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Quarterly Banking Profile

Fourth Quarter 2010

INSURED INSTITUTION PERFORMANCE
■	
■	
■	
■	
■	

Banks Earned $21.7 Billion in Fourth Quarter as Recovery Continues
Full-Year Net Income of $87.5 Billion Is Highest Since 2007
Asset Quality Improves for Third Consecutive Quarter
Institutions Set Aside Half as Much for Loan Losses as a Year Earlier
157 Insured Institutions Failed during 2010

Fourth Quarter Earnings Contrast Favorably with
Year-Earlier Net Loss

Provisions Fall to Lowest Level in More than
Three Years

Lower expenses for troubled loans continued to boost
the earnings of insured commercial banks and savings
institutions in fourth quarter 2010. The 7,657 institutions filing year-end reports posted quarterly net income
of $21.7 billion, a substantial improvement over the
$1.8 billion net loss in fourth quarter 2009 and the
second-highest quarterly total reported since second
quarter 2007. The greatest year-over-year improvement
in earnings occurred at the largest banks, but almost
two out of every three institutions (62 percent) reported
better net income than a year ago. One in four insti­
tutions reported a net loss in the fourth quarter, an
improvement from a year ago when more than one in
three (35 percent) were unprofitable.

Insured institutions set aside $31.6 billion in provisions
for loan losses in the fourth quarter, almost 50 percent
less than the $62.9 billion they set aside a year earlier.
This is the smallest quarterly loss provision for the
industry since third quarter 2007. Much of the yearover-year reduction in provisions was concentrated
among some of the largest banks. Seven large institutions accounted for more than half of the $31.3 billion
reduction. However, a majority of insured institutions
(54 percent) reduced their provisions in the fourth
quarter compared to a year ago.

Chart 1

Chart 2
The Industry Posted a Fourth Consecutive
Profitable Quarter

More Than 60 Percent of Institutions Continue to
Report Improvement in Earnings

Billions of Dollars
60

Percent of Institutions with Year-over-Year Increases in Quarterly Net Income
70

50
40

36.9 38.0 38.0 35.3 35.6 36.8

30

60
28.7
19.3

20
10

0.5

0

17.7
4.8 0.9

-30
-40

24.7

50

21.7

40

2.0

-10
-20

21.3

30
-1.8

-6.5

20

-12.7

Securities and Other Gains/Losses, Net
Net Operating Income

10
0

-37.8

1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4
2008
2009
2006
2007
2010

1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4
2006
2009
2010
2007
2005
2008

Note to Readers: Amended financial reports resulted in large changes to industry earnings totals for three different quarters.
First quarter 2009 net income declined from a previously reported $7.6 billion profit to a $6.5 billion net loss; second quarter
2009 net income declined from a $3.7 billion net loss to a $12.7 billion net loss; and third quarter 2010 net income increased
from a $14.5 billion profit to a $24.7 billion profit. Full year 2009 net income declined from a $12.5 billion profit to a $10.6
billion net loss. Most of the revisions resulted from changes in expenses for goodwill impairment at one large institution.
FDIC Quarterly

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2011, Volume 5, No. 1

Revenue Growth Slows

Higher Asset Values Contribute to Income Improvement

Revenue growth was sluggish in the fourth quarter.
Net operating revenue (net interest income plus total
noninterest income) was $163.6 billion, only $2.8
billion (1.7 percent) higher than a year earlier and $2.1
billion (1.3 percent) less than in third quarter 2010.
This is the second-smallest year-over-year increase in
quarterly net operating revenue in the past two years
(after the $911 million year-over-year increase in
second quarter 2010). Despite the small size of the
aggregate increase, revenues were up at almost twothirds of all institutions (62.4 percent).

The industry’s bottom line also benefited from improvement in asset values. Gains on sales of loans and other
assets totaled $4 billion in the fourth quarter, more
than three times the $1.3 billion in gains that sales
produced in fourth quarter 2009. Realized gains on
securities totaled $2.3 billion, compared to $5 million
in realized losses a year earlier.

Full-Year Earnings Represent Sharp Improvement
from Revised 2009 Loss
Full-year 2010 net income totaled $87.5 billion,
compared to a revised net loss of $10.6 billion in 2009.
This is the highest full-year earnings total for the industry since 2007. More than two out of every three institutions (67.5 percent) reported higher earnings in 2010
than in 2009. The proportion of unprofitable institutions
fell from 30.6 percent in 2009 to 21 percent in 2010.
This is the first time in six years that the percentage of
institutions reporting full-year net losses has declined.
The largest factor in the improvement in the industry’s
net income was a $92.6 billion (37.1 percent) reduction
in loan-loss provisions. The second-largest source of
improvement was a $28.7 billion decline in charges for
goodwill impairment.2 An additional contribution came
from realized gains on securities and other assets, which
were $10.8 billion higher. The improvement in full-year
earnings was limited by increased income taxes, which
were $32.2 billion higher than in 2009. Overall net
operating revenue growth was relatively weak in 2010.
The $10.8 billion (1.6 percent) increase was the second-

Fee Income Declines
Among the notable areas of noninterest revenue
­weakness, service charge income on deposit accounts
at banks filing Call Reports was $2.1 billion (20.7
percent) lower than a year earlier. This is the second
consecutive quarter that deposit account fees have
declined by 20 percent or more from the prior year.
Asset servicing income was $2.2 billion (32.3 percent)
lower, and securitization income was down by $1.5
billion (90.7 percent). Both declines were primarily
the result of changes in accounting rules that affected
financial reporting in 2010.1 The new accounting rules
also were responsible for much of the $7.5 billion (7.5
percent) year-over-year increase in quarterly net interest income. A majority of institutions (59.8 percent)
reported higher net interest margins than a year ago,
but fourth quarter margins were lower than third quarter margins at 55 percent of institutions.

Amendments to prior financial reports received from one large institution resulted in a $10.4 billion reduction in expenses for goodwill
impairment in third quarter 2010 and $20.3 billion in increased
expenses for goodwill impairment in the first two quarters of 2009.
2

1

See FASB Statements 166 and 167 in Notes to Users.

Chart 3

Chart 4
Margins Shrank Slightly in the Fourth Quarter

Lower Loan-Loss Provisions Were a Key Element
in Earnings Gains

Billions of Dollars
180
160

Quarterly Net Interest Margin
(Percent)
4.5

Quarterly Loan-Loss
Provision

Assets < $1 Billion

140

4.0

120

3.81

100

3.70

3.5

Quarterly Net Operating Revenue*

80
60
40

3.0

20
0

Assets > $1 Billion
2.5

1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4
2005
2006
2007
2008
2009
2010

*Net operating revenue = net interest income + noninterest income

FDIC Quarterly

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1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4
2008
2005
2007
2009
2010
2006

2011, Volume 5, No. 1

Quarterly Banking Profile
worst year-over-year change in the past 16 years, after
the $20.4 billion decline registered in 2008. Noninterest
income from service charges on deposit accounts was
$5.5 billion (13.1 percent) lower than in 2009. This is
the first time in the 69 years that these data have been
collected that full-year service charge income has
declined. Insured institutions paid $53.9 billion in dividends in 2010, an increase of $6.7 billion (14.3 percent)
over 2009, but less than half the annual record of $110.3
billion paid in 2007. Retained earnings totaled $33.6
billion, marking the first year since 2006 that the industry as a whole has reported internal capital growth.

Nonperforming Asset Balances Fall for Third
Consecutive Quarter
The amount of loan and lease balances that were noncurrent (90 days or more past due or in nonaccrual status)
fell for a third consecutive quarter, declining by $17.9
billion (4.7 percent). Noncurrent balances declined in
all major loan categories, led by real estate construction
loans (down $7.4 billion), C&I loans (down $3.2
billion), multifamily residential real estate loans (down
$2.1 billion), and closed-end one-to-four family residential real estate loans (down $2 billion). The industry’s
inventory of other real estate owned (primarily property
acquired through foreclosure) declined for the first time
since fourth quarter 2005, falling by $374 million. At the
end of 2010, noncurrent assets and other real estate
owned represented 3.11 percent of total industry assets,
the lowest share since the end of third quarter 2009.

Loan Losses Continue to Decline Across Most
Major Categories
Net loan and lease charge-offs (NCOs) totaled $41.9
billion in the fourth quarter, a decline of $13 billion
(23.7 percent) compared to fourth quarter 2009. With
the exception of credit cards (which reflected the application of new accounting rules in 2010), almost all
major loan categories posted year-over-year declines in
quarterly charge-offs. Real estate construction and
development loan charge-offs were $4.2 billion lower,
while charge-offs of commercial and industrial (C&I)
loans were down by $4 billion. Closed-end one-to-four
family residential real estate NCOs were $3.1 billion
lower, and home equity line of credit NCOs fell by $1.5
billion. NCOs of nonfarm nonresidential real estate
loans were only $101 million higher than a year earlier.
Reported credit card NCOs were $2.9 billion higher due
to the inclusion in 2010 of NCOs on securitized credit
card balances that were not included in prior years.
Even with the reporting change, the year-over-year
increase in quarterly credit card NCOs was the smallest
in two years. On a consecutive-quarter basis, credit card
NCOs have fallen in each of the past three quarters.

Reserve Balances Shrink as Loss Provisions Trail
Net Charge-Offs
Reserves for loan and lease losses declined for a third
consecutive quarter, falling by $11.1 billion (4.6
percent), as net charge-offs of $41.9 billion exceeded
loss provisions of $31.6 billion. Four large banks
accounted for more than half of the decline in industry
reserves, as more than a third of all institutions (39.4
percent) reduced their loss reserve balances in the fourth
quarter. However, owing to the decline in noncurrent
loans, the industry’s “coverage ratio” of reserves to
noncurrent loans and leases remained essentially
unchanged from the previous quarter, at 64.2 percent.
More than half of all institutions (52.3 percent)
increased their coverage ratios in the fourth quarter,
while 39.3 percent reported coverage ratio declines.

Chart 5

Chart 6
Full-Year Profitability Increased for the
First Time Since 2003

Asset Quality Indicators Show Further Improvement
Billions of Dollars

Annual ROE
(Percent)

Annual ROA
(Percent)
1.6

100

Quarterly Change in Noncurrent Loans
Quarterly Net Charge-Offs

16
ROE

1.4
1.2

12

1.0

10

0.8

80

14

ROA

40

8

0.6

6

0.4

4

0.2

2

0.0

0

-0.2

60

20
0
-20

-2
1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010

FDIC Quarterly

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2 3
2007

4

1

2 3
2008

4

1

2 3
2009

4

1

2 3
2010

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2011, Volume 5, No. 1

second consecutive quarterly increase, rising by $11.8
billion (1 percent). Loan balances fell at almost 60
percent of insured institutions in the fourth quarter.

Tier 1 Capital Posts Small Increase
Equity capital fell by $8.5 billion (0.6 percent) in the
fourth quarter, the first quarterly decline since fourth
quarter 2008. The drop was caused by a $16.2 billion
(71.9 percent) decline in unrealized gains on securities
held for sale. In contrast, insured institution Tier 1
leverage capital, which is not affected by changes in
securities values, increased by $3.4 billion (0.3 percent).
Total regulatory capital declined by $616 million,
reflecting the reduction in loan-loss reserves in the
fourth quarter. At the end of 2010, almost 96 percent of
all insured institutions, representing more than 99
percent of all insured institution assets, met or exceeded
the minimum requirements of the highest regulatory
capital category, according to the calculations used for
purposes of Prompt Corrective Action.

Deposit Growth Remains Strong

Deposits grew strongly for a second consecutive quarter,
rising by $149.3 billion (1.6 percent), after a $132.7
billion (1.5 percent) increase in the third quarter.
Noninterest-bearing deposits in domestic offices
increased by $81.6 billion (5.1 percent). Nondeposit
liabilities fell by $200.4 billion (7.8 percent), as Federal
Home Loan Bank advances declined by $15.9 billion
(4 percent), other secured borrowings dropped by $64.9
billion (14.3 percent), and liabilities in trading accounts
fell by $30.2 billion (9.5 percent). At year end, deposits
funded 70.7 percent of total industry assets, the highest
proportion since the end of first quarter 1996.

Loan Balances Decline at a Majority of Institutions

Failures Reached an 18-Year High in 2010

Total assets of insured institutions declined by $51.8
billion (0.4 percent) in the fourth quarter. Assets in
trading accounts fell by $43.1 billion (5.6 percent),
while total loan and lease balances dropped by $13.6
billion (0.2 percent). The largest reductions in loan
portfolios occurred in real estate construction and
development loans, where balances fell by $32.5 billion
(9.2 percent); non-credit card consumer loans (down
$29 billion, or 4.9 percent); and home equity lines of
credit, where drawn balances shrank by $11 billion (1.7
percent). Securities portfolios rose by $26.1 billion (1
percent), as institution holdings of mortgage-backed
securities increased by $42.7 billion (3 percent). Among
loan categories that posted increases during the quarter,
credit cards had a seasonal increase of $18.1 billion (2.6
percent); one-to-four family residential mortgage loans
increased for the second quarter in a row, rising by $17
billion (0.9 percent); and C&I loans also posted a

The number of insured institutions reporting quarterly
financial results fell from 7,761 to 7,657 in the fourth
quarter. Thirty insured institutions failed during the
quarter and an additional 73 were absorbed in mergers.
There were three new charters added in the quarter. For
all of 2010, mergers absorbed 197 institutions, while 157
insured commercial banks and savings institutions failed.
This is the largest annual number of bank failures since
1992, when 181 institutions failed. Only 11 new reporters were added during 2010, the smallest annual total in
the FDIC’s 77-year history. The number of institutions
on the FDIC’s “Problem List” increased from 860 to 884
in the fourth quarter. Total assets of “problem” institutions increased from $379 billion to $390 billion.
Author:

Chart 7

Chart 8
Failures and “Problem” Banks Reached
Multiyear Highs in 2010

Contraction in Loan Balances Persists
Quarterly Change in Reported Total Loans Outstanding
(Billions of Dollars)
300
250

200

237.3

200

188.9

180

220.9*

202.6

150
100
50

61.4

43.4

-6.3

-50

45
50

160

Quarterly Failures

140

Net Quarterly Change in
Number of Problem Banks

120

28.1

0

-116.2

-200

-108.6
-139.6

-106.9

-133.2

60

1

2
3
2007

4

1

2
3
2008

4

1

2
3
2009

4

1

2
3
2010

4

20

*FASB Statements 166 and 167 resulted in the consolidation of large amounts of securitized loan balances
back onto banks' balance sheets in the first quarter of 2010. Although the total amount consolidated cannot
be precisely quantified, the industry would have reported a decline in loan balances for the quarter absent
this change in accounting standards.

FDIC Quarterly

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21

9

40

-210.3

41

12

80

-150

24

100

-6.6 -13.6

-100

-250

Ross Waldrop, Sr. Banking Analyst
Division of Insurance and Research
(202) 898-3951

2
1
3

1

0
8

1
4

2 3
2007

2

1
11

14

4

1

136
111

41

81
54

45

150

73

53

30
54
31 24

27

2 3
2008

4

1

2

3
2009

4

1

2

3
2010

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2011, Volume 5, No. 1

Quarterly Banking Profile
TABLE I-A. Selected Indicators, All FDIC-Insured Institutions*
Return on assets (%)������������������������������������������������������������������������������������������������������
Return on equity (%)�������������������������������������������������������������������������������������������������������
Core capital (leverage) ratio (%)������������������������������������������������������������������������������������
Noncurrent assets plus other real estate owned to assets (%)������������������������������������
Net charge-offs to loans (%)������������������������������������������������������������������������������������������
Asset growth rate (%)�����������������������������������������������������������������������������������������������������
Net interest margin (%)���������������������������������������������������������������������������������������������������
Net operating income growth (%)����������������������������������������������������������������������������������
Number of institutions reporting�������������������������������������������������������������������������������������
Commercial banks���������������������������������������������������������������������������������������������������
Savings institutions�������������������������������������������������������������������������������������������������
Percentage of unprofitable institutions (%)��������������������������������������������������������������������
Number of problem institutions��������������������������������������������������������������������������������������
Assets of problem institutions (in billions)���������������������������������������������������������������������
Number of failed institutions������������������������������������������������������������������������������������������
Number of assisted institutions��������������������������������������������������������������������������������������

2010
0.66
5.99
8.90
3.11
2.54
1.79
3.76
1,440.82
7,657
6,529
1,128
21.01
884
$390
157
0

2009
-0.08
-0.77
8.62
3.36
2.52
-5.45
3.47
-163.94
8,012
6,839
1,173
30.79
702
$403
140
8

2008
0.03
0.35
7.47
1.91
1.29
6.19
3.16
-90.71
8,305
7,086
1,219
24.89
252
$159
25
5

2007
0.81
7.75
7.97
0.95
0.59
9.88
3.29
-27.59
8,534
7,283
1,251
12.09
76
$22
3
0

2006
1.28
12.30
8.22
0.54
0.39
9.03
3.31
8.52
8,680
7,401
1,279
7.94
50
$8
0
0

2005
1.28
12.43
8.24
0.50
0.49
7.64
3.47
11.40
8,833
7,526
1,307
6.22
52
$7
0
0

2004
1.28
13.20
8.11
0.53
0.56
11.37
3.52
3.99
8,976
7,631
1,345
5.97
80
$28
4
0

* Excludes insured branches of foreign banks (IBAs).

TABLE II-A. Aggregate Condition and Income Data, All FDIC-Insured Institutions
4th Quarter
2010
7,657
2,086,357

3rd Quarter
2010
7,761
2,042,030

4th Quarter
2009
8,012
2,062,950

%Change
09Q4-10Q4
-4.4
1.1

$13,321,383
4,266,621
1,897,556
1,070,654
321,556
636,903
1,186,440
1,317,851
702,016
59,336
547,811
2,439
7,375,620
230,762
7,144,858
2,667,707
52,802
393,853
3,062,163

$13,373,219
4,302,278
1,880,546
1,072,714
354,077
647,919
1,174,667
1,328,862
683,911
58,893
526,601
2,127
7,389,175
241,899
7,147,276
2,641,584
53,177
384,171
3,147,011

$13,087,156
4,462,265
1,915,796
1,091,197
450,747
661,564
1,222,394
1,058,115
421,488
59,535
483,258
3,765
7,281,801
228,464
7,053,337
2,500,420
41,202
408,038
3,084,158

1.8
-4.4
-1.0
-1.9
-28.7
-3.7
-2.9
24.5
66.6
-0.3
13.4
-35.2
1.3
1.0
1.3
6.7
28.2
-3.5
-0.7

Total liabilities and capital����������������������������������������������������������������������������������������������
Deposits�������������������������������������������������������������������������������������������������������������������
		
Domestic office deposits���������������������������������������������������������������������������������
		
Foreign office deposits������������������������������������������������������������������������������������
Other borrowed funds���������������������������������������������������������������������������������������������
Subordinated debt���������������������������������������������������������������������������������������������������
All other liabilities����������������������������������������������������������������������������������������������������
Total equity capital (includes minority interests)����������������������������������������������������
		
Bank equity capital�������������������������������������������������������������������������������������������

13,321,383
9,422,943
7,873,120
1,549,823
1,717,604
146,833
520,341
1,513,661
1,486,801

13,373,219
9,273,670
7,738,082
1,535,588
1,866,211
150,823
568,154
1,514,363
1,495,318

13,087,156
9,226,774
7,696,799
1,529,974
1,782,253
156,947
476,291
1,444,891
1,424,381

1.8
2.1
2.3
1.3
-3.6
-6.4
9.2
4.8
4.4

Loans and leases 30-89 days past due�������������������������������������������������������������������������
Noncurrent loans and leases�����������������������������������������������������������������������������������������
Restructured loans and leases��������������������������������������������������������������������������������������
Mortgage-backed securities������������������������������������������������������������������������������������������
Earning assets����������������������������������������������������������������������������������������������������������������
FHLB Advances��������������������������������������������������������������������������������������������������������������
Unused loan commitments���������������������������������������������������������������������������������������������
Trust assets��������������������������������������������������������������������������������������������������������������������
Assets securitized and sold**����������������������������������������������������������������������������������������
Notional amount of derivatives**������������������������������������������������������������������������������������

118,767
359,558
87,540
1,482,687
11,555,789
386,476
5,658,126
19,327,408
983,028
232,211,601

124,253
377,460
79,947
1,439,947
11,547,679
402,398
6,062,386
18,591,198
1,012,556
236,386,429

140,214
395,957
58,133
1,395,254
11,267,455
533,216
5,965,767
18,115,615
1,392,540
215,449,008

-15.3
-9.2
50.6
6.3
2.6
-27.5
-5.2
6.7
-29.4
7.8

(dollar figures in millions)
Number of institutions reporting�������������������������������������������������������������������������������������
Total employees (full-time equivalent)���������������������������������������������������������������������������
CONDITION DATA
Total assets���������������������������������������������������������������������������������������������������������������������
Loans secured by real estate����������������������������������������������������������������������������������
		
1-4 family residential mortgages���������������������������������������������������������������������
		
Nonfarm nonresidential�����������������������������������������������������������������������������������
		
Construction and development
		
Home equity lines���������������������������������������������������������������������������������������������
Commercial & industrial loans��������������������������������������������������������������������������������
Loans to individuals�������������������������������������������������������������������������������������������������
		
Credit cards������������������������������������������������������������������������������������������������������
Farm loans���������������������������������������������������������������������������������������������������������������
Other loans & leases�����������������������������������������������������������������������������������������������
Less: Unearned income������������������������������������������������������������������������������������������
Total loans & leases������������������������������������������������������������������������������������������������
Less: Reserve for losses�����������������������������������������������������������������������������������������
Net loans and leases�����������������������������������������������������������������������������������������������
Securities�����������������������������������������������������������������������������������������������������������������
Other real estate owned������������������������������������������������������������������������������������������
Goodwill and other intangibles�������������������������������������������������������������������������������
All other assets��������������������������������������������������������������������������������������������������������

INCOME DATA
Total interest income�������������������������������������������������������������������
Total interest expense�����������������������������������������������������������������
Net interest income��������������������������������������������������������������
Provision for loan and lease losses��������������������������������������������
Total noninterest income�������������������������������������������������������������
Total noninterest expense�����������������������������������������������������������
Securities gains (losses)�������������������������������������������������������������
Applicable income taxes�������������������������������������������������������������
Extraordinary gains, net��������������������������������������������������������������
Total net income (includes minority interests)���������������������
		
Bank net income������������������������������������������������������������
Net charge-offs����������������������������������������������������������������������������
Cash dividends����������������������������������������������������������������������������
Retained earnings�����������������������������������������������������������������������
Net operating income�����������������������������������������������������������

Full Year
2010
$536,907
106,839
430,068
156,901
236,795
392,664
9,138
37,834
-450
88,152
87,498
187,150
53,926
33,572
81,554

Full Year
2009
$541,132
145,458
395,675
249,501
260,368
405,269
-1,627
5,677
-3,787
-9,818
-10,619
188,825
47,189
-57,808
-6,082

** Call Report filers only.

FDIC Quarterly

%Change
-0.8
-26.6
8.7
-37.1
-9.1
-3.1
N/M
566.5
88.1
N/M
N/M
-0.9
14.3
N/M
N/M

4th Quarter
2010
$131,884
24,818
107,065
31,621
56,492
103,819
2,273
8,642
59
21,808
21,656
41,923
23,304
-1,649
19,849

4th Quarter
2009
$131,054
31,473
99,581
62,884
61,194
98,728
-5
697
-162
-1,702
-1,836
54,969
13,768
-15,604
-1,710

%Change
09Q4-10Q4
0.6
-21.2
7.5
-49.7
-7.7
5.2
N/M
1,139.5
N/M
N/M
N/M
-23.7
69.3
89.4
N/M

N/M - Not Meaningful.

5

2011, Volume 5, No. 1

TABLE III-A. Full Year 2010, All FDIC-Insured Institutions
Asset Concentration Groups*
Full Year
All Insured
(The way it is...)
Institutions
Number of institutions reporting�����������������������
7,657
Commercial banks�������������������������������������
6,529
Savings institutions�����������������������������������
1,128
Total assets (in billions)������������������������������������
$13,321.4
Commercial banks�������������������������������������
12,067.6
Savings institutions�����������������������������������
1,253.8
Total deposits (in billions)���������������������������������
9,422.9
Commercial banks�������������������������������������
8,514.3
Savings institutions�����������������������������������
908.7
Bank net income (in millions)���������������������������
87,498
Commercial banks�������������������������������������
79,166
Savings institutions�����������������������������������
8,332
Performance Ratios (%)
Yield on earning assets������������������������������������
Cost of funding earning assets������������������������
Net interest margin������������������������������������
Noninterest income to assets���������������������������
Noninterest expense to assets�������������������������
Loan and lease loss provision to assets����������
Net operating income to assets�����������������������
Pretax return on assets������������������������������������
Return on assets�����������������������������������������������
Return on equity�����������������������������������������������
Net charge-offs to loans and leases����������������
Loan and lease loss provision to
net charge-offs������������������������������������������
Efficiency ratio��������������������������������������������������
% of unprofitable institutions����������������������������
% of institutions with earnings gains����������������

Credit
Card
International Agricultural Commercial
Banks
Banks
Banks
Lenders
22
4
1,559
4,087
18
4
1,555
3,640
4
0
4
447
$705.2
$3,038.1
$199.9
$4,098.8
677.8
3,038.1
199.3
3,632.2
27.4
0.0
0.5
466.6
297.2
2,009.5
165.9
3,147.8
281.4
2,009.5
165.5
2,822.3
15.8
0.0
0.4
325.5
12,041
21,828
1,920
10,077
10,940
21,828
1,917
7,599
1,101
0
3
2,478

Mortgage Consumer
Lenders
Lenders
716
73
182
59
534
14
$788.9
$114.4
235.3
49.7
553.6
64.7
543.9
91.1
132.2
38.2
411.7
52.9
5,332
1,430
2,702
923
2,629
508

Other
Specialized
All Other
<$1 Billion
<$1 Billion
315
813
287
730
28
83
$43.1
$132.3
37.5
109.3
5.6
23.0
33.6
110.3
29.5
91.8
4.1
18.5
623
936
363
989
259
-53

All Other
>$1 Billion
68
54
14
$4,200.8
4,088.4
112.5
3,023.7
2,943.9
79.8
33,311
31,905
1,406

4.70
0.93
3.76
1.79
2.97
1.19
0.62
0.95
0.66
5.99
2.54

13.57
1.48
12.09
2.98
4.63
6.32
1.76
2.73
1.81
11.81
10.83

3.42
0.71
2.71
2.00
2.82
0.62
0.64
0.95
0.72
8.08
2.29

5.22
1.30
3.93
0.65
2.69
0.46
0.97
1.13
0.99
8.92
0.58

4.89
1.13
3.76
1.28
3.05
1.23
0.19
0.39
0.25
2.18
1.89

4.36
1.34
3.02
0.76
1.78
0.75
0.67
1.08
0.69
6.97
1.14

5.80
1.37
4.43
1.88
2.78
1.29
1.28
2.01
1.28
11.93
2.31

3.79
0.98
2.81
6.64
7.23
0.22
1.28
1.94
1.48
9.10
0.64

4.98
1.24
3.73
1.03
3.26
0.38
0.69
0.86
0.72
6.41
0.56

3.96
0.67
3.28
2.18
2.92
0.88
0.79
1.14
0.80
6.70
1.87

83.84
57.22
21.01
67.52

69.06
31.89
9.09
100.00

75.96
65.16
0.00
75.00

122.11
62.60
6.67
66.07

95.62
64.40
30.49
68.46

109.93
49.17
15.64
72.49

74.31
44.95
5.48
83.56

124.35
77.77
14.29
50.48

118.94
70.01
11.07
64.82

91.43
57.26
8.82
75.00

86.75

Condition Ratios (%)
Earning assets to total assets��������������������������
Loss allowance to:
Loans and leases��������������������������������������
Noncurrent loans and leases��������������������
Noncurrent assets plus
other real estate owned to assets�������������
Equity capital ratio��������������������������������������������
Core capital (leverage) ratio ����������������������������
Tier 1 risk-based capital ratio���������������������������
Total risk-based capital ratio����������������������������
Net loans and leases to deposits���������������������
Net loans to total assets ����������������������������������
Domestic deposits to total assets��������������������

88.78

84.36

91.61

88.76

93.53

96.17

90.97

91.73

84.21

3.13
64.18

8.19
372.36

3.96
62.79

1.56
85.19

2.46
56.78

1.44
33.65

2.50
173.47

1.84
87.79

1.51
68.61

2.70
43.73

3.11
11.16
8.90
12.71
15.29
75.82
53.63
59.10

1.90
14.96
12.75
14.24
16.91
188.43
79.42
37.92

2.38
8.93
6.96
11.87
15.03
50.17
33.18
33.27

1.61
10.87
9.93
13.99
15.14
74.86
62.15
83.03

3.72
11.44
9.63
12.62
14.62
86.26
66.25
75.38

2.92
10.06
9.38
19.17
20.23
84.64
58.35
68.85

1.22
11.02
10.52
14.15
15.32
92.75
73.86
79.51

0.81
16.32
14.68
34.62
35.66
33.84
26.41
76.71

1.69
11.04
10.58
17.75
18.89
65.80
54.85
83.37

3.48
12.04
8.69
11.81
14.95
69.73
50.19
60.98

Structural Changes
New charters���������������������������������������������
Institutions absorbed by mergers�������������
Failed institutions��������������������������������������

11
197
157

0
0
0

0
0
0

0
35
3

6
119
143

1
28
6

0
0
1

2
0
1

0
6
2

2
9
1

PRIOR Full Years
(The way it was...)
Number of institutions����������������������������� 2009
������������������������������������� 2007
������������������������������������� 2005

8,012
8,534
8,833

23
27
33

4
5
4

1,568
1,592
1,685

4,453
4,773
4,617

766
784
886

83
109
125

289
373
425

770
815
995

56
56
63

Total assets (in billions)��������������������������� 2009
������������������������������������� 2007
������������������������������������� 2005

$13,087.2
13,033.9
10,879.3

$501.6
479.2
359.1

$3,107.1
2,784.4
1,851.2

$182.0
157.5
142.3

$4,546.9
4,619.0
4,257.3

$810.1
1,328.1
1,647.2

$96.5
94.9
117.3

$38.1
37.8
47.7

$116.1
110.4
128.7

$3,688.8
3,422.7
2,328.5

Return on assets (%)������������������������������� 2009
������������������������������������� 2007
������������������������������������� 2005

-0.08
0.81
1.28

-4.50
3.35
2.90

0.08
0.58
0.86

0.81
1.20
1.27

-0.42
0.83
1.36

0.65
0.03
1.07

0.33
1.26
1.55

0.74
2.56
2.18

0.80
1.03
1.09

0.51
0.88
1.34

Net charge-offs to loans & leases (%)���� 2008
������������������������������������� 2006
������������������������������������� 2004

2.52
0.59
0.49

9.77
3.95
4.64

3.07
0.77
0.87

0.65
0.22
0.18

2.02
0.35
0.23

1.24
0.40
0.12

2.74
0.87
1.44

0.78
0.29
0.26

0.54
0.22
0.23

2.19
0.39
0.24

Noncurrent assets plus
OREO to assets (%)������������������������� 2009
������������������������������������� 2007
������������������������������������� 2005

3.36
0.95
0.50

2.40
1.54
1.32

2.75
0.68
0.46

1.55
0.83
0.61

3.87
1.10
0.48

3.17
1.52
0.56

1.45
1.64
0.51

0.69
0.23
0.24

1.34
0.65
0.54

3.66
0.68
0.39

Equity capital ratio (%)���������������������������� 2009
������������������������������������� 2007
������������������������������������� 2005

10.88
10.34
10.28

21.50
21.26
21.51

8.75
8.01
8.30

10.95
11.17
10.55

10.48
11.00
10.83

9.48
8.38
9.40

11.15
12.62
10.11

17.74
19.98
19.47

11.27
11.46
10.83

11.95
10.32
9.52

* See Table IV-A (page 8) for explanations.

FDIC Quarterly

6

2011, Volume 5, No. 1

Quarterly Banking Profile
TABLE III-A. Full Year 2010, All FDIC-Insured Institutions
Asset Size Distribution
Full Year
All Insured
(The way it is...)
Institutions
Number of institutions reporting�����������������������������
7,657
Commercial banks�������������������������������������������
6,529
Savings institutions�����������������������������������������
1,128
Total assets (in billions)������������������������������������������
$13,321.4
Commercial banks�������������������������������������������
12,067.6
Savings institutions�����������������������������������������
1,253.8
Total deposits (in billions)���������������������������������������
9,422.9
Commercial banks�������������������������������������������
8,514.3
Savings institutions�����������������������������������������
908.7
Bank net income (in millions)���������������������������������
87,498
Commercial banks�������������������������������������������
79,166
Savings institutions�����������������������������������������
8,332
Performance Ratios (%)
Yield on earning assets������������������������������������������
Cost of funding earning assets������������������������������
Net interest margin������������������������������������������
Noninterest income to assets���������������������������������
Noninterest expense to assets�������������������������������
Loan and lease loss provision to assets����������������
Net operating income to assets�����������������������������
Pretax return on assets������������������������������������������
Return on assets�����������������������������������������������������
Return on equity�����������������������������������������������������
Net charge-offs to loans and leases����������������������
Loan and lease loss provision to
net charge-offs������������������������������������������������
Efficiency ratio��������������������������������������������������������
% of unprofitable institutions����������������������������������
% of institutions with earnings gains����������������������

Geographic Regions*

Less than
$100
$1 Billion
Greater
$100
Million to
to
than
Million
$1 Billion $10 Billion $10 Billion New York
2,622
4,368
560
107
948
2,325
3,694
424
86
492
297
674
136
21
456
$148.5
$1,291.7
$1,431.7 $10,449.5
$2,695.0
131.9
1,058.6
1,090.4
9,786.6
2,027.0
16.5
233.1
341.3
662.9
667.9
125.2
1,068.7
1,102.4
7,126.6
1,809.1
112.0
884.0
841.9
6,676.3
1,338.0
13.2
184.7
260.5
450.3
471.1
479
4,236
3,423
79,361
20,501
465
3,550
2,015
73,137
16,381
14
686
1,408
6,224
4,120

Atlanta
1,022
905
117
$2,930.6
2,807.3
123.4
2,128.2
2,036.0
92.2
10,987
10,909
78

Chicago
1,602
1,320
282
$2,950.5
2,825.2
125.3
2,033.9
1,939.9
94.0
17,909
18,061
-152

Kansas
City
1,825
1,728
97
$1,686.4
1,635.6
50.8
1,245.4
1,206.2
39.2
14,232
14,004
227

San
Dallas
Francisco
1,601
659
1,484
600
117
59
$789.3
$2,269.5
694.9
2,077.7
94.4
191.8
637.6
1,568.7
561.4
1,432.8
76.2
135.9
5,499
18,370
4,729
15,081
769
3,289

4.70
0.93
3.76
1.79
2.97
1.19
0.62
0.95
0.66
5.99
2.54

5.18
1.30
3.89
1.28
3.90
0.53
0.29
0.42
0.33
2.72
0.77

5.17
1.38
3.79
0.97
3.21
0.82
0.27
0.47
0.33
3.23
1.08

4.90
1.24
3.65
1.27
2.95
1.16
0.21
0.50
0.24
2.17
1.79

4.60
0.82
3.77
1.97
2.93
1.24
0.72
1.08
0.77
6.87
2.93

5.40
1.12
4.28
1.67
2.86
1.42
0.75
1.13
0.77
6.23
3.57

4.39
0.88
3.51
1.65
2.91
1.23
0.30
0.56
0.37
3.26
2.42

3.80
0.79
3.01
2.02
3.03
0.88
0.52
0.83
0.61
6.92
2.02

5.77
0.82
4.95
2.28
3.51
1.77
0.88
1.27
0.86
7.43
2.88

4.90
1.00
3.91
1.39
3.19
0.85
0.66
0.92
0.70
6.65
1.27

4.55
1.03
3.52
1.61
2.62
0.93
0.79
1.16
0.81
7.00
2.29

83.84
57.22
21.01
67.52

113.70
80.51
22.04
62.97

114.07
71.49
20.44
69.55

101.19
62.12
22.32
71.07

80.20
54.82
12.15
77.57

71.54
51.17
15.30
75.63

90.32
61.13
42.95
64.38

90.03
64.64
19.41
68.60

90.00
50.72
14.30
66.58

102.77
64.27
13.62
62.59

79.57
55.07
35.66
72.69

86.75

Condition Ratios (%)
Earning assets to total assets���������������������������������
Loss allowance to:
Loans and leases���������������������������������������������
Noncurrent loans and leases���������������������������
Noncurrent assets plus
other real estate owned to assets��������������������
Equity capital ratio���������������������������������������������������
Core capital (leverage) ratio �����������������������������������
Tier 1 risk-based capital ratio����������������������������������
Total risk-based capital ratio�����������������������������������
Net loans and leases to deposits����������������������������
Net loans to total assets �����������������������������������������
Domestic deposits to total assets���������������������������

91.11

91.59

90.63

85.55

87.33

84.50

86.50

87.48

90.35

87.47

3.13
64.18

1.70
65.13

1.88
52.74

2.26
50.44

3.49
67.33

3.30
93.53

3.07
50.67

3.15
57.57

3.47
64.54

2.18
58.92

3.06
71.87

3.11
11.16
8.90
12.71
15.29
75.82
53.63
59.10

2.37
11.75
11.32
17.77
18.89
70.10
59.11
84.33

3.43
10.21
9.70
14.16
15.38
78.05
64.58
82.66

3.62
11.24
9.85
14.47
15.80
80.62
62.08
76.44

3.02
11.26
8.63
12.24
15.16
74.85
51.05
53.45

2.14
12.59
9.89
14.42
16.70
80.42
53.99
59.39

3.93
11.62
8.29
11.51
14.67
75.41
54.76
63.90

2.98
8.72
7.17
10.71
13.91
66.84
46.08
54.42

4.25
11.34
9.13
11.29
13.77
89.15
65.84
67.97

3.14
10.57
9.51
13.63
15.34
77.67
62.74
80.30

2.54
12.11
10.35
15.89
17.56
71.40
49.35
44.68

Structural Changes
New charters���������������������������������������������������
Institutions absorbed by mergers�������������������
Failed institutions��������������������������������������������

11
197
157

2
69
36

2
108
102

6
18
18

1
2
1

2
22
14

3
44
56

1
17
25

2
43
18

2
52
7

1
19
37

PRIOR Full Years
(The way it was…)
Number of institutions����������������������������������� 2009
��������������������������������������������2007
��������������������������������������������2005

8,012
8,534
8,833

2,848
3,440
3,864

4,492
4,424
4,339

565
551
512

107
119
118

986
1,043
1,110

1,121
1,221
1,227

1,647
1,763
1,874

1,879
1,986
2,070

1,660
1,742
1,791

719
779
761

Total assets (in billions)��������������������������������� 2009
��������������������������������������������2007
��������������������������������������������2005

$13,087.2
13,033.9
10,879.3

$158.9
181.9
200.8

$1,354.4
1,308.8
1,247.6

$1,461.6
1,422.0
1,394.3

$10,112.3
10,121.2
8,036.7

$2,567.4
2,441.0
2,769.2

$3,427.4
3,329.6
2,683.9

$2,934.4
2,842.5
2,505.8

$1,145.6
976.3
803.7

$784.9
738.3
607.7

$2,227.5
2,706.3
1,508.9

Return on assets (%)������������������������������������� 2009
��������������������������������������������2007
��������������������������������������������2005

-0.08
0.81
1.28

-0.05
0.74
0.99

-0.10
0.97
1.24

-0.36
0.96
1.28

-0.04
0.77
1.29

-0.83
0.77
1.21

-0.01
0.81
1.36

0.18
0.86
0.99

0.77
1.46
1.62

0.35
1.00
1.19

-0.25
0.52
1.60

Net charge-offs to loans & leases (%)���������� 2008
������������������������������������������� 2006
������������������������������������������� 2004

2.52
0.59
0.49

0.88
0.24
0.20

1.25
0.25
0.19

1.90
0.42
0.24

2.87
0.68
0.60

2.76
0.90
0.80

2.29
0.33
0.23

2.36
0.47
0.33

2.40
0.78
0.56

1.34
0.30
0.24

3.44
0.77
0.70

Noncurrent assets plus
OREO to assets (%)������������������������������� 2009
��������������������������������������������2007
��������������������������������������������2005

3.36
0.95
0.50

2.24
0.96
0.69

3.29
1.07
0.52

3.58
1.09
0.44

3.36
0.92
0.50

2.33
0.81
0.44

4.16
0.81
0.30

3.20
0.94
0.54

4.28
1.37
0.86

3.04
1.00
0.73

3.19
1.12
0.59

Equity capital ratio (%)���������������������������������� 2009
��������������������������������������������2007
��������������������������������������������2005

10.88
10.34
10.28

11.96
13.73
12.16

9.86
10.49
10.20

10.73
11.34
10.66

11.03
10.12
10.18

12.53
12.06
10.53

11.66
10.30
9.80

8.59
9.23
9.23

10.70
9.74
10.45

10.30
10.22
10.17

11.11
10.24
12.40

* See Table IV-A (page 9) for explanations.

FDIC Quarterly

7

2011, Volume 5, No. 1

TABLE IV-A. Fourth Quarter 2010, All FDIC-Insured Institutions
Asset Concentration Groups*
Fourth Quarter
All Insured
(The way it is...)
Institutions
Number of institutions reporting�����������������������������������������
7,657
Commercial banks�������������������������������������������������������
6,529
Savings institutions�����������������������������������������������������
1,128
Total assets (in billions)������������������������������������������������������
$13,321.4
Commercial banks�������������������������������������������������������
12,067.6
Savings institutions�����������������������������������������������������
1,253.8
Total deposits (in billions)���������������������������������������������������
9,422.9
Commercial banks�������������������������������������������������������
8,514.3
Savings institutions�����������������������������������������������������
908.7
Bank net income (in millions)���������������������������������������������
21,656
Commercial banks�������������������������������������������������������
19,474
Savings institutions�����������������������������������������������������
2,181

Credit
Other
Card International Agricultural Commercial Mortgage Consumer Specialized All Other All Other
Banks
Banks
Banks
Lenders
Lenders
Lenders
<$1 Billion <$1 Billion >$1 Billion
22
4
1,559
4,087
716
73
315
813
68
18
4
1,555
3,640
182
59
287
730
54
4
0
4
447
534
14
28
83
14
$705.2
$3,038.1
$199.9
$4,098.8
$788.9
$114.4
$43.1
$132.3
$4,200.8
677.8
3,038.1
199.3
3,632.2
235.3
49.7
37.5
109.3
4,088.4
27.4
0.0
0.5
466.6
553.6
64.7
5.6
23.0
112.5
297.2
2,009.5
165.9
3,147.8
543.9
91.1
33.6
110.3
3,023.7
281.4
2,009.5
165.5
2,822.3
132.2
38.2
29.5
91.8
2,943.9
15.8
0.0
0.4
325.5
411.7
52.9
4.1
18.5
79.8
4,847
4,593
435
2,568
1,219
416
131
233
7,213
4,565
4,593
434
1,584
704
284
28
216
7,067
282
0
1
984
516
132
103
17
146

Performance Ratios (annualized, %)
Yield on earning assets������������������������������������������������������
Cost of funding earning assets������������������������������������������
Net interest margin������������������������������������������������������
Noninterest income to assets���������������������������������������������
Noninterest expense to assets�������������������������������������������
Loan and lease loss provision to assets����������������������������
Net operating income to assets�����������������������������������������
Pretax return on assets������������������������������������������������������
Return on assets�����������������������������������������������������������������
Return on equity�����������������������������������������������������������������
Net charge-offs to loans and leases����������������������������������
Loan and lease loss provision to net charge-offs�������������
Efficiency ratio��������������������������������������������������������������������
% of unprofitable institutions����������������������������������������������
% of institutions with earnings gains����������������������������������

4.57
0.86
3.71
1.69
3.11
0.95
0.60
0.91
0.65
5.81
2.27
75.43
61.36
25.09
61.77

12.05
1.26
10.79
2.83
4.75
3.60
2.72
4.10
2.77
18.72
7.68
54.20
36.02
13.64
95.45

3.32
0.73
2.60
1.86
2.92
0.60
0.46
0.69
0.60
6.68
2.25
76.44
71.56
0.00
75.00

5.13
1.18
3.95
0.68
2.85
0.48
0.87
0.98
0.88
7.92
0.71
105.79
65.52
14.05
58.88

4.85
1.02
3.83
1.33
3.26
1.10
0.19
0.43
0.25
2.18
1.96
82.75
65.79
32.35
64.47

4.24
1.23
3.00
0.34
1.34
0.85
0.60
0.99
0.62
6.19
1.04
138.88
41.88
20.67
61.45

5.64
1.19
4.45
1.90
2.94
0.87
1.45
2.32
1.44
13.28
2.10
55.22
47.03
12.33
69.86

3.50
0.87
2.64
7.03
7.65
0.31
0.90
1.81
1.19
7.29
0.75
156.64
79.23
24.76
48.25

4.84
1.13
3.71
1.10
3.22
0.44
0.69
0.85
0.71
6.29
0.72
108.39
71.13
16.36
57.81

3.88
0.61
3.27
2.00
3.13
0.67
0.69
0.93
0.69
5.71
1.59
82.46
63.81
13.24
58.82

Structural Changes
New charters���������������������������������������������������������������
Institutions absorbed by mergers�������������������������������
Failed institutions��������������������������������������������������������

3
73
30

0
0
0

0
0
0

0
17
0

1
28
28

0
27
2

0
0
0

1
0
0

0
1
0

1
0
0

PRIOR Fourth Quarters
(The way it was…)
Return on assets (%)��������������������������������������������������2009
��������������������������������������������������������2007
��������������������������������������������������������2005

-0.06
0.01
1.21

0.58
2.01
2.16

0.29
-0.20
0.79

0.54
1.07
1.12

-0.84
0.23
1.32

0.65
-1.97
1.02

0.32
0.62
1.35

1.25
2.08
3.75

0.73
0.92
0.96

0.29
0.32
1.30

Net charge-offs to loans & leases (%)�����������������������2009
��������������������������������������������������������2007
��������������������������������������������������������2005

3.00
0.84
0.60

9.50
4.24
6.16

3.59
1.09
0.86

1.04
0.32
0.26

2.59
0.62
0.29

1.34
0.67
0.19

2.66
1.03
1.67

0.77
0.26
0.36

0.84
0.38
0.32

2.80
0.55
0.30

* Asset Concentration Group Definitions (Groups are hierarchical and mutually exclusive):
Credit-card Lenders - Institutions whose credit-card loans plus securitized receivables exceed 50 percent of total assets plus securitized receivables.
International Banks - Banks with assets greater than $10 billion and more than 25 percent of total assets in foreign offices.
Agricultural Banks - Banks whose agricultural production loans plus real estate loans secured by farmland exceed 25 percent of the total loans and leases.
Commercial Lenders - Institutions whose commercial and industrial loans, plus real estate construction and development loans, plus loans secured by commercial real estate properties
exceed 25 percent of total assets.
Mortgage Lenders - Institutions whose residential mortgage loans, plus mortgage-backed securities, exceed 50 percent of total assets.
Consumer Lenders - Institutions whose residential mortgage loans, plus credit-card loans, plus other loans to individuals, exceed 50 percent of total assets.
Other Specialized < $1 Billion - Institutions with assets less than $1 billion, whose loans and leases are less than 40 percent of total assets.
All Other < $1 billion - Institutions with assets less than $1 billion that do not meet any of the definitions above, they have significant lending activity with no identified asset concentrations.
All Other > $1 billion - Institutions with assets greater than $1 billion that do not meet any of the definitions above, they have significant lending activity with no identified asset concentrations.

FDIC Quarterly

8

2011, Volume 5, No. 1

Quarterly Banking Profile
TABLE IV-A. Fourth Quarter 2010, All FDIC-Insured Institutions
Asset Size Distribution
Fourth Quarter
All Insured Less than
(The way it is...)
Institutions $100 Million
Number of institutions reporting���������������������
7,657
2,622
Commercial banks�����������������������������������
6,529
2,325
Savings institutions���������������������������������
1,128
297
Total assets (in billions)����������������������������������
$13,321.4
$148.5
Commercial banks�����������������������������������
12,067.6
131.9
Savings institutions���������������������������������
1,253.8
16.5
Total deposits (in billions)�������������������������������
9,422.9
125.2
Commercial banks�����������������������������������
8,514.3
112.0
Savings institutions���������������������������������
908.7
13.2
Bank net income (in millions)�������������������������
21,656
11
Commercial banks�����������������������������������
19,474
13
Savings institutions���������������������������������
2,181
-2

Geographic Regions*

$100 Million $1 Billion
Greater
to
to
than
$1 Billion
$10 Billion $10 Billion New York
4,368
560
107
948
3,694
424
86
492
674
136
21
456
$1,291.7
$1,431.7
$10,449.5
$2,695.0
1,058.6
1,090.4
9,786.6
2,027.0
233.1
341.3
662.9
667.9
1,068.7
1,102.4
7,126.6
1,809.1
884.0
841.9
6,676.3
1,338.0
184.7
260.5
450.3
471.1
502
581
20,561
6,215
297
273
18,891
4,963
204
308
1,671
1,252

Atlanta
Chicago
1,022
1,602
905
1,320
117
282
$2,930.6 $2,950.5
2,807.3
2,825.2
123.4
125.3
2,128.2
2,033.9
2,036.0
1,939.9
92.2
94.0
1,132
4,144
1,105
4,287
28
-143

Kansas
City
1,825
1,728
97
$1,686.4
1,635.6
50.8
1,245.4
1,206.2
39.2
4,256
4,226
30

San
Dallas
Francisco
1,601
659
1,484
600
117
59
$789.3
$2,269.5
694.9
2,077.7
94.4
191.8
637.6
1,568.7
561.4
1,432.8
76.2
135.9
1,173
4,735
1,006
3,888
167
847

Performance Ratios (annualized, %)
Yield on earning assets����������������������������������
Cost of funding earning assets����������������������
Net interest margin����������������������������������
Noninterest income to assets�������������������������
Noninterest expense to assets�����������������������
Loan and lease loss provision to assets��������
Net operating income to assets���������������������
Pretax return on assets����������������������������������
Return on assets���������������������������������������������
Return on equity���������������������������������������������
Net charge-offs to loans and leases��������������
Loan and lease loss provision to net
charge-offs����������������������������������������������
Efficiency ratio������������������������������������������������
% of unprofitable institutions��������������������������
% of institutions with earnings gains��������������

4.57
0.86
3.71
1.69
3.11
0.95
0.60
0.91
0.65
5.81
2.27

5.06
1.17
3.89
1.29
4.12
0.63
0.01
0.11
0.03
0.26
0.98

5.05
1.25
3.80
1.06
3.38
0.92
0.11
0.29
0.16
1.51
1.30

4.84
1.11
3.73
1.34
3.16
1.13
0.14
0.44
0.16
1.44
1.95

4.46
0.77
3.69
1.83
3.06
0.93
0.72
1.06
0.79
6.98
2.50

5.08
1.05
4.03
1.69
2.97
0.92
0.95
1.27
0.92
7.32
2.96

4.32
0.75
3.57
1.40
3.27
1.04
0.03
0.26
0.15
1.33
2.16

3.72
0.76
2.96
2.05
3.15
0.89
0.42
0.76
0.56
6.32
1.95

5.59
0.75
4.84
2.32
3.62
1.34
1.07
1.51
1.02
8.91
2.51

4.83
0.90
3.93
0.93
2.80
0.85
0.59
0.83
0.59
5.58
1.40

4.52
0.96
3.56
1.43
2.78
0.69
0.79
1.10
0.83
6.94
2.10

75.43
61.36
25.09
61.77

105.85
84.56
29.29
55.87

107.20
73.24
23.17
64.40

91.44
63.72
22.68
66.25

70.62
59.39
13.08
75.70

55.73
55.14
20.25
62.03

85.78
69.88
45.69
59.39

95.04
67.24
22.10
64.61

78.13
52.65
19.84
59.34

94.64
61.74
20.17
59.96

65.29
60.46
33.84
69.35

Structural Changes
New charters�������������������������������������������
Institutions absorbed by mergers�����������
Failed institutions������������������������������������

3
73
30

1
18
9

0
52
20

2
3
1

0
0
0

1
8
3

0
7
12

0
4
3

2
13
5

0
35
1

0
6
6

PRIOR Fourth Quarters
(The way it was…)
Return on assets (%)����������������������������� 2009
����������������������������������� 2007
����������������������������������� 2005

-0.06
0.01
1.21

-0.50
0.44
0.80

-0.67
0.68
1.25

-0.55
0.60
1.18

0.10
-0.16
1.22

0.17
0.12
1.09

-0.44
0.10
1.30

0.06
0.60
0.96

0.79
0.98
1.49

0.17
0.55
1.11

-0.38
-1.26
1.58

Net charge-offs to loans & leases (%)�� 2009
����������������������������������� 2007
����������������������������������� 2005

3.00
0.84
0.60

1.23
0.37
0.31

1.98
0.46
0.26

2.42
0.63
0.28

3.32
0.95
0.73

2.96
1.00
0.89

2.78
0.56
0.26

2.98
0.75
0.44

2.71
1.11
0.61

1.61
0.51
0.33

4.28
1.13
0.95

* Regions:
New York - Connecticut, Delaware, District of Columbia, Maine, Maryland, Massachusetts, New Hampshire, New Jersey, New York, Pennsylvania, Puerto Rico, Rhode Island, Vermont,
U.S. Virgin Islands
Atlanta - Alabama, Florida, Georgia, North Carolina, South Carolina, Virginia, West Virginia
Chicago - Illinois, Indiana, Kentucky, Michigan, Ohio, Wisconsin
Kansas City - Iowa, Kansas, Minnesota, Missouri, Nebraska, North Dakota, South Dakota
Dallas - Arkansas, Colorado, Louisiana, Mississippi, New Mexico, Oklahoma, Tennessee, Texas
San Francisco - Alaska, Arizona, California, Hawaii, Idaho, Montana, Nevada, Oregon, Pacific Islands, Utah, Washington, Wyoming

FDIC Quarterly

9

2011, Volume 5, No. 1

TABLE V-A. Loan Performance, All FDIC-Insured Institutions
Asset Concentration Groups*
December 31, 2010

All Insured
Institutions

Credit
Card
Banks

International Agricultural Commercial Mortgage
Banks
Banks
Lenders
Lenders

Consumer
Lenders

Other
All Other All Other
Specialized
<$1
>$1
<$1 Billion
Billion
Billion

Percent of Loans 30-89 Days Past Due
All loans secured by real estate���������������������������������������
Construction and development���������������������������������
Nonfarm nonresidential���������������������������������������������
Multifamily residential real estate�����������������������������
Home equity loans����������������������������������������������������
Other 1-4 family residential���������������������������������������
Commercial and industrial loans�������������������������������������
Loans to individuals����������������������������������������������������������
Credit card loans�������������������������������������������������������
Other loans to individuals�����������������������������������������
All other loans and leases (including farm)���������������������
Total loans and leases������������������������������������������������������

1.94
1.97
1.05
1.10
1.19
2.84
0.68
1.95
1.93
1.98
0.38
1.61

1.73
0.00
0.00
0.00
2.02
1.93
2.90
1.98
1.94
2.85
0.01
1.97

2.88
1.16
0.80
0.61
1.68
4.41
0.49
2.02
2.49
1.78
0.30
1.82

1.04
1.09
1.06
0.58
0.80
1.81
1.12
1.87
1.29
1.88
0.37
0.94

1.48
1.92
1.06
1.11
0.89
2.17
0.74
1.81
1.27
1.89
0.51
1.31

1.69
2.61
1.37
1.11
0.76
1.80
0.83
1.19
2.03
1.08
1.19
1.65

1.27
0.72
0.36
0.04
1.17
1.64
1.08
1.65
1.06
1.92
0.47
1.52

1.67
1.78
1.09
2.12
0.72
2.13
0.99
2.06
1.50
2.12
0.84
1.59

1.82
1.50
1.30
0.62
0.84
2.30
1.34
2.31
1.34
2.33
0.45
1.73

2.42
2.19
1.00
1.62
1.26
3.48
0.48
2.06
1.95
2.08
0.41
1.82

Percent of Loans Noncurrent**
All real estate loans����������������������������������������������������������
Construction and development..................................
Nonfarm nonresidential���������������������������������������������
Multifamily residential real estate�����������������������������
Home equity loans����������������������������������������������������
Other 1-4 family residential���������������������������������������
Commercial and industrial loans�������������������������������������
Loans to individuals����������������������������������������������������������
Credit card loans�������������������������������������������������������
Other loans to individuals�����������������������������������������
All other loans and leases (including farm)���������������������
Total loans and leases������������������������������������������������������

7.04
16.01
4.28
3.74
1.91
9.44
2.46
1.77
2.21
1.27
1.13
4.87

5.67
0.00
0.00
0.00
3.93
7.61
2.46
2.25
2.22
3.08
0.02
2.20

10.25
14.15
5.92
3.00
2.27
16.87
4.56
1.94
2.23
1.79
1.61
6.30

2.34
9.33
3.00
2.53
1.04
1.62
2.13
0.68
0.60
0.68
0.61
1.83

5.47
16.12
4.05
3.99
1.55
5.09
2.22
1.29
2.05
1.18
1.20
4.33

4.51
12.95
4.02
2.40
1.04
4.77
1.68
0.66
2.03
0.50
0.82
4.29

2.03
2.72
3.14
7.20
1.12
2.50
0.72
1.25
1.15
1.30
0.05
1.43

2.41
5.78
2.56
0.78
0.76
2.05
1.89
0.88
1.06
0.86
1.61
2.10

2.50
7.37
2.71
3.30
0.70
2.00
2.16
0.85
0.71
0.85
0.71
2.19

9.62
17.06
5.14
4.05
2.19
13.69
1.80
1.31
2.57
0.99
0.82
6.17

Percent of Loans Charged-off (net, YTD)
All real estate loans����������������������������������������������������������
Construction and development���������������������������������
Nonfarm nonresidential���������������������������������������������
Multifamily residential real estate�����������������������������
Home equity loans����������������������������������������������������
Other 1-4 family residential���������������������������������������
Commercial and industrial loans�������������������������������������
Loans to individuals����������������������������������������������������������
Credit card loans�������������������������������������������������������
Other loans to individuals�����������������������������������������
All other loans and leases (including farm)���������������������
Total loans and leases������������������������������������������������������

1.96
5.45
1.22
1.24
2.64
1.62
1.75
6.07
10.08
2.05
0.62
2.54

5.23
0.00
0.00
0.00
6.82
5.28
14.35
11.01
10.95
12.02
0.01
10.83

2.74
2.70
1.46
1.23
2.72
3.47
1.45
3.54
6.47
2.41
0.55
2.28

0.56
3.06
0.72
0.59
0.77
0.36
1.30
0.65
1.98
0.61
0.00
0.58

2.00
6.24
1.31
1.34
1.47
1.39
1.66
1.95
7.26
1.24
1.03
1.89

1.02
4.35
0.67
0.68
2.74
0.84
1.31
4.39
17.43
1.32
0.45
1.14

1.84
1.84
0.74
3.62
2.53
1.29
5.19
2.26
5.10
1.03
2.69
2.29

0.48
1.32
0.40
0.82
0.36
0.40
1.03
0.96
3.92
0.66
0.99
0.64

0.47
1.96
0.42
0.89
0.51
0.34
1.06
0.79
2.40
0.76
0.43
0.56

2.06
3.86
1.06
1.05
3.51
1.60
1.03
3.01
8.44
1.58
0.53
1.87

Loans Outstanding (in billions)
All real estate loans����������������������������������������������������������
Construction and development���������������������������������
Nonfarm nonresidential���������������������������������������������
Multifamily residential real estate�����������������������������
Home equity loans����������������������������������������������������
Other 1-4 family residential���������������������������������������
Commercial and industrial loans�������������������������������������
Loans to individuals����������������������������������������������������������
Credit card loans�������������������������������������������������������
Other loans to individuals�����������������������������������������
All other loans and leases (including farm)���������������������
Total loans and leases (plus unearned income)��������������

$4,266.6
321.6
1,070.7
214.8
636.9
1,897.6
1,186.4
1,317.9
702.0
615.8
607.1
7,378.1

$0.1
0.0
0.0
0.0
0.0
0.0
29.4
562.9
537.8
25.1
17.7
610.0

$497.9
7.3
28.8
38.5
116.3
256.4
194.4
161.0
55.4
105.5
197.1
1,050.5

$75.1
4.4
21.9
1.8
1.6
19.7
15.9
6.3
0.1
6.2
28.8
126.2

$1,912.0
217.4
752.6
128.1
203.1
577.5
535.9
201.0
26.1
174.8
135.8
2,784.6

$437.3
8.0
28.3
9.2
35.5
355.1
12.2
15.2
1.6
13.5
2.5
467.1

$23.2
0.5
2.0
0.4
10.2
10.1
4.1
59.7
18.4
41.3
0.3
87.2

$8.0
0.6
2.6
0.2
0.2
3.9
1.5
1.5
0.2
1.3
0.7
11.6

Memo: Other Real Estate Owned (in millions)
All other real estate owned�����������������������������������������������
Construction and development���������������������������������
Nonfarm nonresidential���������������������������������������������
Multifamily residential real estate�����������������������������
1-4 family residential�������������������������������������������������
Farmland��������������������������������������������������������������������
GNMA properties������������������������������������������������������

52,802.3
18,182.7
10,232.6
2,606.3
14,049.8
411.3
7,113.1

-18.8
0.0
0.0
0.0
0.2
0.0
0.0

4,513.8
5.0
159.0
799.0
1,311.8
0.0
2,031.0

879.8
327.2
279.3
34.1
165.1
73.8
0.2

31,482.8
15,226.1
7,669.3
1,187.6
6,490.8
296.9
593.8

2,971.8
426.1
209.7
43.1
1,677.6
8.5
607.6

91.5
18.4
28.2
8.1
36.6
0.3
0.0

101.6
35.2
32.6
3.3
28.8
1.7
0.0

$54.9 $1,258.2
3.4
80.0
14.0
220.4
1.3
35.3
2.5
267.4
30.0
644.9
7.0
386.1
7.0
303.4
0.1
62.2
6.9
241.2
4.8
219.5
73.7
2,167.1

607.9
174.9
170.3
26.5
222.1
13.7
0.3

12,171.9
1,969.9
1,684.1
504.6
4,116.7
16.3
3,880.3

* See Table IV-A (page 8) for explanations.
** Noncurrent loan rates represent the percentage of loans in each category that are past due 90 days or more or that are in nonaccrual status.

FDIC Quarterly

10

2011, Volume 5, No. 1

Quarterly Banking Profile
TABLE V-A. Loan Performance, All FDIC-Insured Institutions
Asset Size Distribution
December 31, 2010

Geographic Regions*

Less than
$100
$1 Billion Greater
All Insured
$100
Million to
to
than
Institutions
Million
$1 Billion $10 Billion $10 Billion New York

Atlanta

Chicago

Kansas
City

Dallas

San
Francisco

Percent of Loans 30-89 Days Past Due
All loans secured by real estate������������������������������
Construction and development������������������������
Nonfarm nonresidential������������������������������������
Multifamily residential real estate��������������������
Home equity loans�������������������������������������������
Other 1-4 family residential������������������������������
Commercial and industrial loans����������������������������
Loans to individuals�������������������������������������������������
Credit card loans����������������������������������������������
Other loans to individuals��������������������������������
All other loans and leases (including farm)������������
Total loans and leases���������������������������������������������

1.94
1.97
1.05
1.10
1.19
2.84
0.68
1.95
1.93
1.98
0.38
1.61

1.75
1.69
1.48
1.50
0.87
2.37
1.39
2.37
1.74
2.38
0.49
1.61

1.52
1.91
1.29
1.13
0.87
1.92
1.16
1.89
2.17
1.87
0.41
1.44

1.30
1.84
0.97
1.15
0.84
1.68
0.79
1.99
2.05
1.97
0.50
1.25

2.18
2.06
0.95
1.07
1.24
3.18
0.60
1.95
1.93
1.98
0.37
1.69

1.55
2.47
1.15
1.13
0.70
1.90
1.03
1.93
1.81
2.39
0.38
1.52

2.12
1.71
1.17
1.29
1.44
3.00
0.53
2.12
2.00
2.19
0.30
1.72

1.90
2.10
1.11
0.95
1.32
2.81
0.75
1.65
1.69
1.64
0.51
1.51

2.36
2.24
0.84
1.49
1.11
3.91
0.81
2.46
2.41
2.54
0.53
1.96

1.69
1.68
1.04
1.09
1.02
2.56
0.76
1.42
0.94
1.67
0.41
1.44

1.91
1.89
0.84
0.90
1.02
3.01
0.38
1.67
1.86
1.50
0.13
1.41

Percent of Loans Noncurrent**
All real estate loans�������������������������������������������������
Construction and development������������������������
Nonfarm nonresidential������������������������������������
Multifamily residential real estate��������������������
Home equity loans�������������������������������������������
Other 1-4 family residential������������������������������
Commercial and industrial loans����������������������������
Loans to individuals�������������������������������������������������
Credit card loans����������������������������������������������
Other loans to individuals��������������������������������
All other loans and leases (including farm)������������
Total loans and leases���������������������������������������������

7.04
16.01
4.28
3.74
1.91
9.44
2.46
1.77
2.21
1.27
1.13
4.87

3.08
10.34
3.34
3.52
1.33
2.32
2.55
1.00
0.99
1.00
0.72
2.60

4.07
13.04
3.42
3.39
1.31
2.86
2.38
0.83
1.58
0.77
0.86
3.56

5.36
16.94
4.14
4.11
1.98
4.08
2.61
1.24
1.94
0.99
1.15
4.47

8.20
16.99
4.82
3.70
1.95
11.46
2.44
1.84
2.22
1.34
1.15
5.18

4.80
17.83
3.85
2.67
1.27
4.89
2.57
2.07
2.19
1.59
0.37
3.52

8.83
17.29
4.81
5.68
1.93
11.97
1.75
1.45
2.23
1.01
0.56
6.05

7.98
14.80
4.42
4.00
1.87
12.81
2.65
1.44
2.48
1.15
1.19
5.47

8.20
15.22
4.44
3.18
2.79
12.07
2.23
2.11
2.44
1.56
0.88
5.37

4.80
11.03
3.10
4.54
1.26
4.98
1.62
0.70
0.93
0.58
1.18
3.69

5.78
20.47
4.75
3.56
1.56
6.75
3.60
1.71
2.02
1.44
2.53
4.25

Percent of Loans Charged-off (net, YTD)
All real estate loans�������������������������������������������������
Construction and development������������������������
Nonfarm nonresidential������������������������������������
Multifamily residential real estate��������������������
Home equity loans�������������������������������������������
Other 1-4 family residential������������������������������
Commercial and industrial loans����������������������������
Loans to individuals�������������������������������������������������
Credit card loans����������������������������������������������
Other loans to individuals��������������������������������
All other loans and leases (including farm)������������
Total loans and leases���������������������������������������������

1.96
5.45
1.22
1.24
2.64
1.62
1.75
6.07
10.08
2.05
0.62
2.54

0.71
3.37
0.64
0.94
0.84
0.42
1.47
0.87
3.85
0.83
0.00
0.77

1.00
3.57
0.68
0.92
0.75
0.64
1.59
1.42
7.20
1.04
0.58
1.08

1.81
6.07
1.30
1.39
1.25
1.02
1.57
2.44
7.11
0.98
0.78
1.79

2.25
5.96
1.47
1.27
2.89
1.90
1.80
6.49
10.18
2.24
0.62
2.92

1.16
5.50
0.99
0.81
0.87
0.81
2.75
9.69
11.31
4.26
0.36
3.57

2.56
6.34
1.44
1.71
3.69
1.80
1.32
4.09
9.16
1.54
0.44
2.42

2.15
6.35
1.62
1.40
1.99
2.00
1.74
2.62
7.53
1.33
0.89
2.02

1.86
3.95
0.81
0.80
3.56
1.56
1.83
7.96
12.45
1.82
0.65
2.88

1.28
3.35
0.72
1.26
1.56
0.94
1.09
1.87
3.76
0.97
0.59
1.27

2.24
6.25
1.53
1.45
2.46
2.43
1.70
3.62
5.73
2.24
0.65
2.28

Loans Outstanding (in billions)
All real estate loans�������������������������������������������������
Construction and development������������������������
Nonfarm nonresidential������������������������������������
Multifamily residential real estate��������������������
Home equity loans�������������������������������������������
Other 1-4 family residential������������������������������
Commercial and industrial loans����������������������������
Loans to individuals�������������������������������������������������
Credit card loans����������������������������������������������
Other loans to individuals��������������������������������
All other loans and leases (including farm)������������
Total loans and leases (plus unearned income)�����

$4,266.6
321.6
1,070.7
214.8
636.9
1,897.6
1,186.4
1,317.9
702.0
615.8
607.1
7,378.1

$61.8
4.5
18.4
1.9
2.0
26.7
11.5
6.2
0.1
6.1
9.8
89.3

$663.5
71.3
260.6
31.1
36.7
230.0
108.3
39.5
2.5
37.0
39.2
850.5

$668.4
74.5
271.1
43.1
48.6
219.0
135.6
73.2
19.0
54.1
33.0
910.2

$2,873.0
171.2
520.6
138.7
549.6
1,421.9
931.1
1,199.0
680.4
518.6
525.1
5,528.1

$825.0
47.0
224.5
61.4
89.7
396.6
182.2
405.0
317.9
87.2
92.7
1,505.0

$1,034.6
99.2
235.6
29.9
182.8
477.3
281.3
225.4
80.7
144.7
114.6
1,655.8

$824.9
52.0
193.7
63.1
159.4
341.9
243.6
182.9
40.7
142.2
152.4
1,403.8

$635.8
45.8
150.4
19.7
112.6
282.4
171.0
227.9
141.9
86.0
115.5
1,150.2

$346.6
48.7
124.5
9.5
23.4
128.3
91.1
45.4
15.7
29.7
23.3
506.4

$599.8
28.9
142.1
31.2
69.0
271.0
217.3
231.2
105.1
126.1
108.6
1,156.9

Memo: Other Real Estate Owned (in millions)
All other real estate owned��������������������������������������
Construction and development������������������������
Nonfarm nonresidential������������������������������������
Multifamily residential real estate��������������������
1-4 family residential����������������������������������������
Farmland�����������������������������������������������������������
GNMA properties���������������������������������������������

52,802.3
18,182.7
10,232.6
2,606.3
14,049.8
411.3
7,113.1

1,170.1
395.4
359.4
40.6
342.3
32.2
0.5

13,917.7
6,574.3
3,635.4
487.6
2,951.2
222.5
47.9

10,976.6
5,627.2
2,610.1
393.3
2,150.8
114.8
81.3

26,737.9
5,585.9
3,627.7
1,684.8
8,605.5
41.7
6,983.4

4,577.7
1,244.8
1,112.8
221.0
1,716.9
13.0
249.9

14,737.0
5,838.2
2,265.2
469.0
4,171.0
64.7
1,928.9

10,973.4
2,459.5
2,116.4
471.8
2,865.9
72.0
2,988.2

9,797.7
3,114.8
1,977.8
363.4
2,768.1
78.2
1,495.6

5,982.3
3,024.2
1,344.8
148.0
1,278.0
131.1
56.3

6,734.3
2,501.2
1,415.6
933.0
1,250.0
52.3
394.3

* See Table IV-A (page 9) for explanations.
** Noncurrent loan rates represent the percentage of loans in each category that are past due 90 days or more or that are in nonaccrual status.

FDIC Quarterly

11

2011, Volume 5, No. 1

TABLE VI-A. Derivatives, All FDIC-Insured Commercial Banks and State-Chartered Savings Banks
Asset Size Distribution
% Change
Less
$100
4th Quarter
09Q4than $100 Million to
2009
10Q4
Million
$1 Billion

$1 Billion
to $10
Greater than
Billion
$10 Billion

(dollar figures in millions;
4th Quarter 3rd Quarter 2nd Quarter 1st Quarter
notional amounts unless otherwise indicated)
2010
2010
2010
2010
ALL DERIVATIVE HOLDERS
Number of institutions reporting derivatives�����������������
1,167
1,207
1,158
1,148
1,129
Total assets of institutions reporting derivatives���������� $10,833,465 $10,888,637 $10,650,415 $10,746,074 $10,547,632
Total deposits of institutions reporting derivatives�������
7,544,151
7,402,157
7,248,575
7,281,782
7,341,133
Total derivatives������������������������������������������������������������� 232,211,601 236,386,429 225,427,590 218,715,022 215,449,008

3.4
2.7
2.8
7.8

95
$6,738
5,684
207

702
$287,915
234,414
19,995

290
$849,907
660,847
72,683

80
$9,688,905
6,643,206
232,118,716

Derivative Contracts by Underlying Risk Exposure
Interest rate�������������������������������������������������������������������� 193,499,288 196,549,809 188,613,987 182,641,534 181,454,493
Foreign exchange*�������������������������������������������������������� 22,002,926 22,531,799 20,245,402 19,202,392
17,299,787
Equity�����������������������������������������������������������������������������
1,363,760
1,679,128
1,615,062
1,570,974
1,685,227
Commodity & other (excluding credit derivatives)��������
1,195,150
1,153,316
1,076,212
941,687
978,922
Credit������������������������������������������������������������������������������ 14,150,478 14,472,378 13,876,928 14,358,435 14,030,580
Total�������������������������������������������������������������������������������� 232,211,601 236,386,429 225,427,590 218,715,022 215,449,008

6.6
27.2
-19.1
22.1
0.9
7.8

201
0
5
0
0
207

19,591
49
109
22
225
19,995

68,862
2,998
627
159
38
72,683

193,410,634
21,999,879
1,363,019
1,194,969
14,150,215
232,118,716

Derivative Contracts by Transaction Type
Swaps���������������������������������������������������������������������������� 149,258,058 146,953,909 141,420,345 136,333,735 139,137,539
Futures & forwards�������������������������������������������������������� 35,712,257 39,643,697 36,793,865
34,747,283 29,651,792
Purchased options���������������������������������������������������������
16,174,116
16,911,328 15,399,619 15,759,306 15,986,712
Written options��������������������������������������������������������������� 15,904,185
16,697,372 15,898,210 15,910,886 15,897,582
Total�������������������������������������������������������������������������������� 217,048,615 220,206,306 209,512,039 202,751,210 200,673,626

7.3
20.4
1.2
0.0
8.2

27
78
21
82
207

9,498
4,967
733
4,571
19,770

47,495
13,210
4,517
7,261
72,483

149,201,038
35,694,001
16,168,845
15,892,271
216,956,155

Fair Value of Derivative Contracts
Interest rate contracts���������������������������������������������������
Foreign exchange contracts������������������������������������������
Equity contracts�������������������������������������������������������������
Commodity & other (excluding credit derivatives)��������
Credit derivatives as guarantor�������������������������������������
Credit derivatives as beneficiary�����������������������������������

92,053
12,340
-2,126
-1,068
-68,238
82,769

107,170
-7,464
-1,777
-721
-131,313
150,796

98,102
-4,874
311
-503
-222,427
242,490

94,739
1,329
-849
1,064
-121,494
141,389

97,184
9,511
1,236
1,661
-161,114
189,531

-5.3
29.7
N/M
N/M
-57.6
-56.3

0
0
0
0
0
0

4
0
3
4
0
3

266
-3
7
2
1
-3

91,783
12,344
-2,136
-1,074
-68,239
82,769

Derivative Contracts by Maturity**
Interest rate contracts����������������������������� < 1 year
		
������������������������������������������ 1-5 years
		
������������������������������������������ > 5 years
Foreign exchange contracts������������������� < 1 year
		
������������������������������������������ 1-5 years
		
������������������������������������������ > 5 years
Equity contracts��������������������������������������� < 1 year
		
������������������������������������������ 1-5 years
		
������������������������������������������ > 5 years
Commodity & other contracts����������������� < 1 year
		
������������������������������������������ 1-5 years
		
������������������������������������������ > 5 years

90,842,744
33,496,837
24,306,848
14,467,374
2,432,756
1,289,279
296,198
190,861
84,629
382,507
239,847
26,176

90,918,718
35,138,751
24,550,151
13,362,678
2,582,310
1,431,627
352,002
217,579
86,713
311,897
241,288
33,836

89,000,799
33,347,773
23,099,484
11,959,585
2,356,096
1,306,940
326,743
205,295
80,595
324,203
207,019
30,459

84,010,725
33,334,968
24,121,171
11,092,119
2,440,019
1,329,332
320,739
220,454
84,000
287,660
177,250
31,220

81,236,262
33,970,247
26,373,563
10,416,223
2,448,723
1,345,678
312,066
227,854
81,647
261,429
223,654
34,250

11.8
-1.4
-7.8
38.9
-0.7
-4.2
-5.1
-16.2
3.7
46.3
7.2
-23.6

46
16
28
0
0
0
1
0
0
0
0
0

6,461
5,584
2,472
46
2
0
12
48
1
7
5
0

13,611
24,838
16,478
2,049
52
170
64
266
13
74
43
0

90,822,626
33,466,398
24,287,870
14,465,278
2,432,702
1,289,109
296,121
190,546
84,615
382,425
239,800
26,176

41.3
84.0

48.4
82.8

44.9
82.9

41.2
88.9

45.9
83.3

0.0
0.1

0.6
0.2

1.3
0.5

46.6
95.0

Risk-Based Capital: Credit Equivalent Amount
Total current exposure to tier 1 capital (%)�������������������
Total potential future exposure to tier 1 capital (%)������
Total exposure (credit equivalent amount)
to tier 1 capital (%)��������������������������������������������������

125.2

131.1

127.7

130.2

129.2

0.1

0.7

1.8

141.6

Credit losses on derivatives***����������������������������������

668.0

555.0

259.0

100.0

767.0

-12.9

0.0

0.0

44.0

624.0

HELD FOR TRADING
Number of institutions reporting derivatives�����������������
Total assets of institutions reporting derivatives����������
Total deposits of institutions reporting derivatives�������

196
8,969,145
6,279,418

200
9,001,853
6,139,846

189
8,882,957
6,078,628

195
8,949,291
6,095,318

197
8,873,915
6,145,572

-0.5
1.1
2.2

9
626
518

71
32,072
25,747

58
240,573
187,698

58
8,695,874
6,065,456

Derivative Contracts by Underlying Risk Exposure
Interest rate�������������������������������������������������������������������� 191,773,882 194,576,807 186,774,376 180,761,592 179,606,768
Foreign exchange���������������������������������������������������������� 20,853,441 20,699,946 18,086,768
17,462,757 16,439,507
Equity�����������������������������������������������������������������������������
1,357,525
1,672,913
1,608,817
1,563,707
1,677,767
Commodity & other��������������������������������������������������������
1,184,245
1,145,723
1,070,966
934,851
974,849
Total�������������������������������������������������������������������������������� 215,169,093 218,095,389 207,540,928 200,722,908 198,698,891

6.8
26.8
-19.1
21.5
8.3

14
0
0
0
14

1,354
0
0
0
1,354

15,315
2,092
126
71
17,605

191,757,199
20,851,349
1,357,398
1,184,174
215,150,120

104.7
181.8
132.6
N/M
77.3

0
0
0
0
0

0
0
0
0
0

66
2
-2
9
75

1,381
1,888
337
-242
3,365

0.0
0.0

0.0
0.0

2.5
32.2

2.9
28.5

Trading Revenues: Cash & Derivative Instruments
Interest rate��������������������������������������������������������������������
Foreign exchange����������������������������������������������������������
Equity�����������������������������������������������������������������������������
Commodity & other (including credit derivatives)��������
Total trading revenues���������������������������������������������������

1,447
1,891
335
-233
3,440

4,198
-1,066
371
574
4,077

155
4,299
378
1,878
6,710

304
3,906
965
3,004
8,178

707
671
144
417
1,940

Share of Revenue
Trading revenues to gross revenues (%)����������������������
Trading revenues to net operating revenues (%)����������

2.9
28.6

3.4
26.7

5.5
46.3

6.6
74.0

1.6
108.1

HELD FOR PURPOSES OTHER THAN TRADING
Number of institutions reporting derivatives�����������������
Total assets of institutions reporting derivatives����������
Total deposits of institutions reporting derivatives�������

1,055
10,473,165
7,330,160

1,085
10,535,161
7,198,569

1,045
10,261,893
7,015,215

1,032
10,324,307
7,035,314

1,008
10,191,444
7,098,321

4.7
2.8
3.3

86
6,112
5,166

639
260,500
212,378

254
728,957
563,976

76
9,477,597
6,548,639

Derivative Contracts by Underlying Risk
Exposure
Interest rate��������������������������������������������������������������������
Foreign exchange����������������������������������������������������������
Equity�����������������������������������������������������������������������������
Commodity & other��������������������������������������������������������
Total notional amount����������������������������������������������������

1,725,406
136,977
6,235
10,905
1,879,522

1,973,002
124,108
6,214
7,593
2,110,917

1,839,611
120,010
6,244
5,246
1,971,111

1,879,942
134,258
7,268
6,835
2,028,303

1,847,725
115,478
7,459
4,073
1,974,735

-6.6
18.6
-16.4
167.7
-4.8

187
0
5
0
192

18,237
49
108
22
18,416

53,547
743
501
88
54,879

1,653,435
136,185
5,620
10,795
1,806,035

All line items are reported on a quarterly basis. 
N/M - Not Meaningful
* Include spot foreign exchange contracts. All other references to foreign exchange contracts in which notional values or fair values are reported exclude spot foreign exchange contracts.
** Derivative contracts subject to the risk-based capital requirements for derivatives.
*** The reporting of credit losses on derivatives is applicable to all banks filing the FFIEC 031 report form and to those banks filing the FFIEC 041 report form that have $300 million or more
in total assets.

FDIC Quarterly

12

2011, Volume 5, No. 1

Quarterly Banking Profile
TABLE VII-A. Servicing, Securitization, and Asset Sales Activities (All FDIC-Insured Commercial Banks and State-Chartered
Savings Banks)
Asset Size Distribution

(dollar figures in millions)
Assets Sold and Securitized with Servicing Retained or with
Recourse or Other Seller-Provided Credit Enhancements

4th
Quarter
2010

Number of institutions reporting securitization activities�����������������������������������������
Outstanding Principal Balance by Asset Type
1-4 family residential loans��������������������������������������������������������������������������������
Home equity loans���������������������������������������������������������������������������������������������
Credit card receivables�������������������������������������������������������������������������������������
Auto loans����������������������������������������������������������������������������������������������������������
Other consumer loans���������������������������������������������������������������������������������������
Commercial and industrial loans�����������������������������������������������������������������������
All other loans, leases, and other assets*��������������������������������������������������������
Total securitized and sold������������������������������������������������������������������������������������������

$768,341
0
13,748
298
4,234
4,014
192,394
983,028

Maximum Credit Exposure by Asset Type
1-4 family residential loans��������������������������������������������������������������������������������
Home equity loans���������������������������������������������������������������������������������������������
Credit card receivables�������������������������������������������������������������������������������������
Auto loans����������������������������������������������������������������������������������������������������������
Other consumer loans���������������������������������������������������������������������������������������
Commercial and industrial loans�����������������������������������������������������������������������
All other loans, leases, and other assets����������������������������������������������������������
Total credit exposure�������������������������������������������������������������������������������������������������
Total unused liquidity commitments provided to institution's own securitizations���

4,683
0
609
5
185
9
439
5,930
208

4,834
0
574
6
207
16
1,142
6,779
211

5.8
0.0
1.1
1.6
3.8
0.0
1.1
4.8

Securitized Loans, Leases, and Other Assets 30-89 Days Past Due (%)
1-4 family residential loans��������������������������������������������������������������������������������
Home equity loans���������������������������������������������������������������������������������������������
Credit card receivables�������������������������������������������������������������������������������������
Auto loans����������������������������������������������������������������������������������������������������������
Other consumer loans���������������������������������������������������������������������������������������
Commercial and industrial loans�����������������������������������������������������������������������
All other loans, leases, and other assets����������������������������������������������������������
Total loans, leases, and other assets�����������������������������������������������������������������������
Securitized Loans, Leases, and Other Assets 90 Days or More Past Due (%)
1-4 family residential loans��������������������������������������������������������������������������������
Home equity loans���������������������������������������������������������������������������������������������
Credit card receivables�������������������������������������������������������������������������������������
Auto loans����������������������������������������������������������������������������������������������������������
Other consumer loans���������������������������������������������������������������������������������������
Commercial and industrial loans�����������������������������������������������������������������������
All other loans, leases, and other assets����������������������������������������������������������
Total loans, leases, and other assets�����������������������������������������������������������������������
Securitized Loans, Leases, and Other Assets Charged-off
(net, YTD, annualized, %)
1-4 family residential loans��������������������������������������������������������������������������������
Home equity loans���������������������������������������������������������������������������������������������
Credit card receivables�������������������������������������������������������������������������������������
Auto loans����������������������������������������������������������������������������������������������������������
Other consumer loans���������������������������������������������������������������������������������������
Commercial and industrial loans�����������������������������������������������������������������������
All other loans, leases, and other assets����������������������������������������������������������
Total loans, leases, and other assets�����������������������������������������������������������������������
Seller's Interests in Institution's Own Securitizations - Carried as Loans
Home equity loans���������������������������������������������������������������������������������������������
Credit card receivables�������������������������������������������������������������������������������������
Commercial and industrial loans�����������������������������������������������������������������������
Seller's Interests in Institution's Own Securitizations - Carried as Securities
Home equity loans���������������������������������������������������������������������������������������������
Credit card receivables�������������������������������������������������������������������������������������
Commercial and industrial loans�����������������������������������������������������������������������

Assets Sold with Recourse and Not Securitized

139

3rd
Quarter
2010
136

2nd
Quarter
2010

1st
Quarter
2010

4th
Quarter
2009

% Change Less than
$100
$1 Billion Greater
09Q4$100
Million to
to $10
than $10
10Q4
Million $1 Billion Billion
Billion

126

126

141

-1.4

21

69

21

28

$776,031 $774,791
0
0
14,320
15,452
329
486
4,333
5,021
7,339
3,796
210,204
206,675
1,012,556 1,006,221

$778,241
15
16,133
600
5,610
4,127
192,853
997,578

$784,748
5,947
363,486
7,182
24,692
7,649
198,835
1,392,540

-2.1
-100.0
-96.2
-95.9
-82.9
-47.5
-3.2
-29.4

$375
0
0
0
0
0
1
376

$699
0
781
0
0
10
38
1,528

$2,538
0
0
49
0
30
118
2,735

$764,728
0
12,967
249
4,234
3,973
192,238
978,388

4,953
0
664
6
245
94
248
6,210
166

5,166
14
730
6
237
95
257
6,506
162

5,868
1,023
134,193
637
1,410
225
287
143,643
387

-20.2
-100.0
-99.5
-99.2
-86.9
-96.0
53.0
-95.9
-46.3

2
0
0
0
0
0
0
2
1

46
0
220
0
0
0
4
269
0

55
0
0
5
0
0
0
60
1

4,580
0
389
0
185
9
435
5,599
207

6.0
0.0
1.2
1.4
3.4
0.0
1.5
5.0

5.7
0.0
1.5
1.2
3.7
0.2
2.6
5.0

6.0
0.0
1.5
1.2
3.3
0.3
2.2
5.1

6.8
1.3
2.7
2.3
3.9
2.3
3.5
5.2

3.4
0.0
0.0
0.0
0.0
0.0
0.0
3.4

0.1
0.0
2.4
0.0
0.0
16.4
0.0
1.4

2.2
0.0
0.0
1.3
0.0
0.0
0.1
2.1

5.8
0.0
1.0
1.6
3.8
0.0
1.1
4.8

10.1
0.0
0.5
0.3
2.9
0.0
7.3
9.4

11.5
0.0
0.5
0.3
2.9
0.0
9.8
10.9

11.8
0.0
0.7
0.2
2.7
0.1
8.5
10.9

13.1
0.0
0.8
0.3
2.7
0.1
7.5
11.7

12.2
2.0
3.0
0.2
3.6
1.0
4.3
8.3

2.4
0.0
0.0
0.0
0.0
0.0
55.2
2.5

0.1
0.0
3.2
0.0
0.0
0.0
0.0
1.7

3.9
0.0
0.0
0.1
0.0
0.0
0.8
3.6

10.2
0.0
0.4
0.4
2.9
0.0
7.4
9.4

1.2
0.0
7.9
1.4
1.8
0.0
0.4
1.1

0.9
0.0
6.2
0.9
1.4
0.0
0.2
0.9

0.6
0.0
4.2
0.4
0.9
0.0
0.0
0.6

0.3
0.0
2.2
0.3
0.4
0.0
0.0
0.3

1.5
1.8
10.2
2.5
1.0
13.9
0.1
3.6

0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0

0.0
0.0
11.4
0.0
0.0
0.0
0.0
5.8

0.0
0.0
0.0
0.2
0.0
0.0
0.0
0.0

1.2
0.0
7.6
1.6
1.8
0.0
0.4
1.1

0
7,350
2

0
6,073
2

0
5,088
3

0
4,831
4

316
62,235
894

-100.0
-88.2
-99.8

0
0
0

0
55
2

0
0
0

0
7,295
0

0
0
0

0
0
0

0
0
0

0
0
0

1
789
0

-100.0
-100.0
0.0

0
0
0

0
0
0

0
0
0

0
0
0

Number of institutions reporting asset sales����������������������������������������������������
Outstanding Principal Balance by Asset Type
1-4 family residential loans��������������������������������������������������������������������������������
Home equity, credit card receivables, auto, and other consumer loans���������
Commercial and industrial loans�����������������������������������������������������������������������
All other loans, leases, and other assets����������������������������������������������������������
Total sold and not securitized�����������������������������������������������������������������������������������

854

847

835

819

827

3.3

164

530

119

41

64,187
1,455
379
53,860
119,881

60,984
41
445
52,950
114,420

62,747
41
537
52,435
115,760

62,207
40
669
48,635
111,551

66,988
908
2,654
48,736
119,286

-4.2
60.2
-85.7
10.5
0.5

1,260
0
1
9
1,270

13,519
7
57
83
13,666

6,072
18
21
316
6,427

43,335
1,429
300
53,453
98,517

Maximum Credit Exposure by Asset Type
1-4 family residential loans��������������������������������������������������������������������������������
Home equity, credit card receivables, auto, and other consumer loans���������
Commercial and industrial loans�����������������������������������������������������������������������
All other loans, leases, and other assets����������������������������������������������������������
Total credit exposure�������������������������������������������������������������������������������������������������

15,609
132
90
13,115
28,947

14,996
20
77
12,899
27,991

14,196
21
77
12,749
27,043

13,705
21
62
10,429
24,217

16,536
100
1,934
10,391
28,961

-5.6
32.0
-95.3
26.2
0.0

168
0
1
3
173

2,218
4
46
59
2,327

3,537
3
21
10
3,571

9,686
125
22
13,043
22,877

Support for Securitization Facilities Sponsored by Other Institutions
Number of institutions reporting securitization facilities sponsored by others�������
Total credit exposure�������������������������������������������������������������������������������������������������

163
29,571

154
28,311

128
9,259

79
6,445

58
4,297

181.0
588.2

27
26

84
249

37
146

15
29,150

Total unused liquidity commitments�������������������������������������������������������������������������

514

504

418

846

545

-5.7

0

0

0

514

5,891,882 5,956,566 5,995,635

Other
Assets serviced for others**��������������������������������������������������������������������������������������
Asset-backed commercial paper conduits
Credit exposure to conduits sponsored by institutions and others������������������
Unused liquidity commitments to conduits sponsored by institutions
		
and others��������������������������������������������������������������������������������������������������
Net servicing income (for the quarter)����������������������������������������������������������������������
Net securitization income (for the quarter)���������������������������������������������������������������
Total credit exposure to Tier 1 capital (%)***������������������������������������������������������������

5,782,925

6,011,088

-3.8

4,443

86,185

10,009

11,649

10,699

10,653

15,953

-37.3

5

0

100,910 5,591,386
61

9,943

61,339

82,137

83,062

87,156

170,373

-64.0

0

0

1,222

60,117

4,657
150
5.5

3,097
164
5.4

3,576
156
3.7

5,164
13
3.3

6,876
1,615
15.9

-32.3
-90.7

36
1
1.20

155
5
2.30

242
10
2.70

4,225
135
6.50

* Line item titled “All other loans and all leases” for quarters prior to March 31, 2006.
** The amount of financial assets serviced for others, other than closed-end 1-4 family residential mortgages, is reported when these assets are greater than $10 million.
*** Total credit exposure includes the sum of the three line items titled “Total credit exposure” reported above.

FDIC Quarterly

13

2011, Volume 5, No. 1

TABLE VIII-A. Trust Services (All FDIC-Insured Institutions)
All Insured Institutions

(dollar figures in millions)
Number of institutions reporting������������������������������������������������
Number of institutions with fiduciary powers����������������������������
Commercial banks��������������������������������������������������������������
Savings institutions������������������������������������������������������������
Number of institutions exercising fiduciary powers������������������
Commercial banks��������������������������������������������������������������
Savings institutions������������������������������������������������������������
Number of institutions reporting fiduciary activity��������������������
Commercial banks��������������������������������������������������������������
Savings institutions������������������������������������������������������������
Fiduciary and related assets - managed assets
Personal trust and agency accounts����������������������������������������
Noninterest-bearing deposits*�������������������������������������������
Interest-bearing deposits*��������������������������������������������������
U.S. Treasury and U.S. government agency obligations*��
State, county and municipal obligations*��������������������������
Money market mutual funds*���������������������������������������������
Other short-term obligations*���������������������������������������������
Other notes and bonds*�����������������������������������������������������
Common and preferred stocks*�����������������������������������������
Real estate mortgages*������������������������������������������������������
Real estate*������������������������������������������������������������������������
Miscellaneous assets*�������������������������������������������������������
Employee benefit and retirement-related trust and
agency accounts: **
Employee benefit - defined contribution**�������������������������
Employee benefit - defined benefit**���������������������������������
Other employee benefit and retirement-related
		
accounts**�������������������������������������������������������������������
Corporate trust and agency accounts**������������������������������������
Investment management and investment advisory
agency accounts**�������������������������������������������������������������
Other fiduciary accounts**��������������������������������������������������������
Total managed fiduciary accounts:
Assets���������������������������������������������������������������������������������
Number of accounts�����������������������������������������������������������
Fiduciary and related assets - nonmanaged assets
Personal trust and agency accounts����������������������������������������
Employee benefit and retirement-related trust and
agency accounts:
Employee benefit - defined contribution����������������������������
Employee benefit - defined benefit������������������������������������
Other employee benefit and retirement-related accounts��
Corporate trust and agency accounts���������������������������������������
Other fiduciary accounts�����������������������������������������������������������
Total nonmanaged fiduciary accounts:
Assets���������������������������������������������������������������������������������
Number of accounts�����������������������������������������������������������
Custody and safekeeping accounts:
Assets���������������������������������������������������������������������������������
Number of accounts�����������������������������������������������������������
Fiduciary and related services income
Personal trust and agency accounts����������������������������������������
Retirement-related trust and agency accounts:
Employee benefit - defined contribution����������������������������
Employee benefit - defined benefit������������������������������������
Other employee benefit and retirement-related accounts��
Corporate trust and agency accounts���������������������������������������
Investment management agency accounts������������������������������
Other fiduciary accounts�����������������������������������������������������������
Custody and safekeeping accounts������������������������������������������
Other fiduciary and related services income����������������������������
Total gross fiduciary and related services income�������������������
Less: Expenses������������������������������������������������������������������
Less: Net losses from fiduciary and related services�������
Plus: Intracompany income credits for fiduciary and
		
related services�����������������������������������������������������������
Net fiduciary and related services income�������������������������������

Asset Size Distribution

Dec 31
2010
7,657
2,183
2,012
171
1,632
1,499
133
1,556
1,427
129

Dec 31
2009
8,012
2,243
2,063
180
1,675
1,534
141
1,593
1,456
137

Dec 31
2008
8,305
2,320
2,126
194
1,723
1,571
152
1,634
1,488
146

Dec 31
2007
8,534
2,410
2,216
194
1,785
1,633
152
1,695
1,552
143

% Change
2009-2010
-4.4
-2.7
-2.5
-5.0
-2.6
-2.3
-5.7
-2.3
-2.0
-5.8

Less
Than $100
Million
2,622
404
386
18
254
238
16
235
219
16

$100
$1 Billion
Greater
Million to
to
Than
$1 Billion
$10 Billion $10 Billion
4,368
560
107
1,365
338
76
1,273
285
68
92
53
8
1,027
283
68
959
241
61
68
42
7
981
274
66
916
233
59
65
41
7

620,727
7,356
27,460
112,932
191,758
102,875
221,933
382,693
2,051,666
4,477
41,095
90,761

611,854
4,705
27,687
115,292
197,910
156,309
236,104
412,098
2,062,207
2,263
42,314
105,653

616,799
16
11,909
26,760
65,278
56,914
9,722
23,322
348,324
1,565
36,045
37,113

800,662
-53
11,549
31,633
67,110
51,260
21,935
25,486
522,943
1,529
33,942
33,305

1.5
N/M
-0.8
-2.0
-3.1
-34.2
-6.0
-7.1
-0.5
97.8
-2.9
-14.1

9,210
22
365
1,621
1,939
1,852
54
1,757
163,445
26
754
19,943

60,597
770
5,509
6,903
11,673
6,610
112
12,384
117,071
298
6,602
7,772

67,793
63
6,017
18,259
24,257
14,018
2,522
14,982
131,960
384
4,598
6,929

483,126
6,500
15,569
86,149
153,888
80,395
219,245
353,570
1,639,191
3,770
29,140
56,117

368,116
612,512

364,923
679,194

283,179
691,568

328,898
1,060,288

0.9
-9.8

73,774
53,943

37,240
10,550

11,574
17,778

245,528
530,241

214,839

187,187

330,034

414,627

14.8

9,516

10,433

14,208

180,682

20,294

17,912

27,834

25,165

13.3

10

645

7,283

12,356

1,174,311
224,490

1,275,688
232,373

1,228,758
164,799

1,544,249
235,080

-7.9
-3.4

53,796
2,356

48,252
8,081

90,508
14,339

981,755
199,714

3,235,289
1,354,280

3,369,131
1,379,517

3,342,971
1,439,103

4,408,969
1,523,997

-4.0
-1.8

202,606
96,334

175,798
188,185

223,483
226,858

2,633,403
842,903

253,258

242,320

307,018

355,356

4.5

3,994

13,475

31,674

204,115

2,089,148
4,450,368
1,527,022
3,805,202
3,967,121

1,911,303
4,052,565
1,287,793
3,919,706
3,332,797

1,606,669
3,990,826
1,544,038
3,887,788
2,595,184

1,822,997
5,333,411
2,098,523
4,428,561
3,360,231

9.3
9.8
18.6
-2.9
19.0

713,411
8,381
698,920
1,726
2,779

25,124
33,341
12,315
13,350
17,872

132,008
68,640
52,328
568,669
24,710

1,218,605
4,340,005
763,459
3,221,457
3,921,760

16,092,119
13,183,957

14,746,484
14,686,535

13,931,523
18,671,945

17,399,080
16,446,703

9.1
-10.2

1,429,212
9,184,609

115,478
336,760

878,029
253,270

13,669,399
3,409,318

67,840,740
10,155,337

56,876,762
9,839,109

50,499,372
10,676,228

58,167,543
11,327,070

19.3
3.2

21,423
52,778

835,708
7,896,347

563,882
293,721

66,419,728
1,912,491

4,306

4,580

4,894

5,766

-6.0

67

285

455

3,498

1,129
1,461
974
1,730
4,748
2,044
8,188
2,071
26,817
20,077
242

1,176
1,450
991
2,080
4,136
1,851
6,920
2,308
25,690
19,243
574

1,095
1,997
1,004
2,529
4,450
2,161
8,337
3,272
30,017
20,564
944

1,183
1,803
1,036
2,439
4,155
2,151
8,165
2,424
29,281
20,587
364

-4.0
0.8
-1.7
-16.8
14.8
10.4
18.3
-10.3
4.4
4.3
-57.8

203
163
35
0
289
3
12
10
787
751
1

59
51
67
19
233
31
273
63
1,201
845
1

215
42
108
344
520
12
496
102
2,313
1,851
6

652
1,205
764
1,366
3,706
1,998
7,408
1,896
22,516
16,630
234

2,983
9,311

2,770
8,446

3,497
11,728

4,549
12,714

7.7
10.2

0
29

33
267

360
798

2,589
8,217

Collective investment funds and common trust funds
(market value)
Domestic equity funds��������������������������������������������������������
291,222
260,074
220,444
352,834
12.0
15,823
1,640
10,637
263,122
International/global equity funds���������������������������������������
128,949
110,116
94,391
182,128
17.1
7,647
3,925
2,992
114,386
Stock/bond blend funds�����������������������������������������������������
95,007
90,245
127,218
215,849
5.3
10,677
278
2,018
82,034
Taxable bond funds������������������������������������������������������������
199,794
171,755
159,443
160,339
16.3
8,956
45,979
3,832
141,027
Municipal bond funds���������������������������������������������������������
6,154
7,127
7,029
8,328
-13.7
51
430
674
5,000
Short-term investments/money market funds�������������������
213,954
251,756
249,266
336,721
-15.0
2,029
7,789
589
203,547
Specialty/other funds���������������������������������������������������������
89,392
95,044
97,791
121,568
-5.9
31,023
2,099
3,445
52,826
Total collective investment funds����������������������������������������������
1,024,472
986,117
955,583
1,377,767
3.9
76,204
62,139
24,186
861,942
* After 2008, includes personal trust and agency accounts, investment management agency accounts, employee benefit accounts, retirement-related accounts, and all other managed
asset accounts.
** After 2008, included in managed assets, above. 
N/M - Not Meaningful

FDIC Quarterly

14

2011, Volume 5, No. 1

Quarterly Banking Profile
INSURANCE FUND INDICATORS
■	
■	
■	
■	
■	

Insured Deposits Grow by 14.7 Percent Due Primarily to Temporary Change
in Coverage for Certain Deposits
DIF Reserve Ratio Rises Three Basis Points to -0.12 Percent
30 Institutions Fail during Fourth Quarter
Final Rule Adopted in December 2010 Sets the Designated Reserve Ratio
at 2 Percent
Final Rule Adopted in February 2011 Establishes a New Assessment Base,
Changes Assessment Rates and Deposit Insurance Fund Dividend Provisions,
and Revises Risk-Based Pricing for All Large Insured Depository Institutions

Total assets of the nation’s 7,657 FDIC-insured
commercial banks and savings institutions decreased by
0.4 percent ($51.8 billion) during fourth quarter 2010.
Total deposits increased by 1.6 percent ($149.3 billion),
domestic office deposits increased by 1.7 percent
($135.0 billion), and foreign office deposits increased
by 0.9 percent ($14.2 billion). Domestic noninterestbearing deposits increased by 5.1 percent ($81.8 billion)
and savings deposits and interest bearing checking
accounts increased by 4.1 percent ($167.2 billion),
while domestic time deposits decreased by 5.4 percent
($113.9 billion). For all of 2010, total domestic deposits
grew by 2.3 percent ($176.3 billion), with domestic
noninterest-bearing deposits rising by 8.8 percent
($136.9 billion) and domestic interest-bearing deposits
increasing by 0.6 percent ($39.4 billion).

increased during the quarter at 5,591 institutions (73
percent), decreased at 2,033 institutions (27 percent),
and remained unchanged at 30 institutions.
The DIF balance increased by $657 million during the
fourth quarter to -$7.4 billion (unaudited), the fourth
consecutive quarterly increase following seven quarters
of decline. The increased amount included $3.5 billion
from accrued assessment income and $87 million from
interest on securities and other revenue. Additional loss
provisions of $2.4 billion offset much of the boost to
the fund from revenue. Unrealized losses on availablefor-sale securities and operating expenses also reduced
the fund by $482 million.
The DIF’s reserve ratio was -0.12 percent on December
31, 2010, up from -0.15 percent at September 30, 2010,
and up from -0.39 percent one year earlier. Thirty
FDIC-insured institutions with combined assets of
$8.8 billion failed during fourth quarter 2010. For all
of 2010, 157 insured institutions with combined assets
of $92.1 billion failed.

The Dodd-Frank Wall Street Reform and Consumer
Protection Act (Dodd-Frank), enacted July 21, 2010,
provides temporary unlimited deposit insurance coverage
for noninterest-bearing transaction accounts from
December 31, 2010, through December 31, 2012, regardless of the balance in the account and the ownership
capacity of the funds. The unlimited coverage is available to all depositors, including consumers, businesses,
and government entities. The coverage is separate from,
and in addition to, the insurance coverage provided for
a depositor’s other accounts held at an FDIC-insured
bank. Beginning December 31, 2010, the entire balances
of noninterest-bearing transaction accounts will be
included in estimated insured deposits used to calculate
the Deposit Insurance Fund (DIF) reserve ratio.

Changes to Deposit Insurance Fund Management
and Risk-Based Assessments
On December 14, 2010, the FDIC Board of Directors
(Board) adopted a final rule increasing the Designated
Reserve Ratio (DRR) of the DIF to 2 percent of estimated insured deposits, using new authority provided by
Dodd-Frank. On February 7, 2011, the Board adopted a
final rule, effective April 1, 2011, that redefines the
deposit insurance assessment base as required by DoddFrank, changes assessment rates adjustments and DIF
dividend rules, finalizes new assessment rate schedules,
and revises the risk-based assessment system for large
insured depository institutions (generally, those institutions with at least $10 billion in total assets).

Primarily as a result of the coverage change, estimated
insured deposits at all FDIC-insured institutions
increased sharply—by $799.4 billion (14.7 percent)—
in fourth quarter 2010. For institutions existing at the
start and end of the fourth quarter, insured deposits

FDIC Quarterly

15

2011, Volume 5, No. 1

Designated Reserve Ratio
The FDIC must set a DRR each year. Dodd-Frank
raised the minimum DRR to 1.35 percent from 1.15
percent of estimated insured deposits. It also removed
the upper limit (formerly 1.5 percent) on the DRR. In
December 2010, the Board adopted a final rule setting
the DRR at 2 percent. The FDIC views this target as a
long-term minimum goal for the fund. An analysis
conducted by FDIC staff found that a 2 percent target
would significantly improve the chances that the FDIC
could maintain stable, moderate insurance assessment
rates through economic or banking cycles while also
maintaining a positive DIF balance even during a serious economic or banking downturn.

Table 1 compares the distribution of the current and
estimated new assessment bases by institution asset size,
using data as of December 31, 2010. The new assessment base, which will take effect April 1, 2011, will
require collection of some data not yet available. The
table therefore provides only an estimate of what the
assessment base would be if it were in effect as of
December 31, 2010.
Dodd-Frank requires that, for at least five years, the
FDIC must make available to the public the reserve
ratio and the DRR using both estimated insured
­deposits and the new assessment base. As explained
in the footnotes to Table 1, the new assessment base
will require some changes in reporting, so only an
­estimate is available at this time. As of December 31,
2010, the FDIC reserve ratio would have been -0.06
percent using the new assessment base (compared to
-0.12 percent using estimated insured deposits), and the
2 percent DRR based on estimated insured deposits
would have been 1.0 percent using the estimated new
assessment base.

Change in the Assessment Base
Dodd-Frank required the FDIC to amend its regulations to
define the assessment base as average consolidated total
assets minus average tangible equity, rather than total
domestic deposits (the assessment base, with minor adjustments, that has been in place since 1935). The final rule
requires that all insured depository institutions report average daily balances of consolidated total assets during the
quarter. However, existing institutions with assets of less
than $1 billion may report average weekly balances, unless
they choose to report daily averages. Once an institution
reports using daily averages, however, it would have to
continue to do so. Under the final rule, Tier 1 capital is
the measure for tangible equity. Institutions will report
the average of month-end balances of Tier 1 capital, but
existing institutions with less than $1 billion in average
consolidated total assets could report the end-of-quarter
amount of Tier 1 capital. As allowed by Dodd-Frank, the
final rule deducts low-risk, liquid assets from the assessment base for banker’s banks and custodial banks.1

Adjustments to Assessment Rates
The current assessment rate schedule incorporates
adjustments for types of funding that either pose heightened risk to the DIF or that help offset risk to the DIF.
Because the magnitude of these adjustments is calibrated to a domestic deposit assessment base, the final
rule recalibrates the unsecured debt and brokered
deposit adjustments, and eliminates the secured liability
adjustment.2 The final rule also adds a depository institution debt adjustment for institutions that hold the
long-term unsecured debt of other insured depository
The final rule changes the assessment rate reduction for long-term
unsecured liabilities so that the effect of the assessment system on
an institution’s cost of borrowing long-term unsecured debt will
remain unchanged. The final rule changes the cap on the adjustment
from 5 basis points to the lesser of 5 basis points or 50 percent of an
institution’s initial base assessment rate to ensure that no institution’s
assessment rate is zero or close to zero. In addition, the final rule
removes Qualified Tier 1 capital from the definition of long-term unsecured liabilities for small institutions, since it is already deducted from
the assessment base. The final rule also eliminates debt that is
redeemable within one year of the reporting date from qualifying as
long-term, since such a redemption option negates the benefit to the
DIF of long-term debt. The final rule retains the brokered deposit
adjustment of 25 basis points times the ratio of brokered deposits in
excess of 10 percent of domestic deposits to the new assessment
base. For small institutions, the adjustment would continue to apply
only to institutions in Risk Categories II, III, and IV. For large institutions, the final rule provides an exemption from the adjustment for
institutions that are well-capitalized and have a composite CAMELS
rating of 1 or 2. The final rule maintains the 10 basis points cap on the
brokered deposit adjustment.
2

A banker’s bank could deduct the sum of its average balances due from
Federal Reserve Banks (reserve balances) plus its average federal funds
sold. The amount of this deduction, however, could not exceed the sum
of the bank’s average deposit liabilities from commercial banks and other
depository institutions in the United States plus its average federal funds
purchased. Funds resulting from government capital infusion programs,
FDIC stock ownership, and employee compensation plan stock ownership will not disqualify a bank from being considered a banker’s bank.
The final rule defines a custodial bank as an insured depository institution having previous calendar year-end fiduciary account and custody
and safekeeping account assets of at least $50 billion or an insured
depository institution deriving at least 50 percent of its revenue from
fiduciary accounts and custody and safekeeping accounts over the previous calendar year. Low-risk assets would be assets with a Basel risk
weighting of 0 percent, regardless of maturity, plus 50 percent of those
assets with a Basel risk weighting of 20 percent, again regardless of
maturity, subject to the limitation that the value of these assets could not
exceed the daily or weekly average value of those deposits classified as
transaction accounts and identified by the institution as being directly
linked to a fiduciary or custody and safekeeping account.
1

FDIC Quarterly

16

2011, Volume 5, No. 1

Quarterly Banking Profile
Table 1: Distribution of the Assessment Base for FDIC-Insured Commercial Banks and Savings Institutions
by Asset Size ($ Billions)*
Data as of December 31, 2010

Asset Size
Less than $1 Billion
$1 - $10 Billion

Number of
Institutions

Current
Assessment
Base**

Percent of Total
Institutions

6,990

Percent of
Current Base

Estimated New
Assessment
Base***

Percent of
Estimated
New Base

91.3%

1,195

15.2%

1,305

10.7%
10.6%

560

7.3%

1,100

14.0%

1,298

$10 - $50 Billion

70

0.9%

896

11.4%

1,217

9.9%

$50 - $100 Billion

18

0.2%

763

9.7%

1,088

8.9%

19

0.2%

3,913

49.7%

7,331

59.9%

7,657

100.0%

7,867

100.0%

12,239

100.0%

Over $100 Billion
   Total

* Excludes ten insured U.S. branches of foreign banks.
** The current assessment base is derived from domestic deposits.
*** The estimates are derived from average quarterly assets as reported on the Call Report or Thrift Financial Report for December 31, 2010. Institutions currently report
their quarterly average assets as an average of either daily or weekly amounts. The estimates also rely on quarter-end Tier 1 capital as reported for December 31.
In addition, the estimated amounts do not account for the adjustments permitted for banker’s banks or custodial banks.

Table 2: Initial and Total Base Assessment Rates*
Risk
Category I
Initial base assessment rate

Risk
Category II

Risk
Category III

Risk
Category IV

Large and Highly Complex
Institutions

5–9

14

23

35

Unsecured debt adjustment**

-4.5–0

-5–0

-5–0

-5–0

5–35
-5–0

Brokered deposit adjustment

—

0–10

0–10

0–10

0–10

Total Base Assessment Rate

2.5–9

9–24

18–33

30–45

2.5–45

* Total base assessment rates do not include the depository institution debt adjustment.
** The unsecured debt adjustment could not exceed the lesser of 5 basis points or 50 percent of an institution’s initial base assessment rate (IBAR). Thus, for example,
an institution with an IBAR of 5 basis points would have a maximum unsecured debt adjustment of 2.5 basis points and could not have a total base assessment rate lower
than 2.5 basis points.

Assessment Rate Schedules
The final rule adopts the assessment rate schedules,
shown in Table 2 above. Initial and total base assessment rates become effective April 1, 2011.4

institutions above a certain threshold.3 These changes
should more accurately reflect the risk that these funding sources pose to the DIF.
Dividends
To increase the probability that the fund reserve ratio
will reach a level sufficient to withstand a future crisis,
the final rule suspends dividends indefinitely, consistent
with the FDIC’s long-term, comprehensive plan for
fund management. In lieu of dividends, the final rule
would adopt progressively lower assessment rate schedules when the reserve ratio exceeds 2 percent and 2.5
percent, as discussed below.

This rate schedule should result in approximately the
same assessment revenue that the FDIC would otherwise have collected using the assessment rate schedule
under the Restoration Plan adopted by the Board on
October 19, 2010.
Effective beginning the quarter after the fund reserve
ratio first meets or exceeds 1.15 percent, initial base
assessment rates would range from 3 basis points to 30
basis points. Under these rates, the average assessment
rate would approximately equal the long-term moderate, steady assessment rate—5.3 basis points—that

The final rule creates a new adjustment (the Depository Institution
Debt Adjustment) that applies a 50 basis point charge to every dollar
of long-term unsecured debt held by an insured depository institution
that was issued by another insured depository institution. This adjustment is intended to offset the benefit received by institutions that issue
long-term, unsecured liabilities when those liabilities are held by other
insured depository institutions, since the risk of this debt remains in
the banking system. Under the final rule, however, the FDIC will
exclude the first 3 percent of an institution’s Tier 1 capital from the
amount of debt reported when calculating the adjustment.
3

FDIC Quarterly

The final rule would allow the Board to adopt actual rates that are
higher or lower than total base assessment rates without the necessity
of further notice-and-comment rulemaking, provided that the Board
could not increase or decrease rates from one quarter to the next by
more than 2 basis points (down from 3 basis points in the current
rule), and cumulative increases and decreases could not be more than
2 basis points (down from 3 basis points in the current rule) higher or
lower than the total base assessment rates.
4

17

2011, Volume 5, No. 1

Large Bank Pricing
The final rule eliminates risk categories for large institutions.5 In addition, as required by Dodd-Frank, the final
rule no longer uses long-term debt issuer ratings to
calculate assessment rates for large institutions. The
new large bank pricing rule combines CAMELS ratings
and certain forward-looking financial measures into two
scorecards—one for most large institutions and another
for the remaining very large institutions that are structurally and operationally complex or that pose unique
challenges and risks in case of failure (highly complex
institutions).6 The FDIC retains its ability to take additional information into account to make a limited
adjustment to an institution’s total score (the large
bank adjustment), which will be used to determine an
institution’s initial base assessment rate.

would have been needed to maintain a positive fund
balance throughout past crises.
The final rule also sets out two assessment rate
­schedules that would take effect without further action
by the Board when the fund reserve ratio meets or
exceeds 2 percent and 2.5 percent. Historical analysis
by FDIC staff revealed that reducing the 5.3 basis point
weighted average assessment rate by 25 percent when
the reserve ratio reached 2 percent and by 50 percent
when the reserve ratio reached 2.5 percent would have
allowed the fund to remain positive during prior banking crises and would have successfully limited rate
volatility.

Author:

Kevin Brown, Sr. Financial Analyst
Division of Insurance and Research
(202) 898-6817

Generally, these are institutions with at least $10 billion in assets.
In general, a highly complex institution is an institution (other than a
credit card bank) with more than $50 billion in total assets that is
controlled by a parent or intermediate parent company with more than
$500 billion in total assets or a processing bank or trust company with
total fiduciary assets of $500 billion or more.
5
6

FDIC Quarterly

18

2011, Volume 5, No. 1

Quarterly Banking Profile
Table I-B. Insurance Fund Balances and Selected Indicators
Deposit Insurance Fund*
4th
3rd
2nd
1st
Quarter
Quarter
Quarter
Quarter
2009
2009
2009
2009
-$8,243
$10,368
$13,007
$17,276

4th
Quarter
2010
-$8,009

3rd
Quarter
2010
-$15,247

2nd
Quarter
2010
-$20,717

1st
Quarter
2010
-$20,862

3,498

3,592

3,242

3,278

3,042

39

40

64

62

0
452

0
414

0
382

0
345

2,446

-3,763

-2,552

48

94

-30
657

Ending Fund Balance�����������
Percent change from
four quarters earlier���������
Reserve Ratio (%)�����������������

(dollar figures in millions)
Beginning Fund Balance�����
Changes in Fund Balance:
Assessments earned��������������
Interest earned on
investment securities������
Realized gain on sale of
investments����������������������
Operating expenses���������������
Provision for insurance
losses�������������������������������
All other income,
net of expenses���������������
Unrealized gain/(loss) on
available-for-sale
securities�������������������������
Total fund balance change�����

Estimated Insured
Deposits**������������������������������
Percent change from
four quarters earlier���������
Domestic Deposits���������������
Percent change from
four quarters earlier���������

1st
Quarter
2008
$52,413

4th
Quarter
2007
$51,754

996

881

640

448

239

76

176

240

212

277

526

651

618

585

0
379

732
328

521
298

136
266

302
290

473
249

0
256

0
238

0
262

3,021

17,766

21,694

11,615

6,637

19,163

11,930

10,221

525

39

55

22

2,721

308

375

2

15

16

1

0

-2

163
7,238

-61
5,470

149
145

-313
-12,619

-770
-18,611

-957
-2,639

-331
-4,269

551
-17,312

-346
-10,629

1,559
-7,626

127
430

138
659

-7,352

-8,009

-15,247

-20,717

-20,862

-8,243

10,368

13,007

17,276

34,588

45,217

52,843

52,413

NM

NM

NM

NM

NM

NM

-77.07

-75.39

-67.04

-33.17

-11.73

4.13

4.48

-0.12

-0.15

-0.28

-0.38

-0.39

-0.16

0.22

0.27

0.36

0.76

1.01

1.19

1.22

6,221,127

5,421,701

5,437,753

5,472,251

5,407,733

5,315,912

4,817,784

4,831,749

4,750,783

4,545,198 4,468,087 4,438,256

4,292,211

15.04

1.99

12.87

13.26

13.83

16.96

7.83

8.87

10.68

7.13

5.50

4.55

3.33

7,887,730

7,753,382

7,681,261

7,702,420

7,705,329

7,561,309

7,561,998

7,546,999

7,505,409

7,230,328

7,036,267

7,076,719

6,921,678

2.37

2.54

1.58

2.06

2.66

4.58

7.47

6.65

8.43

7.15

5.04

5.58

4.24

7,667

7,771

7,840

7,944

8,022

8,109

8,205

8,257

8,315

8,394

8,462

8,505

8,545

Deposit Insurance Fund Balance
and Insured Deposits
($ Millions)

DIF Reserve Ratios

1.19
1.01
0.76

0.36

0.27

0.22
-0.16 -0.39 -0.38 -0.28 -0.15 -0.12

12/07

2nd
Quarter
2008
$52,843

9,095

Percent of Insured Deposits
1.22

3rd
Quarter
2008
$45,217

2,965

Number of institutions
reporting�������������������������

2,615

4th
Quarter
2008
$34,588

6/08

12/08

6/09

12/09

6/10

12/10

DIF
Balance

DIF-Insured
Deposits

12/07

$52,413

$4,292,211

3/08

52,843

4,438,256

6/08

45,217

4,468,087

9/08

34,588

4,545,198

12/08

17,276

4,750,783
4,831,749

3/09

13,007

6/09

10,368

4,817,784

9/09

-8,243

5,315,912

12/09

-20,862

5,407,733

3/10

-20,717

5,472,251

6/10

-15,247

5,437,753

9/10

-8,009

5,421,701

12/10

-7,352

6,221,127

Table II-B. Problem Institutions and Failed/Assisted Institutions
(dollar figures in millions)
Problem Institutions
Number of institutions������������������������������������������������
Total assets�����������������������������������������������������������������

2010
884
$390,017

2009

2008

702
$402,782

252
$159,405

2007
76
$22,189

2006
50
$8,265

2005
52
$6,607

2004
80
$28,250

Failed Institutions
0
0
Number of institutions������������������������������������������������
157
140
25
3
4
$0
$0
Total assets�����������������������������������������������������������������
$92,085
$169,709
$371,945
$2,615
$170
Assisted Institutions***
0
0
Number of institutions������������������������������������������������
0
8
5
0
0
0
0
$0
$1,917,482
$1,306,042
0
Total assets�����������������������������������������������������������������
0
* Quarterly financial statement results are unaudited.
NM - Not meaningful
** Beginning in the third quarter of 2009, estimates of insured deposits are based on a $250,000 general coverage limit. The Dodd-Frank Wall Street Reform and
Consumer Protection Act (Dodd-Frank) temporarily provides unlimited coverage for noninterest bearing transaction accounts for two years beginning December 31, 2010.
Beginning in the fourth quarter of 2010, estimates of insured deposits include the entire balance of noninterest bearing transaction accounts.
*** Assisted institutions represent five institutions under a single holding company that received assistance in 2008, and eight institutions under a different single holding company that
received assistance in 2009.

FDIC Quarterly

19

2011, Volume 5, No. 1

Table III-B. Estimated FDIC-Insured Deposits by Type of Institution
(dollar figures in millions)
Number of
Institutions

December 31, 2010
Commercial Banks and Savings Institutions

Total
Assets

Domestic
Deposits*

Est. Insured
Deposits

FDIC-Insured Commercial Banks�����������������������������������������������
		 FDIC-Supervised�������������������������������������������������������������������
		 OCC-Supervised��������������������������������������������������������������������
		 Federal Reserve-Supervised�������������������������������������������������

6,529
4,317
1,383
829

$12,067,603
1,938,319
8,432,251
1,697,034

$6,964,671
1,471,937
4,463,256
1,029,478

$5,396,467
1,196,616
3,415,813
784,038

FDIC-Insured Savings Institutions����������������������������������������������
		 OTS-Supervised Savings Institutions������������������������������������
		 FDIC-Supervised State Savings Banks���������������������������������

1,128
730
398

1,253,780
933,026
320,754

908,449
671,611
236,838

811,092
600,521
210,571

Total Commercial Banks and Savings Institutions����������������������

7,657

13,321,383

7,873,120

6,207,559

Other FDIC-Insured Institutions
U.S. Branches of Foreign Banks�������������������������������������������������

10

30,475

14,611

13,568

Total FDIC-Insured Institutions���������������������������������������������������� ..

7,667

13,351,857

7,887,730

6,221,127

* Excludes $1.5 trillion in foreign office deposits, which are uninsured.

Table IV-B. Distribution of Institutions and Domestic Deposits Among Risk Categories
Quarter Ending September 30, 2010
(dollar figures in billions)

Risk Category I

Risk Category II
Risk Category III
Risk Category IV

Annual
Rate in
Basis Points*
7.00-12.00
12.01- 14.00
14.01- 15.99
16.00-24.00
17.00-22.00
22.01-43.00
27.00-32.00
32.01-58.00
40.00-45.00
45.01-77.50

Number of
Institutions
1,813
1,502
1,784
364
1,196
244
538
149
137
44

Percent
of Total
Institutions
23.33
19.33
22.96
4.68
15.39
3.14
6.92
1.92
1.76
0.57

Domestic
Deposits
$715
1,669
1,909
432
2,276
452
172
74
42
13

Percent
of Total
Domestic
Deposits
9.22
21.52
24.62
5.57
29.35
5.83
2.22
0.95
0.54
0.17

Note: Institutions are categorized based on supervisory ratings, debt ratings and financial data as of September 30, 2010.
* See 12 CFR Part 327 for factors determining risk categories and risk based assessment rates.

FDIC Quarterly

20

2011, Volume 5, No. 1

Quarterly Banking Profile
TEMPORARY LIQUIDITY GUARANTEE PROGRAM
Debt Guarantee Program Ended October 31, 2009
■	 Transaction Account Guarantee Program Ended December 31, 2010
■	 All Noninterest-Bearing Transaction Deposit Accounts Insured under
Dodd-Frank Reform Bill
■	 $267 Billion Outstanding in Debt Guarantee Program
■	

A final rule extending the TAGP six months, to
June 30, 2010, was adopted on August 26, 2009. On
June 22, 2010, the Board adopted a final rule extending
the TAGP for another six months, through December
31, 2010.

FDIC Responds to Market Disruptions with TLGP
The FDIC Board of Directors (Board) approved the
Temporary Liquidity Guarantee Program (TLGP) on
October 13, 2008, as major disruptions in credit markets
blocked access to liquidity for financial institutions.1
The TLGP improved access to liquidity through two
programs: the Transaction Account Guarantee Program
(TAGP), which fully guarantees noninterest-bearing
transaction deposit accounts above $250,000, regardless
of dollar amount; and the Debt Guarantee Program
(DGP), which guarantees eligible senior unsecured debt
issued by eligible institutions.

Noninterest-Bearing Transaction Accounts Fully
Insured under Dodd-Frank Reform Bill
According to the Dodd-Frank Wall Street Reform
and Consumer Protection Act, noninterest-bearing
transaction accounts at all FDIC-insured institutions
will be fully insured for two years. This amendment
became effective on December 31, 2010. Coverage of
noninterest-bearing transaction accounts is separate
from the regular insurance limit of $250,000. Assessments for noninterest-bearing transaction accounts will
be included in the regular assessments for insured
institutions.3

All insured depository institutions were eligible to
participate in the TAGP. Institutions eligible to participate in the DGP were insured depository institutions,
U.S. bank holding companies, certain U.S. savings and
loan holding companies, and other affiliates of insured
depository institutions that the FDIC designated as
eligible entities.

Program Funded by Industry Fees and Assessments
The TLGP did not rely on taxpayer funding or the
Deposit Insurance Fund. Both the TAGP and the DGP
were paid for by direct user fees. As of March 31, 2010,
fees totaling $10.4 billion had been assessed under the
DGP. A total of $1.1 billion in fees had been collected
under the TAGP by December 31, 2010.

FDIC Extends Guarantee Programs
Although financial markets improved significantly in
the first half of 2009, portions of the industry were still
affected by the recent economic turmoil. To facilitate
the orderly phase-out of the TLGP, and to continue
access to FDIC guarantees where they were needed, the
Board extended both the DGP and TAGP.

A Majority of Eligible Entities Chose to Participate
in the TLGP

On March 17, 2009, the Board voted to extend the
deadline for issuance of guaranteed debt from June 30,
2009, to October 31, 2009, and to extend the expiration date of the guarantee to the earlier of maturity of
the debt or December 31, 2012, from June 30, 2012.
The Board adopted a final rule on October 20, 2009,
that allowed the DGP to expire on October 31, 2009.2

About 74 percent of FDIC-insured institutions opted in
to the TAGP extension through December 31, 2010.
More than half of all eligible entities opted in to the
DGP. Lists of institutions that opted out of the
­guarantee programs are posted at http://www.fdic.gov/
regulations/resources/TLGP/optout.html.

The FDIC invoked the systemic risk exception pursuant to section
141 of the Federal Deposit Improvement Act of 1991, 12 U.S.C
1823(c)(4) on October 13, 2008. For further information on the TLGP,
see http://www.fdic.gov/regulations/resources/TLGP/index.html.
2
See http://www.fdic.gov/regulations/laws/federal/2009/09final
AD37Oct23.pdf.
1

FDIC Quarterly

3

21

See http://www.fdic.gov/regulations/reform/summary.html.

2011, Volume 5, No. 1

Debt outstanding at December 31, 2010, had longer
terms at issuance, compared with debt outstanding at
year-end 2008. Over 90 percent matures more than two
years after issuance, compared with 39 percent at
December 31, 2008. Among types of debt instruments,
92 percent was in medium-term notes, compared with
44 percent at year-end 2008. The share of outstanding
debt in commercial paper fell to 0 percent from 43
percent at year-end 2008.

$114 Billion in Transaction Accounts over
$250,000 Guaranteed
According to fourth quarter 2010 Call and Thrift
Financial Reports, insured institutions participating in
the TAGP reported an average of 198,361 noninterestbearing transaction accounts over $250,000 during the
quarter. The average deposit balances in these accounts
totaled $164 billion, of which $114 billion was guaranteed under the TAGP. More than 5,100 FDIC-insured
institutions reported TAGP accounts.4

Author:

$267 Billion in FDIC-Guaranteed Debt Was
Outstanding at December 31, 2010

Katherine Wyatt
Chief, Financial Analysis Section
Division of Insurance and Research
(202) 898-6755

Sixty-six financial entities—39 insured depository institutions and 27 bank and thrift holding companies and
nonbank affiliates—had $267 billion in guaranteed debt
outstanding at the end of fourth quarter 2010. Some
banking groups issued FDIC-guaranteed debt at both
the subsidiary and holding company level, but most
guaranteed debt was issued by holding companies or
nonbank affiliates of depository institutions. Bank and
thrift holding companies and nonbank affiliates issued
85 percent of FDIC-guaranteed debt outstanding at
December 31, 2010.

Insured institutions participating in the TAGP reported the average
daily amount in TAGP accounts and the average daily number of TAGP
accounts in their September 30, 2010, and December 31, 2010, Call
and Thrift Financial Reports.
4

FDIC Quarterly

22

2011, Volume 5, No. 1

Quarterly Banking Profile
Table I-C. Participation in Temporary Liquidity Guarantee Program
December 31, 2010
Total Eligible Entities
Transaction Account Guarantee Program Extension to
December 31, 2010
Depository Institutions with Assets <= $10 Billion��������������������������������
7,558
Depository Institutions with Assets > $10 Billion����������������������������������
108
		 Total Depository Institutions*����������������������������������������������������������
7,666
Debt Guarantee Program
Depository Institutions with Assets <= $10 Billion��������������������������������
Depository Institutions with Assets > $10 Billion����������������������������������
		 Total Depository Institutions*����������������������������������������������������������
Bank and Thrift Holding Companies and Non-Insured Affiliates���������
		 All Entities����������������������������������������������������������������������������������������
* Depository institutions include insured branches of foreign banks (IBAs).

Number Opting In

7,558
108
7,666
5,992
13,658

Percent Opting In

5,631
33
5,664

74.5%
30.6%
73.9%

3,954
95
4,049
3,363
7,412

52.3%
88.0%
52.8%
56.1%
54.3%

Table II-C. Cap on FDIC-Guaranteed Debt for Opt-In Entities
December 31, 2010
(dollar figures in millions)
Depository Institutions with Assets
<= $10 Billion*������������������������������������
Depository Institutions with Assets
> $10 Billion*��������������������������������������
Bank and Thrift Holding
Companies, Noninsured Affiliates�����������
Total���������������������������������������������������������

Opt-In Depository Institutions
with no Senior Unsecured
Debt at 9/30/2008
2% Liabilities
as of
Number
9/30/2008

Opt-In Entities with Senior Unsecured
Debt Outstanding at 9/30/2008
Debt Amount
as of
Number
9/30/2008
Initial Cap

Total
Entities

Total Initial
Cap

109

$3,362

$4,203

3,845

$29,372

3,954

$33,574

39

269,228

336,535

56

23,320

95

359,855

81
229

397,714
670,305

497,143
837,881

3,282
7,183

N/A
52,692

3,363
7,412

497,143
890,572

* Depository institutions include insured branches of foreign banks (IBAs).

N/A - Not applicable

Table III-C. Transaction Account Guarantee Program
(dollar figures in millions)
Number of Noninterest-Bearing Transaction Accounts
over $250,000��������������������������������������������������������������
Amount in Noninterest-Bearing Transaction .Accounts
over $250,000��������������������������������������������������������������
Amount Guaranteed����������������������������������������������������������

Dec. 31,
2009

Mar. 31,
2010

June 30,
2010

Sep. 30,
2010*

Dec. 31,
2010*

% Change
10Q3-10Q4

687,854

308,911

320,164

183,533

198,361

8.1%

$1,006,463
$834,499

$355,492
$278,265

$344,473
$264,432

$155,200
$109,317

$163,837
$114,247

5.6%
4.5%

*Banks participating in TAGP reported daily averages for the amount in and number of noninterest-transaction accounts over $250,000 in their September 30 and
December 31, 2010, Call and Thrift Financial Reports.

Table IV-C. Debt Outstanding in Guarantee Program
December 31, 2010
(dollar figures in millions)
Insured Depository Institutions
Assets <= $10 Billion���������������������������������������������������������
Assets > $10 Billion�����������������������������������������������������������
Bank and Thrift Holding Companies, Noninsured Affiliates���
All Issuers�������������������������������������������������������������������������

Number

Debt Outstanding
27
12
27
66

$1,586
37,566
227,915
267,066

Cap* for Group

Debt Outstanding
Share of Cap

$1,665
106,317
386,223
494,205

95.3%
35.3%
59.0%
54.0%

* The amount of FDIC-guaranteed debt that can be issued by each eligible entity, or its “cap,” is based on the amount of senior unsecured debt outstanding as of
­September 30, 2008. The cap for a depository institution with no senior unsecured debt outstanding at September 30, 2008, is set at 2 percent of total liabilities.
See http://www2.fdic.gov/qbp/2008dec/tlgp2c.html for more information.

FDIC Quarterly

23

2011, Volume 5, No. 1

Table V-C. Fees Assessed Under TLGP
(dollar figures in millions)
Fourth Quarter 2008���������������������������������������������������
First Quarter 2009������������������������������������������������������
Second Quarter 2009�������������������������������������������������
Third Quarter 2009�����������������������������������������������������
Fourth Quarter 2009���������������������������������������������������
First Quarter 2010**����������������������������������������������������
Second Quarter 2010�������������������������������������������������
Third Quarter 2010������������������������������������������������������
Fourth Quarter 2010���������������������������������������������������
Total����������������������������������������������������������������������

Debt Guarantee Program
Total Fees Assessed
Surcharges
Total Fee Amount
$3,437
$3,437
3,433
3,433
1,413
385
1,797
691
280
971
503
207
709
14
14

$9,491

$872

Transaction Account
Guarantee Program*
Fees Collected
90
179
182
188
207
115
111
48
$1,120

$10,363

* Prorated payment in arrears
** A review of data systems led us to recognize a nominal fee amount that had been dropped in error from previously reported amounts.

Table VI-C. Term at Issuance of Debt Instruments Outstanding
December 31, 2010
(dollar figures in millions)
Term at Issuance
90 days or less��������������������������������������
91-180 days�������������������������������������������
181-364 days�����������������������������������������
1-2 years�����������������������������������������������
Over 2-3 years��������������������������������������
Over 3 years������������������������������������������
Total������������������������������������������������
Share of Total����������������������������������������

FDIC Quarterly

Interbank
Other
Commercial Eurodollar
Medium
Interbank
Paper
Deposits Term Notes Deposits
$0
0
0
0
0
0
0
0.0%

$0
0
0
0
0
0
0
0.0%

$0
0
0
24,400
80,447
139,982
244,829
91.7%

24

$0
0
0
0
0
4
4
0.0%

Other
Senior
Unsecured
Other
Debt
Term Note
$0
0
0
0
3,352
3,713
7,064
2.6%

$0
0
0
16
6,002
9,151
15,170
5.7%

All Debt
$0
0
0
24,416
89,801
152,849
267,066

Share
by Term
0.0%
0.0%
0.0%
9.1%
33.6%
57.2%

2011, Volume 5, No. 1

Quarterly Banking Profile

Notes to Users

periods, divided by the total number of periods). For “poolingof-interest” mergers, the assets of the acquired institution(s)
are included in average assets since the year-to-date income
includes the results of all merged institutions. No adjustments
are made for “purchase accounting” mergers. Growth rates
represent the percentage change over a 12-month period in
totals for institutions in the base period to totals for institutions in the current period.
All data are collected and presented based on the location of
each reporting institution’s main office. Reported data may
include assets and liabilities located outside of the reporting
institution’s home state. In addition, institutions may relocate
across state lines or change their charters, resulting in an
inter-regional or inter-industry migration, e.g., institutions
can move their home offices between regions, and savings
institutions can convert to commercial banks or commercial
banks may convert to savings institutions.

This publication contains financial data and other information
for depository institutions insured by the Federal Deposit Insur­
ance Corporation (FDIC). These notes are an integral part of
this publication and provide information regarding the com­
parability of source data and reporting differences over time.

Tables I-A through VIII-A.
The information presented in Tables I-A through V-A of the
FDIC Quarterly Banking Profile is aggregated for all FDICinsured institutions, both commercial banks and savings institutions. Tables VI-A (Derivatives) and VII-A (Servicing,
Securitization, and Asset Sales Activities) aggregate information only for insured commercial banks and state-chartered
savings banks that file quarterly Call Reports. Table VIII-A
(Trust Services) aggregates Trust asset and income information collected annually from all FDIC-insured institutions.
Some tables are arrayed by groups of FDIC-insured institutions based on predominant types of asset concentration,
while other tables aggregate institutions by asset size and
­geographic region. Quarterly and full-year data are provided
for selected indicators, including aggregate condition and
income data, performance ratios, condition ratios, and structural changes, as well as past due, noncurrent, and charge-off
information for loans outstanding and other assets.

ACCOUNTING CHANGES

Extended Net Operating Loss Carryback Period – The Worker,
Home­ownership, and Business Assistance Act of 2009, which
was enacted on November 6, 2009, permits banks and other
businesses, excluding those banking organizations that received
capital from the U.S. Treasury under the Troubled Asset Relief
Program, to elect a net operating loss carryback period of
three, four, or five years instead of the usual carryback period
of two years for any one tax year ending after December 31,
2007, and beginning before January 1, 2010. For calendar year
banks, this extended carryback period applies to either the
2008 or 2009 tax year. The amount of the net operating loss
that can be carried back to the fifth carryback year is limited
to 50 percent of the available taxable income for that fifth
year, but this limit does not apply to other carryback years.
Under generally accepted accounting principles, banks may
not record the effects of this tax change in their balance
sheets and income statements for financial and regulatory
reporting purposes until the period in which the law was
enacted, i.e., the fourth quarter of 2009. Therefore, banks
should recognize the effects of this fourth quarter 2009 tax
law change on their current and deferred tax assets and liabilities, including valuation allowances for deferred tax assets, in
their Call Reports for December 31, 2009. Banks should not
amend their Call Reports for prior quarters for the effects of
the extended net operating loss carryback period.
The American Recovery and Reinvestment Act of 2009,
which was enacted on February 17, 2009, permits qualifying
small businesses, including FDIC-insured institutions, to elect
a net operating loss carryback period of three, four, or five
years instead of the usual carryback period of two years for any
tax year ending in 2008 or, at the small business’s election,
any tax year beginning in 2008. Under generally accepted
accounting principles, institutions may not record the effect of
this tax change in their balance sheets and income statements
for financial and regulatory reporting purposes until the period
in which the law was enacted, i.e., the first quarter of 2009.
Troubled Debt Restructurings – Many institutions are restructuring or modifying the terms of loans to provide payment relief
for those borrowers who have suffered deterioration in their
financial condition. Such loan restructurings may include, but
are not limited to, reductions in principal or accrued interest,
reductions in interest rates, and extensions of the maturity
date. Modifications may be executed at the original contractu-

Tables I-B through IV-B.
A separate set of tables (Tables I-B through IV-B) provides
comparative quarterly data related to the Deposit Insurance
Fund (DIF), problem institutions, failed/assisted institutions,
estimated FDIC-insured deposits, as well as assessment rate
information. Depository institutions that are not insured by
the FDIC through the DIF are not included in the FDIC
Quarterly Banking Profile. U.S. branches of institutions headquartered in foreign countries and non-deposit trust companies
are not included unless otherwise indicated. Efforts are made
to obtain financial reports for all active institutions. However,
in some cases, final financial reports are not available for institutions that have closed or converted their charters.

DATA SOURCES
The financial information appearing in this publication is
obtained primarily from the Federal Financial Institutions
Examination Council (FFIEC) Consolidated Reports of
Condition and Income (Call Reports) and the OTS Thrift
Financial Reports submitted by all FDIC-insured depository
institutions. This information is stored on and retrieved from
the FDIC’s Research Information System (RIS) data base.

COMPUTATION METHODOLOGY
Parent institutions are required to file consolidated reports,
while their subsidiary financial institutions are still required
to file separate reports. Data from subsidiary institution
reports are included in the Quarterly Banking Profile tables,
which can lead to double-counting. No adjustments are made
for any double-counting of subsidiary data. Additionally, certain adjustments are made to the OTS Thrift Financial Reports
to provide closer conformance with the reporting and
accounting requirements of the FFIEC Call Reports.
All asset and liability figures used in calculating performance
ratios represent average amounts for the period (beginning-ofperiod amount plus end-of-period amount plus any interim
FDIC Quarterly

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2011, Volume 5, No. 1

al interest rate on the loan, a current market interest rate, or a
below-market interest rate. Many of these loan modifications
meet the definition of a troubled debt restructuring (TDR).
The TDR accounting and reporting standards are set forth in
ASC Subtopic 310-40, Receivables—Troubled Debt
Restructurings by Creditors (formerly FASB Statement No.
15, “Accounting by Debtors and Creditors for Troubled Debt
Restructurings,” as amended). This guidance specifies that a
restructuring of a debt constitutes a TDR if, at the date of
restructuring, the creditor for economic or legal reasons related to a debtor’s financial difficulties grants a concession to
the debtor that it would not otherwise consider.
In the Call Report, until a loan that is a TDR is paid in full
or otherwise settled, sold, or charged off, it must be reported
in the appropriate loan category, as well as identified as a performing TDR loan, if it is in compliance with its modified
terms. If a TDR is not in compliance with its modified terms,
it is reported as a past due and nonaccrual loan in the appropriate loan category, as well as distinguished from other past
due and nonaccrual loans. To be considered in compliance
with its modified terms, a loan that is a TDR must not be in
nonaccrual status and must be current or less than 30 days
past due on its contractual principal and interest payments
under the modified repayment terms. A loan restructured in a
TDR is an impaired loan. Thus, all TDRs must be measured
for impairment in accordance with ASC Subtopic 310-10,
Receivables—Overall (formerly FASB Statement No. 114,
“Accounting by Creditors for Impairment of a Loan,” as amended), and the Call report Glossary entry for “Loan Impairment.”
Accounting for Loan Participations – Amended ASC Topic 860
(formerly FAS 166) modified the criteria that must be met in
order for a transfer of a portion of a financial asset, such as a
loan participation, to qualify for sale accounting. These
­changes apply to transfers of loan participations on or after the
effective date of amended ASC Topic 860 (discussed above),
including advances under lines of credit that are transferred
on or after the effective date of amended ASC Topic 860 even
if the line of credit agreements were entered into before this
effective date. Therefore, banks with a calendar year fiscal year
must account for transfers of loan participations on or after
January 1, 2010, in accordance with amended ASC Topic
860. In general, loan participations transferred before the
effective date of amended ASC Topic 860 (January 1, 2010,
for calendar year banks) are not affected by this new accounting standard. Therefore, loan participations transferred before
the effective date of amended ASC Topic 860 that were
­properly accounted for as sales under former FASB Statement
No. 140 will continue to be reported as having been sold.
Under amended ASC Topic 860, if a transfer of a portion of
an entire financial asset meets the definition of a “participating interest,” then the transferor (normally the lead lender)
must evaluate whether the transfer meets all of the conditions
in this accounting standard to qualify for sale accounting.
Other-Than-Temporary Impairment – When the fair value of an
investment in a debt or equity security is less than its cost
basis, the impairment is either temporary or other-than-­
temporary. To determine whether the impairment is otherthan-temporary, an institution must apply other pertinent
guidance in ASC Topic 320 , Investments-Debt and Equity
Securities—Overall; ASC Subtopic 325-20, InvestmentsOther—Cost Method Investments; and ASC Subtopic 32540, Investments-Other—Beneficial Interests in Securitized
FDIC Quarterly

Financial Assets (formerly paragraph 16 of FASB Statement
No. 115, Accounting for Certain Investments in Debt and Equity
Securities); FASB Staff Position (FSP) FAS 115-1 and FAS
124-1, The Meaning of Other-Than-Temporary Impairment and
Its Application to Certain Investments; FSP FAS 115‑2 and FAS
124-2, Recognition and Presentation of Other-Than-Temporary
Impairments; paragraph 6 of Accounting Principles Board
Opinion No. 18, The Equity Method of Accounting for
Investments in Common Stock; Emerging Issues Task Force
(EITF) Issue No. 99-20, Recognition of Interest Income and
Impairment on Purchased Beneficial Interests and Beneficial
Interests That Continue to Be Held by a Transferor in Securitized
Financial Assets; and FSP EITF 99-20-1, Amendments to the
Impairment Guidance of EITF Issue No. 99-20. Under ASC
Topic 320, if an institution intends to sell a debt security or it
is more likely than not that it will be required to sell the debt
security before recovery of its amortized cost basis, an otherthan-temporary impairment has occurred and the entire difference between the security’s amortized cost basis and its fair
value at the balance sheet date must be recognized in earnings. In these cases, the fair value of the debt security would
become its new amortized cost basis. In addition, under ASC
Topic 320, if the present value of cash flows expected to be
collected on a debt security is less than its amortized cost
basis, a credit loss exists. In this situation, if an institution
does not intend to sell the security and it is not more likely
than not that the institution will be required to sell the debt
security before recovery of its amortized cost basis less any
current-period credit loss, an other-than-temporary impairment has occurred. The amount of the total other-than-­
temporary impairment related to the credit loss must be
recognized in earnings, but the amount of the total impairment related to other factors must be recognized in other
comprehensive income, net of applicable taxes.
ASC Topic 805 (formerly Business Combinations and Noncontrolling
(Minority) Interests) – In December 2007, the FASB issued
Statement No. 141 (Revised), Business Combinations FAS
141(R)), and Statement No. 160, Noncontrolling Interests in
Consolidated Financial Statements (FAS 160). Under FAS
141(R), all business combinations, including combinations of
mutual entities, are to be accounted for by applying the acquisition method. FAS 160 defines a noncontrolling interest, also
called a minority interest, as the portion of equity in an institution’s subsidiary not attributable, directly or indirectly, to the
parent institution. FAS 160 requires an institution to clearly
present in its consolidated financial statements the equity
ownership in and results of its subsidiaries that are attributable
to the noncontrolling ownership interests in these subsidiaries.
FAS 141(R) applies prospectively to business combinations for
which the acquisition date is on or after the beginning of the
first annual reporting period beginning on or after December
15, 2008. Similarly, FAS 160 is effective for fiscal years beginning on or after December 15, 2008. Thus, for institutions
with calendar year fiscal years, these two accounting standards
take effect in 2009. Beginning in March 2009, Institution
equity capital and Noncontrolling interests are separately
reported in arriving at Total equity capital and Net income.
ASC Topic 820 (formerly FASB Statement No. 157 Fair Value
Measurements issued in September 2006) and ASC Topic 825
­(formerly FASB Statement No. 159 The Fair Value Option for
Financial Assets and Financial Liabilities) issued in February 2007 –
both are effective in 2008 with early adoption permitted in
2007. FAS 157 defines fair value and establishes a framework
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2011, Volume 5, No. 1

Quarterly Banking Profile
for developing fair value estimates for the fair value measurements that are already required or permitted under other
­standards. FASB FSP 157-4, issued in April 2009, provides
additional guidance for estimating fair value in accordance
with FAS 157 when the volume and level of activity for the
asset or ­liability have significantly decreased. The FSP also
includes guidance on identifying circumstances that indicate a
transaction is not orderly. The FSP is effective for interim and
annual reporting periods ending after June 15, 2009, with early
adoption permitted for periods ending after March 15, 2009.
Fair value continues to be used for derivatives, trading securities, and available-for-sale securities. Changes in fair value go
through earnings for trading securities and most derivatives.
Changes in the fair value of available-for-sale securities are
reported in other comprehensive income. Available-for-sale
securities and held-to-maturity debt securities are written down
to fair value if impairment is other than temporary and loans
held for sale are reported at the lower of cost or fair value.
FAS 159 allows institutions to report certain financial assets
and liabilities at fair value with subsequent changes in fair
value included in earnings. In general, an institution may
elect the fair value option for an eligible financial asset or liability when it first recognizes the instrument on its balance
sheet or enters into an eligible firm commitment.
ASC Topic 715 (formerly FASB Statement No. 158 Employers’
Accounting for Defined Benefit Pension and Other Postretirement
Plans) – issued in September 2006 requires a bank to recognize
in 2007, and subsequently, the funded status of its postretirement plans on its balance sheet. An overfunded plan is recognized as an asset and an underfunded plan is recognized as a
liability. An adjustment is made to equity as accumulated
other comprehensive income (AOCI) upon application of
FAS 158, and AOCI is adjusted in subsequent periods as net
periodic benefit costs are recognized in earnings.
ASC Topic 860 (formerly FASB Statement No. 156 Accounting for
Servicing of Financial Assets) – issued in March 2006 and effective in 2007, requires all separately recognized servicing assets
and liabilities to be initially measured at fair value and allows
a bank the option to subsequently adjust that value by periodic revaluation and recognition of earnings or by periodic
amortization to earnings.
ASC Topic 815 (formerly FASB Statement No. 155 Accounting for
Certain Hybrid Financial Instruments) – issued in February 2006,
requires bifurcation of certain derivatives embedded in interests in securitized financial assets and permits fair value measurement (i.e., a fair value option) for any hybrid financial
instrument that contains an embedded derivative that would
otherwise require bifurcation under FASB Statement No. 133,
Accounting for Derivative Instruments and Hedging Activities
(FAS 133). In addition, FAS 155 clarifies which interest-only
and principal-only strips are not subject to FAS 133.
Purchased Impaired Loans and Debt Securities – ASC Topic 310
(formerly Statement of Position 03-3, Accounting for Certain Loans
or Debt Securities Acquired in a Transfer) – The SOP applies to
loans and debt securities acquired in fiscal years beginning
after December 15, 2004. In general, this Statement of
Position applies to “purchased impaired loans and debt securities” (i.e., loans and debt securities that a bank has purchased,
including those acquired in a purchase business combination,
when it is probable, at the purchase date, that the bank will
be unable to collect all contractually required payments
receivable). Banks must follow Statement of Position 03-3 for
FDIC Quarterly

Call Report purposes. The SOP does not apply to the loans
that a bank has originated, prohibits “carrying over” or creation of valuation allowances in the initial accounting, and
any subsequent valuation allowances reflect only those losses
incurred by the investor after acquisition.
GNMA Buy-back Option – If an issuer of GNMA securities has the
option to buy back the loans that collateralize the GNMA securities, when certain delinquency criteria are met, ASC Topic
860 (formerly FASB Statement No. 140) requires that loans
with this buy-back option must be brought back on the issuer’s
books as assets. The rebooking of GNMA loans is required
regardless of whether the issuer intends to exercise the buy-back
option. The banking agencies clarified in May 2005 that all
GNMA loans that are rebooked because of delinquency should
be reported as past due according to their contractual terms.
ASC Topics 860 & 810 (formerly FASB Statements 166 & 167) –
In June 2009, the FASB issued Statement No. 166,
Accounting for Transfers of Financial Assets (FAS 166), and
Statement No. 167, Amendments to FASB Interpretation No.
46(R) (FAS 167), which change the way entities account for
securitizations and special purpose entities. FAS 166 revised
FASB Statement No. 140, Accounting for Transfers and
Servicing of Financial Assets and Extinguishments of Liabilities, by
eliminating the concept of a “qualifying special-purpose entity,” creating the concept of a “participating interest,” changing the requirements for derecognizing financial assets, and
requiring additional disclosures. FAS 167 revised FASB
Interpretation No. 46(R), Consolidation of Variable Interest
Entities, by changing how a bank or other company determines when an entity that is insufficiently capitalized or is
not controlled through voting or similar rights, i.e., a “variable interest entity” (VIE), should be consolidated. Under
FAS 167, a bank must perform a qualitative assessment to
determine whether its variable interest or interests give it a
controlling financial interest in a VIE. If a bank’s variable
interest or interests provide it with the power to direct the
most significant activities of the VIE, and the right to receive
benefits or the obligation to absorb losses that could potentially be significant to the VIE, the bank is the primary beneficiary of, and therefore must consolidate, the VIE.
Both FAS 166 and FAS 167 take effect as of the beginning of
each bank’s first annual reporting period that begins after
November 15, 2009, for interim periods therein, and for interim and annual reporting periods thereafter (i.e., as of January
1, 2010, for banks with a calendar year fiscal year). Earlier
application is prohibited. Banks are expected to adopt FAS
166 and FAS 167 for Call Report purposes in accordance with
the effective date of these two standards. Also, FAS 166 has
modified the criteria that must be met in order for a transfer of
a portion of a financial asset, such as a loan participation, to
qualify for sale accounting. These changes apply to transfers of
loan participations on or after the effective date of FAS 166.
Therefore, banks with a calendar year fiscal year must account
for transfers of loan participations on or after January 1, 2010,
in accordance with FAS 166. In general, loan participations
transferred before the effective date of FAS 166 (January 1,
2010, for calendar year banks) are not affected by this new
accounting standard and pre-FAS 166 participations that
were properly accounted for as sales under FASB Statement
No. 140 will continue to be reported as having been sold.
ASC Topic 740 (formerly FASB Interpretation No. 48 on Uncertain
Tax Positions) – FASB Interpretation No. 48, Accounting for
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2011, Volume 5, No. 1

Uncertainty in Income Taxes (FIN 48), was issued in June 2006
as an interpretation of FASB Statement No. 109, Accounting
for Income Taxes. Under FIN 48, the term “tax position” refers
to “a position in a previously filed tax return or a position
expected to be taken in a future tax return that is reflected in
measuring current or deferred income tax assets and liabilities.” FIN 48 further states that a “tax position can result in
a permanent reduction of income taxes payable, a deferral of
income taxes otherwise currently payable to future years, or
a change in the expected realizability of deferred tax assets.”
FIN 48 was originally issued effective for fiscal years beginning after December 15, 2006. Banks must adopt FIN 48 for
Call Report purposes in accordance with the interpretation’s
effective date except as follows. On December 31, 2008, the
FASB decided to defer the effective date of FIN 48 for eligible nonpublic enterprises and to require those enterprises to
adopt FIN 48 for annual periods beginning after December
15, 2008. A nonpublic enterprise under certain conditions is
eligible for deferral, even if it opted to issue interim or quarterly financial information in 2007 under earlier guidance
that reflected the adoption of FIN 48.
ASC Topic 718 (formerly FASB Statement No. 123 (Revised 2004)
and Share-Based Payments – refer to previously published
Quarterly Banking Profile notes: http://www2.fdic.gov/qbp/
2008dec/qbpnot.html
ASC Topic 815 (formerly FASB Statement No. 133 Accounting for
Derivative Instruments and Hedging Activities) – refer to previously published Quarterly Banking Profile notes: http://www2.fdic.
gov/qbp/2008dec/qbpnot.html
Accounting Standards Codification – In June 2009, the FASB
issued Statement No. 168, The FASB Accounting Standards
CodificationTM and the Hierarchy of Generally Accepted
Accounting Principles (FAS 168), to establish the FASB
Codification as the single source of authoritative nongovernmental U.S. generally accepted accounting principles (U.S.
GAAP). The FASB Codification reorganizes existing U.S.
accounting and reporting standards issued by the FASB and
other related private-sector standard setters, and all guidance
contained in the FASB Codification carries an equal level of
authority. All previously existing accounting standards documents are superseded as described in FAS 168. All other
accounting literature not included in the FASB Codification
is nonauthoritative. The FASB Codification can be accessed
at http://asc.fasb.org/. The FASB Codification is effective for
interim and annual periods ending after September 15, 2009.
This is an FFIEC reference guide at http://www.ffiec.gov/pdf/
ffiec_forms/CodificationIntroduction_201006.pdf.

Assets securitized and sold – total outstanding principal balance
of assets securitized and sold with servicing retained or other
seller- provided credit enhancements.
Capital Purchase Program (CPP) – As announced in October
2008 under the TARP, the Treasury Department purchase of
noncumulative perpetual preferred stock and related warrants
that is treated as Tier 1 capital for regulatory capital purposes
is included in “Total equity capital.” Such warrants to purchase common stock or noncumulative preferred stock issued
by publicly-traded banks are reflected as well in “Surplus.”
Warrants to purchase common stock or noncumulative preferred stock of not-publicly-traded bank stock classified in a
bank’s balance sheet as “Other liabilities.”
Construction and development loans – includes loans for all property types under construction, as well as loans for land acquisition and development.
Core capital – common equity capital plus noncumulative perpetual preferred stock plus minority interest in consolidated
subsidiaries, less goodwill and other ineligible intangible
assets. The amount of eligible intangibles (including servicing
rights) included in core capital is limited in accordance with
supervisory capital regulations.
Cost of funding earning assets – total interest expense paid on
deposits and other borrowed money as a percentage of average
earning assets.
Credit enhancements – techniques whereby a company attempts
to reduce the credit risk of its obligations. Credit enhancement may be provided by a third party (external credit
enhancement) or by the originator (internal credit enhancement), and more than one type of enhancement may be
­associated with a given issuance.
Deposit Insurance Fund (DIF) – The Bank (BIF) and Savings
Association (SAIF) Insurance Funds were merged in 2006 by
the Federal Deposit Insurance Reform Act to form the DIF.
Derivatives notional amount – The notional, or contractual,
amounts of derivatives represent the level of involvement in
the types of derivatives transactions and are not a quantification of market risk or credit risk. Notional amounts represent
the amounts used to calculate contractual cash flows to be
exchanged.
Derivatives credit equivalent amount – the fair value of the
derivative plus an additional amount for potential future credit exposure based on the notional amount, the remaining
maturity and type of the contract.
Derivatives transaction types:
Futures and forward contracts – contracts in which the buyer
agrees to purchase and the seller agrees to sell, at a specified future date, a specific quantity of an underlying variable or index at a specified price or yield. These contracts
exist for a variety of variables or indices, (traditional agricultural or physical commodities, as well as currencies and
interest rates). Futures contracts are standardized and are
traded on organized exchanges which set limits on counterparty credit exposure. Forward contracts do not have
standardized terms and are traded over the counter.
Option contracts – contracts in which the buyer acquires the
right to buy from or sell to another party some specified
amount of an un­derlying variable or index at a stated price
(strike price) during a period or on a specified future date,
in return for compensation (such as a fee or premium).

DEFINITIONS (in alphabetical order)

All other assets – total cash, balances due from depository
institutions, premises, fixed assets, direct investments in real
estate, investment in unconsolidated subsidiaries, customers’
liability on acceptances outstanding, assets held in trading
accounts, federal funds sold, securities purchased with agreements to resell, fair market value of derivatives, prepaid
deposit insurance assessments, and other assets.
All other liabilities – bank’s liability on acceptances, limited-life
preferred stock, allowance for estimated off-balance-sheet credit
losses, fair market value of derivatives, and other liabilities.
Assessment base – assessable deposits consist of DIF deposits
(deposits insured by the FDIC Deposit Insurance Fund) in
banks’ domestic offices with certain adjustments.
FDIC Quarterly

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2011, Volume 5, No. 1

Quarterly Banking Profile
The seller is obligated to purchase or sell the variable or
index at the discretion of the buyer of the contract.
Swaps – obligations between two parties to exchange a
series of cash flows at periodic intervals (settlement dates),
for a specified period. The cash flows of a swap are either
fixed, or determined for each settlement date by multiplying the quantity (notional principal) of the underlying
variable or index by specified reference rates or prices.
Except for currency swaps, the notional principal is used
to calculate each payment but is not exchanged.
Derivatives underlying risk exposure – the potential exposure
characterized by the level of banks’ concentration in particular underlying instruments, in general. Exposure can result
from market risk, credit risk, and operational risk, as well as,
interest rate risk.
Domestic deposits to total assets – total domestic office deposits
as a percent of total assets on a consolidated basis.
Earning assets – all loans and other investments that earn
interest or dividend income.
Efficiency ratio – noninterest expense less amortization of
intangible assets as a percent of net interest income plus noninterest income. This ratio measures the proportion of net
operating revenues that are absorbed by overhead expenses,
so that a lower value indicates greater efficiency.
Estimated insured deposits – in general, insured deposits are total
domestic deposits minus estimated uninsured deposits. Begin­
ning March 31, 2008, for institutions that file Call reports,
insured deposits are total assessable deposits minus estimated
uninsured deposits. Beginning September 30, 2009, insured
deposits include deposits in accounts of $100,000 to $250,000
that are covered by a temporary increase in the FDIC’s standard maximum deposit insurance amount (SMDIA).
Failed/assisted institutions – an institution fails when regulators
take control of the institution, placing the assets and liabilities into a bridge bank, conservatorship, receivership, or
another healthy institution. This action may require the
FDIC to provide funds to cover losses. An institution is
defined as “assisted” when the institution remains open and
receives assistance in order to continue operating.
Fair Value – the valuation of various assets and liabilities on
the balance sheet—including trading assets and liabilities,
available-for-sale securities, loans held for sale, assets and
­liabilities accounted for under the fair value option, and foreclosed assets—involves the use of fair values. During periods
of market stress, the fair values of some financial instruments
and nonfinancial assets may decline.
FHLB advances – all borrowings by FDIC insured institutions
from the Federal Home Loan Bank System (FHLB), as reported by Call Report filers and by TFR filers.
Goodwill and other intangibles – intangible assets include
­servicing rights, purchased credit card relationships, and other
identifiable intangible assets. Goodwill is the excess of the
purchase price over the fair market value of the net assets
acquired, less subsequent impairment adjustments. Other
intangible assets are recorded at fair value, less subsequent
quarterly amortization and impairment adjustments.
Loans secured by real estate – includes home equity loans,
junior liens secured by 1-4 family residential properties, and
all other loans secured by real estate.
Loans to individuals – includes outstanding credit card balances
and other secured and unsecured consumer loans.
FDIC Quarterly

Long-term assets (5+ years) – loans and debt securities with
remaining maturities or repricing intervals of over five years.
Maximum credit exposure – the maximum contractual credit
exposure remaining under recourse arrangements and other
seller-provided credit enhancements provided by the reporting bank to securitizations.
Mortgage-backed securities – certificates of participation in
pools of residential mortgages and collateralized mortgage
obligations issued or guaranteed by government-sponsored or
private enterprises. Also, see “Securities,” below.
Net charge-offs – total loans and leases charged off (removed
from balance sheet because of uncollectibility), less amounts
recovered on loans and leases previously charged off.
Net interest margin – the difference between interest and dividends earned on interest-bearing assets and interest paid to
depositors and other creditors, expressed as a percentage of
average earning assets. No adjustments are made for interest
income that is tax exempt.
Net loans to total assets – loans and lease financing receivables, net of unearned income, allowance and reserves, as a
percent of total assets on a consolidated basis.
Net operating income – income excluding discretionary transactions such as gains (or losses) on the sale of investment securities and extraordinary items. Income taxes subtracted from
operating income have been adjusted to exclude the portion
applicable to securities gains (or losses).
Noncurrent assets – the sum of loans, leases, debt securities,
and other assets that are 90 days or more past d­ue, or in nonaccrual status.
Noncurrent loans & leases – the sum of loans and leases 90 days
or more past due, and loans and leases in nonaccrual status.
Number of institutions reporting – the number of institutions
that actually filed a financial report.
New charters – insured institutions filing quarterly financial
reports for the first time.
Other borrowed funds – federal funds purchased, securities sold
with agreements to repurchase, demand notes issued to the
U.S. Treasury, FHLB advances, other borrowed money, mortgage indebtedness, obligations under capitalized leases and
trading liabilities, less revaluation losses on assets held in
trading accounts.
Other real estate owned – primarily foreclosed property. Direct
and indirect investments in real estate ventures are excluded.
The amount is reflected net of valuation allowances. For institutions that file a Thrift Financial Report (TFR), the valuation
allowance subtracted also includes allowances for other repossessed assets. Also, for TFR filers the components of other real
estate owned are reported gross of valuation allowances.
Percent of institutions with earnings gains – the percent of institutions that increased their net income (or decreased their
losses) compared to the same period a year earlier.
“Problem” institutions – federal regulators assign a composite
rating to each financial institution, based upon an evaluation
of financial and operational criteria. The rating is based on a
scale of 1 to 5 in ascending order of supervisory concern.
“Problem” institutions are those institutions with financial,
operational, or managerial weaknesses that threaten their
continued financial viability. Depending upon the degree of
risk and supervisory concern, they are rated either a “4” or
“5.” The number and assets of “problem” institutions are
based on FDIC composite ratings. Prior to March 31, 2008,
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for institutions whose primary federal regulator was the OTS,
the OTS composite rating was used.
Recourse – an arrangement in which a bank retains, in form or
in substance, any credit risk directly or indirectly associated
with an asset it has sold (in accordance with generally accepted accounting principles) that exceeds a pro rata share of the
bank’s claim on the asset. If a bank has no claim on an asset
it has sold, then the retention of any credit risk is recourse.
Reserves for losses – the allowance for loan and lease losses on
a consolidated basis.
Restructured loans and leases – loan and lease financing receivables with terms restructured from the original contract.
Excludes restructured loans and leases that are not in compliance with the modified terms.
Retained earnings – net income less cash dividends on common and preferred stock for the reporting period.
Return on assets – bank net income (including gains or losses
on securities and extraordinary items) as a percentage of average total (consolidated) assets. The basic yardstick of bank
profitability.
Return on equity – bank net income (including gains or losses
on securities and extraordinary items) as a percentage of average total equity capital.
Risk-based capital groups – definition:
(Percent)

Tier 1
Risk-Based
Capital*

Total
Risk-Based
Capital*

Well-capitalized
Adequately
capitalized
Undercapitalized
Significantly
undercapitalized
Critically
undercapitalized

Tier 1
Leverage

Tangible
Equity

≥10

and

≥6

and

≥5

–

≥8
≥6

and
and

≥4
≥3

and
and

≥4
≥3

–
–

<6

or

<3

or

<3

–

–

and

Effective April 1, 2009, the initial base assessment rates are
12 to 45 basis points. An institution’s total assessment rate
may be less than or greater than its initial base assessment
rate as a result of additional risk adjustments.
The base assessment rates for most institutions in Risk
Category I are based on a combination of financial ratios and
CAMELS component ratings (the financial ratios method).
For large institutions in Risk Category I (generally those with
at least $10 billion in assets) that have long-term debt issuer
ratings, assessment rates are determined by equally weighting
the institution’s CAMELS component ratings, long-term debt
issuer ratings, and the financial ratios method assessment rate.
For all large Risk Category I institutions, additional risk factors are considered to determine whether assessment rates
should be adjusted. This additional information includes
­market data, financial performance measures, considerations
of the ability of an institution to withstand financial stress,
and loss severity indicators. Any adjustment is limited to no
more than one basis point.
Effective April 1, 2009, the FDIC introduced three possible
adjustments to an institution’s initial base assessment rate:
(1) a decrease of up to 5 basis points for long-term unsecured
debt and, for small institutions, a portion of Tier 1 capital;
(2) an increase not to exceed 50 percent of an institution’s
assessment rate before the increase for secured liabilities in
excess of 25 percent of domestic deposits; and (3) for nonRisk Category I institutions, an increase not to exceed 10
basis points for brokered deposits in excess of 10 percent of
domestic deposits. After applying all possible adjustments,
minimum and maximum total base assessment rates for each
risk category are as follows:
Total Base Assessment Rates*

>2

Risk
Category
I

Risk
Category
II

Risk
Category
III

Risk
Category
IV

Initial base
assessment rate

12–16

22

32

45

Unsecured debt
adjustment

-5  – 0

-5–0

-5  – 0

-5– 0

Secured liability
adjustment

0  – 8

0  –11

0  –16

0  –22.5

Brokered deposit
adjustment

–

0  –10

0  –10

0  –10

Total base
assessment rate

7–24.0

17–43.0

27–58.0

40–77.5

≤2

–

* As a percentage of risk-weighted assets.

Risk Categories and Assessment Rate Schedule – The current risk
categories became effective January 1, 2007. Capital ratios
and supervisory ratings distinguish one risk category from
another. The following table shows the relationship of risk
categories (I, II, III, IV) to capital and supervisory groups as
well as the initial base assessment rates (in basis points),
­effective April 1, 2009, for each risk category. Supervisory
Group A generally includes institutions with CAMELS
­composite ratings of 1 or 2; Supervisory Group B generally
includes institutions with a CAMELS composite rating of 3;
and Supervisory Group C generally includes institutions with
CAMELS composite ratings of 4 or 5. For purposes of riskbased assessment capital groups, undercapitalized includes
institutions that are significantly or critically undercapitalized.

*All amounts for all risk categories are in basis points annually. Total base rates that are
not the minimum or maximum rate will vary between these rates.

Beginning in 2007, each institution is assigned a risk-based
rate for a quarterly assessment period near the end of the
quarter following the assessment period. Payment is generally
due on the 30th day of the last month of the quarter following the assessment period. Supervisory rating changes are
effective for assessment purposes as of the examination
­transmittal date. For institutions with long-term debt issuer
ratings, changes in ratings are effective for assessment pur­
poses as of the date the change was announced.
Special Assessment – On May 22, 2009, the FDIC board
approved a final rule that imposed a 5 basis point special
assessment as of June 30, 2009. The special assessment was

Supervisory Group
Capital Category
1. Well Capitalized
2. Adequately Capitalized
3. Undercapitalized

FDIC Quarterly

A

I
12–16 bps
II
22 bps

B

C

II
22 bps

III
32 bps

III
32 bps

IV
45 bps
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2011, Volume 5, No. 1

Quarterly Banking Profile
levied on each insured depository institution’s assets minus its
Tier 1 capital as reported in its report of condition as of June
30, 2009. The special assessment was collected September 30,
2009, at the same time that the risk-based assessment for the
second quarter of 2009 was collected. The special assessment
for any institution was capped at 10 basis points of the institution’s assessment base for the second quarter of 2009 riskbased assessment.
Prepaid Deposit Insurance Assessments – In November 2009, the
FDIC Board of Directors adopted a final rule requiring insured
depository institutions (except those that are exempted) to
prepay their quarterly risk-based deposit insurance assessments
for the fourth quarter of 2009, and for all of 2010, 2011, and
2012, on December 30, 2009. Each institution’s regular riskbased deposit insurance assessment for the third quarter of
2009, which is paid in arrears, also is payable on December
30, 2009.
Risk-weighted assets – assets adjusted for risk-based capital
definitions which include on-balance-sheet as well as off-­
balance-sheet items multiplied by risk-weights that range from
zero to 200 percent. A conversion factor is used to assign a
balance sheet equivalent amount for selected off-balancesheet accounts.
Securities – excludes securities held in trading accounts.
Banks’ securities portfolios consist of securities designated
as “held-to-maturity,” which are reported at amortized cost
(book value), and securities designated as “available-for-sale,”
reported at fair (market) value.
Securities gains (losses) – realized gains (losses) on held-to-­
maturity and available-for-sale securities, before adjustments
for income taxes. Thrift Financial Report (TFR) filers also
include gains (losses) on the sales of assets held for sale.
Seller’s interest in institution’s own securitizations – the reporting
bank’s ownership interest in loans and other assets that have
been securitized, except an interest that is a form of recourse
or other seller-provided credit enhancement. Seller’s interests
differ from the securities issued to investors by the securitization structure. The principal amount of a seller’s interest is
generally equal to the total principal amount of the pool of
assets included in the securitization structure less the principal amount of those assets attributable to investors, i.e., in the
form of securities issued to investors.
Subchapter S Corporation – a Subchapter S corporation is treated as a pass-through entity, similar to a partnership, for federal income tax purposes. It is generally not subject to any
federal income taxes at the corporate level. This can have the
effect of reducing institutions’ reported taxes and increasing
their after-tax earnings.
Temporary Liquidity Guarantee Program (TLGP) – was approved
by the FDIC Board on October 13, 2008. The TLGP was
designed to help relieve the crisis in the credit markets by
giving banks access to liquidity during a time of global financial distress. Participation in the TLGP is voluntary. The
TLGP has two components:
Transaction Account Guarantee Program (TAGP) provides a full
guarantee of non-interest-bearing deposit transaction
accounts above $250,000, at depository institutions that
elected to ­participate in the program. On August 26,
2009, the FDIC Board voted to extend the TAGP six
months beyond its ­original expiration date to June 30,

FDIC Quarterly

2010. On April 13, 2010 the FDIC Board adopted an
interim rule extending the TAG program for six months
through December 31, 2010, with a possibility of an additional 12-month extension, through December 31, 2011.
(Section 343 of the Dodd-Frank Wall Street Reform and
Consumer Protection Act (Dodd-Frank Act) provides
temporary unlimited insurance coverage to noninterestbearing transaction accounts at all FDIC-insured institutions. The separate coverage for these accounts becomes
effective on December 31, 2010, and ends on December
31, 2012.)
Debt Guarantee Program (DGP) provides a full guarantee of
senior unsecured debt1 issued by eligible institutions after
October 14, 2008. Initially, debt issued before June 30,
2009, and maturing on or before June 30, 2012, could be
guaranteed. On March 17, 2009, the deadline for issuance
under the program was extended to October 31, 2009, and
the ­expiration of the guarantee was set at the earlier of
maturity of the debt or December 31, 2012. Institutions
­eligible for participation in the debt guarantee program
include insured depository institutions, U.S. bank holding
companies, certain U.S. savings and loan holding companies, and other affiliates of an insured depository institution that the FDIC designates as eligible entities. The
FDIC Board adopted a final rule on October 20, 2009,
that established a limited six-month emergency guarantee
facility upon expiration of the DGP.
Trust assets – market value, or other reasonably available
value of fiduciary and related assets, to include marketable
securities, and other financial and physical assets. Common
physical assets held in fiduciary accounts include real estate,
equipment, collectibles, and household goods. Such fiduciary
assets are not included in the assets of the financial
institution.
Unearned income & contra accounts – unearned income for Call
Report filers only.
Unused loan commitments – includes credit card lines, home
equity lines, commitments to make loans for construction,
loans secured by commercial real estate, and unused com­
mitments to originate or purchase loans. (Excluded are
­commitments after June 2003 for originated mortgage loans
held for sale, which are accounted for as derivatives on the
balance sheet.)
Volatile liabilities – the sum of large-denomination time deposits, foreign-office deposits, federal funds purchased, securities
sold under agreements to repurchase, and other borrowings.
Yield on earning assets – total interest, dividend, and fee
income earned on loans and investments as a percentage of
average earning assets.

Senior unsecured debt generally includes term Federal funds
purchased, promissory notes, commercial paper, unsubordinated
unsecured notes, certificates of deposit (CDs) standing to the credit of
a bank, and U.S. dollar denominated bank deposits owed to an insured
depository institution.
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