Message-ID: <10720508.1075859803611.JavaMail.evans@thyme> Date: Mon, 7 May 2001 09:22:00 -0700 (PDT) From: scarey@isda.org To: usregcomm@isda.org Subject: Further Federal Reserve Action on Sections 23A and 23B Mime-Version: 1.0 Content-Type: text/plain; charset=us-ascii Content-Transfer-Encoding: 7bit X-From: Stacy Carey X-To: US REGULATORY COMMITTEE X-cc: X-bcc: X-Folder: \Mark_Haedicke_Jun2001\Notes Folders\All documents X-Origin: Haedicke-M X-FileName: mhaedic.nsf The Board issued the following press releases on Friday announcing the comment period deadline of August 15, 2001 for Regulation W and for the Interim Final Rules. For those who may be searching for the Federal Register Notice, the regulations have not yet been printed. The Board sent the regulations to the Federal Register last week and expects they will be printed on either May 10, 2001 or May 11, 2001. Please do not hesitate to call if you have any questions. Many thanks! Stacy Carey Policy Director International Swaps and Derivatives Association 600 5th Avenue, 27th Floor Rockefeller Center New York, NY 10020 (212) 332-1202 ph (212) 332-1212 fax (917) 543-9622 cell scarey@isda.org ---------------------------------------------------------------- Release Date: May 4, 2001 For immediate release The Federal Reserve Board is seeking public comment on interim final rules, under sections 23A and 23B of the Federal Reserve Act, requiring institutions to: 1)adopt policies and procedures to monitor, manage and control credit exposures arising from derivatives transactions with affiliates and intraday credit extensions to affiliates; and 2) subject such transactions to the market terms requirement of section 23B. The Board voted to issue the rule at its meeting on May 2, 2001. Sections 23A and 23B restrict loans by a bank to an affiliate, asset purchases by a bank from an affiliate and other transactions between a bank and its affiliates. The interim rules are effective January 1, 2002. The rules will be published in the Federal Register. Comment is requested by August 15, 2001. Concurrent with these interim final rules, the Board is issuing a new proposed Regulation W, which also seeks comment on how to address these transactions under section 23A. The Board's notice is attached. Attachment (27 KB PDF) ---------------------------------------------------------------- Release Date: May 4, 2001 For immediate release The Federal Reserve Board is seeking public comment on a proposed new Regulation W to comprehensively implement sections 23A and 23B of the Federal Reserve Act. The Board voted to issue the proposed rule at its meeting on May 2, 2001. Sections 23A and 23B restrict loans by a bank to an affiliate, asset purchases by a bank from an affiliate and other transactions between a bank and its affiliates. Regulation W would unify in one document various Board and staff interpretations issued over the years as well as several new interpretations of the statute. The proposed rule will be published in the Federal Register. Comment is requested by August 15, 2001. The Board's notice is attached. Attachment (216 KB PDF) --------------------------------------------------------------------