Attached as a file is an update from the Federal Reserve of activities on extraordinary lending.
Due to travel and being out of town, I have not reviewed this report in detail, which is the reason this report is posted in an Instapopulist. I know our writers and readers will pour all over this and write up a blog post or at least comment with their insights.
The Board of Governors of the Federal Reserve System (the “Board”) is providing the following updates concerning the lending facilities established by the Board under section 13(3) of the Federal Reserve Act (12 U.S.C. § 343). This
report is the third periodic report filed by the Board pursuant to section 129(b) of the Emergency Economic Stabilization Act of 2008 (“EESA”) and provides an
update concerning all of the loans and lending facilities authorized by the Board under section 13(3) since March 1, 2008, that are outstanding. These facilities are
(1) Term Securities Lending Facility;
(2) Primary Dealer Credit Facility;
(3) Commercial Paper Funding Facility;
(4) Term Asset-Backed Securities Loan Facility;
(5) Asset-Backed Commercial Paper Money Market Mutual Fund
(6) Loan to Maiden Lane LLC to facilitate the acquisition of The Bear Stearns Companies, Inc. (“Bear Stearns”) by JPMorgan Chase & Co., Inc.
(“JPMorgan Chase”); and
(7) Lending facilities established for American International Group, Inc.
In addition to the credit facilities discussed in this report, the Board also has authorized the establishment of the following credit facilities under section 13(3) of the Federal Reserve Act: the Money Market Investor Funding Facility
(“MMIFF”), and certain residual financing arrangements for Citigroup, Inc., and Bank of America Corporation. No loans have been made under these credit facilities to date. If a loan is made under any of these facilities in the future, the
Board will file a report with the Committees concerning the facility in accordance with section 129(b) of the EESA.