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Federal Reserve Bank of Dallas
2200 N. PEARL ST.
DALLAS, TX 75201-2272

September 28, 2005
Notice 05-57

TO: The Chief Executive Officer of each
state member bank and bank holding company
in the Eleventh Federal Reserve District

SUBJECT
Katrina-Related Marketing Practices Invoking
the Name of the Federal Reserve
DETAILS
The Federal Reserve has become aware that certain firms, as a way of promoting their
services to banking organizations, may be claiming that the Federal Reserve plans increased
scrutiny of banking organizations’ business continuity and disaster recovery plans in the wake of
Hurricane Katrina. These promotional claims may target banking organizations in Alabama,
Mississippi, and Louisiana, including organizations headquartered elsewhere that have operations
in those states.
Banking organizations should be wary of marketing efforts that make claims or express
beliefs regarding unannounced or unanticipated Federal Reserve supervisory plans or actions. If
contemplating whether to engage the services of firms on the basis of such representations, a
banking organization should contact the appropriate Federal Reserve Bank. The Federal Reserve
does not endorse any private party, including any service provider or service providers generally.
In addition, banking organizations may want to review the official policies of the Federal
Reserve, which appear on the Federal Reserve Board’s public web site at
www.federalreserve.gov/hurricanekatrina.htm.
ATTACHMENT
A copy of the Board’s SR letter 05-17 dated September 27, 2005, is attached.

For additional copies, bankers and others are encouraged to use one of the following toll-free numbers in contacting the Federal
Reserve Bank of Dallas: Dallas Office (800) 333-4460; El Paso Branch Intrastate (800) 592-1631, Interstate (800) 351-1012;
Houston Branch Intrastate (800) 392-4162, Interstate (800) 221-0363; San Antonio Branch Intrastate (800) 292-5810.

-2MORE INFORMATION
For more information, please contact W. Arthur Tribble, Banking Supervision Department,
(214) 922-6226. Previous Federal Reserve Bank notices are available on our web site at
www.dallasfed.org/banking/notices/index.html or by contacting the Public Affairs Department
at (214) 922-5254.

BOARD OF GOVERNORS
OF THE

FEDERAL RESERVE SYSTEM
WASHINGTON, D. C. 20551

DIVISION OF BANKING
SUPERVISION AND
REGULATION

SR 05-17
September 22, 2005
TO THE OFFICER IN CHARGE OF SUPERVISION AND
APPROPRIATE SUPERVISORY STAFF AT EACH FEDERAL
RESERVE BANK AND BANKING ORGANIZATIONS
SUPERVISED BY THE FEDERAL RESERVE
SUBJECT: Katrina Related Marketing Practices Invoking the Name of the Federal Reserve
It has come to the attention of the Federal Reserve that certain firms, as a way of
promoting their services to banking organizations, may be claiming that the Federal Reserve
plans increased scrutiny of banking organizations' business continuity and disaster recovery
plans in the wake of Hurricane Katrina. These promotional claims may target banking
organizations in Alabama, Mississippi, and Louisiana, including organizations headquartered
elsewhere that have operations in those states. These promotional claims may also imply that
the Federal Reserve will find deficiencies in the business continuity or disaster recovery plans
of the targeted organizations or in the execution of such plans. Some of these promotions
may even provide specific examples of deficiencies "likely" to be found by the Federal
Reserve in these alleged "investigations."
Banking organizations supervised by the Federal Reserve can be assured that
the Federal Reserve does not have any plans at this time to conduct special investigations of
the business continuity and disaster recovery plans of banking organizations with offices in
Alabama, Mississippi, and Louisiana as a result of Katrina. Business continuity and disaster
recovery plans are routinely reviewed in the course of regularly scheduled safety and
soundness examinations. The Federal Reserve does not anticipate any additional or more
intensive reviews of these plans stemming from Katrina. Moreover, the expeditious
resumption of business operations of banking organizations supervised by the Federal
Reserve and operating in the Katrina-affected areas in the face of very extraordinary adverse
conditions revealed that the business continuity and disaster recovery plans already in place
were largely effective.
Banking organizations should be wary of marketing efforts that make claims or
express beliefs regarding unannounced or unanticipated Federal Reserve supervisory plans
or actions. If contemplating whether to engage the services of firms on the basis of such
representations, a banking organization should contact the appropriate Federal Reserve
Bank. The Federal Reserve does not endorse any private party, including any service
provider or service providers generally. In addition, banking organizations may want to review
the official policies of the Federal Reserve, which appear on the Federal Reserve Board's

public website at http://www.federalreserve.gov/hurricanekatrina.htm. The Federal Reserve
has issued several policy statements in the wake of Hurricane Katrina. These statements,
among other things, provide that the Federal Reserve expects to be flexible in developing
supervisory responses to issues that may arise as a result of the very difficult environment in
which organizations in the Katrina-affected areas have been operating. These policies are
prominently displayed on the referenced website.
Reserve Banks are asked to provide a copy of this letter to the state member
banks and bank holding companies in their districts and to appropriate supervision staff. For
additional information, please contact Molly Wassom, Associate Director, Division of Banking
Supervision and Regulation, (202) 452-2305.
Richard Spillenkothen
Director

Cross References:

SR letters 05-15 and SR 05-16


Federal Reserve Bank of St. Louis, One Federal Reserve Bank Plaza, St. Louis, MO 63102