Reporting Section 251.6

Board of Governors of the Federal Reserve System

Instructions for Preparation of

Financial Company (as defined) Report of Consolidated
Liabilities
Reporting Form FR XX-1
Issued December 2014

INSTRUCTIONS FOR PREPARATION OF

Financial Company (as defined)
Report of Consolidated Liabilities
FR XX-1

Who Must Report
A financial company that is: (1) a top-tier company that
controls an insured depository institution, as defined in
section 3(c)(2) of the Federal Deposit Insurance Act, but
does not file the Consolidated Financial Statements for
Holding Companies (FR Y-9C), the Parent Company
Only Financial Statements for Small Holding Companies
(FR Y-9SP), Parent Company Only Financial Statements
for Large Holding Companies (FR Y-9LP), the Capital
and Asset Report for Foreign Banking Organizations
(FR Y-7Q), or consolidated total liabilities on the Quarterly Savings and Loan Holding Company Report
(FR 2320), or (2) a nonbank financial company supervised by the Board of Governors of the Federal Reserve
System (Board) that does not file the Consolidated
Financial Statements for Holding Companies (FR Y-9C).

Where to Submit the Reports
Electronic Submission
All financial companies must submit their completed
reports electronically. Financial companies should go to
www.frbservices.org/centralbank/reportingcentral/
index.html for procedures for electronic submission.

When to Submit the Report
The FR XX-1 is required to be submitted as of December
31. The submission date for financial companies is 90
calendar days after the December 31 as-of-date.
The term ‘‘submission date’’ is defined as the date by
which the Board must receive the financial company’s
FR XX-1. If the submission deadline falls on a weekend
or holiday, the report must be received on the first
business day after the weekend or holiday. Earlier submission aids the Board in reviewing and processing the
report and is encouraged. No extensions of time for
submitting reports are granted.
FR XX-1
General Instructions December 2014

The report is due by the end of the reporting day on the
submission date (5:00 p.m. EST).

How to Prepare the Reports
A. Scope of the ‘‘Consolidated Liabilities’’
to be Reported
Unless otherwise provided by the Board, a financial
company that is incorporated or organized in the United
States should report its total consolidated liabilities. It
should consolidate its subsidiaries on the same basis as it
does for its annual reports to the Securities and Exchange
Commission (SEC) or, for those financial companies that
do not file reports with the SEC, on the same basis as
described in generally accepted accounting principles
(GAAP). Generally, under the rules for consolidation
established by the SEC and by GAAP, financial companies should consolidate any company in which it owns
more than 50 percent of the outstanding voting stock.
Unless otherwise provided by the Board, a financial
company that is incorporated or organized in a country
other than the United States should report the combined
liabilities of its U.S. operations, which is equal to the sum
of the consolidated liabilities of its top-tier U.S. subsidiaries. Any top-tier U.S. subsidiary should consolidate its
U.S. subsidiaries on the same basis as it does for its
annual reports to the SEC or, for those companies that do
not file reports with the SEC, on the same basis as
described in generally accepted accounting principles
(GAAP). Generally, under the rules for consolidation
established by the SEC and by GAAP, holding companies should consolidate any company in which it owns
more than 50 percent of the outstanding voting stock. A
financial company is permitted, but is not required, to
reduce the aggregate liabilities of its U.S. subsidiaries by
amounts corresponding to balances and transactions
between U.S. subsidiaries of the financial company to the
extent that such subsidiaries are domiciled in the United
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States and such items would not already be eliminated in
consolidation.
If a financial company or, in the case of a foreign
financial company, a top-tier U.S. subsidiary, does not
consolidate its subsidiaries as described by GAAP for
any regulatory purpose (including compliance with applicable securities laws), the financial company may submit
a request to the Board that it use an accounting standard
or method of estimation other than GAAP to calculate its
liabilities for purposes of this report. The Board may, in
its discretion and subject to Board review and adjustment, permit the company to calculate ‘‘Total consolidated liabilities of the financial company’’ on an annual
basis using this accounting standard or method of estimation.

B. Confidentiality
The completed version of this report generally is available to the public upon request on an individual basis.
However, a reporting financial company may request
confidential treatment for the Financial Company (as
defined) Report of Consolidated Liabilities (FR XX-1) if
the financial company is of the opinion that disclosure of
specific commercial or financial information in the report
would likely result in substantial harm to its competitive
position, or that disclosure of the submitted information
would result in unwarranted invasion of personal privacy.
A request for confidential treatment must be submitted in
writing prior to the electronic submission of the report.
The request must discuss in writing the justification for
which confidentiality is requested and must demonstrate
the specific nature of the harm that would result from
public release of the information. Merely stating that
competitive harm would result or that information is
personal is not sufficient. Information for which confidential treatment is requested may subsequently be released
by the Federal Reserve System if the Board determines
that the disclosure of such information is in the public
interest.

C. Signatures
The Financial Company (as defined) Report of Consolidated Liabilities must be signed by the chief financial
officer of the financial company (or by the individual
performing this equivalent function). By signing the
cover page of this report, the authorized officer acknowledges that any knowing and willful misrepresentation or
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omission of a material fact on this report constitutes fraud
in the inducement and may subject the officer to legal
sanctions provided by 18 USC 1001 and 1007.
Item 1 Total consolidated liabilities of the financial
company.
Report the total liabilities of the consolidated financial
company.
Include as total liabilities:
(1) Deposits
(2) Federal funds purchased and securities sold under
agreements to repurchase
(3) Trading liabilities
(4) Commercial paper
(5) Other borrowed money
(6) Subordinated notes and debentures
(7) Net deferred tax liabilities
(8) Allowance for credit losses on off-balance-sheet
credit exposures
(9) Accounts payable.
(10) Deferred compensation liabilities.
(11) Dividends declared but not yet payable
(12) Derivative instruments that have a negative fair
value that the reporting holding company holds for
purposes other than trading.
(13) Deferred gains from sale-leaseback transactions.
(14) Unamortized loan fees, other than those that represent an adjustment of the interest yield
(15) Holding company’s liability for deferred payment
letters of credit.
(16) Recourse liability accounts arising from asset transfers with recourse that are reported as sales.
(17) Claims and claims adjustment expense reserves of
insurance subsidiaries.
(18) Unearned premiums of insurance subsidiaries.
(19) Policyholder benefits and contractholder funds of
insurance subsidiaries.
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General Instructions December 2014

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(20) ‘‘Separate account liabilities’’ of insurance subsidiaries
(21) The full amount (except as noted below) of the
liability represented by drafts and bills of exchange
that have been accepted by the reporting holding
company, or by others for its account, and that are
outstanding. The holding company’s liability on
acceptances executed and outstanding should be
reduced prior to the maturity of such acceptances
only when the reporting holding company acquires

FR XX-1
General Instructions December 2014

and holds its own acceptances, i.e., only when the
acceptances are not outstanding.
(22) Servicing liabilities.
(23) The negative fair value of unused loan commitments (not accounted for as derivatives) that the
holding company has elected to report at fair value
under a fair value option.

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