TIC MONTHLY REPORT OF CUSTODY LIABILITIES

1
WELCOME TO THE
TREASURY INTERNATIONAL CAPITAL (TIC) REPORTS
SEMINAR NOVEMBER 13, 2002
2
TIC GENERAL OVERVIEW
3
ORIGINS

• The Treasury International Capital (TIC)
  Reporting System originated in 1934 to provide
  U.S. government data on U.S. international
  portfolio investment and capital movements

4
PURPOSE

• Balance of Payments
• Statistical statement that summarizes economic
  transactions for an economy with the rest of the
  world
• Current Account
• (e.g., goods, services, income)
• Capital Account
• (non-produced, non-financial assets)
• Financial Account
• (U.S. Reserves, Direct Investment, Portfolio
  Investment)

5
PURPOSE

• U.S. International Investment Position
• Net International Investment Position
• Monetary and Fiscal Policies
• Assessments of the U.S. economy
• Money and credit aggregates
• Debt aggregates
• Monitoring banks operations and competitiveness
• Exposure to country risk

6
PURPOSE

• Economic Analysis
• Financial account analysis
• Capital markets analysis
• Country analysis

7
PUBLICATIONS OF TIC DATA

• Treasury Bulletin
• Published quarterly by the U.S. Department of
  Treasury
• Federal Reserve Bulletin
• Published monthly by the Federal Reserve Board
• Survey of Current Business
• Published monthly by the Dept. of Commerce,
  Bureau of Economic Analysis
• International Financial Statistics
• Published monthly by the IMF

8
PUBLICATIONS OF TIC DATA

• TIC WEB SITE
• http//www.ustreas.gov/tic/
• Monthly time series, by country, updated on the
  last business day each month on a two month lag
• Banking liabilities and claims positions by major
  category
• International securities transactions
• Net foreign purchases of long-term U.S. Treasury
  issues, by major foreign sector
• Estimated Major Foreign Holders of U.S. Treasury
  Securities

9
RELATIONSHIP TO OTHER REPORTS

• Foreign Holdings of U.S. Securities, Including
  Selected Money Market Instruments (Form SHL)
• U.S. Ownership of Foreign Securities, Including
  Selected Money Market Instruments (Form SHC)
• Treasury Foreign Currency (TFC) Forms
• Direct Investment Forms

10
REPORT SERIES

• TIC B Forms (BC, BC (SA), BL-1, BL-1(SA),
  BL-2, BL-2 (SA), BQ-1, BQ-2 and BQ-3)
• Reports by Depository Institutions, by Bank
  Holding Companies/Financial Holding Companies
  (BHCs/FHCs), and Securities Brokers/Dealers of
  Liabilities to, and Claims on, Foreign Residents
  by U.S. Residents
• Monthly, Quarterly and Semiannual reports

11
REPORT SERIES

• TIC C Forms (CQ-1 and CQ-2)
• Reports for U.S. Residents Other than Depository
  Institutions and Securities Brokers/Dealers on
  Liabilities to, and Claims on, Foreign Residents
• Quarterly reports
• TIC S Form
• Report of Purchases and Sales of Long-term
  Securities by Foreigners
• Monthly report

12
REASON FOR CHANGES

• To meet new and expanded international standards
  for reporting data on portfolio flows to the
  International Monetary Fund (IMF)
• To reduce reporting burden
• To clarify reporting instructions
• To improve the quality of the data by closing
  data gaps

13
EFFECTIVE DATES OF CHANGE

• All monthly TIC B and TIC S report series are
  effective with the February 2003 as-of date
• All quarterly TIC B and TIC C report series are
  effective with the March 2003 as-of date
• All semiannual TIC B report series are effective
  with the June 2003 as-of date

14
CHANGES TO THE TIC BANKING FORMS(Effective Feb.
2003)

• Overall Changes
• Depository institutions, BHC/FHCs and brokers and
  dealers will report most cross-border positions
  with affiliates (including affiliates of their
  parent) by type of counterparty and instrument
• The scope of reportable claims and liabilities
  has been expanded to include all positions in
  covered instruments
• permanent capital
• unrealized gains and losses

15
CHANGES TO THE TIC BANKING FORMS(Effective Feb.
2003)

• The scope of customers positions has been
  expanded to include non-traditional custody
  items
• Combining claims on foreign official institutions
  with claims on foreign banks
• Including claims/liabilities to own foreign
  offices either with foreign banks or all other
  foreigners, and in a separate memorandum column

16
CHANGES TO THE TIC BANKING FORMS(Effective Feb.
2003)

• Combining short-term U.S. agency obligations and
  other negotiable and readily transferable
  instruments
• Eliminating BQ-1, Part 1, Reporters Own Claims
  (maturity information)
• Memorandum cells to capture customers
  liabilities by sector of U.S. debtor and types
  of instruments

17
CHANGES TO THE TIC BANKING FORMS(Effective Feb.
2003)

• Of Which Memorandum Items
• Negotiable CDs and other short-term negotiable
• securities (BC)
• Non-interest bearing liabilities (BL-1)
• Commercial paper and claims of U.S. banks (BQ-1)

18
CHANGES TO THE TIC BANKING FORMS(Effective Feb.
2003)

• New Report Form
• The BQ-3 will be required for those reporters
  with 4 billion or more in reportable liabilities
  (excluding securities) as reported on the BL-1 or
  BQ-2

19
CHANGES TO THE TIC BANKING FORMS(Effective Feb.
2003)

• Mapping of Current Forms to New Forms (Exhibit 1)

20
TIC B GENERAL INSTRUCTIONS
21
WHO MUST REPORT

• Depository institutions including
• Commercial banks
• U.S. branches and agencies of foreign banks
• Trust companies that conduct commercial banking
  business
• Industrial banks, private or unincorporated
  banks
• Banking Edge Acts and Agreement corporations
• New York State Article XII corporations
• Mutual or stock savings banks
• Non-deposit and limited purpose companies
• Non-bank banks

22
WHO MUST REPORT

• Securities brokers/dealers, regardless of their
  affiliations with other entities
• Bank Holding Companies (BHCs) and Financial
  Holding Companies (FHCs)

23
CONSOLIDATION RULES HOW TO FILE
Depository Institutions
Securities Brokers/Dealers
BHCs / FHCs
District FRB
FRBNY
24
FORMS

• BC/BC (SA) - Report of U.S. Dollar Claims of
  Depository Institutions, Bank Holding
  Companies/Financial Holding Companies,
  Brokers, and Dealers on Foreigners
• BL-1/BL-1 (SA) - Report of U.S. Dollar
  Liabilities of Depository Institutions, Bank
  Holding Companies/Financial Holding
  Companies, Brokers, and Dealers to Foreigners

25
FORMS

• BL-2/BL-2 (SA) - Report of Customers U.S.
  Dollar Liabilities to Foreigners
• BQ-1 - Report of Customers U.S. Dollar Claims
  on Foreigners

26
FORMS

• BQ-2
• Part 1 - Report of Foreign Currency Liabilities
  and Claims of Depository Institutions, Bank
  Holding Companies/Financial Holding Companies,
  Brokers and Dealers, and of their Domestic
  Customers vis-à-vis Foreigners
• Part 2 - Report of Customers Foreign Currency
  Liabilities to Foreigners

new
27
FORMS

• BQ-3
• Report of Maturities of Selected Liabilities of
  Depository Institutions, Bank Holding
  Companies/Financial Holding Companies,
  Brokers, and Dealers to Foreigners

new
28
DATES

• Due Date
• No later than the 15th calendar day of the
  following month
• No later than the 20th calendar day of the
  following month
• No later than the 30th calendar day of the
  following month

• Form
• BC, BL-1, BL-2
• BQ-1, BQ-2, BQ-3
• BC (SA), BL-1 (SA),
• BL-2 (SA)

As of Date Last business day of each month Last
business day of March, June, September and
December Last business day of June and December
29
EXEMPTION LEVEL S

• Applies to the consolidated reportable claims
  and liabilities
• Once the exemption level is exceeded, reports
  must continue to be submitted for the remainder
  of the calendar year

30
EXEMPTION LEVELS

• Form Grand Total of all Individual Country
• Geographic areas Data
• (Row 9999-6) (Any Country Row) BC 50
  Million 25 Million
• BL-1 50 Million 25 Million
• BL-2 50 Million 25 Million
• BQ-1 50 Million 25 Million
• BQ-2, Part 1 50 Million 25 Million
• BQ-2, Part 2 50 Million N/A

new
31
EXEMPTION LEVELS

• Form Total reported data on Forms BL-1 and
  BQ-2, Part 1, Columns 1 and 2
• Geographical Areas (Row 9999-6)
• BQ-3 4 Billion

new
32
DATA SUBMISSION

• Reporters Information
• The RSSD ID and name of reporting entity must be
  entered in the space provided on each page of the
  report form
• Alternative Methods of Reporting
• Electronically via Internet Electronic Submission
  System (IESUB)
• Typed or handwritten in ink
• Computer generated with prior written approval
  from the responsible Federal Reserve Bank

33
DATA SUBMISSION

• Signature Requirement
• Hard Copy
• Report forms must be signed by an authorized
  officer of the reporting institution
• Electronic filers
• Signature page should be retained by the reporter
• Methods of Submission
• Mail
• Fax
• Hand delivered

34
MAINTAINING DATA RECORDS

• Record/Report Retention
• Reports must be retained for 3 years from the
  date of submission

35
TIC B COMMON REPORTING ELEMENTS
36
GENERAL ACCOUNTING ISSUES

• Report gross, using settlement date accounting
• Report in millions of U.S. dollars at the face
  value of the instrument
• Report the U.S. dollar equivalent of foreign
  currency denominated transactions converted by
  using the spot exchange rate on the as of date
  of the report

37
GENERAL ACCOUNTING ISSUES

• This differs from the S report for which
  securities are reported at cost regardless of any
  discounts or premiums
• Do not report decimals or negative values in any
  cell

38
GENERAL ACCOUNTING ISSUES

• Treatment of Charge-offs, Reserves and
  Write-offs
• Deduct from reportable claims any charge-offs or
  specific reserves (Do not reduce claims by
  general or valuation reserves)
• Report the amount of the charge-off, including
  the specific reserves, on the BC (Row 8200-9),
  in the initial reporting period when established

39
DEFINITIONS

• United States
• The fifty states and the District of Columbia
• The Commonwealth of Puerto Rico and the Northern
  Mariana Islands
• U.S. territories

40
DEFINITIONS

• Location of Foreign Counterparty
• The positions should be reported opposite the
  location in which the direct counterparty
  resides, not the location of the guarantor,
  currency of denomination or the nationality of
  the counterparty

41
DEFINITIONS

• Example
• A respondent has a reportable claim on Cayman
  Islands branch of a U.S. bank. The claim should
  be reported opposite the location in which the
  direct counterparty resides (Cayman Islands), not
  the location of that banks head office (United
  States)

42
DEFINITIONS

• Exceptions
• Branches or agencies of Foreign Official
  Institutions
• Bank for International Settlements (BIS)
• Red Cross and The Institute of International
  Finance
• International and multi-national regional
  organizations

43
DEFINITIONS

• Foreign Resident
• Any individual/entity located outside the United
  States
• Any entity incorporated or chartered outside the
  U.S, even if it has no physical presence outside
  the United States
• Include
• Foreign governments and any subdivision or agency
  
• Entities that have filed an IRS Form W-8
• Branches, subsidiaries and other affiliates of
  U.S. entities located abroad
• Exception International, Regional or affiliated
  agencies thereof, created by treaty or convention
  between sovereign states, even if located in the
  U.S. are also considered foreign

44
DEFINITIONS

• Own Foreign Offices
• Reporters own offices located outside the U.S.
  (banking and non-banking)
• Foreign-located head office/parent
• Foreign banking subsidiaries of your head
  office/parent bank
• Exclude
• Foreign-located affiliated banks and non-banking
  subsidiaries of your foreign head office/parent
• Note Follow the FR 2950/2951 rules not the Call
  Report rules

45
RELATIONSHIP CHART FOR REPORTING TIC OWN FOREIGN
OFFICE
FOREIGN BHC
Do Not Include with Own Foreign Offices
FOREIGN PARENT BANK
Include with Own Foreign Offices
NY BANKING BRANCH/IBF
TOKYO NONBANKING OFFICE
MADRID BANKING BRANCH
TIC REPORTER
Do Not Include with Own Foreign Offices
ROME BANKING BRANCH
LONDON NONBANKING OFFICE
Include with Own Foreign Offices
Include with Own Foreign Offices
46
DEFINITIONS

• Brokerage Balances
• Cash balances
• held by U.S residents in brokerage and margin
  accounts with foreigners (liability)
• held by foreign residents in brokerage and margin
  accounts at U.S. resident entities (claim)
• Reported gross
• Represent funds that are freely withdrawn or held
  to support positions in futures, securities or
  other financial instruments

47
DEFINITIONS

• Credit Balances
• Liabilities to a third party that are incidental
  to, or that arise from, the exercise of banking
  powers, including the payment of checks and
  lending money
• Must be no larger than necessary for the specific
  transaction
• Reported as deposits on the BL-1
• Reported as demand deposits on the BQ-3

48
DEFINITIONS

• Repurchase Agreements
• A transaction involving the sale of financial
  assets by one party to another, subject to an
  agreement by the seller to repurchase the assets
  at a specified date or in specified circumstances
• Resale Agreement (Reverse Repurchase Agreement)
• A transaction involving the purchase of financial
  assets by one party from another, subject to an
  agreement by the purchaser to resell the assets
  at a specified date or in specified circumstances

49
TYPES OF HOLDERS

• Foreign Banks
• All depository institutions (as defined under the
  laws of the host country) that are located
  outside the U.S.
• Include
• Commercial and savings banks
• Nationalized banks
• Development banks
• Discount houses
• Reporters banking offices located outside the
  U.S.
• Other banking institutions which are owned by
  central governments that are not Foreign Official
  Institutions

50
TYPES OF HOLDERS

• Foreign Official Institutions (FOIs)
• Foreign central governments and their
  corresponding departments and agencies including
• Treasuries
• Ministries of finance
• Central banks, including development banks
  performing the functions of a FOI
• Stabilization funds, including
• Official exchange control or other government
  exchange authorities

51
TYPES OF HOLDERS

• All Other Foreigners
• Foreign securities brokers and dealers
• Departments and agencies of foreign state,
  provincial, and local governments
• Foreign government-sponsored corporations
• Other foreign financial and non-financial
  corporations, partnerships, or individuals
• Reporters non-banking offices and subsidiaries
  located outside the U.S.

52
INTERNET ELECTRONIC SUBMISSIONSYSTEM (IESUB)
53
IESUB - FEATURES

• Data Submission (Initial and Revised)
• Data Entry
• Spreadsheet File Transfer
• STAT File Transfer
• Data validation
• Data review
• Receipt
• Remarks
• Feedback

54
IESUB - SECURITY

• Unique User-ID Password
• 128- bit Encryption
• Server-side certificate

55
IESUB - COMMENTS FROM USERS

• User friendly and convenient
• Time saver
• Eliminates paper and fax
• Able to submit reports for multiple DIs to
  multiple Reserve Banks
• Confirmation of receipt
• Validity checking

56
DATA ENTRY/SPREADSHEETFILE TRANSFER

• Available Forms
• TIC BC
• TIC BC (SA )
• TIC BL-1
• TIC BL-1 (SA)
• TIC BL-2
• TIC BL-2 (SA)

• TIC BQ-1
• TIC BQ-2
• TIC BQ-3
• TIC S
• TIC CQ-1
• TIC CQ-2

new
57
REPORT FORMS AVAILABLESTAT FILE TRANSFER

• FR Y-9C
• FR Y-9CS
• FR Y-9ES
• FR Y-9LP
• FR Y-9SP
• FR Y-11I
• FR Y-11Q
• FR Y-12

• FFIEC 002
• FFIEC 002S
• FR 2900
• FR 2900Q
• FR 2950
• FR 2951
• FR Y-8

58
NON-TIC REPORT FORMS AVAILABLE DATA
ENTRY/SPREADSHEET FILE TRANSFER

• FR 2004A
• FR 2004B
• FR 2004C
• FR 2004SD
• FR 2004SI
• FR 2004WI
• FR 2069
• FR 2415W
• FR 2415Q
• FR 2415A
• FR 2416

• FR 2644
• FR 2900
• FR 2900Q
• FR 2915
• FR 2950
• FR 2951
• FR Y-8
• FR Y-9SP
• FR Y-9ES
• FR Y-12

59
FOR MORE INFORMATION

• Visit
• IESUB on the Reporting and Reserves
• Web Site
• http//www.reportingandreserves.org/iesub.html

60
IESUB Q A
61
TIC MONTHLY REPORT OF CLAIMS
62

• TIC BC

REPORT OF U.S. DOLLAR CLAIMS OF DEPOSITORY
INSTITUTIONS, BANK HOLDING COMPANIES/FINANCIAL
HOLDING COMPANIES, BROKERS, AND DEALERS ON
FOREIGNERS
63
REPORTABLE CLAIMS

• Report U.S. dollar-denominated claims on
  foreigners unless specifically excluded,
  include
• Affiliates
• Own foreign offices (both banking and
  non-banking)
• Unaffiliated counterparties

64
REPORTABLE CLAIMS

• Deposit balances due from banks (including
  non- negotiable CDs)
• Brokerage balances
• Customers overdrawn accounts
• Loans and loan participations
• Resale agreements and similar financing
  agreements
• Negotiable CDs
• Short-term negotiable and non-negotiable
  securities
• Money market instruments (e.g., commercial
  paper, bankers acceptances) with an original
  maturity of one year or less

65
SPECIFIC EXCLUSIONS

• Long-term securities
• Credit commitments (unused loan commitments)
• Spot foreign exchange contracts
• Derivatives
• Forward and future exchange contracts
• Options
• Warrants

66
SPECIFIC EXCLUSIONS

• Precious metals and currencies in transit or
  held outside the U.S.
• Foreign-currency denominated claims
• Securities borrowing agreements in which one
  security is borrowed in return for another

67
TYPES OF FOREIGN HOLDERS

• Foreign Banks and Foreign Official Institutions
• (Columns 1, 2 3)
• All Other Foreigners
• (Columns 4 5)

68
TYPES OF INSTRUMENTS

• Non-negotiable Foreign Deposits (Column 1)
• Deposits
• Demand
• Time
• Savings
• Non-negotiable CDs
• Brokerage balances from foreign banks

69
TYPES OF INSTRUMENTS

• Negotiable CDs and All Short-Term Negotiable
• Securities (Columns 2 4)
• Negotiable CDs (Column 2)
• Negotiable securities (Columns 2 4)

70
TYPES OF INSTRUMENTS

• Other (Columns 3 5)
• Loans
• Funds loaned under resale agreements
• Non-negotiable securities
• Brokerage balances due from foreign securities
  brokers and dealers

71
OF WHICH COLUMN ITEMS

• Foreign Official Institutions (Column 7)
• Report all claims included in Columns 1 through
  3 that are due from Foreign Official Institutions

72
OF WHICH COLUMN ITEMS

• Own Foreign Offices (Column 8)
• Include
• All claims in Columns 1 through 5 that are due
  from own foreign offices, both banking and
  non-banking, including your direct foreign parent
  and any non-U.S. banking subsidiary or branch
• Exclude
• Claims due from other offices of affiliated banks
  and non-banking subsidiaries of the reporters
  parent, even though they are reportable in
  Columns 1 through 5

73
OF WHICH COLUMN ITEMS

• Resale Agreements (Column 9)
• Report amounts included in Columns 3 5 that
  are loaned to foreigners under resale
  agreements or similar financing agreements.
  Report them gross ( i.e., no FIN 41 netting)

74
MEMORANDUM ITEMS OF WHICH ROWS

• Total IBF Assets Row (8300-3)
• Report the amounts included in the Grand Total
  row (9999-6) which represent claims of your
  International Banking Facilities (IBFs) on
  foreigners
• Negotiable CDs (8110-8), Column 2
• Report the total amount included in the Grand
  Total row (9999-6) which represents negotiable
  CDs issued by foreigners

75
MEMORANDUM ITEMS OF WHICH ROWS

• Assets Written Off This Reporting Period
• Memorandum Row (8200-9)
• The amount of charge-offs or specific reserves
  for reportable claims, taken partially or
  entirely, during the reporting period
• Only report charge-offs during the period in
  which they are established
• Do not include general reserves

76
TIC MONTHLY REPORT OF LIABILITIES
77
TIC BL-1

• REPORT OF U.S. DOLLAR LIABILITIES OF DEPOSITORY
  INSTITUTIONS, BANK HOLDING COMPANIES/FINANCIAL
  HOLDING COMPANIES, BROKERS, AND DEALERS TO
  FOREIGNERS

78
REPORTABLE LIABILITIES

• Report all U.S. dollar-denominated liabilities
  to foreigners
• Affiliates
• Own foreign offices (both banking and
  non-banking)
• Unaffiliated counterparties

79
REPORTABLE LIABILITIES

• Non-negotiable deposits
• Brokerage balances
• Overdrawn deposit accounts
• Loans of any maturity (exclude drawn syndicated
  loans where there is a U.S administrative
  agent)
• Short-term non-negotiable securities
• Repurchase agreements and similar financing
  agreements

80
SPECIFIC EXCLUSIONS

• Long-term securities
• Negotiable CDs
• Negotiable short-term securities
• Contingent liabilities
• Spot foreign exchange contracts
• Derivatives
• Future forward exchange contracts
• Options
• Warrants

81
SPECIFIC EXCLUSIONS

• Precious metals (e.g., gold, silver) and
  currencies in transit or held outside the U.S.
• Foreign-currency denominated liabilities
• Securities lending agreements in which one
  security is lent in return for another
• Loans from a foreigner that are serviced by a
  U.S. resident

82
TYPES OF FOREIGN HOLDERS

• Foreign Official Institutions (Columns 1 2)
• Foreign Banks (Columns 3 4)
• All Other Foreigners (Columns 5 6)

83
TYPES OF INSTRUMENTS

• Non-negotiable Deposits and Brokerage Balances
• (Columns 1, 3 5)
• Deposits
• Demand
• Time
• Savings
• Non-negotiable CDs
• Brokerage balances of foreign residents

84
TYPES OF INSTRUMENTS

• Non-negotiable Deposits and Brokerage Balances
• (Columns 1, 3 5)
• Exclude
• Balances swept into money market funds,
  government securities funds, or other kinds of
  mutual funds

85
TYPES OF INSTRUMENTS

• Other Liabilities (Columns 2, 4 6)
• Non-negotiable securities issued by the reporter
• Loans from foreign counterparties
• Funds borrowed under repurchase agreements
• Overdrawn deposit accounts

86
OF WHICH COLUMN ITEMS

• Own Foreign Offices (Column 8)
• Include
• All liabilities in Columns 3 through 6 that are
  due from own foreign offices, both banking and
  non-banking, including your direct foreign parent
  bank and its non-U.S. banking subsidiaries and
  branches
• Exclude
• Depository institutions liabilities due to
  offices of other affiliated banks and to
  non-banking subsidiaries of the reporters
  parents, even though they are reportable in
  Columns 3 through 6

87
OF WHICH COLUMN ITEM

• Repurchase Agreements (Column 9)
• Report funds borrowed under repurchase
  agreements and similar financing agreements
  included in Columns 2, 4 6. Report them gross
  ( i.e., no FIN 41 netting)

88
MEMORANDUM ITEMS OF WHICH ROWS

• Total IBF Liabilities Row (8300-3)
• Report the amounts included in the Grand Total
  row (9999-6) which represent liabilities of
  your International Banking Facilities (IBFs)
  on foreigners
• Repurchase Agreements Row (8400-7)
• Report the amounts included in the Grand Total
  row (9999-6) which represents funds borrowed
  from foreigners included in columns 2, 4, 6,
  8

89
MEMORANDUM ITEMS OF WHICH ROWS

• Non-Interest Bearing Liabilities Row (8130-2)
• Report non-interest bearing liabilities included
  in the Grand Total row (9999-6), columns 1
  through 6 regardless of the nature of the
  instruments

90
TIC MONTHLY REPORT OF CUSTODYLIABILITIES
91
TIC BL-2

• REPORT OF CUSTOMERS U.S. DOLLAR LIABILITIES TO
  FOREIGNERS

92
REPORTABLE CUSTOMER LIABILITIES

• U.S. dollar denominated liabilities of U.S.
  residents to
• foreigners
• Custody Items
• Liabilities to Managed Foreign Offices
• Loans Placed Overseas
• Short-term Negotiable Securities

93
REPORTABLE CUSTOMER LIABILITIES

• Custody Items
• Short-term negotiable and non-negotiable debt
  securities
• Short-term U.S. Treasury securities
• Short-term securities issued or guaranteed by
  U.S. government agencies and federally-sponsored
  enterprises
• Note Securities that have been temporally
  transferred out under Repurchase/Resale
  agreements

94
REPORTABLE CUSTOMER LIABILITIES

• Custody Items
• Negotiable CDs held by the reporter for
  foreigners that are issued
• by the reporter or
• another U.S. resident depository institution

95
Situation 1

• A U.S. resident has a liability to a foreign
  resident in the form of a short-term security
  or a certificate of deposit (of any maturity)

96
FLOWCHART 1a - A U.S.-resident custodian is used
Foreign person/investor
U.S.-resident custodian
Report on the BL-2 (if U.S. dollar-denominated)
or on the BQ-2, Part 2 (if foreign
currency-denominated)
Note The U.S. resident issuer does not report
the security or CD on the TIC forms
97
FLOWCHART 1b -Two U.S.-resident custodians are
used
U.S. issuer
Foreign person/investor
U.S. institution A that maintains a custodial
relationship with U.S. resident custodian B
U.S.-resident institution B that is a custodian
for a foreign resident or foreign custodian
Does not report
Report on the BL-2 (if U.S. dollar-denominated)
or on the BQ-2, Part 2 (if foreign
currency-denominated
Note If multiple U.S. custodians are involved,
the U.S. custodian nearest the foreign
end-claimant should report.
98
REPORTABLE CUSTOMER LIABILITIES

• Liabilities to Managed Foreign Offices
• Liabilities of non-bank U.S. residents to
  managed foreign offices of the reporter
• Managed foreign offices are offices for which a
  majority of the responsibility for business
  decisions, or the responsibility for
  record-keeping for that foreign office resides at
  the reporter
• (See FFIEC 002s instructions for more
  information located on the FFIEC website at
  http//www.ffiec.gov/ffiec_report_forms.html)

99
REPORTABLE CUSTOMER LIABILITIES

• Loans Placed Overseas
• Foreign holdings of loans and loan
  participations to U.S. residents that are
  serviced by the reporter

100
Situation 3

• A U.S resident has a loan from a foreigner which
  is serviced by a TIC B reporter (U.S.-resident
  BHC/FHC, depository institution, or securities
  broker or dealer)

101
FLOWCHART 3 - Responsibility of loan servicing
office
102
REPORTABLE CUSTOMER LIABILITIES

• Syndicated Loans
• Liabilities of U.S. residents to foreigners from
  loan syndications in which the reporter is the
  administrative agent
• report portion that represents U.S. residents
  U.S. dollar denominated loan liability to a
  foreigner only
• report the outstanding amount drawn
• Exclude
• unused loan commitments
• loan liabilities in which the administrative
  agent is foreign

103
Situation 6

• Drawn syndicated loans of U.S. residents held by
  foreigners

104
FLOWCHART 6a - A U.S.-resident administrative
agent is used
Drawn syndicated loan
U.S. resident borrower
Foreign lender
U.S. Administrative agent
U.S. administrative agent reports on the BL-2 (if
U.S. dollar-currency-denominated) or the BQ-2,
Part 2 (if foreign currency denominated
105
FLOWCHART 6b - No U.S.-resident administrative
agent is used
Drawn syndicated loan
U.S. resident borrower
Foreign lender
Since no U.S. administrative agent is used, the
U.S. borrower reports the liability to foreigners
on the BL-1 (or TIC CQ-1 if not a TIC B filer).
106
REPORTABLE CUSTOMER LIABILITIES

• Short-term Negotiable Securities
• Issued by the reporter directly in a foreign
  market where no U.S. custodian (other than the
  reporter) is used

107
FLOWCHART 1c - No U.S.-resident custodian is used
for a negotiable instrument
Foreign-resident person or custodian
U.S. TIC B issuer
Report as a Custodian on the BL-2 (if U.S.
dollar-denominated) or on the BQ-2, Part 2 (if
foreign currency-denominated)
Note All negotiable securities and negotiable
CDs issued directly in a foreign market should be
reported in this manner.
108
FLOWCHART 1d - No U.S.-resident custodian is used
for a non-negotiable instrument
U.S. TIC B issuer
Foreign-resident person or custodian
Report as an Issuer on the BL-1 (if U.S.
dollar-denominated) or on the BQ-2, Part 1 (if
foreign currency-denominated)
Note On the BL-1, non-negotiable CDs are
reported as non-negotiable deposits and
non-negotiable short-term securities are reported
as other.
109
SPECIFIC EXCLUSIONS

• Long-term securities
• Precious metals (e.g., gold, silver) and
  currencies held in reporters vaults for
  foreign-residents
• Assets which have been temporarily received in
  as collateral under resale agreements or similar
  financing agreements

110
SPECIFIC EXCLUSIONS

• Foreign currency-denominated customers
  liabilities
• Spot foreign exchange contracts
• Derivatives
• Forward and future exchange contracts
• Options
• Warrants

111
TYPES OF FOREIGNER HOLDERS

• Foreign Official Institutions (Columns 1, 2 3)
• Foreign Banks (Columns 4, 5 6)
• All Other Foreigners ( Columns 7, 8 9)

112
TYPES OF INSTRUMENTS

• Short-term U.S. Treasury Obligations (Columns 1,
  4 7)
• Report foreign residents holdings of short-term
  instruments that are direct obligations of the
  U.S. Treasury

113
TYPES OF INSTRUMENTS

• Negotiable Certificates of Deposit and Negotiable
• Short-term Securities (Columns 2, 5 8)
• Negotiable CDs
• Short-term securities including
• Securities of U.S. Government agencies
• Securities of Federally sponsored enterprises
• Securities of agencies and instrumentalities of
  state and local governments

114
TYPES OF INSTRUMENT

• Other Custody Liabilities (Columns 3, 6 9)
• Loans to U.S. residents from foreigners that are
  serviced by the reporter
• Loans to non-bank U.S. residents from managed
  foreign offices of the reporter
• Syndicated loans from foreigners to U.S.
  residents for which the reporter is the
  administrative agent
• Custodial holdings of non-negotiable securities

115
OF WHICH COLUMN ITEMS

• Negotiable CDs (Column 11)
• Report negotiable CDs held for foreign residents
  included in columns 2, 5 or 8

116

• TIC BL-2
• MEMORANDUM ROWS
• LIABILITIES BY SECTOR OF U.S. DEBTOR
• AND BY INSTRUMENT

117
MEMORANDUM ROWS

• Total Bank Debt Row (8102-7)
• The total of all liabilities included in column
  10 of the Grand Total Row (9999-6) for which
  U.S. depositories are the debtors.

118
MEMORANDUM ROWS

• Loans to Banks Row (8141-8)
• Loans to U.S. banks from foreigners that are
  included in the Total Bank Debt Row (8012-7)
• Funds received from repurchase agreements and
  similar financing agreements included in Total
  Bank Debt Row (8012-7)

119
MEMORANDUM ROWS

• Short-term Negotiable Securities Issued by Banks
• Row (8142-6)
• Short-term negotiable securities issued by U.S.
  depositories held by foreigners that were
  included in the Total Bank Debt Row (8141-8)
• Exclude
• Negotiable CDs
• Non-Negotiable Securities

120
MEMORANDUM ROWS

• Total General Government Row (8144-2)
• Report the total of all debt issued by the
• U.S. Treasury
• U.S. state and local governments
• Exclude
• U.S. Government Agencies
• Federally Sponsored Enterprises
• U.S. Government Corporations

121
MEMORANDUM ROWS

• U.S. Agencies Row (8146-9)
• Report the total of all debt, including
  mortgage-backed securities, issued by, or
  guaranteed by
• U.S. Government Agencies
• Federally Sponsored Enterprises
• U.S. Government Corporations
• Exclude
• Privately-issued mortgage-backed securities that
  are guaranteed by the U.S. government or
  federally sponsored enterprises, even if
  underlying collateral is government guaranteed

122
MEMORANDUM ROWS

• Other Short-term Negotiable Securities Row
  (8150-3)
• Report short-term negotiable securities issued
  by U.S. institutions other than
• U.S. Banks
• Federal Government
• State and Local Governments
• U.S. Government Agencies

123
MEMORANDUM ROWS

• Loans to Others Row (8155-8)
• Report all loans from foreigners to U.S.
  residents other than to U.S. Banks and U.S.
  Governments and Agencies
• Include
• Funds received from repurchase agreements and
  similar financing agreements
• Loans to U.S. residents from foreigners that are
  serviced by the reporter
• Loans to non-bank U.S. residents from managed
  offices of the reporter

124
TIC QUARTERLY REPORT OF CLAIMS
125

• TIC BQ-1

REPORT OF CUSTOMERS U.S. DOLLAR CLAIMS ON
FOREIGNERS
126
WHAT TO REPORT

• U.S. dollar-denominated claims of U.S. residents
  on foreigners
• Custody items
• Claims on managed foreign offices
• Funds placed overseas
• Brokerage balances

127
REPORTABLE CUSTOMER CLAIMS

• Custody Items
• Claims on foreign residents that a reporter
  holds in custody for the account of U.S.
  residents
• Short-term negotiable and non-negotiable debt
  securities issued by a foreigner
• Securities that have been temporarily
  transferred out under repurchase or similar
  agreements
• Negotiable CDs of any maturity issued by a
  foreigner and held by the reporter for U.S.
  residents

128
Situation 2

• A U.S. resident has a claim on a foreign
  resident in the form of a short-term security or
  a certificate of deposit (of any maturity)

129
FLOWCHART 2a - U.S.-resident custodian is used
U.S. person/investor
U.S.-resident custodian
Report on the BQ-1 (if U.S. dollar-denominated)
or on the BQ-2, Part 1 (if foreign
currency-denominated).
130
FLOWCHART 2b - No U.S. resident custodian is used
Foreign custodian, debtor, or issuer
U.S. person/investor
Report on the BC (if U.S. dollar-denominated) or
on the BQ-2, Part 1 (if foreign
currency-denominated) or on the TIC CQ-1 (if not
a TIC B report filer).
131
FLOWCHART 2c - U.S.-resident custodian and a U.S
resident subcustodian is used
Note The custodian closest to the U.S.-resident
claimant reports. The U.S. issuer does not
report.
132
REPORTABLE CUSTOMER CLAIMS

• Claims on Managed Offices
• Claims of non-bank U.S. residents on managed
  offices of the reporter

133
Situation 4

• A U.S. resident has a claim on a foreign office
  which is managed by the U.S. office of a
  depository institution

134
FLOWCHART 4a - Claims of a U.S. resident other
than a BHC/FHC, depository institution, or
securities broker or dealer
U.S. resident (other than BHC/FHC, depository
institution, broker or dealer)
Foreign (e.g., Nassau) office of Bank A
Claims in the form of deposits or loans
Managed by
U.S. office of Bank A
Report the claims on the TIC BQ-1 (if U.S.
dollar-denominated) or on the BQ-2, Part 1 (if
foreign currency-denominated) as Other
Customers Claims.
135
FLOWCHART 4b - Claims of a U.S. resident BHC/FHC,
depository institution, or securities broker or
dealer
U.S. resident BHC/FHC, depository institution,
broker or dealer
Foreign (e.g., Nassau) office of Bank A
Claims in the form of deposits or loans
Managed by
U.S. office of Bank A
Report the claim on the BC (if U.S.
dollar-denominated) or on the BQ-2, Part 1 (if
foreign currency-denominated)
Does not report
136
REPORTABLE CUSTOMER CLAIMS

• Funds Placed Overseas
• Claims of U.S. residents on foreign offices of
  the reporter resulting from the reporter
  transferring funds from the accounts of U.S.
  residents from the reporters books to the books
  of foreign offices under pre-arranged sweep
  agreements

137
Situation 5

• The assets of a U.S. resident are swept into
  an overseas account or asset.

138
FLOWCHART 5 - Funds swept Overseas
U.S. person/investor
U.S. residents account at a foreign office or
institution or other asset
Foreign (e.g., Nassau) office of Bank A
Transfers funds in account at U.S. office to a
foreign account under prearranged sweep agreement
U.S. office reports as a custody claim on the
BQ-1 (if dollar denominated) or on the BQ-2, Part
1 (if foreign currency denominated).
139
REPORTABLE CUSTOMER CLAIMS

• Brokerage Balances
• Brokerage balances of U.S. residents placed
  abroad through the reporter

140
SPECIFIC EXCLUSIONS

• Long-term securities
• Assets held in custody for customers, which have
  been temporarily received in as collateral under
  resale agreements or similar financing
  agreements
• Foreign currency-denominated claims
• Administrative agents for syndicated loans
  should exclude loans to foreign borrowers by
  U.S. creditors
• A reporters own claims

141
TYPES OF INSTRUMENTS

• Non-negotiable Foreign Deposits (Column 1)
• Deposits of non-bank U.S. residents that are
  held at managed foreign offices of the reporter
• Claims of U.S. residents on foreign offices of
  the reporter resulting from the reporter
  transferring funds from the accounts of U.S.
  residents from the reporters books to the books
  of foreign offices as a deposit under
  pre-arranged sweep agreements
• Brokerage balances of U.S. residents placed
  abroad

142
TYPES OF INSTRUMENTS

• Negotiable CDs (Column 2)
• U.S. residents holdings of negotiable CDs
  issued by foreign banks

143
TYPES OF INSTRUMENTS

• All Short-term Negotiable Securities (Column 3)
• U.S. residents holdings of short-term negotiable
  securities issued by foreigners

144
TYPES OF INSTRUMENTS

• Other Claims (Column 4)
• U.S. residents holdings of non-negotiable
  securities issued by foreigners
• Claims in the form of borrowings by non-U.S.
  residents on managed offices of the reporter

145
TYPES OF INSTRUMENTS

• Other Claims (Column 4)
• Claims of U.S. residents on foreign offices of
  the reporter resulting from the reporter
  transferring funds from the accounts of U.S.
  residents from the reporters books to the books
  of the foreign offices in the form of a
  borrowing under pre-arranged sweep agreements

146
MEMORANDUM ITEMSOF WHICH ROWS

• Commercial Paper Memorandum (Row 8161-2)
• Report the amount issued by foreigners and held
  for the account of U.S. residents that is
  included in the Grand Total (Row 9999-6)
• Claims of U.S. Banks Memorandum (Row 8163-9)
• Report the amounts for which U.S. depository
  institutions are the customer of the reporter

147
TIC QUARTERLY REPORT OF FOREIGN CURRENCY CLAIMS
AND LIABILITES
148
TIC BQ-2

• PART 1 - REPORT OF FOREIGN CURRENCY LIABILITIES
  AND CLAIMS OF DEPOSITORY INSTITUTIONS, BANK
  HOLDING COMPANIES/FINANCIAL HOLDING COMPANIES,
  BROKERS AND DEALERS, AND OF THEIR DOMESTIC
  CUSTOMERS VIS-A-VIS FOREIGNERS

149
CURRENCY CONVERSION

• All figures should be converted to U.S. dollars
  using the spot exchange rate on the as of date
  of the report
  
  
  

150
TYPES OF INSTRUMENTS

• Reportable Own Liabilities (Columns 1 2)
• Non-negotiable foreign deposits (Column 1)
• CDs
• Time
• Demand
• Savings (of any maturity)
• Brokerage balances

151
TYPES OF INSTRUMENTS

• Other Liabilities (Column 2)
• Overdrawn deposits accounts
• Loans (any maturity)
• Short-term non-negotiable securities (an
  original maturity of one year or less)
• Repurchase agreements and similar financing
  agreements

152
TYPES OF INSTRUMENTS

• Other Liabilities (Column 2)
• Exclude
• Loans from a foreigner that are serviced by a
  U.S. resident
• Security lending agreements
• Spot foreign exchange contracts
• Derivatives

153
TYPES OF INSTRUMENTS

• Reporters Own Claims (Columns 3 4)
• Non-negotiable foreign deposits (Column 3)
• All deposit balances due from foreign banks
• Brokerage balances due from foreign security
  brokers and dealers and foreign banks

154
TYPES OF INSTRUMENTS

• Reporters Own Claims (Columns 3 4)
• Other Claims (Column 4)
• Negotiable CDs and all short-term securities
• Customers overdrawn accounts
• Loans and loan participations of any maturity
• Resale agreements and similar financing
  agreements
• Money market instruments

155
TYPES OF INSTRUMENTS

• Customers Claims (Columns 5 6)
• Non-negotiable Foreign Deposits (Column 5)
• Deposits of non-bank U.S. residents that are
  held at managed foreign offices of the reporter
• Claims of U.S. residents on foreign offices of
  the reporter resulting from the reporter
  transferring funds from the accounts of U.S.
  residents from the reporters books to the books
  of foreign offices as a deposit under
  pre-arranged sweep agreements

156
TYPES OF INSTRUMENTS

• Other Customers Claims (Column 6)
• U.S. residents holdings of all other reportable
  claims
• Non-negotiable securities of foreigners
• Non-deposit claims of non-bank U.S. residents on
  managed offices of the reporter

157
TYPES OF INSTRUMENTS

• Other Customers Claims (Column 6)
• Claims of U.S. residents on foreign offices of
  the reporter resulting from the reporter
  transferring funds from the accounts of U.S.
  residents from the reporters books to the books
  of foreign offices in the form of a borrowing
  under pre-arranged sweep agreements

158
MEMORANDUM ITEMS OF WHICH ROWS

• Total IBF Liabilities/Assets Memorandum Row
• (Row 8300-3)
• Report the amounts included in the Grand Total
  Row (Row 9999-6) which represent the
  liabilities (columns 1 2) or claims (columns
  3 4) of the reporters International Banking
  Facilities (IBFs) to foreigners

159
MEMORANDUM ITEMS OF WHICH ROWS

• Foreign Currency Detail Report Memorandum
• Rows (8500-1 to 8500-4)
• Report the amounts that are denominated in
• Canadian Dollars
• Euros
• Sterling
• Japanese Yen

160
MEMORANDUM ITEMS OF WHICH ROWS

• Negotiable CDs Memorandum Row (8110-8)
• Report in columns 4 6, the total amount
  included in the Grand Total row (9999-6) which
  represents negotiable CDs issued by foreigners

161
MEMORANDUM ITEMS OF WHICH ROWS

• Short-term Negotiable Securities Memorandum
• Row (8120-5)
• Report in columns 4 6, all short-term
  negotiable securities issued by foreigners

162
MEMORANDUM ITEMS OF WHICH ROWS

• Repurchase/Resale Agreements Memorandum
• Row (8400-7)
• Report in column 2 of this row funds borrowed
  from foreigners under repurchase agreements and
  similar financing arrangements
• Report in column 4 of this row, funds loaned to
  foreigners under resale agreements and similar
  financing arrangements

163
TIC BQ-2

• PART 2 - REPORT OF CUSTOMERS FOREIGN CURRENCY
  LIABILITIES TO FOREIGNERS

164
REPORTABLE CUSTOMERS LIABILITIES

• Foreign-currency denominated liabilities of U.S.
  residents
• to foreigners including
• Custody Items
• Liabilities to Managed Foreign Offices
• Loans Placed Overseas
• Short-term negotiable securities

165
TYPES OF INSTRUMENTS

• Negotiable CDs (Column 1)
• Report foreign residents holdings of negotiable
  CDs
• All Short-term Negotiable Securities (Column 2)
• Foreign-resident holdings of negotiable
  securities
• Other Liabilities (Column 3)

166
TYPES OF INSTRUMENTS

• Other Liabilities (Column 3)
• Report foreign residents holding of all
  liabilities other than negotiable CDs, and
  negotiable securities
• Loans to U.S. residents that are serviced by the
  reporter
• Loans to non-bank U.S. residents from managed
  foreign offices of the reporter
• Holdings of non-negotiable securities

167
TIC QUARTERLY REPORT OF MATURITIES OF SELECTED
LIABILITIES
new
168
TIC BQ-3

• REPORT OF MATURITIES OF SELECTED LIABILITIES OF
  DEPOSITORY INSTITUTIONS, BANK HOLDING
  COMPANIES/FINANCIAL HOLDING COMPANIES BROKERS AND
  DEALERS TO FOREIGNERS

169
WHAT TO REPORT

• Remaining Maturity
• Remaining maturity is the amount of time
  remaining from the report date until the final
  contractual maturity date or the next call date
• Treatment of Foreign Currency Denominated
  Liabilities
• Convert to U.S. dollars equivalent using the spot
  exchange rate on the as of date

170
FORM BQ-3MATURITIES OF SELECTED LIABILITIES
171
ROW DEFINITIONS

• Demand Deposits (Row 8010-1)
• Amount of non-interest bearing liabilities that
  are payable on demand
• Arrears (Row 8020-9)
• Amount of liabilities to foreigners that are past
  due. A liability is past due when principal or
  interest due is unpaid for 30 days or more

172
ROW DEFINITIONS

• Non-Interest Paying Items Without a Fixed
  Maturity Including Repos Under Continuing
  Contract (Row 8030-6)
• Non-interest bearing liabilities to foreigners
  that have no stated maturity or that rollover
  under continuing contract, excluding demand
  deposits.

173
ROW DEFINITIONS

• Other Items Without a Fixed Maturity Including
  Repos Under a Continuing Contract (Row 8040-3)
• Interest-bearing liabilities to foreigners that
  have no stated maturity or roll-over under
  continuing contract

174
ROW DEFINITIONS

• Time Remaining to Maturity
• 90 Days or Less (Row 8051-9)
• Over 90 to 180 Days (Row 8052-7)
• Over 180 to 270 Days (Row 8053-5)
• Over 270 to 1 year (Row 8054-3)
• Over 1 year to 2 years (Row 8055-1)
• Over 2 years (Row 8057-8)

175
TIC SEMIANNUAL REPORTS
176
TIC BC (SA), BL-1(SA) and BL-2 (SA)

177
PURPOSE

• To capture data in countries not listed
  separately on the monthly report forms
• Data are reported in millions of dollars, on a
  gross basis
• Data reported should be the balances outstanding
  at the close of business of the last business
  day of June or December
• Due no later than the 30th calendar day of the
  following month
• Each Region Total reported on the semiannual
  report form must equal the corresponding Other
  category on the monthly report

178
REPORTING CRITERIA

• Claims on or liabilities to counterparties
  residing in the following regions
• Other Europe
• Other Latin America
• Other Caribbean
• Other Asia
• Other Africa
• All Other

179

• Question Answers

180
TIC B WORKSHOP ANSWERS
181
WORKSHOP

• You are the manager of Bank Lundy, NY Branch. As
  such, you are responsible for the filing of the
  TIC Banking reports. The Head Office for Bank
  Lundy, NY Branch, is located in Paris, France.
• The NY Branch acts as custodian for assets of its
  customers and is the U.S. sub-custodian for the
  Head Office. In addition, the Branch uses
  Reliable Bank, NY, as a custodian. Bank Lundy,
  NY Branch, is a participant of the Depository
  Trust and Clearing Company (DTCC).
• The balances are outstanding as of the last
  business day of June and are short-term unless
  otherwise specified. The amounts are in millions
  of U.S. dollars. Please indicate which
  report(s), what column(s) and opposite which
  country(s) or International and Regional
  Organization(s) the following balances should be
  reported.

182
BC WORKSHOP

• 1. Bank Lundy, NY Branch, entered into a resale
  agreement with Trusty Securities, Germany,
  whereby the Branch received 150M 5-year U.S.
  Treasury notes as collateral against payment of
  144M.
• Bank Lundy, NY Branch, should file

183
BC WORKSHOP

• 2. Bank Lundy, NY Branch, granted a loan to the
  Ministry of Finance of Canada in the
  amount of 95M and its Paris head office, for
  45M.
• Bank Lundy, NY Branch, should file

184
BC WORKSHOP

• 3. Bank Lundy, NY Branch, placed funds in their
  own brokerage accounts held at a security broker
  in Paris (100m) and a bank in Costa Rica (65M),
  to support futures positions.
• Bank Lundy, NY Branch, should file

185
BL-1 WORKSHOP

• 1. A Bank in Germany opened a 55M non-interest
  bearing deposit with Bank Lundy, NY Branch.
• Bank Lundy, NY Branch, should file

186
BL-1 WORKSHOP

• 2. A bank in Germany placed 75M in an overnight
  deposit with your IBF.
• Bank Lundy, NY Branch, should file

187
BL-1 WORKSHOP

• 3. Bank Lundy, NY Branch issued 100M of
  non-negotiable CDs of which
• 50M was issued to the Bank for International
  Settlements (BIS), Switzerland,
• 35M to Shima Bank, Japan, and
• 15M to Resorts Inn, Guam
• Bank Lundy, NY Branch, should file

188
BL-1 WORKSHOP

• 6. Bank Lundy, NY Branch borrowed 75M from
  Reliable Bank, Switzerland. The loan is serviced
  by Reliable Bank, New York.
• Bank Lundy, NY Branch, should file

189
BL-2 WORKSHOP

• 1. A bank located in Germany purchased 60M U.S.
  Treasury Bills for which Bank Lundy, NY Branch
  acts as custodian. The bank, in turn, entrusted
  the assets to Reliable Bank NY.

190
BL-2 WORKSHOP

• 2. A bank located in Germany purchased 70M
  negotiable CDs issued by Guarantee Bank, Dallas,
  held by Bank Lundy, NY Branch, as custodian.
• Bank Lundy, NY Branch, should file

191
BL-2 WORKSHOP

• 4. Bank Lundy, NY Branch manages the safekeeping
  of 80M FNMA discount notes for Volkswagen,
  Germany, which have entrusted to Reliable Bank,
  NY, for Bank Lundy, NY Branchs own account.
• Bank Lundy, NY Branch, should file

192
BL-2 WORKSHOP

• 9. Bank Lundy, NY Branch acts as administrative
  agent for a syndicated 500M loan of Volkswagen,
  Germany to Volkswagen, New York. 100M of the
  loan was drawn down.
• Bank Lundy, NY Branch, should file

193
BL-2 WORKSHOP

• 11. Bank Lundy, Paris (Head Office) holds an 80M