securities, Commodity Contracts, and Other Financial Investments
52311 Investment Banking and Securities Dealing
Entities primarily engaged in underwriting, originating, and/or maintaining markets for issues of securities. Investment bankers act as principals (i.e., investors who buy or sell on their own account) in firm commitment transactions or act as agents in best effort and standby commitments. This also includes entities acting as principals in buying or selling securities generally on a spread basis, such as securities dealers or stock option dealers.
Bond dealing
Commercial paper dealing
Investment banking
Making markets for securities
Market making for securities
Paper, dealing of commercial
Securities dealer
Securities dealing
Securities distributing
Securities floor traders
Securities flotation companies
Securities originating
Securities trading
Securities underwriting
Securities options dealing
Trading securities
Underwriting securities
52312 Securities Brokerage
Entities primarily engaged in acting as agents (i.e., brokers) between buyers and sellers in buying or selling securities on a commission or transaction fee basis.
Bond brokerage
Brokerages, securities
Certificate of deposit (CD) brokers’ offices
Commercial note brokers’ offices
Mutual fund agencies (i.e., brokerages)
Mutual fund agents’ (i.e., brokers’) offices
Securities brokers’ offices
Securities floor brokers
Stock brokerages
Stock brokers’ offices
Stock options brokerages
52313 Commodity Contracts Dealing
Entities primarily engaged in acting as principals (i.e., investors who buy or sell for their own account) in buying or selling spot or futures commodity contracts or options, such as precious metals, foreign currency, oil, or agricultural products, generally on a spread basis.
Commodity contract trading companies
Commodity contracts dealing
Commodity contracts floor traders
Commodity contracts floor trading
Commodity contracts options dealing
Commodity contracts traders
Foreign currency exchange dealing
Foreign currency exchange services
Futures commodity contracts dealing
Trading companies, commodity contracts
52314 Commodity Contracts Brokerage
Entities primarily engaged in acting as agents (i.e., brokers) in buying or selling spot or future commodity contracts or options on a commission or transaction fee basis.
Brokerages, commodity contracts
Commodity contracts brokerages
Commodity contracts brokers’ offices
Commodity contracts floor brokers
Commodity contracts options brokerages
Commodity futures brokerages
Financial futures brokerages
Futures commodity contracts brokerages
Futures commodity contracts brokers’ offices
52391 Miscellaneous Intermediation
Entities primarily engaged in acting as principals (except investment bankers, securities dealers, and commodity contracts dealers) in buying or selling of financial contracts generally on a spread basis. Principals are investors that buy or sell for their own account
Individuals investing in financial contracts on own account
Investment clubs
Mineral royalties or leases dealing
Oil royalty dealing
Tax liens dealing
Venture capital companies
Viatical settlement companies
52392 Portfolio Management
Entities primarily engaged in managing the portfolio assets (i.e., funds) of others on a fee or commission basis. Entities have the authority to make investment decisions, and they derive fees based on the size and/or overall performance of the portfolio.
Investment management
Managing investment funds
Managing mutual funds
Managing personal investment trusts
Managing trusts
Mutual fund managing
Pension fund managing
Personal investment trusts, managing
Portfolio fund managing
52393 Investment Advice
Entities primarily engaged in providing customized investment advice to clients on a fee basis, but do not have the authority to execute trades. Primary activities performed by these entities are providing financial planning advice and investment counseling to meet the goals and needs of specific clients.
Certified financial planers, customized, fees paid by client
Financial investment advice services, customized, fees paid by client
Financial planning services, customized, fees paid by client
Investment advice consulting services, customized, fees paid by client
Investment advice counseling services, customized, fees paid by client
Investment advisory services, customized, fees paid by client
523991 Trust, Fiduciary, and Custody Activities
Entities primarily engaged in providing trust, fiduciary, and custody services to others, as instructed, on a fee or contract basis, such as bank trust offices and escrow agencies (except real estate).
Administrators of private estates
Bank trust offices
Escrow agencies (except real estate)
Fiduciary agencies (except real estate)
Personal investments trust administration
Securities custodians
Trust administration, personal investment
Trust companies, nondepository
523999 Miscellaneous Financial Investment Activities
Entities primarily engaged in acting as agents and/or brokers (except securities brokerages and commodity contracts brokerages) in buying or selling financial contracts and those providing financial investment services (except securities and commodity exchanges; portfolio management; investment advice; and trust, fiduciary, and custody services) on a fee or commission basis.
Clearinghouses, commodity exchange or securities exchange
Deposit brokers
Exchange clearinghouses, commodities or securities
Gas lease brokers’ offices
Oil lease brokers’ offices
Protective committees, security holders
Quotation services, securities
Quotation services, stock
Securities holders’ protective services
Securities transfer agencies
Stock quotation services
Stock transfer agencies
Transfer agencies, securities
Insurance Carriers and Related Activities
524113 Direct Life Insurance Carriers
Entities primarily engaged in initially underwriting (i.e., assuming the risk and assigning premiums) annuities and life insurance policies, disability income insurance policies, and accidental death and dismemberment insurance policies.
Accidental death and dismemberment insurance carriers, direct
Accidental death and dismemberment insurance underwriting, direct
Cooperative life insurance organizations
Credit life insurance carriers, direct
Disability insurance carriers, direct
Disability insurance underwriters, direct
Fraternal life insurance organizations
Insurance carriers, disability, direct
Insurance carriers, life, direct
Insurance underwriting, disability, direct
Life insurance carriers, direct
Savings bank life insurance carriers, direct
524114 Direct Health and Medical Insurance Carriers
Entities primarily engaged in initially underwriting (i.e., assuming the risk and assigning premiums) health and medical insurance policies. Group hospitalization plans and HMO establishments (except those providing health care services) that provide health and medical insurance policies without providing health care services are included in this industry.
Dental insurance carriers, direct
Health insurance carriers, direct
Hospitalization insurance carriers, direct, without providing health care services
Insurance carriers, health, direct
Insurance underwriting, health and medical, direct
Medical insurance carriers, direct
524126 Direct Property and Casualty Insurance Carriers
Entities primarily engaged in initially underwriting (i.e., assuming the risk and assigning premiums) insurance policies that protect policyholders against losses that may occur as a result of property damage or liability
Agricultural (i.e., crop, livestock) insurance carriers, direct
Automobile insurance carriers, direct
Burglary and theft insurance carriers, direct
Casualty insurance carriers, direct
Credit and other financial responsibility insurance carriers, direct
Crop insurance carriers, direct
Fidelity insurance carriers, direct
Fire insurance carriers, direct
Homeowners’ insurance carriers, direct
Insurance carriers, fidelity, direct
Insurance carriers, property and casualty, direct
Insurance carriers, surety, direct
Insurance underwriting, property and casualty, direct
Liability insurance carriers, direct
Malpractice insurance carriers, direct
Marine insurance carriers, direct
Mortgage guaranty insurance carriers, direct
524126 Direct Property and Casualty Insurance Carriers (cont’d.)
Plate glass insurance carriers, direct
Property and casualty insurance carriers, direct
Property damage insurance carriers, direct
Surety insurance carriers, direct
Workers’ compensation insurance underwriting
524127 Direct Title Insurance Carriers
Entities primarily engaged in initially underwriting (i.e., assuming the risk and assigning premiums) insurance policies to protect the owners of real estate or real estate creditors against loss sustained by reason of any title defect to real property.
Guaranteeing titles
Insurance carriers, title, direct
Insurance underwriting, title, direct
Real estate title insurance carriers, direct
Title insurance carriers, real estate, direct
524128 Other Direct Insurance (except Life, Health & Medical) Carriers
Entities primarily engaged in initially underwriting (e.g., assuming the risk, assigning premiums) insurance policies (except life, disability income, accidental death and dismemberment, health and medical, property and casualty, and title insurance policies).
Bank deposit insurance carriers, direct
Burial insurance carriers, direct
Contact lens insurance, direct
Deposit or share insurance carriers, direct
Funeral insurance carriers, direct
Homeowners’ warranty insurance carriers, direct
Pet health insurance carriers, direct
Product warranty insurance carriers, direct
Warranty insurance carriers (e.g., appliance, auto, homeowners, product)
52413 Reinsurance Carriers
Entities primarily engaged in assuming all or part of the risk associated with existing insurance policies originally underwritten by other insurance carriers.
Accidental and health reinsurance carriers
Life reinsurance carriers
Marine reinsurance carriers
Medical reinsurance carriers
Property and casualty reinsurance carriers
Reinsurance carriers
52421 Insurance Agencies and Brokerages
Entities primarily engaged in acting as agents (i.e., brokers) in selling annuities and insurance policies.
Agencies, insurance
Brokerages, insurance
Brokers’ offices, insurance
Insurance agencies
Insurance brokerages
Life insurance agencies
524291 Claims Adjusting
Entities primarily engaged in investigating, appraising, and settling insurance claims.
Cause-of-loss investigators, insurance
Claims adjusting, insurance
Fire investigators
Insurance claims adjusting
Insurance claims investigation services
Insurance settlement offices
Loss control consultants
524292 Third Party Administration of Insurance & Pension Funds
Entities primarily engaged in providing third party administration services of insurance and pension funds, such as claims processing and other administrative services to insurance carriers, employee-benefit plans, and self-insurance funds.
Claims processing services, insurance, third-party
Employee benefit plans, third-party administrative processing services
Insurance claims, processing services, third party
Insurance fund, third-party administrative services (except claims adjusting only)
Insurance plan, third-party administrative services (except claims adjusting only)
Pension fund, third-party administrative services
524298 All Other Insurance Related Activities
Entities primarily engaged in providing insurance services on a contract or fee basis (except insurance agencies and brokerages, claims adjusting, and third party administration). Insurance advisory services and insurance retaking services are included in this industry.
Actuaries
Insurance actuarial services
Insurance advisory services
Insurance coverage consulting services
Insurance exchanges
Insurance investigation services (except claims investigation)
Insurance loss prevention services
Insurance processing, contract or fee basis
Insurance rate making services
Insurance reporting services
Insurance underwriting laboratories and standards services
Medical cost evaluation services
Rate making services, insurance
52519 Other Insurance Funds
Legal entities (i.e., funds (except pension, and health- and welfare-related employee benefit funds)) organized to provide insurance exclusively for the sponsor, firm, or its employees or members. Self-insurance funds (except employee benefit funds) and workers' compensation insurance funds are included in this industry.
Compensation, workers, insurance funds
Funds, self-insurance (except employee benefit funds)
Self-insurance funds (except employee benefit funds)
Workers’ compensation insurance funds
52599 Other Financial Vehicles
This industry comprises a variety of legal entities (i.e., funds (except insurance and employee benefit funds; open-end investment funds; trusts, estates, and agency accounts)). Included in this industry are mortgage Real Estate Investment Trusts (REITs).
Closed-end investment funds (except REITs)
CMOs (collateralized mortgage obligations)
Collateralized mortgage obligations (CMOs)
Face-amount certificate funds
Funds, mutual, closed-end
Investment funds, closed-end
Money market mutual funds, closed-end
Mutual funds, closed-end
Profit-sharing funds
Real estate mortgage investment conduits (REMICs)
REMICs (real estate mortgage investment conduits)
Special purpose financial vehicles
Unit investment trust funds
Real Estate and Rental and Leasing
Entities primarily engaged in renting, leasing, or otherwise allowing the use of tangible or intangible assets, and entities providing related services. This also includes entities primarily engaged in managing real estate for others, selling, renting and/or buying real estate for others, and appraising real estate.
53111 Lessors of residential buildings and dwellings
53112 Lessors of nonresidential buildings (except mini warehouses)
53113 Lessors of miniwarehouses and self-storage units
53119 Lessors of other real estate property
53121 Offices of real estate agents and brokers
531311 Residential property managers
53131 Nonresidential property managers
53132 Offices of real estate appraisers
53139 Other activities related to real estate
532111 Passenger car rental
532112 Passenger car leasing
53212 Truck, utility trailer, and RV rental and leasing
53221 Consumer electronics and appliance rental
532411 Commercial air, rail, and water transportation equipment rental and leasing
532412 Construction, mining, and forestry machinery and equipment rental and leasing
53242 Office machinery and equipment rental and leasing
53249 Other commercial and industrial machinery and equipment rental and leasing
Management of Companies and Enterprises
551111 Offices of Bank Holding Companies
Legal entities known as bank holding companies primarily engaged in holding the securities of (or other equity interests in) companies and enterprises for the purpose of owning a controlling interest or influencing the management decisions of these firms. The holding companies in this industry do not administer, oversee, and manage other establishments of the company or enterprise whose securities they hold.
Bank holding companies (except managing)
551112 Offices of Other Holding Companies
Legal entities known as holding companies (except bank holding) primarily engaged in holding the securities of (or other equity interests in) companies and enterprises for the purpose of owning a controlling interest or influencing the management decisions of these firms. The holding companies in this industry do not administer, oversee, and manage other establishments of the company or enterprise whose securities they hold.
Agreement corporation (except international trade financing, see 522293)
Financial holding companies
Holding companies (except bank, managing)
Insurance holding companies
Nonbank holding companies (except managing)
Personal holding companies
Public utility holding companies
551114 Corporate, Subsidiary, and Regional Managing Offices
Entities (except government establishments) primarily engaged in administering, overseeing, and managing other establishments of the entity or enterprise. These entities normally undertake the strategic or organizational planning and decision-making role of the entity or enterprise. Entities in this industry may hold the securities of the entity or enterprise.
Centralized administrative offices
Corporate offices
District and regional offices
Head offices
Holding companies that manage
Subsidiary management offices
1 A FBO with U.S. operations that is not or ceases to be a “qualifying foreign banking organization” (QFBO) within the meaning of Regulation K, and is not otherwise treated as a QFBO under Regulation K, should consult with Federal Reserve staff regarding the scope of its FR Y-10 reporting obligations. In general, a FBO that is not or is not treated as a QFBO is subject to the nonbanking restrictions of the BHC Act with respect to its worldwide operations and, thus, would have to report on the FR Y-10 changes to its worldwide organizational structure.
2 This reference to qualifying FBOs also pertains to FBOs that are treated as qualifying FBOs as well as FBOs that have limited exemption.
3 Prior to the issuance of this report form on June 30, 2007, changes to organizational structure of banking and nonbanking companies were reported on four forms, i.e., FR Y-10, FR Y-10F, FR Y-10S, and FR 2058. The respondent panels for those forms and the information required to be reported have been incorporated into this form. References to “information previously reported on Federal Reserve structure reports” pertain to information reported on those four report forms.
4 A Reporter that is a Banking Company should use the Banking Schedule to report information about itself.
5 For purposes of the FR Y-10, "Banking Company" refers to BHCs and banks as those terms are defined in the Bank Holding Company Act (BHC Act), as well as to FBOs. Because savings associations, trust companies not accepting demand deposits, certain industrial loan companies, and similar institutions are not included in the BHC Act definition of a bank, acquisition of an interest in such an institution should be reported on the Nonbanking Schedule or 4(k) Schedule, as appropriate.
6 As noted in the instructions for Item 13.a of this schedule, a Reporter that in the aggregate controls 5 percent or more of more than one class of the Banking Company’s voting shares need only report the class of which the Reporter controls the highest percentage (the “highest class”). If two or more classes could each be considered the highest class, a Reporter must report each such class, if held by different direct holders. A Reporter must file a separate Banking Schedule for each direct holder through which the Reporter controls shares of the highest class, but need not file any schedule for a direct holder through which the Reporter controls only shares of classes other than the highest class.
7 However, subordinated issues should be included.
8 Medium term notes are a type of money market instrument with an average maturity of 4 to 6 years.
9 For purposes of the FR Y-10, "Banking Company" refers to BHCs and banks as those terms are defined in the Bank Holding Company Act (BHC Act), as well as to FBOs. Because savings associations, trust companies not accepting demand deposits, certain industrial loan companies, and similar institutions are not included in the BHC Act definition of bank, acquisition of an interest in such an institution should be reported on the Nonbanking Schedule or 4(k) Schedule, as appropriate.
10 A Reporter that is a Nonbanking Company should use the Nonbanking Schedule to report information about itself.
11 However, a Reporter need only report information in response to Items 2.a, 3.a, 11, 12, and 13 with respect to a company that does not otherwise meet the reporting criteria but is both a subsidiary of the Reporter and a parent of a Nonbanking Company.
12 Some merchant banking or insurance company investments made under authority of section 4(k) of the Bank Holding Company Act may be reportable on the FR Y-10 even if the Reporter making the investment does not control the company in which the investment is made. See the 4(k) Schedule for further information on the reportability of merchant banking and insurance company investments.
13 Note that the definition of “Subsidiary” in Section 211.2(w) of Regulation K differs from the definition of subsidiary found in the Glossary appended to these instructions. For example, in general under Section 211.2(w) of Regulation K, Company B is a subsidiary of Company A if: Company A directly or indirectly controls more than 50 percent of Company B's voting securities; Company A is a general partner of Company B; Company A directly or indirectly controls more than 50 percent of the equity of Company B; or Company A otherwise controls Company B.
? As noted in the instructions for Item 13.a of this schedule, a Reporter that in the aggregate controls 25 percent or more of more than one class of the Nonbanking Company’s voting shares need only report the class of which the Reporter controls the highest percentage (the “highest class”). If two or more classes could each be considered the highest class, a Reporter must report each such class, if held by different direct holders. A Reporter must file a separate Nonbanking Schedule for each direct holder through which the Reporter controls shares of the highest class, but need not file any schedule for a direct holder through which the Reporter controls only shares of classes other than the highest class.
1515 However, subordinated issues should be included.
1616 Medium term notes are a type of money market instrument with an average maturity of 4 to 6 years.
17 Companies formed to issue trust preferred securities typically are reported as "Other company".
18 Those investments that are made under authority of Subpart A of Regulation K that are not reportable on the FR Y-10 are subject to the internal record-keeping requirements described in SR 02-2, and may be reportable on the FR Y-6 or Y-7 in accordance with the specific instructions to that reporting form.
19 Foreign or foreign country refers to one or more foreign nations, and includes the overseas territories, dependencies, and insular possessions of those nations and of the United States and the Commonwealth of Puerto Rico. (Section 211.2(i) of Regulation K.) With respect to territorial banks, report on this schedule information about branches located outside the country of the head office.
20 This schedule should not be submitted for U.S. chartered depository institutions owned directly by a FBO.
21 As used in this definition of control only, control by Company A of shares or an interest refers to Company A's control in the aggregate of shares or interests held directly by Company A and indirectly by Company A through one or more subsidiaries. Other references to Company A in this definition refer to Company A acting directly or indirectly through any of its subsidiaries.
22 Definitions of "voting securities", "nonvoting shares", and "class of voting shares", are provided in the Glossary under the entry for "voting securities and related terms".
23 A limited partnership interest is not a voting security if it does not afford the limited partner any authority to participate in removing or appointing general partners and the interest also meets the other requirements of the definition of "Nonvoting shares."
| File Type | application/msword |
| Author | DSC |
| Last Modified By | frbuser |
| File Modified | 2008-12-05 |
| File Created | 2008-12-05 |
© 2024 OMB.report | Privacy Policy