(MA)-Reports of Condition and Income (Interagency Call Report)

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ƉƵďůŝƐŚĞĚoŶFebruary 14, ϮϬϭ9͘

Draft as of February 15, 2019

1

Draft Revisions to the Call Report Instructions for Revisions to the
FFIEC 031 and FFIEC 041 Call Reports Proposed to Take Effect
March 31, 2019
Contents
Page


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Schedule
Schedule RI – Income Statement
Schedule RI-B – Charge-offs and Recoveries on Loans and Leases and Changes in
Allowance for Loan and Lease Losses

1

Schedule RI-C – Disaggregated Data on the Allowance for Loan and Lease Losses

2

Schedule RI-D – Income from Foreign Offices [FFIEC 031 only]

2

Schedule RI-E – Explanations



Schedule RC – Balance Sheet

3

Schedule RC-B – Securities



Schedule RC-C – Loans and Lease Financing Receivables



Schedule RC-F – Other Assets

4

Schedule RC-G – Other Liabilities

5

Schedule RC-H – Selected Balance Sheet Items for Domestic Offices [FFIEC 031 only] 4
Schedule RC-K – Quarterly Averages



Schedule RC-N – Past Due and Nonaccrual Loans, Leases, and Other Assets



Schedule RC-R – Regulatory Capital



Schedule RC-V – Variable Interest Entities

7

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FFIEC 031 and 041

RI - INCOME STATEMENT

LINE ITEM INSTRUCTIONS FOR THE CONSOLIDATED REPORT OF
INCOME

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The line item instructions should be read in conjunction with the Glossary and other sections of these
instructions. See the discussion of the Organization of the Instruction Books in the General
Instructions. For purposes of these Consolidated Report of Income instructions, the Financial Accounting
Standards Board (FASB) Accounting Standards Codification is referred to as the “ASC.”

SCHEDULE RI – INCOME STATEMENT
General Instructions

Report in accordance with these instructions all income and expense of the bank for the calendar
year-to-date. Include adjustments of accruals and other accounting estimates made shortly after the end
of a reporting period which relate to the income and expense of the reporting period.

A bank that began operating during the year-to-date reporting period should report in the appropriate
items of Schedule RI all income earned and expenses incurred since commencing operations. The bank
should report pre-opening income earned and expenses incurred from inception until the date operations
commenced using one of the two methods described in the Glossary entry for "start-up activities."

Business Combinations, Pushdown Accounting Transactions, and Transactions between Entities under
Common Control – If the reporting institution entered into a business combination that became effective
during the year-to-date reporting period and has been accounted for under the acquisition method, report
the income and expense of the acquired institution or business only after its acquisition. If the reporting
institution was acquired in a transaction that became effective during the reporting period, retained its
separate corporate existence, and elected to apply pushdown accounting in its separate financial
statements (including its Consolidated Reports of Condition and Income), Schedule RI should only
include amounts from the date of the institution’s acquisition through the end of the year-to-date reporting
period. If the reporting institution was involved in a transaction between entities under common control
that became effective during the year-to-date reporting period and has been accounted for in a manner
similar to a pooling of interests, report the income and expense of the combined entities for the entire
calendar year-to-date as though they had combined at the beginning of the year. For further information
on business combinations, pushdown accounting, and transactions between entities under common
control, see the Glossary entry for "business combinations."

Assets and Liabilities Accounted for under the Fair Value Option – Under U.S. generally accepted
accounting principles (GAAP) (i.e., ASC Subtopic 825-10, Financial Instruments – Overall (formerly
FASB Statement No. 159, “The Fair Value Option for Financial Assets and Financial Liabilities”), ASC
Subtopic 815-15, Derivatives and Hedging – Embedded Derivatives (formerly FASB Statement No. 155,
“Accounting for Certain Hybrid Financial Instruments”), and ASC Subtopic 860-50, Transfers and
Servicing – Servicing Assets and Liabilities (formerly FASB Statement No. 156, “Accounting for Servicing
of Financial Assets”)), the bank may elect to report certain assets and liabilities at fair value with changes
in fair value recognized in earnings. This election is generally referred to as the fair value option. If the
bank has elected to apply the fair value option to interest-bearing financial assets and liabilities, it should
report the interest income on these financial assets (except any that are in nonaccrual status) and the
interest expense on these financial liabilities for the year-to-date in the appropriate interest income and
interest expense items on Schedule RI, not as part of the reported change in fair value of these assets
and liabilities for the year-to-date. The bank should measure the interest income or interest expense on a
financial asset or liability to which the fair value option has been applied using either the contractual
interest rate on the asset or liability or the effective yield method based on the amount at which the asset

FFIEC 031 and 041

RI-1
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RI - INCOME STATEMENT

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or liability was first recognized on the balance sheet. Although the use of the contractual interest rate is
an acceptable method under GAAP, when a financial asset or liability has a significant premium or
discount upon initial recognition, the measurement of interest income or interest expense under the
effective yield method more accurately portrays the economic substance of the transaction. In addition, in
some cases, GAAP requires a particular method of interest income recognition when the fair value option
is elected. For example, when the fair value option has been applied to a beneficial interest in securitized
financial assets within the scope of ASC Subtopic 325-40, Investments-Other – Beneficial Interests in
Securitized Financial Assets (formerly Emerging Issues Task Force Issue No. 99-20, “Recognition of
Interest Income and Impairment on Purchased and Retained Beneficial Interests in Securitized Financial
Assets”), interest income should be measured in accordance with this Subtopic. Similarly, when the fair
value option has been applied to a purchased impaired loan or debt security accounted for under ASC
Subtopic 310-30, Receivables – Loans and Debt Securities Acquired with Deteriorated Credit Quality
(formerly AICPA Statement of Position 03-3, “Accounting for Certain Loans or Debt Securities Acquired in
a Transfer”), interest income on the loan or debt security should be measured in accordance with this
Subtopic when accrual of income is appropriate.
For Institutions that have adopted Accounting Standards Update No. 2016-13 (ASU 2016-13), which
governs the accounting for credit losses, when the fair value option has been applied to an acquired loan
or debt security under ASC 326-20, “Financial Instruments-Credit Losses – Measured at Amortized Cost”,
interest income on the loan or debt security should be measured in accordance with Subtopic 310-10,
“Receivables – Overall”, regardless of whether or not management has determined the asset to be
purchased credit deteriorated (PCD).
For further information, see the Glossary entriesy for “Purchased Impaired Loans and Debt Securities”
and “Purchased Credit Deteriorated (PCD) Loans and Debt Securities.”

Revaluation adjustments, excluding amounts reported as interest income and interest expense, to the
carrying value of all assets and liabilities reported in Schedule RC at fair value under a fair value option
(excluding servicing assets and liabilities reported in Schedule RC, item 10, “Intangible assets,” and
Schedule RC, item 20, “Other liabilities,” respectively, and assets and liabilities reported in Schedule RC,
item 5, "Trading assets," and Schedule RC, item 15, "Trading liabilities," respectively) resulting from the
periodic marking of such assets and liabilities to fair value should be reported as “Other noninterest
income” in Schedule RI, item 5.l.

Item Instructions
Item No.

Caption and Instructions

1

Interest income:

1.a

Interest and fee income on loans. Report in the appropriate subitem all interest, fees, and
similar charges levied against or associated with all assets reportable as loans in
Schedule RC-C, part I, items 1 through 9.
Deduct interest rebated to customers on loans paid before maturity from gross interest
earned on loans; do not report as an expense.
Include as interest and fee income on loans:

(1) Interest on all assets reportable as loans extended directly, purchased from others, sold
under agreements to repurchase, or pledged as collateral for any purpose.
(2) Loan origination fees, direct loan origination costs, and purchase premiums and
discounts on loans held for investment, all of which should be deferred and recognized
over the life of the related loan as an adjustment of yield in accordance with ASC
Subtopic 310-20, Receivables – Nonrefundable Fees and Other Costs (formerly FASB
Statement No. 91, “Accounting for Nonrefundable Fees and Costs Associated with

FFIEC 031 and 041

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RI - INCOME STATEMENT

Originating or Acquiring Loans and Initial Direct Costs of Leases”) as described in the
Glossary entry for "loan fees." See exclusion (3) below.
For institutions that have adopted ASU 2016-13, which governs the accounting for
credit losses, the purchase premiums and discounts on loans held for investment that
management has determined to be PCD and are measured at amortized cost, should
be adjusted to exclude the acquisition date allowance for credit loss from the amortized
cost basis of the loans.

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For further information, see the Glossary entry “Purchased Credit Deteriorated (PCD)
Loans and Debt Securities.”

(3) Loan commitment fees (net of direct loan origination costs) that must be deferred over
the commitment period and recognized over the life of the related loan as an adjustment
of yield under ASC Subtopic 310-20 as described in the Glossary entry for "loan fees."

FFIEC 031 and 041

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FFIEC 031 and 041

Item No.
2.c

RI - INCOME STATEMENT

Caption and Instructions
Interest on trading liabilities and other borrowed money. Report the interest expense
on all liabilities reportable in Schedule RC, item 15, "Trading liabilities," and item 16, "Other
borrowed money." Include interest expense incurred on other borrowed money reported at
fair value under a fair value option.
Include amortization of debt issuance costs associated with other borrowed money (unless
the borrowed money reported at fair value under a fair value option, in which case issuance
costs should be expensed as incurred).
Interest on subordinated notes and debentures. Report the interest expense on all
liabilities reportable in Schedule RC, item 19, "Subordinated notes and debentures." Include
interest expense incurred on subordinated notes and debentures reported at fair value under
a fair value option.

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2.d

Include amortization of debt issuance costs associated with subordinated notes and
debentures (unless the notes and debentures are reported at fair value under a fair value
option, in which case issuance costs should be expensed as incurred).

Exclude dividends declared or paid on limited-life preferred stock (report dividends declared
in Schedule RI-A, item 8).

2.e

Total interest expense. Report the sum of Schedule RI, items 2.a through 2.d.

3

Net interest income. Report the difference between Schedule RI, item 2.e, “Total interest
expense,” and Schedule RI, item 1.h, “Total interest income.” If the amount is negative,
report it with a minus (-) sign.

4

Provision for loan and lease losses. Institutions that have not adopted ASU 2016-13,
rReport the amount needed to make the allowance for loan and lease losses, as reported in
Schedule RC, item 4.c, adequate to absorb estimated credit losses, based upon
management's evaluation of the reporting institution’s loans and leases held for investment,
excluding such loans and leases reported at fair value under a fair value option. Loans and
leases held for investment are those that the reporting institution has the intent and ability to
hold for the foreseeable future or until maturity or payoff. Also include in this item any
provision for allocated transfer risk related to loans and leases. The amount reported in this
item must equal Schedule RI-B, Part II, item 5, column A, “Provision for loan and lease credit
losses.” Report negative amounts with a minus (-) sign.

Institutions that have adopted ASU 2016-13, which governs the accounting for credit losses,
report the amount expensed as the provisions for credit losses, during the calendar year-todate. The provisions for credit losses represents the amount appropriate to absorb estimated
credit losses over the life of the financial assets reported at amortized cost within the scope of
the standard. Exclude the initial allowances established on the purchase of creditdeteriorated (PCD) financial assets, which are recorded at acquisition as an adjustment to the
amortized cost basis of the asset. The amount reported in this item must equal the sum of
Schedule RI-B, Part II, item 5, columns A through column C plus Schedule RI-B, Part II,
Memorandum item 5. Report negative amounts with a minus (-) sign.

Exclude any provision for credit losses on off-balance sheet credit exposures, which should
be reported in Schedule RI, item 7.d, “Other noninterest expense.”

The amount reported here may differ from the bad debt expense deduction taken for federal
income tax purposes.
Refer to the Glossary entries for "allowance for loan and lease losses,” " and “loan
FFIEC 031 and 041

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RI - INCOME STATEMENT

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impairment,” “allowance for credit losses” and “Purchased Credit Deteriorated (PCD) loans
and debt securities”” for additional information.

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RI - INCOME STATEMENT

Item No.

Realized gains (losses) on held-to-maturity securities. Report the net gain or loss
realized during the calendar year to date from the sale, exchange, redemption, or retirement
of all securities reportable in Schedule RC, item 2.a, "Held-to-maturity securities." The
realized gain or loss on a security is the difference between the sales price (excluding interest
at the coupon rate accrued since the last interest payment date, if any) and its amortized
cost. Also include in this item other-than-temporary impairment losses on individual
held-to-maturity securities that must be recognized in earnings. For further information on the
accounting for impairment of held-to-maturity securities, see the Glossary entry for “securities
activities.” If the amount to be reported in this item is a net loss, report it with a minus (-)
sign.

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6.a

Caption and Instructions

Institutions that have adopted ASU 2016-13, which governs the accounting for
credit losses, should adjust the amortized cost for recoveries of any prior chargeoffs when calculating the realized gain or loss on a security, such that the recovery
of a previously charged off amount should be recorded before recognizing the gain.

Exclude from this item realized gains (losses) on available-for-sale securities (report in
Schedule RI, item 6.b, below) and on trading securities (report in Schedule RI, item 5.c,
“Trading revenue”).

6.b

Realized gains (losses) on available-for-sale securities. Report the net gain or loss
realized during the calendar year to date from the sale, exchange, redemption, or retirement
of all securities reportable in Schedule RC, item 2.b, "Available-for-sale securities." The
realized gain or loss on a security is the difference between the sales price (excluding interest
at the coupon rate accrued since the last interest payment date, if any) and its amortized
cost. Institutions that have not adopted ASU 2016-13 also include in this item other-thantemporary impairment losses on individual available-for-sale securities that must be
recognized in earnings. For further information on the accounting for impairment of availablefor-sale securities, see the Glossary entry for “securities activities.” If the amount to be
reported in this item is a net loss, report it with a minus (-) sign.
Institutions that have adopted ASU 2016-13 adjust the amortized cost for
recoveries of any prior charge-offs when calculating the realized gain or loss on a
security, such that recovery of a previously charged off amount should be recorded
before recognizing the gain. Include in this item any write-off recorded when the
institution intends to sell the debt security, or it is more likely than not the institution
will be required to sell the security before recovery of its amortized cost basis.

For institutions that have adopted FASB Accounting Standards Update No. 2016-01
(ASU 2016-01), which includes provisions governing the accounting for investments in equity
securities and eliminates the concept of available-for-sale equity securities (see the Note
preceding the instructions for Schedule RI, item 8.b), include realized gains (losses) only on
available-for-sale debt securities in item 6.b. Report realized and unrealized gains (losses)
during the year-to-date reporting period on equity securities with readily determinable fair
values not held for trading in Schedule RI, item 8.b.
Exclude from this item:

(1) (a) For institutions that have not adopted ASU 2016-01, the change in net unrealized
holding gains (losses) on available-for-sale debt and equity securities during the
calendar year to date (report in Schedule RI-A, item 10, “Other comprehensive
income”).
(b) For institutions that have adopted ASU 2016-01, the change in net unrealized holding
gains (losses) on available-for-sale debt securities during the calendar year to date
(report in Schedule RI-A, item 10, “Other comprehensive income”).

FFIEC 031 and 041

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RI - INCOME STATEMENT

(2) Realized gains (losses) on held-to-maturity securities (report in Schedule RI, item 6.a,
above) and on trading securities (report in Schedule RI, item 5.c, “Trading revenue”).
(3) Institutions that have adopted ASU 2016-13 exclude the allowance recorded through the
allowance for credit losses on available-for-sale securities (report in Schedule RI, item 4,
“Provision for loan and lease losses” which includes the provisions for credit losses for all
financial assets that fall within the scope of the standard).
Noninterest expense:

7.a

Salaries and employee benefits. Report salaries and benefits of all officers and
employees of the bank and its consolidated subsidiaries including guards and contracted
guards, temporary office help, dining room and cafeteria employees, and building department
officers and employees (including maintenance personnel). Include as employees individuals
who, in form, are employed by an affiliate but who, in substance, do substantially all of their
work for the reporting bank. However, banking organizations should not segregate the

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FFIEC 031 and 041

RI - INCOME STATEMENT

Item No.
7.d
(cont.)

Caption and Instructions

Exclude from other noninterest expense:
(1) Material expenses incurred in the issuance of subordinated notes and debentures
(capitalize such expenses and amortize them over the life of the related notes and
debentures using the effective interest method and report the expense in Schedule RI,
item 2.d, "Interest on subordinated notes and debentures"). For further information, see
the Glossary entry for “Debt issuance costs.”

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(2) Expenses incurred in the sale of preferred and common stock (deduct such expenses
from the sale proceeds and credit the net amount to the appropriate stock account.
For perpetual preferred and common stock only, report the net sales proceeds in
Schedule RI-A, item 5, "Sale, conversion, acquisition, or retirement of capital stock, net").

(3) Depreciation and other expenses related to the use of bank-owned automobiles,
airplanes, and other vehicles for bank business (report in Schedule RI, item 7.b,
"Expenses of premises and fixed assets").

(4) Institutions that have not adopted ASU 2016-13 Wwrite-downs of the cost basis of
individual held-to-maturity and available-for-sale securities for other than temporary
impairments (report in Schedule RI, item 6.a, "Realized gains (losses) on held-tomaturity securities," and item 6.b, "Realized gains (losses) on available-for-sale
securities," respectively).

(5) Institutions that have adopted ASU 2016-13, charge-offs of the cost basis of individual
held-to-maturity and available-for-sale securities (report credit losses in item 4, “Provision
for credit losses,” and report any write-off when the institution intends to sell the debt
security, or when it is more likely than not the institution will be required to sell the
security before recovery of its amortized cost basis in Schedule RI, item 6.a, "Realized
gains (losses) on held-to-maturity securities," and item 6.b, "Realized gains (losses) on
available-for-sale securities," respectively).
(65)

Revaluation adjustments to the carrying value of all assets and liabilities reported in
Schedule RC at fair value under a fair value option. Banks should report these net
decreases (increases) in fair value on trading assets and liabilities in Schedule RI,
item 5.c; on servicing assets and liabilities in Schedule RI, item 5.f; and on other financial
assets and liabilities in Schedule RI, item 5.l. Interest income earned and interest
expense incurred on these financial assets and liabilities should be excluded from the net
decreases (increases) in fair value and reported in the appropriate interest income or
interest expense items on Schedule RI.

7.e

Total noninterest expense. Report the sum of items 7.a through 7.d.

8.a

Income (loss) before unrealized holding gains (losses) on equity securities not held for
trading, applicable income taxes, and discontinued operations. Report the institution’s
pretax income from continuing operations before unrealized holding gains (losses) on equity
securities not held for trading. This amount is determined by taking item 3, "Net interest
income," minus item 4, "Provision for loan and lease losses," plus item 5.m, "Total noninterest
income," plus item 6.a, "Realized gains (losses) on held-to-maturity securities," plus item 6.b,
"Realized gains (losses) on available-for-sale securities," minus item 7.e, "Total noninterest
expense." If the result is negative, report it with a minus (-) sign.

Note: Institutions that have adopted ASU 2016-13 report the provisions for credit losses in
item 4, referenced in item 8.a.

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Memoranda
Item No.

Caption and Instructions

13.a.(1)

Estimated net gains (losses) on loans attributable to changes in instrument-specific
credit risk. For loans reported at fair value under a fair value option, report the estimated
portion of the change in fair value included in earnings attributable to changes in instrumentspecific credit risk. Include all such loans reported in Schedule RC, items 4.a, 4.b, and 5.
Net gains (losses) on liabilities. Report the total amounts of pretax gains (losses) from fair
value changes included in earnings during the calendar year to date for all liabilities, including
hybrid financial instruments and servicing liabilities, accounted for under a fair value option.
This amount will reflect the reported interest included in total interest expense in Schedule RI,
item 2.e, and revaluation adjustments included in noninterest income in Schedule RI, items
5.c, 5.f, and 5.l. Exclude gains and losses for other items measured at fair value, such as
items required to be measured at fair value.

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13.b

13.b.(1)

14

Estimated net gains (losses) on liabilities attributable to changes in instrumentspecific credit risk. For liabilities reported at fair value under a fair value option, report the
estimated portion of the change in fair value included in earnings attributable to changes in
instrument-specific credit risk.

Other-than-temporary impairment losses on held-to-maturity and available-for-sale
debt securities recognized in earnings.

Memorandum item 14 is to be completed only by institutions that have not adopted ASU
2016-13, which governs the accounting for credit losses. Institutions that have adopted ASU
2016-13 leave this item blank.

Report the amount of other-than-temporary impairment losses on held-to-maturity and
available-for-sale debt securities that have been recognized in earnings during the calendar
year to date as discussed in the following paragraphs. This amount is included in the
realized gains (losses) on held-to-maturity and available-for-sale securities reported in
Schedule RI, items 6.a and 6.b, respectively.

When the fair value of an individual held-to-maturity or available-for-sale debt security is less
than its amortized cost basis, the security is impaired and the impairment is either temporary
or other-than-temporary. To determine whether the impairment is other-than-temporary, a
bank must apply the relevant guidance in ASC Topic 320, Investments-Debt Securities
(formerly FASB Statement No. 115, “Accounting for Certain Investments in Debt and Equity
Securities,” as amended by FASB Staff Position (FSP) FAS 115-1 and FAS 124-1, “The
Meaning of Other-Than-Temporary Impairment and Its Application to Certain Investments,”
and FSP FAS 115-2 and FAS 124-2, “Recognition and Presentation of Other-ThanTemporary Impairments”) and ASC Subtopic 325-40, Investments-Other – Beneficial
Interests in Securitized Financial Assets (formerly 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,” as amended by FSP EITF 99-20-1, “Amendments to the Impairment Guidance of
EITF Issue No. 99-20”), as appropriate.
When an other-than-temporary impairment loss has occurred on an individual debt security,
the total amount of the loss is the entire difference between the amortized cost of the debt
security and its fair value on the measurement date of the other-than-temporary impairment.
For an other-than-temporary impairment loss on a debt security that the bank intends to sell
and on a debt security that it is more likely than not that the bank will be required to sell
before recovery of its amortized cost basis less any current-period credit loss, the total
amount of the other-than-temporary impairment loss must be recognized in earnings and
must be reported in this item.

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RI-B - ALLOWANCE

SCHEDULE RI-B – CHARGE-OFFS AND RECOVERIES ON LOANS
AND LEASES AND CHANGES IN ALLOWANCES FOR LOAN AND
LEASECREDIT LOSSES
Part I. Charge-offs and Recoveries on Loans and Leases
General Instructions

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This part has two columns. In column A report loans and leases charged off against the allowance for
loan and lease losses during the current calendar year-to-date. Also include in column A write-downs to
fair value on loans (and leases) transferred to the held-for-sale account during the calendar year-to-date
that occurred when (1) the reporting bank decided to sell loans that were not originated or otherwise
acquired with the intent to sell and (2) the fair value of those loans had declined for any reason other than
a change in the general market level of interest or foreign exchange rates. In column B report amounts
recovered through the allowance for loan and lease losses during the calendar year-to-date on loans and
leases previously charged off.

For those banks required to establish and maintain an allocated transfer risk reserve as specified in
Section 905(a) of the International Lending Supervision Act of 1983, include in column A loans and leases
charged off against the allocated transfer risk reserve during the current calendar year-to-date. Include in
column B amounts recovered through the allocated transfer risk reserve during the calendar year-to-date
on loans and leases previously charged off against this reserve.
These instructions should be read in conjunction with the Glossary entries for "allowance for loan and
lease losses," and "domicile,”." and “allowances for credit losses.”

Business Combinations, Pushdown Accounting Transactions, and Transactions between Entities under
Common Control – If the reporting institution entered into a business combination that became effective
during the year-to-date reporting period and has been accounted for under the acquisition method, include
the charge-offs and recoveries of the acquired institution or other business only after its acquisition.
Similarly, if the reporting institution was acquired in a transaction that became effective during the
reporting period, retained its separate corporate existence, and elected to apply pushdown accounting in
its separate financial statements (including its Consolidated Reports of Condition and Income), include
only the charge-offs and recoveries from the date of the institution's acquisition through the end of the
year-to-date reporting period. If the reporting institution was involved in a transaction between entities
under common control that became effective during the year-to-date reporting period and has been
accounted for in a manner similar to a pooling of interests, report the charge-offs and recoveries of the
combined entities for the entire calendar year-to-date as though they had combined at the beginning of the
year. For further information on business combinations, pushdown accounting, and transactions between
entities under common control, see the Glossary entry for "business combinations."

Item Instructions
Item No.

Caption and Instructions

1

Loans secured by real estate. Report in the appropriate subitem and column loans secured
by real estate (as defined for Schedule RC-C, part I, item 1) charged off and recovered.

1.a

Construction, land development, and other land loans (in domestic offices). Report in
the appropriate subitem and column construction, land development, and other land loans (as
defined for Schedule RC-C, part I, item 1.a, column B) charged off and recovered.

FFIEC 031 and 041

RI-B-1
(3-16)
(3-19)

RI-B - ALLOWANCE
12

FFIEC 031 and 041

RI-B - ALLOWANCE

Part I. (cont.)
Item No.

Caption and Instructions

NOTE: Item 6 is not applicable to banks filing the FFIEC 041 report form.
Loans to foreign governments and official institutions. On the FFIEC 031, report in
columns A and B, as appropriate, loans to foreign governments and official institutions (as
defined for Schedule RC-C, part I, item 7) charged-off and recovered.

7

All other loans. On the FFIEC 041, report in columns A and B, as appropriate, loans to
depository institutions and acceptances of other banks, loans to finance agricultural
production and other loans to farmers, obligations (other than securities and leases) of states
and political subdivisions in the U.S., and loans to nondepository financial institutions and
other loans (as defined for Schedule RC-C, part I, items 2, 3, 8, and 9) charged-off and
recovered. On the FFIEC 031, report in columns A and B, as appropriate, loans to depository
institutions and acceptances of other banks, obligations (other than securities and leases) of
states and political subdivisions in the U.S. and loans to nondepository financial institutions
and other loans (as defined for Schedule RC-C, part I, items 2, 8, and 9) charged-off and
recovered.

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6

8

Lease financing receivables. Report in columns A and B, as appropriate, all lease financing
receivables (as defined for Schedule RC-C, part I, item 10) charged-off and recovered.

NOTE: Items 8.a and 8.b are not applicable to banks filing the FFIEC 041 report form.
8.a

Leases to individuals for household, family, and other personal expenditures. On the
FFIEC 031, report in columns A and B, as appropriate, all leases to individuals for household,
family, and other personal expenditures (as defined for Schedule RC-C, part I, item 10.a,
column A) charged-off and recovered.

8.b

All other leases. On the FFIEC 031, report in columns A and B, as appropriate, all other
leases (as defined for Schedule RC-C, part I, item 10.b, column A) charged-off and
recovered.

9

Total. Report in columns A and B the sum of item 1 through 8. The amount reported in
column A must equal Schedule RI-B, part III, item 3, column A, “Charge-offs,” below. The
amount reported in column B must equal Schedule RI-B, part III, item 2, column A,
“Recoveries,” below.

FFIEC 031 and 041

RI-B-4
(3-17)
(3-19)

RI-B - ALLOWANCE
13

FFIEC 031 and 041

RI-B - ALLOWANCE

Part I. (cont.)
Memoranda
FFIEC 041
Item No. Caption and Instructions
3

Loans to finance agricultural production and other loans to farmers.

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Memorandum item 3 is to be completed by:
x banks with $300 million or more in total assets, and
x banks with less than $300 million in total assets and with loans to finance agricultural
production and other loans to farmers (as reported in Schedule RC-C, part I, item 3,
column B) exceeding five percent of total loans and leases held for investment and held
for sale (Schedule RC-C, part I, item 12).

Report in columns A and B, as appropriate, loans to finance agricultural production and other
loans to farmers (as defined for Schedule RC-C, part I, item 3, column B) charged off and
recovered. Such loans will have been included in Schedule RI-B, part I, item 7, above.

NOTE: Memorandum item 4 is to be completed only by those banks that:
(1) either individually or on a combined basis with their affiliated depository institutions, report
outstanding credit card receivables that exceed, in the aggregate, $500 million as of the report
date. Outstanding credit card receivables are the sum of:
(a) Schedule RC-C, part I, item 6.a (column B on the FFIEC 041, column A on the
FFIEC 031);
(b) Schedule RC-S, item 1, column C; and
(c) Schedule RC-S, item 6.a, column C.
(Include comparable data on managed credit card receivables for any affiliated depository
institution.)
OR
(2) are credit card specialty banks as defined for purposes of the Uniform Bank Performance
Report (UBPR). According to the UBPR Users Guide, credit card specialty banks are
currently defined as those banks that exceed 50% for the following two criteria:
(a) Credit Cards plus Securitized and Sold Credit Cards divided by Total Loans plus
Securitized and Sold Credit Cards.
(b) Total Loans plus Securitized and Sold Credit Cards divided by Total Assets plus
Securitized and Sold Credit Cards.

FFIEC 031 and 041
Item No. Caption and Instructions
4

Uncollectible retail credit card fees and finance charges reversed against income
(i.e., not included in charge-offs against the allowance for loan and lease losses).
Report the amount of fees and finance charges on credit cards (as defined for
Schedule RC-C, part I, item 6.a) that the bank reversed against either interest and fee income
or a separate contra-asset account during the calendar year-to-date. Report the amount of
fees and finance charges that have been reversed on a gross basis, i.e., do not reduce the
amount of reversed fees and finance charges by recoveries of these reversed fees and
finance charges. For institutions that have not adopted ASU 2016-13, which governs the
accounting for credit losses, Eexclude from this item credit card fees and finance charges
reported as charge-offs against the allowance for loan and lease losses in Schedule RI-B,
part I, item 5.a, column A.

FFIEC 031 and 041

RI-B-5
(3-17)
(3-19)

RI-B - ALLOWANCE
14

FFIEC 031 and 041

RI-B - ALLOWANCE

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For institutions that have adopted ASU 2016-13, exclude from this item credit card fees and
finance charges reported as charge-offs against the allowance for credit losses on loans and
leases in Schedule RI-B, part I, item 5.a, column A.

FFIEC 031 and 041

RI-B-6
(3-17)
(3-19)

RI-B - ALLOWANCE
15

FFIEC 031 and 041

RI-B - ALLOWANCE

Part II. Changes In Allowances for Credit Losses Loan and Lease Losses
General Instructions

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This schedule has three columns for information on the allowances for credit losses, one for each of the
following asset types: 1) loans and leases held for investment (Column A), 2) held-to-maturity debt
securities (Column B), and 3) available-for-sale debt securities (Column C).

Institutions that have not adopted ASU 2016-13, which governs the accounting for credit losses, Rreport
the reconcilement of the allowance for loan and lease losses on a calendar year-to-date basis in column
A. Leave columns B and C blank.
Institutions that have adopted ASU 2016-13 report changes in the allowances for credit losses for loans
and leases held for investment, held-to-maturity debt securities and available-for-sale debt securities in
the applicable columns.

For those banks required to establish and maintain an allocated transfer risk reserve as specified in
Section 905(a) of the International Lending Supervision Act of 1983, the reconcilement should include the
activity in the allocated transfer risk reserve in column A during the calendar year-to-date that relates to
loans and leases.

Exclude the balances of the allowance for credit losses on off-balance sheet credit exposures reported
in Schedule RC-G, item 3, and any capital reserves included in Schedule RC, item 26.a, "Retained
earnings," and the effects of any transactions therein.

Refer to the Glossary entry for "allowance for loan and lease losses" and “allowances for credit losses” for
further information.

Business Combinations, Pushdown Accounting Transactions, and Transactions between Entities under
Common Control – If the reporting institution entered into a business combination that became effective
during the year-to-date reporting period and has been accounted for under the acquisition method, include
the recoveries, charge-offs, and provisions of the acquired institution or other business only after its
acquisition. Under ASC Topic 805, Business Combinations (formerly FASB Statement No. 141(R),
“Business Combinations”), the acquired loans and leases must be measured at their acquisition-date fair
values. Therefore, for institutions that have not adopted ASU 2016-13, the reporting institution may not
carry over the allowance for loan and lease losses of the acquired institution or other business as of the
acquisition date.

A reporting institution that has adopted ASU 2016-13 may not carry over the allowances for credit losses
for acquired assets. To note, for acquired assets that management has determined to be purchased
credit deteriorated (PCD), institutions will estimate and record the allowances for credit losses as of the
acquisition date with an offsetting debit to the asset’s initial amortized cost basis. This allowance must be
reported as a positive (+) amount in Schedule RI-B, part II, item 6, "Adjustments" in the applicable column.

Similarly, if the reporting institution was acquired in a transaction that became effective during the year-todate reporting period, retained its separate corporate existence, and elected to apply pushdown
accounting in its separate financial statements (including its Consolidated Reports of Condition and
Income), include only the recoveries, charge-offs, and provisions from the date of the institution's
acquisition through the end of the year-to-date reporting period. For institutions that have not adopted
ASU 2016-13, Wwhen applying pushdown accounting, the reporting institution’s loans and leases must be
FFIEC 031 and 041

RI-B-7
(3-17)
(3-19)

RI-B - ALLOWANCE
16

FFIEC 031 and 041

RI-B - ALLOWANCE

restated to their acquisition-date fair values and the institution may not carry over its allowance for loan
and lease losses as of the acquisition date. As a consequence, the amount reported in Schedule RI-B,
part II, item 1, column A, for the balance of the allowance for loan and lease losses most recently reported
for the end of the previous calendar year must be reported as a negative in Schedule RI-B, part II, item 6,
"Adjustments."

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A reporting institution that has adopted ASU 2016-13 also must restate the acquisition-date fair values and
may not carry over the allowances for credit losses for acquired assets when applying pushdown
accounting. The amount reported in Schedule RI-B, part II, item 1, columns A through C, for the balances
of the allowances for credit losses on the acquired assets most recently reported for the end of the
previous calendar year must be reported as a negative in Schedule RI-B, part II, item 6, "Adjustments."
For those assets that management has determined to be PCD, institutions will then add back the
allowances for credit losses as of the acquisition date. This allowance must be reported as a positive
amount in Schedule RI-B, part II, item 6, "Adjustments" in the applicable column.

If the reporting institution was involved in a transaction between entities under common control that
became effective during the year-to-date reporting period and has been accounted for in a manner similar
to a pooling of interests, report the recoveries, charge-offs, and provisions of the combined entities for the
entire calendar year-to-date as though they had combined at the beginning of the year. Reporting
institutions that have not adopted ASU 2016-13 Rreport the balance as of the end of the previous calendar
year of the allowance for loan and lease losses of the institution or other business that combined with the
reporting institution in the common control transaction in Schedule RI-B, part II, item 6, "Adjustments.",
column A. Reporting institutions that have adopted ASU 2016-13 should report the balance as of the end
of the previous calendar year of the allowances for credit losses of the institution or other business that
combined with the reporting institution in the common control transaction in Schedule RI-B, part II, item 6,
"Adjustments" in the applicable column.

For further information on business combinations, pushdown accounting, and transactions between
entities under common control, see the Glossary entry for "business combinations." Refer to the Glossary
entry for “allowance for credit losses” for further information on accounting for PCD assets.
Item Instructions
Item No.
1

Caption and Instructions

Balance most recently reported in the December 31, 20xx, Reports of Condition and
Income. Institutions that have not adopted ASU 2016-13, Rreport in column A the balance of
the bank's allowance for loan and lease losses as reported in the Consolidated Reports of
Condition and Income for the previous calendar year-end after the effect of all corrections and
adjustments to the allowance for loan and lease losses that were made in any amended
report(s) for the previous calendar year-end.
Institutions that have adopted ASU 2016-13 should report in the appropriate columns the
balances of all allowances for credit losses as reported in the Consolidated Reports of
Condition and Income for the previous calendar year-end after the effect of all corrections and
adjustments to the allowances for credit losses that were made in any amended report(s) for
the previous calendar year-end. In the year of adoption, institutions should record a zero
balance for columns B and C.

FFIEC 031 and 041

RI-B-8
(3-17)
(3-19)

RI-B - ALLOWANCE
17

FFIEC 031 and 041

RI-B - ALLOWANCE

Part II. (cont.)
Item No.
2

Caption and Instructions
Recoveries. Institutions that have not adopted ASU 2016-13, Rreport in column A the
amount credited to the allowance for loan and lease losses for recoveries during the calendar
year-to-date on amounts previously charged against the allowance for loan and lease losses.
The amount reported in this item must equal Schedule RI-B, part I, item 9, column B.

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Institutions that have adopted ASU 2016-13, report in the appropriate columns the amount
credited to the allowance for credit losses for recoveries during the calendar year-to-date on
amounts previously charged against the allowance for credit losses. The amount reported in
“Loans and Leases”, column A, of this item must equal Schedule RI-B, part I, item 9,
column B.

3

LESS: Charge-offs. Institutions that have not adopted ASU 2016-13, Rreport in column A of
this item the amount of all loans and leases charged against the allowance for loan and lease
losses during the calendar year-to-date. The amount reported in this item must equal
Schedule RI-B, part I, item 9, column A, "Total" charge-offs, less Schedule RI-B, part II, item
4, “LESS: Write-downs arising from transfers of loans to a held-for-sale account.
Institutions that have adopted ASU 2016-13, report in the appropriate columns the amount by
asset type charged against the allowance for credit losses during the calendar year-to-date.
The amount reported in column A of this item must equal Schedule RI-B, part I, item 9,
column A, "Total" charge-offs, less Schedule RI-B, part II, item 4, column A, “LESS: Writedowns arising from transfers of financial assets”.

4

LESS: Write-downs arising from transfers of financial assets. Institutions that have not
adopted ASU 2016-13, Rreport in column A of this item the amount of write-downs to fair
value charged against the allowance for loan and lease losses resulting from transfers of
loans and leases to a held-for-sale account during the calendar year-to-date that occurred
when:
x the reporting bank decided to sell loans and leases that were not originated or otherwise
acquired with the intent to sell, and
x the fair value of those loans and leases had declined for any reason other than a change
in the general market level of interest or foreign exchange rates.
Institutions that have adopted ASU 2016-13 report in the appropriate columns the amount of
write-downs to fair value charged against the allowance for credit losses resulting from
transfers of loans and leases to a held-for-sale account (resulting from the events described,
above), or transfers of held-to-maturity debt securities and available-for-sale debt securities
between HTM and AFS and trading accounts during the calendar year-to-date.

5

Provision for loan and leasecredit losses. Institutions that have not adopted ASU 2016-13,
Rreport in column A of this item the amount expensed as the provision for loan and losses
during the calendar year-to-date. The provision for loan and lease losses represents the
amount needed to make the allowance for loan and lease losses adequate to absorb
estimated loan and lease losses, based upon management's evaluation of the bank's current
loan and lease exposures. The amount reported in this item must equal Schedule RI, item 4.
If the amount reported in this item is negative, report it with a minus (-) sign.
Institutions that have adopted ASU 2016-13 report in the appropriate column the amount
expensed as the provision for credit losses during the calendar year-to-date. The provisions
for credit losses represents the amount appropriate to absorb estimated credit losses over the
life of the financial assets reported at amortized cost within the scope of the standard. The

FFIEC 031 and 041

RI-B-9
(3-19)
(3-17)

RI-B - ALLOWANCE
18

FFIEC 031 and 041

RI-B - ALLOWANCE

sum of the amounts reported in item 5, columns A through C plus Schedule RI-B, Memoranda
item 5 must equal Schedule RI, item 4. If the amount reported in this item is negative, report
it with a minus (-) sign.
Adjustments. If the reporting institution was acquired in a transaction that became effective
during the year-to-date reporting period, retained its separate corporate existence, and
elected to apply pushdown accounting in its separate financial statements (including its
Consolidated Reports of Condition and Income), institutions that have not adopted ASU 201613, report in column A of in this item as a negative the balance of the allowance for loan and
lease losses most recently reported for the end of the previous calendar year, as reported in
Schedule RI-B, part III, item 1, column A, above.

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6

Institutions that have adopted ASU 2016-13, report in the appropriate columns for this item as
a negative the balance of the allowances for credit losses on financial assets that are not
determined by management to be PCD most recently reported for the end of the previous
calendar year, as reported in Schedule RI-B, part II, item 1, above. For those assets
determined by management to be PCD, the allowances for credit losses as of the acquisition
date should then be reported as a positive number in the appropriate columns for this line
item.

If the reporting institution was involved in a transaction between entities under common
control that became effective during the year-to-date reporting period and has been
accounted for in a manner similar to a pooling of interests, institutions that have not adopted
ASU 2016-13, report in column A of this item the balance as of the end of the previous
calendar year of the allowance for loan and lease losses of the institution or other business
that combined with the reporting institution in the common control transaction. Institutions that
have adopted ASU 2016-13 should report in the appropriate columns for this item the balance
as of the end of the previous calendar year of the allowances for credit losses of the institution
or other business that combined with the reporting institution in the common control
transaction
For banks with foreign offices that file the FFIEC 031 report forms, institutions that have not
adopted ASU 2016-13, report any increases or decreases resulting from the translation into
dollars of any portions of the allowance for loan and lease losses which are denominated in a
foreign currency. Institutions that have adopted ASU 2016-13, report in the appropriate
column for this item any increases or decrease resulting from the translation into dollars of
any portions of the allowances for credit losses which are denominated in a foreign currency.

In addition, institutions that have adopted ASU 2016-13 include in the appropriate columns of
this line item the following:
a) Additional allowances recorded by the institutions resulting from the adoption of
ASU 2016-13.
b)Subsequent to the adoption of ASU 2016-13, the amount of allowances for credit
losses for purchased credit-deteriorated assets recorded as of their acquisition
date.
If the amount reported in this item is negative, report it with a minus (-) sign.

State the dollar amount of and describe each transaction included in this item in
Schedule RI-E, Explanations, item 6.

7

Balance end of current period. Report in columns A, B and C the sum of items 1, 2, 5, and
6, less items 3 and 4. The amount The total amount reported in column A of this item must
equal the amount reported in Schedule RC, item 4.c., "Allowance for loan and lease losses.”

FFIEC 031 and 041

RI-B-10
(3-17)
(3-19)

RI-B - ALLOWANCE
19

FFIEC 031 and 041

RI-B - ALLOWANCE

Part II. (cont.)

Memoranda
Item No.

Allocated transfer risk reserve included in Schedule RI-B, part II, item 7, column A,
above. Report the amount of any allocated transfer risk reserve related to loans and leases
held for investment that the reporting bank is required to establish and maintain that the bank
has included in the end-of-period balance of the allowance for loan and lease losses reported
in Schedule RI-B, part II, item 7, column A, above, and in Schedule RC, item 4.c.

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1

Caption and Instructions

NOTE: Memorandum items 2 and 3 are to be completed only by those banks that:
(1) either individually or on a combined basis with their affiliated depository institutions, report
outstanding credit card receivables that exceed, in the aggregate, $500 million as of the report
date. Outstanding credit card receivables are the sum of:
(a) Schedule RC-C, part I, item 6.a (column B on the FFIEC 041, column A on the
FFIEC 031);
(b) Schedule RC-S, item 1, column C; and
(c) Schedule RC-S, item 6.a, column C.
(Include comparable data on managed credit card receivables for any affiliated depository
institution.)
OR
(2) are credit card specialty banks as defined for purposes of the Uniform Bank Performance
Report (UBPR). According to the UBPR Users Guide, credit card specialty banks are
currently defined as those banks that exceed 50% for the following two criteria:
(a) Credit Cards plus Securitized and Sold Credit Cards divided by Total Loans plus
Securitized and Sold Credit Cards.
(b) Total Loans plus Securitized and Sold Credit Cards divided by Total Assets plus
Securitized and Sold Credit Cards.
2

Separate valuation allowance for uncollectible retail credit card fees and finance
charges. Institutions that have not adopted ASU 2016-13, Rreport the amount of any
valuation allowance or contra-asset account that the bank maintains separate from the
allowance for loan and lease losses to account for uncollectible fees and finance charges on
credit cards (as defined for Schedule RC-C, part I, item 6.a).

Institutions that have adopted ASU 2016-13, report the amount of any valuation allowance or
contra-asset account that the bank maintains separate from the allowance for credit losses on
loans and leases to account for uncollectible fees and finance charges on credit cards (as
defined for Schedule RC-C, part I, item 6.a).
This Memorandum item is only applicable to those banks that maintain an allowance or
contra-asset account separate from the allowance for loan and lease losses. Do not include
in this item the amount of any valuation allowance established for impairment in retained
interests in accrued interest receivable related to securitized credit cards.

3

Amount of allowance for loan and lease losses attributable to retail credit card fees
and finance charges. Institutions that have not adopted ASU 2016-13, Rreport in this item
the amount of the allowance for loan and lease losses that is attributable to outstanding fees
and finance charges on credit cards (as defined for Schedule RC-C, part I, item 6.a). This
amount is a component of the amount reported in Schedule RC, item 4.c, and Schedule RI-B,
part II, item 7, column A. Do not include in this item the amount of any valuation allowance
established for impairment in retained interests in accrued interest receivable related to

FFIEC 031 and 041

RI-B-11
(3-17)
(3-19)

RI-B - ALLOWANCE
20

FFIEC 031 and 041

RI-B - ALLOWANCE

securitized credit cards.
Institutions that have adopted ASU 2016-13, report in this item the amount of the allowance
for credit losses on loans and leases that is attributable to outstanding fees and finance
charges on credit cards (as defined for Schedule RC-C, part I, item 6.a). This amount is a
component of the amount reported in Schedule RC, item 4.c, and Schedule RI-B, part II,
item 7, column A.

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Do not include in this item the amount of any valuation allowance established for retained
interests in accrued interest receivable related to securitized credit cards.

FFIEC 031 and 041

RI-B-12
(3-17)
(3-19)

RI-B - ALLOWANCE
21

FFIEC 031 and 041

RI-B - ALLOWANCE

Part II. (cont.)

Memoranda
Item No.

Caption and Instructions

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NOTE: Memorandum item is to be completed only by all banksinstitutions that have not adopted ASU
2016-13, which governs the accounting for credit losses. ,QVWLWXWLRQVWKDWKDYHDGRSWHG$68
VKRXOGOHDYHWKLVLWHPEODQN
4
Amount of allowance for post-acquisition credit losses on purchased credit-impaired
loans accounted for in accordance with FASB ASC 310-30 (former AICPA Statement of
Position 03-3). Report in this item the amount of any valuation allowances established after
acquisition for decreases in cash flows expected to be collected on purchased credit-impaired
loans and pools of purchased credit-impaired loans reported as held for investment in
Schedule RC, item 4.b, and accounted for in accordance with ASC Subtopic 310-30,
Receivables – Loans and Debt Securities Acquired with Deteriorated Credit Quality (formerly
AICPA Statement of Position 03-3, “Accounting for Certain Loans or Debt Securities Acquired
in a Transfer”). These post-acquisition allowances should be included in the bank's allowance
for loan and lease losses as reported in Schedule RC, item 4.c, and Schedule RI-B, part II,
item 7. Under ASC Subtopic 310-30, for a purchased credit-impaired loan accounted for
individually (and not accounted for as a debt security), if, upon evaluation subsequent to
acquisition, it is probable based on current information and events that an institution will be
unable to collect all cash flows expected at acquisition (plus additional cash flows expected to
be collected arising from changes in estimate after acquisition), the purchased credit-impaired
loan should be considered impaired for purposes of establishing an allowance pursuant to
ASC Subtopic 450-20, Contingencies – Loss Contingencies (formerly FASB Statement No. 5,
“Accounting for Contingencies”) or ASC Topic 310, Receivables (formerly FASB Statement
No. 114, “Accounting by Creditors for Impairment of a Loan”), as appropriate. For purchased
credit-impaired loans with common risk characteristics that are aggregated and accounted for
as a pool, this impairment analysis should be performed subsequent to acquisition at the pool
level as a whole and not at the individual loan level.
NOTE: Memorandum items 5 and 6 are to be completed only by institutions that have adopted ASU
2016-13. ,QVWLWXWLRQVWKDWKDYHQRWDGRSWHG$68VKRXOGOHDYHWKLVLWHPEODQN
5

Provisions for credit losses on other financial assets measured at amortized cost (not
included in RI-B Part II, item 5, columns A through C, above). Report in this line item
provisions related to allowances for credit losses on financial assets measured at amortized
cost, included in Schedule RI, item 4, other than loans, leases, held-to-maturity debt securities
and available-for-sale debt securities.

6

Allowances for credit losses on other financial assets measured at amortized cost (not
included in RI-B Part II, item 7, columns A through C, above). Report in this line item total
allowances related to credit losses on financial assets measured at amortized cost other than
loans, leases, held-to-maturity debt securities and available-for-sale debt securities that are
associated with the provisions reported in Memorandum item 5, above.

FFIEC 031 and 041

RI-B-13
(6-12)
(3-19)

RI-B - ALLOWANCE
22

FFIEC 031 and 041

RI-C – DISAGGREGATED ALLOWANCE DATA

SCHEDULE RI-C – DISAGGREGATED DATA ON THE ALLOWANCE
FOR LOAN AND LEASE LOSSES
General Instructions
Schedule RI-C is to be completed by institutions with $1 billion or more in total assets.

D
D
R
R
A
A
FFTT

Part I. Disaggregated Data on the Allowance for Loan and Lease Losses of this schedule is to be completed only
by institutions that have not adopted Accounting Standards Update, No. 2016-13 (ASU 2016-13), which governs
the accounting for credit losses. Institutions that have adopted ASU 2016-13 leave the data items blank Part I.
Part II. Disaggregated Data on Allowances for Credit Losses is to be completed only by institutions that have
adopted ASU 2016-13. Institutions that have not adopted ASU 2016-13 leave the data items blank on Part II.
Part I. Disaggregated Data on the Allowance for Loan and Lease Losses
General Instructions for Part I

This schedule has six columns for the disclosure by portfolio category of the balance in the allowance for
loan and lease losses at the end of each quarter disaggregated on the basis of the reporting institution’s
impairment method and the related recorded investment in loans (and, as applicable, leases) held for
investment (excluding loans held for investment that the institution has elected to report at fair value
under a fair value option) disaggregated in the same manner: two columns for information on loans
individually evaluated for impairment, two columns for information on loans and leases collectively
evaluated for impairment, and two columns for purchased credit-impaired loans. For further information
on loan impairment methods, see the Glossary entries for “loan impairment” and “purchased creditimpaired loans and debt securities.”

Loans and leases held for investment are loans and leases that the institution has the intent and ability to
hold for the foreseeable future or until maturity or payoff.

The loan and lease portfolio categories for which allowance and related recorded investment amounts are
to be reported in Schedule RI-C represent general categories rather than the standardized loan
categories defined in Schedule RC-C, part I, Loans and Leases. Based on the manner in which it
segments its portfolio for purposes of applying its allowance methodology, each institution should report
each component of the overall allowance reported in Schedule RC, item 4.c, and the recorded investment
in the related loans and leases in the Schedule RI-C general loan category that best corresponds to the
1
characteristics of the related loans and leases. The sum of the recorded investment amounts reported in
Schedule RI-C (plus the fair value of loans held for investment for which the fair value option has been
elected) must equal the balance sheet amount of held-for-investment loans and leases reported in
Schedule RC, item 4.b, “Loans and leases held for investment.” Thus, the recorded investment amounts
reported in columns A, C, and E of Schedule RI-C must be net of unearned income.
Column Instructions

Columns A and B: For each of the specified general categories of loans held for investment, report
in column A the recorded investment in individually evaluated loans that have been determined to be
impaired as defined in ASC Subtopic 310-10, Receivables – Overall (formerly FASB Statement
No. 114, “Accounting by Creditors for Impairment of a Loan,” as amended), including all loans
restructured in troubled debt restructurings, and report in column B the balance of the allowance for loan
and lease losses attributable to these individually impaired loans measured in accordance with ASC
Subtopic 310-10.

Columns C and D: For each of the specified general categories of loans and leases held for investment,
report in column C the recorded investment in loans and leases that have been collectively evaluated for
FFIEC 031 and 041

RI-C-1
(3-17)
(3-19)

RI-C – DISAGGREGATED ALLOWANCE DATA

23

FFIEC 031 and 041

RI-C – DISAGGREGATED ALLOWANCE DATA

impairment in accordance with ASC Subtopic 450-20, Contingencies – Loss Contingencies (formerly

1

D
D
R
R
A
A
FFTT

For example, based on its allowance methodology, one institution’s allowance components for credit cards might
relate to both consumer and business credit card receivables, but another institution’s allowance components for
credit cards might relate only to consumer credit card receivables.
As another example, based on its allowance methodology, one institution might include its loans secured by
farmland in its allowance components for commercial real estate loans, but another institution might include its loans
secured by farmland in its allowance components for commercial loans.

FFIEC 031 and 041

RI-C-2
(3-17)
(3-19)

RI-C – DISAGGREGATED ALLOWANCE DATA

24

FFIEC 031 and 041

Item No.

RI-C – DISAGGREGATED ALLOWANCE DATA

Caption and Instructions

5

Unallocated, if any. Report in column D the amount of any unallocated
portion of the allowance for loan and lease losses for loans collectively
evaluated for impairment. An institution is not required to have an
unallocated portion of the allowance.

6

Total. For each column in Schedule RI-C, report the sum of items 1 through 5.

D
D
R
R
A
A
FFTT

The sum of the amounts reported in Schedule RI-C, item 6, columns B, D, and F
must equal Schedule RC, item 4.c, “Allowance for loan and lease losses.”

The amount reported in Schedule RI-C, item 6, column E, must equal Schedule RC-C,
part I, Memorandum item 7.b, “Amount included in Schedule RC-C, part I, items 1 through 9.”

The amount reported in Schedule RI-C, item 6, column F, must equal Schedule
RI-B, part II, Memorandum item 4, “Amount of allowance for post-acquisition
credit losses on purchased credit-impaired loans accounted for in accordance
with FASB ASC 310-30.”

The sum of the amounts reported in Schedule RI-C, item 6, columns A, C, and
E, plus the amount reported in Schedule RC-Q, item 4, column A, “Total fair
value reported on Schedule RC” for loans and leases held for investment, must
equal Schedule RC, item 4.b, “Loans and leases held for investment.”

Part II. Disaggregated Data on the Allowances for Credit Losses

General Instructions for Part II

Schedule RI-C, part II includes the disaggregated information on the amortized cost basis of held for
investment loans and leases and its related allowance balances, as well as the disaggregated allowance
balances on held-to-maturity securities.
These instructions should be read in conjunction with the Glossary entries for “allowances for credit
losses.”

Institutions that have not adopted ASU 2016-13 should complete only Schedule RI-C Part I.
Disaggregated Data on Allowances for Loans and Leases and should leave the data items reported on
Part II blank.

Item Instructions
Item No.

Caption and Instructions

1 to 6

General Instructions for Loans and Leases, Held for Investment: The loan and lease
portfolio categories for which allowance and related amortized cost amounts are to be
reported in Schedule RI-C, part II, represent general categories rather than standardized loan
categories defined in Schedule RC-C, part I, Loans and Leases. Based on the manner in
which it segments its portfolio for purposes of applying its allowance methodology, each
institution should report each component of the overall allowance reported in Schedule RC,
item 4.c, and the amortized cost in the related loans and leases in the Schedule RI-C general

FFIEC 031 and
041

RI-C-3
RI-C – DISAGGREGATED ALLOWANCE DATA
(3-17)
(3-19)
25

FFIEC 031 and 041

RI-C – DISAGGREGATED ALLOWANCE DATA

loan category that best corresponds to the characteristics of the related loans and leases. 1
Loans and leases held for investment are loans and leases that the institution has the intent
and ability to hold for the foreseeable future or until maturity or payoff.

D
D
R
R
A
A
FFTT

For each of the specified general categories of loans and leases held for investment, report
in column A, “Amortized Cost”, the amortized cost basis of all loans and leases held for
investment. The sum of the amortized cost amounts reported in Schedule RI-C, Part II, item
6, Column A, “Total” plus the fair value of loans held for investment reported on Schedule
RC-Q for which the fair value option has been elected must equal the balance sheet amount
of held-for-investment loans and leases reported in Schedule RC, item 4.b, “Loans and
leases held for investment.” Thus, the amortized cost amounts reported in columns A must
be net of unearned income.
Report in column B, “Allowance Balance”, the balance of the allowance for credit losses
measured in accordance with ASC Subtopic 326-20 by the specified general categories of
loans and leases held for investment.

1

Real estate loans:

1.a

Construction loans. Report in column A the amortized cost basis in held for investment
construction loans and in column B the related balance in the allowance for credit losses for
such loans. Exclude loans that the institution has elected to report at fair value under a fair
value option.

1.b

Commercial real estate loans. Report in column A the amortized cost basis in held for
investment commercial real estate loans and in column B the related balance in the
allowance for credit losses for such loans. Exclude loans that the institution has elected to
report at fair value under a fair value option.

1.c

Residential real estate loans. Report in column A the amortized cost basis in held for
investment residential real estate loans and in column B the related balance in the allowance
for credit losses for such loans. Exclude loans that the institution has elected to report at fair
value under a fair value option.

2

Commercial loans. Report in column A the amortized cost basis in all in held for investment
commercial loans and in column B the related balance in the allowance for credit losses for
such loans. For purposes of this item, commercial loans include all loans and leases not
reported as real estate loans, credit cards, or other consumer loans in the other items
reported in Schedule RI-C. Exclude loans that the institution has elected to report at fair
value under a fair value option.

3

Credit cards. Report in column A the amortized cost basis in all held for investment
extensions of credit arising from credit cards and in column B the related balance in the
allowance for credit losses for such extensions of credit. Exclude loans that the institution
has elected to report at fair value under a fair value option.

4

Other consumer loans. Report in column A the amortized costs basis in all held for

1

For example, based on its allowance methodology, one institution’s allowance components for credit
cards might relate to both consumer and business credit card receivables, but another institution’s
allowance components for credit cards might relate only to consumer credit card receivables.
As another example, based on its allowance methodology, one institution might include its loans secured by
farmland in its allowance components for commercial real estate loans, but another institution might include its loans
secured by farmland in its allowance components for commercial loans

FFIEC 031 and
041

RI-C-4
RI-C – DISAGGREGATED ALLOWANCE DATA
(3-17)
(3-19)
26

FFIEC 031 and 041

RI-C – DISAGGREGATED ALLOWANCE DATA

investment consumer loans other than credit cards and in column B the related balance in the
allowance for credit losses for such loans. Exclude loans that the institution has elected to
report at fair value under a fair value option.

7 to 11

7

8

General Instructions for Held-To-Maturity Securities. For each of the specified general
categories of held-to-maturity debt securities, report the balance of the allowance for credit
losses attributable to these securities measured in accordance with ASC Subtopic 326-20. The
amounts of the allowance for credit losses reported in items 7 through 10 correspond to the
securities categories defined in Schedule RC-B, as noted below.
Securities issued by states and political subdivisions in the U.S. Report the allowance
for credit losses on held-to-maturity debt securities that have been issued by states and
political subdivisions in the U.S. The amount reported in this line item represents the
allowance for credit losses for the amortized cost of the same debt securities category
reported in line item 3, column A on Schedule RC-B.

Mortgage-backed securities (MBS) (including CMOs, REMICs and stripped MBS). Report
the allowance for credit losses on held-to-maturity mortgage-backed securities The amount
reported in this line item represents the allowance for credit losses for the amortized cost of
the same debt securities categories reported in line items 4.a.(1),4.a.(2),4.a.(3), 4.b.(1), 4.b.(2),
4.b.(3), 4.c.(1).(a), 4.c.(1).(b), 4.c.(2).(a) and 4.c.(2).(b),column A on Schedule RC-B.
Asset-backed securities and structured financial products. Report the allowance for
credit losses on held-to-maturity asset-backed securities and structured financial products.
The amount reported in this line item represents the allowance for credit losses for the
amortized cost of the same debt securities categories reported in line items 5.a and 5.b,
column A on Schedule RC-B.

R

9

Total. Report the sum of items 1.a through 5. The total of column A plus the amount reported
in Schedule RC-Q, item 4, column A, “Total fair value reported on Schedule RC” for loans and
leases held for investment, must equal Schedule RC, item 4.b, “Loans and leases held for
investment." Total of column B must equal Schedule RC, item 4.c, “Allowance for loan and
lease losses.”

FT

6

Unallocated, if any. Report the amount of any unallocated portion of the allowance for credit
losses. An institution should only have an unallocated portion of its allowance for credit losses
that is appropriately supported and documented, and such an amount would be acceptable as
part of management’s best estimate of current expected credit losses.

A

5

10

Total. Report the sum of items 7 through 10. The sum of the amounts reported in item 11,
“Total” should equal the amount reported in Schedule RI-B, Part II, column B, item 7,
“Balance end of current period”,

D

11

Other debt securities. Report the allowance for credit losses on held-to-maturity other debt
securities not reported in items 7 to 9.

FFIEC 031 and
041

RI-C-5
(3-19)
(3-17)

RI-C – DISAGGREGATED ALLOWANCE DATA

27

FFIEC 031

RI-D – FOREIGN OFFICE INCOME

SCHEDULE RI-D – INCOME FROM FOREIGN OFFICES
General Instructions
Schedule RI-D is applicable only to certain banks that file the FFIEC 031 report forms.

D
D
R
R
A
A
FFTT

Banks with foreign offices are required to complete this schedule if (1) their foreign office assets are
$10 billion or more and (2) their foreign office assets, revenues, or net income account for more than
10 percent of the bank’s consolidated total assets, total revenues, or net income; otherwise, banks need
not complete this schedule. Banks should use foreign office and consolidated total revenues (net interest
income plus noninterest income) and net income from the preceding calendar year and foreign office and
consolidated total assets as of the preceding calendar year end when determining whether they exceed
the $10 billion foreign office asset-size threshold and the 10 percent threshold for completing this
schedule each quarter during the next calendar year.

For purposes of these reports, a foreign office of the reporting bank is a branch or consolidated subsidiary
located in a foreign country; an Edge or Agreement subsidiary, including both its U.S. and its foreign
offices; or an IBF. In addition, if the reporting bank is chartered and headquartered in the 50 states of the
United States and the District of Columbia, a branch or consolidated subsidiary located in Puerto Rico or
a U.S. territory or possession is a foreign office. Branches on U.S. military facilities wherever located are
treated as domestic offices, not foreign offices.

Banks that are required to complete Schedule RI-D should report all income and expense in foreign
offices and related amounts for the calendar year-to-date. Amounts should be reported in this schedule
(except items 7, 11, and 12) on a foreign office consolidated basis, i.e., before eliminating the effects of
transactions with domestic offices, but after eliminating the effects of transactions between foreign offices.
For the most part, the income and expense items in Schedule RI-D mirror categories of income and
expense reported in Schedule RI. Therefore, where appropriate, banks should refer to the instructions for
Schedule RI for the definitions of the income and expense items in this schedule.
Item Instructions
Item No.

Caption and Instructions

1

Total interest income in foreign offices. Report total interest income (as defined for
Schedule RI, item 1.h) in foreign offices, including fees and similar charges associated with
foreign office assets.

2

Total interest expense in foreign offices. Report total interest expense (as defined for
Schedule RI, item 2.e) on deposits, borrowings, and other liabilities in foreign offices.

3

Provision for loan and lease losses in foreign offices. Institutions that have not adopted
Accounting Standards Update No. 2016-13 (ASU 2016-13), which governs the accounting for
credit losses, Rreport the provision for loan and lease losses (as defined for Schedule RI,
item 4) in foreign offices. If the amount to be reported in this item is negative, report it with a
minus (-) sign.
Institutions that have adopted ASU 2016-13, report the provision for credit losses (as defined
for Schedule RI, item 4) in foreign offices.

4

Noninterest income in foreign offices:

4.a

Trading revenue. Report trading revenue (as defined for Schedule RI, item 5.c) in foreign
offices, including the net gain or loss from trading cash instruments and derivative contracts
(including commodity contracts), related revaluation adjustments, and incidental income that
has been recognized in foreign offices. If the amount to be reported in this item is a net loss,

FFIEC 031

RI-D-1
(6-18)
(3-19)

RI-D – FOREIGN OFFICE INCOME
28

FFIEC 031 and 041

Item No.
3

RI-E - EXPLANATIONS

Caption and Instructions
Discontinued operations and applicable income tax effect. List and briefly describe in
items 3.a and 3.b the gross dollar amount of the results of each of the discontinued
operations included in Schedule RI, item 11, "Discontinued operations, net of applicable
income taxes," and its related income tax effect, if any. If Schedule RI, item 11, includes the
results of more than two discontinued operations, report the additional items and their related
tax effects in Schedule RI-E, item 7, below.

D
D
R
R
A
A
FFTT

If the results of discontinued operations are a loss, report the dollar amount with a minus (-)
sign. If an applicable income tax effect is a tax benefit (rather than a tax expense), report the
dollar amount with a minus (-) sign.

4

4.a

Cumulative effect of changes in accounting principles and corrections of material
accounting errors:

Adoption of Current Expected Credit Loss Methodology – ASU 2016-13. Report in this
item the cumulative-effect adjustment for the changes in the allowances for credit losses, net
of any related deferred tax assets, recognized in retained earnings as of the beginning of the
first reporting period in which the institution adopts ASU 2016-13, which governs the
accounting for credit losses. Exclude the gross up amounts of purchased credit impaired
assets to purchased credit deteriorated assets, which is reported in item 6 of this schedule.
Institutions that have not adopted ASU 2016-13 leave this line item blank.

4.b and 4.c List and briefly describe in items 4.a b and 4.cb the dollar amount of the cumulative effect of
each change in accounting principle and correction of a material accounting error, net of
applicable income taxes, that is included in Schedule RI-A, item 2, other than the initial
cumulative-effect adjustment for the adoption of ASU 2016-13, which would be reported in
item 4.a. in this schedule. If Schedule RI-A, item 2, includes more than two accounting
principle changes other than the initial adoption of ASU 2016-13, and accounting error
corrections, report the cumulative effect of each additional accounting principle change and
error correction in Schedule RI-E, item 7, below.

If the cumulative effect of an accounting principle change or an accounting error correction
represents a reduction of the bank's equity capital, report the dollar amount with a minus (-)
sign.

5

Other transactions with stockholders (including a parent holding company). List and
briefly describe in items 5.a and 5.b the dollar amount of each type of other transaction with
the reporting institution's stockholders, including its parent holding company, if any, that is
included in Schedule RI-A, item 11. If Schedule RI-A, item 11, includes more than two types
of other transactions, report the additional types of other transactions in Schedule RI-E,
item 7, below.
If the effect of a type of other transaction with the reporting institution’s stockholders,
including a parent holding company, if any, is to reduce the institution’s equity capital, report
the dollar amount with a minus (-) sign.

6

Adjustments to allowances for loan and lease credit losses.

The sum of items 6.a, 6.b, 6.c and 6.d must equal the sum of Schedule RI-B, item 6, columns
A through C.
Institutions that have not adopted ASU 2016-13 leave items 6.a and 6.b blank.

FFIEC 031 and 041

RI-E-3
(6-18)
(3-19)

RI-E - EXPLANATIONS
29

FFIEC 031 and 041

RI-E - EXPLANATIONS

Initial allowances for credit losses recognized upon the acquisition of purchased
credit-deteriorated assets. For institutions that have adopted ASU 2016-13, report in this
item, as a positive (+) number, the initial allowance for credit losses recognized on purchased
credit-deteriorated assets. Item 6.a is applicable both in the period in which an institution
adopts ASU 2016-13 and in any subsequent periods in which an institution acquires
purchased credit-deteriorated assets. Report only the allowance as-of the acquisition date of
the PCD assets. Any subsequent changes to the allowances on purchased creditdeteriorated assets would be reported in Schedule RI-B, Part II in line item 5.

6.b.

Effect of adoption of current expected credit losses methodology on allowances for
credit losses on loans and leases held for investment and held-to-maturity debt
securities. Report in this item the change in the amount of allowances from initially applying
ASU 2016-13 to these two categories of assets as of the effective date of the accounting
standard in the period of adoption, including the initial allowance gross-up for any purchased
credit-deteriorated assets held as of the effective date. For further information, see the
Glossary entry “Purchased Credit Deteriorated (PCD) Loans and Debt Securities.”

D
D
R
R
A
A
FFTT

6.a.

6.c and 6.d Institutions that have not adopted ASU 2016-13 lList and briefly describe in items 6.ca and
6.db the dollar amount of each type of adjustment to the allowance for loan and lease losses
that is included in Schedule RI-B, part II, item 6. If Schedule RI-B, part II, item 6, includes
more than two types of adjustments, report the additional adjustments in Schedule RI-E, item
7, below.
Institutions that have adopted ASU 2016-13 list and briefly describe in items 6.c and 6.d the
dollar amount of each type of adjustment to the allowance for credit losses that is included in
Schedule RI-B, part II, item 6 that are not reported in items 6.a or 6.b. If Schedule RI-B, part
II, item 6, includes more than two types of adjustments that are not reported in items 6.a or
6.b, report the additional adjustments in Schedule RI-E, item 7, below.
If the effect of an adjustment is to reduce the bank's allowance for loan and lease losses,
report the dollar amount with a minus (-) sign.

7

Other explanations. In the space provided on the report form, the bank may, at its option,
list and briefly describe any other significant items relating to the Consolidated Report of
Income. The bank's other explanations must not exceed 750 characters, including
punctuation and standard spacing between words and sentences.

FFIEC 031 and 041

RI-E-4
(6-18)
(3-19)

RI-E - EXPLANATIONS
30

FFIEC 031 and 041

Item No.

RC - BALANCE SHEET

Caption and Instructions

2

Securities:

2.a

Held-to-maturity securities. Report the amount from Schedule RC-B, item 8, column A,
"Total amortized cost."

D
D
R
R
A
A
FFTT

Institutions that have adopted ASU 2016-13, which governs the accounting for credit losses,
report the amortized cost net of any applicable allowance for credit losses. The amount
reported in Schedule RC, item 2.a, must equal the amount reported in Schedule RC-B, item
8, column A, "Total amortized cost" less the amount of the allowances for credit losses
reported in Schedule RI-B, Part II, item 7, column B, ”Balance end of current period.”

2.b

Available-for-sale securities. Report the amount from Schedule RC-B, item 8, column D,
"Total fair value."

NOTE: Item 2.c is to be completed only by institutions that have adopted FASB Accounting Standards
Update No. 2016-01 (ASU 2016-01), which includes provisions governing the accounting for investments
in equity securities, including investment in mutual funds, and eliminates the concept of available-for-sale
equity securities. ASU 2016-01 requires holdings of equity securities (except those accounted for under
the equity method or that result in consolidation), including other ownership interests (such as
partnerships, unincorporated joint ventures, and limited liability companies), to be measured at fair value
with changes in the fair value recognized through net income. However, an institution may choose to
measure equity securities and other equity investments that do not have readily determinable fair values
at cost minus impairment, if any, plus or minus changes resulting from observable price changes in
orderly transactions for the identical or a similar investment of the same issuer.
Institutions that have not adopted ASU 2016-01 should leave item 2.c blank and report their holdings of
equity securities with readily determinable fair values not held for trading as available-for-sale equity
securities in Schedule RC-B, item 7, and in Schedule RC, item 2.b.

For institutions that are public business entities, as defined in U.S. GAAP, ASU 2016-01 is effective for
fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. For
example, an institution with a calendar year fiscal year that is a public business entity must begin to apply
ASU 2016-01 in its Call Report for March 31, 2018. For all other institutions, ASU 2016-01 is effective for
fiscal years beginning after December 15, 2018, and interim periods within fiscal years beginning after
December 15, 2019. For example, an institution with a calendar year fiscal year that is not a public
business entity must begin to apply ASU 2016-01 in its Call Report for December 31, 2019. Early
application of ASU 2016-01 is permitted for all institutions that are not public business entities as of
fiscal years beginning after December 15, 2017, including interim periods within those fiscal years.
2.c

Equity securities with readily determinable fair values not held for trading. Report the
fair value of all investments in mutual funds and other equity securities (as defined in ASC
Topic 321, Investments-Equity Securities) with readily determinable fair values that are not
held for trading. Such securities include, but are not limited to, money market mutual funds,
mutual funds that invest solely in U.S. Government securities, common stock, and perpetual
preferred stock. Perpetual preferred stock does not have a stated maturity date and cannot
be redeemed at the option of the investor, although it may be redeemable at the option of the
issuer.
Exclude equity securities held for trading from Schedule RC, item 2.c. For purposes of the
Call Report balance sheet, trading activities typically include (a) regularly underwriting or
dealing in securities; interest rate, foreign exchange rate, commodity, equity, and credit
derivative contracts; other financial instruments; and other assets for resale, (b) acquiring or
taking positions in such items principally for the purpose of selling in the near term or
otherwise with the intent to resell in order to profit from short-term price movements, and

FFIEC 031 and 

5&
(3-18)
(3-19)

5&%$/$1&(6+((7
31

FFIEC 031 and 041

RC - BALANCE SHEET

Item No.

Caption and Instructions

3.a
(cont.)

(3) Deposit balances due from a Federal Home Loan Bank (report as balances due from
depository institutions in Schedule RC, item 1.a or 1.b, as appropriate).
(4) Lending transactions in foreign offices involving immediately available funds with an
original maturity of one business day or under a continuing contract that are not securities
resale agreements (report in Schedule RC, item 4.b, "Loans and leases held for
investment").

D
D
R
R
A
A
FFTT

For further information, see the Glossary entry for "federal funds transactions."
3.b

Securities purchased under agreements to resell. Report the outstanding amount of:

(1) Securities resale agreements, regardless of maturity, if the agreement requires the bank
to resell the identical security purchased or a security that meets the definition of
substantially the same in the case of a dollar roll.
(2) Purchases of participations in pools of securities, regardless of maturity.

Report securities purchased under agreements to resell on a gross basis, i.e., do not net
them against securities sold under agreements to repurchase, except to the extent permitted
under ASC Subtopic 210-20, Balance Sheet – Offsetting (formerly FASB Interpretation
No. 41, “Offsetting of Amounts Related to Certain Repurchase and Reverse Repurchase
Agreements”). Include the fair value of securities purchased under agreements to resell that
are accounted for at fair value under a fair value option.
Institutions that have adopted ASU 2016-13, which governs the accounting for credit losses,
report the amount in this line item net of any applicable allowance for credit losses. For
further information, see the Glossary entry for “Allowance for credit losses.”

Exclude from this item:

(1) Resale agreements involving assets other than securities (report in Schedule RC,
item 3.a, "Federal funds sold," or item 4.b, "Loans and leases held for investment,"
as appropriate, depending on the maturity and office location of the transaction).

(2) Due bills representing purchases of securities or other assets by the reporting bank that
have not yet been delivered and similar instruments, whether collateralized or
uncollateralized (report in Schedule RC, item 4.b). See the Glossary entry for "due bills."
(3) So-called yield maintenance dollar repurchase agreements (see the Glossary entry for
"repurchase/resale agreements").

For further information, see the Glossary entry for "repurchase/resale agreements."

4

Loans and lease financing receivables. Report in the appropriate subitem loans and
leases held for sale and loans and leases that the reporting bank has the intent and ability to
hold for the foreseeable future or until maturity or payoff, i.e., held for investment. The sum of
Schedule RC, items 4.a and 4.b, must equal Schedule RC-C, part I, item 12, (column A on
the FFIEC 031).

FFIEC 031 and 

5&E
(3-18)
(3-19)

5&%$/$1&(6+((7
32

FFIEC 031 and 041

Item No.

Caption and Instructions
Loans and leases held for sale. Report the amount of loans and leases held for sale.
Loans and leases held for sale should be reported at the lower of cost or fair value except for
those loans held for sale that the bank has elected to account for at fair value under a fair
value option, which should be reported in this item at fair value. For loan and leases held for
sale that are reported at the lower of cost or fair value, the amount by which cost exceeds fair
value, if any, shall be accounted for as a valuation allowance within this item. No allowance
for loan and lease losses should be included in Schedule RC, item 4.c, for loans and leases
held for sale. All loans and leases reported in this item must also be reported by loan
category in Schedule RC-C, part I.

D
D
R
R
A
A
FFTT

4.a

RC - BALANCE SHEET

Institutions that have adopted ASU 2016-13, which governs the accounting for credit losses,
should not include any allowance for credit losses in Schedule RC, item 4.c, for loans and
leases held for sale.

4.b

Loans and leases held for investment. Report the amount of loans and leases that
the reporting bank has the intent and ability to hold for the foreseeable future or until maturity
or payoff, i.e., loans held for investment. Include loans held for investment that the bank has
elected to account for at fair value under a fair value option, which should be reported in this
item at fair value. All loans and leases reported in this item must also be reported by loan
category in Schedule RC-C, part I.

4.c

Less: Allowance for loan and lease losses. Report the allowance for loan and lease
losses as determined in accordance with the instructions in the Glossary entry for "allowance
for loan and lease losses." Institutions that have adopted ASU 2016-13, which governs the
accounting for credit losses, report the allowance for credit losses. For further information,
see the Glossary entry for “allowance for credit losses.” Also include in this item any
allocated transfer risk reserve related to loans and leases held for investment that the
reporting bank is required to establish and maintain as specified in Section 905(a) of the
International Lending Supervision Act of 1983, in the agency regulations implementing the
Act (Subpart D of Federal Reserve Regulation K, Part 347 of the FDIC’s Rules and
Regulations, and Part 20 of the Comptroller of the Currency’s Regulations), and in any
guidelines, letters, or instructions issued by the agencies. This item must equal Report of
Income Schedule RI-B, part II, item 7, column A, "Balance end of current period.”

4.d

Loans and leases held for investment, net of allowance. Report the amount derived by
subtracting Schedule RC, item 4.c, from Schedule RC, item 4.b.

FFIEC 031 and 

5&F
(3-19)
(3-18)

RC-%$/$1&(6+((7
33

FFIEC 031 and 041

Item No.

Caption and Instructions

26.a
(cont.)

Exclude from retained earnings:

RC - BALANCE SHEET

(1) Any portion of the proceeds received from the sale of common stock in excess of its par
or stated value (report in Schedule RC, item 25).
(2) Any portion of the proceeds received from the sale of preferred stock in excess of its par
or stated value (report in Schedule RC, item 19 or 23, as appropriate).

D
D
R
R
A
A
FFTT

(3) "Reserves" that reduce the related asset balances such as valuation allowances (e.g.,
the allowance for loan and lease losses, or for institutions that have adopted ASU 201613, the allowances for credit losses), reserves for depreciation, and reserves for bond
premiums.

26.b

Accumulated other comprehensive income. Report the accumulated balance of other
comprehensive income as of the report date in accordance with ASC Subtopic 220-10,
Comprehensive Income – Overall (formerly FASB Statement No. 130, “Reporting
Comprehensive Income”), net of applicable income taxes, if any. “Other comprehensive
income” refers to revenues, expenses, gains, and losses that under generally accepted
accounting principles are included in comprehensive income but excluded from net income.
Items of accumulated other comprehensive income include:

(1) Net unrealized holding gains (losses) on available-for-sale securities (including debt
securities transferred into the available-for-sale category from the held-to-maturity
category), i.e., the difference between the amortized cost and the fair value of the
reporting bank's available-for-sale securities (excluding any available-for-sale securities
previously written down as other-than-temporarily impaired, or for institutions that have
adopted ASU 2016-13 any allowance for credit losses). 1 For most institutions, all
"securities," as that term is defined in ASC Topic 320, Investments-Debt Securities
(formerly FASB Statement No. 115, “Accounting for Certain Investments in Debt and
Equity Securities”), that are designated as "available-for-sale" will be reported as
"Available-for-sale securities" in Schedule RC, item 2.b, and in Schedule RC-B,
columns C and D. However, an institution may have certain assets that fall within the
definition of "securities" in ASC Topic 320 (e.g., nonrated industrial development
obligations) that it has designated as "available-for-sale" and reports in a
balance sheet category other than "Securities" (e.g., "Loans and lease financing
receivables") for purposes of the Report of Condition. These "available-for-sale" assets
must be carried on the Report of Condition balance sheet at fair value rather than
amortized cost and the difference between these two amounts, net of tax effects, also
must be included in this item.

(2) The unamortized balance of the unrealized holding gain (loss) that existed at the date of
transfer of a debt security transferred into the held-to-maturity category from the

1

For example, if the fair value of the reporting institution's available-for-sale securities exceeds the amortized cost of
its available-for-sale securities by $100,000 (and the institution has had no other transactions affecting the "net
unrealized holding gains (losses)" account), the amount to be included in Schedule RC, item 26.b, must be reduced
by the estimated amount of taxes using the institution's applicable tax rate (federal, state and local). (See the
Glossary entry for "income taxes" for a discussion of "applicable tax rate.") If the institution's applicable tax rate
(federal, state and local) is 40% and the tax basis of its available-for-sale securities approximates their amortized
cost, the institution would include "net unrealized holding gains" of $60,000 [$100,000 - (40% x $100,000)] in
Schedule RC, item 26.b. The institution would also have a deferred tax liability of $40,000 that would enter into the
determination of the amount of net deferred tax assets or liabilities to be reported in Schedule RC-F, item 2, or
Schedule RC-G, item 2.

FFIEC 031 and 

5&
(6-18)
(3-19)

5&%$/$1&(6+((7
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FFIEC 031 and 041

Item No.
26.b
(cont.)

RC - BALANCE SHEET

Caption and Instructions
transferred from the available-for-sale category into the held-to-maturity category, the
unrealized holding gain (loss) at the date of transfer continues to be reported in the
accumulated other comprehensive income account, but must be amortized over the
remaining life of the security as an adjustment of yield in a manner consistent with the
amortization of any premium or discount.

D
D
R
R
A
A
FFTT

(3) The unaccreted portion of other-than-temporary impairment losses on available-for-sale
and held-to-maturity debt securities that was not recognized in earnings in accordance
with ASC Topic 320, plus the accumulated amount of subsequent decreases (if not otherthan-temporary impairment losses) or increases in the fair value of available-for-sale debt
securities previously written down as other-than-temporarily impaired.
Institutions that have adopted ASU 2016-13, include the unaccreted portion of unrealized
losses on available-for-sale and held-to-maturity debt securities that was not recognized
in earnings in accordance with ASC Topic 320, plus the accumulated amount of
subsequent increases or decreases (not attributable to credit impairment) in the fair value
of available-for sale debt securities, or increases in the fair value after a write-down that
resulted from the intent to sell or a more likely-than-not requirement.

(4) Accumulated net gains (losses) on derivative instruments that are designated and qualify
as cash flow hedges,2 i.e., the effective portion3 of the accumulated change in fair value
(gain or loss) on derivative instruments designated and qualifying as cash flow hedges in
accordance with ASC Topic 815, Derivatives and Hedging (formerly FASB Statement
No. 133, “Accounting for Derivative Instruments and Hedging Activities,” as amended).

Under ASC Topic 815, an institution that elects to apply hedge accounting must exclude
from net income the effective portion of the change in fair value of a derivative designated
and qualifying as a cash flow hedge and record it on the balance sheet in the
accumulated other comprehensive income component of equity capital. The ineffective
portion of the change in fair value of the derivative designated and qualifying as a cash
flow hedge must be reported in earnings. The component of accumulated other
comprehensive income associated with a transaction hedged in a cash flow hedge
should be adjusted each reporting period to a balance that reflects the lesser (in absolute
amounts) of:
(a) The cumulative gain (loss) on the derivative from inception of the hedge, less
(i) amounts excluded consistent with the institution's defined risk management
strategy and (ii) the derivative's gains (losses) previously reclassified from
accumulated other comprehensive income into earnings to offset the hedged
transaction, or

(b) The portion of the cumulative gain (loss) on the derivative necessary to offset the
cumulative change in expected future cash flows on the hedged transaction from
inception of the hedge less the derivative's gains (losses) previously reclassified
from accumulated other comprehensive income into earnings.

2

Generally, the objective of a cash flow hedge is to link a derivative to an existing recognized asset or liability or a
forecasted transaction with exposure to variability in expected future cash flows, e.g., the future interest payments
(receipts) on a variable-rate liability (asset) or a forecasted purchase (sale). The changes in cash flows of the
derivative are expected to offset changes in cash flows of the hedged item or transaction. To achieve the matching of
cash flows, ASC Topic 815 requires that the effective portion of changes in the fair value of derivatives designated
and qualifying as cash flow hedges initially be reported in the accumulated other comprehensive income component
of equity capital and subsequently be reclassified into earnings in the same future period or periods that the hedged
transaction affects earnings .

FFIEC 031 and 

5&
(6-18)
(3-19)

5&%$/$1&(6+((7
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FFIEC 031 and 041

RC-B - SECURITIES

Item No.

Caption and Instructions

7
(cont.)

Exclude from investments in mutual funds and other equity securities with readily
determinable fair values:
(1) Federal Reserve Bank stock (report as an equity security without a readily determinable
fair value in Schedule RC-F, item 4).
(2) Federal Home Loan Bank stock (report as an equity security without a readily
determinable fair value in Schedule RC-F, item 4).

D
D
R
R
A
A
FFTT

(3) Common and preferred stocks that do not have readily determinable fair values, such as
stock of bankers' banks and Class B voting common stock of the Federal Agricultural
Mortgage Corporation (Farmer Mac) (report in Schedule RC-F, item 4).

(4) Preferred stock that by its terms either must be redeemed by the issuing enterprise or is
redeemable at the option of the investor (i.e., redeemable or limited-life preferred stock),
including trust preferred securities subject to mandatory redemption (report such
preferred stock as an other debt security in Schedule RC-B, item 6, above).

(5) "Restricted stock," i.e., equity securities for which sale is restricted by governmental or
contractual requirement (other than in connection with being pledged as collateral),
except if that requirement terminates within one year or if the holder has the power by
contract or otherwise to cause the requirement to be met within one year (if the restriction
does not terminate within one year, report "restricted stock" as an equity security that
does not have a readily determinable fair value in Schedule RC-F, item 4).

(6) Participation certificates issued by a Federal Intermediate Credit Bank, which represent
nonvoting stock in the bank (report as an equity security that does not have a readily
determinable fair value in Schedule RC-F, item 4).

(7) Minority interests held by the reporting bank in any companies not meeting the definition
of associated company (report as equity securities that do not have a readily
determinable fair value in Schedule RC-F, item 4), except minority holdings that indirectly
represent bank premises (report in Schedule RC, item 6) or other real estate owned
(report in Schedule RC, item 7), provided that the fair value of any capital stock
representing the minority interest is not readily determinable. (See the Glossary entry for
"subsidiaries" for the definition of associated company.)
(8) Equity holdings in those corporate joint ventures over which the reporting bank does not
exercise significant influence (report as equity securities that do not have a readily
determinable fair value in Schedule RC-F, item 4), except equity holdings that indirectly
represent bank premises (report in Schedule RC, item 6) or other real estate owned
(report in Schedule RC, item 7). (See the Glossary entry for "subsidiaries" for the
definition of corporate joint venture.)

(9) Holdings of capital stock of and investments in unconsolidated subsidiaries, associated
companies, and those corporate joint ventures over which the reporting bank exercises
significant influence (report in Schedule RC, item 8, "Investments in unconsolidated
subsidiaries and associated companies").

8

Total. Report the sum of items 1 through 7. The total of column A for this item must equal
Schedule RC, item 2.a, "Held-to-maturity securities." The total of column D for this item must
equal Schedule RC, item 2.b, "Available-for-sale securities."
For institutions that have adopted ASU 2016-13, which governs the accounting for credit
losses, the total of column A for this item must equal Schedule RC, item 2.a, "Held-tomaturity securities" plus Schedule RI-B, Part II, item 7, column B, “Balance end of

FFIEC 031 and 041

RC-B-13
(6-18)
(3-19)

RC-B - SECURITIES
36

FFIEC 031 and 041

RC-B - SECURITIES

D
D
R
R
A
A
FFTT

current period” and the total of column D for this item must equal Schedule RC, item 2.b,
"Available-for-sale securities."

FFIEC 031 and 041

RC-B-14
(6-18)
(3-19)

RC-B - SECURITIES
37

FFIEC 031 and 041

RC-C - LOANS AND LEASES

General Instructions for Part I (cont.)
On the FFIEC 041, Schedule RC-C, part I, has two columns for information on loans and leases:
column B is to be completed by all banks and column A is to be completed by banks with $300 million or
more in total assets. On the FFIEC 031, this schedule has two columns: column A provides loan and
lease detail for the fully consolidated bank and column B provides detail on loans and leases held by the
domestic offices of the reporting bank. (See the Glossary entry for "domestic office" for the definition of
this term.)

D
D
R
R
A
A
FFTT

Report loans and leases held for investment in this schedule without any deduction for loss allowances
for loans and leases or for institutions that have adopted ASU 2016-13, which governs the accounting for
credit losses, allowances for credit losses on loans and leases or allocated transfer risk reserves related
to loans and leases, which are to be reported in Schedule RC, item 4.c, "Allowance for loan and lease
losses."

Each item in this schedule should be reported net of (1) unearned income (to the extent possible) and (2)
deposits accumulated for the payment of personal loans (hypothecated deposits). Net unamortized loan
fees represent an adjustment of the loan yield, and shall be reported in this schedule in the same manner
as unearned income on loans, i.e., deducted from the related loan balances (to the extent possible) or
deducted from total loans in Schedule RC-C, part I, item 11, "LESS: Any unearned income on loans
reflected in items 1-9 above." Net unamortized direct loan origination costs shall be added to the related
loan balances in each item in this schedule. (See the Glossary entry for "loan fees" for further
information.)
For institutions that have adopted ASU 2016-13, report unearned income on “purchased creditdeteriorated assets” in accordance with the instructions above.

For institutions that have not adopted ASU 2016-13, "Purchased credit-impaired loans" are loans
accounted for in accordance with ASC Subtopic 310-30, Receivables – Loans and Debt Securities
Acquired with Deteriorated Credit Quality (formerly AICPA Statement of Position 03-3, "Accounting for
Certain Loans or Debt Securities Acquired in a Transfer"), that a bank has purchased, including those
acquired in a purchase business combination, where there is evidence of deterioration of credit quality
since the origination of the loan and it is probable, at the purchase date, that the bank will be unable to
collect all contractually required payments receivable. Neither the accretable yield nor the nonaccretable
difference associated with purchased credit-impaired loans should be reported as unearned income in
Schedule RC-C, part I, item 11. In addition, the nonaccretable difference must not be recognized as an
adjustment of yield, loss accrual, or valuation allowance.

If, as a result of a change in circumstances, the bank regains control of a loan previously accounted
for appropriately as having been sold because one or more of the conditions for sale accounting in
ASC Topic 860 are no longer met, such a change should be accounted for in the same manner as a
purchase of the loan from the former transferee (purchaser) in exchange for liabilities assumed. The
rebooked loan must be reported as a loan asset in Schedule RC-C, part I, either as a loan held for sale or
a loan held for investment, based on facts and circumstances, in accordance with generally accepted
accounting principles. This accounting and reporting treatment applies, for example, to U.S.
Government-guaranteed or -insured residential mortgage loans backing Government National Mortgage
Association (GNMA) mortgage-backed securities that a bank services after it has securitized the loans in
a transfer accounted for as a sale. If and when individual loans later meet delinquency criteria specified
by GNMA, the loans are eligible for repurchase, the bank is deemed to have regained effective control
over these loans, and the delinquent loans must be brought back onto the bank's books as loan assets.
All loans should be categorized in Schedule RC-C, part I, according to security, borrower, or purpose. All
loans satisfying the criteria in the Glossary entry for “Loan secured by real estate” (except those to states
and political subdivisions in the U.S.) should be categorized as “Loans secured by real estate” in
Schedule RC-C, part I. Loans secured by other collateral, such as securities, inventory, or automobiles,
would require further examination of both purpose and borrower to properly categorize the loans in
Schedule RC-C, part I. For loan categories in Schedule RC-C, part I, that include certain loans to
FFIEC 031 and 041

RC-C-2
(6-18)
(3-19)

RC-C - LOANS AND LEASES
38

FFIEC 031 and 041

RC-C - LOANS AND LEASES

Part I. (cont.)
Memoranda
Item No.

Caption and Instructions

NOTE: Memorandum item 5 is not applicable to banks filing the FFIEC 041 report forms that have less
than $300 million in total assets.
Loans secured by real estate to non-U.S. addressees (domicile). Report the amount of
loans secured by real estate to non-U.S. addressees that are included in Schedule RC-C,
part I, items 1.a through 1.e, column B, on the FFIEC 041; item 1, column A, or items 1.a.(1)
through 1.e.(2), column A, as appropriate, on the FFIEC 031. For a detailed discussion of
U.S. and non-U.S. addressees, see the Glossary entry for “domicile.”

D
D
R
R
A
A
FFTT

5

NOTE: Memorandum item 6 is to be completed only by those banks that:
(1) either individually or on a combined basis with their affiliated depository institutions, report
outstanding credit card receivables that exceed, in the aggregate, $500 million as of the report
date. Outstanding credit card receivables are the sum of:
(a) Schedule RC-C, part I, item 6.a (column B on the FFIEC 041, column A on the FFIEC 031);
(b) Schedule RC-S, item 1, column C; and
(c) Schedule RC-S, item 6.a, column C.
(Include comparable data on managed credit card receivables for any affiliated depository
institution.)
OR
(2) are credit card specialty banks as defined for purposes of the Uniform Bank Performance Report
(UBPR). According to the UBPR Users Guide, credit card specialty banks are currently defined
as those banks that exceed 50% for the following two criteria:
(a) Credit Cards plus Securitized and Sold Credit Cards divided by Total Loans plus Securitized
and Sold Credit Cards.
(b) Total Loans plus Securitized and Sold Credit Cards divided by Total Assets plus Securitized
and Sold Credit Cards.
6

Outstanding credit card fees and finance charges. Report the amount of fees and finance
charges included in the amount of credit card receivables reported in Schedule RC-C, part I,
item 6.a (column A on the FFIEC 031; column B on the FFIEC 041).

NOTE: Memorandum items 7.a and 7.b are to be completed only by institutions that have not adopted
ASU 2016-13 and are to be reported by all banks semiannually in the June and December reports only.
Institutions that have adopted ASU 2016-13 should leave these two items blank.
7

Purchased credit-impaired loans held for investment accounted for in accordance with
FASB ASC Subtopic 310-30.
Report in the appropriate subitem the outstanding balance and amount of "purchased creditimpaired loans" reported as held for investment in Schedule RC-C, part I, items 1 through 9,
and accounted for in accordance with ASC Subtopic 310-30, Receivables – Loans and Debt
Securities Acquired with Deteriorated Credit Quality (formerly AICPA Statement of
Position 03-3, “Accounting for Certain Loans or Debt Securities Acquired in a Transfer”).
Purchased credit-impaired loans are loans that a bank has purchased, including those
acquired in a purchase business combination, where there is evidence of deterioration of
credit quality since the origination of the loan and it is probable, at the purchase date, that the
bank will be unable to collect all contractually required payments receivable. Loans held for
investment are those that the bank has the intent and ability to hold for the foreseeable future
or until maturity or payoff.

FFIEC 031 and 041

RC-C-29
(6-18)
(3-19)

RC-C - LOANS AND LEASES

39

FFIEC 031 and 041

RC-C - LOANS AND LEASES

Part I. (cont.)
Memoranda
Item No.

Caption and Instructions

D
D
R
R
A
A
FFTT

NOTE: Memorandum items 8.b and 8.c are to be completed semiannually in the June and December
reports only by banks that had closed-end loans with negative amortization features secured by 1-4 family
residential properties (as reported in Schedule RC-C, part I, Memorandum item 8.a) as of the previous
December 31 report date that exceeded the lesser of $100 million or 5 percent of total loans and leases
held for investment and held for sale in domestic offices (as reported in Schedule RC-C, part I, item 12,
column B) as of the previous December 31 report date.
8.b

Total maximum remaining amount of negative amortization contractually permitted on
closed-end loans secured by 1-4 family residential properties. For all closed-end loans
secured by 1-4 family residential properties whose terms allow for negative amortization (that
were reported in Schedule RC-C, part I, Memorandum item 8.a), report the total maximum
remaining amount of negative amortization permitted under the terms of the loan contract
(i.e., the maximum loan principal balance permitted under the negative amortization cap less
the principal balance of the loan as of the quarter-end report date).

8.c

Total amount of negative amortization on closed-end loans secured by 1-4 family
residential properties included in the amount reported in Memorandum item 8.a above.
For all closed-end loans secured by 1-4 family residential properties whose terms allow for
negative amortization, report the total amount of negative amortization included in the amount
(i.e., the total amount of interest added to the original loan principal balance that has not yet
been repaid) reported in Schedule RC-C, part I, Memorandum item 8.a above. Once a loan
reaches its maximum principal balance, the amount of negative amortization included in the
amount should continue to be reported until the principal balance of the loan has been
reduced through cash payments below the original principal balance of the loan.

9

Loans secured by 1-4 family residential properties (in domestic offices) in process of
foreclosure. Report the total unpaid principal balance of loans secured by 1-4 family
residential properties (in domestic offices) included in Schedule RC-C, part I, item 1.c,
column B, for which formal foreclosure proceedings to seize the real estate collateral have
started and are ongoing as of quarter-end, regardless of the date the foreclosure procedure
was initiated. Loans should be classified as in process of foreclosure according to local
requirements. If a loan is already in process of foreclosure and the mortgagor files a
bankruptcy petition, the loan should continue to be reported as in process of foreclosure until
the bankruptcy is resolved. Exclude loans where the foreclosure process has been
completed and the bank reports the real estate collateral as “Other real estate owned” in
Schedule RC, item 7. This item should include both closed-end and open-end 1-4 family
residential mortgage loans that are in process of foreclosure.

10-11

Not applicable.

NOTE: Memorandum items 12.a through 12.d are to be completed semiannually in the June and
December reports only.
12

Loans (not subject to the requirements of FASB ASC 310-30 (former AICPA Statement
of Position 03-3) and leases held for investment that were acquired in business
combinations with acquisition dates in the current calendar year. Report in the
appropriate subitem and column the specified information on loans and leases held for
investment purposes that were acquired in a business combination, as prescribed under ASC
Topic 805, Business Combinations (formerly FASB Statement No. 141(R), “Business
Combinations”), with an acquisition date in the

FFIEC 031 and 041

RC-C-31
(6-18)
(3-19)

RC-C - LOANS AND LEASES

40

FFIEC 031 and 041

RC-C - LOANS AND LEASES

Part I. (cont.)
Memoranda
Caption and Instructions

12
(cont.)

current calendar year. The acquisition date is the date on which the bank obtains control1 of
the acquiree. If the reporting bank was acquired in a transaction during the calendar year
pursuant to ASC Topic 805 and push down accounting was applied, report the specified
information on the bank’s loans and leases reported as held for investment after the
application of push down accounting.

D
D
R
R
A
A
FFTT

Item No.

Loans and leases acquired in the current calendar year should be reported in this item in the
reports for June 30 and December 31 of the current calendar year, as appropriate, regardless
of whether the bank still holds the loans and leases. For example, loans and leases acquired
in a business combination with an acquisition date in the first six months of the current
calendar year should be reported in this item in both the June 30 and December 31 reports
for the current calendar year; loans and leases acquired in the second six months of the
current calendar year should be reported in the December 31 report for the current calendar
year.
Exclude purchased credit-impaired loans held for investment that are accounted for in
accordance with ASC Subtopic 310-30, Receivables – Loans and Debt Securities Acquired
with Deteriorated Credit Quality (formerly AICPA Statement of Position 03-3, “Accounting for
Certain Loans or Debt Securities Acquired in a Transfer”) (report information on such loans in
Schedule RC-C, Memorandum item 7). For further information, see the Glossary entry for
“purchased credit-impaired loans and debt securities.”)
For institutions that have adopted ASU 2016-13, which governs the accounting for credit
losses, exclude purchased credit-deteriorated loans held for investment. For further
information, see the Glossary entries for “Purchased Credit Deteriorated (PCD) Loans and
Debt Securities.”

(For further information, see the Glossary entry for “purchased credit-impaired loans and debt securities.”)
Column Instructions

Column A, Fair value of acquired loans and leases at acquisition date: Report in this
column the fair value of acquired loans and leases held for investment at the acquisition date
(see the Glossary entry for "fair value").

For institutions that have adopted ASU 2016-13, report the purchase price in column A.

Column B, Gross contractual amounts receivable at acquisition date: Report in this
column the gross contractual amounts receivable, i.e., the total undiscounted amount of all
uncollected contractual principal and contractual interest payments on the receivable, both
past due, if any, and scheduled to be paid in the future, on the acquired loans and leases
held for investment at the acquisition date.
For institutions that have adopted ASU 2016-13, report the expected cash flows of the
acquired loans and leases as of the acquisition date in column B.

Column C, Best estimate at acquisition date of contractual cash flows not expected to
be collected: Report in this column the bank’s best estimate at the acquisition date of the
portion of the contractual cash flows receivable on acquired loans and leases held for
investment that the bank does not expect to collect.

FFIEC 031 and 041

RC-C-32
(6-18)
(3-19)

RC-C - LOANS AND LEASES

41

FFIEC 031 and 041

RC-C - LOANS AND LEASES

For institutions that have adopted ASU 2016-13, report the allowance for credit losses an
institution would have recorded as of the acquisition date, column C.

Loans secured by real estate. Report in the appropriate column the specified amounts for
acquired loans secured by real estate (as defined for Schedule RC-C, part I, item 1) held for
investment that were acquired in a business combination occurring in the current calendar
year.

D
D
R
R
A
A
FFTT

12.a

1

Control has the meaning of “controlling financial interest” in ASC Subtopic 810-10, Consolidation – Overall
(formerly Accounting Research Bulletin No. 51, “Consolidated Financial Statements,” as amended).

FFIEC 031 and 041

RC-C-33
(6-18)
(3-19)

RC-C - LOANS AND LEASES

42

FFIEC 031 and 041

RC-F - OTHER ASSETS

SCHEDULE RC-F – OTHER ASSETS
General Instructions
Complete this schedule for the fully consolidated bank. Eliminate all intrabank transactions between
offices of the consolidated bank.
Institutions that have adopted ASU 2016-13, which governs the accounting for credit losses, report assets
on Schedule RC-F net of any applicable allowance for credit losses.

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Item Instructions
Item No.
1

Caption and Instructions

Accrued interest receivable. Report the amount of interest earned or accrued on earning
assets and applicable to current or prior periods that has not yet been collected.
Exclude retained interests in accrued interest receivable related to securitized credit cards
(report in Schedule RC-F, item 6, "All other assets").

Institutions that have adopted ASU 2016-13, report amounts in this line item net of any
applicable allowances for credit losses. Exclude accrued interest receivable on interestbearing assets that is reported elsewhere on the balance sheet.

2

Net deferred tax assets. Report the net amount after offsetting deferred tax assets (net of
valuation allowance) and deferred tax liabilities measured at the report date for a particular tax
jurisdiction if the net result is a debit balance. If the result for a particular tax jurisdiction is a
net credit balance, report the amount in Schedule RC-G, item 2, "Net deferred tax liabilities."
If the result for each tax jurisdiction is a net credit balance, enter a zero in this item. (A bank
may report a net deferred tax debit, or asset, for one tax jurisdiction, such as for federal
income tax purposes, and also report at the same time a net deferred tax credit, or liability, for
another tax jurisdiction, such as for state or local income tax purposes.)
For further information on calculating deferred taxes for different tax jurisdictions, see the
Glossary entry for "income taxes."

3

Interest-only strips receivable (not in the form of a security). Report the fair value of
interest-only strips receivable (not in the form of a security) on mortgage loans and all other
financial assets. As defined in ASC Topic 860, Transfers and Servicing (formerly FASB
Statement No. 140, “Accounting for Transfers and Servicing of Financial Assets and
Extinguishments of Liabilities,” as amended), an interest-only strip receivable is the contractual
right to receive some or all of the interest due on a bond, mortgage loan, collateralized
mortgage obligation, or other interest-bearing financial asset. This includes, for example,
contractual rights to future interest cash flows that exceed contractually specified servicing
fees on financial assets that have been sold. Report in the appropriate subitem interest-only
strips receivable not in the form of a security that are measured at fair value like available-forsale securities.1 Report unrealized gains (losses) on these interest-only strips receivable in
Schedule RC, item 26.b, "Accumulated other comprehensive income."
Exclude from this item interest-only strips receivable in the form of a security, which should be
reported as available-for-sale securities in Schedule RC, item 2.b, or as trading assets in
Schedule RC, item 5, as appropriate. Also exclude interest-only strips not in the form of a
security that are held for trading, which should be reported in Schedule RC, item 5.

FFIEC 031 and 041

RC-F-1
(3-19)
(6-18)

RC-F - OTHER ASSETS

43

FFIEC 031 and 041

Item No.
6

RC-F - OTHER ASSETS

Caption and Instructions
All other assets. Report the amount of all other assets (other than those reported in
Schedule RC-F, items 1, 2, 3, 4, and 5, above) that cannot properly be reported in
Schedule RC, items 1 through 10.
Institutions that have adopted ASU 2016-13 report financial assets included within this line
item net of any applicable allowances for credit losses.

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Disclose in Schedule RC-F, items 6.a through 6.j, each component of all other assets, and
the dollar amount of such component, that is greater than $100,000 and exceeds 25 percent
of the amount of all other assets reported in this item.

For each component of all other assets that exceeds the reporting threshold for which a
preprinted caption has not been provided in Schedule RC-F, items 6.a through 6.g, describe
the component with a clear but concise caption in Schedule RC-F, items 6.h through 6.j.
These descriptions should not exceed 50 characters in length (including spacing between
words).
Include as all other assets:
(1)

Prepaid expenses, i.e., those applicable as a charge against earnings in future
periods.1 (Report the amount of such assets in Schedule RC-F, item 6.a, if this amount
is greater than $100,000 and exceeds 25 percent of the amount reported in
Schedule RC-F, item 6.)

(2)

Automobiles, boats, equipment, appliances, and similar personal property repossessed
or otherwise acquired for debts previously contracted. (Report the amount of such
assets in Schedule RC-F, item 6.b, if this amount is greater than $100,000 and exceeds
25 percent of the amount reported in Schedule RC-F, item 6.)

(3)

Derivative instruments that have a positive fair value that the bank holds for purposes
other than trading. For further information, see the Glossary entry for "derivative
contracts." (Report this positive fair value in Schedule RC-F, item 6.c, if this amount is
greater than $100,000 and exceeds 25 percent of the amount reported in
Schedule RC-F, item 6.)

(4)

Retained interests in accrued interest receivable related to securitized credit cards.
For further information, see the Glossary entry for "accrued interest receivable related
to credit card securitizations."

(5)

Accrued interest on securities purchased (if accounted for separately from “accrued
interest receivable” in the bank’s records).

(6)

Cash items not conforming to the definition of "Cash items in process of collection"
found in the instruction to Schedule RC, item 1.a.

(7)

The full amount (with the exceptions noted below) of customers' liability to the reporting
bank on drafts and bills of exchange that have been accepted by the reporting bank, or
by others for its account, and are outstanding. The amount of customers' liability to the
reporting bank on its acceptances that have not yet matured should be reduced only
when: (a) the customer anticipates its liability to the reporting bank on an outstanding
acceptance by making a payment to the bank in advance of the acceptance's maturity

.
FFIEC 031 and 041

RC-F-6
(6-18)
(3-19)

RC-F - OTHER ASSETS

44

FFIEC 031 and 041

RC-G - OTHER LIABILITIES

SCHEDULE RC-G – OTHER LIABILITIES
General Instructions
Complete this schedule for the fully consolidated bank. Eliminate all intrabank transactions between
offices of the consolidated bank.

Item Instructions
Caption and Instructions

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Item No.
1.a

Interest accrued and unpaid on deposits (in domestic offices). Report the amount of
interest on deposits (in domestic offices) accrued through charges to expense during the
current or prior periods, but not yet paid or credited to a deposit account. For savings banks,
include in this item "dividends" accrued and unpaid on deposits. On the FFIEC 031, exclude
from this item interest accrued and unpaid on deposits in foreign offices (report such accrued
interest in Schedule RC-G, item 1.b below).

1.b

Other expenses accrued and unpaid. Report the amount of income taxes, interest on
nondeposit liabilities (and, on the FFIEC 031, deposits in foreign offices), and other expenses
accrued through charges to expense during the current or prior periods, but not yet paid.
Exclude interest accrued and unpaid on deposits in domestic offices (report such accrued
interest in Schedule RC-G, item 1.a above).

2

Net deferred tax liabilities. Report the net amount after offsetting deferred tax assets (net of
valuation allowance) and deferred tax liabilities measured at the report date for a particular tax
jurisdiction if the net result is a credit balance. If the result for a particular tax jurisdiction is a
net debit balance, report the amount in Schedule RC-F, item 2, "Net deferred tax assets." If
the result for each tax jurisdiction is a net debit balance, enter a zero in this item. (A bank
may report a net deferred tax debit, or asset, for one tax jurisdiction, such as for federal
income tax purposes, and also report at the same time a net deferred tax credit, or liability, for
another tax jurisdiction, such as for state or local income tax purposes.)
For further information on calculating deferred taxes for different tax jurisdictions, see the
Glossary entry for "income taxes."

3

Allowance for credit losses on off-balance sheet credit exposures. Report the amount of
any allowance for credit losses on off-balance sheet exposures established in accordance
with generally accepted accounting principles.
Institutions that have adopted ASU 2016-13 exclude credit losses on off-balance sheet credit
exposures that are unconditionally cancellable.

4

All other liabilities. Report the amount of all other liabilities (other than those reported in
Schedule RC-G, items 1, 2, and 3, above) that cannot properly be reported in Schedule RC,
items 13 through 19.

Disclose in items 4.a through 4.g each component of all other liabilities, and the dollar amount
of such component, that is greater than $100,000 and exceeds 25 percent of the amount
reported for this item.
For each component of all other liabilities that exceeds this disclosure threshold for which a
preprinted caption has not been provided in Schedule RC-G, items 4.a through 4.d, describe

FFIEC 031 and 041

RC-G-1
(3-17)
(3-19)

RC-G - OTHER LIABILITIES

45

FFIEC 031

RC-H - DOMESTIC BALANCE SHEET

SCHEDULE RC-H – SELECTED BALANCE SHEET ITEMS FOR
DOMESTIC OFFICES
General Instructions
Schedule RC-H is applicable only to banks filing the FFIEC 031 report forms and is to be completed only
by banks with foreign offices.

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For the following items, report balances outstanding in the bank's domestic offices only.

Item Instructions
Item No.

Caption and Instructions

1

Not applicable.

2

Not applicable.

3

Securities purchased under agreements to resell. Report the amount of securities
purchased under agreements to resell (as defined for Schedule RC, item 3.b) held in
domestic offices of the reporting bank. See the Glossary entry for "repurchase/resale
agreements" for further information.

Institutions that have adopted ASU 2016-13, which governs the accounting for credit losses,
report the amortized cost net of any related allowance for credit losses.

4

Securities sold under agreements to repurchase. Report the amount of securities sold
under agreements to repurchase (as defined for Schedule RC, item 14.b) held in domestic
offices of the reporting bank. See the Glossary entry for "repurchase/resale agreements" for
further information.

5

Other borrowed money. Report the amount of other borrowed money (as defined for
Schedule RC, item 16, "Other borrowed money") held in domestic offices of the reporting
bank.

6

Net due from own foreign offices, Edge and Agreement subsidiaries, and IBFs.
(See the instructions following item 7 of this schedule.)
OR

7

Net due to own foreign offices, Edge and Agreement subsidiaries, and IBFs. Report in
the appropriate item either the "net due from" (item 6) or the "net due to" (item 7) position of
the domestic offices of the bank relative to all the bank's Edge and Agreement subsidiaries,
foreign branches, IBFs, consolidated foreign subsidiaries, and branches in Puerto Rico and
U.S. territories and possessions. These items must reflect all intrabank transactions of
domestic offices with such other offices of the reporting bank, including investments (both
equity and debt) in consolidated foreign subsidiaries. All other items in the Report of
Condition (except for the memorandum item below) must exclude intrabank transactions.

Calculate a single net amount for all the intrabank due to and due from positions of the
domestic offices and enter it either in item 6 or in item 7 of this schedule, depending on the
nature of the single net amount.

FFIEC 031

RC-H-1
(6-18)
(3-19)

RC-H - DOMESTIC BALANCE SHEET

46

FFIEC 031

Item No.

RC-H - DOMESTIC BALANCE SHEET

Caption and Instructions
Total assets. Report the amount of total assets (as defined for Schedule RC, item 12, "Total
assets") held in domestic offices of the reporting bank. For purposes of this report, "Net due
from own foreign offices, Edge and Agreement subsidiaries, and IBFs" should be excluded
from total assets in domestic offices.

9

Total liabilities. Report the amount of total liabilities (as defined for Schedule RC,
item 21, "Total liabilities") held in domestic offices of the reporting bank. For purposes of this
report, "Net due to own foreign offices, Edge and Agreement subsidiaries, and IBFs" should
be excluded from total liabilities in domestic offices.

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A
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FFTT

8

NOTE: Items 10 through 17 have two columns for information on securities in domestic offices, one
column for held-to-maturity securities and one column for available-for-sale securities. Report the
amortized cost of held-to-maturity securities in column A and report the fair value of available-for-sale
securities in column B. For institutions that have not adopted FASB Accounting Standards Update
No. 2016-01, which eliminates the concept of available-for-sale equity securities (see the Note preceding
the instructions for Schedule RC, item 2.c), information on equity securities with readily determinable fair
values not held for trading is reported in the column for available-for-sale securities only (column B).
Amounts reported in column A will have been included in the amounts reported in Schedule RC-B,
column A. Amounts reported in column B will have been included in the amounts reported in
Schedule RC-B, column D.
Exclude from items 10 through 17 all securities held for trading in domestic offices and debt securities
in domestic offices the bank has elected to report at fair value under a fair value option even if bank
management did not acquire the securities principally for the purpose of selling them in the near term.
Securities held for trading and debt securities reported under a fair value option are to be reported in
Schedule RC, item 5, “Trading assets,” and, for certain banks, in Schedule RC-D – Trading Assets and
Liabilities.

Institutions that have adopted ASU 2016-13 exclude the allowances for credit losses from the amortized
cost amounts reported in column A for items 10 through 17. This reporting treatment is consistent with
the cost amounts reported on such securities in Schedule RC-B, column A.

Item No.

Caption and Instructions

10

U.S. Treasury securities. Report in the appropriate columns the amortized cost of held-tomaturity and the fair value of available-for-sale U.S. Treasury securities (as defined for
Schedule RC-B, item 1) held in domestic offices of the reporting bank.

11

U.S. Government agency obligations. Report in the appropriate columns the amortized
cost of held-to-maturity and the fair value of available-for-sale U.S. Government agency and
sponsored agency obligations (as defined for Schedule RC-B, item 2) held in domestic offices
of the reporting bank. Exclude mortgage-backed securities (report in Schedule RC-H,
item 13 below).

12

Securities issued by states and political subdivisions in the U.S. Report in the
appropriate columns the amortized cost of held-to-maturity and the fair value of available-forsale securities issued by states and political subdivisions in the U.S. (as defined for
Schedule RC-B, item 3) held in domestic offices of the reporting bank.

13

Mortgage-backed securities:

13.a

FFIEC 031

Mortgage pass-through securities. Report in the appropriate columns of the appropriate
subitems the amortized cost of held-to-maturity and the fair value of available-for-sale
RC-H-3
(6-18)
(3-19)

RC-H - DOMESTIC BALANCE SHEET

47

FFIEC 031 and 041

RC-K – AVERAGES

SCHEDULE RC-K – QUARTERLY AVERAGES
General Instructions

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Report for the items on this schedule the average of the balances as of the close of business for each day
for the calendar quarter or an average of the balances as of the close of business on each Wednesday
during the calendar quarter. For days that an office of the bank (or any of its consolidated subsidiaries or
branches) is closed (e.g., Saturdays, Sundays, or holidays), use the amount outstanding from the
previous business day. An office is considered closed if there are no transactions posted to the general
ledger as of that date.
If the reporting institution was the acquirer in a business combination accounted for under the acquisition
method for which the acquisition date was during the calendar quarter, the quarterly averages for the
reporting institution should include in the numerator:
x
x

Dollar amounts for the reporting institution for each day (or each Wednesday) from the beginning of
the quarter until the acquisition date and
Dollar amounts for the reporting institution and the acquired institution or business for each day (or
each Wednesday) from the acquisition date through the end of the quarter

and should include in the denominator the number of days (or Wednesdays) in the entire quarter.

If the reporting institution was acquired in a transaction that became effective during the calendar quarter,
retained its separate corporate existence, and elected to apply pushdown accounting in its separate
financial statements (including the Consolidated Reports of Condition and Income), the quarterly
averages for the reporting institution should include only the dollar amounts for each day (or each
Wednesday) from the acquisition date to the end of the quarter in the numerator and the number of days
(or Wednesdays) from the acquisition date through the end of the quarter in the denominator.

If the reporting institution was involved in a transaction between entities under common control that
became effective during the calendar quarter and has been accounted for in a manner similar to a pooling
of interests, the quarterly averages for the reporting institution should include dollar amounts for both the
reporting institution and the institution or business that was combined in the transaction for each day (or
each Wednesday) from the beginning to the end of the quarter in the numerator and the number of days
(or Wednesdays) in the entire quarter in the denominator.
For further information on business combinations, pushdown accounting, and transactions between
entities under common control, see the Glossary entry for "business combinations."

If the bank began operating during the calendar quarter, the quarterly averages for the bank should
include only the dollar amounts for the days (or Wednesdays) since the bank began operating in the
numerator and the number of days (or Wednesdays) since the bank began operating in the denominator.
For all banks, the loan categories specified in item 6 of this schedule correspond to the loan category
definitions for Schedule RC-C, part I, Loans and Leases.
Institutions that have adopted ASU 2016-13, which governs the accounting for credit losses, exclude
allowances for credit losses from the related amortized cost amounts when calculating the quarterly
averages for all debt securities.

FFIEC 031 and 041

RC-K-1
(6-18)
(3-19)

RC-K – AVERAGES

48

FFIEC 031 and 041

RC-N - PAST DUE

SCHEDULE RC-N – PAST DUE AND NONACCRUAL LOANS, LEASES,
AND OTHER ASSETS
General Instructions
Report on a fully consolidated basis all loans, leases, debt securities, and other assets that are past due
or are in nonaccrual status, regardless of whether such credits are secured or unsecured and regardless
of whether such credits are guaranteed or insured by the U.S. Government or by others.

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A
A
FFTT

For assets that are past due or in nonaccrual status, report the balance sheet amount of the asset in
Schedule RC-N, i.e., the amount at which the asset is reported in the applicable asset category on
Schedule RC, Balance Sheet (e.g., in item 4.b, “Loans and leases held for investment”), not simply the
asset’s delinquent payments.

Institutions that have adopted ASU 2016-13, ASC Subtopic 326, “Financial Instruments – Credit Losses”
that supersedes ASC Subtopic 310-30, “Accounting for Purchased Loans with Deteriorated Credit
Quality”, for assets that are past due or in nonaccrual status, report the balance sheet amount of the
asset without any deductions for any applicable allowance for credit losses in Schedule RC-N, not simply
the asset’s delinquent payments. For example, the amount of a loan that is reported in Schedule RC-N
should equal the amount that is reported on Schedule RC, Balance Sheet, item 4.b, “Loans and leases
held for investment,” and the amount of a held-to-maturity security that is reported in item 10, “Debt
securities and other assets (exclude other real estate owned and other repossessed assets)” on
Schedule RC-N should equal the asset amount reported on Schedule RC, Balance Sheet, item 2.a,
“Held-to-maturity securities” plus Schedule RI-B, Part II, item 7, column B, “Balance end of current
period”.

Loan amounts should be reported net of unearned income to the extent that they are reported net of
unearned income in Schedule RC-C. All lease, debt security, and other asset amounts must be reported
net of unearned income.

For purposes of these reports, “GNMA loans” are residential mortgage loans insured or guaranteed by
the Federal Housing Administration (FHA), the Department of Agriculture Rural Development (RD)
program (formerly the Farmers Home Administration (FmHA)), or the Department of Veterans Affairs (VA)
or guaranteed by the Secretary of Housing and Urban Development and administered by the Office of
Public and Indian Housing (PIH) that back Government National Mortgage Association (GNMA)
securities. When an institution services GNMA loans after it has securitized the loans in a transfer
accounted for as a sale, ASC Topic 860, Transfers and Servicing (formerly FASB Statement No. 140,
“Accounting for Transfers and Servicing of Financial Assets and Extinguishments of Liabilities,” as
amended) requires the institution to bring individual delinquent GNMA loans that it previously accounted
for as sold back onto its books as loan assets when, under the GNMA Mortgage-Backed Securities
Guide, the loan meets GNMA's specified delinquency criteria and is eligible for repurchase. This
rebooking of GNMA loans is required regardless of whether the institution, as seller-servicer, intends to
exercise the repurchase (buy-back) option. A seller-servicer must report all delinquent rebooked GNMA
loans that have been repurchased or are eligible for repurchase as past due in Schedule RC-N in
accordance with their contractual repayment terms. In addition, if an institution services GNMA loans, but
was not the transferor of the loans that were securitized, and purchases individual delinquent loans out of
the GNMA securitization, the institution must report the purchased loans as past due in Schedule RC-N in
accordance with their contractual repayment terms even though the institution was not required to record
the delinquent GNMA loans as assets prior to purchasing the loans. Such delinquent GNMA loans
should be reported in items 1.c, 11, and 11.b of Schedule RC-N.

Definitions

Past Due – The past due status of a loan or other asset should be determined in accordance with its
contractual repayment terms. For purposes of this schedule, grace periods allowed by the bank after a
loan or other asset technically has become past due but before the imposition of late charges are not to
FFIEC 031 and 041

RC-N-1
(3-17)
(3-19)

RC-N - PAST DUE
49

FFIEC 031 and 041

RC-N - PAST DUE

Definitions (cont.)
borrower is in arrears two or more monthly payments. (At a bank's option, loans and leases with
payments scheduled monthly may be reported as past due when one scheduled payment is due and
unpaid for 30 days or more.) Other multipayment obligations with payments scheduled other than
monthly are to be reported as past due when one scheduled payment is due and unpaid for 30 days
or more.
(2) Open-end credit such as credit cards, check credit, and other revolving credit plans are to be reported
as past due when the customer has not made the minimum payment for two or more billing cycles.

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FFTT

(3) Single payment and demand notes, debt securities, and other assets providing for the payment of
interest at stated intervals are to be reported as past due after one interest payment is due and
unpaid for 30 days or more.
(4) Single payment notes, debt securities, and other assets providing for the payment of interest at
maturity are to be reported as past due after maturity if interest or principal remains unpaid for
30 days or more.

(5) Unplanned overdrafts are to be reported as past due if the account remains continuously overdrawn
for 30 days or more.

For purposes of this schedule, banks should use one of two methods to recognize partial payments on
“retail credit,” i.e., open-end and closed-end credit extended to individuals for household, family, and
other personal expenditures, including consumer loans and credit cards, and loans to individuals secured
by their personal residence, including home equity and home improvement loans. A payment equivalent
to 90 percent or more of the contractual payment may be considered a full payment in computing
delinquency. Alternatively, a bank may aggregate payments and give credit for any partial payment
received. For example, if a regular monthly installment is $300 and the borrower makes payments of only
$150 per month for a six-month period, the loan would be $900 ($150 shortage times six payments), or
three monthly payments past due. A bank may use either or both methods for its retail credit, but may not
use both methods simultaneously with a single loan.

When accrual of income on a purchased credit-impaired loan accounted for individually or a purchased
credit-impaired debt security is appropriate, the delinquency status of the individual asset should be
determined in accordance with its contractual repayment terms for purposes of reporting the amount of
the loan or debt security as past due in the appropriate items of Schedule RC-N, column A or B. When
accrual of income on a pool of purchased credit-impaired loans with common risk characteristics is
appropriate, delinquency status should be determined individually for each loan in the pool in accordance
with the individual loan’s contractual repayment terms for purposes of reporting the amount of individual
loans within the pool as past due in the appropriate items of Schedule RC-N, column A or B. For further
information, see the Glossary entry for “purchased credit-impaired loans and debt securities.”
For institutions that have adopted ASU 2016-13, the outstanding purchased credit-impaired loans and
debt securities as of the adoption date of the standard should prospectively be accounted for as
purchased credit-deteriorated financial assets. As of the adoption date of the standard, the remaining
noncredit discount, after the adjustment for the allowance for credit losses, shall be accreted to interest
income at the new effective interest rate, if it is not required to be placed on nonaccrual. Nonaccrual
determination and treatment for purchased credit-deteriorated loans, debt securities, and other financial
assets that fall within the scope of ASU 2016-13 should be considered in the same manner as other
financial assets in an institution’s portfolio. For further information, see Glossary entry for “purchased
credit-deteriorated financial assets.”

Nonaccrual – For purposes of this schedule, an asset is to be reported as being in nonaccrual status if:

FFIEC 031 and 041

RC-N-3
(3-17)
(3-19)

RC-N - PAST DUE
50

FFIEC 031 and 041

RC-N - PAST DUE

(1) It is maintained on a cash basis because of deterioration in the financial condition of the borrower,
(2) Payment in full of principal or interest is not expected, or
(3) Principal or interest has been in default for a period of 90 days or more unless the asset is both well
secured and in the process of collection.

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FFTT

An asset is "well secured" if it is secured (1) by collateral in the form of liens on or pledges of real or
personal property, including securities, that have a realizable value sufficient to discharge the debt

FFIEC 031 and 041

RC-N-4
(3-17)
(3-19)

RC-N - PAST DUE
51

FFIEC 031 and 041

RC-N - PAST DUE

Definitions (cont.)
For further information, see the Glossary entry for "nonaccrual status."

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A
A
FFTT

Restructured in Troubled Debt Restructurings – A troubled debt restructuring is a restructuring of a loan in
which a bank, for economic or legal reasons related to a borrower's financial difficulties, grants a
concession to the borrower that it would not otherwise consider. For purposes of this schedule, the
concession consists of a modification of terms, such as a reduction of the loan’s stated interest rate,
principal, or accrued interest or an extension of the loan’s maturity date at a stated interest rate lower
than the current market rate for new debt with similar risk, regardless of whether the loan is secured or
unsecured and regardless of whether the loan is guaranteed by the government or by others.
Once an obligation has been restructured in a troubled debt restructuring, it continues to be considered a
troubled debt restructuring until paid in full or otherwise settled, sold, or charged off (or meets the
conditions discussed under “Accounting for a Subsequent Restructuring of a Troubled Debt
Restructuring” in the Glossary entry for “troubled debt restructurings). However, if a restructured
obligation is in compliance with its modified terms and the restructuring agreement specifies an interest
rate that at the time of the restructuring is greater than or equal to the rate that the bank was willing to
accept for a new extension of credit with comparable risk, the loan need not continue to be reported as a
troubled debt restructuring in calendar years after the year in which the restructuring took place. A loan
extended or renewed at a stated interest rate equal to the current interest rate for new debt with similar
risk is not considered a troubled debt restructuring. Also, a loan to a third party purchaser of "other real
estate owned" by the reporting bank for the purpose of facilitating the disposal of such real estate is not
considered a troubled debt restructuring.
For further information, see the Glossary entry for "troubled debt restructurings."

Column Instructions

Institutions that have adopted ASU 2016-13, report in columns A and B of Schedule RC-N asset amounts
without any deduction for allowances for credit losses.

The columns of Schedule RC-N are mutually exclusive. Any given loan, lease, debt security, or other
asset should be reported in only one of columns A, B, and C. Information reported for any given
derivative contract should be reported in only column A or column B.

Report in columns A and B of Schedule RC-N (except for Memorandum item 6) the balance sheet
amounts of (not just the delinquent payments on) loans, leases, debt securities, and other assets that are
past due and upon which the bank continues to accrue interest, as follows:

(1) In column A, report closed-end monthly installment loans, amortizing loans secured by real estate,
lease financing receivables, and open-end credit in arrears two or three monthly payments; other
multipayment obligations with payments scheduled other than monthly when one scheduled payment
is due and unpaid for 30 through 89 days; single payment and demand notes, debt securities, and
other assets providing for payment of interest at stated intervals after one interest payment is due and
unpaid for 30 through 89 days; single payment notes, debt securities, and other assets providing for
payment of interest at maturity, on which interest or principal remains unpaid for 30 through 89 days
after maturity; unplanned overdrafts, whether or not the bank is accruing interest on them, if the
account remains continuously overdrawn for 30 through 89 days.
(2) In column B, report the loans, lease financing receivables, debt securities, and other assets as
specified above on which payment is due and unpaid for 90 days or more.

Include in columns A and B, as appropriate (except for Memorandum item 6), all loans, leases, debt
securities, and other assets which, subsequent to their restructuring by means of a modification of terms,

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FFIEC 031 and 041

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Memoranda
Item No.

Caption and Instructions

NOTE: Memorandum item 6 is not applicable to banks filing the FFIEC 041 report form.
Derivative contracts: Fair value of amounts carried as assets. Report in the appropriate
column the fair value of all credit derivative contracts (as defined for Schedule RC-L, item 7)
and all interest rate, foreign exchange rate, equity, and commodity and other derivative
contracts (as defined for Schedule RC-L, item 12) on which a required payment by the bank's
counterparty is past due 30 days or more as of the report date.

D
D
R
R
A
A
FFTT

6

NOTE: Memorandum items 7, 8, 9.a, and 9.b are to be completed semiannually in the June and
December reports only.
7

Additions to nonaccrual assets during the previous six months. Report the aggregate
amount of all loans, leases, debt securities, and other assets (net of unearned income) that
have been placed in nonaccrual status during the six months ending on the semiannual
(i.e., June 30 or December 31) report date for this item. Include those assets placed in
nonaccrual status during this six month period that are included as of the current report date
in Schedule RC-N, column C, items 1 through 8 and 10. Also include those assets placed in
nonaccrual status during this six month period that, before the current semiannual report date
for this item, have been sold, paid off, charged-off, settled through foreclosure or concession
of collateral (or any other disposition of the nonaccrual asset) or have been returned to
accrual status. In other words, the aggregate amount of assets placed in nonaccrual status
since the prior semiannual report date that should be reported in this item should not be
reduced, for example, by any charge-offs or sales of such nonaccrual assets. If a given asset
is placed in nonaccrual status more than once during the six month period ending on the
current semiannual report date, report the amount of the asset only once.

8

Nonaccrual assets sold during the previous six months. Report the total of the
outstanding balances of all loans, leases, debt securities, and other assets held in nonaccrual
status (i.e., reportable in Schedule RC-N, column C, items 1 through 8 and 10) that were sold
during the six months ending on the semiannual (i.e., June 30 or December 31) report date
for this item. The amount to be included in this item is the outstanding balance (net of
unearned income) of each nonaccrual asset at the time of its sale. Do not report the sales
price of the nonaccrual assets and do not include any gains or losses from the sale. For
purposes of this item, only include those transfers of nonaccrual assets that meet the criteria
for a sale as set forth in ASC Topic 860, Transfers and Servicing (formerly FASB Statement
No. 140, “Accounting for Transfers and Servicing of Financial Assets and Extinguishments of
Liabilities,” as amended). For further information, see the Glossary entry for “transfers of
financial assets.”

9

Purchased credit-impaired loans accounted for in accordance with FASB ASC 310-30
(former AICPA Statement of Position 03-3).

Memorandum items 9.a and 9.b is to be completed only by institutions that have not yet
adopted ASU 2016-13,QVWLWXWLRQVWKDWKDYHDGRSWHG$68VKRXOGOHDYHWKLVLWHP
EODQN

Report in the appropriate subitem and column the outstanding balance and amount of
"purchased credit-impaired loans" reported as held for investment in Schedule RC-C, part I,
Memorandum items 7.a and 7.b, respectively, that are past due 30 days or more or are in
nonaccrual status as of the report date. The amount of such loans will have been included by
loan category in items 1 through 7 of Schedule RC-N, above. Purchased credit-impaired
loans are accounted for in accordance with ASC Subtopic 310-30, Receivables – Loans and
Debt Securities Acquired with Deteriorated Credit Quality (formerly AICPA Statement of
Position 03-3, “Accounting for Certain Loans or Debt Securities Acquired in a Transfer”).
Purchased credit-impaired loans are loans that an institution has purchased, including those

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Item Instructions for Schedule RC-R, Part I.
Item No.

Caption and Instructions

Common Equity Tier 1 Capital
1

Common stock plus related surplus, net of treasury stock and unearned employee
stock ownership plan (ESOP) shares. Report the sum of Schedule RC, items 24, 25,
and 26.c, as follows:

FT

(1) Common stock: Report the amount of common stock reported in Schedule RC, item 24,
provided it meets the criteria for common equity tier 1 capital based on the regulatory
capital rules of the institution’s primary federal supervisor. Include capital instruments
issued by mutual banking organizations that meet the criteria for common equity tier 1
capital.

(2) Related surplus: Adjust the amount reported in Schedule RC, item 25 as follows: include
the net amount formally transferred to the surplus account, including capital contributions,
and any amount received for common stock in excess of its par or stated value on or
before the report date; exclude adjustments arising from treasury stock transactions.
(3) Treasury stock, unearned ESOP shares, and any other contra-equity components:
Report the amount of contra-equity components reported in Schedule RC, item 26.c.
Because contra-equity components reduce equity capital, the amount reported in
Schedule RC, item 26.c, is a negative amount.

Retained earnings. Report the amount of the institution’s retained earnings as reported in
Schedule RC, item 26.a. An institution that has elected to apply the CECL transition
provision (electing institution) also includes its applicable CECL transitional amount, in
accordance with section 301 of the regulatory capital rules. Specifically, an electing
institution includes seventy-five percent of its CECL transitional amount during the first year
of the transition period, fifty percent of its CECL transitional amount during the second year of
the transition period, and twenty-five percent of its CECL transitional amount during the third
year of the transition period.

A

2

R

An electing advanced approaches institution (1) that that has completed the parallel run
process and has received notification from its primary Federal regulator pursuant to section
121(d) under subpart E of the regulatory capital rules, (2) whose amount of expected credit
loss exceeded its eligible credit reserves immediately prior to the adoption of CECL, and (3)
would have an increase in CET1 capital as of the beginning of the fiscal year in which it
adopts CECL after including the first year portion of the CECL transitional amount must
decrease its CECL transitional amount by its DTA transitional amount.

D

Example and a worksheet calculation
Assumptions:
 For example, consider a non-advanced approach institution that elects to apply the
CECL transition and that has a CECL effective date of January 1, 2020 and a 21 percent
tax rate.
 On the closing balance sheet date immediately prior to adopting CECL (i.e., December
31, 2019), the electing institution has $10 million in retained earnings and $1 million of
ALLL. On the opening balance sheet date immediately after adopting CECL (i.e.,
January 1, 2020), the electing institution has $1.2 million of ACL (which also equals
$1.2 million of the adjusted allowance for credit losses (AACL), as defined in the
regulatory capital rules).
 The electing institution recognizes the adoption of CECL by recording an increase to
AACL (credit) of $200,000, with an offsetting increase in temporary difference DTAs of
$42,000 (debit) and a reduction in beginning retained earnings of $158,000 (debit).

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

For each of the quarterly reporting periods in year 1 of the transition period (i.e., 2020),
the electing institution increases both retained earnings and average total consolidated
assets by $118,500 ($158,000 x 75 percent), decreases temporary difference DTAs by
$31,500 ($42,000 x 75 percent), and decreases AACL by $150,000 ($200,000 x 75
percent) for purposes of calculating its regulatory capital ratios. The remainder of the
CECL transition provision of the electing institution is transitioned into regulatory capital
according to the schedule provided in Table [x].

Table X

1. Increase retained
earnings and average total
consolidated assets by the
CECL transitional amount
2. Decrease temporary
difference DTAs by the
DTA transitional amount
3. Decrease AACL by
the AACL transitional

$42

$31.50

$21

$10.50

$200

$150

$100

$50

Institutions applying the CECL transition provision. An institution may make a one-time
election to use the CECL transition provision, as described in section 301 of the regulatory
capital rules. Such an institution is required to begin applying the CECL transition provision
as of the institution’s CECL adoption date. An institution must indicate its election to use the
CECL transition provision beginning in the quarter that it first reports its credit loss allowances
as measured under CECL. An institution that does not elect to use the CECL transition
provision in the quarter that it first reports its credit loss allowances as measured under CECL
would not be permitted to make an election in subsequent reporting periods. For example,
an institution that adopts CECL as of January 1, 2020, and does not elect to use the CECL
transition provision in its regulatory report as of March 31, 2020, would not be permitted to
use the CECL transition provision in any subsequent reporting period.

R

A

2.a

Transitional Amounts Applicable during Each Year
of the Transition Period
Year 1 at 75%
Year 2 at 50%
Year 3 at 25%
Column B
Column C
Column D
$118.50
$79
$39.50

FT

In thousands

Transitional
Amounts
Column A
$158

An institution that has adopted CECL and has elected to apply the CECL transition provision
must enter “1” for “Yes” in item 2.a for each quarter in which the institution uses the transition
provisions. An institution that has adopted CECL and has elected not to use the CECL
transition provision must enter a “0” for “No” in item 2.a. An institution that has not adopted
CECL must not complete item 2.a.

D

Each institution would complete item 2.a beginning in the Call Report for its first reporting
period under CECL and in each subsequent Call Report thereafter until item 2.a is removed
from the report. Effective March 31, 2025, the agencies intend to propose to remove item 2.a
from Schedule RC-R, Part I, because the optional three-year phase-in period will have ended
for

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55

all electing institutions by the end of the prior calendar year. If an individual electing
institution’s three-year phase-in period ends before item 2.a is removed (e.g., its phase-in
period ends December 31, 2022), the institution would report “0” in item 2.a that its CECL
transition election is no longer in effect.

Accumulated other comprehensive income (AOCI). For institutions that have made the
AOCI opt-out election in item 3.a below, report the amount of AOCI as reported under U.S.
generally accepted accounting principles (GAAP) that is included in Schedule RC, item 26.b.
For institutions that have not made or cannot make the AOCI opt-out election in item 3.a
below, report the amount of AOCI as reported under U.S. GAAP included in Schedule RC,
item 26.b, subject to the transition provisions described in section (ii) of the instructions for
item 3.a below.
3.a

FT

3

AOCI opt-out election.

(i) All institutions, except advanced approaches institutions

An institution that is not an advanced approaches institution may make a one-time election to
become subject to the AOCI-related adjustments in Schedule RC-R, items 9.a through 9.e.
That is, such an institution may opt out of the requirement to include most components of
AOCI in common equity tier 1 capital (with the exception of accumulated net gains and losses
on cash flow hedges related to items that are not recognized at fair value on the balance
sheet). An institution that makes an AOCI opt-out election must enter “1” for “Yes” in
item 3.a. There are no transition provisions applicable to reporting Schedule RC-R, item 3, if
an institution makes an AOCI opt-out election.

D

R

A

Each institution (except an advanced approaches institution) in existence as of March 31,
2015, made its AOCI opt-out election on the institution’s March 31, 2015, Call Report. For
an institution that comes into existence after March 31, 2015, the institution must make its
AOCI opt-out election on the institution’s first Call Report. After an institution initially makes
its AOCI opt-out election, the institution must report its election in each quarterly Call Report
thereafter. Each of the institution’s depository institution subsidiaries, if any, must elect the

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FFIEC 031 and 041

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Part I. (cont.)
Item No.

Caption and Instructions

13
(cont.)

financial institution in the form of common stock, the institution would be allowed to net such
embedded goodwill against the exposure amount of such significant investment (that is, the
value of the investment would be $90 for purposes of the calculation of the amount that would
be subject to deduction).

FT

Transition provisions for items subject to the threshold deductions:

A

(i) Calculate the amount as described in the instructions for this item 13.
(ii) For advanced approaches institutions, multiply the amount in (i) by the appropriate
percent in Table 6 below. For non-advanced approaches institutions, multiply the amount
in (i) by 80 percent. For all institutions, report this product as this item amount. In
addition:
(iii) For report dates until January 1, 2018: For all institutions, subtract the amount in (ii) from
the amount in (i), without regard to any associated DTLs; assign it a 100 percent risk
weight in accordance with transition provisions in section 300 of the regulatory capital
rules. Report this amount in Schedule RC-R, Part II, item 2.b, 7, or 8, as appropriate.
(iv) For report dates after January 1, 2018: For advanced approaches institutions, apply a
250 percent risk-weight to the aggregate amount of the items subject to the 10 and 15
percent common equity tier 1 capital deduction thresholds that are not deducted from
common equity tier 1 capital, without regard to any associated DTLs. For non-advanced
approaches institutions, continue to apply a 100 percent risk weight to these items.
Report this amount in Schedule RC-R, Part II, item 2.b, 7, or 8, as appropriate.

Table 6 – Transition provisions for items subject to the threshold deductions
Percentage of the deduction
40
60
80
100

R

Transition period
Calendar year 2015
Calendar year 2016
Calendar year 2017
Calendar year 2018 and thereafter

14

LESS: MSAs, net of associated DTLs, that exceed the 10 percent common equity tier 1
capital deduction threshold. Report the amount of MSAs included in Schedule RC-M,
item 2.a, net of associated DTLs, that exceed the 10 percent common equity tier 1 capital
deduction threshold as follows:

D

(1) Take the amount of MSAs as reported in Schedule RC-M, item 2.a, net of associated
DTLs.
(2) If the amount in (1) is greater than 10 percent of Schedule RC-R, item 12, report the
difference in this item 14.
(3) If the amount in (1) is less than 10 percent of Schedule RC-R, item 12, enter zero in this
item 14.

Transition provisions: Follow the transition provisions in the instructions for
Schedule RC-R, Part I, item 13 (that is, for advanced approaches institutions, use Table 6 in
the instructions for Schedule RC-R, Part I, item 13; for non-advanced approaches institutions,
apply 80 percent of the deduction and a 100 percent risk weight to the portion of items not
deducted).

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FFIEC 031 and 041

15

RC-R – REGULATORY CAPITAL

LESS: DTAs arising from temporary differences that could not be realized through
net operating loss carrybacks, net of related valuation allowances and net of DTLs,
that exceed the 10 percent common equity tier 1 capital deduction threshold.

D

R

A

FT

(1) Determine the amount of DTAs arising from temporary differences that could not be
realized through net operating loss carrybacks net of any related valuation allowances
and net of associated DTLs (for example, DTAs resulting from the institution’s ALLL or
ACL, as applicable).
(2) If the amount in (1) is greater than 10 percent of Schedule RC-R, item 12, report the
difference in this item.

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FFIEC 031 and 041

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Part I. (cont.)
Caption and Instructions

29
(cont.)

Transition provisions: For surplus minority interest and non-qualifying minority interest that
can be included in tier 2 capital during the transition period, follow the transition provisions in
the instructions for Schedule RC-R, item 4, after taking into consideration (that is, excluding)
any amount of surplus tier 1 minority interest (from step 7 of the worksheet in item 22). In the
example (and assuming no outstanding amounts of non-qualifying minority interest), the
institution has $1.53 of surplus total capital minority interest available to be included during
the transition period in tier 2 capital ($10.39 (from step 7 of the worksheet in item 29) of
surplus total capital minority interest minus $8.86 (from step 7 of the worksheet in item 22) of
tier 1 minority interest). In 2015, the institution would include an additional $0.92 in item 29
(60% of $1.53) and starting in 2018 the institution would not include any surplus minority
interest in its regulatory capital if it is an advanced approaches institution. If it is a nonadvanced approaches institution, starting in 2018 the institution would include the same
amount of surplus minority interest in its regulatory capital as it included in 2017 (20% of
$1.53 or $0.31). NOTE: If the amount of surplus total capital minority interest (from step 7 of
the worksheet in item 29) is less than the amount of surplus tier 1 minority interest (from step
7 of the worksheet in item 22), the amount of surplus total capital minority interest available to
be included during the transition period in tier 2 capital is zero.

30.a

Allowance for loan and lease losses includable in tier 2 capital. Report the portion of the
institution’s allowance for loan and lease losses (ALLL) or adjusted allowances for credit
losses (AACL), as applicable, for regulatory capital purposes that is includable in tier 2
capital. None of the institution’s allocated transfer risk reserve, if any, is includable in tier 2
capital.

A

FT

Item No.

An institution’s ALLL allowance for loan and lease losses for regulatory capital purposes
equals Schedule RC, item 4.c, “Allowance for loan and lease losses,” less Schedule RI-B,
Part II, Memorandum item 1, “Allocated transfer risk reserve included in Schedule RI-B, Part
II, item 7, above,” plus Schedule RC-G, item 3, “Allowance for credit losses on off-balance
sheet credit exposures.”

D

R

An institution’s AACL for regulatory capital purposes equals Schedule RI-B, Part II, item 7,
sum of columns A and B, “Balance end of current period” for loans and leases held for
investment and held-to-maturity debt securities, respectively; plus Schedule RI-B, Part II,
Memorandum item 6, “Allowance for credit losses on other financial assets measured at
amortized cost (not included in item 7, above)”; less Schedule RC-R, Part II, sum of
Memorandum items 4.a, 4.b, and 4.c, “Amount of allowances for credit losses on purchased
credit-deteriorated assets” for loans and leases held for investment, held-to-maturity debt
securities, and other financial assets measured at amortized cost, respectively; less Schedule
RI-B, part II, Memorandum item 1, ‘‘Allocated transfer risk reserve included in Schedule RI-B,
part II, item 7, column A above,” plus Schedule RC-G, item 3, ‘‘Allowance for credit losses on
off-balance sheet credit exposures.’’
An institution that has elected to apply the CECL transition provision (electing institution)
decreases its applicable AACL transitional amount, in accordance with section 301 of the
regulatory capital rules. Specifically, an electing institution reduces AACL includable in tier 2
capital by seventy-five percent of its AACL transitional amount during the first year of the
transition period, fifty percent of its AACL transitional amount during the second year of the
transition period, and twenty-five percent of its AACL transitional amount during the third year of
the transition period (see Table X of Schedule R, item 2).

The amount to be reported in this item is the lesser of (1) the institution’s allowance for loan
and lease losses ALLL or AACL, as applicable, for regulatory capital purposes, as defined
above, or (2) 1.25 percent of the institution’s risk-weighted assets base for the ALLL or AACL
calculation as reported in Schedule RC-R, Part II, item 26. In calculating the risk-weighted
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FFIEC 031 and 041

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assets base for this purpose, an institution would not include items that are deducted from
capital under section 22(a). However, an institution would include risk-weighted asset
amounts of items deducted from capital under sections 22(c) through (f) of the regulatory
capital rule, in accordance with the applicable transition provisions. While amounts deducted
from capital under sections 22(c) through (f) are included in the risk-weighted assets base for
the ALLL or AACL calculation, as applicable, such amounts are excluded from standardized
total risk-weighted assets used in the denominator of the risk-based capital ratios.

Advanced approaches institutions that exit parallel run only: eligible credit reserves
includable in tier 2 capital. Report the amount of eligible credit reserves includable in tier 2
capital as reported in FFIEC 101, Schedule A, item 50.

D

R

A

30.b

FT

The amount, if any, by which an institution’s allowance for loan and lease lossesALLL or
AACL, as applicable, for regulatory capital purposes exceeds 1.25 percent of the institution’s
risk-weighted assets base for the ALLL or AACL calculation (as reported in Schedule RC-R,
Part II, item 26), as applicable, should be reported in Schedule RC-R, Part II, item 29, “LESS:
Excess allowance for loan and lease losses.” The sum of the amounts of ALLL reported in
Schedule RC-R, Part I, item 30.a, plus Schedule RC-R, Part II, item 29, must equal Schedule
RC, item 4.c, less Schedule RI-B, Part II, Memorandum item 1, plus Schedule RC-G, item 3.

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Part I. (cont.)
Item No.
33

Caption and Instructions
LESS: Tier 2 capital deductions. Report total tier 2 capital deductions as the sum of the
following elements.

FT

Note that an institution should report tier 2 capital deductions in item 33 irrespective of the
amount of tier 2 capital before deductions reported in item 32.a. If an institution does not
have a sufficient amount of tier 2 capital before deductions in item 32.a to absorb these
deductions, then the institution must deduct the shortfall from additional tier 1 capital before
deductions in Schedule RC-R, item 24, or, if there is not enough additional tier 1 capital
before deductions, from common equity tier 1 capital in Schedule RC-R, item 17.

For example, if an institution reports $98 of “Tier 2 capital before deductions” in item 32.a and
must make $110 in tier 2 capital deductions, the institution would report $110 in item 33,
include the additional $12 in deductions in Schedule RC-R, item 24 (and in Schedule RC-R,
item 17, in the case of insufficient “Additional tier 1 capital before deductions” in item 23 from
which to make the deduction in Schedule RC-R, item 24), and report $0 in item 34.a, “Tier 2
capital.”

A

In addition, advanced approaches institutions with insufficient tier 2 capital for deductions
will make the following adjustments: an advanced approaches institution will make
deductions on this schedule under the generally applicable rules that apply to all institutions.
It will use FFIEC 101, Schedule A, to calculate its capital requirements under the advanced
approaches. Therefore, in the case of an advanced approaches institution with insufficient
tier 2 capital to make tier 2 deductions, it will use the corresponding deduction approach and
the generally applicable rules to take excess tier 2 deductions from additional tier 1 capital
in Schedule RC-R, item 24, and if necessary from common equity tier 1 capital in
Schedule RC-R, item 17. It will use the advanced approaches rules to take deductions on
the FFIEC 101 form.

R

For example, assume tier 2 capital is $100 under the advanced approaches and $98 under
the generally applicable rules (due to the difference between the amount of eligible credit
reserves includable in tier 2 capital under the advanced approaches, and ALLL or AACL, as
applicable, includable in tier 2 capital under the standardized approach). If the required
deduction from tier 2 capital is $110, then the advanced approaches institution would add $10
to the required additional tier 1 capital deductions (on FFIEC 101, Schedule A, item 42, and
FFIEC 101, Schedule A, item 27, if necessary), and would add $12 to its required additional
tier 1 capital deductions for the calculation of the standardized approach regulatory capital
ratios in this schedule (Schedule RC-R, item 24, and Schedule RC-R, item 17, if necessary).
(1) Investments in own tier 2 capital instruments. Report the institution’s investments in
(including any contractual obligation to purchase) its own tier 2 instruments, whether held
directly or indirectly.

D

An institution may deduct gross long positions net of short positions in the same
underlying instrument only if the short positions involve no counterparty risk.

The institution must look through any holdings of index securities to deduct investments
in its own capital instruments. In addition:

(i)

Gross long positions in investments in an institution’s own regulatory capital
instruments resulting from holdings of index securities may be netted against short
positions in the same index;
(ii) Short positions in index securities that are hedging long cash or synthetic positions
can be decomposed to recognize the hedge; and

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FFIEC 031 and 041

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Part I. (cont.)
Item No.

Caption and Instructions

34.a

Tier 2 capital. Report the greater of Schedule RC-R, item 32.a less item 33, or zero.

34.b

Advanced approaches institutions that exit parallel run only: Tier 2 capital. Report the
greater of Schedule RC-R, item 32.b minus item 33, or zero.

Total Capital
Total capital. Report the sum of Schedule RC-R, items 26 and 34.a.

35.b

Advanced approaches institutions that exit parallel run only: Total capital. Report the
sum of Schedule RC-R, items 26 and 34.b.

FT

35.a

Total Assets for the Leverage Ratio
36

Average total consolidated assets. All banks and savings associations must report the
amount of average total consolidated assets as reported in Schedule RC-K, item 9.

LESS: Deductions from common equity tier 1 capital and additional tier 1 capital.
Report the sum of the amounts deducted from common equity tier 1 capital and additional
tier 1 capital in Schedule RC-R, items 6, 7, 8, 10.b, 11, 13 through 17, and item 24, except
any adjustments to additional tier 1 capital related to changes in the fair value of liabilities that
are reported in item 24 during the transition period. Also exclude the amount reported in
item 17 that is due to insufficient amounts of additional tier 1 capital, and which is included in
the amount reported in item 24. (This is to avoid double counting.)

R

37

A

An institution that has elected to apply the CECL transition provision (electing institution)
increases its average total consolidated assets by its applicable CECL transitional amount, in
accordance with section 301(b)(4)(iv) of the regulatory capital rules. For example, an
electing institution increases its average total consolidated assets as reported on the Call
Report for purposes of the leverage ratio by seventy-five percent of its CECL transitional
amount during the first year of the transition period, fifty percent of its CECL transitional
amount during the second year of the transition period, and twenty-five percent of its CECL
transitional amount during the third year of the transition period.

LESS: Other deductions from (additions to) assets for leverage ratio purposes. Based
on the regulatory capital rules of the bank’s primary federal supervisor, report the amount of
any deductions from (additions to) total assets for leverage capital purposes that are not
included in Schedule RC-R, item 37, as well as the items below, if applicable. If the amount
is a net deduction, report it as a positive value in this item. If the amount is a net addition,
report it as a negative value in this item.

D

38

Institutions that make the AOCI opt-out election in Schedule RC-R, Part I, item 3.a –
Defined benefit postretirement plans:

If the reporting institution sponsors a single-employer defined benefit postretirement plan,
such as a pension plan or health care plan, accounted for in accordance with
ASC Subtopic 715-20, Compensation-Retirement Benefits – Defined Benefit Plans-General
(formerly FASB Statement No. 158, “Employers’ Accounting for Defined Benefit Pension and
Other Postretirement Plans”), the institution should adjust total assets for leverage ratio
purposes for any amounts included in Schedule RC, item 26.b, “Accumulated other
comprehensive income” (AOCI), affecting assets as a result of the initial and subsequent
application of the funded status and measurement date provisions of ASC Subtopic 715-20.
The adjustment also should take into account subsequent amortization of these amounts

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Part I. (cont.)
Item No.

Caption and Instructions

Leverage Capital Ratios
Tier 1 leverage ratio. Report the institution’s tier 1 leverage ratio as a percentage, rounded
to four decimal places. Divide Schedule RC-R, Part I, item 26 by item 39.

45

Advanced approaches institutions only: Supplementary leverage ratio information.
Report in the appropriate subitem the institution’s total leverage exposure and the
supplementary leverage ratio. Advanced approaches institutions must complete items 45.a
and 45.b even if they are in the parallel run process.

45.a

Total leverage exposure. Report the institution’s total leverage exposure as measured in
accordance with section 10(c)(4) of the regulatory capital rules. An institution that has
elected to apply the CECL transition provision (electing institution) includes its applicable
CECL transitional amount, in accordance with section 301 of the regulatory capital rules.
Specifically, an electing institution includes 75 percent of its CECL transitional amount during
the first year of the transition period, 50 percent of its CECL transitional amount during the
second year of the transition period, and 25 percent of its CECL transitional amount during
the third year of the transition period.

45.b

Supplementary leverage ratio. Report the institution’s supplementary leverage ratio as a
percentage, rounded to four decimal places. Divide Schedule RC-R, Part I, item 26, “Tier 1
capital,” by Schedule RC-R, Part I, item 45.a, “Total leverage exposure.”

FT

44

46

A

Capital Buffer

Institution-specific capital buffer necessary to avoid limitations on distributions and
discretionary bonus payments:

R

For all institutions: Transition provisions for the capital conservation buffer: In order
to avoid limitations on distributions, including dividend payments, and certain discretionary
bonus payments to executive officers, an institution must hold a capital conservation buffer
above its minimum risk-based capital requirements.

The amount reported in Schedule RC-R, Part I, item 46.a must be greater than the following
phased-in capital conservation buffer in Table 10 (plus any other applicable capital buffers if
the institution is an advanced approaches institution). Otherwise, the institution will face
limitations on distributions and certain discretionary bonus payments and will be required to
complete Schedule RC-R, Part I, items 47 and 48.

D

Table 10 – Transition provisions for the capital conservation buffer
Transition Period

Calendar year 2016
Calendar year 2017

Applicable required capital conservation buffer percentage
above which institutions avoid limitations on distributions and
certain discretionary bonus payments 7
0.6250
1.2500

7

Advanced approaches institutions, including those that have not exited parallel run, will need to consult the
regulatory capital rules for the transition period if the countercyclical buffer is in place or if the institution is subject to
countercyclical buffers in other jurisdictions. Starting on the March 31, 2016, report date, any countercyclical buffer
amount applicable to an advanced approaches institution should be added to the amount applicable in Table 10, in
order for that institution to determine if it will need to complete Schedule RC-R, Part I, items 47 and 48.

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Part II. (cont.)
General Instructions for Schedule RC-R, Part II. (cont.)
If a financial subsidiary has not been consolidated into the bank for purposes of the bank’s balance sheet,
as reported in Schedule RC, the bank must adjust its assets, as reported in Schedule RC-R, Part II, for its
equity investment in the financial subsidiary (accounted for under the equity method of accounting).
Accordingly, the amount at which the bank’s equity investment in the financial subsidiary is included in the
bank’s “All other assets” as reported in Schedule RC-R, Part II, item 8, column A, should be reported as
an adjustment in item 8, column B.

FT

If a financial subsidiary has been consolidated into the bank for purposes of the bank’s balance sheet, as
reported in Schedule RC, the bank must adjust its consolidated assets, as reported in Schedule RC-R,
Part II, items 1 through 9, column A, for the assets of the financial subsidiary that are included in
column A. Accordingly, the amount at which the financial subsidiary’s assets are included in the bank’s
consolidated assets in column A should be reported, by balance sheet asset category, as adjustments in
column B. For example, if a bank’s $100 million in HTM securities, as reported in Schedule RC-R, Part II,
item 2.a, column A, includes its financial subsidiary’s $10 million in HTM securities, the bank should report
$10 million as an adjustment in item 2.a, column B.

A

In addition, if a financial subsidiary has been consolidated into the bank for purposes of the bank’s offbalance sheet securitization exposures, derivatives, off-balance sheet items, and other items subject to
risk weighting as reported in Schedules RC-L, RC-S, and RC, the bank must adjust its consolidated
exposures for the exposures of its financial subsidiary when the bank completes the items for derivatives,
off-balance sheet exposures, and other items subject to risk weighting in Schedule RC-R, Part II.
Thus, the bank should exclude the off-balance sheet securitization exposures and off-balance sheet
items (including repo-style transactions) of its financial subsidiary from the amounts it reports in
Schedule RC-R, Part II, items 10 and 12 through 19, column A. The bank also should exclude the
derivatives of its financial subsidiary from the calculation of the credit equivalent amount of derivatives the
bank reports in Schedule RC-R, Part II, items 20 and 21, column B, and from the current credit exposure
amount and notional principal amounts reported in Schedule RC-R, Part II, Memorandum items 1
through 3.

R

If a financial subsidiary has been consolidated into the bank for purposes of the bank’s balance sheet, as
reported in Schedule RC, and the bank’s consolidated allowance for loan and lease losses or its
consolidated allowance for credit losses on off-balance sheet credit exposures includes such an
allowance attributable to the financial subsidiary, the bank must adjust its consolidated allowances for
those attributable to the financial subsidiary. Accordingly, the bank must exclude the portion of its
consolidated allowance for loan and lease losses and its consolidated allowance for credit losses on offbalance sheet credit exposures attributable to its financial subsidiary when the bank determines the
amount of its allowance for loan and lease losses ALLL or AACL, as applicable, includable in tier 2 capital
(reported in Schedule RC-R, Part I, item 30.a) and its excess allowance for loan and lease losses ALLL or
AACL, as applicable, (reported in Schedule RC-R, Part II, item 29).

D

Treatment of Embedded Derivatives

If a bank has a hybrid contract containing an embedded derivative that must be separated from the host
contract and accounted for as a derivative instrument under ASC Topic 815, Derivatives and Hedging
(formerly FASB Statement No. 133, “Accounting for Derivative Instruments and Hedging Activities,” as
amended), then the host contract and embedded derivative should be treated separately for risk-based
capital purposes. When the fair value of the embedded derivative has been reported as part of the bank's
assets on Schedule RC – Balance Sheet, that fair value (whether positive or negative) should be reported
(as a positive or negative number) in column B of the corresponding asset category item in Schedule RC-R,
Part II (items 1 to 8). The host contract, if an asset, should be risk weighted according to the obligor or, if
relevant, the guarantor or the nature of the collateral. All derivative exposures should be risk weighted in the
derivative items of Schedule RC-R, Part II, as appropriate (items 20 or 21).

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Part II. (cont.)
Item No.

Caption and Instructions

2.a
earnings in accordance with ASC Topic 320, Investments-Debt Securities
(formerly FASB (cont.) Statement No. 115, “Accounting for Certain Investments in Debt and
Equity Securities”).
Thus, for an HTM security with such an unrealized gain (loss), report in column B
any difference between the carrying value of the security reported in column A of this
item and its exposure amount reported under the appropriate risk weighting column
C through J.

FT

In column B, include the amount of:
o Non-significant investments in tier 2 capital of unconsolidated financial
institutions that are reported in Schedule RC, item 2.a, and have been
deducted from capital in Schedule RC-R, Part I, item 33.
o Significant investments in the capital of unconsolidated financial
institutions in the form of tier 2 capital that are reported in Schedule RC,
item 2.a, and have been deducted from capital in Schedule RC-R, Part I,
item 33.
o An institution that has adopted CECL includes the relevant portion (reflected
as a negative number) of Schedule RI-B, Part II, item 7, Column B, “Balance
end of current period: Held-to-maturity debt securities”,less Schedule RC-R,
part II, Memorandum item 4.b, “Amount of allowances for credit losses on
purchased credit-deteriorated assets: Held-to- maturity securities.” For
example, if a firm reports $100 in Schedule RI-B, Part II, item 7, Column B,
and $10 in Schedule RC-R, part II, Memorandum item 4b, the firm would
report ($90) in this column B.

A

•

In column C–0% risk weight. The zero percent risk weight applies to exposures to the
U.S. government, a U.S. government agency, or a Federal Reserve Bank, and
those exposures otherwise unconditionally guaranteed by the U.S. government.
Include exposures to or unconditionally guaranteed by the FDIC or the NCUA.
Certain foreign government exposures and certain entities listed in §.32 of the
regulatory capital rules may also qualify for the zero percent risk weight. Include
the exposure amounts of securities reported in Schedule RC-B, column A, that
do not qualify as securitization exposures that qualify for the zero percent risk
weight. Such securities may include portions of, but may not be limited to:
o Item 1, "U.S. Treasury securities,"
o Item 2, those obligations issued by U.S. Government agencies,
o Item 4.a.(1), Residential mortgage pass-through securities "Guaranteed by GNMA,”
o Item 4.b.(1), those other residential mortgage-backed securities issued or
guaranteed by U.S. Government agencies, such as GNMA exposures,
o Item 4.c.(1)(a), those commercial mortgage-backed securities (MBS)
“Issued or guaranteed by FNMA, FHLMC, or GNMA” that represent
GNMA securities, and
o Item 4.c.(2)(a), those commercial MBS “Issued or guaranteed by U.S.
Government agencies or sponsored agencies” that represent GNMA
securities.
o The portion of any exposure reported in Schedule RC, item 2.a, that is
secured by collateral or has a guarantee that qualifies for the zero percent
risk weight.

D

R

•

•

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In column G–20% risk weight. The 20 percent risk weight applies to general
obligations of U.S. states, municipalities, and U.S. public sector entities. It also
applies to exposures to U.S. depository institutions and credit unions, exposures
conditionally guaranteed by the U.S. government, as well as exposures to U.S.
government-sponsored enterprises. Certain foreign government and foreign
bank exposures may qualify as indicated in §.32 of the regulatory capital rules.
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Include the exposure amounts of securities reported in Schedule RC-B, column
A, that do not qualify as securitization exposures that qualify for the 20 percent
risk weight. Such securities may include portions of, but may not be limited to:
o Item 2, those obligations issued by U.S. Government-sponsored
agencies, Item 3, "Securities issued by states and political
subdivisions in the U.S." that represent general obligation securities,
o Item 4.a.(2), Residential mortgage pass-through securities "Issued by
FNMA and FHLMC,"

o

D

R

A

FT

o

Item 4.b.(1), Other residential mortgage-backed securities "Issued or guaranteed by
U.S. Government agencies or sponsored agencies,"
Item 4.c.(1)(a), those commercial MBS “Issued or guaranteed by FNMA, FHLMC, or
GNMA” that represent FHLMC and FNMA securities,

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Part II. (cont.)
Caption and Instructions

3.a
(cont.)

• Federal funds sold that must be risk weighted according to the Country Risk
Classification (CRC) methodology
o In column C–0% risk weight; column G–20% risk weight; column H–50% risk weight;
column I–100% risk weight; column J–150% risk weight. Assign these exposures to
risk -weight categories based on the CRC methodology described above in the
General Instructions for Part II. Include:
o The portion of Schedule RC, item 3.a, that is directly and unconditionally guaranteed
by foreign central governments and exposures to foreign banks.

3.b

Securities purchased under agreements to resell. Report in columns A and B the
amount of securities purchased under agreements to resell (securities resale agreements,
i.e., reverse repos) reported in Schedule RC, item 3.b, excluding those securities resale
agreements that qualify as securitization exposures as defined in §.2 of the regulatory capital
rules. The amount of those securities resale agreements reported in Schedule RC, item 3.b,
that qualify as securitization exposures are to be reported in Schedule RC-R, Part II, item 9.d,
column A. An institution that has adopted CECL includes in column B the relevant portion
(reflected as a negative number) related to all other assets of Schedule RI-B, Part II,
Memorandum item 6, “Allowance for credit losses on other financial assets measured at
amortized cost,” less Schedule RC-R, part II, Memorandum item 4.c, “Amount of allowances
for credit losses on purchased credit- deteriorated assets: Other financial assets measured at
amortized cost.” For example, if a firm reports $100 in Schedule RI-B, Part II, Memorandum
item 6, and $10 in Schedule RC-R, part II, Memorandum item 4.c, the firm would report ($90)
in this column B.

A

FT

Item No.

•

Loans and leases held for sale. Report in column A of the appropriate subitem the carrying
value of loans and leases held for sale (HFS) reported in Schedule RC, item 4.a, excluding
those HFS loans and leases that qualify as securitization exposures as defined in §.2 of the
regulatory capital rules.

R

4

Note: For purposes of risk weighting, please distribute on-balance sheet securities
purchased under agreements to resell reported in Schedule RC, item 3.b, within the riskweight categories in Schedule RC-R, Part II, item 16, “Repo-style transactions.” Banks
should report their securities purchased under agreements to resell in item 16 in order for
institutions to calculate their exposure, and thus risk-weighted assets, based on master
netting set agreements covering repo-style transactions.

The carrying value of those HFS loans and leases reported in Schedule RC, item 4.a, that
qualify as securitization exposures must be reported in Schedule RC-R, Part II, item 9.d,
column A.

D

The sum of the amounts reported in column A for items 4.a through 4.d of Schedule RC-R,
Part II, plus the carrying value of HFS loans and leases that qualify as securitization
exposures and are reported in column A of item 9.d of Schedule RC-R, Part II, must equal
Schedule RC, item 4.a.

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Part II. (cont.)
Caption and Instructions

4.d
(cont.)

• All other HFS loans and leases that must be risk weighted according to the Country Risk
Classification (CRC) methodology
o In column C–0% risk weight; column G–20% risk weight; column H–50% risk weight;
column I–100% risk weight; column J–150% risk weight. Assign these exposures to
risk -weight categories based on the CRC methodology described above in the
General Instructions for Part II:
o The carrying value of other loans and leases held for sale reported in Schedule RC,
item 4.a, that are not reported in Schedule RC-R, Part II, items 4.a through 4.c
above.

5

FT

Item No.

Loans and leases held for investment. Report in column A of the appropriate subitem the
carrying value of loans and leases held for investment (HFI) reported in Schedule RC, item
4.b, excluding those loans and leases HFI that qualify as securitization exposures as defined
in §.2 of the regulatory capital rules.
The carrying value of those loans and leases HFI that qualify as securitization exposures
must be reported in Schedule RC-R, Part II, item 9.d, column A.

The sum of the amounts reported in column A for items 5.a through 5.d of Schedule RC-R,
Part II, plus the carrying value of loans and leases HFI that qualify as securitization
exposures and are reported in column A of item 9.d of Schedule RC-R, Part II, must equal
Schedule RC, item 4.b.

A

Residential mortgage exposures. Report in column A the carrying value of loans HFI
reported in Schedule RC, item 4.b, that meet the definition of a residential mortgage
exposure or a statutory multifamily mortgage12a in §.2 of the regulatory capital rules. Include
in column A the carrying value of:
• Loans HFI secured by first or subsequent liens on 1-4 family residential properties
(excluding those that qualify as securitization exposures) that are reported in Schedule
RC-C, Part I, items 1.c.(1), 1.c.(2)(a), and 1.c.(2)(b), and
• Loans HFI secured by first or subsequent liens on multifamily residential properties with
an original and outstanding amount of $1 million or less (excluding those that qualify as
securitization exposures) that are reported in Schedule RC-C, Part I, item 1.d,
as these loans would meet the regulatory capital rules’ definition of residential mortgage
exposure.

R

5.a

D

Exclude from this item:
• Loans HFI secured by multifamily residential properties included in Schedule RC-C,
Part I, item 1.d, that do not meet the definition of a residential mortgage exposure or a
statutory multifamily mortgage and are not securitization exposures, and
• 1-4 family residential construction loans HFI reported in Schedule RC-C, Part I,
item 1.a.(1), that are not securitization exposures,
These loans should be reported in Schedule RC-R, Part II, item 5.c, if they are past due
90 days or more or on nonaccrual. Otherwise, these HFI loans should be reported in
Schedule RC-R, Part II, item 5.d.
•

In column B, an institution that has adopted CECL includes as a positive number the
portion of Schedule RC-R, part II, Memorandum item 4.a, “Amount of allowances for
credit losses on purchased credit-deteriorated assets: Loans and leases held for
investment” that are applicable to residential mortgage exposures.

•

In column C–0% risk weight, include the portion of any HFI exposure that meets the
definition of residential mortgage exposure or statutory multifamily mortgage reported in
Schedule RC, item 4.b, that is secured by collateral or has a

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Part II. (cont.)
Caption and Instructions

5.a
(cont.)

guarantee that qualifies for the zero percent, 20 percent, or 50 percent risk weight.
Also include loans HFI that are residential mortgage exposures that have been
restructured or modified, except
o Those loans restructured or modified solely pursuant to the U.S. Treasury’s HAMP,
and
o The portion of any restructured or modified residential mortgage exposure that is
secured by collateral or has a guarantee that qualifies for the zero percent,
20 percent, or 50 percent risk weight.
In columns R and S–Application of Other Risk -Weighting Approaches, include the portion
of any loan HFI reported in Schedule RC, item 4.b, that meets the definition of residential
mortgage exposure or statutory multifamily mortgage and is secured by qualifying
financial collateral that meets the definition of a securitization exposure in §.2 of the
regulatory capital rules or is a mutual fund only if the bank chooses to recognize the riskmitigating effects of the securitization exposure or mutual fund collateral under the Simple
Approach outlined in §.37 of the regulatory capital rules. Under the Simple Approach, the
risk weight assigned to the collateralized portion of the exposure may not be less than 20
percent.
o Include in column R the carrying value of the portion of an HFI loan exposure that is
secured by the fair value of securitization exposure or mutual fund collateral that
meets the general requirements of the Simple Approach in §.37. In addition, the
bank must apply the same approach to securitization exposure collateral – either the
Simplified Supervisory Formula Approach or the Gross-Up Approach – that it applies
to determine the risk-weighted asset amounts of its on- and off-balance sheet
securitization exposures that are reported in Schedule RC-R, Part II, items 9 and 10.
o Report in column S the risk-weighted asset amount of the securitization exposure or
mutual fund collateral that collateralizes the portion of the HFI loan exposure secured
by such collateral. Any remaining portion of the HFI loan exposure that is
uncollateralized or collateralized by other qualifying collateral would be reported in
columns C through I, as appropriate.
For further information, see the discussions of “Treatment of Collateral and Guarantees”
and “Risk-Weighted Assets for Securitization Exposures” in the General Instructions for
Schedule RC-R, Part II.

R

A

•

FT

Item No.

5.b

High volatility commercial real estate exposures. Report in column A the portion of the
carrying value of loans HFI reported in Schedule RC, item 4.b, that are high volatility
commercial real estate (HVCRE) exposures, 13 including HVCRE exposures that are 90 days
or more past due or in nonaccrual status.
In column B, an institution that has adopted CECL includes as a positive number the
portion of Schedule RC-R, part II, Memorandum item 4.a, “Amount of allowances for
credit losses on purchased credit deteriorated assets: Loans and leases held for
investment” that are applicable to high-volatility commercial real estate exposures

D

•

13

•

In column C–0% risk weight, include the portion of any HVCRE exposure included in
loans and leases HFI that is secured by collateral or has a guarantee that qualifies for
the zero percent risk weight. This would include the portion of HVCRE loans HFI
collateralized by deposits at the reporting institution.

•

In column G–20% risk weight, include the portion of any HVCRE exposure included in
loans and leases HFI which is secured by collateral or has a guarantee that qualifies for
the 20 percent risk weight. This would include the portion of any HVCRE exposure
covered by an FDIC loss-sharing agreement.

See the instructions for Schedule RC-R, Part II, item 4.b, above for the definition of HVCRE exposure.

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Part II. (cont.)
Item No.

Caption and Instructions

5.b
(cont.)

•

In column H–50% risk weight, include the portion of any HVCRE exposure included in
loans and leases HFI which is secured by collateral or has a guarantee that qualifies for
the 50 percent risk weight
In column I–100% risk weight, include the portion of any HVCRE exposure included in
loans and leases HFI which is secured by collateral or has a guarantee that qualifies for
the 100 percent risk weight.

•

In column J–150% risk weight, include the carrying value of HFI HVCRE exposures, as
defined in §.2 of the regulatory capital rules, included in Schedule RC, item 4.b, excluding
those portions of the carrying value that are covered by qualifying collateral or eligible
guarantees as described in §.37 and §.36, respectively, of the regulatory capital rules.

•

In columns R and S–Application of Other Risk -Weighting Approaches, include the portion
of any HVCRE exposure included in loans and leases HFI reported in Schedule RC,
item 4.b, that is secured by qualifying financial collateral that meets the definition of a
securitization exposure in §.2 of the regulatory capital rules or is a mutual fund only if the
bank chooses to recognize the risk-mitigating effects of the securitization exposure or
mutual fund collateral under the Simple Approach outlined in §.37 of the regulatory
capital rules. Under the Simple Approach, the risk weight assigned to the collateralized
portion of the exposure may not be less than 20 percent.
o Include in column R the carrying value of the portion of an HFI HVCRE exposure that
is secured by the fair value of securitization exposure or mutual fund collateral that
meets the general requirements of the Simple Approach in §.37. In addition, the
bank must apply the same approach to securitization exposure collateral – either the
Simplified Supervisory Formula Approach or the Gross-Up Approach – that it applies
to determine the risk-weighted asset amounts of its on- and off-balance sheet
securitization exposures that are reported in Schedule RC-R, Part II, items 9 and 10.
o Report in column S the risk-weighted asset amount of the securitization exposure or
mutual fund collateral that collateralizes the portion of the HFI HVCRE exposure that
is secured by such collateral. Any remaining portion of the HFI exposure that is
uncollateralized or collateralized by other qualifying collateral would be reported in
columns C through J, as appropriate.
For further information, see the discussions of “Treatment of Collateral and Guarantees”
and “Risk-Weighted Assets for Securitization Exposures” in the General Instructions for
Schedule RC-R, Part II.

R

A

FT

•

Exposures past due 90 days or more or on nonaccrual. Report in column A the carrying
value of loans and leases HFI reported in Schedule RC, item 4.b, that are 90 days or more
past due or in nonaccrual status according to the requirements set forth in §.32(k) of the
regulatory capital rules. Do not include sovereign exposures or residential mortgage
exposures, as described in §.32(a) and §.32(g), respectively, that are 90 days or more
past due or in nonaccrual status (report such past due and nonaccrual exposures in
Schedule RC-R, Part II, items 5.d and 5.a, respectively). Also do not include high volatility
commercial real estate exposures that are 90 days or more past due or in nonaccrual status
(report such exposures in Schedule RC-R, Part II, item 5.b).

D

5.c

•

In column B, an institution that has adopted CECL includes as a positive number the
portion of Schedule RC-R, part II, Memorandum item 4.a, “Amount of allowances for
credit losses on purchased credit- deteriorated assets: Loans and leases held for
investment” that are applicable to exposures past due 90 days or more or on nonaccrual.

•

In column C–0% risk weight, include the portion of loans and leases HFI included in
Schedule RC, item 4.b, that are 90 days or more past due or in nonaccrual status (except

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Part II. (cont.)
Caption and Instructions

5.d
(cont.)

mutual fund collateral under the Simple Approach, or the collateral margin approach for
eligible margin loans, outlined in §.37 of the regulatory capital rules. Under the Simple
Approach, the risk weight assigned to the collateralized portion of the exposure may not
be less than 20 percent.
o Include in column R the carrying value of the portion of such a loan or lease HFI that
is secured by the fair value or adjusted fair value of securitization exposure or mutual
fund collateral as determined under the Simple Approach or the Collateral Haircut
Approach, respectively; however, the bank must apply the same approach for all
eligible margin loans. In addition, if the bank applies the Simple Approach, it must
apply the same approach to securitization exposure collateral – either the Simplified
Supervisory Formula Approach or the Gross-Up Approach – that it applies to
determine the risk-weighted asset amounts of its on- and off-balance sheet
securitization exposures that are reported in Schedule RC-R, Part II, items 9 and 10.
o Report in column S the risk-weighted asset amount of the securitization exposure or
mutual fund collateral that collateralizes the portion of the loan or lease HFI that is
secured by such collateral. Any remaining portion of the HFI loan or lease exposure
that is uncollateralized or collateralized by other qualifying collateral would be
reported in columns C through J, as appropriate.
For further information, see the discussions of “Treatment of Collateral and Guarantees”
and “Risk-Weighted Assets for Securitization Exposures” in the General Instructions for
Schedule RC-R, Part II.

LESS: Allowance for loan and lease losses. Report in columns A and B the balance of
the allowance for loan and lease losses ALLL or AACL, as applicable.reported in Schedule
RC, item 4.c.

R

6

All other loans and leases HFI that must be risk weighted according to the Country Risk
Classification (CRC) methodology
o In column C–0% risk weight; column G–20% risk weight; column H–50% risk weight;
column I–100% risk weight; column J–150% risk weight. Assign these exposures to
risk -weight categories based on the CRC methodology described above in the
General Instructions for Part II:
o The carrying value of other loans and leases HFI reported in Schedule RC, item 4.b,
that are not reported in Schedule RC-R, Part II, items 5.a through 5.c above.

A

•

FT

Item No.

7

Trading assets. Report in column A the fair value of trading assets reported in
Schedule RC, item 5, excluding those trading assets that are securitization exposures, as
defined in §.2 of the regulatory capital rules.

D

The fair value of those trading assets reported in Schedule RC, item 5, that qualify as
securitization exposures must be reported in Schedule RC-R, Part II, item 9.c, column A.
The sum of Schedule RC-R, Part II, items 7 and 9.c, column A, must equal Schedule RC,
item 5.
If the bank is subject to the market risk capital rule, include in column B the fair value of all
trading assets that are covered positions as defined in Schedule RC-R, Part II, item 27
(except those trading assets that are both securitization exposures and covered positions,
which are excluded from column A of this item 7 and are to be reported instead in
Schedule RC-R, Part II, item 9.c, column A). The bank will report its standardized market
risk-weighted assets in Schedule RC-R, Part II, item 27.

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Part II. (cont.)
Caption and Instructions

•
•

8
(cont.)
o

o

o

MSAs; and
DTAs arising from temporary differences that could not be realized through net
operating loss carrybacks, net of related valuation allowances; and
Unsettled transactions (failed trades) that are reported as “Other assets” in
Schedule RC, item 11. For purposes of risk weighting, unsettled transactions are to
be reported in Schedule RC-R, Part II, item 22.
An institution that has adopted CECL includes the relevant portion (reflected as a
negative number) related to all other assets of Schedule RI-B, Part II, Memorandum
item 6, “Allowance for credit losses on other financial assets measured at amortized
cost,” less Schedule RC-R, part II, Memorandum item 4.c, “Amount of allowances
for credit losses on purchased credit deteriorated assets: Other financial assets
measured at amortized cost.” For example, if a firm reports $100 in Schedule RI-B,
Part II, Memorandum item 6, and $10 in Schedule RC-R, part II, Memorandum item
4.c, the firm would report ($90) in this column B.
An institution that has elected to apply the CECL transition provision (electing
institution) subtracts its applicable DTA transitional amount from temporary difference
DTAs, in accordance with section 301 of the regulatory capital rules. Specifically, an
electing institution reduces its temporary difference DTAs by seventy-five percent of
its DTA transitional amount during the first year of the transition period, fifty percent
of its DTA transitional amount during the second year of the transition period, and
twenty-five percent of its DTA transitional amount during the third year of the
transition period.

FT

Item No.

A

Report as a negative number in column B the amount of default fund contributions in the
form of commitments made by a clearing member to a central counterparty’s mutualized
loss-sharing arrangement.

In column C–0% risk weight, include:
o The carrying value of Federal Reserve Bank stock included in Schedule RC-F,
item 4;
o Accrued interest receivable on assets included in the zero percent risk weight
category (column C of Schedule RC-R, Part II, items 1 through 7);
o The carrying value of gold bullion not held for trading that is held in the bank's own
vault or in another bank's vault on an allocated basis, and exposures that arise from
the settlement of cash transactions (such as equities, fixed income, spot foreign
exchange, and spot commodities) with a central counterparty where there is no
assumption of ongoing credit risk by the central counterparty after settlement of the
trade and associated default fund contributions; and
o The portion of assets reported in Schedule RC, items 6 through 11, that is secured by
collateral or has a guarantee that qualifies for the zero percent risk weight. This
would include the portion of these assets collateralized by deposits in the reporting
institution.

R

•

In column G–20% risk weight, include:
o The carrying value of Federal Home Loan Bank stock included in Schedule RC-F,
item 4;
o Accrued interest receivable on assets included in the 20 percent risk weight category
(column G of Schedule RC-R, Part II, items 1 through 7);
o The portion of customers' acceptance liability reported in Schedule RC, item 11, that
has been participated to other depository institutions; and
o The portion of assets reported in Schedule RC, items 6 through 11, that is secured by
collateral or has a guarantee that qualifies for the 20 percent risk weight. This would
include the portion of these assets covered by FDIC loss-sharing agreements.

•

In column H–50% risk weight, include accrued interest receivable on assets included
in the 50 percent risk weight category (column H of Schedule RC-R, Part II, items 1
through 7). Also include the portion of assets reported in Schedule RC, items 6 through

D

•

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Part II. (cont.)
Caption and Instructions

9.a
(cont.)

•

In column B:
o If an HTM securitization exposure will be risk weighted using the 1,250 percent risk
weight approach, report any difference between the carrying value of the HTM
securitization exposure reported in column A of this item and the exposure amount of
the HTM securitization exposure that is to be risk weighted.
o If an HTM securitization exposure will be risk weighted using either the SSFA or the
Gross-Up Approach, report the carrying value of the HTM securitization exposure
reported in column A of this item.
o An institution that has adopted CECL includes the relevant portion (reflected as a
negative number) related to securitization exposures of Schedule RI-B, Part II, item
7, Column B, “Changes in Allowances for HTM Securities,” less Schedule RC-R, part
II, Memorandum item 4.b. “Amount of allowances for credit losses on purchased
credit deteriorated assets: Held-to-maturity securities.” For example, if a firm reports
$100 in RI-B, Part II, item 7, Column B, and $10 in Schedule RC-R, part II,
Memorandum item 4b, the firm would report ($90) in this column B.

•

In column Q, report the exposure amount of those HTM securitization exposures that are
assigned a 1,250 percent risk weight (i.e., those HTM securitization exposures for which
the risk-weighted asset amount is not calculated using the SSFA or the Gross-Up
Approach).

•

In column T, report the risk-weighted asset amount (not the exposure amount) of those
HTM securitization exposures for which the risk-weighted asset amount is calculated
using the SSFA, as described above in the General Instructions for Schedule RC-R,
Part II, and in §.41 to §.45 of the regulatory capital rules.

A
•

In column U, report the risk-weighted asset amount (not the exposure amount) of HTM
securitization exposures for which the risk-weighted asset amount is calculated using the
Gross-Up Approach, as described above in the General Instructions for Schedule RC-R,
Part II, and in §.41 to §.45 of the regulatory capital rules.

Available-for-sale securities. Report in column A the fair value of those available-for-sale
(AFS) securities reported in Schedule RC, item 2.b, that qualify as securitization exposures
as defined in §.2 of the regulatory capital rules. Refer to the instructions for Schedule RC-R,
Part II, item 2.b, for a summary of the reporting locations of AFS securitization exposures.

R

9.b

FT

Item No.

D

Exposure amount to be used for purposes of risk weighting – bank that cannot or has not
made the Accumulated Other Comprehensive Income (AOCI) opt-out election in
Schedule RC-R, Part I, item 3.a:
For an AFS debt security that is a securitization exposure where the bank cannot make or
has not made the AOCI opt-out election (i.e., most AOCI is included in regulatory capital), the
exposure amount of the AFS securitization exposure to be risk weighted by the bank is the
carrying value of the debt security, which is the value of the asset reported on the balance
sheet of the bank (Schedule RC, item 2.b) determined in accordance with GAAP (i.e., the fair
value of the AFS debt security) and in column A of this item.
Exposure amount to be used for purposes of risk weighting – bank has made the AOCI optout election in Schedule RC-R, Part I, item 3.a:
For an AFS debt security that is a securitization exposure where the bank has made the
AOCI opt-out election (i.e., most AOCI is not included in regulatory capital), the exposure
amount of the AFS securitization exposure to be risk weighted by the bank is the carrying
value of the debt security, less any unrealized gain on the exposure or plus any unrealized
loss on the exposure included in AOCI.

If an AFS securitization exposure will be risk weighted using either the Simplified Supervisory
Formula Approach (SSFA) or the Gross-Up Approach, include as part of the exposure
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Part II. (cont.)
Totals
Item No.

Caption and Instructions
Total assets, derivatives, off-balance sheet items, and other items subject to risk
weighting by risk weight category. For each of columns C through P, report the sum of
items 11 through 22. For column Q, report the sum of items 10 through 22.

24

Risk weight factor.

25

Risk-weighted assets by risk weight category. For each of columns C through Q, multiply
the amount in item 23 by the risk weight factor specified for that column in item 24.

26

Risk-weighted assets base for purposes of calculating the allowance for loan and
lease losses or adjusted allowances for credit losses, as applicable, 1.25 percent
threshold. Report the sum of:
• Schedule RC-R, Part II:
o Items 2.b through 20, column S,
o Items 9.a, 9.b, 9.c, 9.d, and 10, columns T and U, and
o Item 25, columns C through Q
• Schedule RC-R, Part I:
o The portion of item 10.b composed of “Investments in the institution’s own shares
to the extent not excluded as part of treasury stock,”
o The portion of item 10.b composed of “Reciprocal cross-holdings in the capital of
financial institutions in the form of common stock,”
o Items 11 and 13 through 16,
o Item 24, excluding the portion of item 24 composed of tier 2 capital deductions
reported in Part I, item 33, for which the institution does not have a sufficient
amount of tier 2 capital before deductions reported in Part I, item 32.a, to absorb
these deductions, and
o Item 33.

A

FT

23

NOTE: Item 27 is applicable only to banks that are subject to the market risk capital rule.
Standardized market risk-weighted assets. Report the amount of the bank's standardized
market risk-weighted assets. This item is applicable only to those banks covered by
Subpart F of the regulatory capital rules (i.e., the market risk capital rule), as provided in
§.201 of the regulatory capital rules.

R

27

D

A bank’s measure for market risk for its covered positions is the sum of its value-at-risk
(VaR)-based, stressed VaR-based, incremental risk, and comprehensive risk capital
requirements plus its specific risk add-ons and any capital requirement for de minimis
exposures. A bank's market risk-weighted assets equal its measure for market risk multiplied
by 12.5 (the reciprocal of the minimum 8.0 percent capital ratio).
A covered position is a trading asset or trading liability (whether on- or off-balance sheet), as
reported on Schedule RC-D, that is held for any of the following reasons:
(1)
(2)
(3)
(4)

For the purpose of short-term resale;
With the intent of benefiting from actual or expected short-term price movements;
To lock in arbitrage profits; or
To hedge another covered position.

Additionally, the trading asset or trading liability must be free of any restrictive covenants on its
tradability or the bank must be able to hedge the material risk elements of the trading asset or
trading liability in a two-way market. A covered position also includes a foreign

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Part II. (cont.)
Item No.

Caption and Instructions

27
(cont.)

exchange or commodity position, regardless of whether the position is a trading asset or
trading liability (excluding structural foreign currency positions if supervisory approval has
been granted to exclude such positions).
A covered position does not include:

29

Risk-weighted assets before deductions for excess allowance for loan and lease
losses or adjusted allowances for credit losses, as applicable, and allocated transfer
risk reserve. Report the sum of items 2.b through 20, column S; items 9.a, 9.b, 9.c, 9.d,
and 10, columns T and U; item 25, columns C through Q; and, if applicable, item 27. (Item
27 is applicable only to banks that are subject to the market risk capital rule.)

A

28

FT

(1) An intangible asset (including any servicing asset);
(2) A hedge of a trading position that is outside the scope of the bank’s hedging strategy;
(3) Any position that, in form or substance, acts as a liquidity facility that provides support to
asset-backed commercial paper;
(4) A credit derivative recognized as a guarantee for risk-weighted asset calculation
purposes under the regulatory capital rules for credit risk;
(5) An equity position that is not publicly traded (other than a derivative that references a
publicly traded equity);
(6) A position held with the intent to securitize; or
(7) A direct real estate holding.

LESS: Excess allowance for loan and lease losses. Report the amount, if any, by which
the bank's allowance for loan and lease losses ALLL or AACL, as applicable, for regulatory
capital purposes exceeds 1.25 percent of the bank's risk-weighted assets base reported in
Schedule RC-R, Part II, item 26.

R

A bank’s ALLL or AACL, as applicable, allowance for loan and lease losses for regulatory
capital purposes equals Schedule RC, item 4.c, "Allowance for loan and lease losses," less
Schedule RI-B, Part II, Memorandum item 1, "Allocated transfer risk reserve included in
Schedule RI-B, Part II, item 7, above," plus Schedule RC-G, item 3, "Allowance for credit
losses on off-balance sheet credit exposures." If a bank’s ALLL or AACL, as applicable,
allowance for loan and lease losses for regulatory capital purposes, as defined in the
preceding sentence, exceeds 1.25 percent of Schedule RC-R, Part II, item 26, the amount to
be reported in this item equals the bank’s ALLL or AACL, as applicable,allowance for loan
and lease losses for regulatory capital purposes less Schedule RC-R, Part I, item 30.a,
"Allowance for loan and lease losses includable in tier 2 capital."

D

The sum of the amounts reported in Schedule RC-R, Part I, item 30.a, plus Schedule RC-R,
Part II, item 29, must equal Schedule RC, item 4.c, less Schedule RI-B, Part II, Memorandum
item 1, plus Schedule RC-G, item 3.

30

LESS: Allocated transfer risk reserve. Report the entire amount of any allocated transfer
risk reserve (ATRR) the reporting bank is required to establish and maintain as specified in
Section 905(a) of the International Lending Supervision Act of 1983, in the agency
regulations implementing the Act (Subpart D of Federal Reserve Regulation K, Part 347 of
the FDIC's Rules and Regulations, and 12 CFR Part 28, Subpart C (OCC)), and in any
guidelines, letters, or instructions issued by the agencies. The entire amount of the ATRR
equals the ATRR related to loans and leases held for investment (which is reported in
Schedule RI-B, Part II, Memorandum item 1) plus the ATRR for assets other than loans and
leases held for investment.

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Part II. (cont.)
Memoranda
Caption and Instructions

2.f and
3.f

Precious metals (except gold). Report the remaining maturities of other precious
metals contracts that are subject to the regulatory capital rules. Report all silver, platinum,
and palladium contracts.

2.g and
3.g

Other. Report the remaining maturities of other derivative contracts that are subject to the
regulatory capital rules. For contracts with multiple exchanges of principal, notional amount
is determined by multiplying the contractual amount by the number of remaining payments
(i.e., exchanges of principal) in the derivative contract.

4a

Amounts of allowances for credit losses on purchased credit-deteriorated assets:
Loans and leases held for investment. Report all allowances for credit losses on PCD
loans and leases.
Amounts of allowances for credit losses on purchased credit-deteriorated asse ts:
Held-to-maturity debt securities. Report all allowances for credit losses on PCD HTM
debt securities.

R

4b

Amounts of allowances for credit losses on purchased credit-deteriorated assets.
Only institutions that have adopted CECL are required to report allowances for credit losses
on purchased credit-deteriorated (PCD) assets. ASU No. 2016-13 also introduces PCD
assets as a replacement for Purchased credit impaired (PCI) assets. The PCD asset
definition covers a broader range of assets than the PCI asset definition. CECL requires
banking organizations to estimate and record credit loss allowances for a PCD asset at the
time of purchase. The credit loss allowance is then added to the purchase price to
determine the amortized cost basis of the asset for financial reporting purposes. Postacquisition increases in credit loss allowances on PCD assets will be established through a
charge to earnings. This is different from the current treatment of PCI assets, for which
banking organizations are not permitted to estimate and recognize credit loss allowances at
the time of purchase. Rather, in general, credit loss allowances for PCI assets are estimated
subsequent to the purchase only if there is deterioration in the expected cash flows from the
assets.

A

4

FT

Item No.

Amounts of allowances for credit losses on purchased credit-deteriorated assets:
Other financial assets measured at amortized cost. Report all allowances for credit
losses on all other PCD assets, excluding PCD loans, leases, HTM debt securities, and AFS
debt securities.

D

4c

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RC-V - VARIABLE INTEREST ENTITIES

SCHEDULE RC-V – VARIABLE INTEREST ENTITIES
General Instructions

D
D
R
R
A
A
FFTT

A variable interest entity (VIE), as described in ASC Topic 810, Consolidation (formerly FASB
Interpretation No.46 (revised December 2003), “Consolidation of Variable Interest Entities,” as amended
by FASB Statement No. 167, "Amendments to FASB Interpretation No. 46(R)”), is an entity in which equity
investors do not have sufficient equity at risk for that entity to finance its activities without additional
subordinated financial support or, as a group, the holders of the equity investment at risk lack one or
more of the following three characteristics: (a) the power, through voting rights or similar rights, to direct
the activities of an entity that most significantly impact the entity’s economic performance, (b) the
obligation to absorb the expected losses of the entity, or (c) the right to receive the expected residual
returns of the entity.

Variable interests in a VIE are contractual, ownership, or other pecuniary interests in an entity that
change with changes in the fair value of the entity’s net assets exclusive of variable interests. When a
bank or other company has a variable interest or interests in a VIE, ASC Topic 810 provides guidance for
determining whether the bank or other company must consolidate the VIE. If a bank or other company has
a controlling financial interest in a VIE, it is deemed to be the primary beneficiary of the VIE and, therefore,
must consolidate the VIE. For further information, see the Glossary entry for “variable interest entity.”

Schedule RC-V collects information on VIEs that have been consolidated by the reporting bank for purposes
of the Consolidated Reports of Condition and Income because the bank or a consolidated subsidiary is the
primary beneficiary of the VIE. Schedule RC-V should be completed on a fully consolidated basis, i.e.,
after eliminating intercompany transactions. For institutions that have not yet adopted ASU 2016-13,
which governs the accounting for credit losses,T the asset and liability amounts to be reported in
Schedule RC-V should be the same amounts at which these assets and liabilities are reported on
Schedule RC, Balance Sheet, e.g., held-to-maturity securities should be reported at amortized cost and
available-for-sale securities should be reported at fair value.
Institutions that have adopted ASU 2016-13 should report the asset amounts in Schedule RC-V net of
any applicable allowances for credit losses included in amounts reported on Schedule RC, Balance
Sheet.
Column Instructions

Column A, Securitization Vehicles: Securitization vehicles include VIEs that have been created to pool
and repackage mortgages, other assets, or other credit exposures into securities that can be transferred
to investors.
Column B, Other VIEs: Other VIEs are VIEs other than securitization vehicles. Other VIEs include
asset-backed commercial paper (ABCP) conduits.

For purposes of items 1 through 4 of Schedule RC-V, information about each consolidated VIE should be
included in only one of the two columns of the schedule. The column selected for a particular
consolidated VIE should be based on the purpose and design of the VIE and this column should be used
consistently over time.

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Item Instructions
Item No.

Assets of consolidated variable interest entities (VIEs) that can be used only to settle
obligations of the consolidated VIEs. Report in the appropriate subitem and column those
assets of consolidated VIEs reported in Schedule RC, Balance Sheet, that can be used only
to settle obligations of the same consolidated VIEs and any related allowance for loan and
lease losses and, for institutions that have adopted ASU 2016-13, any related allowances for
credit losses. Exclude assets of consolidated VIEs that cannot be used only to settle
obligations of the same consolidated VIEs (report such assets in Schedule RC-V, item 3,
below).

D
D
R
R
A
A
FFTT

1

Caption and Instructions

1.a

Cash and balances due from depository institutions. Report in the appropriate column
the amount of cash and balances due from depository institutions held by consolidated VIEs
included in Schedule RC, item 1.a, “Noninterest-bearing balances and currency and coin,”
and item 1.b, “Interest-bearing balances,” that can be used only to settle obligations of the
same consolidated VIEs.

1.b

Securities not held for trading. Report in the appropriate column the total amount of heldto-maturity securities and available-for-sale securities held by consolidated VIEs included in
Schedule RC, item 2.a, “Held-to-maturity securities,” and item 2.b, “Available-for-sale
securities,” respectively, that can be used only to settle obligations of the same consolidated
VIEs.

For institutions that have adopted FASB Accounting Standards Update No. 2016-01
(ASU 2016-01), which includes provisions governing the accounting for investments in equity
securities, including investment in mutual funds, and eliminates the concept of available-forsale equity securities (see the Note preceding the instructions for Schedule RC, item 2.c),
also report in the appropriate column of this item the amount of equity securities with readily
determinable fair values not held for trading held by consolidated VIEs included in
Schedule RC, item 2.c, “Equity securities with readily determinable fair values not held for
trading,” that can be used only to settle obligations of the same consolidated VIEs.

1.c

Loans and leases held for investment, net of allowance, and held for sale. Report in the
appropriate column the total of the amount of loans and leases held for sale and held for
investment held by consolidated VIEs included in Schedule RC, item 4.a, “Loans and leases
held for sale,” and item 4.b, “Loans and leases held for investment,” respectively, that can be
used only to settle obligations of the same consolidated VIEs, less the amount of allowances
for loan and lease losses, or for institutions that have adopted ASU 2016-13, less the amount
of allowance for credit losses on loans and leases, held by consolidated VIEs included in
Schedule RC, item 4.c, “LESS: Allowance for loan and lease losses,” that is allocated to
these consolidated VIEs’ loans and leases held for investment that can be used only to settle
obligations of the same consolidated VIEs.

1.d

Other real estate owned. Report in the appropriate column the amount of other real estate
owned held by consolidated VIEs included in Schedule RC, item 7, “Other real estate
owned,” that can be used only to settle obligations of the same consolidated VIEs.

1.e

Other assets. Report in the appropriate column the amount of all other assets held by
consolidated VIEs included in Schedule RC, item 12, “Total assets,” and not reported in
Schedule RC-V, items 1.a through 1.d, above, that can be used only to settle obligations of
the same consolidated VIEs.

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Item No.

RC-V - VARIABLE INTEREST ENTITIES

Caption and Instructions
Liabilities of consolidated VIEs for which creditors do not have recourse to the general
credit of the reporting bank. Report in the appropriate subitem and column those liabilities
of consolidated VIEs reported in Schedule RC, Balance Sheet, for which creditors do not
have recourse to the general credit of the reporting bank. Exclude liabilities of consolidated
VIEs for which creditors have recourse to the general credit of the reporting bank (report such
liabilities in Schedule RC-V, item 4, below).

2.a

Other borrowed money. Report in the appropriate column the amount of other borrowed
money (including commercial paper) of consolidated VIEs reported in Schedule RC, item 16,
“Other borrowed money,” for which the creditors on these borrowings do not have recourse to
the general credit of the reporting bank.

D
D
R
R
A
A
FFTT

2

2.b

Other liabilities. Report in the appropriate column the amount of all other liabilities of
consolidated VIEs included in Schedule RC, item 21, “Total liabilities,” and not reported in
Schedule RC-V, item 2.a, above, for which the creditors on these liabilities do not have
recourse to the general credit of the reporting bank.

3

All other assets of consolidated VIEs. Report in the appropriate column the amount of
assets of consolidated VIEs reported in Schedule RC, items 1 through 11, that have not been
included in Schedule RC-V, items 1.a through 1.e, above. Loans and leases held for
investment that are included in this item should be reported net of any allowance for loan and
lease losses allocated to these loans and leases.
Institutions that have adopted ASU 2016-13 report in this items net of any applicable
allowances for credit losses allocated to these assets.

4

All other liabilities of consolidated VIEs. Report in the appropriate column the amount of
liabilities of consolidated VIEs reported in Schedule RC, items 14 through 20, that have not
been included in Schedule RC-V, items 2.a and 2.b, above.

5

Total assets of asset-backed commercial paper (ABCP) conduit VIEs. Report the total
assets of consolidated ABCP conduit VIEs, i.e., VIEs that primarily issue externally rated
commercial paper backed by assets or other exposures. Include assets held by consolidated
ABCP conduit VIEs that are included in Schedule RC-V, items 1.a through 1.e and 3,
column B, above.

6

Total liabilities of ABCP conduit VIEs. Report the total liabilities of consolidated ABCP
conduit VIEs. Include liabilities of ABCP conduit VIEs that are included in Schedule RC-V,
items 2.a, 2.b, and 4, column B, above.

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