Federal Reserve Bulletin, 1981-12

VOLUME 67 • NUMBER 12 • DECEMBER 1981 FEDERAL RESERVE BULLETIN Board of Governors of the Federal Reserve System Washington, D.C. PUBLICATIONS COMMITTEE Joseph R. Coyne, Chairman • Stephen H. Axilrod • Michael Bradfield Janet O. Hart • James L. Kichline • Tony J. Salvaggio • Edwin M. Truman Naomi P. Salus, Coordinator The FEDERAL RESERVE BULLETIN is issued monthly under the direction of the staff publications committee. This committee is responsible for opinions expressed except in official statements and signed articles. The artwork is provided by the Graphic Communications Section under the direction of Peter G. Thomas. Editorial support is furnished by the Economic Editing Unit headed by Mendelle T. Berenson. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Table of Contents 875 SEASONAL ADJUSTMENT METHODS Adoption of broadened definition of bank FOR THE MONETARY AGGREGATES capital to be used in determining the capital adequacy of state member banks. A review of the general problems of seasonal adjustment and the Census X-ll method Amendment of Regulation D to provide that as now applied at the Board is aimed at the phase-in period for reserve requireimproving the quality of the seasonally ments of new depository institutions will adjusted monetary aggregates. apply only to small institutions that began business on or after November 18, 1981. 888 TREAS UR Y AND FEDERAL RESER VE (See Legal Developments.) FOREIGN EXCHANGE OPERATIONS.- Amendment of Regulation Y to include the INTERIM REPORT issuance of traveler's checks among the From August through October 1981, the nonbanking activities permissible for bank Federal Reserve did not buy or sell curren- holding companies. (See Legal Developcies for U.S. accounts in the exchange ments.) markets but intervened on occasion as Revision of staff commentary so that the agent for other central banks in the New origination fee on student loans made be- York market. fore August 1, 1982, need not be taken into account in making any Truth in Lending 891 INDUSTRIAL PRODUCTION disclosures. Output declined about 2.1 percent in No- Increase of 9.8 percent in combined assets vember. of the overseas branches of member banks. 893 STATEMENTS TO CONGRESS Publication of Annual Statistical Digest, 1980. Frederick H. Schultz, Vice Chairman, Board of Governors, discusses the impact Proposed amendments to some of the criteon agriculture of developments in the gener- ria for inclusion in the Board's list of overal economy and financial markets, before the-counter stocks; request for comment on the Subcommittee on Agriculture and questions about certain futures commission Transportation of the Joint Economic Com- merchant activities. mittee, December 1, 1981. Discontinued issuance of Published Inter- 895 Nancy H. Teeters, Member, Board of Gov- pretations. ernors, presents the views of the Board on Changes in Board staff. the impact, budgeting, and control of federally assisted credit, before the Task Force 905 RECORD OF POLICY ACTIONS OF THE on Federal Credit of the Senate Committee FEDERAL OPEN MARKET COMMITTEE on the Budget, December 10, 1981. At the meeting on October 5-6, 1981, the 901 ANNOUNCEMENTS Committee agreed to seek behavior of reserve aggregates associated with growth of Change in discount rate. Ml-B from September to December at an Removal of discount rate surcharge. annual rate of 7 percent, after allowance for Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

the impact of flows into NOW accounts, A69 GUIDE TO TABULAR PRESENTATION, and growth of M2 at an annual rate of 10 STATISTICAL RELEASES, AND SPECIAL percent or slightly higher. The intermeeting TABLES range for the federal funds rate that provided a mechanism for initiating further con- A70 BOARD OF GOVERNORS AND STAFF sultation of the Committee was set at 12 to 17 percent. All FEDERAL OPEN MARKET COMMITTEE AND STAFF; ADVISORY COUNCILS 911 LEGAL DEVELOPMENTS A73 FEDERAL RESERVE BANKS, Amendments to Regulations D, Q, and Y; BRANCHES, AND OFFICES various bank holding company and bank merger orders; and pending cases. A74 FEDERAL RESERVE BOARD PUBLICATIONS A l FINANCIAL AND B USINESS S TA TIS TICS A3 Domestic Financial Statistics A79 INDEX TO STATISTICAL TABLES A46 Domestic Nonfinancial Statistics A54 International Statistics A8l INDEX TO VOLUME 67 A95 MAP OF FEDERAL RESERVE SYSTEM Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Seasonal Adjustment Methods for the Monetary Aggregates David A. Pierce and William P. Cleveland of the money at Christmas or to allow interest rates Board's Division of Research and Statistics pre- to rise. pared this article. Amanda Bayer, Gerhard Unlike irregular movements, seasonal move- Fries, David Wilcox, and Clifton Wilson provid- ments are systematic and repetitive, and so it is ed computer assistance. Notes appear at the end possible, as well as desirable, to eliminate them of the article. from the data. The removal of such seasonal patterns is referred to as seasonal adjustment. Seasonal adjustment of the monetary aggre- The monetary aggregates are among the most gates would be straightforward if their seasonal closely watched economic and financial time patterns did not shift over time. Over the years, series in the United States. Movements in these however, seasonal patterns have changed, in series are believed by many to reflect, accompa- some cases abruptly though more often in an ny, or foreshadow important developments in evolutionary manner. Such changes present both the behavior of prices, employment, output, and conceptual and operational difficulties for distinother attributes of the economy. The relevant guishing seasonal and nonseasonal movements in movements in this respect are in the trend-cycle, these series, and the development and enhanceor longer-run behavior, of the aggregate series. ment of techniques to make such distinctions But the series also display less significant move- have long been a subject of interest to the ments, which have generally been classified as Federal Reserve Board and its staff". either irregular or seasonal in nature. Irregular This article reviews current developments at movements include random fluctuations and the Federal Reserve concerning methods for transitory variations and tend to be unpredict- seasonally adjusting the monetary aggregates. able and of short duration. Seasonal movements The nature of seasonal adjustment is described, are calendar-linked variations that tend to recur along with the X-l 1 program and other aspects of on a regular basis. the Board's current seasonal adjustment proce- Seasonality in the monetary aggregates stems dure. Some recent work on possible improvefrom many forces. Harvests require funds to pay ments in the X-ll method is discussed. A major for produce or for storage. Holiday seasons bring focus of seasonal adjustment research concerns a higher volume of sales and greater use of the use of models fitted to the series to derive credit. Income tax payments generate large seasonal factors, and this practice is described transfers from individuals and businesses to the both as an enhancement to X-l 1 and as a possible government, concentrated around certain dates. basis for completely new seasonal adjustment At other times, the government sends refunds to procedures. We also report investigations aimed taxpayers because of overwithholding. Many at establishing measures of error or uncertainty paychecks are distributed at the end of the week for seasonal factors and for seasonally adjusted or the month, and this practice affects the timing data. In the concluding section, we examine the of other payments. The nature and extent of report of the Committee of Experts on Seasonal seasonal variation resulting from these forces are Adjustment Techniques, recently published by influenced by the decisions of the Federal Re- the Board, and summarize the report's recomserve—concerning, for example, whether to mendations and current staff work on their evaluaccommodate an increase in the demand for ation and implementation. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

876 Federal Reserve Bulletin • December 1981 CURRENT SEASONAL ADJUSTMENT The X-ll Computation PROCEDURE The X-ll computer program was developed in Seasonal adjustment at the Board currently con- the late 1950s and early 1960s at the Bureau of sists of (1) applying the X-ll computer program the Census by the late Julius Shiskin in collaboto data through the previous December, (2) when ration with Allan Young and John Musgrave. It is necessary, judgmentally modifying the seasonal generally effective, and it is sufficiently flexible movements projected by X-ll for the current for use not only on the monetary aggregates but year to take account of seasonal elements not also on numerous other series published or procaptured by that program, and (3) removing duced by the Federal Reserve and by other these projected movements from the numbers as government agencies. But this program has limithey are received each month. tations, which have been highlighted by recent Chart 1 represents seasonal adjustment of a economic fluctuations. historical series. It shows the demand deposit In X-ll, as in any seasonal adjustment procecomponent of the money supply both unadjusted dure, seasonal movements in a series must be and seasonally adjusted by two different meth- determined in relation to its other movements. ods. It also shows the corresponding trend-cycle "Multiplicative" and "additive" models are components resulting from these methods. The used to express the most common relationships seasonal movements in the unadjusted series are among the seasonal and nonseasonal compoclearly discernible and rather extensive. These nents of the series. In the multiplicative model movements are absent from the remaining series the observed aggregate value is assumed to be in the chart, in which the other movements can the product of seasonal, trend, and irregular be more clearly perceived and interpreted. elements of the series, which are thus referred to as the seasonal, trend, and irregular factors. Symbolically, if M denotes the value of a mone- 1. Demand deposit component of Ml-B, original and T tary aggregate or other time series M, measured seasonally adjusted series and estimated trend cycle at a particular time (week, month, quarter) t, the multiplicative representation for the series M is (1) M, = P S E , T T T where P„ S , and E are respectively the trend- T T cycle, seasonal, and irregular factors of M„ all at time t. The trend is the dominant part of the series and retains the units (dollars, in the case of monetary aggregates) associated with the series. The seasonal and irregular factors are unity when there are no seasonal or irregular effects, and are above or below one respectively when the effect of seasonal or irregular influences is to increase or decrease the level of the series. The monetary aggregate series appear to exhibit seasonal variation proportional to their levels, and for these the multiplicative model is most appropriate. For series in which such interaction between the irregular or seasonal elements and the trend of the series is absent, an additive model may be more suitable. These series are represented as the sum, rather than the product, of elements Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Seasonal Adjustment Methods for the Monetary Aggregates 877 that are then referred to as the seasonal, trend, composite moving average of the original series. and irregular components of the series. In an This result eases comparison of X-l 1 with modelanalogy to equation 1, the representation of an based procedures later in the article because the additive series is estimated seasonal component of these procedures is also represented in this way. (2) m = p, + s + e„ This weighted moving average computation of t t the estimated seasonal in X-ll can be written where p, s, and e, are the trend, seasonal, and symbolically as t t irregular components measured at time t. By L computing logarithms, the multiplicative series in equation 1 may be transformed into an addi- (4) st = j X = -K w>/n,-j, tive series as in equation 2. In practice the "true" seasonal components or where the wj are the X-ll weights; the weights factors are unknown, and they must be estimated extend L months into the past and K periods into in a suitable manner—for example, by the X-ll the future. The seasonally adjusted series ma, is procedure. The seasonally adjusted series is then then calculated as in equation 3. In a multiplicaobtained by dividing the unadjusted series by the tive adjustment the seasonally adjusted figure Ma t estimated seasonal factors, or (for additive se- is the ratio of the unadjusted value Ma to the t ries) by subtracting the estimated seasonal com- estimate S, as in equation 3, a procedure theret ponents from the unadjusted series. Thus, with fore known as a ratio-to-moving-average adjust- S and s denoting the estimated seasonals, the ment. For adjusting historical aggregate series t t seasonally adjusted series are given by the weights vv , Wj, and so on in equation 4 0 u are symmetric (w-j = w K = L), so that Jf (3) Ma = MJS, ma = m- s, observations before and after the value being t t t t t adjusted play equal roles in determining the for the multiplicative and additive adjustments seasonal factors. There are several choices in respectively. The problem of seasonal adjust- X-ll for weights, depending in part on how ment is the problem of obtaining estimates of the rapidly the seasonal pattern may be changing. seasonal components or factors. The standard option uses data seven years into If seasonal patterns were unchanging from the past and seven years into the future (K = L = year to year and if there were no trend, a natural 84) to determine the seasonal factor. However, way to estimate the seasonal component for, say, the weights are very small after about three and a January would be to calculate the difference half years in either direction. between the average for all Januarys in the series In addition to these moving average calculaand the overall average of the series. The X-ll tions, X-ll contains features for treating outliers program expands this idea to allow both for or extreme values in the series, which otherwise trends in the series and for changing seasonal would exert a disproportionate influence on the patterns. The program employs a two-step ap- seasonal factors, and for calculating "trading proach in which the trend is first estimated and day" variations that arise because the days of the then removed to give a series with zero mean. week appearing four and five times in a given Then averages by month are used to estimate the month vary from year to year. seasonals. In both steps the simple averages are replaced by weighted moving averages to allow for changing seasonal patterns and for trend levels. Judgmental Modifications The sequence of weighted moving averages used by X-ll to detrend the series and to esti- For several reasons the seasonal factors promate seasonality in the detrended series is equiv- duced by X-ll may not adequately incorporate alent to a single weighted moving average of the the seasonality believed to exist in the data. An original series. Therefore, the seasonal compo- institutional change, say, in tax dates or in social nent or factor may be represented as a single security payments, will not be fully reflected in Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

878 Federal Reserve Bulletin • December 1981 the X-ll results for several years, yet it consti- values and time trends. Most models proposed as tutes an immediate shift in the seasonal pattern. bases for seasonal adjustment have been largely Conversely, a temporary, within-year change in descriptive, including in particular the ARIMA aggregate growth may be known to arise from models to be described below. However, renonseasonal causes, yet X-ll can incorporate a search is continuing on causal approaches to portion of this effect as a seasonal movement, seasonal adjustment as well. particularly if it occurs in adjacent years. For The merit of a model-based procedure for such reasons the output of X-ll is occasionally seasonal adjustment is its adaptability to the modified to correspond more closely to what is characteristics of the monetary aggregate series known about seasonality in the monetary aggre- being seasonally adjusted. By contrast, X-ll and gates. other empirically based adjustment procedures frequently apply the same adjustment—that is, the same set of weights given by equation 4—to Seasonal Adjustment of Recent series that may have widely differing characteris- Data: Revisions tics. One thus expects X-ll to do better in adjusting some series than others. As noted, for the historical adjustment of the Research in the use of models in seasonal monetary aggregates the computations of the adjustment falls into two areas: (1) their use as X-ll program depend equally and symmetrically means for modifying the X-ll procedure, and (2) on the future and the past of the series. Howev- their use as bases for alternative procedures; and er, the seasonal adjustment of current and recent these are the subjects of the following two secmonetary aggregate data is very important for tions. Two major types of models that have been interpreting and anticipating economic develop- studied are ARIMA models for adaptive, evolvments, and for such data the relevant future is ing effects and regression models for specific, not yet available. Preliminary estimates or pro- predetermined effects. jections of the seasonal factors are made using special sets of weights in the X-ll program. These factors are then revised, using different ARIMA Models patterns of weights, as information accumulates. The current practice calls for computing, at the In its simplest form an ARIMA model (autoreend of each year, projected seasonal factors for gressive-integrated-moving-average model) is an the following year and revised seasonal factors equation for explaining an aggregate or other for the just-completed year and the preceding series as a weighted combination of its past three years. The factors for a given year are thus values.1 Thus the aggregate m, is represented as revised annually until three years of additional data are available. (5) m, = b\m-\ + bm- + • • - + a, t 2 t 2 t where b\, b,- • • are the weights and a, is a 2 STATISTICAL MODELS AND random uncorrected disturbance term. The SEASONAL ADJUSTMENT weights bi are estimated from the values of m. t ARIMA models have been successfully em- Federal Reserve staff and other investigators ployed in analyzing wide varieties of economic have conducted extensive research on the use of and financial time series. Among the uses of models in seasonal adjustment. A model is a set ARIMA models in seasonal adjustment are foreof one or more equations that describes the casting the series before application of the X-ll systematic behavior of a series. A model can be procedure and constructing moving average causal—for example, relating a monetary aggre- weights as alternatives to those in equation 4 for gate to interest rates, reserves, and other eco- X-ll. In the latter case ARIMA models are also nomic determinants; or it can be descriptive—for constructed for the trend and seasonal compoexample, relating the aggregate to its own past nents (p, and s, in equation 2). Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Seasonal Adjustment Methods for the Monetary Aggregates 879 Regression Models first-published seasonal factors and reduce revisions, using techniques such as X-11-ARIMA In seasonal regression models, the trend and and concurrent seasonal adjustment. seasonal components are represented as weighted combinations of such terms as time variables, say y , and seasonal dummy variables, say Zuit These variables are predetermined and are inde- Adjustment for Calendar Variation pendent of the values for the series. In this sense a regression model is "deterministic," in con- In recent use, the term "calendar effects" has trast with the ARIMA model above, which is tended to refer to variations resulting from spe- "adaptive" because the value of the current cific details of the calendar rather than from the series depends explicitly on previous values. positioning of the season or month within the Thus the trend and seasonal components in a year. These include holiday and day-of-week, or regression model are written as trading-day, effects. Trading-day variation is the result of year-to-year changes in, for example, the number of Fridays in March, so that if the (6) Pt = Y, biy , s = 2 CiZ . it t it i i money supply is higher on Friday than on some other days of the week, a high March value for a Substituting these expressions into equation 2 given year may simply reflect the presence of yields a regression model in which the irregular five Fridays in March of that year. Trading-day component e is the random disturbance term. variation requires special attention because calt Ordinarily, the model is fit by least squares to endar patterns are not strictly periodic over a obtain estimates of the coefficients b and c. year. t ; In seasonal adjustment, regression models can A trading-day regression model is contained in be used as bases for separate seasonal adjust- the X-ll program, although it is not currently ment procedures or as means to capture special employed in adjusting the monetary aggregates. effects in conjunction with another procedure. One problem with the X-ll trading-day adjust- Examples of the latter are the trading-day adjust- ment is that it fails to distinguish adequately ment in X-l 1 and the preadjustment via interven- among series that are flows, end-of-month tion analysis described in the following section. stocks, and (as the aggregates are defined) averages of daily stocks. Furthermore, the X-ll adjustment is introduced after an initial application of the moving average in equation 4, so that MODIFICATIONS OF THE X-L 1 PROCEDURE trading-day weights for a given month are in fact estimated from a composite of months. The The X-l 1 program is widely used not only for the effects of these procedures and alternative calenmonetary aggregates but also for the industrial dar-adjustment procedures are the subject of production index, other Federal Reserve series, current research. and thousands of series published by others. Its Table 1 shows growth rates of the seasonally wide acceptance is due to its versatility and to adjusted series for currency and demand deposthe extensive experience that has accumulated its without any trading-day adjustment, with the with its use. When limitations in X-ll are found, X-ll trading-day adjustment, and with a moditherefore, effort might be directed at improving it fied version of the X-ll adjustment.2 Over a 10rather than abandoning it for an entirely new year period, both series are smoothest (the stanmethod. Three modifications in X-ll are being dard deviation of their growth rates are smallest) thoroughly reviewed at the Board: (1) improved when adjusted by X-l 1 with the modified tradingtrading-day adjustments; (2) preadjustment of day procedure. The own trading-day adjustment the series to account for special effects, using the of the X-ll program in fact increased the varitechnique of intervention analysis; and (3) more ability in the series of growth rates relative to effective use of recent information to improve that with no trading-day adjustment. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

880 Federal Reserve Bulletin • December 1981 1. Seasonally adjusted growth rates of components of Ml-B, selected methods of adjustment, 1979 Currency j j f a f j^ Demand deposits X-ll with X-ll with MMoonntthh X-ll with X-ll with modified modified X-ll own trading- X-ll own tradingtrading-day trading-day day procedure day procedure procedure procedure January 10.2 8.81 -5.33 -4.17 February.... 7.14 7.46 -6.07 -6.43 March 8.41 7.64 6.17 5.39 April 8.21 9.04 17.52 17.46 May 7.91 9.49 -3.01 -3.23 June 10.51 7.66 8.32 10.10 July 9.93 12.67 15.15 11.93 August 13.56 10.82 1.27 4.70 September.. 10.48 13.00 2.20 .72 October 7.04 5.49 .06 1.46 November.. 4.98 5.02 2.78 .37 December... 4.79 4.12 1.45 2.78 Intervention Analysis May and correspondingly strong growth in the following months, while the reverse was true of Seasonal adjustment of any financial or econom- time deposits. The effect of this phenomenon on ic time series is sensitive to unusual or deviant the revised seasonal factors for 1980 and those values in the series, because such values can projected for 1981 for these deposit series was distort averages used in the estimation of season- substantial. al factors not only for the months of the deviant There are several approaches to this problem. values but also for several adjacent months and In the context of a seasonal adjustment method for the like months of several adjacent years. The such as X-l 1, a reasonable procedure is to pread- X-ll program devotes much effort to the identifi- just the series to minimize the effects of erratic cation and elimination of outliers in the estima- fluctuations on the seasonal adjustment procetion of seasonal factors. This procedure is usual- dure. Preadjustment consists of removing from ly very effective when extreme values are the series the estimated effects (in this example, isolated and not too frequent. those of the credit control period) and then However, it is difficult for X-l 1 to distinguish a determining seasonal factors from the preadjustrun of consecutive unusual observations from ed series. the trend-cycle or seasonal elements of the se- The technique used for estimating these effects ries. In particular, a sharp upswing or down- is "intervention analysis," a procedure that augswing that persists for a few months and then ments a model of the series, such as an ARIMA ceases, or reverses itself, will tend to be inter- model, by a functional form suitable for capturpreted in part as a seasonal movement. To that ing the effects of the "intervention," which in extent, such an upswing or downswing will be this case was the imposition (and subsequent removed from the series in the process of its removal) of credit controls.3 Having fitted the seasonal adjustment; moreover, the seasonal fac- combined model, one can preadjust the series by tors and resulting adjusted series in adjacent removing that part of the fitted model representyears will be affected in a similar manner. In ing the intervention, after which the seasonal these circumstances a modification of the usual factors can be obtained in the customary way (by method is necessary to prevent distortion of the X-ll) from the preadjusted series. These factors seasonal factor estimates. are then applied to the original data to obtain the seasonally adjusted series. Such a need arose in 1980, when the monetary aggregates moved in an unusual way for several Intervention analysis was applied to a total of months as a result of the imposition of the credit eight deposit series, and the results were incorrestraint program in March and its removal by porated into the 1981 annual revisions of season- July. In general, demand and savings deposits al factors for the monetary aggregates. The color exhibited sharp declines from March through curve in chart 2 shows the intervention adjust- Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Seasonal Adjustment Methods for the Monetary Aggregates 881 2. Intervention factors, seasonal factors, and growth rates for demand deposit component of Ml-B, 1980 Seasonal factor Annual growth rate IInntteerrvveennttiioonn MMoonntthh Without Without ffaaccttoorr With intervention With intervention intervention intervention adjustment adjustment adjustment adjustment January 1.000 1.022 1.019 1.0 2.2 February 1.000 .974 .973 10.8 8.5 March .991 .976 .978 -2.5 -6.1 April .977 1.012 1.015 -29.2 -30.3 May .963 .973 .980 .3 -4.3 June .975 .993 .996 6.8 12.2 July .983 1.003 1.004 6.9 9.3 August .992 .991 .991 20.6 21.6 September 1.000 1.003 1.000 11.3 14.5 October 1.000 1.009 1.006 11.1 11.6 November 1.000 1.010 1.007 1.9 1.8 December 1.000 1.032 1.030 -17.4 -18.6 r?. • i -i. ment for the demand deposit series. Table 2 lists X-l I-ARIMA and Related the intervention factors for demand deposits Procedures together with seasonal factors and annual growth rates. The intervention factors are less than 1 As noted earlier, the X-ll procedure is symmetduring the credit restraint period; and dividing by ric in that it makes equal use of data for the past these factors thus raises the value of the pread- and for the future to determine the seasonal justed series, as shown in chart 2. factor at a given point in the series. But for the seasonal adjustment of current data, the relevant future of the series is not yet available. Thus 2. Effect of intervention on seasonally adjusted X-ll computes preliminary estimates of the seademand deposits sonal factors, which are subsequently revised. Billions of dollars On the assumption that the final X-ll figure is what is sought from the seasonal adjustment, the closer the preliminary seasonal factor is to the final factor, the more accurate will be the preliminary seasonally adjusted figure. Thus substantial interest exists in obtaining preliminary factors with the smallest possible revisions. The X-ll program has its own sets of endweights or asymmetric moving averages for adjusting current and recent data and for projecting seasonal factors, and the problem is to determine whether they can be improved. The main proposal has been to replace the application of the particular end-weights in X-ll to the unmodified series with the application of central weights to the extended time series, which consists of the available observations augmented by a set of projections of future values of the unadjusted series. When these forecasts are constructed Also shown in table 2 are what the seasonal from an ARIMA model, the technique is referred factors and growth rates would have been with- to as X-l 1-ARIMA.5 Other methods can be used out preadjustment. The differences in seasonally for forecasting the series. A study by the staff adjusted annual growth rates are frequently in using stepwise autoregressive procedures for excess of 3 percentage points.4 generating the projected factors indicates that Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

882 Federal Reserve Bulletin • December 1981 the root mean squares of the revisions may be MODEL-BASED SEASONAL ADJUSTMENT reduced 20 percent on some aggregates, relative to revisions from the usual X-ll procedure. Although the X-ll program contains options for selecting alternative moving averages, usually the same moving averages are applied to all series. They were designed largely from experi- Concurrent Seasonal Adjustment ence, through empirical means. An alternative way of designing moving aver- In concurrent adjustment the estimation of sea- ages is by statistical models. Given an ARIMA sonal factors is based on all available data up to model for the aggregate series m„ as in equation and including the figure being adjusted, by con- 5, corresponding ARIMA models can generally trast with the present procedure, in which the be obtained for the seasonal and trend compocurrent figure is adjusted using a projected factor nents of the series. Provided these component calculated from data through the previous De- models satisfy suitable criteria, they offer a basis cember. Like X-11-ARIMA and related proce- for seasonally adjusting the series. The result is dures, concurrent adjustment is intended to re- an expression for the seasonal component as a duce revisions, insofar as more information is weighted moving average of the aggregate series, being used in calculating the first-published fig- of the same form as equation 4 produced by the ures. The announcement in advance of the pre- X-ll program, but with the wj replaced by a new cise method to be used in calculating the season- set of weights, say Vj. As in equation 4 for the al factors—for example, X-11-ARIMA with X-ll procedure, these weights are symmetric. standard options—preserves the objectivity of The essential difference between the weights Wj the seasonal adjustment. in equation 4 for the X-ll procedure and the A recent investigation conducted on concur- weights Vj in the ARIMA model-based procedure rent seasonal adjustment of the monetary aggre- is that the latter, because they are derived from gates shows that using X-ll with concurrent adjustment produces an average reduction of 46 3. Seasonal factors for demand deposits. . . percent in first-year revisions of the seasonal factors and of 18 percent in the total revisions (measured by root mean square). Consequently, concurrent adjustment may also provide a substantial improvement in the quality of the firstpublished statistics on the monetary aggregates. Nevertheless, some uncertainties surround the use of concurrent adjustment. Judgmental modification of the seasonal factors or preadjustment of the data before using X-ll could not be done during the year without destroying the objectivity of the procedure. This fact would have been a particular problem during 1980, when preadjustfrom model ment by intervention analysis was seen to be important in preventing distortion by X-l 1 of the P— k. seasonal factors during the period of credit controls. There is also the practical problem that revised factors are generated every month: for example, 11 revised factors for January would ...ll 1 result from successive concurrent adjustments of figures for the following February through De- 1 cember, in addition to any later revisions that 1 1 1 I I 1 1 1 1 1 may be made. Feb. May Aug. Nov. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Seasonal Adjustment Methods for the Monetary Aggregates 883 the model for the series, reflect the features of ten years ago allows for changing seasonal patthe series, whereas the X-ll weights are preas- terns and a flexible trend representation as well.7 signed. Special effects—for example, a change in re- Some of these considerations are illustrated in serve requirements that produces an abrupt chart 1, which shows both X-ll and model-based change in the level of a reserves series—can be adjustments of demand deposits. Whereas differ- incorporated into the regression model. Some ences are apparent, the two adjustments are on other uses of regression components for trend the whole quite similar, reflecting the similarity models are given in the section on intervention of the X-ll moving averages and those implied analysis. Calendar effects constitute a regression by the model for demand deposits. An alterna- subcomponent of the overall seasonal compotive depiction of the X-ll and model-based ap- nent s. t proaches to estimation of seasonal factors is When a regression model is used for seasonal provided by chart 3, in which seasonal factors for adjustment, the model coefficients are estimated the same month in different years are combined. by least squares or a variant that provides for the Changes in the factors over time are evident in treatment of extreme values. Revised coefficient both the X-ll and the model-based procedures. estimates based on new observations can change Also evident is that these changes are allowed to the seasonal components in the entire sample so occur more rapidly in the model-based proce- that suitable criteria for publication of revisions dure. may be needed. X-ll as a Model-Based Procedure Combinations of Seasonal Adjustment Methods An important result, which considerably increases our understanding of the strengths and Other model-based methods have also been delimitations of the X-ll procedure, is that a partic- veloped and applied to the monetary aggregates, ular ARIMA model for the series m and its including procedures based on models with varit seasonal component s has derived seasonal ad- able coefficients8 and on combinations of regrest justment weights that are essentially the same as sion and moving-average procedures.9 In fact, the X-ll weights.6Thus X-ll may be considered the combining of elements of different seasonal a model-based procedure with respect to this adjustment methods is one of the more promising model. It also follows that series whose ARIMA areas of research being pursued by the Board models resemble the ARIMA model for X-l 1 will staff. Examples include several of the modificabe better adjusted by X-ll than other series. In tions to the X-ll procedure discussed earlier, general, ARIMA models fitted to the major com- which combine this procedure with the use of ponents of the monetary aggregates do resemble models. In the context of procedures based enthe X-ll model: one explanation of the relative tirely on models, general variation in a composuccess of X-ll in adjusting the aggregates. nent is often captured with an ARIMA model; and variation attributable to a specific source, such as a tax date or a change in regulations, is Regression Models for Seasonal frequently explained with a regression model. Adjustment In addition to X-ll and seasonal adjustment ERROR AND UNCERTAINTY procedures based on ARIMA models, methods IN SEASONALLY ADJUSTED AGGREGATES stemming from other types of time-series models have been investigated. Among the most promi- As noted earlier, the monetary aggregates are nent of these are regression methods, based on seasonally adjusted using estimates of the unmodels of the form given in equation 6. A general known seasonal factors or components. The reregression method developed at the Board about sulting discrepancy between the estimated and Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

884 Federal Reserve Bulletin • December 1981 true seasonals represents the error or uncertainty dependent. As we noted earlier, the monetary due to seasonal adjustment. Part of this discrep- aggregates are rather well fitted by the ARIMA ancy is in the initial factors and preliminary model for X-ll. Thus measures of error for final adjusted data only, and is removed when the seasonal factors derived from this model should factors are subsequently revised; the remainder be appropriate for the monetary aggregates. For is present in final as well as initial figures. In demand deposits the standard deviation of this addition, there are sources of uncertainty in the error is about 0.1 percent. monetary aggregates apart from seasonality, in- Similarly, the ARIMA model yields estimates cluding transitory variations and sampling and of "irregular" or "transitory" variation that, reporting error. while not necessarily error in the above sense, is Thus the monetary statistics clearly are only a source of noise or uncertainty in the data. The estimates of the underlying or true money sup- Advisory Committee on Monetary Statistics ply, containing error due to several sources. The studied the desirability and feasibility of measurfirst-published seasonally adjusted data at higher ing transitory variation and recommended the frequencies (weekly and monthly) may be partic- publication of such measures. In its report the ularly subject to substantial revision when more committee calculated the transitory standard deinformation becomes available for estimating viation to be 2.5 percent for annual monthly seasonal and other elements. growth rates of Ml, using a daily model for this Most straightforward to calculate among error series. More recently, a calculation based on the sources are revisions in preliminary data and in Cleveland X-ll model found this standard deviseasonal factors. Recording all initial and revised ation to be 3.6 percent, though it was less after values permits such measures as the average revision of the seasonal factors. revision, average absolute revision, and root Table 3 summarizes some of the measures of mean-square revision, over a recent period, to be uncertainty in the aggregates Ml-B and M2. As determined. For monthly demand deposits the an example, the standard deviation of the total standard deviation of revisions in seasonal fac- seasonal factor (revision plus final-factor error) tors over the period 1974-77 was found to be in annual monthly growth rates in Ml-B is estiabout 0.2 percent.10 mated to be 2.9 percent. Thus, if a first-published A more elusive problem is measuring seasonal monthly growth rate for this aggregate is 6 peradjustment error in final data. While revisions cent, the true rate could be less than 3 percent or can always be observed eventually, errors in greater than 9 percent about one-third of the time final data are by definition unobservable. Even owing to error in seasonal factors. With other to say that such error exists presupposes a sources of noise incorporated, the confidence generating mechanism or model for the series, so limits expand to 6 percent ± 4.5 percent for the that measures of such error are heavily model- underlying or trend Ml-B value. 3. Standard deviations of noise in monthly monetary aggregates Ml-B M2 Levels Growth rates Levels Growth rates NNNoooiiissseee sssooouuurrrccceee Billions of Annual rate Billions of Annual rate Percent dollars' Percent (percent) Percent dollars2 Percent (percent) Transitory variations .21 .9 .30 3.6 .17 3.4 .24 2.9 Seasonal revisions .18 .8 .18 2.1 .13 2.6 .13 1.6 Error in final seasonal factors.. .10 .4 .16 1.9 .08 1.6 .13 1.6 Total seasonal .21 1.0 .24 2.9 .15 3.0 .18 2.2 Total .29 1.3 .38 4.5 .23 4.6 .30 3.6 1. Based on a level of $450 billion. 2. Based on a level of $2 trillion. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Seasonal Adjustment Methods for the Monetary Aggregates 885 4. Identification of a change in trend of Ml-B REPORT OF THE COMMITTEE OF EXPERTS Percent deviation from trend growth rate Board staff research on seasonally adjusting the monetary aggregates has been stimulated in part by the Board's Committee of Experts on Season- 4 al Adjustment Techniques, which has recently completed its report.11 This committee, chaired by Dr. Geoffrey H. Moore and including Professor George E. P. Box, Mr. Hyman B. Kaitz, Professor James A. Stephenson, and Professor Arnold Zellner, was established by the Board in 1978 to examine the applicability of seasonal \ adjustment techniques to time series of financial data, particularly the monetary aggregates, their L components, and related series, with a view to recommending to the Board the most appropriate methods for seasonally adjusting such series. The committee's report contains ten principal recommendations for modifications in the Board 11 procedures and their use, the development of alternative procedures, and the publication of initial and revised seasonally adjusted monetary statistics, as well as guidelines for additional research by the Board's staff on seasonal adjust- 1 2 3 4 5 6 Length of run, in months ment techniques. These recommendations are summarized below. Curve is deviation of observed growth rate in Ml-B from assumed trend growth rate required to identify a change in trend growth rate 1. The X-11-ARIMA procedure, or a similar with two-thirds probability. technique that improves the method of estimat- This uncertainty or noise in the aggregates is ing projected seasonal factors and reduces the mitigated as the figures are averaged over longer size of subsequent revisions, should be develperiods. Chart 4 shows the relationships between oped and applied to the monetary aggregates. the sizes of the fluctuations in Ml-B (annual 2. The use of the present seasonal adjustment growth rates) and the number of months neces- procedure or its recommended modification on a sary before the degree of fluctuation reflects, concurrent basis, utilizing all available data up to with two-thirds probability, a change in trend. and including the current figure for estimating Values for M2 may be obtained by replacing seasonal factors, should be seriously considered. numbers on the vertical axis by entries about 75 3. Model-based approaches to seasonal adpercent as large. As a guide to interpreting this justment of the monetary aggregates should be chart, if the trend or the targeted growth rate in developed and applied on a current, continuing Ml-B had been 5 percent and the figure for the basis, along with the present methods. This work current month's growth rate is 8 percent, one will build up a fund of experience with modelcould not say with even two-thirds probability based approaches so that their relative advanthat the trend was now different from 5 percent tages can be appraised in a realistic environment. because that would require a 4.5 percent devi- 4. In reporting seasonally adjusted data, the ation from the current trend, in contrast to the practice should be to report measures of error to observed 3 percent deviation. It would require which the seasonally adjusted data and their two months of growth averaging 8 percent to say rates of change are subject. Such measures can with two-thirds probability that the underlying be obtained either from the record of revisions or trend growth rate was now different from 5 by more formal methods. percent. 5. It would be desirable to include in the Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

886 Federal Reserve Bulletin • December 1981 regular release of current data on the level of the X-ll procedure that aim to reduce seasonal aggregates measures of their rates of change that factor revisions. Two other recommendations (4 have been found to be most useful, together with and 5) have to do with publishing measures of measures of their reliability. error for seasonally adjusted levels and growth 6. Judgmental modifications of seasonal fac- rates of the aggregates, and with alternative ways tors should be avoided. It is desirable to specify to calculate the latter. The report in fact includes in advance what procedure will be used so that two alternative calculations for the current rate others can obtain the same result. If a modifica- of change of an aggregate series. One of these, tion does prove necessary, the procedure yield- based on an ARIMA modelling of the series, has ing the modification should be described also. the useful feature that the seasonally adjusted 7. The Board should set forth its views on rate of growth is determined directly from the policy with respect to seasonal variations in the overall model.12 The second method is to calcudemand for and supply of money and credit. late a year-over-year change but to replace last Methods of seasonal adjustment could then be year's value with a centered 12-month average of designed and evaluated accordingly. that and surrounding figures, to reduce the de- 8. In light of the Board's policies with respect pendence of the traditional year-over-year calcuto seasonal variations, specific criteria for ap- lation on what went on a year earlier. praising seasonal adjustment methods should be The tenth recommendation has already been established by the staff responsible for this work implemented: the Division of Research and Staand applied systematically to the various tech- tistics' newly established Seasonal Adjustment niques that are used. Research Committee consists of about twenty 9. Several modifications of the present sea- members of that Division and of the Division of sonal adjustment procedure (X-ll) should be International Finance. One of the major efforts of developed and applied to the monetary aggre- this research group is to develop and experiment gates, including improved smoothing procedures with model-based procedures, along the lines and exclusion of further routine revisions of discussed earlier in this article and in accordance seasonal adjustment factors after one full year of with the third recommendation of the Committee additional data has become available. of Experts. These efforts are directed initially at 10. A continuing research program on season- enhancements to X-ll, including X-11-ARIMA, al adjustment methods and their application to preadjustment by intervention analysis, and imfinancial data should be established by the proved trading-day or calendar adjustments. Any Board. Staff positions should be assigned to this modifications in technique that may be proposed work and regular reports scheduled. Among the will require much "on-line" experimentation and important areas for research, in addition to those analysis. The X-ll procedure, whatever its noted above, is the relation between seasonal shortcomings, is a well-established and widely movements and Federal Reserve policies. accepted method, and any proposed modifica- In summary, three of the committee's recom- tion will also be thoroughly evaluated and firmly mendations (1,2, and 9) propose modifications to established before being implemented. • Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Seasonal Adjustment Methods for the Monetary Aggregates 887 FOOTNOTES 1. See George E. P. Box and Gwilym M. Jenkins, Time 6. William P. Cleveland, "Analysis and Forecasting of Series Analysis, Forecasting and Control (San Francisco: Seasonal Time Series" (Ph.D. dissertation, University of Holden Day, 1970). Wisconsin, 1972). 2. For the modified version, see William P. Cleveland and 7. James A. Stephenson and Helen T. Farr, "Seasonal Michael R. Grupe, "Modeling Time Series When Calendar Adjustment of Economic Data by Application of the General Effects are Present," Special Studies Paper 162 (Board of Linear Statistical Model," Journal of the American Statisti- Governors of the Federal Reserve System, 1981; processed). cal Association, vol. 67 (March 1972), pp. 37-45. 3. George E. P. Box and George C. Tiao, "Intervention 8. Arthur Havenner and P. A. V. B. Swamy, "A Random Analysis with Applications to Economic and Environmental Coefficient Approach to Seasonal Adjustment of Economic Problems," Journal of the American Statistical Assocation, Time Series," Journal of Econometrics, vol. 15 (February vol. 70 (March 1975), pp. 70-80. 1981), pp. 177-210. 4. For a more complete description of this technique and 9. David A. Pierce, "Seasonal Adjustment when Both its application, see David A. Pierce and William P. Cleve- Deterministic and Stochastic Seasonality are Present," in A. land, "Intervention Analysis and Seasonal Adjustment of the Zellner (ed.), Seasonal Analysis of Economic Time Series Monetary Aggregates," Special Studies Paper 163 (Board of (U.S. Bureau of the Census, 1978), pp. 242-73. Governors of the Federal Reserve System, 1981; processed). 10. David A. Pierce, "Trend and Noise in the Monetary See also Thomas D. Simpson, John R. Williams, William P. Aggregates," New Monetary Control Procedures, vol. II Cleveland, David A. Pierce, Michael R. Grupe, Edward R. (Board of Governors of the Federal Reserve System, 1981). Fry, and David E. Lindsey, "Recent Revisions in the Money 11. Seasonal Adjustment of the Monetary Aggregates, Stock: Benchmark, Seasonal Adjustment, and Calculations Report of the Committee of Experts on Seasonal Adjustment of Shift-Adjusted Ml-B," (Board of Governors of the Federal Techniques (Board of Governors of the Federal Reserve Reserve System, Division of Research and Statistics, Bank- System, 1981). ing Section, 1981; processed); a short version of the paper 12. Further detail on this method is contained in George appeared in the FEDERAL RESERVE BULLETIN, vol. 67 (July E. P. Box and David A. Pierce, "Estimating Current Trend 1981), pp. 539-42. and Growth Rates in Seasonal Time Series," Special Studies 5. Estela Bee Dagum, The X-l 1-ARIMA Seasonal Adjust- Paper 156 (Board of Governors of the Federal Reserve ment Method (Statistics Canada, February 1980). System, 1981; processed). Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

888 Treasury and Federal Reserve Foreign Exchange Operations: Interim Report This interim report, covering the period August reducing the federal budget deficit. The prospect through October 1981, is the eighteenth of a of continuing sizable Treasury financing requireseries providing information on Treasury and ments raised serious concerns. System foreign exchange operations to supple- By late summer, also, there was growing eviment the regular series of semiannual reports dence of sluggish U.S. economic activity, and that are usually issued each March and Septem- market participants expressed concern that the ber. It was prepared by Sam Y. Cross, Manager Federal Reserve might be forced to relax its of Foreign Operations of the System Open Mar- policy of monetary restraint under the weight of ket Account and Senior Vice President in charge growing political criticism of high interest rates of the Foreign Group of the Federal Reserve at a time of little or no U.S. economic growth. Bank of New York. U.S. short-term interest rates did in fact begin to ease, even though monetary policy continued In early August the year-long advance of the tight. Between August and early October the dollar in the exchange markets reached its peak. federal funds rate dropped about 500 basis Until then, the dollar was in persistently strong points, the rate on three-month Eurodollar dedemand against most major currencies, bolstered posits declined about 300 basis points, and the by an improving outlook for U.S. inflation, posi- Federal Reserve progressively reduced its surtive worldwide sentiment toward the Reagan charge on large banks that frequently borrow at administration's economic program, a favorable the discount window from 4 percent to 2 percent. U.S. current account performance, and large Abroad, the domestic economies of major ininterest differentials favoring dollar investments. dustrial countries were also generally stagnant. At the same time, many industrial countries Nonetheless, most countries were experiencing abroad experienced economic and political diffi- accelerating inflation, owing in part to the proculties that depressed market sentiment toward longed weakness of their currencies in the extheir currencies. By August 10 the dollar had changes. The authorities in some nations—notarisen some 45 percent from its level a year earlier bly France, Switzerland, and the United to reach a five-year high of DM 2.5773 against Kingdom—raised their interest rates while oththe German mark, while registering sizable in- ers, feeling they had little room to ease monetary creases against other currencies as well. policy so as to provide some stimulus to their Subsquently, some of the factors that had flagging economies, opted to hold monetary conspurred bidding for the dollar began to appear less compelling than before. The international 1. U.S. Treasury securities, enthusiasm that followed congressional passage foreign currency denominated1 of the administration's tax and expenditure pro- Millions of dollars equivalent; issues, or redemptions (-) gram started to wane. Market participants remained impressed by the administration's goals August Issues Commitments, through Commitments, of stimulating private savings and investment July 31, 1981 Oct. 31, 1981 October 1981 and reducing the government's role in the econo- Public series my. But participants in the exchanges, as in the 5,233.6 -680.3 4,553.3 U.S. domestic financial markets, expressed Switzerland 458.5 0 458.5 skepticism that the fiscal package approved by 5,692.1 -680.3 5,011.8 the Congress would in fact succeed in adequately 1. Data are on a value-date basis. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

889 2. Net profits and losses (-) on U.S. Treasury and float while the French franc rose toward the top, Federal Reserve foreign exchange operations1 and for a time substantial reflows of capital Millions of dollars occurred. From mid-August through early October these U.S. Treasury various considerations led to widespread and FFeeddeerraall PPeerriioodd Exchange RReesseerrvvee General occasionally substantial selling pressure on the Stabilization Account Fund dollar and produced a major decline in dollar Aug. 1 through rates. From its peak levels the dollar declined as Oct. 31, 1981 0 0 24.3 much as 17 percent against the Swiss franc, 15'/2 Valuation profits and losses on outstanding percent against the German mark, 73/4 percent assets and liabilities as of Oct. 31, 1981 -316.5 -1,200.4 856.0 against sterling, 53/4 percent against the Japanese yen, and 4 percent against the Canadian dollar. 1. Data are on a value-date basis. After reaching a low point on October 9, however, the dollar came into renewed demand. ditions firm. As a result, short-term interest dif- Commercial buy orders emerged in large ferentials favoring the dollar narrowed sharply. amounts in a number of centers to take advan- Moreover, a number of balance of payments tage of what were regarded as favorable dollar developments here and abroad were interpreted rates for both investments and current payments. in the market as signalling a reversal in current From time to time there were also substantial account positions that in recent years had been purchases of dollars by non-Group of Ten central favorable to the United States. This country's banks. In addition, recurrent episodes of geopotrade account posted a wide deficit in August, litical tension, especially in Poland and the Midand the current account was expected to move dle East, generated sharp demands for dollars from surplus to deficit sometime during 1982 in essentially because political and security conview of the sharp appreciation of the dollar and cerns were seen in the exchanges as potentially the sluggishness of most foreign economies. At less destabilizing to the United States than to the same time, Japan's current account moved most countries abroad. Thus, market particistrongly into surplus. Germany's net exports had pants remained relatively optimistic about the expanded to the point of bringing monthly cur- U.S. overall prospects and continued to regard rent account figures close to balance, and Ger- the United States as an attractive outlet for man officials as well as private forecasters began investment. to talk of a sharp turnaround in Germany's Also during October, developments suggested external position. that interest rate differentials favorable to the Throughout the summer, expectations intensi- dollar would not erode as rapidly as had been fied that divergent policies and economic trends expected. In the United States, short-term interamong European Monetary System (EMS) coun- est rates declined further toward the month-end tries, particularly Germany and France, would as evidence mounted of a softer-than-expected force a realignment of the joint float. These economy. On October 30 the Federal Reserve expectations generated large speculative flows responded to the lower level of market interest that imposed major strains on the joint float. To rates by reducing the discount rate 1 percentage keep their currencies within the agreed limits, point to 13 percent. But by this time, recession- EMS central banks intervened by selling large ary tendencies in many European countries had amounts of dollars in addition to EMS currencies deepened, and market participants came to exduring August and September. Then on October pect that foreign monetary authorities would 4 the EMS currencies were realigned, with the take advantage of further declines in U.S. inter- German mark and Dutch guilder each revalued est rates to ease their own domestic monetary 51/2 percent and the French franc and Italian lira conditions. Moreover, as analysts took account each devalued 3 percent in relation to the other of shifting economic growth prospects here and participating currencies whose central rates re- abroad, many began revising their current acmained unchanged. After the realignment the count forecasts, predicting less deterioration German mark traded near the bottom of the joint than previously expected in the 1982 current Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

890 Federal Reserve Bulletin • December 1981 account for the United States and less improve- period in dollars and in sizable amounts. In this ment in the current accounts of other countries. connection the Trading Desk at the New York Adding to this sense of caution were the widen- Federal Reserve intervened on occasion as agent ing deficits on invisibles in Germany and Japan, for other central banks in the New York market. partly reflecting the influence of mounting inter- On September 1 the U.S. Treasury paid off est payments on foreign borrowings. $680.3 million equivalent of its German mark- In these circumstances, despite the renewed denominated securities. After this redemption decline in short-term U.S. interest rates during the Treasury had outstanding $5,011.8 million the last days of the month, the dollar proved equivalent of foreign currency notes (public seresilient in the exchanges and ended the period ries)—$4,553.3 million equivalent denominated up from its lows. On balance, over the three in German marks and $458.5 million equivalent months the dollar declined nearly 16 percent denominated in Swiss francs. against the Swiss franc, 10xh percent against the In the three-month period from August German mark, and about 3 lA percent against the through October, the Federal Reserve and the Japanese yen. With respect to the Canadian Exchange Stabilization Fund realized no profits dollar and pound sterling, the dollar ended the or losses from exchange transactions, while the period down 23A percent and 2 ]A percent respec- Treasury's general account gained $24.3 million, tively. reflecting the profit that occurred upon the re- During the August-October period there were demption of the German mark-denominated seoccasions when the market experienced unusual- curities. As of October 31, valuation losses on ly sudden and sharp exchange rate movements outstanding foreign currency balances were mainly related to political events. These episodes $316.5 million for the Federal Reserve and occurred largely during the European trading $1,200.4 million for the Exchange Stabilization session and were quickly reversed. The U.S. Fund. The Treasury's general account had valuaauthorities did not intervene in the market for tion gains of $856 million related to outstandtheir own account during the period. ing issues of securities denominated in foreign Foreign central banks did intervene during the currencies. • Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

891 Industrial Production Released for publication December 16 percent in November, as both durable and nondurable materials declined sharply. Among dura- Industrial production fell an estimated 2.1 per- ble materials, large declines occurred in output cent in November, after declines of 1.4 percent of basic metals and of parts for consumer durable in October and 1.2 percent in September. Reduc- goods and for business equipment. The decline in tions were widespread again, with large cutbacks nondurable materials was concentrated in chemiin output of consumer durable goods, construction supplies, business equipment, and both durable and nondurable materials. Industrial production in November was 146.5 percent of its 1967 average. In market groupings, output of consumer goods fell sharply in November, as production of durable consumer goods dropped substantially. Auto assemblies, at an annual rate of 4.8 million units, were almost 13 percent below their October rate; output of home goods fell more than 5 percent, reflecting a deep cut in the production of appliances. Output of consumer nondurable goods declined only a little. Business equipment dropped 1.6 percent further, as output of all of its major components was reduced. Production of construction supplies fell 2.1 percent, somewhat less than in October. In contrast to these large reductions, output of defense and space equipment continued its upward trend and was more than 4 percent higher than a year earlier. Federal Reserve indexes, seasonally adjusted. Latest figures: No- The production of materials was reduced 2.7 vember. Auto sales and stocks include imports. Major market groupings 1967 = 100 Percentage change from preceding month PPPeeerrrccceeennntttaaagggeee ccchhhaaannngggeee,,, GGGrrrooouuupppiiinnnggg 1981 1981 NNNooovvv... 111999888000 tttooo NNNooovvv... Oct." Nov.e July Aug. Sept. Oct. Nov. 111999888111 Total industrial production 149.6 146.5 .7 -.2 -1.2 -1.4 -2.1 -1.8 Products, total 150.0 147.6 .5 -.3 -.9 -.8 -1.6 -.7 Final products 149.6 147.3 .5 -.4 -.8 -.5 -1.5 -.1 Consumer goods 147.5 144.7 .3 -.7 -.9 -.5 -1.9 -2.3 Durable 136.6 128.4 -.9 -2.7 -1.5 -2.6 -6.0 -10.5 Nondurable 151.9 151.3 .7 .1 -.8 .4 -.4 .9 Business equipment 181.1 178.2 .7 -.2 -1.0 -.8 -1.6 2.5 Defense and space 104.0 104.6 .9 .2 .7 .5 .6 4.3 Intermediate products 151.6 149.0 .8 .4 -1.5 -1.9 -1.7 -2.9 Construction supplies 134.3 131.5 .6 -.2 -3.1 -3.8 -2.1 -7.8 Materials 148.9 144.9 .8 -.1 -1.8 -2.3 -2.7 -3.5 p Preliminary. e Estimated. NOTE. Indexes are seasonally adjusted. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

892 Federal Reserve Bulletin • December 1981 Major industry groupings 1967 = 100 Percentage change from preceding month PPPeeerrrccceeennntttaaagggeee ccchhhaaannngggeee,,, GGGrrrooouuupppiiinnnggg 1981 1981 NNNooovvv... 111999888000 tttooo NNNooovvv... Oct." Nov.e July Aug. Sept. Oct. Nov. 111999888111 Manufacturing 148.7 145.2 .5 .0 -1.3 -1.7 -2.4 -2.5 Durable 138.1 134.0 .3 -.1 -1.7 -2.0 -3.0 -3.7 Nondurable 164.0 161.5 .8 .1 -.7 -1.3 -1.5 -.9 Mining 145.1 144.4 3.4 -.3 -.4 -.2 -.5 6.9 Utilities 168.5 166.6 .2 -.7 -1.6 -.4 -1.1 -1.9 p Preliminary. e Estimated. NOTE. Indexes are seasonally adjusted. cals and textiles. Output of energy materials fell nondurable manufactures fell 1.5 percent; cur- 0.5 percent again in November. tailments were widespread among industries. In industry groupings, manufacturing output Output of mines and of utilities also continued to was cut 2.4 percent in November. Production of decline. durable manufactures dropped 3.0 percent, and Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

893 Statements to Congress Statement by Frederick H. Schultz, Vice Chair- For the farmer, however, relatively stable man, Board of Governors of the Federal Reserve prices have meant little growth in gross farm System, before the Subcommittee on Agriculture income. Other prices, unfortunately, have not and Transportation of the Joint Economic Com- stopped rising—including prices paid by farmers mittee, December 1, 1981. for the goods necessary to produce their output. Prices of production goods and services pur- I am pleased to have the opportunity to partici- chased from the nonfarm sector rose 11 percent pate in your hearings on the importance of agri- in 1981, following an increase of 16 percent in culture to the U.S. economy. You asked me to 1980. The result has been a marked decline in net discuss the impact on agriculture of develop- farm income; not only has inflation reduced farm ments in the general economy and financial mar- earnings, but it has also eroded the purchasing kets. Although conditions in the agricultural sec- power of this net income. In response, farmers tor depend importantly on circumstances unique have pared their purchases of new equipment to that sector, over recent years the performance sharply, placing great stress on the manufacturof agriculture has in some respects become in- ers in this sector. Thus inflation has played a creasingly tied to events in the rest of the econo- major and direct role in causing difficulties for my. During the past decade in the absence of farmers and related industries. large surplus stocks of farm commodities, crop Inflation also has affected the agricultural secproduction problems and changes in demand for tor through its influence on interest rates. When farm output, whether in the United States or prices are expected to rise, lenders seek to be abroad, have been transmitted more rapidly to compensated for being repaid in funds with rechanges in the price and availability of farm duced purchasing power by receiving a higher products. In similar fashion, cyclical changes in return on their loans. Many borrowers often are the general level of interest rates have recently willing to pay these higher rates because they been reflected more quickly and completely in expect that the goods they are purchasing on the cost of funds borrowed by farmers. credit will be more expensive if they wait. As a Agriculture, like many other sectors of the result, the rapid inflation experienced in recent U.S. economy, has been affected by the related years has been associated with interest rates that ailments of high inflation, high interest rates, and are high by historical standards. sluggish economic activity that have plagued us Before 1979, farmers borrowing from rural for the last few years. The failure of consumer banks were largely insulated from fluctuations in incomes to grow, after taking account of infla- interest rates in national markets because these tion, has limited demand for many farm prod- changes had little effect on the cost of funds at ucts, particularly meat. With favorable weather such banks. The introduction of smaller time in many areas of the country spurring production deposits with ceiling rates tied to money market at the same time, retail food prices this year seem rates has changed that situation, however. By certain to register their smallest increase since September 30 of this year, six-month money 1976. Prices for meats and livestock have actual- market certificates of deposit represented 30 ly fallen this year, reflecting a shift in consumers' percent of total resources at agricultural banks preferences that may have been accentuated by and large-denomination certificates accounted the uncertain economic environment. The soft- for another 7 percent; thus, well over a third of ness in agricultural prices has helped to slow the the footings of these banks were in the form of overall rate of inflation this year—which, of short-term deposits carrying market-related course, is what we are all trying to achieve. rates. In addition, most rural banks have been Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

894 Federal Reserve Bulletin • December 1981 offering longer-term "small saver" certificates, variable rates have risen relatively slowly; also, a which, beginning this summer, have been issued significant proportion of recent new debt consistat market-related rates. Consequently, when ed of drought-related loans from the Farmers market interest rates increased sharply during Home Administration that were made at belowthe past spring and summer, the rising cost of market rates. The increase in interest costs that funds at rural banks led to higher rates on farm has resulted from the rise in rates accounts for a loans. Even so, at their peaks, these rates re- relatively small part—less than a fifth—of the mained below the prime rate at large banks. The drop in real net earnings of the farm sector since average effective rate on farm loans at the small- 1979. er banks had reached 19.1 percent at the time of By the same token, the reduction in interest our quarterly survey conducted during the first rates that has occurred in the last few months is week of August, when the prime rate at large unlikely to produce dramatic improvement in the banks was 20xh percent. financial situation of the farming sector as a Although the shift to market-related yields on whole. The increase in total interest costs will be the liabilities of smaller and rural banks has slowed, but average rates on new loans would caused loan rates at these institutions to fluctuate have to fall below 11 percent in order to reverse with changes in market rates, offsetting benefits the upward climb in the average rate on all debt. have accrued to rural communities. Rural resi- However, the ongoing drop in market and farm dents, including farmers, have been able to ob- loan rates will greatly aid those highly leveraged tain market-related yields on their deposits in users of short-term loans who were hardest hit as local institutions. The capacity of rural banks to rates rose. compete more successfully for savings has al- The recent declines in interest rates appear to lowed them to maintain or increase their lending stem primarily from reductions in private deability during a period in which otherwise lending mands for money and credit associated with a probably would have been impaired. The ample weakening economy—a combination that implies liquidity and lending capacity of rural banks are costs as well as benefits to farmers. Longer-term illustrated by the relatively low level of their relief will not come until we see a pronounced average loan-to-deposit ratios recently. Current- and continuing moderation in the inflation that ly this measure is around 61 percent, down from has gripped this country for more than a decade. 68 percent two years ago, despite growth in loans Reduced inflation will bring with it permanently over this period. Credit has remained available to lower interest rates and will set the stage for farmers, although at high rates. resumption of sustained economic growth. The rise in interest rates has greatly aggravat- The Federal Reserve is following a strategy ed cash flow difficulties for those farmers who designed to bring about this result. We have are highly leveraged—operating at high debt-to- announced our intention to reduce growth in asset ratios—and those who rely on short-term money and credit gradually to rates consistent financing. When one looks at the agricultural with stable noninflationary economic growth. sector as a whole, however, farmers in this The course will not be smooth. In a world of particularly vulnerable credit position are a small volatile expectations and rapid changes in finanproportion of all farmers. The average debt-to- cial practices, we cannot guarantee the achieveasset ratio in agriculture is only 18 percent—less ment of our objectives for monetary expansion than half the average ratio found in nonfinancial over short periods, nor perhaps should we atcorporate business. Furthermore, the average tempt to do so. Moreover, even a stable growth interest rate being paid on all outstanding farm path for money and credit may be associated debt has risen relatively slowly, and for 1981 is with considerable volatility in the level and patestimated at about 10VA percent, up less than 2 tern of spending as the economy adapts to slowpercentage points from 1979. Much outstanding ing inflation rates. debt was incurred in earlier years at lower fixed The current downturn in economic activity is rates and for long periods from sellers of farms, an unfortunate example of this. I believe that the life insurance companies, and other mortgage decline will be limited, partly because the recent lenders, or from Federal Land Banks whose downward movement in interest rates will buoy Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Statements to Congress 895 demands in credit-sensitive sectors. It would be monetary policy. This does not appear to be in a grave mistake, in my view, for the Federal prospect, given the very large gaps now expected Reserve to attempt to turn the economy around between receipts and expenditures in coming by greatly accelerating money growth. Such a years. High budget deficits put additional strain policy might result initially in lower interest rates on private borrowers because in effect the govand a faster rebound in activity, but it would also ernment has first call on the nation's pool of signal once again a lack of resolve in combating savings. Reducing government competition for inflation. The ultimate outcome would be higher these funds would lower interest rates and eninflation and interest rates and additional strains courage private spending initiatives. As imporon our economy and financial system. This out- tant as the direct effect of lower deficits on come can be prevented if the Federal Reserve financial markets, in my view, would be the sticks to its longer-run policy, and we are deter- perception, fostered by a better outlook for budmined to do so. get balance, that policy throughout the govern- The transition to an economy of noninflation- ment was being formulated to accomplish the ary growth will not be easy. The problems we are goal of lower deficits. Inflation has persisted at facing have been building up for many years, and such a high level in the face of generally weak we cannot expect quick or painless solutions to economic activity because, for one reason, the them. Moreover, heavy reliance on monetary public is not yet convinced that government will policy to accomplish this goal puts particular follow a sustained and consistent policy to end it. stress on those sectors of the economy that are We must convince businessmen, farmers, consensitive to changes in the cost and availability of sumers, and wage earners that they can no longer credit—and agriculture falls increasingly into this plan on continuing price increases—that all elecategory. The adjustment would be swifter and ments of government policy are dedicated to more equitable were the federal government's stopping inflation and will persist until successbudget policy working to reinforce the thrust of ful. • Statement by Nancy H. Teeters, Member, Board growth of spending under control. Although the of Governors of the Federal Reserve System, economic and credit-market consequences of before the Task Force on Federal Credit of the federal loans and loan guarantees are not in all Committee on the Budget, U.S. Senate, Decem- cases the same as those of deficit-financed federber 10, 1981. al spending, enough similarities exist to warrant parallel procedures for budgetary review and Mr. Chairman, it is a pleasure to be here to control. I shall argue, therefore, that formal present the views of the Federal Reserve Board procedures for budgetary control of federal credon the impact, budgeting, and control of federally it activities be given careful consideration. Furassisted credit. This is a particularly appropriate thermore, I shall renew my earlier recommendatime to consider such issues. Given the serious tions for establishment of a new budget inflation problem currently plaguing our nation, commission to analyze the appropriate accountit is imperative that growth in money and credit ing for federal credit programs and for continuing be held to a moderate pace. Within this context, analysis and evaluation of the appropriate every effort should be made to insure that federal tools—direct spending, loans, loan guarantees, credit activities as well as federal spending are or tax expenditures—for achieving alternative carefully evaluated in order to avoid creating program objectives. serious distortions in financial markets. Indeed, it would be most inappropriate for offbudget federal loan programs and loan guaran- GROWTH OF FEDERAL CREDIT PROGRAMS tees to provide a less conspicuous substitute for direct, on-budget federal spending at a time when Mr. Chairman, federal credit programs have exstrenuous efforts are being made to bring the panded enormously, both in amount and in Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

896 Federal Reserve Bulletin • December 1981 scope, in recent years. The total volume of tions in capital markets that denied credit to outstanding direct loans and loan guarantees, for some groups or made its cost prohibitive. For example, has been projected to total more than example, the FHA-insured loan programs were $540 billion by the close of the fiscal year that devised during the Great Depression to reduce ended in September. This volume is nearly triple the risks perceived by lenders. By pooling risks the $190 billion level reached just 10 years ago. across a large number of loans issued in a stan- In addition, the volume of loans held by govern- dardized fashion, the government program enment-sponsored agencies was projected to total couraged private lenders to advance credit at a about $170 billion at the end of fiscal year 1981, lower cost to borrowers and on less restrictive up $20 billion from last year and more than four terms than would otherwise have been possible. times the level 10 years earlier. In fact, the Over time, these more liberal terms gained gengrowth of these loans has been much larger than eral acceptance among all types of private lendanticipated, principally due to increased de- ers. mands on the Federal Home Loan Banks. Many other federal credit assistance programs Federal credit activities, moreover, are likely have been introduced over subsequent years to to continue to grow rapidly in the years ahead foster social objectives. Increasingly, these prounless deliberate efforts are made to constrain grams have involved substantial interest subsithem. The January budget projected that net dies. According to estimates by the Oflice of credit advanced under federal auspices—direct, Management and Budget, the present value of guaranteed, and sponsored—would total more the interest subsidy on new direct loan obligathan $100 billion during fiscal year 1982. The tions and commitments to guarantee loans in the administration's March budget revisions for fis- fiscal year just ended was estimated to total cal year 1982 called for a significant reduction in almost $27 billion. In contrast to the home mortloan obligations and guarantee commitments, gage area, moreover, the default rate in some of and further sizable reductions in loan guarantee these programs—such as student loans and ascommitments were recently announced. Even sistance for low-income housing—has been comso, if total credit flows in the coming years were paratively high. Thus, the government has had to roughly to match those of the past year, funds absorb sizable, and in some cases unanticipated, raised under federal credit auspices would ac- default losses in addition to the measured intercount for considerably more than one-quarter of est rate subsidies to borrowers. In the past few the total net funds raised by nonfinancial and years, the federal government has also guaranfinancial borrowers in domestic credit markets. teed sizable loans to single borrowers that carry The widening range of economic activities a large potential for default. assisted by federal programs is also noteworthy. In the late 1950s, the home mortgage guarantee programs of the Federal Housing Administration IMPACTS OF FEDERAL CREDIT PROGRAMS (FHA) and the Veterans Administration accounted for 90 percent of the total volume of guaran- Since the general purpose of federal credit proteed and insured loans outstanding. This propor- grams, obviously, is to enable individual borrowtion has since trended down and was expected to ers or groups of borrowers to obtain credit, have been about 73 percent at the end of the last which would otherwise be unavailable to them or fiscal year, mainly because of an expansion of only available at a higher cost, it follows that loan guarantees into new areas—such as military these programs will generally tend to increase sales and student loans. use of credit by program beneficiaries. Whether The provision of federal credit assistance this increase will, in turn, result in greater use of through direct loans and loan guarantees to credit in the aggregate, and whether such an achieve particular social and economic objec- increase is desirable, depends on the characteristives has been widely recognized as a legitimate tics of the particular programs and on the state of and valuable activity. Many credit programs the economy at large. originally were established to correct imperfec- Let me give some examples to demonstrate the Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Statements to Congress 897 differences in the economic effects of federal subsidy suggests that net demands on real recredit assistance programs. In some cases, pro- sources and credit markets are affected relatively grams may serve as close substitutes for deficit- little by the guarantee program. Many cases financed federal spending. Consider, for exam- obviously fall somewhere between these two ple, a situation in which the Congress was extremes. Compare the effects of direct federal contemplating expanding the program in which loans and outright grants-in-aid. In both cases, the federal government guarantees debt issued beneficiaries gain immediate command over by state and local authorities who then use the goods and services. The major difference beproceeds to provide low-cost housing to the tween the two approaches—that in the case of poor. Many of the end results of such an expan- the loan the government obtains a claim on the sion could be quite similar to those that would be beneficiary while it does not with the grant—is observed if the federal government were, alter- an important distinction. It is, however, a disnatively, to increase its direct spending to under- tinction without substance in those cases in take the construction of rental units and were which the borrower defaults. then to rent space on a subsidized basis. Note In general, the closeness of the analogy bethat under either approach construction funds tween assistance provided by federal credit prowould be provided by private investors either grams and deficit-financed direct federal spendthrough the acquisition of federally guaranteed ing appears to depend less on whether the aid in securities or by acquiring more Treasury securi- question is provided through direct loans or loan ties than otherwise; the same essential type and guarantees than on such things as creditworthivolume of productive resources would be used to ness of beneficiaries, the size and riskiness of construct the rental units; and low-income fam- their undertaking, and their relative ability to tap ilies would be provided with better housing than private credit sources on their own. they are otherwise able to obtain. As in the case of deficit-financed federal While stressing basic similarities, however, I spending, federal credit activities may reduce the should also note some important differences. The availability of credit to others who are not promost important is that loans must be paid back. gram beneficiaries. The extent to which such Thus, if such a program were to grow to a plateau "crowding out" takes place, however, depends and then remain constant in size, the volume of importantly on the state of conditions in the loan repayments would equal new loans being economy and financial markets. During recesguaranteed and the net economic effect would be sionary periods when credit supplies are readily small. Growth in the net volume of guaranteed available, credit assistance may work mainly to loans outstanding, however, could have an effect enable borrowers to obtain additional funds, similar to that of deficit spending. In addition, which can be used to increase demands for goods interest paid on the debt instruments issued by or services. Thus, in these periods the net result states and localities under the program is not of such programs may, to a great extent, promote subject to federal tax, as it would be on a direct a more intense use of resources and an expansion debt issue of the federal government, so net tax of economic activity rather than a transfer of revenues would also be reduced by an expansion credit (and resulting effective demand) from one of the program. borrower to another. Of course, other credit programs have much When resource utilization has less slack and less similarity to noncredit federal spending. For credit market conditions are relatively tight, example, homebuyers who take out mortgages however, a much greater tendency exists for under federal guarantees could, in most in- credit extended under federal auspices to chanstances, obtain private credit without the guaran- nel loanable funds, and hence command over tee, albeit at a slightly higher rate. Providing real resources, toward assisted borrowers and roughly equivalent assistance through direct fed- away from others. In other words, just as private eral spending in this case would require the borrowers can, at times, be crowded out of credit federal government to give homebuyers only a markets when federal outlays are financed modest interest subsidy. The small size of this through the issuance of Treasury debt, so can Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

898 Federal Reserve Bulletin • December 1981 some private borrowers face higher credit costs In recent years, this erosion process has begun when other selected borrowers obtain loans with to be turned around. A number of important the assistance of the federal government. Noth- steps have been taken to make coverage of the ing need be inherently wrong with the resulting unified budget more comprehensive and to imallocation of credit if the federal intervention in prove controls of credit programs. In addition to credit markets reflects a careful assessment of incremental improvements in budget coverage, the market imperfections that the government is major strides have been taken in the developtrying to overcome and a careful weighing of ment of a separate credit budget process. In the costs and benefits. Continuous scrutiny of prior- past two years, totals have been calculated and ities under a credit budget process is important, presented in the budget for gross new direct loan however, if such balancing of costs and benefits obligations and new loan guarantee commitis to be achieved. And such scrutiny is essential ments. Components of the credit budget total in current circumstances when the growth of have been shown in respective budget functions credit is necessarily limited by anti-inflation poli- and have been subdivided by agency and procies. gram in the special analysis accompanying the budget and in the budget appendix. Also, the outlays of the FFB (direct loans and loan-asset BUDGETARY CONTROL OF purchases) are now attributed to the originating FEDERAL CREDIT ACTIVITIES agency, which in my view eliminates the tendency for the operation of the FFB to obscure the As you know, congressional review and control nature of credit programs. A final important step of federal credit activities have been evolving taken by the Congress last year was to have the over time. The utilization of the "unified bud- budget resolutions include target ceilings for get" concept, beginning with the 1969 budget, is total new obligations and total new guarantee one notable watershed. At that time, the govern- commitments and to distribute these totals by ment adopted for control purposes a budget budget function. framework that was, in most respects, a cash Both the past and the current administrations accounting system. In making this choice, it have also proposed that a substantial proportion decided (after considerable debate) to include the of the credit budget totals be made subject to net outlays of all direct lending programs on- annual appropriations limitations. The January budget. This new approach, however, was un- budget proposed that 63.8 percent of the credit comfortably silent on how federal loan guaran- budget for fiscal year 1982 be so limited. Those tees were to be treated. In the early 1970s, programs exempted are limited to the following: moreover, there was some backsliding from the unambiguous entitlements that cannot be effeccomprehensive coverage of the unified budget as tively limited by appropriations; programs that a number of agencies were removed from the provide for unforeseeable contingencies, such as budget and newly established agencies were ac- deposit insurance; guarantees of certificates of corded off-budget status. beneficial ownership that are sold by the Farm- Furthermore, the advantages for orderly mar- ers Home Administration and the Rural Electrifiketing of federal debt gained through creation of cation Administration; and a catchall of prothe Federal Financing Bank (FFB) in 1974 had an grams, such as export promotion loans by the unfortunate side effect. Since the activities of the Commodity Credit Corporation, that the last FFB have been off-budget from the outset, its administration believed appropriate not to curtail acquisition of loans is not reflected in the budget. because of economic circumstances. That final Accordingly, the budgetary scrutiny intended to area of exemption, in particular, deserves careful apply to direct loan programs as a result of the evaluation by the Congress. comprehensive coverage of the unified budget Broadening the coverage of the unified budget tended to be eroded. And agencies that made and the formulation of a separate but parallel direct, on-budget loans to the public were able to credit budget sets the stage for a number of sell these loans to the FFB, thereby enabling further steps in implementing an effective prothem to extend new loans without constraint. cess to bring credit programs under systematic Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Statements to Congress 899 review and control. One logical next step might formal budget process to credit programs would be to formalize a credit budget process with go far to bring order into the federal credit enforcement procedures. The Federal Reserve program scene, I would like to recommend other Board, in general, enthusiastically endorses the steps. One is a systematic review of the treatformalization of some credit budget process such ment of federal credit programs in the unified as that implemented on an experimental basis budget. The current haphazard situation, in last year. which some loan programs are included in the The Board's view, however, is that legislation unified budget and others are not, should be that contains measures pertaining to appropria- ended. A careful analysis should be undertaken tions limitations should be carefully approached. of the question of whether or not the principal Such limitations are, of course, central to the amount (net) of all direct loans should be includbudgetary control process proposed by the last ed in the unified budget and whether, if the administration and endorsed by the present one. principal amount of direct loans is excluded as I However, exemption of at least some emergency am inclined to prefer, the amount of the implicit assistance and entitlement programs appears or explicit interest subsidy should be placed onwarranted. If legislation applying such limita- budget. Similarly, a comprehensive review of tions is contemplated, the Board, therefore, sug- guarantee programs would be desirable in order gests that all emergency assistance and entitle- to determine whether the potential subsidy or ment programs be exempted, at least until more future outlay for defaults is taken appropriately experience is gained with a formal budget pro- into account. I have previously called for the cess and until a case-by-case review of these establishment of a new budget commission, programs can determine the possible difficulties which would be charged with analyzing and or advantages of applying appropriations limita- resolving these questions. In my view, the pastions to them. The exemption of entitlement and sage of time has not reduced the advisability of emergency assistance programs from appropria- establishing such a commission. tions limitations need not imply changing the Finally, I recommend to this committee a current procedures whereby legislation creating continuing evaluation of the extent to which or expanding entitlements is referred to the Ap- direct spending, direct loans, loan guarantees, or propriations Committee for review. The Board's beneficial tax treatment can most effectively be recommendation that entitlements and emergen- used to achieve particular program objectives cy assistance programs be exempted from bind- and the extent to which, in particular budget ing appropriations ceilings is intended only to functions, there may be duplicative and excespromote the effective operations of those pro- sive use of these various approaches. The budget grams thought by the Congress to be worthwhile, process has come a long way in providing the even in the event of unanticipated demands on accounting framework and legislative process them resulting from natural disasters or unfore- needed to address such questions. I look forward seen economic developments. to further progress and I am sure that the work of Although enactment of legislation to apply a this committee will contribute to it. • Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

901 Announcements CHANGE IN DISCOUNT RATE determining the adequacy of capital in state member banks. The definition had been recom- The Federal Reserve Board approved a reduc- mended to the Federal Reserve and to the other tion in the basic discount rate from 13 percent to federal bank regulators by the Federal Financial 12 percent, effective December 4, 1981. The Institutions Examination Council (FFIEC) in the action was taken to bring the discount rate into interests of promoting uniformity among federal better alignment with short-term rates that have bank regulators. been prevailing recently in the market. In adopting the FFIEC's recommended defini- In announcing the change the Board acted on tion of capital the Board made it clear that the requests from the directors of the 12 Federal definition applies only to bank capital and does Reserve Banks. The discount rate is the interest not apply to the definition of capital for bank rate that applies to borrowings from the District holding companies. The Board indicated that in Federal Reserve Banks. the application of the definition it would take into account the level of bank equity represented by the proceeds of debt issued by the parent holding REMOVAL OF DISCOUNT RATE SURCHARGE company. The Board expressed concern about the possibility of undue bank purchases of the The Federal Reserve Board removed the 2 per- subordinated debt of other banks and indicated cent surcharge that applies to large, frequent that the level of such activity would be moniborrowers at the discount window effective No- tored through the examination process. vember 17, 1981. No change was made in the The FFIEC's recommendations on bank capibasic discount rate of 13 percent. tal to the federal regulators made it clear that the The Board considers the surcharge unneces- regulators would have flexibility to depart from sary in the current circumstances in the light of the recommended guidelines when warranted by the level of short-term interest rates prevailing in the circumstances of particular cases. the market and the reduced level of adjustment The Board decided not to accept a recommenborrowing. dation by the FFIEC that would have required, if In announcing the change, the Board acted on accepted by the Board, all state member banks to requests from the directors of the Federal Re- keep their books on an accrual accounting basis. serve Banks of Cleveland, Richmond, Atlanta, The Board felt that this would impose an unnec- Chicago, St. Louis, Minneapolis, Dallas, and essary burden on small banks that prefer to keep San Francisco. The Board approved similar ac- their accounts on a cash basis. tions by the directors of the Federal Reserve The new definition of bank capital adopted by Banks of Boston and New York, effective No- the Board follows. vember 18, and of Philadelphia and Kansas City, effective November 20, 1981. The discount rate is the interest rate that applies to borrowings Primary Components of Bank Capital from the District Federal Reserve Banks. The primary components of bank capital are as follows: common stock; perpetual preferred stock; surplus; undivided profits; contingency and other capital DEFINITION OF BANK CAPITAL reserves; mandatory convertible instruments (capital instruments with covenants mandating conversion into The Federal Reserve Board has adopted a broad- common or perpetual preferred stock); and allowance ened definition of bank capital for its use in for possible loan losses. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

902 Federal Reserve Bulletin • December 1981 Secondary Components of Bank Capital final rule applicable to all depository institutions, including those engaged in business before No- It is recognized that other financial instruments can, vember 18, 1981. The Board asked for comment with certain restrictions, be considered as part of bank by December 21. capital because they possess some, though not all, of the features of capital. These instruments are limited- The phase-in rule of Regulation D was meant life preferred stock and subordinated notes and deben- to assist new institutions during their start-up tures. period. The Board is taking this action to prevent reserve avoidance by bank holding companies Restrictions Relating to Secondary Components that open out-of-state banking subsidiaries. The secondary components will be considered as bank capital under the following conditions: 1. The issue must have an original weighted average REGULATION Y: AMENDMENT maturity of at least seven years. 2. If the issue has a serial or installment repayment The Federal Reserve Board has amended its program, all scheduled repayments shall be made at Regulation Y (Bank Holding Companies and least annually, once contractual repayment of princi- Change in Bank Control) to include the issuance pal begins, and the amount repaid in a given year shall be no less than the amount repaid in the previous year. of traveler's checks among the nonbanking activ- 3. The aggregate amount of limited-life preferred ities permissible for bank holding companies. stock and subordinated debt qualifying as secondary The Board acted after consideration of comcapital may not exceed 50 percent of the amount of ment received on its proposal published in June. primary capital. 4. As the secondary components approach maturity, redemption, or payment, the outstanding balance of all such instruments—including those with serial REGULATION Z: REVISION OF STAFF note payments, sinking fund provisions, or an amorti- COMMENTARY zation schedule—will be amortized as shown in the accompanying table. The staff of the Federal Reserve Board on November 27, 1981, issued a revision of its com- Years to maturity Percent of issue mentary on Regulation Z (Truth in Lending) considered capital stating that the origination fee on student loans Greater than or equal to 5 100 made before August 1, 1982, need not be taken Less than 5 but greater than or equal to 4... 80 Less than 4 but greater than or equal to 3 ... 60 into account in making any Truth in Lending Less than 3 but greater than or equal to 2... 40 Less than 2 but greater than or equal to 1... 20 disclosures. Less than 1 0 The staff had stated, in its commentary on No adjustment in the book amount of the issue is required or Regulation Z published in October, that the expected by this schedule. Adjustment will be made by a memoranorigination fee need not be taken into account in dum account. calculating or disclosing the annual percentage rate on student loans, but the commentary did REGULATION D: AMENDMENT not extend the exception to other Truth in Lending disclosures. The Federal Reserve Board has amended, temporarily, its Regulation D (Reserve Requirements of Depository Institutions) to provide that ASSETS AND LIABILITIES the two-year period for phasing in reserve re- OF OVERSEAS BRANCHES quirements of new depository institutions will OF MEMBER BANKS apply only to institutions that began business on or after November 18, 1981, and that have re- The Federal Reserve Board reported on Novemservable liabilities under $50 million. ber 17, 1981, that the combined assets of the At the same time, the Board said that it intends overseas branches of member banks increased in to adopt a revised phase-in rule of this nature as a 1980 by $30.6 billion, or 9.8 percent, to a total of final rule and that it was considering making its $343.5 billion. Excluding claims on other foreign Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Announcements 903 Assets and liabilities of overseas branches of member banks, end of year, 1979 and 19801 Millions of dollars United Bahamas Near U.S. Kingdom Continental and Latin Far East T and Europe Cayman America East and IItteemm Islands territories 1979 1980 1979 1980 1979 1980 1979 1980 1979 1980 1979 1980 1979 1980 1979 1980 ASSETS Cash and balances with banks 44,877 48,428 11,942 12,023 30,088 39,820 1,555 1,162 6,429 8,668 2,980 2,338 630 916 98,501 113,355 Loans, net 32,512 42,903 17,099 19,015 42,902 45,753 10,268 12,452 23,398 28,066 5,948 4,889 33,,330000 33,,888866 135,427 156.964 Due from other non-U.S. branches of own bank 23,272 23,031 4,245 4,233 818 2,538 1,645 219 2,388 2,142 916 363 145 482 3333,,442299 3333,,000099 Due from head office and U.S. branches 7,833 4,194 110 41 9,435 2,532 202 693 269 145 170 34 150 177 1188,,116699 77,,881155 Due from consolidated subsidiaries 4,027 5,470 501 663 2,315 1,620 301 875 1,078 1,164 98 91 31 49 8,351 9,932 Other assets 5,734 6,391 3,804 3,982 2,784 3,513 1,140 1,639 4,589 6,026 396 301 601 535 19,048 22,386 Total 118,256 130,419 37,701 39,955 88,342 95,776 15,111 17,039 38,151 46,211 10,508 8,016 4,856 6,045 312,925 343,461 LIABILITIES Total deposits 108,983 119,185 28,859 29,173 63,922 68,157 7,492 10,092 19,278 22,062 8,188 5,640 3,920 5,209 240,642 259.518 Deposits of other banks 57,301 60,249 19,652 20,030 36,719 34,720 2,878 4,485 9,988 10,545 4,840 3,867 505 850 131,883 134.746 Other deposits 51,682 58,936 9,207 9,143 27,203 33,437 4,614 5,607 9,290 1111,,551177 33,,334488 11,,777733 33,,441155 44,,335599 108.759 124.772 Due to other non-U.S. branches of own bank 2,158 3,797 2,871 3,809 12,539 6,768 4,250 4,288 99,,994433 1122,,008877 11,,889944 22,,002211 160 236 3333,,881155 3333,,000066 Due to head office and U.S. branches 1,437 2,436 1,307 1,853 9,391 17,271 2,178 1,141 991 11,,888844 107 116 207 44 1155,,661188 2244,,774444 Due to consolidated subsidiaries 21 22 1,578 1,965 269 1,356 185 304 525 603 34 19 448 430 3,060 4,699 Other liabilities 5,657 4,979 3,086 3,154 2,221 2,226 1,006 1,213 7,414 9,575 285 221 121 126 19,790 21,494 Total 118,256 130,419 37,701 39,955 88,342 95,776 15,111 17,039 38,151 46,211 10,508 8,016 4,856 6,045 312,925 343,461 Number of branches 64 61 108 108 150 154 212 207 154 163 50 48 51 46 789 787 1. Data are from Board of Governors of the Federal Reserve System. Details may not add to totals due to rounding. branches of the same bank, combined assets amounts have been translated into dollars at the were $310.5 billion at the end of December, an relevant exchange rate. 11.1 percent increase from the 1979 year-end figure. The increases for both measures were the NEW PUBLICATION smallest in more than 10 years. Since 1970, total assets of foreign branches The Annual Statistical Digest, 1980, is now have increased at a compound annual rate of 20.6 available. This new one-year Digest is designed percent; for assets net of claims on other foreign as a compact source of economic—and especialbranches of the same bank the figure was 21.6 ly financial—data. The object is to lighten the percent. During 1980, the foreign branches re- burden of assembling time series by providing a mained net providers of funds to their U.S. single source of historical continuations of the offices, continuing a pattern reestablished last statistics carried regularly in the FEDERAL REyear. SERVE BULLETIN. The Digest also offers a con- At year-end 1980, member banks operated 787 tinuation of series that formerly appeared regubranches in foreign countries and overseas terri- larly in the BULLETIN, as well as certain special, tories, a net decrease of 2 branches during the irregular tables that the BULLETIN also once year. The distribution of these branches by geo- carried. The domestic nonfinancial series includgraphic areas is provided in the table. ed are those for which the Board of Governors is These data are derived from reports of condi- the primary source. tion filed at the end of the year with the Comp- This issue of the Digest covers only 1980 troller of the Currency and the Federal Reserve unless data were revised for earlier years. It System. The report reflects all assets and liabil- serves to maintain the historical series first pubities of overseas branches whether denominated lished in Banking and Monetary Statistics, 1941in U.S. dollars or other currencies. Nondollar 70, and the Digest, 1970-1979. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

904 Federal Reserve Bulletin • December 1981 Copies of the Digest are available from Publi- June and is available on a subscription basis from cations Services, Board of Governors of the the Board. The Regulatory Service incorporates Federal Reserve System, Washington, D.C. all Board regulations, interpretations, rulings, 20551. The price is $10.00 per copy. and staff opinions. The subscription price of the service is $150 per year. Parts of the Service are available as separate handbooks covering con- PROPOSED ACTIONS sumer affairs, margin regulations, and regulations relating to monetary policy; they are avail- The Federal Reserve Board has proposed for able by subscription at $50 a year each. comment amendments to some of the criteria Subscription requests should be directed to Pubthat over-the-counter (OTC) stocks must meet lications Services, Board of Governors of the and continue to meet to be included on the Federal Reserve System, Washington, D.C. Board's list of OTC margin stocks. The Board 20551. requested comment by January 29, 1982. Persons who do not subscribe to the Regula- The Board has also requested public comment tory Service may obtain complimentary copies of on the questions of whether certain activities of a individual interpretations from the Board or the futures commission merchant are closely related Federal Reserve Banks upon request. In addito banking and whether public benefits would tion, all official regulatory interpretations are result if the activities were permitted for a sub- published in the Federal Register. sidiary of a bank holding company. At the same time, the Board requested comment on the question of whether these activities should be added CHANGES IN BOARD STAFF to the list of activities permissible for bank holding companies. The Board asked for com- The Board of Governors has announced the ment by January 4, 1982. following appointment. Earl G. Hamilton as Assistant Director, Division of Federal Reserve Bank Operations, effec- DISCONTINUANCE OF PUBLISHED tive November 25, 1981. Before joining the INTERPRET A TIONS Board's staff in June 1976, Mr. Hamilton had been an Assistant Professor of Finance at How- The Federal Reserve has discontinued issuing ard University. He holds an M.B.A. from Louisi- Published Interpretations, which is a compila- ana State University and a Ph.D. in Finance from tion of interpretations of laws and regulations the University of Michigan. administered by the Federal Reserve Board. The Board has also announced the promotion Copies of the Interpretations as of June 30, 1980, of Don E. Kline from Assistant Director to are available at a cost of $7.50 each until the Associate Director in the Division of Banking supply is exhausted. Supervision and Regulation, effective Novem- Interpretations in Published Interpretations ber 16, 1981, and the resignation of Peter M. have been incorporated into the Federal Reserve Keir, Assistant to the Board, on December 2, Regulatory Service, which was first issued last 1981. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

905 Record of Policy Actions of the Federal Open Market Committee Meeting Held on Incoming information for Septem- October 5-6, 1981 ber, including reports of declines in output in steel, electricity, and coal, Domestic Policy Directive and data on hours and employment, The information reviewed at this suggested a further appreciable demeeting suggested that real GNP de- cline in industrial production. Caclined slightly further in the third pacity utilization in manufacturing quarter, following a decline at an declined 0.6 percentage point in Auannual rate of about IV2 percent in gust to 79.2 percent, its lowest level the second quarter indicated by re- since October 1980 and 8 percentage vised estimates of the Commerce points below its recent peak in early Department. Average prices, as 1979. measured by the fixed-weight price Total nonagricultural employment index for gross domestic business changed little in August and Septemproduct, were estimated to have ber, according to the establishment continued rising at the somewhat data. In manufacturing, employment lower rate that emerged in the sec- changes in the two months were ond quarter. small and offsetting, and the average In July and August the nominal factory workweek dropped 0.9 hour value of total retail sales was essen- in September, although the decline tially unchanged from the level in was apparently overstated because June. Substantial credit and price the survey week included Labor concessions offered during August Day. Over the August-September and early September temporarily period, employment in service inboosted unit sales of new domestic dustries continued to expand, while automobiles. Sales dropped off in employment by state and local govthe latter part of September, how- ernments declined appreciably. In ever, and for the month as a whole contrast to the establishment data, were down considerably from Au- the survey of households showed a gust. Growth in consumer spending substantial decline in employment in on goods other than autos had re- September, and the unemployment mained sluggish in August; the nomi- rate rose to 7.5 percent, about equal nal value of nonauto retail sales in to its average in the first half of 1981. August was only slightly above its The Department of Commerce March level. survey of business spending plans The index of industrial production taken in late July and August sugfell 0.4 percent in August. Most of gested that current-dollar expendithe decline reflected a sharp reduc- tures for plant and equipment would tion in output of consumer durable be 8.8 percent greater in 1981 than in goods, particularly in the motor ve- 1980, compared with the 8.4 percent hicle industry. Production of busi- indicated by the survey taken in late ness equipment and space and de- April and May. The latest survey fense products continued to expand, implied little, if any, change in real while output of home goods, con- expenditures for the year. struction supplies, and materials fell. Private housing starts fell in Au- Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

906 Federal Reserve Bulletin • December 1981 gust to an annual rate below 1 mil- second quarter, as the value of nonlion units, down from the already petroleum imports increased and the depressed rate of just over a million value of exports, agricultural and units in June and July. Starts of nonagricultural, declined markedly. single-family homes, at an annual At its meeting on August 18, the rate of less than 600,000 units in Committee had decided to reaffirm August, were down two-fifths from the policy objectives for the third their level of a year earlier. Newly quarter that had been adopted at its issued permits for residential con- meeting on July 6-7. Specifically, struction also declined, and sales of the Committee agreed that open new and existing homes dropped market operations in the period until considerably. Outlays for residential this meeting should be directed toconstruction had declined sharply in ward behavior of reserve aggregates real terms over the spring and sum- associated with growth of M-1B mer months, but expenditures for from June to September at an annual nonresidential construction had rate of 7 percent after allowance for changed little on balance during that flows into NOW accounts (resulting period. in growth at an annual rate of about 2 The producer price index for fin- percent from the average in the secished goods rose 0.3 percent in Au- ond quarter to the average in the gust, compared with 0.4 percent in third quarter), provided that growth July. The rate of increase in the two of M-2 remained around the upper months was moderately lower than end of, or moved within, its range the rate during the second quarter for the year. If it appeared to the and sharply lower than that during Manager for Domestic Operations the first quarter. The consumer price that pursuit of the monetary objecindex rose considerably more in July tives and related reserve paths durand August than in the immediately ing the period before this meeting preceding months. Much of the ac- was likely to be associated with a celeration reflected a substantial rise federal funds rate persistently outin the homeownership component of side a range of 15 to 21 percent, the the index; food prices rose consider- Chairman might call for a Committee ably, but energy costs increased lit- consultation. tle. Over the first nine months of the Shortly after the meeting on Auyear, the rise in the index of average gust 18, data becoming available inhourly earnings was somewhat less dicated some shortfall in growth of rapid than it was during 1980. M-1B from the path consistent with In foreign exchange markets the the Committee's objective for trade-weighted value of the dollar growth over the three months from against major foreign currencies had June to September; and later in the declined by nearly 10 percent intermeeting period, the shortfall through mid-September from its widened. However, growth of M-2 peak in early August and on balance remained relatively strong, especialhad changed little after that. The ly after allowance for shifts from depreciation through mid-September time accounts into retail repurchase was associated with a decline in agreements (not included in M-2) in U.S. short-term interest rates and anticipation of the October 1 introwith market sentiment that the U.S. duction of all savers certificates. Recurrent account might move more flecting the shortfall in growth of sharply into deficit than had been M-1B, required reserves and the thought earlier. In August the U.S. demand for reserves contracted in foreign trade deficit rose substantial- relation to the supply being made ly from the low rate in July; for July available through open market operand August combined, the rate was ations. Consequently, borrowings considerably higher than that in the from Federal Reserve Banks for pur- Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Record of Policy Actions of the FOMC 907 poses of adjusting reserve positions balance over the intermeeting perideclined considerably from late Au- od, while long-term rates rose furgust to late September. The federal ther. At the time of this meeting, funds rate fell from around 18!/4 per- most short-term rates were down cent in mid-August to 15 percent in about 1 to 3 percentage points and the statement week ending Septem- long-term rates were up about Vi to 1 ber 30. The funds rate moved back percentage point from their levels in up to about I6V2 percent in the days mid-August. The rise in long-term just before this meeting, apparently rates apparently reflected concerns reflecting cautious bank reserve of market participants about the promanagement associated with the in- spective size of federal deficits. Durtroduction of same-day settlement ing the intermeeting interval, the for most international transactions prime rate charged by commercial cleared through New York. banks on short-term business loans M-1B, adjusted for the estimated was reduced by 1 Vi percentage effects of shifts into NOW accounts, points to 19 percent. On September increased at an annual rate of about 21, in view of the decline in short- VA percent over the period from term market rates, the Board of June to September, while M-2 grew Governors announced a reduction, at an annual rate of about 9 percent. from 4 to 3 percentage points, in the In September the level of shift- surcharge on frequent borrowings of adjusted M-1B was well below the large depository institutions at the lower end of the Committee's range discount window. In home mortgage for growth over the year from the markets, average rates on new comfourth quarter of 1980 to the fourth mitments for fixed-rate level-payquarter of 1981, while the level of ment conventional loans at sampled M-2 was at the upper end of its range savings and loan associations rose to for the year. Growth of M-2 during I8V4 percent from \1XA percent at the the third quarter was reduced, per- time of the August meeting. haps by 1 or 2 percentage points at The staff projections presented at an annual rate, by the diversion of this meeting suggested that real GNP M-2-type assets into retail repur- was likely to decline further in the chase agreements issued by deposi- current quarter and that activity tory institutions in anticipation of would remain sluggish over the first the scheduled introduction of all sav- part of 1982. The rise in the fixeders certificates on October 1. weight price index for gross domes- Total credit outstanding at U.S. tic business product was projected commercial banks grew at an annual to moderate somewhat further over rate of about WA percent in August, the year ahead. following expansion at annual rates In the Committee's discussion of of about 53A percent in June and the economic situation and outlook, July. Growth in business loans the consensus was that real GNP picked up somewhat further from was drifting downward more or less the brisk pace in June and July, as portrayed by the staff projections. while security loans contracted The members generally agreed that sharply. Bank holdings of Treasury the evidence currently available did securities declined in August, but not portend a sharp cumulative conacquisitions of other securities in- traction in activity in coming creased appreciably. Net issues of months, but a few nevertheless comcommercial paper by nonfinancial mented on the risks of a more significorporations expanded at an excep- cant decline. A number of members tionally rapid pace, following moder- observed that businesses, especially ate growth in July. the smaller ones, were exposed to In frequently volatile markets, growing financial strains because of short-term interest rates declined on the sluggishness of their sales, the Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

908 Federal Reserve Bulletin • December 1981 high level of interest rates, and a of M-1B and the more broadly detendency among their customers to fined monetary aggregates. M-1B defer payments of bills. (shift-adjusted) had expanded little With respect to prospects for from June to September, and its anprices, the members in general ac- nual rate of growth from the average cepted the staff projection of a fur- in the fourth quarter of 1981 to the ther moderation of the rise over the estimated level in September was next few quarters. The view was about 1 percent, compared with the expressed that in the current envi- Committee's range of V/2 to 6 perronment, both business and labor cent for growth over the year from were being subjected to pressures to the fourth quarter of 1980 to the restrain or to reduce costs for the fourth quarter of 1981. From June to sake of maintaining sales and, in September, meanwhile, M-2 had some cases, avoiding plant closings. continued to grow at a rate consis- At its meeting on July 6-7, 1981, tent with the upper end of its range the Committee reaffirmed the mone- of 6 to 9 percent for the year, and tary growth ranges for the period M-3 had grown at a rate somewhat from the fourth quarter of 1980 to the above its range. fourth quarter of 1981 that it had set In interpreting recent experience at its meeting in early February. and contemplating policy for the pe- These ranges were 3 to 5'/2 percent riod immediately ahead, the Comfor M-1A and 3Vi to 6 percent for mittee continued to face uncertain- M-1B, abstracting from the impact ties with respect to the behavior of of NOW accounts on a nationwide the monetary aggregates. Among basis; 6 to 9 percent for M-2; and 6V2 these was an apparent decline in the to W2 percent for M-3. The associat- public's desire to hold transaction ed range for bank credit was 6 to 9 balances in the forms included in percent. The Committee recognized M-1B. Given income and interest that a shortfall in M-1B growth in the rates, the increase in M-1B so far first half of the year partly reflected this year had been considerably a shift in public preferences toward smaller than would have been preother highly liquid assets and that dicted from historical relationships growth in the broader aggregates had embodied in conventional money debeen running somewhat above the mand equations. It also seemed upper end of the ranges. In light of clear, however, that the slow growth its desire to maintain moderate in M-lB recently had resulted in part growth in money over the balance of from the weakening in economic acthe year, the Committee expected tivity. With respect to M-2, the unthat growth in M-1B for the year certainties included the impact of the would be near the lower end of its liberalization of interest rate ceilings range. At the same time, growth in on small savers certificates, the the broader monetary aggregates growth of money market mutual might be at the higher end of their funds, and the introduction of the all ranges. For the period from the savers (tax-exempt) certificate on fourth quarter of 1981 to the fourth October 1, 1981. Reflecting various quarter of 1982, the Committee ten- structural changes, assets that bear tatively agreed that growth of M-l, either a market interest rate or are M-2, and M-3 within ranges of 2XA to subject to variable ceilings closely 5'/ percent, 6 to 9 percent, and 6'/2 to related to market rates had become a 2 9xh percent respectively would be much larger share of the nontransacappropriate. tion component of M-2 than they The Committee considered policy were just a year or two ago. for the period immediately ahead Committee members agreed on against the background of a widen- the desirability of continuing to seek ing divergence between the behavior more rapid growth in M-lB over the Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Record of Policy Actions of the FOMC 909 remaining three months of 1981, particularly the public's response to while taking account of the relative the availability of the all savers cerstrength of the broader aggregates. tificate. In developing related re- The observation was made that a serve paths, approximately equal pickup in growth of M-1B now weight would be given to the movewould reduce the risks of a cumula- ments of M-1B and M-2. It was tive contraction in activity, which understood that if these objectives could well be followed by an exces- were realized, growth of M-1B from sively rapid recovery and expansion. the fourth quarter of 1980 to the At the same time, many members fourth quarter of 1981 would remain expressed the view that very rapid below the Committee's range for the growth of M-1B over the few re- year, while growth of M-2 would maining months of the year would equal or slightly exceed the upper contribute to instability and would end of its range. The intermeeting interfere with achievement of long- range for the federal funds rate that er-term economic goals. Specifical- provided a mechanism for initiating ly, such growth most likely would further consultation of the Commitdissipate the gains already made in tee was set at 12 to 17 percent. moderating inflation, exacerbate in- The following domestic policy diflationary expectations, and induce a rective was issued to the Federal rebound in interest rates after no Reserve Bank of New York: more than a temporary decline. Moreover, rapid growth in M-1B The information reviewed at this meetwould significantly increase the risk ing suggests that real GNP declined that the broader monetary aggre- slightly further in the third quarter and that prices on the average continued to gates would exceed their ranges for rise at the somewhat lower rate that growth over the year by sizable mar- emerged in the second quarter. In July gins, which was a source of concern and August the nominal value of total in light of the uncertainties about the retail sales was essentially unchanged from the June level, and unit sales of interpretation of the various monedomestic automobiles weakened in Septary aggregates in the current cirtember. Industrial production declined cumstances. slightly in August and apparently slack- In weighing the risks of inade- ened further in September, while nonquate monetary growth versus ex- farm payroll employment changed little in both months. The unemployment rate cessive growth over the last three rose to 7.5 percent in September, about months of 1981, Committee mem- equal to its average in the first half of bers took account of the need to 1981. Housing starts fell in August to the reduce the chances of large destabi- lowest rate in several years. Over the first nine months of the year, the rise in lizing swings in both monetary the index of average hourly earnings was growth and interest rates, while at somewhat less rapid than during 1980. the same time achieving the targets The weighted average value of the for money growth tentatively estab- dollar against major foreign currencies lished for 1982. Agreement was declined sharply through mid-September from its peak in early August and on reached to seek behavior of reserve balance has changed little since then. In aggregates associated with growth of August the U.S. foreign trade deficit M-1B from September to December widened substantially from the low rate at an annual rate of 7 percent, after in July; for July and August combined, the deficit was considerably larger than allowance for the impact of flows the second-quarter rate. into NOW accounts, and growth of M-1B, adjusted for the estimated ef- M-2 at an annual rate of 10 percent fects of shifts into NOW accounts, inor slightly higher; in specifying the creased little over the period from June rate for M-2, the Committee recog- to September, while M-2 grew at a relatively strong pace. The level of adjusted nized that the behavior of that aggre- M-1B in September was well below the gate would be affected by the recent lower end of the Committee's range for regulatory and legislative changes, growth over the year from the fourth Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

910 Federal Reserve Bulletin • December 1981 quarter of 1980 to the fourth quarter of In the short run the Committee seeks 1981; the level of M-2 was at the upper behavior of reserve aggregates consisend of its range for the year. In frequent- tent with growth of M-1 B from Septemly volatile markets, short-term interest ber to December at an annual rate of 7 rates have declined on balance since percent after allowance for the impact of mid-August while long-term rates have flows into NOW accounts and with risen considerably further. On Septem- growth in M-2 at an annual rate around ber 21 the Board of Governors an- 10 percent or slightly higher, recognizing nounced a reduction in the surcharge that the behavior of M-2 will be affected from 4 to 3 percentage points on frequent by recent regulatory and legislative borrowings of large depository institu- changes, particularly the public's retions. sponse to the availability of the all savers The Federal Open Market Committee certificate. The Chairman may call for seeks to foster monetary and financial Committee consultation if it appears to conditions that will help to reduce infla- the Manager for Domestic Operations tion, promote sustained economic that pursuit of the monetary objectives growth, and contribute to a sustainable and related reserve paths during the peripattern of international transactions. At od before the next meeting is likely to be its meeting in early July, the Committee associated with a federal funds rate peragreed that these objectives would be sistently outside a range of 12 to 17 furthered by reaffirming the monetary percent. growth ranges for the period from the Votes for this action: Messrs. fourth quarter of 1980 to the fourth quar- Volcker, Solomon, Boehne, Boykin, ter of 1981 that it had set at the February Corrigan, Gramley, Keehn, Partee, meeting. These ranges included growth Rice, Schultz, and Mrs. Teeters. Vote of 3!/2 to 6 percent for M-1B, abstracting against this action: Mr. Wallich. from the impact of flows into NOW accounts on a nationwide basis, and growth of 6 to 9 percent and 6'/2 to 9'/2 Mr. Wallich dissented from this percent for M-2 and M-3, respectively. action because he favored specifica- The Committee recognized that the tion of somewhat lower rates for shortfall in M-1B growth in the first half growth in the monetary aggregates of the year partly reflected a shift in public preferences toward other highly over the last three months of 1981 liquid assets and that growth in the than those adopted at this meeting broader aggregates had been running at and was willing to accept a greater about or somewhat above the upper ends shortfall in growth of M-1 B from the of their ranges. In light of its desire to maintain moderate growth in money Committee's range for growth over over the balance of the year, the Com- the year. In his opinion, much of the mittee expected that growth in M-1 B for shortfall was attributable to a decline the year would be near the lower end of in the public's desire to hold transacits range. At the same time, growth in the tion balances of the types included in broader aggregates might be high in their ranges. The associated range for bank M-1B and to the growth of other credit was 6 to 9 percent. The Committee asset forms, especially money maralso tentatively agreed that for the period ket mutual funds, that to some exfrom the fourth quarter of 1981 to the tent serve as transaction balances. fourth quarter of 1982 growth of M-1, He was also concerned that the pub- M-2, and M-3 within ranges of 2Vi to 5Vi percent, 6 to 9 percent, and 6V2 to Wi lic might perceive fairly rapid monepercent would be appropriate. These tary growth over the balance of the ranges will be reconsidered as warranted year as a relaxation of the System's to take account of developing experience policy of restraint, especially if such with public preferences for NOW and similar accounts as well as changing eco- growth were to be accompanied by nomic and financial conditions. sizable decreases in interest rates. Records of policy actions taken by the Federal Open Market Committee at each meeting, in the form in which they will appear in the Board's Annual Report, are made available a few days after the next regularly scheduled meeting and are later published in the BULLETIN. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

911 Legal Developments AMENDMENTS TO REGULATION D Temporary Rule and Request for Comment Final Rule The Board of Governors of the Federal Reserve System has also amended Regulation D to modify the two- The Board of Governors of the Federal Reserve Sys- year phase-in of reserve requirements that is accorded tem has amended its Regulation D—Reserve Require- to de novo depository institutions. This rule is being ments of Depository Institutions (12 C.F.R. Part 204). adopted on a temporary basis in order to provide the Under the amendment, all depository institutions with public with an opportunity to comment on this issue. offices in Hawaii, that were brought under federal Effective November 19, 1981, section 204.4(e) of the reserve requirements for the first time by the Mone- Board's Regulation D is temporarily amended by tary Control Act of 1980 will be accorded the same five revising it to read as follows: year exemption from reserve requirements to which state chartered nonmember institutions whose princi- Section 204.4—Transitional Adjustments pal offices are located in Hawaii are entitled. Effective December 18, 1981, section 204.4(f) of the Board's Regulation D is revised to read as follows: (e) De novo institutions. (1) The required reserves of any depository institu- Section 204.4—Transitional Adjustments tion that was not engaged in business on September 1,1980, shall be computed under section 204.3 in accordance with the following schedule: (f) Nonmember depository institutions with offices in Hawaii. Any depository institution that, on August 1, 1978, (i) was engaged in business as a depository Maintenance periods occurring Percentage of reserve institution in Hawaii, and (ii) was not a member of the during successive quarters after requirement to entering into business be maintained Federal Reserve System at any time on or after such date shall not maintain reserves imposed under this 1 40 Part against deposits held or maintained at its offices 2 45 3 50 located in Hawaii until January 2, 1986. Beginning 4 55 January 2, 1986, the required reserves on deposits held 5 65 6 75 or maintained at offices located in Hawaii of such a 7 85 8 and succeeding 100 depository institution shall be determined by reducing the amount of required reserves under section 204.3 in accordance with the following schedule: This subparagraph shall also apply to a United States branch or agency of a foreign bank if such branch or agency is the foreign bank's first office in the United Percentage that States. Additional branches or agencies of such a Maintenance periods computed reooccccuurrrriinngg bbeettwweeeenn serves will foreign bank shall be entitled only to the remaining be reduced phase-in available to the initial office. January 2 to (2) Notwithstanding subparagraph (1), the required December 31, 1986 8877..55 reserves of any depository institution that: January 1, 1987 to January 6, 1988 7755 (i) was not engaged in business on November 18, January 7, 1988 to 1981; and January 4, 1989 6622..55 January 5, 1989 to (ii) has $50 million or more in daily average total January 3, 1990 5500 transaction accounts, nonpersonal time deposits January 4, 1990 to January 2, 1991 3377..55 and Eurocurrency liabilities for any computation January 3, 1991 to January 1, 1992 2255 period after commencing business shall maintain January 2, 1992 to 100 per cent of the required reserves computed January 6, 1993 1122..55 January 7, 1993 under section 204.3 starting with the maintenance forward 00 period that begins eight days after the computa- Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

912 Federal Reserve Bulletin • December 1981 tion period during which such institution has daily business days prior to the date of withdrawal; average total transaction accounts, nonpersonal (ii) that represents funds deposited to the credit time deposits and Eurocurrency liabilities of $50 of a non-United States resident or a foreign million or more. branch, office, subsidiary, affiliate, or other foreign establishment ("foreign affiliate") controlled AMENDMENT TO REGULATION Q by one or more domestic corporations provided that such funds are used only to support the The Board of Governors of the Federal Reserve Sys- operations outside the United States of the depostem, acting through its Secretary, pursuant to delegat- itor or of its affiliates located outside the United ed authority, has amended the definition of "interna- States; and tional banking facility time deposit" or "IBF time (iii) that is maintained under an agreement or deposit" to clarify that IBFs may issue overnight arrangement under which no deposit or withdrawdeposits to other banking entities, and to make its al of less than $100,000 is permitted, except that a definition of "international banking facility time de- withdrawal of less than $100,000 is permitted if posit" or "IBF time deposit" parallel the definition in such withdrawal closes an account. Regulation D. Effective December 3, 1981, the Board of Gover- AMENDMENT TO REGULATION Y nors, acting through its Secretary pursuant to delegated authority, amends Regulation Q (12 CFR Part 217) The Board of Governors of the Federal Reserve Sysby changing paragraph (1) of section 217.1 to read as tem has adopted a final rule to its Regulation Y—Bank follows: Holding Companies and Change in Bank Control (12 C.F.R. Part 225), as proposed on June 18, 1981. Section 217.1—Definitions This rule adds the issuance of travelers checks to the list of nonbank activities permissible for bank holding companies. (1) "International banking facility time deposit" or Effective December 21, 1981, section 225.4(a)(13) of "IBF time deposit" means a deposit, placement, bor- the Board's Regulation Y is revised to read as follows: rowing or similar obligation represented by a promissory note, acknowledgment of advance, or similar Section 225.4—Nonbanking Activities instrument that is not issued in negotiable or bearer form, and (a) *** (13) The sale at retail of money orders having a face (1) (i) that must remain on deposit at the IBF at value of not more than $1,000 and the sale of U.S. least overnight; and Savings Bonds and the issuance and the sale of (ii) that is issued to travelers checks. (A) any office located outside the United States of another depository institution organized under the laws of the United States or of an Edge BANK HOLDING COMPANY AND BANK MERGER or Agreement Corporation; ORDERS ISSUED BY BOARD OF GOVERNORS (B) any office located outside the United States of a foreign bank; (C) a United States office of a non-United Orders Under Section 3 of Bank Holding States office or the entity establishing the IBF; Company Act (D) another IBF; or (E) an institution whose time deposits are ex- County National Bancorporation, empt from interest rate limitations under sec- Clayton, Missouri tion 217.3(g) of this Part; or T.G.B. Co., (2) (i) that is payable Clayton, Missouri (A) on a specified date not less than two business days after the date of deposit; Order Approving Formation of Bank Holding (B) upon expiration of a specified period of Companies time not less than two business days after the date of deposit; or County National Bancorporation ("County Nation- (C) upon written notice that actually is required al"), Clayton, Missouri, a bank holding company to be given by the depositor not less than two within the meaning of the Bank Holding Company Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Legal Developments 913 Act, has applied for the Board's approval to acquire Board lacked authority to deny an application under control of TG Bancshares, Co. ("TG"), St. Louis, section 3(a) of the act for anticompetitive effects Missouri, an unaffiliated bank holding company. This unless those effects amount to a violation of the would be accomplished by the merger of TG into antitrust standards contained in sections 3(c)(1) and (2) County National's subsidiary, T.G.B. Co., Clayton, of the act. Accordingly, the Court invalidated the Missouri, a nonoperating company formed to facilitate Board's denial Order and remanded the subject applithe proposed acquisition. In this connection, T.G.B. cations to the Board for de novo consideration consis- Co., has applied to become a bank holding company. tent with the Court's opinion. Both applications were filed pursuant to section 3(a) of County National, the eleventh largest commercial the Bank Holding Company Act (12 U.S.C. § 1842(a)). banking organization in Missouri, controls five banks After due notice of the subject applications, the with aggregate deposits of about $452.5 million, repre- Board, in its 4-2 decision of August 27, 1979, denied senting 1.7 percent of total deposits of commercial the applications based upon its determination that banks in the state.3 TG, the fifteenth largest commerconsummation of the proposal would not be in the cial banking organization in Missouri, controls three public interest because the competitive effects of the subsidiary banks with aggregate deposits of approxiproposed merger were so seriously adverse as to mately $283.2 million, representing 1.0 percent of the warrant denial of the applications, and because there total commercial bank deposits in the state. Upon were no countervailing public benefits to outweigh the consummation of the proposal, County National will anticompetitive effects.1 The Board did not make any become the seventh largest commercial banking orgadetermination with respect to whether consummation nization in the state with 2.7 percent of the total of the proposed merger would result in a violation of statewide commercial bank deposits. the antitrust standards set forth in subsections 3(c)(1) Four of County National's five subsidiary banks and and (2) of the act (12 U.S.C. §§ 1842(c)(1) and (2)), but all three subsidiary banks of TG operate in the St. denied the applications on the basis that the Board had Louis banking market.4 County National's four subauthority under the act to deny applications for serious sidiaries in the St. Louis market, with total deposits of anticompetitive effects whether or not the proposal $429.4 million, representing 3.5 percent of market was likely to violate the antitrust standards. deposits, and TG's subsidiaries, with total deposits of Pursuant to section 9 of the Bank Holding Company $283.2 million, representing 2.3 percent of market Act (12 U.S.C. § 1848), County National and T.G.B. deposits, are, respectively, the eighth and tenth largest Co., Inc. petitioned the United States Court of Ap- banking organizations in the market. The proposed peals for the Eighth Circuit for judicial review of the merger would increase County National's share of Board's Order (65 FEDERAL RESERVE BULLETIN 763 total market deposits from 3.5 percent to 5.8 percent (1979)) denying their applications under the act.2 On and increase its rank from eighth to fourth largest July 31, 1981, after granting the Board's motion for commercial banking organization in the market. Thus, rehearing en banc, the full Court, in a 5-3 decision the Board concludes that consummation of the profCounty National Bancorporation v. Board of Gover- posed merger would eliminate existing competition nors, 654 F.2d 1253 (8th Cir. 1981)), held that the and would increase the concentration of banking resources in the St. Louis banking market. The Board has evaluated the competitive consider- 1. The Board concluded that the combination of County National ($333.7 million in deposits as of June 30, 1978) and TG ($225.6 million ations associated with the subject proposal in accorin deposits as of June 30, 1978), the sixth and tenth largest banking dance with the standards specified by the United organizations, respectively, in the St. Louis banking market, would States Court of Appeals for the Eighth Circuit, and has result in serious anticompetitive effects. In addition, the Board was concerned with the increase in concentration of banking resources determined that any anticompetitive effects that might that would result from consummation of the subject proposal in Missouri and the St. Louis banking market. The proposed acquisition would have made County National the fourth largest banking organization in the St. Louis market, and would have given it control of eight 3. Unless otherwise indicated, all deposit data are as of Decembanks (including the market's fourth and sixth largest), and 5.6 ber 31, 1980, and reflect bank holding company formations and percent of deposits in commercial banks in the market. acquisitions approved through April 30, 1981. Therefore, the data do not reflect County National's acquisition of Security Bank of Man- 2. A three-judge panel of the court, on September 3, 1980, issued an chester, Manchester, Missouri (located in the St. Louis market, which opinion holding that so far as anticompetitive factors are concerned, was approved on August 31, 1981). the Board is limited to consideration of the antitrust standards set forth in section 3(c) of the act, and, accordingly, vacated the Board's 4. The St. Louis banking market is defined as the St. Louis Ranally denial order and remanded it for further consideration in light of their Metro Area and includes all of the city of St. Louis and St. Louis opinion (County National Bancorporation v. Board of Governors, 628 County; portions of Franklin, Jefferson, Lincoln, and St. Charles F.2d (8th Cir. 1980), withdrawn). On September 27, with the approval Counties in Missouri; and portions of Jersey, Macoupin, Madison, of the Solicitor General, the Board asked that the panel decision be Monroe, and St. Clair Counties in Illinois. reconsidered by the full court on the basis that, in this case, the issue County National's only subsidiary bank not located in the St. Louis of the Board's authority under the Bank Holding Company Act market is the Bank of Louisiana, Louisiana, Missouri, which is involved a significant question of Federal law. On October 28, 1980, located more than 90 road miles northeast of any subsidiary bank of the court granted the Board's motion. TG. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

914 Federal Reserve Bulletin • December 1981 result from consummation of the subject proposal are Concurring Statement of Governor Teeters not so substantially adverse as to result in a violation of the antitrust standards as set forth in sections 3(c)(1) Although I concur in the Board's decision that the and (2) of the act. This finding is based upon all the subject applications be approved in accordance with facts of record, including the fact that County Nation- the opinion of the United States Court of Appeals for al's ranking in the market has declined from sixth the Eighth Circuit, I disagree with the Board's conclu- (when the Board originally considered this proposal) sion that convenience and needs considerations assoto eighth, and upon the fact that there will remain ciated with the proposal lend some very slight weight about 80 commercial banking organizations in the toward approval of the subject application. In my market after consummation of this proposal. The opinion, since the proposed services are already availopinion of the United States Court of Appeals for the able in the market, and since either County National or Eighth Circuit is binding and, therefore, the Board is TG have the ability to provide such services even precluded from denying these particular applications absent this merger, the fact that County National plans on competitive grounds because the anticompetitive to introduce or expand such services after consummaeffects of the subject proposal would not result in a tion lends no weight toward approval of the subject violation of the antitrust standards contained in sec- applications based upon considerations relating to tions 3(c)(1) and (2) of the act. The Board, however, convenience and needs of the communities to be continues to be of the view that the last sentence of served. section 3(c), which requires that "[i]n every case the Board shall take into consideration ... the conve- November 23, 1981 nience and needs of the community to be served", authorizes the Board to consider all competitive aspects of an acquisition or merger proposal. First Missouri Banks, Inc., Consideration of the financial and managerial re- Creve Coeur, Missouri sources and future prospects of County National, TG, and their subsidiaries are satisfactory. Therefore, the Order Approving Acquisition of Bank Board regards banking factors as consistent with approval. With respect to convenience and needs consid- First Missouri Banks, Inc., Creve Coeur, Missouri, a erations, County National has proposed various servbank holding company within the meaning of the Bank ices that would be offered through the subsidiary Company Act, has applied for the Board's approval banks. Although such services are already available in under section 3(a)(3) of the act (12 U.S.C. § 1842(a)(3)) the market, County National's introduction or expanto acquire all of the voting shares (less directors' sion of such services should increase competition and qualifying shares) of First Missouri Bank of Washingmake the services more conveniently available to ton, Washington, Missouri ("Bank"), a proposed some customers. Thus, the Board concludes that de novo bank. considerations relating to the convenience and needs Notice of the application, affording opportunity for of the communities to be served (absent competitive interested persons to submit comments and views, has considerations) lend some very slight weight toward been given in accordance with section 3(b) of the act. approval of the subject applications. The time for filing comments and views has expired, On the basis of the record, these applications are and the Board has considered the application and all approved for the reasons summarized above. The comments received, including those submitted by transactions shall not be made before the thirtieth Bank of Washington, Washington, Missouri ("Protescalendar day after the effective date of this Order, or tant"), in light of the factors set forth in section 3(c) of later than three months after the effective date of this the act (12 U.S.C. § 1842(c)). Order, unless that period is extended for good cause Applicant, the 16th largest multibank holding comby the Board or by the Federal Reserve Bank of St. pany in Missouri, controls 10 subsidiary banks with Louis, pursuant to delegated authority. aggregate deposits of approximately $226.3 million, By order of the Board of Governors, effective representing 1.2 percent of the total deposits in com- November 23, 1981. mercial banks in the state.1 Because Bank is a proposed de novo bank, its acquisition by Applicant Voting for this action: Vice Chairman Schultz and Gover- would not immediately increase Applicant's share of nors Partee, Teeters, Rice, and Gramley. Absent and not deposits in commercial banks in Missouri. voting: Chairman Volcker and Governor Wallich. (Signed) JAMES MCAFEE, [SEAL] Assistant Secretary of the Board. 1. All deposit data are as of December 31, 1980. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Legal Developments 915 Bank is to be located in the Washington banking ing authority.4 Bank's charter has been granted by the market,2 in which Applicant is the fourth largest Missouri Finance Commissioner, and that decision has banking organization, with two subsidiary banks con- been affirmed on appeal by the State Banking Board. trolling 11.9 percent of total market deposits. Appli- Absent a judicial determination to the contrary, the cant's market share would not change initially as a Board presumes that the charter was granted lawfulresult of approval of this application. Because Bank ly.5 Since the effectiveness of the chartering action has would be a de novo bank, there will be no elimination not been stayed, the pending litigation in the Missouri of existing competition. Moreover, given the de novo state courts does not act as a bar to the Board's action nature of Bank, the number of banking organizations on this application.6 operating in the area, and the prospects for continuing In view of the foregoing discussion and having growth therein, it does not appear that consummation considered the facts of record and all the comments of of the proposal would have any adverse effects on Protestant in light of the statutory factors the Board potential competition. On the basis of the above and must consider under section 3(c) of the act, the other facts of record, competitive considerations ap- Board's judgment is that consummation of the subject pear consistent with approval of the application. proposal would be in the public interest and that the The financial and managerial resources of Appli- application to acquire Bank should be approved. cant, its subsidiaries, and Bank are regarded as satis- On the basis of the record, the application is apfactory. Bank, a proposed de novo bank has no proved for the reasons summarized above. The transfinancial or operating history; however, its prospects action shall not be made before the thirtieth calendar as a subsidiary of Applicant appear favorable. Accord- day following the effective date of this Order, or later ingly, considerations relating to banking factors are than three months after the effective date of this consistent with approval of this application. As a new Order, and First Missouri Bank of Washington, Washinstitution in the Washington banking market, Bank ington, Missouri, shall be opened for business not later would serve as an additional source of a full range of than six months after the effective date of this Order, banking services in the market. Accordingly, consider- unless such periods are extended for good cause by the ations relating to the convenience and needs of the Board, or by the Federal Reserve Bank of St. Louis, community to be served lend weight toward approval pursuant to delegated authority. of the application. By order of the Board of Governors, effective In its analysis of the application, the Board has November 2, 1981. given careful consideration to the comments submitted by Protestant, the largest bank in the Washington Voting for this action: Chairman Volcker, Governors banking market. Protestant's principal assertion is that Schultz, Wallich, Partee, Teeters, Rice, and Gramley. Bank was chartered in violation of Missouri state law.3 The Board as a rule does not review the incorporation (Signed) JAMES MCAFEE, or chartering procedures defined by state statutes and [SEAL] Assistant Secretary of the Board. administered by state banking officials. Instead, the Board requires evidence of the issuance of the neces- 4. In Plaza Bank of West Port v. Board of Governors, 575 F. 2d 1248 sary charter, or its conditional or preliminary approv- (8th Cir. 1978), the Eighth Circuit Court of Appeals specifically upheld al, and solicits the comments of the appropriate bank- the Board's refusal to review a protest regarding the validity of a Missouri state bank charter. 5. Protestant has challenged the charter in several state administrative and judicial proceedings, some of which are still pending; 2. The Washington banking market is approximated by Franklin however, to date Bank's charter has not been stayed. The Board's County, Missouri (except the communities of Pacific and Berger), plus approval, of course, does not preclude Protestant from continuing to the town of Dutzow in adjacent Warrent County, Missouri. pursue its remedies in the Missouri state courts. 3. Protestant also requested a hearing regarding this application. 6. Protestant also claims that Applicant's interest-free loan to the Under section 3(b) of the act, the Board is required to hold a hearing incorporators of Bank, who also serve as officers and directors of when the primary supervisor of the bank to be acquired recommends Applicant and its subsidiary bank, was made without the Board's prior disapproval of the application (12 U.S.C. § 1842(b)). In this case, the approval and on a preferential basis. However, the loan was made in Missouri Commissioner of Finance issued charter approval to Bank connection with the chartering of a new bank that would be a on September 19, 1980. Protestant filed an appeal to the Missouri nonoperating institution until such time as acquired by Applicant State Banking Board for review of the Commissioner's action. Fol- following approval under the act. In these circumstances, the Board lowing a hearing, the State Banking Board affirmed the Commission- regards the loan as being a part of Applicant's business of managing er's decision. Neither state banking authority has subsequently rec- and controlling banks. Therefore, the loan comes within the exception ommended that the subject application be denied. Thus, there is no in section 4(a)(2)(A) of the act (12 U.S.C. § 1843(a)(2)(A)), to the prior statutory requirement that the Board hold a hearing. Moreover, the approval requirements of section 4 for bank holding company activi- Board has examined the written submissions by Protestant, and ties of ". . . banking or of managing or controlling banks ..." Applicant's response, and is unable to conclude that a hearing would However, the Board notes that such a loan made in connection with significantly supplement the record before the Board or resolve any the acquisition of an existing bank may be considered an indirect issues not already discussed in the written submissions contained in acquisition of control of a bank for which the Board's prior approval is the record before the Board. In view of these facts, the Board necessary. The preferential lending prohibitions pertain only to loans concludes that the record in this case is sufficiently complete to render made by member and FIDC-insured banks, not to extensions of credit a decision and hereby denies Protestant's request for a hearing. made by Applicant, a bank holding company. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

916 Federal Reserve Bulletin • December 1981 The Girard Company, name, allows the acquisition of Bank by Applicant. A Bala-Cynwyd, Pennsylvania state-assisted bank is defined as a bank that the state has assisted financially and thereby the state has Order Approving Acquisition of Bank obtained at least 25 percent of the voting stock. From the record, it appears that Bank is a state-assisted The Girard Company, Bala-Cynwyd, Pennsylvania, bank as defined by Delaware law. Based on the ("Applicant") a bank holding company within the foregoing, the Board's judgment is that Delaware law meaning of the Bank Holding Company Act, has now specifically authorizes the acquisition of a bank applied for the Board's approval under section 3(a)(3) chartered in Delaware by an out-of-state bank holding of the act (12 U.S.C. § 1842(a)(3)) to acquire 100 company as required by section 3(d) of the act, and percent, less directors' qualifying shares, of Farmers that the proposed acquisition complies with the terms Bank of the State of Delaware, Dover, Delaware of the Delaware law. Accordingly, the Board will ("Bank"). proceed to consider the application on its merits. Notice of the application, affording opportunity for Bank operates 15 offices in the Wilmington banking interested persons to submit comments and views, has market and seven offices each in the Dover and Sussex been given in accordance with section 3 of the act, and County banking markets.4 Inasmuch as Applicant's the time for filing comments and views has expired. only banking subsidiary has 116 offices in the Philadel- The Board has considered the application and all phia banking market,5 Applicant does not compete in comments received in light of the factors set forth in any of the Delaware local banking markets where section 3(c) of the act (12 U.S.C. § 1842(c)).1 Bank operates. Although Applicant might be regarded Applicant is the third largest banking organization in as a potential de novo entrant into the Wilmington Pennsylvania controlling one banking subsidiary, Gi- market, the strict requirements imposed by Delaware rard Bank, with deposits totaling $2.1 billion, repre- law on out-of-state bank holding companies entry into senting 2.9 percent of total deposits in commercial the state de novo6, makes such entry remote. Accordbanks in the state.2 Upon acquisition of Bank with ingly, the Board concludes that consummation of the deposits of $433.6 million, Applicant would control the proposed transaction would have no significantly adfifth largest bank in Delaware, representing 11.8 per- verse effect on competition or concentration of bankcent of total commercial bank deposits in the state. ing resources in any relevant area. Thus, competitive Section 3(d) of the act (12 U.S.C. § 1842(d)) prohib- considerations are consistent with approval of the its the Board from approving any application by a bank application. holding company to acquire any bank located outside The financial and managerial resources of Applicant of the state in which the operations of the bank holding and its subsidiaries are regarded as satisfactory and company's banking subsidiaries are principally con- their future prospects appear favorable. As a result of ducted, unless such acquisition is "specifically autho- consummation of this proposal, Bank's financial and rized by the statute laws of the state in which such managerial resources will be strengthened. Thus, conbank is located, by language to that effect and not siderations relating to banking factors are consistent merely by implication." Although Delaware law gen- with approval of the application. Following consumerally forbids the acquisition of a Delaware bank by an mation of the acquisition, Applicant intends to inout-of-state bank holding company, on October 9, crease the number of Bank's offices in Delaware and 1981, Delaware amended its banking law3 to authorize to expand the hours of operation. In addition, Appliout-of-state bank holding companies to acquire stock, cant plans to install ATMs at all locations of Bank. The assets, and interests in banks located in Delaware to affiliation of Bank with Applicant also will enable which the state has provided financial assistance re- Bank to expand its commercial lending and trust sulting in the state obtaining stock in the bank. In activities. Accordingly, the Board concludes that conaddition, the Delaware legislation specifically, by 4. The Wilmington banking market consists of Cecil County, Maryland; Chester County, Pennsylvania; Salem County, New Jersey; and 1. The Board received a protest from Kensington Action Now New Castle County, Delaware. The Dover market is comprised of ("Protestant") a community group, which challenged Applicant's Kent County, Delaware; southern New Castle County, Delaware; and record of meeting the credit needs of its community, particularly the the Maryland counties of Queen Anne's, Caroline, and Kent. The area represented by Protestant, under the Community Reinvestment Sussex market is comprised of Sussex County Delaware; Wicomico Act. Protestant withdrew its protest after several meetings with County Delaware; and the adjoining portions of Caroline, Dorchester, Applicant which resulted in an agreement by Applicant to institute an and Worcester counties in Maryland. affirmative marketing program of its credit services in Protestant's 5. The Philadelphia banking market is approximated by Philadelarea. phia and Delaware counties and major portions of Chester, Montgom- 2. All banking data are as of June 30, 1980. ery, and Bucks County in Pennsylvania and major portions of 3. Volume 63, Chapter 186 Delaware Laws (House Bill No. 480) Camden, Burlington, and Gloucester counties in New Jersey. 1981. 6. Del. Code Ann. Title 5 § 803. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Legal Developments 917 siderations relating to convenience of the community Services, Inc., Jersey City, New Jersey ("Data Servto be served are consistent with approval. The Board's ices"); and, under section 4(c)(13) of the act, to retain judgment is that the proposed acquisition is in the its interests in Morgan Curacao, N.V., Netherlands public interest and that the application should be Antilles ("Curacao"), and Morgan Fonciere Cayman approved. Islands Ltd., Georgetown, Grand Cayman Island On the basis of the record, the application is ap- ("Fonciere"), after Morgan Holdings becomes a bank proved for the reasons summarized above. The trans- holding company. action shall not be made before the thirtieth calender Notice of receipt of these applications has been day following the effective date of this Order, or later given in accordance with sections 3 and 4 of the Bank than three months after the effective date of this Order Holding Company Act (46 Federal Register 45196 unless such period is extended for good cause by the (1981)), and the time for filing comments and views has Board or by the Federal Reserve Bank of Philadelphia, expired. The Board has considered the applications pursuant to delegated authority. and all comments received, including those of Option By order of the Board of Governors effective No- Advisory Services, Inc., New York, New York,1 in vember 24, 1981. light of the factors set forth in section 3(c) of the act (12 U.S.C. § 1842(c)) and the considerations specified Voting for this action: Chairman Volcker and Governors in sections 4(c)(8) and (13) of the act (12 U.S.C. Schultz, Partee, Teeters, Rice, and Gramley. Absent and not §§ 1843(c)(8) and (13)). voting: Governor Wallich. JPM, the fourth largest banking organization in New York State, with consolidated assets of $53.9 billion,2 (Signed) JAMES MCAFEE, operates primarily through its banking subsidiary, [SEAL] Assistant Secretary of the Board. Morgan Guaranty Trust Company of New York, New York, New York ("Morgan Guaranty"). Morgan Guaranty holds deposits of $35.6 billion and is the Orders Issued Under Sections 3 and 4 of Bank fourth largest commercial bank in the state of New Holding Company Act York. JPM also engages in certain nonbanking activities through several subsidiaries. Morgan Holdings is a J. P. Morgan & Company, Incorporated, shell corporation which holds the shares of six non- New York, New York banking companies. Bank is a newly chartered bank formed to engage in Morgan Holdings Corp., wholesale banking nationally and internationally. Sec- Wilmington, Delaware tion 3(d) of the Bank Holding Company Act (12 U.S.C. § 1842(d)) prohibits the Board from approving any Order Approving Acquisition of Bank and application by a bank holding company to acquire any Retention of Nonbank Subsidiaries bank located outside the state in which the operations of the bank holding company's banking subsidiaries J. P. Morgan & Company, Incorporated, New York, New York ("JPM"), a bank holding company within the meaning of the Bank Holding Company Act, has 1. The Board has received a request for a hearing on the applicaapplied for the Board's approval under section 3(a)(3) tions by Option Advisory Services, Inc., New York, New York ("Protestant"), asserting that a hearing is required to examine why of the act (12 U.S.C. § 1842(a)(3)) to acquire indirectly JPM is not acquiring Bank directly; to determine whether Morgan through its wholly-owned subsidiary, Morgan Hold- Holdings is an unregistered investment company; and to determine ings Corp., Wilmington, Delaware ("Morgan Hold- the validity of Volume 63, Chapter 2 of the Laws of Delaware. The Board has considered Protestant's comments and has determined that ings"), 100 percent of the voting shares, less directors' they are without merit. The Board also has found that Protestant's qualifying shares, of Morgan Bank (Delaware), Wil- comments do not present material facts in dispute such as to warrant a hearing under the Board's Rules of Procedure (12 C.F.R. § 262.3(e)). mington, Delaware, a proposed new bank. Morgan In addition, Protestant's comments appear to be directed to the Holdings has applied for the Board's approval under applications filed under section 3 of the Act, and under that section, a section 3(a)(1) of the act (12 U.S.C. § 1842(a)(1)) to hearing is required only if the primary supervisory agency of the bank to be acquired recommends disapproval. The primary supervisory become a bank holding company by acquiring 100 agency in this case, the State Bank Commissioner of Delaware, has percent, less directors' qualifying shares, of the shares approved the application. Moreover, Protestant's comments and of Morgan Bank (Delaware) ("Bank"). hearing request were not received by the Board within the 30-day comment period following publication of notice of the application in Morgan Holdings has also applied under section the Federal Register and, under the Board's Rules of Procedure, the 4(c)(8) of the act (12 U.S.C. § 1843(c)(8)) and section Board is not required to consider them. Finally, even if Protestant's comments and hearing request had been timely received, it does not 225.4(b)(2) of the Board's Regulation Y (12 C.F.R. appear that Protestant has standing to object to these applications. § 225.4(b)(2)) to retain its interest in Morgan Data 2. All banking data are as of June 30, 1981. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

918 Federal Reserve Bulletin • December 1981 are principally conducted unless such acquisition is posed acquisition conforms to Delaware law and that "specifically authorized by the statute laws of the the statute laws of Delaware specifically authorize the state in which such bank is located, by language to that acquisition of a bank chartered in Delaware by an outeffect and not merely by implication." On Febru- of-state bank holding company and its subsidiary, as ary 19, 1981, the state of Delaware amended its required by section 3(d) of the act. banking laws to permit an out-of-state bank holding Because of the limitations imposed by Delaware company to acquire a single de novo bank that will be law, Bank is unlikely to be in extensive direct competi- "operated in a manner and at a location that is not tion with banks in the local market. However, Bank likely to attract customers from the general public in will engage in a wholesale banking business domesti- [Delaware] to the substantial detriment of existing cally and internationally, will hold demand and other banking institutions located in this state."3 However, types of deposits, make loans, and provide a range of the bank may operate to attract and retain customers other banking and financial facilities to corporate with whom the bank, the out-of-state holding compa- customers and financial institutions. Thus, as Bank ny, or such holding company's bank or nonbanking will provide banking services on a de novo basis, subsidiaries have or have had business relations. Such consummation of the transaction will be procompetiacquisition is subject to approval by the State Bank tive. Accordingly, the overall competitive effects of Commissioner who, in acting on the application, must the proposal are consistent with approval. consider the financial and managerial resources of the The financial and managerial resources and future out-of-state bank holding company or its subsidiary, prospects of JPM, Morgan Holdings and Bank are the future prospects of such company, its financial regarded as satisfactory. Bank's proposed participahistory, whether such acquisition may result in undue tion in loans made by other Delaware banks will make concentration of resources or substantial lessening of available a substantial additional source of capital to competition in Delaware, and the convenience and Delaware borrowers. This increase in available capital needs of the public in Delaware. should have a positive impact on economic develop- Both JPM and Morgan Holdings have stated in a ment in Delaware. Based upon all the facts of record, hearing before the State Bank Commissioner that the Board finds that convenience and needs factors are Bank will not solicit business, either deposits or loans, consistent with approval of the application.4 from individuals or from small business enterprises. With respect to the application by Morgan Holdings Bank's location will be on the upper floors of an office to retain Data Services, which provides bookkeeping building and Bank will not employ any regular tellers. and data processing services for JPM and its subsidiar- JPM and Morgan Holdings plan to operate Bank as a ies, it was previously determined that the balance of wholesale bank whose customers will consist of do- public interest factors prescribed by section 4(c)(8) of mestic corporations and financial institutions located the act favored approval of the application to engage in throughout the United States. Bank also plans to these activities and nothing in the record suggests that participate from time to time in large loans made by Morgan Holdings' acquisition of Bank would alter that Delaware banks and to participate in loans to Dela- balance. There is no evidence in the record that ware banks. retention of Data Services would result in undue The State Bank Commissioner of Delaware, after a concentration of resources, decreased or unfair comhearing on this matter, approved the applications of petition, conflicts of interests, unsound banking prac- JPM and Morgan Holdings to acquire Bank, and found tices, or other adverse effects on the public interest. that the acquisition meets the statutory requirements Accordingly, the Board has determined that the balfor approval under Delaware law. In reviewing the ance of public interest factors it must consider under above facts, the Board has determined that the pro- section 4(c)(8) of the act favors approval of the application filed under that section and that the application should be approved. Morgan Holdings has also applied under section 3. Volume 63, Chapter 2 of the Laws of Delaware (1981). The Supreme Court's decision in Lewis v. BTInvestment Managers, Inc., 4(c)(13) of the act to retain the shares of Curacao, an 100 S. Ct. 2009 (1980), creates some uncertainty as to the ability of states to limit bank holding company activities under section 3(d) of the act. The Court stated that it is "doubtful" that section 3(d) gives 4. Under the Board's Regulation D—Reserve Requirements of states authority to impose restrictions on bank holding company Depository Institutions (12 C.F.R. Part 204), a de novo depository activities because the only authority conferred by that section is institution, such as Bank, is entitled to a phase-in of required reserves authority to permit expansion into a state. The Court's holding for a two-year period. However, the Board today has issued a striking state restrictions on bank holding company activities, howev- temporary amendment to Regulation D that requires a depository er, applies only to activities conducted pursuant to section 4(c)(8) of institution that commences business on or after November 18,1981, to the act, as opposed to section 3 of the act, which is applicable here. maintain full reserves when it reaches $50 million in total reservable Accordingly, for purposes of this application, the Delaware statute is liabilities. This rule applies to Bank, since it has not yet commenced presumed valid on its face. business. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Legal Developments 919 inactive company established to serve as a funding Regulation Y (12 C.F.R. § 225.4(b)(2)) to retain the vehicle for the JPM organization, and Fonciere, a voting shares of Central Computer Corporation, Gaycompany formed to hold the real estate used by JPM lord, Michigan ("CCC"), a company acquired by for bank premises overseas. There is nothing in the Applicant's nonbank subsidiary, SecureData, Troy, record demonstrating that the continued holding of Michigan ("SecureData"). CCC engages in certain these companies would be at variance with the pur- data processing activities. Such activities have been poses of the act or not in the public interest. Thus, the determined by the Board to be closely related to Board finds that the application to retain these compa- banking and permissible for bank holding companies nies under section 4(c)(13) should be approved. (12 C.F.R. § 225.4(a)(8)). Based on the foregoing and other considerations Notice of the application, affording an opportunity reflected in the record, the Board has determined that for interested persons to submit comments and views the applications under sections 3(a)(1), 3(a)(3), and on the public interest factors has been duly published. 4(c)(8) should be and hereby are approved. The acqui- The time for filing comments and views has expired, sition of shares of Bank shall not be made before the and the application and all comments received, includthirtieth calendar day following the effective date of ing those of the Association of Data Processing Serthis Order, or later than three months after the effec- vice Organizations, Inc. ("ADAPSO"), have been tive date of this Order unless such period is extended considered in light of the public interest factors set for good cause by the Board or the Federal Reserve forth in section 4(c)(8) of the act. Bank of New York, under delegated authority. Reten- Applicant, a bank holding company with consolidattion of the nonbank subsidiaries under sections 4(c)(8) ed assets of $845.1 million,1 controls five commercial and 4(c)(13) is subject to the conditions set forth in banks and three nonbanking organizations in southeast section 225.4(c) of Regulation Y and section 211.5(a) Michigan. SecureData (assets of $1.5 million), the of Regulation K, and to the Board's authority to nonbanking subsidiary of Applicant that directly acrequire such modification or termination of the activi- quired CCC, engages in data processing activities and ties of a holding company or any of its subsidiaries as participates in the commercial paper market. CCC the Board finds necessary to assure compliance with (assets of $418,968) was originally established by sevthe provisions and purposes of the act and the Board's en commercial banks located in northern Michigan for regulations and orders issued thereunder, or to pre- the purpose of providing cooperative data processing vent evasion thereof. services to such banks. On January 22, 1981, Secure- By order of the Board of Governors, effective Data acquired all the voting shares of CCC, resulting November 19, 1981. in the indirect acquisition by Applicant of CCC without the required prior Board approval under section Voting for this action: Vice Chairman Schultz and Gover- 4(c)(8) of the act. The subject application requests nors Partee, Teeters, Rice, and Gramley. Absent and not Board approval for Applicant's retention of CCC. voting: Chairman Volcker and Governor Wallich. Section 4(c)(8) of the act provides that the Board may approve a bank holding company's application to (Signed) JAMES MCAFEE, acquire a nonbanking company or engage in a non- [SEAL] Assistant Secretary of the Board. banking activity only after the Board has determined that the proposed activity is closely related to banking and that the performance of the proposed activity by a Orders Issued Under Section 4 of Bank Holding nonbanking subsidiary of a bank holding company can Company Act reasonably be expected to provide benefits to the public such as greater convenience, increased competition, or gains in efficiency, that outweigh possible Security Bancorp, Inc., adverse effects, such as undue concentration of re- Southgate, Michigan sources, decreased or unfair competition, conflicts of interest, or unsound banking practices. When acting Order Approving Retention of Central Computer on an application under section 4(c)(8) of the act and Corporation Regulation Y to retain a nonbanking company, in a situation where required prior Board approval was not Security Bancorp, Inc., Southgate, Michigan, a bank obtained for the acquisition of such company, the holding company within the meaning of the Bank Board applies the same standards that it would apply Holding Company Act, has applied for the Board's approval under section 4(c)(8) of the act (12 U.S.C. § 1843(c)(8)) and section 225.4(b)(2) of the Board's 1. All deposit data are as of June 30, 1981. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

920 Federal Reserve Bulletin • December 1981 to an application to acquire such company or com- In connection with this application, the Board has mence such activities initially. In analyzing such an also considered ADAPSO's submission, requesting application, the Board considers the competitive ef- the Board to consider the issues involved in the fects of such a proposal both at the time of the pending application of Citicorp to engage in a wide acquisition of the nonbanking company, and at the range of data processing and transmission activities, time of the application to retain such company. and further requesting that any Board approval in this The subject application is for Board approval to case be made subject to the Board's final Order in the retain a company that was acquired in violation of the Citicorp proceeding.2 Because CCC's data processing act and Regulation Y. In acting on this application, the activities appear to be the type described in Regulation Board has considered Applicant's actions to conform Y and the interpretation thereunder,3 the concerns its operations to the act and to prevent future viola- raised with respect to the permissibility of Citicorp's tions. In particular, Applicant promptly notified the proposed wide range of data processing activities do Federal Reserve Bank of Chicago of the subject viola- not appear to be at issue in this case. To the extent, if tion, and thereafter, cooperated fully in attempting to any, that the Board modifies its data processing reguresolve the matter to the Board's satisfaction. More- lation as a result of the pending Citicorp proceeding over, Applicant's management has committed to fa- and rulemaking, Applicant would be required to modimiliarize itself with the provisions of the act and fy its operations to conform to the requirements of the Regulation Y, to comply with such provisions in the modified regulation. The Board's conditional approval future, to consult with the Reserve Bank or Board of this application is dependent upon Security's comconcerning questions or obligations thereunder, and to pliance with Regulation Y, including any changes in appoint a compliance officer to oversee and ensure the regulation that may result from the pending Citicompliance of Applicant and its subsidiaries with the corp proceeding. act and Regulation Y. The Board expects that these Based upon the foregoing and other considerations actions will assist Applicant in avoiding a recurrence reflected in the record, the Board has determined that of similar violations. In light of the above and other the balance of the public interest factors that the Board information of record, the Board has determined that is required to consider under section 4(c)(8) is favorthe circumstances of the subject violation do not able. Accordingly, the retention application is hereby reflect so adversely upon Applicant's management as approved. This determination is subject to the condito warrant denial of this application to retain CCC. tions and commitments specific to this case as well as Although SecureData and CCC were both engaged the conditions set forth in section 225.4(c) of Regulain data processing activities at the time of CCC's tion Y and to the Board's authority to require such acquisition by SecureData and both continue to en- modification or termination of the activities of a bank gage in such activities, each is of a limited size and appears to serve separate and distinct markets. Moreover, even if they were considered to be in the same relevant market, barriers to entry are minimal and a large number of alternatives are present. Accordingly, 2. ADAPSO raised a number of concerns regarding the permissibility of activities in connection with Citicorp's application to engage in it does not appear that the acquisition of CCC by data processing activities through a subsidiary to be known as SecureData had any significant anticompetitive effects Citishare Corporation. The Board ordered a hearing to resolve these nor does it appear that any significant anticompetitive issues (Citicorp, 66 FEDERAL RESERVE BULLETIN 585 (1980)). 3. CCC's activities are as follows: providing full data processing effects would result from Applicant's retention of services as they may be required or desired by the banks that formerly CCC. owned CCC; providing data processing services to any bank in The financial and managerial resources and future northern Michigan that may wish to contract for such services; providing payroll service for any business firm in northern Michigan, prospects of Applicant and its subsidiaries are regardeither through banks or directly; providing services to the medical ed as satisfactory. In addition, Applicant's retention of industry through client banks or directly ; and offering to sell excess CCC should result in public benefits through the equipment capacity on a one-time and single-use basis to the general public. offering of continued data processing services by CCC With respect to those activities for which 4(c)(8) approval is sought, and by enabling CCC to draw upon Applicant's techni- the Board has determined by regulation that "storing and processing cal expertise in the data processing area. With respect other banking, financial, or related economic data, such as performing payroll, accounts receivable or payable, or billing services" are to other factors to be considered, the Board finds no permissible nonbank activities. (12 C.F.R. § 225.4(a)(8)). The Board evidence in the record indicating that Applicant's has interpreted this provision of Regulation Y to authorize bank holding companies to process the kinds of data that banks have ownership of CCC has resulted in, or would result in, traditionally processed in conducting their internal operations and any undue concentration of resources, unfair competi- accommodating their customers; the interpretation further specifies tion, conflicts of interest, unsound banking practices, permissible incidental activities that may be carried on by a data processing subsidiary of a bank holding company. (12 C.F.R. or other adverse effects on the public interest. § 225.123). Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Legal Developments 921 holding company as the Board finds necessary to Voting for this action: Chairman Volcker and Governors assure compliance with the provisions and purposes of Partee, Teeters, and Rice. Absent and not voting: Governors Schultz, Wallich, and Gramley. the act and the Board's regulations and orders issued thereunder, or to prevent evasion thereof. By order of the Board of Governors, effective (Signed) WILLIAM W. WILES, November 10, 1981. [SEAL] Secretary of the Board. ORDERS APPROVING APPLICATIONS UNDER THE BANK HOLDING COMPANY ACT AND BANK MERGER ACT By the Board of Governors During November 1981, the Board of Governors approved the applications listed below. Copies are available upon request to Publications Services, Division of Support Services, Board of Governors of the Federal Reserve System, Washington, D.C. 20551. Section 3 Board action Applicant Bank(s) (effective date) Executive Banking Corporation, Jefferson National Bank at Kendall, November 27, 1981 Miami, Florida Miami, Florida First Bankers Corporation of Florida, Century National Bank of Brevard, November 18, 1981 Pompano Beach, Florida Melbourne, Florida First City Bancorporation of Texas, Inc., First State Bank, November 3, 1981 Houston, Texas Aransas Pass, Texas Forest Hill Bancshares, Inc., November 24, 1981 Fort Worth, Texas North Platte Corporation, Western Bank of Cody, November 19, 1981 Torrington, Wyoming Cody, Wyoming Texas American Bancshares, Inc., Pioneer National Bank, November 13, 1981 Fort Worth, Texas Richardson, Texas Allen State Bank, November 20, 1981 Allen, Texas Preston wood National Bank, November 5, 1981 Dallas, Texas Utah Bancorporation, Silver King State Bank, October 30, 1981 Salt Lake City, Utah Park City, Utah Section 4 Nonbanking Effective Applicant company date (or activity) First National Cincinnati Corporation, to engage de novo in the issuance and November 10, 1981 Cincinnati, Ohio sale of travelers checks Mercantile Bancorporation, Inc., to engage de novo in the issuance and November 13, 1981 St. Louis, Missouri sale of travelers checks Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

922 Federal Reserve Bulletin • December 1981 By Federal Reserve Banks Recent applications have been approved by the Federal Reserve Banks as listed below. Copies of the orders are available upon request to the Reserve Banks. Section 3 Reserve Effective Applicant Bank(s) Bank date Affiliated Bankshares of First Colorado Bank of Pueblo, Kansas City November 2, 1981 Colorado, Inc., N.A., Boulder, Colorado Pueblo, Colorado Allied Bancshares, Inc., Beltway Bank, Dallas October 22, 1981 Houston, Texas Houston, Texas Beltway Bancshares, Inc., Houston, Texas American Bancorp, Inc., The American National Bank of Cleveland November 16, 1981 Newport, Kentucky Newport, Newport, Kentucky Bellevue Commercial & Savings Banks, Bellevue, Kentucky Bosworth Bancshares, Inc., Bosworth State Bank, Kansas City November 12, 1981 Bosworth, Missouri Bosworth, Missouri Bourbon Bancshares, Inc. Bourbon Agricultural Bank and Cleveland October 23, 1981 Paris, Kentucky Trust Company, Paris, Kentucky Bradford Bancorp, Inc., Bradford Banking Company Chicago October 30, 1981 Bradford, Illinois Bradford, Illinois Bryson Bancshares, Inc., The First State Bank of Bryson, Dallas November 2, 1981 Bryson, Texas Bryson, Texas CB&T Bancshares, Inc., First State Bancshares, Inc., Atlanta November 10, 1981 Columbus, Georgia Valdosta, Georgia First State Bank and Trust Company of Valdosta, Valdosta, Georgia Carson Bancorporation, Inc., Grant County State Bank, Minneapolis October 30, 1981 Carson, North Dakota Carson, North Dakota Chemical Financial Corporation, Montcalm Central Bank, Chicago November 13, 1981 Midland, Michigan Stanton, Michigan Cleghorn Financial, Inc., Cleghorn State Bank, Chicago November 13, 1981 Cleghorn, Iowa Cleghorn, Iowa Commercial Banshares, Inc., Sanborn County Bank, Minneapolis November 17, 1981 Woonsocket, South Dakota Woonsocket, South Dakota Dakota Bankshares, Inc., Bank of Kirkwood Plaza, Minneapolis November 19, 1981 Bismarck, North Dakota Bismarck, North Dakota Dakota Bancshares, Inc., Dakota County State Bank, Kansas City October 23, 1981 St. Joseph, Missouri South Sioux City, Nebraska Dale Hollow Holding Company Bank of Celina, Atlanta Novemer 19, 1981 Celina, Tennessee Celina, Tennessee Elk County Bancshares, Inc., Howard State Bank, Kansas City November 6, 1981 Howard, Kansas Howard, Kansas Elk Valley Bancshares, Inc., The Peoples Bank of Elk Valley, Atlanta October 26, 1981 Fayetteville, Tennessee Fayetteville, Tennessee Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Legal Developments 923 Section 3—Continued _ ... Reserve Effective Applicant Bank(s) Bank date Ellis Banking Corporation, The Peoples Bank, Atlanta November 20, 1981 Bradenton, Florida Gainesville, Florida Financial Dominion of Indiana The Rushville National Bank, Chicago November 5, 1981 Corporation, Rushville, Indiana Rushville, Indiana First Deposit Bancshares, Inc., Deposit Bank of Monroe County, St. Louis October 21, 1981 Tompkinsville, Kentucky Tompkinsville, Kentucky First Fordyce Bancshares, Inc., The First National Bank of For- St. Louis November 14, 1981 Fordyce, Arkansas dyce, Fordyce, Arkansas First Luther Bancorporation, The First National Bank of Luther, Kansas City November 13, 1981 Inc., Luther, Oklahoma Luther, Oklahoma First National Bancshares, Inc., First National Bank of Michigan, Chicago November 4, 1981 East Lansing, Michigan East Lansing, Michigan First National Holding Com- The First National Bank of Oxford, St. Louis October 30, 1981 pany, Oxford, Mississippi Oxford, Mississippi First Porter Bancshares, Inc., The First National Bank of Porter, Kansas City November 13, 1981 Porter, Oklahoma Porter, Oklahoma First State Bancorporation, First State Bank of Tuscaloosa, Atlanta November 19, 1981 Tuscaloosa, Alabama Tuscaloosa, Alabama First State Financial Corpora- Macomb County Bank, Chicago November 19, 1981 tion, Richmond, Michigan East Detroit, Michigan First Tuscumbia Corporation, The First National Bank in Tus- Atlanta November 5, 1981 Tuscumbia, Alabama cumbia, Tuscumbia, Alabama First United Bancorporation, The Terrell State Bank, Dallas November 9, 1981 Inc., Terrell, Texas Fort Worth, Texas First of Waverly Corporation, The First National Bank of Chicago November 16, 1981 Waverly, Iowa Waverly, Waverly, Iowa Geary Bancshares, Inc., The First National Bank of Geary, Kansas City November 2, 1981 Geary, Oklahoma Geary, Oklahoma Gilpin County Bancshares, Inc., Gilpin County Bank, Kansas City November 2, 1981 Black Hawk, Colorado Black Hawk, Colorado Guaranty Capital Corporation, Guaranty Bank and Trust Com- St. Louis November 9, 1981 Belzoni, Mississippi pany, Belzoni, Mississippi Hancock Bancshares Corpora- Hancock Bank & Trust, Chicago November 19, 1981 tion, Greenfield, Indiana Greenfield, Indiana Hardeman County Investment Hardeman County Bank, St. Louis November 18, 1981 Company, Inc., Bolivar, Tennessee Bolivar, Tennessee Holmes County Capital Corpo- Holmes County Bank & Trust St. Louis October 29, 1981 ration, Company, Lexington, Mississippi Lexington, Mississippi Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

924 Federal Reserve Bulletin • December 1981 Section 3—Continued Reserve Effective Applicant Bank(s) Bank date Huntington Bancshares, Inc., CUbanc Corp., Cleveland October 23, 1981 Columbus, Ohio Reynoldsburg, Ohio The Alexandria Bank Company, Alexandria, Ohio Independence Bank Group, Metropolitan National Bank, Chicago November 13, 1981 Inc., Monona, Wisconsin Waukesha, Wisconsin Jefferson Bancorp, Inc., Republic Bank & Trust Company, St. Louis October 29, 1981 Louisville, Kentucky Louisville, Kentucky Landmark Bancshares Corpora- Battlefield National Bank, St. Louis November 12, 1981 tion, Springfield, Missouri St. Louis, Missouri Oakville Bank and Trust Company, Oakville, Missouri Lincoln State Company, Inc., Lincoln State Bank, Kansas City November 12, 1981 Lincoln, Nebraska Lincoln, Nebraska Mangum Bancshares, Inc., First Mangum Corp., Kansas City October 29, 1981 Mangum, Oklahoma Mangum, Oklahoma The First National Bank of Mangum, Mangum, Oklahoma Mansfield Bancshares, Inc., Mansfield Bank and Trust Dallas October 30, 1981 Mansfield, Louisiana Company, Mansfield, Louisiana Merchants Capital Corporation, Merchants National Bank, Atlanta October 26, 1981 Vicksburg, Mississippi Vicksburg, Mississippi Michigan Financial Corporation, First National Bank and Trust of Minneapolis November 4, 1981 Menominee, Michigan Menominee, Menominee, Michigan Morgan Bancorporation, Inc., State Bank of Morgan, Minneapolis October 28, 1981 Morgan, Minnesota Morgan, Minnesota Munich Bancshares, Inc., The First State Bank of Munich, Minneapolis November 5, 1981 Munich, North Dakota Munich, North Dakota Myers Bancshares, Inc., Continental State Bank, Dallas November 9, 1981 Dallas, Texas Boyd, Texas New Lenox Holding Company, New Lenox State Bank, Chicago November 6, 1981 New Lenox, Illinois New Lenox, Illinois Northwest Bancorp., Citizens Valley Bank, San Francisco November 19, 1981 Albany, Oregon Albany, Oregon Northwest Bancorporation of Northwest National Bank, St. Louis October 30, 1981 Arkansas, Inc., Fayetteville, Arkansas Fayetteville, Arkansas Northwest Bancshares of Loui- First National Bank in Mansfield, Dallas November 20, 1981 siana, Inc., Mansfield, Louisiana Mansfield, Louisiana Northwest Georgia Bankshares, Walker County Bank, Atlanta November 20, 1981 Inc., LaFayette, Georgia LaFayette, Georgia Old Kent Financial Corporation, National Bank and Trust Company Chicago November 6, 1981 Grand Rapids, Michigan of Traverse City, Traverse City, Michigan Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Legal Developments 925 Section 3—Continued „ , Reserve Effective Applicant B ankw(s) Bank date Ozark Bancshares, Inc., Bankstock One, Inc., St. Louis October 30, 1981 Ozark, Arkansas Ozark, Arkansas Bank of Ozark, Ozark, Arkansas Pan American Banks, Inc., Manufacturers National Bank, Atlanta November 18, 1981 Miami, Florida Hialeah, Florida Peoples Bancorp of Sandy Peoples Bank, Cleveland November 16, 1981 Hook, Inc., Sandy Hook, Kentucky Sandy Hook, Kentucky The Peoples Corporation, The Peoples Bank, St. Louis October 28, 1981 Ripley, Mississippi Ripley, Mississippi Peoples Holding Company, Inc. The Peoples Bank, Atlanta November 10, 1981 Collinsville, Alabama Collinsville, Alabama The Plains Corporation, The Plains National Bank of Dallas November 16, 1981 Lubbock, Texas Lubbock, Lubbock, Texas Port Gibson Capital Corpora- Port Gibson Bank, Atlanta November 16, 1981 tion, Port Gibson, Mississippi Port Gibson, Mississippi Prairieland Bancorp., Inc., Farmers and Merchants State Chicago November 9, 1981 Bushnell, Illinois Bank of Bushnell, Bushnell, Illinois The Protection Bank Holding The Bank of Protection, Kansas City November 13, 1981 Company, Inc., Protection, Kansas Protection, Kansas Rawlins Bancshares, Inc., Farmers Bank and Trust, Kansas City October 30, 1981 At wood, Kansas Atwood, Kansas Rio Grande Bancorp, Inc. Rio Grande County Bank, Kansas City October 29, 1981 Del Norte, Colorado Del Norte, Colorado Spencer Bancorporation, Inc., Spencer State Bank, Chicago November 17, 1981 Spencer, Wisconsin Spencer, Wisconsin Steuben Financial Corp., The Hamilton Bank, Chicago November 9, 1981 Auburn, Indiana Hamilton, Indiana Sulphur Community Banc- Sulphur Community Bank, Kansas City November 2, 1981 shares, Inc., Sulphur, Oklahoma Sulphur, Oklahoma Texas Commerce Bancshares, The Hillcrest State Bank, Dallas November 4, 1981 Inc., University Park, Texas Houston, Texas The Stone Fort National Bank October 30, 1981 of Nacoadoches, Nacoadoches, Texas United Bank Corporation, Lamar State Bank, Atlanta November 13, 1981 Barnesville, Georgia Barnesville, Georgia Bank of Zebulon, Zebulon, Georgia Crawford County Bank, Roberta, Georgia United Kansas Bank Group, United Kansas Bank & Trust, Kansas City November 14, 1981 Inc., Merriam, Kansas Merriam, Kansas Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

926 Federal Reserve Bulletin • December 1981 Section 3—Continued . .. „ , , . Reserve Effective Applicant Bank(s) Bank date Valley Bancshares, Inc., Meramec Valley Bank, St. Louis November 20, 1981 Valley Park, Missouri Valley Park, Missouri Waunakee Bank Shares, Inc., Bank of Waunakee, Chicago October 29, 1981 Waunakee, Wisconsin Waunakee, Wisconsin West Point Bancorp., Inc., Dakota Bancshares, Inc., Kansas City October 23, 1981 St. Joseph, Missouri St. Joseph, Missouri Dakota County State Bank, South Sioux City, Nebraska Wolf Point Bancorporation, Citizens First National Bank of Minneapolis November 17, 1981 Inc., Wolf Point, Wolf Point, Montana Wolf Point, Montana Wynnewood Bancshares, Inc. The State Bank of Wynnewood, Kansas City November 2, 1981 Wynnewood, Oklahoma Wynnewood, Oklahoma Sections 3 and 4 Nonbanking Reserve Effective Applicant Bank(s) company Bank date (or activity) Clifford Bancshares, Clifford Banking Com- to engage in credit re- St. Louis November 20, 1981 Inc., pany, lated insurance Clarksville, Missouri Clarksville, Missouri activities Ellco Bancshares, Lorraine State Bank, Lorraine Insurance Kansas City November 12, 1981 Inc., Lorraine, Kansas Agency, Lorraine, Kansas Lorraine, Kansas Farmers Investment First Dover Invest- general insurance agen- Minneapolis November 16, 1981 Company, Inc., ment Company, cy activities and pur- Eyota, Minnesota et. al., chasing merchants' Elgin, Minnesota accounts receivable Milan Agency, Inc., Peoples State Bank of to continue to engage Minneapolis November 19, 1981 Milan, Minnesota Milan, in general insurance Milan, Minnesota activities Section 4 Nonbanking Reserve Effective Applicant company Bank date (or activity) Coronado, Inc., First Agency, Inc., Kansas City November 13, 1981 Sterling, Kansas Sterling, Kansas Southeast Banking Corporation, Churchill Mortgage Corporation, Atlanta November 5, 1981 Miami, Florida Atlanta, Georgia UST Corp., First Commonwealth Associates, Boston November 6, 1981 Boston, Massachusetts Houston, Texas Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Legal Developments 927 ORDERS APPROVED UNDER BANK MERGER ACT By Federal Reserve Banks Reserve Effective Applicant Bank(s) Bank date Central Bank of Birmingham, Central Bank of Alabama, NA. Atlanta November 17, 1981 Birmingham, Alabama et. al., Decatur, Alabama PENDING CASES INVOLVING THE BOARD OF GOVERNORS* *This list of pending cases does not include suits Securities Industry Association v. Board of Goveragainst the Federal Reserve Banks in which the Board nors, et al., filed October 1980, U.S.C.A. for the of Governors is not named a party. District of Columbia. A. G. Becker, Inc. v. Board of Governors, et al., filed American Bankers Association v. Federal Home Loan October 1980, U.S.D.C. for the District of Colum- Bank Board, et al., filed August 1981, U.S.D.C. for bia. the District of Columbia. A. G. Becker, Inc. v. Board of Governors, et al., filed The National Bank of Davis, et al. v. Charles E. Lord, October 1980, U.S.C.A. for the District of Columet al., filed July 1981, U.S.C.A. for the Fourth bia. Circuit. Independent Insurance Agents of America and Inde- Bank Stationers Association, Inc., et al. v. Board of pendent Insurance Agents of Missouri v. Board of Governors, filed July 1981, U.S.D.C. for the North- Governors, filed September 1980, U.S.C.A. for the ern District of Georgia. Eighth Circuit. Public Interest Bounty Hunters v. Board of Gover- Nebraska Bankers Association, et al. v. Board of nors, et al., filed June 1981. U.S.D.C. for the Governors, et al., filed September 1980, U.S.D.C. Northern District of Georgia. for the District of Nebraska. Edwin F. Gordon v. John Heimann, et al., filed May Republic of Texas Corporation v. Board of Governors, 1981, U.S.C.A. for the Fifth Circuit. filed September 1980, U.S.C.A. for the Fifth Cir- Louis J. Roussell v. Board of Governors, filed May cuit. 1981, U.S.C.A. for the District of Columbia. A. G. Becker, Inc. v. Board of Governors, et al., filed Wilshire Oil Company of Texas v. Board of Gover- August 1980, U.S.D.C. for the District of Columbia. nors, et al., filed April 1981, U.S.C.A. for the Third Otero Savings and Loan Association v. Board of Circuit. Governors, filed August 1980, U.S.D.C. for the People of the State of Arkansas v. Board of Gover- District of Colorado. nors, et al., filed March 1981, U.S.C.A. for the Edwin F. Gordon v. Board of Governors, et al., filed Western District of Arkansas. August 1980, U.S.C.A. for the Fifth Circuit. First Bank & Trust Company v. Board of Governors, U.S. League of Savings Associations v. Depository filed February 1981, U.S.D.C. for the Eastern Dis- Institutions Deregulation Committee, et al., filed trict of Kentucky. June 1980, U.S.D.C. for the District of Columbia. tfllis E. St. Rose & James H. Sibbet v. Board of Berkovitz, et al. v. Government of Iran, et al., filed Governors, filed February 1981, U.S.D.C. for the June 1980, U.S.D.C. for the Northern District of District of Columbia. California. Option Advisory Service, Inc. v. Board of Governors, Mercantile Texas Corporation v. Board of Governors, et al., filed February 1981, U.S.C.A. for the Second filed May 1980, U.S.C.A. for the Fifth Circuit. Circuit. Corbin, Trustee v. United States, filed May 1980, 9 to 5 Organization for Women Office Workers v. United States Court of Claims. Board of Governors, filed December 1980, Louis J. Roussel v. Comptroller of the Currency and U.S.D.C. for the District of Massachusetts. Federal Reserve Board, filed April 1980, U.S.D.C. Securities Industry Association v. Board of Gover- for the District of Columbia. nors, et al., filed October 1980, U.S.D.C for the County National Bancorporation and TGB Co. v. District of Columbia. Board of Governors, filed September 1979, U.S.C.A. for the Eighth Circuit. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

928 Federal Reserve Bulletin • December 1981 Donald W. Riegle, Jr. v. Federal Open Market Com- et al, filed November 1975, U.S.D.C. for the Southmittee, filed July 1979, U.S.D.C. for the District of ern District of California. Columbia. Darnell Hilliard v. G. William Miller, et al., filed Security Bancorp and Security National Bank v. September 1976, U.S.C.A. for the District of Co- Board of Governors, filed March 1978, U.S.C.A. for lumbia. the Ninth Circuit. David Merrill, et al. v. Federal Open Market Commit- Roberts Farms, Inc. v. Comptroller of the Currency, tee, filed May 1975, U.S.D.C. for the District of Columbia. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Financial and Business Statistics CONTENTS Domestic Financial Statistics WEEKLY REPORTING COMMERCIAL BANKS A3 Monetary aggregates and interest rates Assets and liabilities A4 Reserves of depository institutions, reserve, A18 All reporting banks bank credit A19 Banks with assets of $1 billion or more A5 Reserves and borrowings of depository A20 Banks in New York City institutions A21 Balance sheet memoranda A6 Federal funds and repurchase agreements of A22 Branches and agencies of foreign banks large member banks A23 Commercial and industrial loans A24 Gross demand deposits of individuals, partnerships, and corporations POLICY INSTRUMENTS A7 Federal Reserve Bank interest rates FINANCIAL MARKETS A8 Depository institutions reserve requirements A9 Maximum interest rates payable on time and A25 Commercial paper and bankers dollar savings deposits at federally insured institutions acceptances outstanding A10 Federal Reserve open market transactions A26 Prime rate charged by banks on short-term business loans A26 Terms of lending at commercial banks FEDERAL RESERVE BANKS A27 Interest rates in money and capital markets A28 Stock market—Selected statistics All Condition and Federal Reserve note statements A29 Savings institutions—Selected assets and A12 Maturity distribution of loan and security liabilities holdings FEDERAL FINANCE MONETARY AND CREDIT AGGREGATES A30 Federal fiscal and financing operations A12 Bank debits and deposit turnover A31 U.S. budget receipts and outlay A13 Money stock measures and components A32 Federal debt subject to statutory limitation A14 Aggregate reserves of depository institutions A32 Gross public debt of U.S. Treasury—Types and and member bank deposits ownership A15 Loans and securities of all commercial banks A33 U.S. government marketable securities— Ownership, by maturity A34 U.S. government securities dealers— COMMERCIAL BANKS Transactions, positions, and financing A35 Federal and federally sponsored credit A16 Major nondeposit funds agencies—Debt outstanding A17 Assets and liabilities, last Wednesday-of-month series Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

58 Federal Reserve Bulletin • December 1981 SECURITIES MARKETS AND International Statistics CORPORATE FINANCE A54 U.S. international transactions—Summary A36 New security issues—State and local A55 U.S. foreign trade governments and corporations A55 U.S. reserve assets A37 Open-end investment companies—Net sales and A56 Foreign branches of U.S. banks—Balance sheet asset position data A37 Corporate profits and their distribution A58 Selected U.S. liabilities to foreign official A38 Nonfinancial corporations—Assets and institutions liabilities A38 Total nonfarm business expenditures on new plant and equipment REPORTED BY BANKS IN THE UNITED STATES A39 Domestic finance companies—Assets and liabilities; business credit A58 Liabilities to and claims on foreigners A59 Liabilities to foreigners A61 Banks' own claims on foreigners REAL ESTATE A62 Banks' own and domestic customers' claims on foreigners A40 Mortgage markets A62 Banks' own claims on unaffiliated foreigners A41 Mortgage debt outstanding A63 Claims on foreign countries—Combined domestic offices and foreign branches CONSUMER INSTALLMENT CREDIT SECURITIES HOLDINGS AND TRANSACTIONS A42 Total outstanding and net change A43 Extension and liquidations A64 Marketable U.S. Treasury bonds and notes— Foreign holdings and transactions A64 Foreign official assets held at Federal Reserve FLOW OF FUNDS Banks A65 Foreign transactions in securities A44 Funds raised in U.S. credit markets A45 Direct and indirect sources of funds to credit markets REPORTED BY NONBANKING BUSINESS ENTERPRISES IN THE UNITED STATES Domestic Nonfinancial Statistics A66 Liabilities to unaffiliated foreigners A67 Claims on unaffiliated foreigners A46 Nonfinancial business activity—Selected measures A46 Output, capacity, and capacity utilization INTEREST AND EXCHANGE RATES A47 Labor force, employment, and unemployment A48 Industrial production—Indexes and gross value A68 Discount rates of foreign central banks A50 Housing and construction A68 Foreign short-term interest rates A51 Consumer and producer prices A68 Foreign exchange rates A52 Gross national product and income A53 Personal income and saving A69 Guide to Tabular Presentation, Statistical Releases, and Special Tables Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Domestic Financial Statistics A3 1.10 MONETARY AGGREGATES AND INTEREST RATES 1980 1981 1981 IItteemm Q4 Q1 Q2 Q3 June July Aug. Sept. Oct. Monetary and credit aggregates (annual rates of change, seasonally adjusted in percent)1 Reserves of depository institutions 1 Total 16.7 2.7 3.3 6.6 -5.8 7.9 8.3 22.0 -10.3 2 Required 15.5 4.0 4.3 5.9 -8.1 7.9 9.8 18.4 -6.3 3 Nonborrowed 7.2 7.7 -3.3 10.6 .0 19.8 16.9 21.7 -2.2 4 Monetary base2 10.8 4.9 5.5 5.3 -.3 8.2 5.0 4.3 -.6 Concepts of money and liquid assets3 5 Ml-A 8.2 -20.8 -5.3 -3.6r -9.9 -1.7' 3.0 -7.9 2.3 6 Ml-B 10.8 4.9 8.7 .3' -7.5 3.6 7.5' -2.8 3.3 7 M2 8.1 8.3 10.6 7.1 4.1 7.4 11.7' 6.5' 8.1 8 M3 11.3 12.4 10.6 10.3r 10.6 8.7 13.5' 9.2' 5.6 9 L 11.4 12.9 8.4 n.a. 11.0' 8.0' 15.0 n.a n.a. Time and savings deposits Commercial banks 10 Total 15.4 17.0 10.0 17.3 17.2 16.7' 20.8 7.9' 4.8 11 Savings4 1.5 -30.5 -11.9 -19.6 -24.0 -11.5 -29.1' -22.4' -19.0 12 Small-denomination time5 16.2 30.2 13.4 21.0 22.0 14.5 30.9 20.1 24.7 13 Large-denomination time6 25.4 37.5 20.0 34.7 35.8 34.8 36.5 10.4 -4.4 14 Thrift institutions7 9.7 5.3 .4 -1.7 .3 -5.3 -2.0 1.3' 3.2 15 Total loans and securities at commercial banks8. 14.6 11.8 6.r 8.5' 6.9' 6.0' 10.4' 10.6 8.8 1980 1981 1981 Q4 Q1 Q2 Q3 July Aug. Sept. Oct. Nov. Interest rates (levels, percent per annum) Short-term rates 16 Federal funds9 15.85 16.57 17.78 17.58 19.04 17.82 15.87 15.08 13.31 17 Discount window borrowing10 11.78 13.00 13.62 14.00 14.00 14.00 14.00 14.00 13.00 18 Treasury bills (3-month market yield)11 13.61 14.39 14.91 15.05 14.95 15.51 14.70 13.54 10.86 19 Commercial paper (3-month)11'" 15.26 15.34 16.15 16.78 17.00 17.23 16.09 14.85 12.16 Long-term rates Bonds 20 U.S. government13 12.23 12.74 13.49 14.51 13.92 14.52 15.07 15.13 13.56 21 State and local government14 9.59 9.97 10.69 12.11 11.14 12.26 12.92 12.83 11.89 22 Aaa utility (new issue)15 13.49 14.45 15.41 16.82 16.30 17.21 16.94 15.56 23 Conventional mortgages16 14.62 15.10 16.15 17.50 16.70 17.50 18.30 18.05 n.a. 1. Unless otherwise noted, rates of change are calculated from average amounts 4. Savings deposits exclude negotiable order of withdrawal (NOW) and automatic outstanding in preceding month or quarter. Growth rates are adjusted for discon- transfer service (ATS) accounts at commercial banks. tinuities in series that result from changes in Regulation D. 5. Small-denomination time deposits are those issued in amounts of less than 2. Includes reserve balances at Federal Reserve Banks in the current week plus $100,000. vault cash held two weeks earlier used to satisfy reserve requirements at all deposi- 6. Large-denomination time deposits are those issued in amounts of $100,000 or tory institutions plus currency outside the U.S. Treasury, Federal Reserve Banks, more. the vaults of depository institutions, and surplus vault cash at depository institu- 7. Savings and loan associations, mutual savings banks, and credit unions. tions. 8. Changes calculated from figures shown in table 1.23. 3. Ml-A: Averages of daily figures for (1) demand deposits at all commercial 9. Averages of daily effective rates (average of the rates on a given date weighted banks other than those due to domestic banks, the U.S. government, and foreign by the volume of transactions at those rates). banks and official institutions less cash items in the process of collection and Federal 10. Rate for the Federal Reserve Bank of New York. Reserve float; (2) currency outside the Treasury, Federal Reserve Banks, and the 11. Quoted on a bank-discount basis. vaults of commercial banks; and (3) traveler's checks of nonbank issuers. 12. Unweighted average of offering rates quoted by at least five dealers. Ml-B: Ml-A plus negotiable order of withdrawal and automated transfer service 13. Market yields adjusted to a 20-year maturity by the U.S. Treasury. accounts at banks and thrift institutions, credit union share draft accounts, and 14. Bond Buyer series for 20 issues of mixed quality. demand deposits at mutual savings banks. 15. Weighted averages of new publicly offered bonds rated Aaa, Aa, and A by M2: Ml-B plus savings and small-denomination time deposits at all depository Moody's Investors Service and adjusted to an Aaa basis. Federal Reserve cominstitutions, overnight repurchase agreements at commercial banks, overnight Eu- pilations. rodollars held by UTS. residents other than banks at Caribbean branches of member 16. Average rates on new commitments for conventional first mortgages on new banks, and money market mutual fund shares. homes in primary markets, unweighted and rounded to nearest 5 basis points, from M3: M2 plus large-denomination time deposits at all depository institutions and Dept. of Housing and Urban Development. term RPs at commercial banks and savings and loan associations. NOTE. Reserve series have been revised to adjust for discontinuties associated L: M3 plus other liquid assets such as term Eurodollars held by U.S. residents with the transitional phase-in of reserve requirements under the Monetary Control other than banks, bankers acceptances, commercial paper, Treasury bills and other Act of 1980. liquid Treasury securities, and U.S. savings bonds. M3 has been revised to incorporate additional data for term repurchase agreements. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A4 Domestic Financial Statistics • December 1981 1.11 RESERVES OF DEPOSITORY INSTITUTIONS, RESERVE BANK CREDIT Millions of dollars Monthly averages of daily figures Weekly averages of daily figures for week ending 1981 1981 Sept. Oct. Nov. Oct. 14 Oct. 21 Oct. 28 Nov. 4 Nov. 11 Nov. 18 Nov. 25 SUPPLYING RESERVE FUNDS 1 Reserve Bank credit outstanding 145,511 145,960 148,339 145,245 148,600 145,678 146,206 146,203 149,300 149,319 2 U.S. government securities1 123,685 123,497 125,247 123,327 125,444 123,457 123,978 123,526 125,951 126,396 3 Bought outright 123,685 123,273 124,559 123,327 124,450 123,457 123,7% 123,526 124,599 125,283 4 Held under repurchase agreements 0 224 688 0 994 0 182 0 1,352 1,113 5 Federal agency securities 8,671 8,700 8,888 8,657 8,856 8,646 8,683 8,646 8,844 9,048 6 Bought outright 8,671 8,652 8,776 8,657 8,646 8,646 8,646 8,646 8,646 8,857 7 Held under repurchase agreements 0 48 112 0 210 0 37 0 198 191 8 Acceptances 0 58 261 0 257 0 95 0 502 392 9 Loans 1,473 1,149 695 1,110 1,255 1,187 1,237 965 561 337 10 Float 3,206 3,285 3,320 2,978 3,507 3,031 2,452 2,894 3,423 3,493 11 Other Federal Reserve assets 8,476 9,271 9,928 9,173 9,280 9,358 9,761 10,172 10,019 9,653 12 Gold stock 11,154 11,152 11,152 11,152 11,152 11,152 11,152 11,152 11,152 11,152 13 Special drawing rights certificate account... 3,126 3,318 3,318 3,318 3,318 3,318 3,318 3,318 3,318 3,318 14 Treasury currency outstanding 13,648 13,641 13,663 13,640 13,640 13,643 13,651 13,657 13,660 13,668 ABSORBING RESERVE FUNDS 15 Currency in circulation 138,525 138,477 140,504 139,164 138,812 138,117 138,520 140,005 140,759 140,955 16 Treasury cash holdings 453 455 449 458 457 450 447 449 450 453 Deposits, other than reserves, with Federal Reserve Banks 17 Treasury 3,155 3,339 3,061 2,957 3,743 3,069 3,410 3,052 3,215 2,841 18 Foreign 284 353 325 329 350 318 423 269 338 310 19 Other 592 611 688 577 624 595 773 652 696 591 20 Required clearing balances 54 74 91 72 77 78 82 87 89 95 21 Other Federal Reserve liabilities and capital 4,849 5,171 5,438 5,184 5,300 5,030 5,234 5,190 5,405 5,583 22 Reserve accounts2 25,527 25,592 25,915 24,613 27,348 26,134 25,437 24,627 26,478 26,630 End-of-month figures Wednesday figures 1981 1981 Sept. Oct. Nov. Oct. 14 Oct. 21 Oct. 28 Nov. 4 Nov. 11 Nov. 18 Nov. 25 SUPPLYING RESERVE FUNDS 23 Reserve bank credit outstanding 147,585 143,917 149,264 148,045 153,425 145,522 150,665 146,398 149,904 149,966 24 U.S. government securities1 124,330 123,005 126,539 123,989 127,854 121,495 124,996 123,584 125,912 126,788 25 Bought outright 124,330 123,005 124,743 123,989 124,747 121,495 123,720 123,584 124,337 126,479 26 Held under repurchase agreements 0 0 1,796 0 3,107 0 1,276 0 1,575 309 27 Federal agency securities 8,661 8,646 9,448 8,646 9,173 8,646 8,905 8,646 9,020 9,189 28 Bought outright 8,661 8,646 9,129 8,646 8,646 8,646 8,646 8,646 8,646 9,139 29 Held under repurchase agreements 0 0 319 0 527 0 259 0 374 50 30 Acceptances 0 0 744 0 801 0 664 0 656 164 31 Loans 2,486 924 232 2,593 3,315 1,885 1,941 2,434 1,444 656 32 Float 2,811 1,690 2,177 3,459 2,786 4,084 3,768 1,305 3,304 3,229 33 Other Federal Reserve assets 9,297 9,652 10,124 9,358 9,496 9,412 10,391 10,429 9,568 9,940 34 Gold stock 11,152 11,152 11,152 11,152 11,152 11,152 11,152 11,152 11,152 11,152 35 Special drawing rights certificate account... 3,318 3,318 3,318 3,318 3,318 3,318 3,318 3,318 3,318 3,318 36 Treasury currency outstanding 14,315 13,651 13,679 13,640 13,640 13,651 13,651 13,658 13,666 13,674 ABSORBING RESERVE FUNDS 37 Currency in circulation 138,508 138,137 141,919 139,583 138,796 138,552 139,451 140,970 141,087 141,691 38 Treasury cash holdings 457 447 447 459 456 449 448 450 450 450 Deposits, other than reserves, with Federal Reserve Banks 39 Treasury 2,520 3,550 3,475 3,024 3,723 2,842 3,197 2,720 3,146 2,905 40 Foreign 420 547 535 293 290 264 403 280 284 302 41 Other 843 573 715 565 628 568 726 631 522 720 42 Required clearing balances 63 82 99 72 77 78 82 87 89 95 43 Other Federal Reserve liabilities and capital 5,379 5,112 6,011 5,015 5,174 4,831 5,092 5,202 5,385 5,520 44 Reserve accounts2 27,180 23,590 24,213 27,144 32,391 26,060 29,388 24,187 27,077 26,427 1. Includes securities loaned—fully guaranteed by U.S. government securities 2. Excludes required clearing balances, pledged with Federal Reserve Banks—and excludes (if any) securities sold and scheduled to be bought back under matched sale-purchase transactions. NOTE. For amounts of currency and coin held as reserves, see table 1.12. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Depository Institutions A5 1.12 RESERVES AND BORROWINGS Depository Institutions Millions of dollars Monthly averages of daily figures RReesseerrvvee ccllaassssiiffiiccaattiioonn 1980 1981 Dec. Mar. Apr. May June July Aug. Sept. Oct. Nov. 1 Reserve balances with Reserve Banks' 26,664 26,722 27,173 26,822 26,819 27,172 27,023 25,527 25,592 25,915 2 Total vault cash (estimated) 18,149 17,327 17,189 17,773 18,198 18,273 18,438 18,927 18,810 18,839 3 Vault cash at institutions with required reserve balances2 12,602 11,687 11,687 12,124 12,396 12,504 12.585 12,966 12,881 12,956 4 Vault cash equal to required reserves at other institutions 704 1,237 1,204 1,310 1,350 1.319 1,364 2,041 2,054 2,011 .5 Surplus vault cash at other institutions-' .. 4,843 4.403 4,298 4,339 4,452 4,450 4,489 3,920 3,875 3,872 6 Reserve balances + total vault cash4 44,940 44,155 44,451 44,683 45,100 45,507 45,513 44,499 44,430 44,778 7 Reserve balances + total vault cash used to satisfy reserve requirements4-5 40,097 39,752 40,153 40,344 40,648 41,057 41,024 40,579 40,555 40,906 8 Required reserves (estimated) 40,067 39,372 40,071 40,213 40,098 40,675 40,753 40,179 40,438 40,591 9 Excess reserve balances at Reserve Banks4-6 . 30 380 82 131 550 382 271 400 117 315 10 Total borrowings at Reserve Banks 1,617 1,004 1,343 2,154 2,038 1,751 1,408 1,473 1,149 695 11 Seasonal borrowings at Reserve Banks 116 197 161 259 291 248 220 222 152 79 12 Extended credit at Reserve Banks n.a. n.a. n.a. n.a. n.a. n.a. 79 301 442 178 Weekly averages of daily figures for week ending: Sept. 23 Sept. 30 Oct. 7 Oct. 14 Oct. 21 Oct. 28 Nov. 4 Nov. 11 Nov. 18 Nov. 25 13 Reserve balances with Reserve Banks' 26.510 25.844 24.817 24,613 27.348 26,134 25,437 24.627 26,478 26,556 14 Total vault cash (estimated) 17.608 19.618 19.391 19,499 17.619 18,558 19,212 19.403 18,593 17,934 15 Vault cash at institutions with required reserve balances2 12.205 13,453 13.323 13.154 12,115 12,767 13,272 13,322 12,666 12,410 16 Vault cash equal to required reserves at other institutions 1,909 2,196 2,144 2.235 1,890 1,959 2,021 2,091 1,992 1,916 17 Surplus vault cash at other institutions-'.. 3,494 3,969 3,924 4,110 3,614 3,832 3,919 3,990 3,935 3,608 18 Reserve balances + total vault cash4 44,163 45,502 44,246 44.137 44,992 44,716 44,674 44,054 45,095 44,513 19 Reserve balances + total vault cash used to satisfy reserve requirements4-5 40,669 41,533 40,322 40,027 41,378 40,884 40,755 40,064 41,160 40,905 20 Required reserves (estimated) 40,391 41,009 40,105 39,742 41,245 40,625 40,521 39,637 40,966 40,753 21 Excess reserve balances at Reserve Banks4-6 . 278 524 217 285 133 259 234 427 194 152 22 Total borrowings at Reserve Banks 1,446 1.448 1,146 1.110 1,255 1,187 1,237 965 561 337 23 Seasonal borrowings at Reserve Banks 230 233 115 158 155 147 134 134 102 69 24 Extended credit at Reserve Banks 325 387 413 423 444 464 452 111 126 123 1. As of Aug. 13. 1981 excludes required clearing balances of all depository existing member bank, or when a nonmember bank joins the Federal Reserve institutions. System. For weeks for which figures are preliminary, figures by class of bank do 2. Prior to Nov. 13, 1980, the figures shown reflect only the vault cash held by not add to total because adjusted data by class are not available. member banks. 5. Reserve balances with Federal Reserve Banks which exclude required clearing 3. Total vault cash at institutions without required reserve balances less vault balances plus vault cash at institutions with required reserve balances plus vault cash equal to their required reserves. cash equal to required reserves at other institutions. 4. Adjusted to include waivers of penalties for reserve deficiencies in accordance 6. Reserve balances with Federal Reserve Banks which exclude required clearing with Board policy, effective Nov. 19, 1975, of permitting transitional relief on a balances plus vault cash used to satisfy reserve requirements less required reserves. graduated basis over a 24-month period when a nonmember bank merged into an (This measure of excess reserves is comparable to the old excess reserve concept published historically.) Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A6 Domestic Financial Statistics • December 1981 1.13 FEDERAL FUNDS AND REPURCHASE AGREEMENTS Large Member Banks1 Averages of daily figures, in millions of dollars 1981, week ending Wednesday By maturity and source Sept. 30 Oct. 7 Oct. 14 Oct. 21 Oct. 28 Nov. 4 Nov. 11 Nov. 18 Nov. 25 One day and continuing contract 1 Commercial banks in United States 4455,,227755 5511,,226688 5500,,553322 4499,,773366 4455,,118822'' 4488,,771155 5544,,554477 5522,,558811 4499,,557700 2 Other depository institutions, foreign banks and foreign official institutions, and U.S. government agencies. 16,895 16,513 16,376 18,215 17,670' 17,192 17,907 18,785 18,941 3 Nonbank securities dealers 3,125 2,840 3,317 3,318 3,994 3,464 3,755 3,844 3,773 4 All other 19,106 19,003 18,434 19,021 19,409 19,548 19,126 19,658 18,772 All other maturities 5 Commercial banks in United States 3,396 3,604 4,190 33,,334477 33,,118855 33,,885533 33,,661122 33,,336677 33,,660000 6 Other depository institutions, foreign banks and foreign official institutions, and U.S. government agencies . 7,191 7,108 7,382 7,559 7,451 7,598 7,719 7,794 7,998 7 Nonbank securities dealers 4,676 4,808 4,485 4,544 4,510r 4,384 4,369 4,386 4,283 8 All other 10,185 8,937 10,126 9,181 9,757r 10,359 10,552 10,415 11,030 MEMO: Federal funds and resale agreement loans in maturities of one day or continuing contract 9 Commercial banks in United States 17,438 16,745 18,469 17,741 16,036r 18,238 18,508 19,293 16,316 10 Nonbank securities dealers 2,939 3,365 3,205 3,204 2,688 2,773 3,474 3,589 3,408 1. Banks with assets of $1 billion or more as of Dec. 31, 1977. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Policy Instruments A7 1.14 FEDERAL RESERVE BANK INTEREST RATES Percent per annum Current and previous levels Extended credit 1 SSShhhooorrrttt---ttteeerrrmmm aaadddjjjuuussstttmmmeeennnttt cccrrreeedddiiittt aaannnddd ssseeeaaasssooonnnaaalll cccrrreeedddiiittt First 60 days Next 90 days FFFFeeeeddddeeeerrrraaaallll RRRReeeesssseeeerrrrvvvveeee of borrowing of borrowing After 150 days BBBBaaaannnnkkkk EEEffffffeeeccctttiiivvveee dddaaattteee RRaattee oonn PPrreevviioouuss RRaattee oonn PPrreevviioouuss RRaattee oonn PPrreevviioouuss fffooorrr cccuuurrrrrreeennnttt rrraaattteeesss Rate on Effective Previous 1111//3300//8811 rraattee 1111//3300//8811 rraattee 1111//3300//8811 rraattee 11/30/81 date rate Boston 13 11/2/81 14 13 14 14 15 15 16 11/2/81 New York 13 11/2/81 14 13 14 14 15 15 16 11/2/81 Philadelphia 13 11/2/81 14 13 14 14 15 15 16 11/2/81 Cleveland 13 11/2/81 14 13 14 14 15 15 16 11/2/81 Richmond 13 11/2/81 14 13 14 14 15 15 16 11/2/81 Atlanta 13 11/3/81 14 13 14 14 15 15 16 11/3/81 Ohio 13 11/2/81 14 13 14 14 15 15 16 11/2/81 St. Louis 13 11/2/81 14 13 14 14 15 15 16 11/2/81 Minneapolis 13 11/2/81 14 13 14 14 15 15 16 11/2/81 Kansas City 13 11/3/81 14 13 14 14 15 15 16 11/3/81 Dallas 13 11/6/81 14 13 14 14 15 15 16 11/6/81 San Francisco 13 11/2/81 14 13 14 14 15 15 16 11/2/81 Range of rates in recent years2 Range (or F.R. Range (or F.R. Range (or F.R. level)— Bank level)— Bank level)— Bank Effective date All F.R. of Effective date All F.R. of Effective date All F.R. of Banks N.Y. Banks N.Y. Banks N.Y. I 1 n 9 7 e 3 f — fe ct J a D n e . c. 1 3 5 1 , 1972. 5 4 Vi 5 4 Vi 1976— Jan. 2 19 3 . . 5VSi-V6 i 5 5 5 1 1 V / / i 2 4 1979— Sept. 1 2 9 1 . . 10 1 V 1 i-ll 1 1 1 1 Feb. 26 5-5 Vi 5Vi Nov. 22. 5V<t-5V4 51/4 Oct. 8. 11-12 12 Mar. 2 5Vi 5Vi 26. 51/4 10. 12 12 Apr. 23 5Vi-53/4 51/2 May 1 4 1 53/ 5 4 3 - / 6 4 6 5 3/4 1977— Aug. 3 3 0 1 . . 5 5 V V5 4 43 - - 5 5/ 3 3 4/ / 4 4 5 551 3 3/ / /4 4 4 1980— Feb. 1 1 5 9 . . 1 1 2 3 - 13 1 1 3 3 18 6 6 Sept. 2. May 29. 12-13 13 June 11 6-6V5 6Vi Oct. 26. 6 6 30. 12 12 July 1 2 5 7 6 Vi 7 6 Vi 1978— Jan. 9. 6 6V -6 V i 5 6 6V V i i June 1 1 3 6 . . 11 1 - 1 1 2 1 1 1 1 Aug. 14 7-7Vi 7Vi 20. July 28. 10-11 10 2 3 7Vi 7Vi May 11. 6V2-7 7 29. 10 10 12. 7 77 1/4 Sept. 26. 11 11 1974— Apr. 25 7Vi-8 8 July 3. 771-7/14/4 Nov. 17. 12 12 30 July 10. 71/4 Dec. 5. 12-13 13 Dec. 9 73/4-8 73/4 Aug. 21. 73/4 73/4 8. 13 13 1 6 73/4 73/4 Sept. 22. 8 8 Oct. 16. 8-8 Vi 8Vi 1981— May 5. 13-14 14 1975— Jan. 6 7V4-73/4 73/4 20. 8V5 8Vi May 8. 14 14 10 71/4-73/4 7V4 Nov. 1. 8V4-9W 9i/> Nov. 2. 13-14 13 2 4 71/4 71/4 3. 9Vi 9Vi Nov 6. 13 13 Feb. 5 63/4-7V4 63/4 7 63/4 63/4 1979— July 20. 10 10 Mar. 10 6'/4-63/4 6V4 Aug. 17. lO-lOVi 10 Vi 14 61/4 6V4 20. lOVi lOVi May 16 6-6V4 6 In effect Nov. 30, 1981 1. Applicable to advances when exceptional circumstances or practices involve In 1980 and 1981, the Federal Reserve applied a surcharge to short-term adonly a particular depository institution and to advances when an institution is under justment credit borrowings by institutions with deposits of $500 million or more sustained liquidity pressures. See section 201.3(b)(2) of Regulation A. that had borrowed in successive weeks or in more than 4 weeks in a calendar 2. Rates for short-term adjustment credit. For description and earlier data see quarter. A 3 percent surcharge was in effect from Mar. 17, 1980, through May 7, the following publications of the Board of Governors: Banking and Monetary 1980. On Nov. 17, 1980, a 2 percent surcharge was adopted; the surcharge was Statistics, 1914-1941 and 1941-1970; Annual Statistical Digest, 1971-1975, 1972- subsequently raised to 3 percent on Dec. 5,1980 and to 4percent on May 5, 1981. 1976, 1973-1977, and 1974-1978. The surcharge was reduced to 3 percent effective Sept. 2z, 1981 and to 2 percent effective Oct. 12. As of Oct. 1, the formula for applying the surcharge was changed from a calendar quarter to a moving 13-week period. Tne surcharge was eliminated on Nov. 17, 1981. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A8 Domestic Financial Statistics • December 1981 1.15 DEPOSITORY INSTITUTIONS RESERVE REQUIREMENTS1 Percent of deposits Member bank requirements Depository institution requirements before implementation of the after implementation of the TTyyppee ooff ddeeppoossiitt,, aanndd ddeeppoossiitt iinntteerrvvaall Monetary Control Act TTyyppee ooff ddeeppoossiitt,, aanndd Monetary Control Act5 iinn mmiilllliioonnss ooff ddoollllaarrss ddeeppoossiitt iinntteerrvvaall Percent Effective date Percent Effective date Net demand2 Net transaction accounts6 0-2 777 111222///333000///777666 $0-$25 million 333 111111///111333///888000 2-10 999 YYYiii 111222///333000///777666 Over $25 million 111222 111111///111333///888000 10-100 111111333///444 111222///333000///777666 100-400 111222333///444 111222///333000///777666 Nonpersonal time deposits1 Over 400 111666VVV444 111222///333000///777666 By original maturity Less than 4 years 333 111111///111333///888000 Time and savings2-3 4 years or more 000 111111///111333///888000 Savings 333 333///111666///666777 Eurocurrency liabilities Time4 All types 333 111111///111333///888000 0-5, by maturity 30-179 days 333 333///111666///666777 180 days to 4 years 222111///222 111///888///777666 4 years or more 111 111000///333000///777555 Over 5, by maturity 30-179 days 666 111222///111222///777444 180 days to 4 years 222111///222 111///888///777666 4 years or more 111 111000///333000///777555 1. For changes in reserve requirements beginning 1963, see Board's Annual (b) Effective with the reserve maintenance period beginning Oct. 25, 1979, a Statistical Digest, 1971-1975 and tor prior changes, see Board's Annual Report for marginal reserve requirement of 8 percent was added to managed liabilities in 1976, table 13. Under provisions of the Monetary Control Act, depository insti- excess of a base amount. This marginal requirement was increased to 10 percent tutions include commercial banks, mutual savings banks, savings and loan asso- beginning Apr. 3, 1980, was decreased to 5 percent beginning June 12, 1980, and ciations, credit unions, agencies and branches of foreign banks, and Edge Act was reduced to zero beginning July 24, 1980. Managed liabilities are defined as corporations. large time deposits, Eurodollar borrowings, repurchase agreements against U.S. 2. (a) Requirement schedules are graduated, and each deposit interval applies government and federal agency securities, federal funds borrowings from nonto that part of the deposits of each Dank. Demand deposits subject to reserve member institutions, and certain other obligations. In general, the base for the requirements were gross demand deposits minus cash items in process of collection marginal reserve requirement was originally the greater of (a) $100 million or (b) ana demand balances due from domestic banks. the average amount of the managed liabilities neld by a member bank, Edge (b) The Federal Reserve Act as amended through 1978 specified different ranges corporation, or family of U.S. branches and agencies of a foreign bank for the two of requirements for reserve city banks and for other banKs. Reserve cities were statement weeks ending Sept. 26,1979. For the computation period beginning Mar. designated under a criterion adopted effective Nov. 9,1972, by which a bank having 20,1980, the base was lowered by (a) 7 percent or (b) the decrease in an institution's net demand deposits of more than $400 million was considered to have the character U.S. office gross loans to foreigners and gross balances due from foreign offices of business of a reserve city bank. The presence of the head office of such a bank of other institutions between the base period (Sept. 13-26, 1979) and the week constituted designation of that place as a reserve city. Cities in which there were ending Mar. 12,1980, whichever was greater. For the computation period beginning Federal Reserve Banks or branches were also reserve cities. Any banks having net May 29,1980, the base was increased by 7Vi percent above the base used to calculate demand deposits of $400 million or less were considered to have the character of the marginal reserve in the statement week of May 14—21, 1980. In addition, business of oanks outside of reserve cities and were permitted to maintain reserves beginning Mar. 19,1980, the base was reduced to the extent that foreign loans and at ratios set for banks not in reserve cities. balances declined. (c) Effective Aug. 24, 1978, the Regulation M reserve requirements on net 5. For existing nonmember banks and thrift institutions at the time of implebalances due from domestic banks to their foreign branches and on deposits that mentation of the Monetary Control Act, the phase-in period ends Sept. 3, 1987. foreign branches lend to U.S. residents were reduced to zero from 4 percent and For existing member banks the phase-in period is about three years, depending on 1 percent respectively. The Regulation D reserve requirement on borrowings from whether their new reserve requirements are greater or less than the old requireunrelated banks abroad was also reduced to zero from 4 percent. ments. For existing agencies and branches of foreign banks, the phase-in ends Aug. (d) Effective with the reserve computation period beginning Nov. 16, 1978, 12,1982. All new institutions will have a two-year phase-in beginning with the date domestic deposits of Edge corporations were subject to the same reserve require- that they open for business. ments as deposits of member banks. 6. Transaction accounts include all deposits on which the account holder is 3. (a) Negotiable order of withdrawal (NOW) accounts and time deposits such permitted to make withdrawals by negotiable or transferable instruments, payment as Christmas and vacation club accounts were subject to the same requirements as orders of withdrawal, and telephone and preauthorized transfers (in excess of three savings deposits. per month) for the purpose of making payments to third persons or others. (b) The average reserve requirement on savings and other time deposits before 7. In general, nonpersonal time deposits are time deposits, including savings implementation of the Monetary Control Act had to be at least 3 percent, the deposits, that are not transaction accounts and in which the beneficial interest is minimum specified by law. held by a depositor that is not a natural person. Also included are certain trans- 4. (a) Effective Nov. 2, 1978, a supplementary reserve requirement of 2 percent ferable time deposits held by natural persons, and certain obligations issued to was imposed on large time deposits of $100,000 or more, obligations of affiliates, depository institution offices located outside the United States. For details, see and ineligible acceptances. This supplementary requirement was eliminated with section 204.2 of Regulation D. the maintenance period beginning July 24, 1980. NOTE. Required reserves must be held in the form of deposits with Federal Reserve Banks or vault cash. After implementation of the Monetary Control Act, nonmembers may maintain reserves on a pass-through basis with certain approved institutions. NOTE TO TABLE 1.16 NOTE Before Mar. 31, 1980, the maximum rates that could be federally insured commercial banks, mutual savings banks, and savings and loan associations were established by the Board of Governors of the Federal Reserve System, the Board of Directors of the Federal Deposit Insurance Corporation, and the Federal Home Loan Bank Board under the provisions of 12 CFR 217, 329, and 526 respectively. Title II of the Depository Institutions Deregulation and Monetary Control Act of 1980 (P.L. 96-221) transferred the authority of the agencies to establish maximum rates of interest payable on deposits to the Depository Institutions Deregulation Committee. The maximum rates on time deposits in denominations of $100,000 or more with maturities of 30-89 days were suspended in June 1970; such deposits maturing in 90 days or more were suspended in May 1973. For information regarding previous interest rate ceilings on all types of accounts, see earlier issues of the FEDERAL RESERVE BULLETIN, the Federal Home Loan Bank Board Journal, and the Annual Report of the Federal Deposit Insurance Corporation. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Policy Instruments A9 1.16 MAXIMUM INTEREST RATES PAYABLE on Time and Savings Deposits at Federally Insured Institutions Percent per annum Commercial banks Savings and loan associations and mutual savings banks (thrift institutions) Type and maturity of deposit In effect Nov. 30, 1981 Previous maximum In effect Nov. 30, 1981 Previous maximum Effective Percent Effective Percent Effective date date date 2 1 Negotiable order of withdrawal accounts 2 5 51 V /4 4 12 7 /3 /1 1/ / 8 7 0 9 7 1 / / 1 1 / / 7 7 3 4 5 5 V V i * 12 7 /3 /1 1 / / 7 8 9 0 5 5 V4 1 0 /1 /74 Time accounts 3 Fixed ceiling rates by maturity 4 >) 3 14-89 days ™ 5V4 8/1/79 5 7/1/73 (6) 4 90 days to 1 year 53/4 1/1/80 5Vi 7/1/73 6 1/1/80 53/4 0) 5 6 2 1 t t o o 2 2 V y i e y a e rs a r 7 s 7 7/1/73 5 53 V /4 i 1 1 / / 2 2 1 1 / / 7 7 0 0 61/2 (') 6 5 3/4 1 1 / / 2 2 1 1 / / 7 7 0 0 7 8 2 4 V t i o t 6 o y 4 e y a e r a s r 8 s 7 6 7V V 4 i 1 7 1 / / 1 1 / / 7 7 3 3 53/4 1/21/70 6 7 3 V /4 i 11/1/73 ')6 1/21/70 9 6 to 8 years 8 7V4 12/23/74 7V4 11/1/73 73/4 12/23/74 7Vi 11/1/73 10 8 years or more 8 73/4 6/1/78 6/1/78 11 Issued to governmental units (all maturities')10 6/1/78 7% 12/23/74" 6/1/78 73/4 12/23/74 12 Individual retirement accounts and Keogh (H.R. 10) plans (3 years or more) 10'n 6/1/78 73/4 7/6/77 6/1/78 73/4 7/6/77 Special variable ceiling rates by maturity 13 6-month money market time deposits '2 14 12-month all savers certificates 15 2Vi years or more 1. July 1, 1973, for mutual savings banks; July 6, 1973, for savings and loan Bill rate or 4-week Commercial bank ceiling associations. average bill rate 2. For authorized states only, federally insured commercial banks, savings and 7.50 per cent or below 7.75 per cent l a o n a d n N a e s w so c H ia a t m io p n s s h , ir c e o o w p e e r r e a t f i i v r e s t b p a e n r k m s, i tt a e n d d m to u o tu ff a e l r s n a e v g in o g t s i a b b a le n k o s r d in e r M of a s w sa it c h h d u r s a e w tt a s l Above 7.50 per cent V4 of 1 percentage point plus the higher of (NOW) accounts on Jan. 1, 1974. Authorization to issue NOW accounts was ex- the bill rate or 4-week average bill rate tended to similar institutions throughout New England on Feb. 27, 1976, and in Thrift ceiling New York State on Nov. 10, 1978, and in New Jersey on Dec. 28, 1979. Authorization to issue NOW accounts was extended to similar institutions nationwide 7.25 per cent or below 7.75 per cent effective Dec. 31, 1980. Above 7.25 per cent, but below Vi of 1 percentage point plus the higher of 3. For exceptions with respect to certain foreign time deposits see the BULLETIN 8.50 per cent the bill rate or 4-week average bill rate for October 1962 (p. 1279), August 1965 (p. 1084), and February 1968 (p. 167). 8.50 per cent or above, but below 9 per cent 4. Effective Nov. 10, 1980, the minimum notice period for public unit accounts 8.75 per cent at savings and loan associations was decreased to 14 days and the minimum maturity 8.75 per cent or above V4 of 1 percentage point plus the higher of period tor time deposits at savings and loans in excess of $100,000 was decreased the bill rate or 4-week average bill rate to 14 days. Effective Oct. 30, 1980, the minimum maturity or notice period for time deposits was decreased from 30 to 14 days for mutual savings banks. The maximum allowable rates in November for commercial banks and thrifts based 5. Effective Oct. 30, 1980, the minimum maturity or notice period for time on the bill rate were as follows: Nov. 3. 12.971; Nov. 10. 11.76; Nov. 17. 11.222; deposits was decreased from 30 to 14 days for commercial banks. Nov. 24. 11.165. The maximum allowable rates in November for commercial banks 6. No separate account category. and thrifts based on the 4-week average bill rate were as follows: Nov. 3. 13.659; 7. No minimum denomination. Until July 1, 1979, a minimum of $1,000 was Nov. 10. 13.161; Nov. 17. 12.455; Nov. 24. 11.779. required for savings and loan associations, except in areas where mutual savings 14. Effective Oct. 1, 1981, depository institutions are authorized to issue all banks permitted lower minimum denominations. This restriction was removed for savers certificates (ASCs) with a 1-year maturity and an annual investment yield deposits maturing in less than 1 year, effective Nov. 1, 1973. equal to 70 percent of the average investment yield for 52-week U.S. Treasury bills 8. No minimum denomination. Until July 1, 1979, minimum denomination was as determined by the auction of 52-week Treasury bills held immediately before $1,000 except for deposits representing funds contributed to an individual retire- the calendar week in which the certificate is issued. A maximum lifetime exclusion ment account (IRA) or a Keogh (H.R. 10) plan established pursuant to the Internal of $1,000 ($2,000 on a joint return) from gross income is generally authorized for Revenue Code. The $1,000 minimum requirement was removed for such accounts interest income from ASCs. The annual investment yields for ASCs issued in in December 1975 and November 1976 respectively. November (in percent) were as follows: Nov. 10, 10.77; Nov. 29, 8.34. 9. Between July 1, 1973, and Oct. 31, 1973, certificates maturing in 4 years or 15. Effective Aug. 1, 1981, commercial banks may pay interest on any variable more with minimum denominations of $1,000 had no ceiling; however, the amount ceiling nonnegotiable time deposit with an original maturity of 2Vi years to less of such certificates that an institution could issue was limited to 5 percent of its than 4 years at a rate not to exceed Vi of 1 percent below the average 2Vi-year total time and savings deposits. Sales in excess of that amount, as well as certificates weld for U.S. Treasury securities as determined and announced by the Treasury of less than $1,000, were limited to the 6Vi percent ceiling on time deposits maturing Department immediately before the date of deposit. Thrift institutions may pay in 2Vi years or more. Effective Nov. 1, 1973, ceilings were reimposed on certif- interest on these certificates at a rate not to exceed the averate 2Vi -year yield for icates maturing in 4 years or more with minimum denomination of $1,000. There Treasury securities as determined and announced by the Treasury Department is no limitation on the amount of these certificates that banks can issue. immediately before the date of deposit. If the announced average 2'/5-year yield 10. Accounts subject to fixed-rate ceilings. See footnote 8 for minimum denom- for Treasury securities is less than 9.50 percent, commercial banks may pay 9.25 ination requirements. percent and thrift institutions 9.50 percent for these deposits. These deposits have 11. Effective Jan. 1, 1980, commercial banks are permitted to pay the same rate no required minimum denomination, and interest may be compounded on them. as thrifts on IRA and Keogh accounts and accounts of governmental units when The ceiling rates of interest at which they may be offered vary biweekly. The such deposits are placed in the new 2Vi-year or more variable-ceiling certificates maximum allowable rates in November (in percent) for commercial banks were as or in 26-week money market certificates regardless of the level of the Treasury bill follows: Nov. 10, 13.70; Nov. 24. 12.30; and for thrift institutions: Nov. 10, 13.95; rate. Nov. 24. 12.55. 12. Must have a maturity of exactly 26 weeks and a minimum denomination of 16. Between Jan. 1, 1980, and Aug. 1, 1981, commercial banks, and thrift in- $10,000, and must be nonnegotiable. stitutions were authorized to offer variable ceiling nonnegotiable time deposits with 13. Commercial banks ana thrift institutions were authorized to offer money no required minimum denomination and with maturities of 2Vi years or more. market time deposits effective June 1, 1978. These deposits have a minimum de- Effective Jan. 1, 1980, the maximum rate for commercial banks was 3A percentage nomination requirement of $10,000 and a maturity of 26 weeks. The ceiling rate point below the average yield on 2Vi-year U.S. Treasury securities; the ceiling rate of interest on these deposits is indexed to the discount rate (auction average) on for thrift institutions was V4 percentage point higher than that for commercial banks. most recently issued 26-week U.S. Treasury bills. Interest on these certificates may Effective Mar. 1, 1980, a temporary ceiling of ll3/4 percent was placed on these not be compounded. Effective for all 6-month money market certificates issued accounts at commercial banks and 12 percent on these accounts at savings and loan beginning Nov. 1, 1981, depository institutions may pay rates of interest on these associations. Effective June 2, 1980, the ceiling rates for these deposits at comdeposits indexed to the higher of (1) the rate for 26-week Treasury bills established mercial banks and savings and loans was increased Vi percentage point. The temimmediately prior to the date of deposit (bill rate) or (2) the average of the four porary ceiling was retained, and a minimum ceiling of 9.25 percent for commercial rates for 26-week Treasury bills established for the 4 weeks immediately prior to banks and 9.50 percent for thrift institutions was established. the date of deposit (4-week average bill rate). Rate ceilings will be determined as follows: For NOTE see opposite page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A10 Domestic Financial Statistics • December 1981 1.17 FEDERAL RESERVE OPEN MARKET TRANSACTIONS Millions of dollars 1981 TTyyppee ooff ttrraannssaaccttiioonn 11997788 11997799 11998800 Apr. May June July Aug. Sept. Oct. U.S. GOVERNMENT SECURITIES Outright transactions (excluding matched salepurchase transactions) Treasury bills 1 Gross purchases 16,628 15,998 7,668 1,141 790 295 1,325 1,713 1,753 241 2 Gross sales 13,725 6,855 7,331 0 0 90 0 333 945 1,157 3 Exchange 0 0 0 0 0 0 0 0 0 0 4 Redemptions 2,033 2,900 3,389 0 0 0 100 0 500 200 Others within 1 year1 5 Gross purchases 1,184 3,203 912 115 0 0 122 0 0 0 6 Gross sales 0 0 0 0 0 0 0 0 0 0 7 Maturity shift -5,170 17,339 12,427 522 2,900 833 1,073 2,807 628 425 8 Exchange -11,308 -18,251 -261 -1,281 -823 -351 -2,430 -599 0 9 Redemptions 2,600 0 0 0 0 0 0 0 0 1 to 5 years 10 Gross purchases 4,188 2,148 2,138 469 0 0 607 0 0 0 11 Gross sales 0 0 0 0 0 0 0 0 0 0 12 Maturity shift no -12,693 -8,909 -522 -1,724 -833 -1,073 -820 -628 -425 13 Exchange 7,508 13,412 261 681 823 351 1,724 599 0 5 to 10 years 14 Gross purchases 1,526 523 703 164 0 0 64 0 0 0 15 Gross sales 0 0 0 0 0 0 0 0 0 0 16 Maturity shift -4,646 -3,092 0 -1,176 0 0 -1,987 0 0 17 Exchange 2,181 2,970 0 300 0 0 400 0 0 Over 10 years 18 Gross purchases 1,063 454 811 89 0 0 182 0 0 0 19 Gross sales 0 0 0 0 0 0 0 0 0 0 20 Maturity shift 0 -426 0 0 0 0 0 0 0 21 Exchange 1,619 1,869 0 300 0 0 305 0 0 All maturities1 22 Gross purchases 24,591 22,325 12,232 1,977 790 295 2,301 1,713 1,753 241 23 Gross sales 13,725 6,855 7,331 0 0 90 0 333 945 1,157 24 Redemptions 2,033 5,500 3,389 0 0 0 100 0 500 200 Matched transactions 25 Gross sales 511,126 627,350 674,000 37,251 45,658 51,106 69,972 54,329 52,055 58,581 26 Gross purchases 510,854 624,192 675,496 37,295 43,492 52,607 69,309 55,917 51,555 58,372 Repurchase agreements 27 Gross purchases 151,618 107,051 113,902 9,458 1,219 3,509 23,217 7,199 0 s 3,902 28 Gross sales 152,436 106,968 113,040 9,835 1,219 3,509 21,599 8.817 0 3,902 29 Net change in U.S. government securities 7,743 6,896 3,869 1,644 -1,376 1,706 3,155 1,350 -192 -1,325 FEDERAL AGENCY OBLIGATIONS Outright transactions 30 Gross purchases 301 853 668 0 0 0 0 0 0 0 31 Gross sales 173 399 0 0 0 0 0 0 0 0 32 Redemptions 235 134 145 2 26 33 15 Repurchase agreements 33 Gross purchases 40,567 37,321 28,895 1,211 186 691 5,182 864 0 787 34 Gross sales 40,885 36,960 28,863 1,268 186 691 4,822 1,225 0 787 35 Net change in federal agency obligations -426 681 555 -58 0 -26 360 -360 -33 -15 BANKERS ACCEPTANCES 36 Outright transactions, net 0 0 0 0 0 0 0 0 0 0 37 Repurchase agreements, net -366 116 73 -298 0 0 453 -453 0 0 38 Net change in bankers acceptances -366 116 73 298 0 0 453 -453 0 0 39 Total net change in System Open Market Account 6,951 7,693 4,497 1,287 -1,376 1,680 3,968 536 -225 -1,340 1. Both gross purchases and redemptions include special certificates created NOTE. Sales, redemptions, and negative figures reduce holdings of the System when the Treasury borrows directly from the Federal Reserve, as follows (millions Open Market Account; all other figures increase such holdings. Details may not of dollars): March 1979, 2,600. add to totals because of rounding. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Reserve Banks All 1.18 FEDERAL RESERVE BANKS Condition and Federal Reserve Note Statements Millions of dollars Wednesday End of month AAAccccccooouuunnnttt 1981 1981 Oct. 28 Nov. 4 Nov. 11 Nov. 18 Nov. 25 Sept. Oct. Nov. Consolidated condition statement ASSETS 1 Gold certificate account 11,152 11,152 11,152 11,152 11,152 11,152 11,152 11,152 2 Special drawing rights certificate account 3.318 3,318 3,318 3,318 3,318 3,318 3,318 3,318 3 Coin 403 401 402 399 398 400 418 400 Loans 4 To depository institutions 1,885 1.941 2,434 1,444 656 2,486 924 232 5 Other 0 0 0 0 0 0 0 0 Acceptances 6 Held under repurchase agreements 0 664 0 656 164 0 0 744 Federal agency obligations / Bought outright 8,646 8,646 8,646 8,646 9,139 8,661 8,646 9,129 8 Held under repurchase agreements 0 259 0 374 50 0 0 319 U.S. government securities Bought outright 9 Bills 44,095 46,320 46,184 46,837 48,979 46,930 45,605 47,243 10 Notes 59.429 59,429 59,429 59,207 59,207 59,429 59.429 59,207 11 Bonds 17,971 17,971 17,971 18.293 18,293 17,971 17,971 18,293 12 Total1 121,495 123,720 123,584 124,337 126,479 124,330 123,005 124,743 13 Held under repurchase agreements 0 1,276 0 1,575 309 0 0 1,796 14 Total U.S. government securities 121,495 124.996 123,584 125,912 126,788 124,330 123,005 126,539 15 Total loans and securities 132,026 136,506 134,664 137,032 136,797 135,477 132,575 136,963 16 Cash items in process of collection 10,035 10,198 9.525 9,909 9,756 9,824 7,954 7,485 17 Bank premises 491 491 490 493 495 487 491 497 Other assets 18 Denominated in foreign currencies2 5,607 5,717 5,741 5,703 5,727 5,567 5,717 5,998 19 All other3 3.314 4,183 4,198 3,372 3,718 3,243 3,444 3,629 20 Total assets 166,346 171,966 169,490 171,378 171,361 169,468 165,069 169,442 LIABILITIES 21 Federal Reserve notes 125,752 126,648 128.163 128,270 128,865 125,050 125,351 129,086 Deposits 22 Depository institutions 26.138 29,470 24,274 27,166 26,522 27.243 23,672 24,312 23 U.S. Treasury—General account 2,842 3,197 2,720 3,146 2,905 3.520 3,550 3,475 24 Foreign—Official accounts 264 403 280 284 302 420 547 535 25 Other 568 726 631 522 720 843 573 715 26 Total deposits 29,812 33,796 27,905 31,118 30,449 32,026 28,342 29,037 27 Deferred availability cash items 5,951 6,430 8.220 6,605 6,527 7,013 6,264 5,308 28 Other liabilities and accrued dividends4 2,000 2,255 2.158 2,552 2,677 2,440 2,114 2,846 29 Total liabilities 163,515 169,129 166,446 168,545 168,518 166,529 162,071 166,277 CAPITAL ACCOUNTS 30 Capital paid in 1.268 1.268 1,268 1.269 1,269 1,257 1,268 1,270 31 Surplus 1.203 1.203 1,203 1.203 1,203 1,203 1,203 1,203 32 Other capital accounts 360 366 573 361 371 479 527 692 33 Total liabilities and capital accounts 166,346 171,966 169,490 171,378 171,361 169,468 165,069 169,442 34 MEMO: Marketable U.S. government securities held in custody for foreign and international account 90,482 91.154 92,159 94,959 93,999 91,462 90,857 91,787 Federal Reserve note statement 35 Federal Reserve notes outstanding (issued to bank) .... 150,613 150,638 150,530 150,848 150,992 149,794 150,552 150,955 36 LESS: Held by bank5 24,861 23,990 22,367 22.578 22,127 24,744 25,201 21,869 37 Federal Reserve notes, net 125,752 126,648 128,163 128,270 128,865 125,050 125,351 129,086 Collateral for Federal Reserve notes 38 Gold certificate account 11,152 11,152 11,152 11,152 11,152 11,152 11,152 11,152 39 Special drawing rights certificate account 3,318 3,318 3,318 3,318 3,318 3,318 3,318 3,318 40 Other eligible assets 0 0 0 45 0 0 0 57 41 U.S. government and agency securities 111,282 112,178 113,693 113,755 114,395 110,580 110,881 114,559 42 Total collateral 125,752 126,648 128,163 128,270 128,865 125,050 125,351 129,086 1. Includes securities loaned—fully guaranteed by U.S. government securities 3. Includes special investment account at Chicago of Treasury bills maturing pledged with Federal Reserve Banks—and excludes (if any) securities sold and within 90 days. scheduled to be bought back under matched sale-purchase transactions. 4. Includes exchange-translation account reflecting the monthly revaluation at 2. Includes U.S. government securities held under repurchase agreement against market exchange rates of foreign-exchange commitments. receipt of foreign currencies and foreign currencies warehoused for the U.S. Treas- 5. Beginning September 1980, Federal Reserve notes held by the Reserve Bank ury. Assets shown in this line are revalued monthly at market exchange rates. are exempttrom the collateral requirement. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A12 Domestic NonfinancialS tatistics • December 1981 1.19 FEDERAL RESERVE BANKS Maturity Distribution of Loan and Security Holdings Millions of dollars Wednesday End of month TTTyyypppeee aaannnddd mmmaaatttuuurrriiitttyyy gggrrrooouuupppiiinnngggsss 1981 1981 Oct. 28 Nov. 4 Nov. 11 Nov. 18 Nov. 25 Sept. 30 Oct. 30 Nov. 30 1 Loans—Total 1,885 1,941 2,434 1,444 656 2,486 924 232 2 Within 15 days 1,834 1,854 2,353 1,389 641 2,440 843 214 3 16 days to 90 days 51 87 81 55 15 46 81 18 4 91 days to 1 year 0 0 0 0 0 0 0 0 5 Acceptances—Total 0 664 0 656 164 0 0 744 6 Within 15 days 0 664 0 656 164 0 0 744 7 16 days to 90 days 0 0 0 0 0 0 0 0 8 91 days to 1 year 0 0 0 0 0 0 0 0 9 U.S. government securities—Total 121,495 124,996 123,584 125,912 126,788 124,330 123,005 126,539 10 Within 15 days1 4,421 6,838 3,453 6,296 7,553 4,218 2,692 5,190 11 16 days to 90 days 22,648 24,193 25,142 22,487 22,170 24,805 26,464 25,503 12 91 days to 1 year 32,015 31,373 32,397 33,673 33,609 32,896 31,438 32,101 13 Over 1 year to 5 years 34,689 34,870 34,870 35,343 35,343 34,689 34,689 35,632 14 Over 5 years to 10 years 11,519 11,519 11,519 11,587 11,587 11,519 11,519 11,587 15 Over 10 years 16,203 16,203 16,203 16,526 16,526 16,203 16,203 16,526 16 Federal agency obligations—Total 8,646 8,905 8,646 9,020 9,189 8,661 8,646 9,448 17 Within 15 days1 71 259 119 579 259 200 71 518 18 16 days to 90 days 741 805 686 676 599 522 741 719 19 91 days to 1 year 1,465 1,472 1,472 1,396 1,482 1,631 1,465 1,394 20 Over 1 year to 5 years 4,781 4,781 4,781 4,781 5,269 4,730 4,781 5,237 21 Over 5 years to 10 years 1,015 1,015 1,015 1,015 1,007 977 1,015 1,007 22 Over 10 years 573 573 573 573 573 601 573 573 1. Holdings under repurchase agreements are classified as maturing within 15 days in accordance with maximum maturity of the agreements. 1.20 BANK DEBITS AND DEPOSIT TURNOVER Debits are shown in billions of dollars, turnover as ratio of debits to deposit. Monthly data are at annual rates. 1981 BBaannkk ggrroouupp,, oorr ttyyppee ooff ccuussttoommeerr 11997788 11997799 11998800 June July Aug. Sept. Oct. Debits to demand deposits' (seasonally adjusted) 1111 AAAAllllllll ccccoooommmmmmmmeeeerrrrcccciiiiaaaallll bbbbaaaannnnkkkkssss 40,297.8 49,775.0 63.013.4 78.745.3 83,356.8 89,723.4 85,571.0 85,705.8 2222 MMMMaaaajjjjoooorrrr NNNNeeeewwww YYYYoooorrrrkkkk CCCCiiiittttyyyy bbbbaaaannnnkkkkssss 15,008.7 18,512.7 25.192.5 32.262.4 37,282.6 41.877.2 37,477.2 37,144.3 3333 OOOOtttthhhheeeerrrr bbbbaaaannnnkkkkssss 25,289.1 31,262.3 37,820.9 46.482.8 46,074.2 47.846.3 48,093.8 48,561.5 Debits to savings deposits2 (not seasonally adjusted) 4444 AAAATTTTSSSS////NNNNOOOOWWWW3333 17.1 83.3 158.4 808.8 798.2 745.0 820.2 833.4 5555 BBBBuuuussssiiiinnnneeeessssssss4444 56.7 77.3 93.4 113.8 120.6 118.1 122.0 117.2 6666 OOOOtttthhhheeeerrrrssss5555 359.7 515.2 605.3 586.4 605.5 595.5 577.0 581.6 7777 AAAAllllllll aaaaccccccccoooouuuunnnnttttssss 432.9 675.8 857.2 1,509.0 1,524.3 1,458.6 1,519.2 1,532.2 Demand deposit turnover1 (seasonally adjusted) 8 All commercial banks 139.4 163.5 201.6 281.3 296.1 316.8 303.3 303.4 9 Major New York City banks 541.9 646.2 813.7 1,085.4 1,288.6 1,338.1 1,204.4 1,174.1 10 Other banks 96.8 113.3 134.3 185.8 182.4 189.9 191.6 193.6 Savings deposit turnover2 (not seasonally adjusted) 11 ATS/NOW3 7.0 7.8 9.7 15.2 14.7 13.5 14.5 14.6 12 Business4 5.1 7.2 9.3 12.3 13.2 13.5 14.3 14.1 13 Others5 1.7 2.7 3.4 3.7 3.9 3.9 3.9 3.9 14 All accounts 1.9 3.1 4.2 6.9 6.9 6.7 7.1 7.2 1. Represents accounts of individuals, partnerships, and corporations, and of NOTE. Historical data for the period 1970 through June 1977 have been estimated; states and political subdivisions. these estimates are based in part on the debits series for 233 SMS As, which were 2. Excludes special club accounts, such as Christmas and vacation clubs. available through June 1977. Back data are available from Publications Services, 3. Accounts authorized for negotiable orders of withdrawal (NOW) and accounts Division of Administrative Services, Board of Governors of the Federal Reserve authorized for automatic transfer to demand deposits (ATS). ATS data availability System, Washington, D.C. 20551. Debits and turnover data for savings deposits starts with December 1978. are not available before July 1977. 4. Represents corporations and other profit-seeking organizations (excluding commercial banks but including savings and loan associations, mutual savings banks, credit unions, the Export-Import Bank, and federally sponsored lending agencies). 5. Savings accounts other than NOW; business; and, from December 1978. ATS. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Monetary Aggregates A13 1.21 MONEY STOCK MEASURES AND COMPONENTS Billions of dollars, averages of daily figures 1981 Item DD 1199 ee 77 cc 77 .. DD 1199 ee 77 cc 88 .. DD 1199 ee 77 cc 99 .. DD 1199 ee 88 cc 00 .. June July Aug. Sept.' Oct. Seasonally adjusted MEASURES1 1 Ml-A 331.4 354.8 372.7 387.7 361.9 361.4' 362.3' 360.0 360.6 2 Ml-B 336.4 364.2 390.5 415.6 428.8 430.1 432.8' 431.8 433.0 3 M2 1,296.4 1,404.2 1,525.2 1,669.4 1,749.3 1,760.1 1,777.2'' 1,786.8 1,798.8 4 M3 1,462.5 1,625.9 1,775.6 1,965.1 2,079.0 2,094.0 2,117.5'' 2,133.7 2,143.3 5 L2 1,722.7 1,936.8 2,151.7 2,378.4 2,502.8' 2,519.4r 2,552.3 n.a. n.a. COMPONENTS 6 Currency 88.6 97.4 106.1 116.1 119.9 120.8 121.2 121.1 121.4 7 Demand deposits 239.7 253.9 262.8 267.4 237.9 236.4 236.7 234.4 234.7 8 Travelers checks3 3.1 3.5 3.8 4.2 4.2 4.1 4.4' 4.5 4.5 9 Savings deposits 486.5 475.5 416.5 393.0 354.0 349.1 340.7 334.5 329.3 10 Small-denomination time deposits4 453.8 533.3 652.7 756.8 807.7 811.3 821.9' 830.7 841.1 11 Large-denomination time deposits5 145.1 194.0 219.7 256.8 287.3 290.3 296.6 299.9 298.7 Not seasonally adjusted MEASURES1 12 Ml-A 340.1 364.2 382.5 397.7 361.1 363.5 360.8' 360.0 362.0 13 Ml-B 345.1 373.6 400.6 425.9 428.4 432.9 431.3' 432.3 435.1 14 M2 1,299.0 1,409.0 1,531.3 1,675.2 1,751.5 1,765.0 1,773.5 1,783.5 1,800.7 15 M3 1,467.7 1,634.8 1,786.0 1,975.6 2,075.6 2,094.6 2,110.8' 2,128.1 2,144.3 16 L2 1,726.7 1,943.9 2,159.4 2,385.0 2,501.4 2,518.3' 2,543.9 n.a. n.a. COMPONENTS 17 Currency 90.3 99.4 108.3 118.4 119.9 121.4 121.4' 121.0 121.4 18 Demand deposits 247.0 261.5 270.8 275.4 237.0 237.4 234.5 234.4 236.1 19 Travelers checks3 2.9 3.3 3.5 3.9 4.3 4.7 4.8' 4.7 4.5 20 Other checkable deposits6 5.0 9.4 18.2 28.3 67.6 69.7 70.8 72.6 73.5 21 Overnight RPs and Eurodollars7 18.6 23.9 25.4 32.4 39.7 39.2 40.2 36.7 33.0 22 Money market mutual funds 3.8 10.3 43.6 75.8 122.8 134.3 145.4 157.0 166.4 23 Savings deposits 483.1 472.6 413.9 390.2 355.4 352.9 343.7 337.3 332.6 24 Small-denomination time deposits4 451.3 531.7 651.4 755.2 808.9 809.6 816.8 824.2 837.6 25 Large-denomination time deposits5 147.7 198.1 223.9 261.4 281.6 286.0 293.6' 297.6 297.7 1. Composition of the money stock measures is as follows: 4. Small-denomination time deposits are those issued in amounts of less than Ml-A: Averages of daily figures for (1) demand deposits at all commercial banks $100,000. other than those due to domestic banks, the U.S. government, and foreign banks 5. Large-denomination time deposits are those issued in amounts of $100,000 and official institutions less cash items in the process of collection ana Federal or more and are net of the holdings of domestic banks, thrift institutions, the U.S. Reserve float; (2) currency outside the Treasury, Federal Reserve Banks, and the government, money market mutual funds, and foreign banks and official instituvaults of commercial banks; and (3) travelers checks of nonbank issuers. tions. Ml-B: Ml-A plus negotiable order of withdrawal (NOW) and automatic transfer 6. Includes ATS and NOW balances at all institutions, credit union share draft service (ATS) accounts at banks and thrift institutions, credit union share draft balances, and demand deposits at mutual savings banks. accounts, ana demand deposits at mutual savings banks. 7. Overnight (and continuing contract) RPs are those issued by commercial M2: Ml-B plus savings and small-denomination time deposits at all depository banks to the nonbank public, and overnight Eurodollars are those issued by Cainstitutions, overnight repurchase agreements at commercial banks, overnight Eu- ribbean branches of member banks to U.S. nonbank customers. rodollars held by U.S. residents other than banks at Caribbean branches of member banks, and money market mutual fund shares. NOTE. Latest monthly and weekly figures are available from the Board's H.6(508) M3: M2 plus large-denomination time deposits at all depository institutions and release. Back data are available from the Banking Section, Division of Research term RPs at commercial banks and savings and loan associations. and Statistics. 2. L: M3 plus other liquid assets such as term Eurodollars held by U.S. residents other than banks, bankers acceptances, commercial paper, Treasury bills and other liquid Treasury securities, and U.S. savings bonds. 3. Outstanding amount of U.S. dollar-denominated travelers checks of nonbank issuers. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A14 Domestic NonfinancialS tatistics • December 1981 1.22 AGGREGATE RESERVES OF DEPOSITORY INSTITUTIONS AND MEMBER BANK DEPOSITS1 Billions of dollars, averages of daily figures 1981 IItteemm D 19 e 7 c 8 . D 19 e 7 c 9 . D 19 e 8 c 0 . Feb. Mar. Apr. May June July Aug. Sept. Oct. Seasonally adjusted 1 Total reserves2 41.16 43.46 40.13 39.88 40.19 40.32 40.76 40.75 41.00 41.48 41.12 40.76 2 Nonborrowed reserves 40.29 41.98 38.44 38.58 39.19 38.99 38.54 38.72 39.32 40.06 39.67 39.58 3 Required reserves 40.93 43.13 39.66 39.61 39.94 40.20 40.59 40.50 40.75 41.28 40.80 40.57 4 Monetary base3 142.0 153.6 159.5 160.4 161.2 162.2 163.5 163.7 164.8 165.7 164.6 164.5 5 Member bank deposits subject to reserve requirements4 616.1 644.5 701.8 704.3 703.4 711.3 715.1 720.8 728.2 740.2 744.6 748.9 6 Time and savings 428.7 451.2 504.0 523.4 524.7 531.1 538.1 545.6 553.8 565.3 570.9 574.9 Demand 7 Private 185.1 191.5 195.9 178.8 176.7 177.4 174.7 173.3 172.2 172.6 171.5 172.0 8 U.S. government 2.2 1.8 1.9 2.1 2.0 2.8 2.3 1.9 2.2 2.3 2.1 2.1 Not seasonally adjusted 9 Monetary base3 144.6 156.2 162.4 158.8 159.5 161.6 162.6 163.3 165.4 165.4 163.9 164.3 10 Member bank deposits subject to reserve requirements4 624.0 652.7 710.3 701.5 702.9 713.5 710.0 719.7 727.7 734.7 741.6 748.3 11 Time and savings 429.6 452.1 505.0 524.9 527.8 531.6 538.1 545.0 552.7 562.5 568.1 573.7 Demand 12 Private 191.9 198.6 203.2 174.5 173.0 178.9 169.8 172.2 173.0 170.3 171.0 172.7 13 U.S. government 2.5 2.0 2.1 2.1 2.1 3.0 2.1 2.5 2.0 1.9 2.5 1.9 1. Reserves of depository institutions series reflect actual reserve requirement requirement against large time deposits were removed. These actions reduced percentages with no adjustment to eliminate the effect of changes in Regulations required reserves about $3.2 billion. D and M. Before Nov. 13, 1980, the date of implementation of the Monetary 2. Reserve balances with Federal Reserve Banks plus vault cash at institutions Control Act, only the reserves of commercial banks that were members of the with required reserve balances plus vault cash equal to required reserves at other Federal Reserve System were included in the series. Since that date the series institutions. include the reserves of all depository institutions. In conjunction with the imple- 3. Includes reserve balances at Federal Reserve Banks in the current week plus mentation of the act, required reserves of member banks were reduced about $4.3 vault cash held two weeks earlier used to satisfy reserve requirements at all billion and required reserves of other depository institutions were increased about depository institutions plus currency outside the U.S. Treasury, Federal Reserve $1.4 billion. Effective Oct. 11, 1979, an 8 percentagepoint marginal reserve re- Banks, the vaults of depository institutions, and surplus vault cash at depository quirement was imposed on "Managed Liabilities. This action raised required institutions. reserves about $320 million. Effective Mar. 12, 1980, the 8 percentage point mar- 4. Includes total time and savings deposits and net demand deposits as defined ginal reserve requirement was raised to 10 percentage points. In addition the base by Regulation D. Private demand deposits include all demand deposits except upon which the marginal reserve requirement was calculated was reduced. This those due to the U.S. government, less cash items in process of collection and action increased required reserves about $1.7 million in the week ending Apr. 2, demand balances due from domestic commercial banks. 1980. Effective May 29, 1980, the marginal reserve requirement was reduced from 10 to 5 percentage points and the base upon which the marginal reserve requirement NOTE. Latest monthly and weekly figures are available from the Board's H.3(502) was calculated was raised. This action reduced required reserves about $980 million statistical release. Back data and estimates of the impact on required reserves and in the week ending June 18, 1980. Effective July 24, 1980, the 5 percent marginal changes in reserve requirements are available from the Banking Section, Division reserve requirement on managed liabilities and the 2 percent supplementary reserve of Research and Statistics. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Monetary Aggregates A15 1.23 LOANS AND SECURITIES All Commercial Banks1 Billions of dollars; averages of Wednesday figures _ 1981 1981 1978 1979 1980 1978 1979 1980 Dec. Dec. Dec/ Dec. Dec. Dec/ Sept.r Oct/ Sept.r Oct/ Seasonally adjusted Not seasonally adjusted 1 Total loans and securities2 1,013.43 1,134.64 1,237.0s 1,317.6 1,327.3 1,022.53 M45.04 1,248.7s 1,319.5 1,329.3 2 U.S. Treasury securities 93.3 93.8 110.6 117.6 117.1 94.5 95.0 112.1 115.6 114.4 3 Other securities 173.23 191.8 213.9 224.1 227.2 173.93 192.6 214.8 224.1 227.5 4 Total loans and leases2 746.93 848.94 912.5s 976.0 983.0 754.23 857.44 921.8s 979.9 987.4 5 Commercial and industrial loans 246.I6 291.I4 324.95 357.7 361.8 47.76 293.04 327.1s 357.6 361.5 6 Real estate loans 210.5 241.34 260.65 277.4 279.0 210.9 241.84 261.1s 278.8 280.4 7 Loans to individuals 164.7 184.9 175.2 174.0 174.2 165.6 186.0 176.2 176.1 176.1 8 Security loans 19.3 18.6 17.6 18.4 18.7 20.6 19.8 18.8 18.5 18.9 9 Loans to nonbank financial institutions .. 27.18 28.84 28.7s 29.2 29.2 27.6s 29.34 29.2s 29.7 29.3 10 Agricultural loans 28.2 31.1 31.6 32.9 33.0 28.1 30.9 31.4 33.5 33.4 11 Lease financing receivables 7.5 9.3 10.9 12.5 12.6 7.5 9.3 10.9 12.5 12.6 12 All other loans 43.63 44.0 63.0 73.9 74.5 46.23 47.3 67.1 73.2 75.1 MEMO: 13 Total loans and securities plus loans sold2,9 . 11,,001177..1133 11,,113377..66441100 11,,223399..88ss 1,320.3 1,330.0 11..002266..2233 11..114488..0044 1100 11,,225511..44ss 1,322.2 1,332.0 14 Total loans plus loans sold2'9 750.63 851.94,10 915.2s 978.7 985.7 757.93 860.44-10 924.5s 982.6 990.1 15 Total loans sold to affiliates9 3.7 3.08,10 2.7 2.7 2.7 3.7 3.08,10 2.7 2.7 2.7 16 Commercial and industrial loans plus loans sold9 248.06,11 293.14,10 326.7s 359.8 363.8 249.66'11 295.04-10 332288..99ss 359.6 363.6 17 Commercial and industrial loans sold9 ... 1.9n 2.010 1.8 2.0 2.0 1.9" 2.010 1.8 2.0 2.0 18 Acceptances held 6.6 8.2 8.2 9.2 9.4 7.3 9.1 8.8 8.8 9.3 19 Other commercial and industrial loans... 239.5 282.9 316.8 348.5 352.3 240.4 283.9 318.3 348.8 352.3 20 To U.S. addressees12 226.0 264.1 295.2 321.6 325.2 225.9 264.1 295.2 322.1 325.5 21 To non-U.S. addressees 13.5 18.8 21.6 26.9 27.1 14.5 19.8 23.1 26.7 26.8 22 Loans to foreign banks 21.5 18.5 23.2 24.8 24.5 23.2 20.0 24.9 24.6 24.0 1. Includes domestically chartered banks; U.S. branches and agencies of foreign 8. As of Dec. 1, 1978, nonbank financial loans were reduced $0.1 billion as the banks, New York investment companies majority owned by foreign banks, and result of reclassification. Edge Act corporations owned by domestically chartered and foreign banks. 9. Loans sold are those sold outright to a bank's own foreign branches, non- 2. Excludes loans to commercial banks in the United States. consolidated nonbank affiliates of the bank, the bank's holding company (if not a 3. As of Dec. 31, 1978, total loans and securities were reduced by $0.1 billion. bank), and nonconsolidated nonbank subsidiaries of the holding company. "Other securities" were increased by $1.5 billion and total loans were reduced by 10. As of Dec. 1, 1979, loans sold to affiliates were reduced $800 million and $1.6 billion largely as the result of reclassifications of certain tax-exempt obligations. commercial and industrial loans sold were reduced $700 million due to corrections Most of the loan reduction was in "all other loans." of two banks in New York City. 4. As of Jan. 3, 1979, as the result of reclassifications, total loans and securities 11. As of Dec. 31, 1978, commercial and industrial loans sold outright were and total loans were increased by $0.6 billion. Business loans were increased by increased $0.7 billion as the result of reclassifications, but $0.1 billion of this amount $0.4 billion and real estate loans by $0.5 billion. Nonbank financial loans were was offset by a balance sheet reduction of $0.1 billion as noted above. reduced by $0.3 billion. 12. United States includes the 50 states and the District of Columbia. 5. Absorption of a nonbank affiliate by a large commercial bank added the following to February figures: total loans and securities, $1.0 billion; total loans NOTE. Data are prorated averages of Wednesday estimates for domestically and leases, $1.0 billion; commercial and industrial loans, $.5 billion; real estate chartered banks, based on weekly reports of a sample of domestically chartered loans, $.1 billion; nonbank financial, $.1 billion. banks and quarterly reports of all domestically chartered banks. For foreign-related 6. As of Dec. 31,1978, commercial and industrial loans were reduced $0.1 billion institutions, data are averages of month-end estimates based on weekly reports as a result of reclassifications. from large agencies and branches and quarterly reports from all agencies, branches, 7. An accounting procedure change by one bank reduced commercial and in- investment companies, and Edge Act corporations engaged in banking. Data have dustrial loans by $0.1 billion as of Apr. 1, 1981. been revised for the June 1981 call report for foreign-related institutions. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A16 Domestic NonfinancialS tatistics • December 1981 1.24 MAJOR NONDEPOSIT FUNDS OF COMMERCIAL BANKS1 Monthly averages, billions of dollars December outstanding Outstanding in 1981 SSoouurrccee 1978 1979 1980r Feb/ Mar/ Apr/ May' Juner July' Aug/ Sept/ Oct. Total nondeposit funds 1 Seasonally adjusted2 91.2 121.1 121.7 124.0 119.2 112.5 120.1 123.8 122.8 124.7 122.5 118.9 2 Not seasonally adjusted 90.2 119.8 121.1 123.3 118.9 112.0 124.4 124.6 123.5 127.7 126.6 119.8 Federal funds, RPs, and other borrowings from nonbanks3 3 Seasonally adjusted 80.7 90.0 110.8 113.0 112.9 110.5 108.8 115.5 114.6 112.2 111.0 112.0 4 Not seasonally adjusted 79.7 88.7 110.2 112.2 112.7 110.1 113.1 116.2 115.3 115.2 115.2 112.8 5 Net balances due to foreign-related institutions, not seasonally adjusted 6.8 28.1 8.2 8.3 3.5 -0.7 8.5 5.5 5.5 9.9 8.7 4.2 6 Loans sold to affiliates, not seasonally adjusted4,5 3.7 3.0 2.7 2.8 2.8 2.7 2.8 2.9 2.7 2.6 2.7 2.7 MEMO 7 Domestically chartered banks net positions with own foreign branches, not seasonally adjusted6 -10.2 6.5 -14.7 -14.7 -17.0 -21.3 -13.6 -14.6 -14.6 -10.2 -12.3 -15.4 8 Gross due from balances 24.9 22.8 37.5 36.3 38.8 43.0 43.4 42.5 45.0 43.7 44.5 45.5 9 Gross due to balances 14.7 29.3 22.8 21.6 21.8 21.7 29.8 27.8 30.4 33.5 32.2 30.1 10 Foreign-related institutions net positions with directly related institutions, not seasonally adjusted7 17.0 21.6 22.9 23.0 20.5 20.5 22.1 20.1 20.2 20.1 21.0 19.7 11 Gross due from balances 14.3 28.9 32.5 31.8 31.9 33.8 34.9 35.6 33.8 33.9 35.0 33.8 12 Gross due to balances 31.3 50.5 55.4 54.8 52.4 54.3 57.0 55.7 53.9 54.0 56.0 53.4 Security RP borrowings 13 Seasonally adjusted® 45.0 49.7 65.0 68.1 68.2 68.3 65.7 72.4 71.4 68.8 67.2 69.2 14 Not seasonally adjusted 43.8 48.4 63.3 66.2 66.8 66.8 69.0 72.0 71.0 70.7 70.2 68.9 U.S. Treasury demand balances9 15 Seasonally adjusted 8.7 8.9 8.4 8.2 11.7 12.3 14.2 10.9 11.8 9.1 8.8 12.3 16 Not seasonally adjusted 10.3 9.7 9.0 8.1 10.3 12.1 12.3 12.4 10.7 7.4 11.1 13.5 Time deposits, $100,000 or more10 17 Seasonally adjusted 213.0 227.1 265.8 282.5 281.1 284.3 294.8 303.6 312.4 321.9 324.7 323.3 18 Not seasonally adjusted 217.9 232.8 272.4 287.0 285.9 283.7 293.6 298.4 304.6 314.5 319.8 322.1 1. Commercial banks are those in the 50 states and the District of Columbia 4. Loans initially booked by the bank and later sold to affiliates that are still with national or state charters plus agencies and branches of foreign banks, New held by affiliates. Averages of Wednesday data. York investment companies majority owned by foreign banks, and Edge Act cor- 5. As of Dec. 1, 1979, loans sold to affiliates were reduced $800 million due to porations owned by domestically chartered and foreign banks. corrections of two New York City banks. 2. Includes seasonally adjusted federal funds, RPs, and other borrowings from 6. Averages of daily figures for member and nonmember banks. Before October nonbanks and not seasonally adjusted net Eurodollars and loans to affiliates. In- 1980 nonmember banks were interpolated from quarterly call report data. cludes averages of Wednesday data for domestically chartered banks and averages 7. Includes averages of current and previous month-end data until August 1979; of current and previous month-end data for foreign-related institutions. beginning September 1979 averages of daily data. 3. Other borrowings are borrowings on any instrument, such as a promissory 8. Based on daily average data reported by 122 large banks beginning February note or due bill, given for the purpose of borrowing money for the banking business. 1980 and 46 banks before February 1980. This includes borrowings from Federal Reserve Banks and from foreign banks, 9. Includes U.S. Treasury demand deposits and Treasury tax-and-loan notes at term federal funds, overdrawn due from bank balances, loan RPs, and participa- commercial banks. Averages of daily data. tions in pooled loans. Includes averages of daily figures for member banks and 10. Averages of Wednesday figures. averages of current and previous month-end data for foreign-related institutions. After October 1980, movement in federal funds, RPs, and other borrowings from NOTE. Data for Eurodollars have been benchmarked to the June 1981 call report nonbanks is based on fluctuations in security RPs, borrowings from unaffiliated for foreign-related institutions. foreign sources and federal reserve banks and federal funds purchased from federal agencies. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Commercial Banks A17 1.25 ASSETS AND LIABILITIES OF COMMERCIAL BANKING INSTITUTIONS Last-Wednesday-of-Month Series Billions of dollars except for number of banks 1981 Account Feb. Apr. May July Aug. Sept DOMESTICALLY CHARTERED COMMERCIAL BANKS1 1 Loans and securities, excluding interbank 1,166.0 1,167.0 1,169.5 1,187.8 1.194.6 1,205.3 1,213.2 1,220.6 1,241.8 1,239.2 1.249.1 2 Loans, excluding interbank 840.2 839.0 840.6 855.4 862.4 872.2 879.2 886.8 904.4 900.9 911.3 3 Commercial and industrial 277.6 276.3 277.5 285.4 287.9 293.1 295.8 299.0 306.1 306.1 310.2 4 Other 562.6 562.7 563.1 570.1 574.5 579.1 583.4 587.9 598.3 594.9 601.1 5 U.S. Treasury securities 112.0 113.7 112.9 115.8 114.9 116.1 115.8 114.0 112.4 112.7 109.3 6 Other securities 213.8 214.3 216.0 216.6 217.3 216.9 218.2 219.8 225.0 225.6 228.5 7 Cash assets, total 159.3 165.9 167.9 181.8 180.3 169.8 161.1 173.2 195.3 154.8 168.1 8 Currency and coin 18.7 18.6 17.8 18.8 19.5 19.1 19.6 20.2 19.3 19.8 18.4 9 Reserves with Federal Reserve Banks 25.2 30.4 31.8 38.3 25.2 25.4 27.0 25.4 26.8 25.3 26.1 10 Balances with depository institutions . 54.9 54.6 55.1 57.3 62.0 60.7 56.8 66.0 73.6 54.1 57.1 11 Cash items in process of collection ... 60.5 62.3 63.3 73.6 64.6 57.7 61.6 75.6 55.5 66.5 67.4 12 Other assets2 155.8 160.1 163.4 158.8 168.6 158.8 164.2 180.0 171.1 190.0 167.7 13 Total assets/total liabilities and capital... 1,481.0 1,493.0 1,500.9 1.533.7 1,543.7 1,533.2 1,557.9 1,617.1 1,565.1 1.607.2 1,537.3 14 Deposits 1,128.7 1,132.0 1,136.5 1,170.3 1,165.9 1,160.8 1,182.2 1,225.6 1,178.1 1,208.1 15 Demand 351.1 345.5 345.3 1,151.7 360.7 350.9 333.6 342.5 378.1 324.1 340.0 16 Savings 211.9 214.3 220.5 356.8 220.9 220.7 219.8 218.0 217.6 215.0 218.9 17 Time 565.7 572.3 570.7 222.7 588.7 594.3 607.3 621.7 629.9 639.1 649.3 572.2 18 Borrowings 156.4 163.2 163.8 179.5 155.7 169.3 159.3 163.7 175.8 173.3 177.9 19 Other liabilities 76.7 80.3 80.6 81.8 82.3 81.8 86.3 89.8 91.5 89.4 95.3 20 Residual (assets less liabilities) 119.3 117.5 120.0 124.3 125.4 126.7 126.7 122.1 124.3 124.3 126.0 MEMO: 21 U.S. Treasury note balances included in borrowing 9.5 8.5 10.2 16.9 5.5 17.4 7.2 6.9 15.3 13.9 5.6 22 Number of banks 14,689 14,696 14,701 14,713 14,719 14,719 14,719 14,720 14,720 14,740 14,743 ALL COMMERCIAL BANKING INSTITUTIONS3 23 Loans and securities, excluding interbank 1,253.8 1,290.7 24 Loans, excluding interbank 920.9 953.3 25 Commercial and industrial 329.3 343.2 26 Other 591.6 610.1 27 U.S. Treasury securities 115.2 118.5 28 Other securities 217.7 218.9 29 Cash assets, total 193.6 211.5 30 Currency and coin 17.8 19.1 31 Reserves with Federal Reserve Banks 32.7 26.6 32 Balances with depository institutions . 77.9 98.2 33 Cash items in process of collection ... 65.3 67.6 34 Other assets2 225.5 234.3 35 Total assets/total liabilities and capital... 1,673.0 1,736.5 n.a. 36 Deposits 1,190.6 1,236.7 37 Demand 367.4 389.4 38 Savings 220.7 220.9 39 Time 602.5 626.4 40 Borrowings 223.3 230.6 41 Other liabilities 137.2 140.7 42 Residual (assets less liabilities) 121.9 128.6 MEMO: 43 U.S. Treasury note balances included in borrowing 10.2 17.4 44 Number of banks 15,147 15,188 1. Domestically chartered commercial banks include all commercial banks in the NOTE. Figures are partly estimated. They include all bank-premises subsidiaries United States except branches of foreign banks; included are member and non- and other significant majority-owned domestic subsidiaries. Data for domestically member banks, stock savings banks, and nondeposit trust companies. chartered commercial banks are for the last Wednesday of the month; data for 2. Other assets include loans to U.S. commercial banks. other banking institutions are for the last day of the quarter. 3. Commercial banking institutions include domestically chartered commercial banks, branches and agencies of foreign banks, Edge Act and Agreement corporations, and New York State foreign investment corporations. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A18 Domestic NonfinancialS tatistics • December 1981 1.26 ALL LARGE WEEKLY REPORTING COMMERCIAL BANKS with Domestic Assets of $750 Million or More on December 31, 1977, Assets and Liabilities Millions of dollars, Wednesday figures 1981 AAccccoouunntt Sept. 30 Oct. 7 Oct. 14 Oct. 21 Oct. 28P Nov. 4p Nov. 11? Nov. 18? Nov. 25P 1 Cash items in process of collection 62,215 47,086 58,827 47,022 44,640 5544,,223366 5522,,339966 5522,,222288 5533,,008833 2 Demand deposits due from banks in the United States 25,722 6,930 7,207 6,539 7,020 7,386 7,096 7,097 6,458 3 All other cash and due from depository institutions.. 33,370 25,826 34,414 38,282 32,766 35,241 32,327 33,837 33,155 4 Total loans and securities 596,728 594,495 594,214 593,666 585,737 595,650 595,797 597,708 598,281 Securities 5 U.S. Treasury securities 37,780 38,363 37,826 37,668 38,417 37,523 36,620 36,912 36,605 6 Trading account 6,136 6,601 6,338 6,219 6,906 6,291 5,797 6,312 6,232 7 Investment account, by maturity 31,644 31,762 31,488 31,450 31,511 31,232 30,824 30,600 30,373 8 One year or less 9,658 9,704 9,597 9,548 9,632 9,630 9,471 9,175 9,028 9 Over one through five years 18,476 18,475 18,304 18,332 18,281 18,000 17,820 17,923 17,932 10 Over five years 3,509 3,583 3,586 3,569 3,598 3,603 3,533 3,502 3,413 11 Other securities 79,574 78,304 78,119 77,964 78,035 80,727 79,279 79,437 79,317 12 Trading account 4,279 2,985 2,622 2,430 2,327 4,746 3,052 3,217 2,983 13 Investment account 75,295 75,319 75,497 75,534 75,708 75,980 76,227 76,220 76,334 14 U.S. government agencies 16,086 16,183 16,096 16,173 16,143 16,184 16,273 16,435 16,468 15 States and political subdivisions, by maturity.... 56,370 56,286 56,527 56,540 56,722 56,924 57,020 56,888 56,966 16 One year or less 7,899 7,989 7,959 8,024 8,007 8,288 8,328 8,310 8,262 17 Over one year 48,470 48,297 48,568 48,516 48,715 48,635 48,692 48,577 48,704 18 Other bonds, corporate stocks and securities.... 2,839 2,849 2,873 2,821 2,843 2,873 2,935 2,897 2,899 Loans 19 Federal funds sold1 32,973 33,963 33,012 31,717 28,262 30,673 34,239 34,280 32,541 20 To commercial banks 24,077 22,917 24,390 23,504 19,270 22,358 25,435 25,252 23,233 21 To nonbank brokers and dealers in securities 6,898 7,496 6,472 6,179 5,827 6,000 6,557 7,370 7,375 22 To others 1,997 3,550 2,149 2,034 3,165 2,315 2,247 1,657 1,933 23 Other loans, gross 458,607 456,182 457,613 458,704 453,427 459,153 458,094 459,541 462,297 24 Commercial and industrial 188,008 188,114 188,358 188,361 187,334 189,794 188,879 189,638 190,021 25 Bankers acceptances and commercial paper 3,739 3,444 3,664 3,692 3,560 3,976 3,827 3,562 3,732 26 All other 184,269 184,670 184,694 184,669 183,774 185,819 185,051 186,077 186,288 27 U.S. addressees 177,002 177,244 177,236 177,253 176,482 178,544 177,826 178,878 178,929 28 Non-U.S. addressees 7,267 7,426 7,458 7,416 7,293 7,275 7,225 7,198 7,360 29 Real estate 121,669 121,827 122,176 122,400 122,578 122,795 123,166 123,595 123,771 30 To individuals for personal expenditures 73,019 73,035 73,064 73,053 73,242 73,218 73,246 73,299 7733,,558844 To financial institutions 31 Commercial banks in the United States 6,868 6,477 6,897 6,726 6,502 6,949 6,709 7,004 7,044 32 Banks in foreign countries 10,414 9,868 10,408 9,676 9,380 9,212 9,368 9,437 9,576 33 Sales finance, personal finance companies, etc .. 10,429 10,281 10,318 10,183 9,802 10,231 10,016 10,050 10,100 34 Other financial institutions 15,871 16,066 15,973 15,854 15,617 15,808 16,052 15,971 15,903 35 To nonbank brokers and dealers in securities 7,595 6,977 5,626 4,996 5,870 6,945 6,987 6,434 8,000 36 To others for purchasing and carrying securities2 .. 2,606 2,590 2,595 2,619 2,613 2,610 2,645 2,625 2,624 37 To finance agricultural production 5,976 5,976 5,986 5,929 5,904 5,877 5,863 5,847 5,781 38 All other 16,151 14,971 16,211 18,905 14,585 15,714 15,162 15,640 15,892 39 LESS: Unearned income 5,850 5,932 5,967 5,967 5,970 5,905 5,894 5,904 5,911 40 Loan loss reserve 6,357 6,384 6,389 6,420 6,435 6,521 6,542 6,557 6,568 41 Other loans, net 446,400 443,866 445,256 446,316 441,023 446,727 445,658 447,080 449,817 42 Lease financing receivables 10,581 10,557 10,563 10,573 10,628 10,643 10,632 10,680 10,678 43 All other assets 96,122 97,085 97,278 92,707 93,761 102,181 98,952 99,586 99,529 44 Total assets 824,737 781,979 802,503 788,788 774,553 805,338 797,200 801,138 801,184 Deposits 45 Demand deposits 209,248 169,147 182,831 167,603 163,383 181,999 171,474 173,444 172,888 46 Mutual savings banks 691 762 712 608 592 816 631 599 529 47 Individuals, partnerships, and corporations 135,865 127,244 137,064 127,764 123,690 135,089 128,770 128,906 129,999 48 States and political subdivisions 5,136 4,661 4,425 4,417 4,140 4,734 4,215 4,462 4,835 49 U.S. government 2,199 1,662 1,417 1,167 1,567 3,022 1,236 2,801 1,836 50 Commercial banks in the United States 44,137 18,552 21,350 18,665 18,025 21,386 20,382 19,005 19,648 51 Banks in foreign countries 10,788 8,014 9,315 7,894 8,211 8,379 7,406 8,091 8,018 52 Foreign governments and official institutions 1,584 1,054 884 931 1,216 1,152 1,561 1,026 875 53 Certified and officers' checks 8,848 7,198 7,662 6,157 5,941 7,422 7,274 8,554 7,148 54 Time and savings deposits 349,197 354,145 352,540 350,895 350,802 351,082 351,986 354,118 357,571 55 Savings 75,396 76,032 75,478 75,096 74,568 75,987 75,902 75,974 75,716 56 Individuals and nonprofit organizations 71,893 72,436 71,937 71,591 71,066 72,484 72,334 72,319 7722,,004400 57 Partnerships and corporations operated for profit 2,935 2,959 2,945 2,939 2,954 2,955 2,985 2,957 3,011 58 Domestic governmental units 546 615 574 544 525 523 558 675 634 59 All other 22 22 22 22 22 25 24 24 30 60 Time 273,801 278,114 277,063 275,799 276,234 275,096 276,085 278,143 281,856 61 Individuals, partnerships, and corporations 240,289 244,318 243,345 242,125 242,838 241,910 242,488 244,073 246,811 62 States and political subdivisions 19,206 19,329 19,470 19,505 19,477 19,490 19,694 19,947 20,302 63 U.S. government 209 209 228 250 238 233 272 270 267 64 Commercial banks in the United States 8,870 9,043 8,869 8,802 8,594 8,585 8,765 88,,886699 99,,441199 65 Foreign governments, official institutions, and banks 5,227 5,215 5,151 5,117 5,087 4,878 44,,886655 44,,998833 55,,005566 Liabilities for borrowed money 66 Borrowings from Federal Reserve Banks 1,412 854 1,839 2,398 953 1,385 1,890 1,027 446 67 Treasury tax-and-loan notes 12,082 5,071 6,501 9,577 9,865 4,581 3,417 3,139 3,088 68 All other liabilities for borrowed money3 125,822 128,690 135,453 132,114 124,758 135,908 114411,,884422 113399,,666622 113366,,775588 69 Other liabilities and subordinated notes and debentures 73,714 70,745 69,913 72,575 71,238 76,479 72,626 76,015 76,864 70 Total liabilities 771,476 728,652 749,077 735,161 721,000 751,435 743,235 747,405 747,615 71 Residual (total assets minus total liabilities)4 53,262 53,327 53,426 53,627 53,553 53,903 53,965 53,732 53,569 1. Includes securities purchased under agreements to resell. 4. Not a measure of equity capital for use in capital adequacy analysis or for 2. Other than financial institutions and brokers and dealers. other analytic uses. 3. Includes federal funds purchased and securities sold under agreements to repurchase; for information on these liabilities at banks with assets of $1 billion or more on Dec. 31, 1977, see table 1.13. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Weekly Reporting Banks A19 1.27 LARGE WEEKLY REPORTING COMMERCIAL BANKS with Domestic Assets of $1 Billion or More on December 31, 1977, Assets and Liabilities Millions of dollars, Wednesday figures 1981 AAccccoouunntt Sept. 30 Oct. 7 Oct. 14 Oct. 21 Oct. 28p Nov. 4P Nov. IIP Nov. 18? Nov. 25 p 1 Cash items in process of collection 59,069 44,210 54,969 43,903 41,972 51,061 49,331 49,448 49,938 2 Demand deposits due from banks in the United States 25,085 6,342 6,591 5,959 6,444 6,593 6,415 6,463 5,883 3 All other cash and due from depository institutions.. 31,131 23,955 32,029 35,943 30,529 33,280 30,346 31,720 30,909 4 Total loans and securities 557,826 555,115 555,020 554,737 546,949 555,899 556,138 557,874 558,387 Securities 5 U.S. Treasury securities 34,319 34,995 34,348 34,255 35,014 34,117 33,176 33,532 33,269 6 Trading account 6,021 6,515 6,247 6,148 6,826 6,194 5,690 6,193 6,099 7 Investment account, by maturity 28,298 28,480 28,101 28,107 28,188 27,924 27,486 27,340 27,171 8 One year or less 8,700 8,813 8,602 8,608 8,723 8,699 8,507 8,235 8,092 9 Over one through five years 16,400 16,396 16,224 16,241 16,178 15,934 15,758 15,910 15,966 10 Over five years 3,197 3,270 3,274 3,258 3,287 3,291 3,221 3,194 3,112 11 Other securities 73,179 71,962 71,735 71,586 71,658 74,335 72,861 72,986 72,840 12 Trading account 4,113 2,928 2,556 2,364 2,253 4,660 2,946 3,108 2,858 13 Investment account 69,066 69,034 69,178 69,222 69,405 69,675 69,915 69,877 69,983 14 U.S. government agencies 14,911 14,980 14,925 14,995 14,975 14,990 15,063 15,198 15,236 15 States and political subdivision, by maturity .... 51,487 51,374 51,552 51,578 51,760 51,984 52,094 51,960 52,024 16 One year or less 7,117 7,211 7,188 7,259 7,245 7,476 7,519 7,494 7,447 17 Over one year 44,369 44,163 44,364 44,318 44,514 44,508 44,575 44,465 44,577 18 Other bonds, corporate stocks and securities.... 2,668 2,680 2,701 2,649 2,671 2,700 2,758 2,720 2,722 Loans 19 Federal funds sold1 29,800 30,088 29,601 28,456 25,127 26,782 30,401 30,353 28,577 20 To commercial banks 21,457 19,767 21,562 20,738 16,654 19,130 22,190 21,997 19,925 21 To nonbank brokers and dealers in securities 6,374 6,900 5,919 5,700 5,338 5,367 5,997 6,734 6,774 22 To others 1,969 3,422 2,120 2,018 3,135 2,285 2,214 1,622 1,878 23 Other loans, gross 431,711 429,359 430,666 431,798 426,521 432,062 431,106 432,433 435,147 24 Commercial and industrial 178,904 179,025 179,261 179,214 178,170 180,531 179,664 180,359 180,687 25 Bankers acceptances and commercial paper 3,633 3,358 3,576 3,600 3,458 3,876 3,726 3,440 3,624 26 All other 175,270 175,667 175,684 175,613 174,712 176,655 175,938 176,919 177,062 27 U.S. addressees 168,078 168,316 168,303 168,278 167,494 169,461 168,790 169,803 169,776 28 Non-U.S. addressees 7,192 7,351 7,382 7,335 7,218 7,194 7,148 7,116 7,286 29 Real estate 114,931 115,088 115,414 115,645 115,823 116,045 116,410 116,813 116,986 30 To individuals for personal expenditures 63,980 63,985 63,983 63,992 64,157 64,141 64,170 64,214 64,469 To financial institutions 31 Commercial banks in the United States 6,686 6,298 6,700 6,578 6,336 6,750 6,549 6,845 6,897 32 Banks in foreign countries 10,340 9,797 10,307 9,589 9,306 9,144 9,303 9,364 9,500 33 Sales finance, personal finance companies, etc .. 10,288 10,141 10,177 10,048 9,675 10,093 9,878 9,911 9,960 34 Other financial institutions 15,429 15,639 15,550 15,435 15,210 15,385 15,625 15,556 15,529 35 To nonbank brokers and dealers in securities 7,533 6,921 5,572 4,939 5,801 6,888 6,933 6,374 7,952 36 To others for purchasing and carrying securities2 .. 2,370 2,356 2,360 2,372 2,374 2,365 2,396 2,372 2,370 37 To finance agricultural production 5,824 5,823 5,834 5,777 5,752 5,730 5,715 5,700 5,638 38 All other 15,425 14,284 15,509 18,209 13,916 14,990 14,462 14,925 15,159 39 LESS: Unearned income 5,207 5,286 5,322 5,318 5,319 5,262 5,250 5,259 5,266 40 Loan loss reserve 5,976 6,003 6,009 6,041 6,051 6,135 6,156 6,171 6,182 41 Other loans, net 420,528 418,069 419,336 420,439 415,150 420,665 419,699 421,004 423,700 42 Lease financing receivables 10,281 10,259 10,263 10,273 10,326 10,338 10,323 10,370 10,368 43 All other assets 93,100 94,231 94,469 89,942 90,874 99,348 96,136 96,721 96,747 44 Total assets 776,493 734,112 753,341 740,756 727,094 756,520 748,689 752,596 752,233 Deposits 45 Demand deposits 197,102 157,572 170,388 155,991 152,151 169,862 159,880 161,726 160,919 46 Mutual savings banks 664 734 683 589 572 780 601 577 512 47 Individuals, partnerships, and corporations 126,427 118,114 127,306 118,589 114,778 125,720 119,634 119,755 120,599 48 States and political subdivisions 4,536 4,182 3,918 3,910 3,691 4,222 3,754 3,929 4,231 49 U.S. government 2,010 1,498 1,281 998 1,406 2,760 1,145 2,573 1,686 50 Commercial banks in the United States 42,659 17,131 19,702 17,278 16,707 19,830 18,864 17,597 18,194 51 Banks in foreign countries 10,710 7,946 9,256 7,834 8,140 8,294 7,333 8,014 7,952 52 Foreign governments and official institutions 1,583 1,052 883 929 1,208 1,151 1,560 1,024 874 53 Certified and officers' checks 8,512 6,916 7,360 5,864 5,649 7,105 6,989 8,257 6,870 54 Time and savings deposits 326,589 331,216 329,668 328,054 328,112 328,325 329,015 331,163 334,485 55 Savings 69,638 70,232 69,742 69,396 68,907 70,218 70,185 70,242 69,996 56 Individuals and nonprofit organizations 66,393 66,909 66,468 66,156 65,666 66,977 66,880 66,848 66,582 57 Partnerships and corporations operated for profit 22,,771122 22,,773311 2,720 2,713 2,727 2,728 2,757 2,732 2,782 58 Domestic governmental units 511 571 533 506 492 488 524 638 602 59 All other 22 22 22 22 22 25 24 24 30 60 Time 256,951 260,984 259,926 258,657 259,205 258,107 258,831 260,922 264,489 61 Individuals, partnerships, and corporations 225,482 229,275 228,293 227,214 227,900 226,977 227,374 228,984 231,581 62 States and political subdivisions 17,541 17,629 17,766 17,663 17,768 17,799 17,942 18,198 18,544 63 U.S. government 199 199 218 240 228 223 262 260 257 64 Commercial banks in the United States 8,502 8,666 8,499 8,424 8,223 8,230 8,388 88,,449966 99,,005500 65 Foreign governments, official institutions, and banks 55,,222277 5,215 5,151 5,117 5,087 44,,887788 44,,886655 44,,998833 55,,005566 Liabilities for borrowed money 66 Borrowings from Federal Reserve Banks 1,257 814 1,839 2,398 938 1,385 1,788 1,027 408 67 Treasury tax-and-loan notes 11,123 4,681 6,030 8,826 9,102 4,192 3,177 2,836 2,813 68 All other liabilities for borrowed money3 118,676 121,000 127,325 124,544 117,193 127,496 113333,,447744 113311,,228800 112288,,554422 69 Other liabilities and subordinated notes and debentures 71,943 69,018 68,150 70,817 69,524 74,799 70,880 74,298 74,974 70 Total liabilities 726,690 684,302 703,400 690,631 677,020 706,058 698,213 702,330 702,143 71 Residual (total assets minus total liabilities)4 49,803 49,810 49,941 50,126 50,075 50,462 50,476 50,266 50,089 1. Includes securities purchased under agreements to resell. 4. Not a measure of equity capital for use in capital adequacy analysis or for 2. Other than financial institutions and brokers and dealers. other analytic uses. 3. Includes federal funds purchased and securities sold under agreement to repurchase; for information on these liabilities at banks with assets of $1 billion or Digitized for mFoRreA oSn EDRec . 31, 1977, see table 1.13. http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A20 Domestic NonfinancialS tatistics • December 1981 1.28 LARGE WEEKLY REPORTING COMMERCIAL BANKS IN NEW YORK CITY Assets and Liabilities Millions of dollars, Wednesday figures 1981 AAccccoouunntt Sept. 30 Oct. 7 Oct. 14 Oct. 21 Oct. 28p Nov. 4 p Nov. IIP Nov. 18? Nov. 25P 1 Cash items in process of collection 25,164 13.193 17,243 13,159 12.832 16,826 15,389 1166,,443322 1155..551166 2 Demand deposits due from banks in the United States 18,728 1,113 1,277 1,010 1,178 1,135 943 1,230 1,141 3 All other cash and due from depository institutions.. 7,190 4,183 8,578 9,196 6,292 8,788 8,324 7,839 7,414 4 Total loans and securities' 139,371 135,190 136,320 139,219 131,749 134,401 134,854 134,876 137,820 Securities 6 7 Investment account, by maturity 8,310 8,386 8,248 8,176 8,133 7,945 7,747 7,629 7,230 8 One year or less 1,910 1.932 1,890 1,858 1,877 1,882 1,848 1,608 1,268 9 Over one through five years 5,534 5.575 5.480 5,441 5,374 5.186 5,077 5,323 5,287 10 Over five years 867 879 877 877 881 877 822 698 675 11 1? 13 Investment account 14,554 14,579 14,629 14,587 14,718 14,709 14,757 14,758 14,801 14 U.S. government agencies 2,405 2.390 2,386 2,354 2,345 2,298 2,313 2,370 2,367 IS States and political subdivision, by maturity .... 11,380 11.406 11,450 11,490 11,615 11,630 11,626 11,598 11,640 16 One year or less 1,936 1.961 1,906 1,973 1,934 1,953 1,941 1,941 1,934 17 Over one year 9,444 9.445 9,544 9,517 9,682 9,677 9,685 9,656 9,706 18 Other bonds, corporate stocks and securities.... 769 783 793 742 758 781 818 790 794 Loans 19 Federal funds sold3 9,517 7,752 8,091 8,922 6,849 7.025 8,117 8,463 9,514 20 To commercial banks 5,166 3,772 4,274 5,276 3,131 3,432 4,045 4,668 5,440 21 To nonbank brokers and dealers in securities 3,262 2,681 2,758 2,708 2,488 2.405 2,928 3,045 3,214 22 To others 1,089 1.298 1,060 938 1,229 1,187 1,144 750 860 23 Other loans, gross 110,308 107.835 108,732 110,920 105,450 108,122 107,638 107,438 109,710 24 Commercial and industrial 54,719 54.872 54,942 55,055 54,231 55,154 54,884 54,966 55,032 25 Bankers acceptances and commercial paper 1,036 917 1,038 1.092 1,069 1.190 1.082 996 1,116 26 All other 53,683 53.955 53,905 53,963 53,162 53,964 53,802 53,971 53,916 27 U.S. addressees 51,434 51.506 51,443 51,502 50,783 51,603 51,481 51,712 51.637 28 Non-U.S. addressees 2,249 2,449 2,462 2,461 2,378 2.362 2,321 2,259 2,279 29 Real estate 17,121 17,122 17,151 17,145 17,201 17,259 17.393 17,403 17,412 30 To individuals for personal expenditures 10,663 10.686 10,696 10,708 10,717 10,744 10.781 10,793 1100,,883388 31 To financial institutions Commercial banks in the United States 1,968 1,877 1,899 2.138 1,807 2,144 1,860 1,988 1,954 32 Banks in foreign countries 5,217 4,747 5,151 4,784 4,428 4,266 4,500 4.380 4,505 33 Sales finance, personal finance companies, etc... 4,584 4.403 4,424 4,278 3,939 4,261 4,062 4,081 4,121 34 Other financial institutions 4,626 4.684 4,676 4,630 4,464 4,573 4,679 4,578 4,652 35 To nonbank brokers and dealers in securities 5,191 4.235 3,271 2,912 3,389 3,867 4,116 3,706 5,321 36 To others for purchasing and carrying securities4 .. 618 596 590 605 619 614 604 567 580 37 To finance agricultural production 320 324 308 320 313 321 316 318 313 38 All other 5,280 4.290 5,624 8,346 4,342 4,917 4,443 4,657 4,982 39 LESS: Unearned income 1,323 1,343 1,359 1.354 1,366 1,339 1,335 1,336 1,350 40 Loan loss reserve 1,996 2.019 2,021 2,031 2,034 2,061 2,070 2,076 2,085 41 Other loans, net 106,989 104,473 105,352 107,534 102,050 104,722 104,233 104,026 106,275 42 Lease financing receivables 2,302 2.278 2,279 2,282 2.280 2,264 2,249 2,260 2,260 43 All other assets5 39.317 39,874 41,308 37,006 38,326 44,491 40,653 41,490 38,732 44 Total assets 232,073 195,830 207,004 201,872 192,658 207,905 202,413 204,128 202,884 Deposits 45 Demand deposits 80,140 45.872 51,384 47,018 44,865 52,900 47,592 49,338 48,174 46 Mutual savings banks 368 408 340 316 285 377 300 279 246 47 Individuals, partnerships, and corporations 35,054 30,005 33,940 31,712 30,114 34,972 31,238 31,922 31,743 48 States and political subdivisions 669 616 516 524 334 353 366 363 410 49 U.S. government 496 339 369 177 367 543 327 695 474 50 Commercial banks in the United States 28,945 4.016 4,428 4,854 4,104 5,861 4,990 4,297 4,879 51 Banks in foreign countries 8,859 6.395 7,456 6,200 6,532 6,698 5,733 6.398 6,356 52 Foreign governments and official institutions 1,328 813 652 695 943 916 1,294 757 693 53 Certinedand officers' checks 4,420 3.281 3,683 2,539 2,186 3,180 3,342 4,626 3,374 54 Time and savings deposits 63,317 64,342 64,169 63,979 64,220 63,839 63,538 64,060 66,004 55 Savings 9.016 9.120 9,084 8,982 8,926 9,143 9,200 9,261 9,224 56 Individuals and nonprofit organizations 8,641 8.719 8,699 8,607 8,572 8,785 8,814 8,818 8,801 57 Partnerships and corporations operated for profit 225500 251 250 248 244 245 249 251 252 58 Domestic governmental units 120 146 132 125 108 111 135 190 168 59 All other 3 3 2 2 2 2 2 2 3 60 Time 54,301 55,222 55,085 54,997 55,294 54,696 54,338 54,798 56,780 61 Individuals, partnerships, and corporations 47,124 47.854 47,627 47,524 48,033 47,523 47,179 47,532 48,974 62 States and political subdivisions 1,963 2,039 2,119 2,112 2,149 2,101 2,053 2,029 2,178 63 U.S. government 36 36 45 60 45 37 38 26 19 64 Commercial banks in the United States 2,770 2.848 2,831 2,822 2,582 2,606 2,646 2,762 3,157 65 Foreign governments, official institutions, and banks 2,408 22,,444455 2,462 2.479 2,485 2,429 2,422 2,449 22,,445511 Liabilities for borrowed money 66 1,450 2,135 850 1,175 950 170 67 Treasury tax-and-loan notes 2,870 1.217 1.632 2,510 2,580 1,038 913 696 852 68 All other liabilities for borrowed money6 40,703 40,349 44,702 40,686 36,051 41,418 45,684 42,523 40,183 69 Other liabilities and subordinated notes and debentures 28,312 27.283 26,973 28,968 27,570 30,615 27,731 29,817 30,810 70 Total liabilities 215,342 179,062 190,311 185,2% 176,137 190,984 185,458 187,385 186,193 71 Residual (total assets minus total liabilities)7 16,731 16,768 16,694 16,576 16,520 16,921 16,956 16,743 16,691 1. Excludes trading account securities. 5. Includes trading account securities. 2. Not available due to confidentiality. 6. Includes federal funds purchased and securities sold under agreements to 3. Includes securities purchased under agreements to resell. repurchase 4. Other than financial institutions and brokers and dealers. 7. Not a measure of equity capital for use in capital adequacy analysis or for other analytic uses. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Weekly Reporting Banks All 1.29 LARGE WEEKLY REPORTING COMMERCIAL BANKS Balance Sheet Memoranda Millions of dollars, Wednesday figures 1981 AAccccoouunntt Sept. 30 Oct. 7 Oct. 14 Oct. 21 Oct. 28p Nov. 4p Nov. 11/' Nov. 18P Nov. 25P BANKS WITH ASSETS OF $750 MILLION OR MORE 1 Total loans (gross) and securities adjusted1 577.988 577,417 575,283 575,823 572.370 578.769 576,089 577,913 580,482 2 Total loans (gross) adjusted1 460.634 460,751 459.338 460.191 455,917 460,519 460,189 461,564 464,560 3 Demand deposits adjusted2 100.697 101.846 101.236 100.748 99,150 103.354 97,460 99.409 98,320 4 Time deposits in accounts of $100,000 or more 180.515 182,700 181,142 179,519 179,742 178.245 178.976 180,720 184.238 5 Negotiable CDs 130.948 132.644 131.317 129.620 129,708 128.105 128,021 129,344 132,640 6 Other time deposits 49.567 50,056 49.825 49.900 50.034 50,140 50,955 51,376 51,598 7 Loans sold outright to affiliates3 2.770 2.676 2,665 2,688 2,741 2.703 2,756 2,712 2,749 8 Commercial and industrial 2.035 2.005 2,013 2.050 2.108 2,059 2,136 2,089 2,124 9 Other 735 671 652 637 633 644 620 623 624 BANKS WITH ASSETS OF $1 BILLION OR MORE 10 Total loans (grossl and securities adjusted1 540,866 540.339 538.087 538,780 535.329 541,416 538,805 540.462 543.013 11 Total loans (gross) adjusted1 433.368 433,382 432,005 432,938 428.658 432.964 432.768 433.944 436,903 12 Demand deposits adjusted2 93,363 94,733 94,436 93,812 92.065 96,210 90,541 92,108 91,101 13 Time deposits in accounts of $100,000 or more 171,002 173,083 171.554 169.922 170.268 168,846 169.364 171,127 174,517 14 Negotiable CDs 124,442 126,068 124.753 123.052 123.240 121.716 121,468 122,847 126,065 15 Other time deposits 46,560 47,015 46,801 46.870 47.028 47,130 47,896 48.280 48,452 16 Loans sold outright to affiliates3 2.687 2,592 2,581 2.605 2,659 2.618 2,672 2,626 2,659 17 Commercial and industrial 1,972 1,940 1.948 1.985 2.043 1.991 2,069 2,021 2,052 18 Other 715 652 633 620 616 627 603 605 607 BANKS IN NEW YORK CITY 19 Total loans (gross) and securities adjusted14 135.556 132,903 133.527 135,191 130.210 132,224 132,354 131,632 133,862 20 Total loans (gross) adjusted1 112.691 109,938 110,650 112,428 107.360 109,570 109,850 109,245 111,830 21 Demand deposits adjusted2 25,536 28,324 29,344 28.828 27,562 29.670 26,885 27,914 27,305 22 Time deposits in accounts of $100,000 or more 42,755 43,387 43.243 43,084 43,360 42,651 42,189 42,537 44.467 23 Negotiable CDs 31,853 32,406 32,408 32.042 32.232 31.577 30,972 31,169 33,134 24 Other time deposits 10.903 10,981 10,834 11,042 11,127 11,074 11,217 11.368 11,333 1. Exclusive of loans and federal funds transactions with domestic commercial 3. Loans sold are those sold outright to a bank's own foreign branches, nonbanks. consolidated nonbank affiliates of the bank, the bank's holding company (if not a 2. All demand deposits except U.S. government and domestic banks less cash bank), and nonconsolidated nonbank subsidiaries of the holding company, items in process of collection. 4. Excludes trading account securities. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A22 Domestic NonfinancialS tatistics • December 1981 1.291 LARGE WEEKLY REPORTING BRANCHES AND AGENCIES OF FOREIGN BANKS Assets and Liabilities Millions of dollars, Wednesday figures Sept. 30 Oct. 7 Oct. 14 Oct. 21 Oct. 28p Nov. Ap Nov. IIP Nov. 18? Nov. 25P 1 Cash and due from depository institutions 29,860 7,412 6,826 6,913 7,037 7,078 7,142 7,316 7,774 2 Total loans and securities 66,094 63,242 62,809 61,540 62,900 62,529 63,397 64,513 64,773 3 U.S. Treasury securities 1,814 1,605 1,572 1,540 1,544 1,467 1,581 1,471 1,639 4 Other securities 1,016 1,017 1,026 1,022 1.033 1,039 1,048 1,022 1,051 5 Federal funds sold1 4,280 3,636 4,284 4,001 4,520 4,368 4,516 4,291 4,606 6 To commercial banks in U.S 3,783 3,311 4,141 3,888 4,342 3,831 3,916 3,868 4,220 7 To others 496 325 143 114 179 536 600 422 387 8 Other loans, gross 58,984 56,984 55,928 54,976 55,802 55,656 56,252 57,729 57,477 9 Commercial and industrial 29,646 28,661 28,087 27,542 27,500 26,892 27,322 27,472 27,287 10 Bankers acceptances and commercial paper 3,918 3,971 3,954 3,948 4,001 3,703 3,622 3,589 3,518 11 Allother 25,728 24,690 24,133 23,594 23,499 23,188 23,699 23,883 23,769 12 U.S. addressees 15,610 14,663 14,145 13,758 13,725 13,362 13,787 13,837 13,726 13 Non-U.S. addressees 10,118 10,026 9,988 9,836 9,774 9,827 9,913 10,046 10,044 14 To financial institutions 20,415 19,760 19,540 19,415 19,998 20,260 20,574 21,643 21,528 15 Commercial banks in U.S 12,072 12,182 12,206 12,254 12,709 12,862 13,320 14,179 13,958 16 Banks in foreign countries 7,992 7,219 7,015 6,859 6,990 7,061 6,925 7,139 7,229 17 Nonbank financial institutions 350 359 320 303 299 337 330 325 341 18 For purchasing and carrying securities .. 929 913 693 542 707 766 824 723 676 19 Allother 7,994 7,650 7,608 7,476 7,597 7,737 7,532 7,892 7,986 20 Other assets (claims on nonrelated parties) 11,516 10,683 10,850 11,121 10,986 11,407 11,564 11,971 12,166 21 Net due from related institutions 9,756 9,768 9,822 9,528 9,796 9,584 9,748 9,979 9,792 22 Total assets 117,226 91,105 90,308 89,103 90,720 90,598 91,851 93,779 94,506 23 Deposits or credit balances2 47,528 25,821 25,635 24,884 25,265 24,263 25,412 24,968 25,616 24 Credit balances 2,622 504 340 322 309 295 323 467 382 25 Demand deposits 21,348 2,383 2,569 2,452 3,322 2,256 2,366 2.488 2,504 26 Individuals, partnerships, and corporations 1,044 887 909 901 883 855 792 892 887 27 Other 20,304 1,496 1,660 1,551 1,439 1,401 1,573 1,596 1,617 28 Total time and savings 23,558 22,935 22,726 22,110 22,634 21,712 22,724 22,013 22,730 29 Individuals, partnerships, and corporations 19,764 19,212 19,070 18,572 19,202 18,198 18,809 18,013 18,618 30 Other 3,793 3,722 3,655 3,538 3,433 3,514 3,914 4,000 4,112 31 Borrowings3 32,438 31,588 31,197 31,423 31,736 32,155 32,922 34,617 34,171 32 Federal funds purchased4 5,311 5,013 4.800 4,700 4,871 5,980 6.056 7,136 6,247 33 From commercial banks in U.S 4,530 4,293 4,008 3,788 3,918 5,221 4,920 6,071 5,356 34 From others 780 720 792 911 953 758 1,135 1,065 891 35 Other liabilities for borrowed money ... 27,127 26,575 26.397 26,723 26,864 26,175 26,866 27,481 27,924 36 To commercial banks in U.S 22,766 22,442 22,407 22,673 22,835 22,069 22,608 23,129 23,409 37 To others 4,362 4,134 3.990 4,050 4,029 4,106 4,258 4,352 4,515 38 Other liabilities to nonrelated parties 11,418 10,874 11,205 11,208 11,137 11,481 11,744 12,176 12,242 39 Net due to related institutions 25,841 22,822 22.271 21,589 22,582 22,698 21,773 22,019 22,476 40 Total liabilities 117,226 91,105 90,308 89,103 90,720 90,598 91,851 93,779 94,506 MEMO 41 Total loans (gross) and securities adjusted' 50,238 47,748 46,462 45,398 45,849 45,835 46,161 46,466 46,595 42 Total loans (gross) adjusted5 47,408 45,126 43,865 42,836 43,272 43,330 43,532 43,973 43,905 1. Includes securities purchased under agreements to resell. 4. Includes securities sold under agreements to repurchase. 2. Balances due to other than directly related institutions. 5. Excludes loans and federal funds transactions with commercial banks in U.S. 3. Borrowings from other than directly related institutions. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Weekly Reporting Banks A23 1.30 LARGE WEEKLY REPORTING COMMERCIAL BANKS Domestic Classified Commercial and Industrial Loans Millions of dollars Outstanding Net change during IIInnnddduuussstttrrryyy ccclllaaassssssiiifffiiicccaaatttiiiooonnn 1981 1981 1981 July 29 Aug. 26 Sept. 30 Oct. 28 Nov. 25P Q2 Q3 Sept. Oct. Nov.? 1 Durable goods manufacturing 25,370 25,629 26,112 25,914 25,574 620 838 482 -198 -340 2 Nondurable goods manufacturing 20,175 22,478 23,401 22,062 22,196 1,217 2,783 923 -1,339 134 3 Food, liquor, and tobacco 4,095 4,392 4,433 4,312 4,290 -176 28 40 -121 -22 4 Textiles, apparel, and leather 4,994 5,068 5,076 4,863 4,648 569 156 8 -214 -215 5 Petroleum refining 3,546 3,587 3,956 3,719 4,772 430 544 370 -238 1,053 6 Chemicals and rubber 3,791 5,500 5,747 5,056 4,623 211 1,698 247 -691 -433 7 Other nondurable goods 3,749 3,931 4,189 4,113 3,864 182 357 258 -76 -249 8 Mining (including crude petroleum and natural gas) 19,658 20,019 21,286 21,729 22,943 2,444 3,092 1,267 442 1,214 9 Trade 26,462 26,406 26,996 27,496 28,189 490 888 590 500 693 10 Commodity dealers 1,601 1,659 1,657 1,666 1,901 -451 158 -2 8 235 11 Other wholesale 12,405 12,377 12,622 12,637 12,798 212 534 244 16 161 12 Retail 12,456 12,370 12,717 13,193 13,490 728 196 347 476 297 13 Transportation, communication, and other public utilities 21,027 21,418 21,864 21,737 22,040 851 1,040 446 -127 303 14 Transportation 8,251 8,283 8,468 8,433 8,305 89 272 186 -36 -128 15 Communication 3,545 3,580 3,535 3,574 3,701 381 -7 -45 39 128 16 Other public utilities 9,231 9,555 9,861 9,731 10,034 381 775 306 -130 303 17 Construction 7,108 7,132 7,248 7,172 7,148 758 264 116 -75 -24 18 Services 24,521 24,774 25,355 25,434 25,605 934 810 581 79 170 19 All other2 15,444 15,562 15,817 15,950 16,081 -4 639 254 134 131 20 Total domestic loans 159,765 163,418 168,078 167,494 169,776 7,311 10,354 4,660 -585 2,282 21 MEMO: Term loans (original maturity more than 1 year) included in domestic loans 84,401 86,147 86,456 84,630 83,842 4,104 3,054 309 -1,826 -788 1. Adjustment bank amounts represent accumulated adjustments originally made NOTE. New series. The 134 large weekly reporting commercial banks with doto offset the cumulative effects of mergers. These adjustment amounts should be mestic assets of $1 billion or more as of Dec. 31, 1977, are included in this series. added to outstanding data for any date in the year to establish comparability with The revised series is on a last-Wednesday-of-the-month basis. Partly estimated any date in the subsequent year. Changes shown have been adjusted for these historical data are available from the Banking Section, Division of Research and amounts. Statistics, Board of Governors of the Federal Reserve System, Washington, D.C. 2. Includes commercial and industrial loans at a few banks with assets of $1 20551. billion or more that do not classify their loans. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A24 Domestic NonfinancialS tatistics • December 1981 1.31 GROSS DEMAND DEPOSITS of Individuals, Partnerships, and Corporations1 Billions of dollars, estimated daily-average balances Commercial banks Type of holder 1980 1981 1977 1978 19792 Dec. Dec. Dec. Mar. June Sept. Dec. Mar.3 June4 Sept. 1 All holders—Individuals, partnerships, and corporations 274.4 294.6 302.2 288.4 288.6 302.0 315.5 280.8 277.5 2 Financial business 25.0 27.8 27.1 28.4 27.7 29.6 29.8 30.8 28.2 3 Nonfinancial business 142.9 152.7 157.7 144.9 145.3 151.9 162.3 144.3 148.6 4 Consumer 91.0 97.4 99.2 97.6 97.9 101.8 102.4 86.7 n.a. 82.1 5 Foreign 2.5 2.7 3.1 3.1 3.3 3.2 3.3 3.4 3.1 6 Other 12.9 14.1 15.1 14.4 14.4 15.5 17.2 15.6 15.5 Weekly reporting banks 1980 1981 1977 1978 19795 Dec. Dec. Dec. Mar. June Sept. Dec. Mar.3 June4 Sept. 7 All holders—Individuals, partnerships, and corporations 139.1 147.0 139.3 133.6 133.9 140.6 147.4 133.2 131.3 8 Financial business 18.5 19.8 20.1 20.1 20.2 21.2 21.8 21.9 20.7 9 Nonfinancial business 76.3 79.0 74.1 69.1 69.2 72.4 78.3 69.8 71.2 10 Consumer 34.6 38.2 34.3 34.2 33.9 36.0 35.6 30.6 n a. 28.7 11 Foreign 2.4 2.5 3.0 3.0 3.1 3.1 3.1 3.2 \ 2.9 12 Other 7.4 7.5 7.8 7.2 7.5 7.9 8.6 7.7 7.9 1. Figures include cash items in process of collection. Estimates of gross deposits 4. Demand deposit ownership survey estimates for June 1981 are not yet available are based on reports supplied by a sample of commercial banks. Types of depositors due to unresolved reporting errors. in each category are described in the June 1971 BULLETIN, p. 466. 5. After the end of 1978 the large weekly reporting bank panel was changed to 2. Beginning with the March 1979 survey, the demand deposit ownership survey 170 large commercial banks, each of which had total assets in domestic offices sample was reduced to 232 banks from 349 banks, and the estimation procedure exceeding $750 million as of Dec. 31, 1977. See "Announcements," p. 408 in the was modified slightly. To aid in comparing estimates based on the old and new May 1978 BULLETIN. Beginning in March 1979, demand deposit ownership estireporting sample, the following estimates in billions of dollars for December 1978 mates for these large banks are constructed quarterly on the basis of 97 sample have been constructed using the new smaller sample; financial business, 27.0; banks and are not comparable with earlier data. The following estimates in billions nonfinancial business, 146.9; consumer, 98.3; foreign, 2.8; and other, 15.1. of dollars for December 1978 have been constructed for the new large-bank panel; 3. Demand deposit ownership data for March 1981 are subject to greater than financial business, 18.2; nonfinancial business, 67.2; consumer, 32.8; foreign, 2.5; normal errors reflecting unusual reporting difficulties associated with funds shifted other, 6.8. to NOW accounts authorized at year-end 1980. For the household category, the $15.7 billion decline in demand deposits at all commercial banks between December 1980 and March 1981 has an estimated standard error of $4.8 billion. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Deposits and Commercial Paper A25 1.32 COMMERCIAL PAPER AND BANKERS DOLLAR ACCEPTANCES OUTSTANDING Millions of dollars, end of period 1981 1977 1978 19791 1980 Dec. Dec. Dec. Dec. Apr. May June July Aug. Sept. Oct. Commercial paper (seasonally adjusted) 1 All issuers 65,051 83,438 112,087 123,597 132,117 139,228 145,737 151,013 157,121 165,379 164,026 Financial companies2 Dealer-placed paper3 2 Total 8,796 12,181 17,161 19,236 23,497 24,144 25,933 26,006 2277,,881133 3300,,221133 28,909 3 Bank-related 22,,113322 3,521 2,874 3,561 4,437 44,,880000 4,750 5,267 6,037 6,161 5,626 Directly placed paper4 4 Total 40,574 51,647 64,748 67,888 69,537 71,842 7744,,995522 7799,,557711 8800,,776699 8833,,331111 83,053 5 Bank-related 7,102 12,314 17,598 22,382 22,858 23,880 24,107 26,104 25,153 26,426 25,397 6 Nonfinancial companies5 15,681 19,610 30,178 36,473 39,083 43,242 44,852 45,436 48,539 51,855 52,064 Bankers dollar acceptances (not seasonally adjusted) 7 Total 25,450 33,700 45,321 54,744 62,320 60,551 63,427 63,721 64,577 66,281 Holder 8 Accepting banks 10,434 8,579 9,865 10,564 10,781 10,132 11,595 10,505 9,959 10,064 9 Own bills 8,915 7,653 8,327 8,963 9,626 9,049 10,207 9,437 9,214 9,083 10 Bills bought 1,519 927 1,538 1,601 1,155 1,082 1,389 1,068 745 982 Federal Reserve Banks 11 Own account 954 1 704 776 0 0 0 453 0 0 n a. 12 Foreign correspondents 362 664 1,382 1,791 1,383 1,255 1,272 1,459 1,451 1,243 13 Others 13,700 24,456 33,370 41,614 50,156 49,164 50,560 51,303 53,167 54,974 Basis 14 Imports into United States 6,378 8,574 10,270 11,776 13,634 12,775 12,996 13,059 13,313 14,034 15 Exports from United States 5,863 7,586 9,640 12,712 13,368 13,057 13,388 13,296 13,774 14,705 16 All other 13,209 17,540 25,411 30,257 35,319 34,768 37,043 37,365 37,490 37,542 1. A change in reporting instructions results in offsetting shifts in the dealer- 3. Includes all financial company paper sold by dealers in the open market. placed and directly placed financial company paper in October 1979. 4. As reported by financial companies that place their paper directly with inves- 2. Institutions engaged primarily in activities such as, but not limited to, com- tors. mercial, savings, and mortgage banking; sales, personal, and mortgage financing; 5. Includes public utilities and firms engaged primarily in such activities as comfactoring, finance leasing, ana other business lending; insurance underwriting; and munications, construction, manufacturing, mining, wholesale and retail trade, other investment activities. transportation, and services. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A26 Domestic Nonfinancial Statistics • December 1981 1.33 PRIME RATE CHARGED BY BANKS on Short-Term Business Loans Percent per annum Effective date Rate Effective Date Rate Month Average Month Average rate rate 1981—May 4. 19.00 1981—Oct. 5 19.00 1980—July 11.48 1981—Apr. 17.15 11. 19.50 13 18.00 Aug 11.12 May. 19.61 19. 20.00 Nov. 3 17.50 Sept 12.23 June 20.03 22. 20.50 9 16.50- Oct 13.79 July . 20.39 June 3 20.00 17.00 Nov 16.06 Aug. 20.50 July 8 . 20.50 17 17.00 Dec 20.35 Sept. 20.08 Sept. 15 20.00 20 16.50 1981—Jan 20.16 Oct.. 18.45 22 19.50 24 16.00 Feb 19.43 Nov. 16.84 Mar 18.05 1.34 TERMS OF LENDING AT COMMERCIAL BANKS Survey of Loans Made, August 3-8, 1981 Size of loan (in thousands of dollars) All sizes 1,000 1-24 25-49 50-99 100-499 500-999 and over SHORT-TERM COMMERCIAL AND INDUSTRIAL LOANS 1 Amount of loans (thousands of dollars) $24,597,283 $826,223 $641,885 $674,174 $2,112,392 $769,926 $19,572,683 2 Number of loans 165,324 118,581 20,112 10,549 11,494 1,212 3,376 3 Weighted-average maturity (months) 1.6 3.1 3.5 3.1 3.4 3.2 1.2 4 Weighted-average interest rate (percent per annum) . 21.11 20.76 21.18 21.36 21.37 21.85 21.06 5 Interquartile range1 20.37-22.00 18.81-22.93 18.81-23.16 19.56-23.25 19.99-22.86 20.84-22.85 20.37-21.76 Percentage of amount of loans 6 With floating rate 34.5 25.2 39.0 48.0 59.3 71.8 30.1 7 Made under commitment 50.8 24.7 26.4 38.7 49.1 69.3 52.6 8 With no stated maturity 18.5 8.8 10.9 23.1 21.7 32.6 18.2 LONG-TERM COMMERCIAL AND INDUSTRIAL LOANS 9 Amount of loans (thousands of dollars) $3,889,453 $344,172 $313,708 $189,351 $3,042,222 10 Number of loans 22,151 19,603 1,841 282 425 11 Weighted-average maturity (months) 57.6 26.9 39.2 48.7 63.5 12 Weighted-average interest rate (percent per annum) . 20.62 19.77 20.70 21.45 20.65 13 Interquartile range1 20.50-21.50 17.50-21.94 19.56-22.25 20.50-23.52 20.50-21.11 Percentage of amount of loans 14 With floating rate 79.2 31.3 68.8 80.3 85.7 15 Made under commitment 75.1 23.4 44.8 77.9 83.9 CONSTRUCTION AND LAND DEVELOPMENT LOANS 16 Amount of loans (thousands of dollars) $1,253,985 $94,295 $160,298 $105,325 $508,226 $385,840 17 Number of loans 18,932 11,067 4,048 1,454 2,110 253 18 Weighted-average maturity (months) 8.7 8.6 2.1 6.1 6.5 15.7 19 Weighted-average interest rate (percent per annum) . 20.26 20.34 20.03 19.80 19.23 21.81 20 Interquartile range1 18.00-22.50 17.81-23.11 18.39-22.06 18.00-22.39 16.50-21.19 21.27-22.71 Percentage of amount of loans 21 With floating rate 44.4 41.1 14.7 31.6 25.9 85.5 22 Secured by real estate 93.4 96.7 87.6 94.9 96.7 90.2 23 Made under commitment 46.6 54.6 46.1 36.9 25.3 75.5 24 With no stated maturity 13.3 9.4 3.0 57.8 2.7 20.2 Type of construction 25 l-to4-family 22.3 78.6 56.6 26.1 6.6 14.0 26 Multifamily 24.0 3.4 1.5 55.6 35.3 15.0 27 Nonresidential 53.7 18.0 41.9 18.3 58.2 71.0 All 250 sizes 1-9 10-24 25-49 50-99 100-249 and over 28 Amount of loans (thousands of dollars) $918,222 $145,418 $143,283 $118,786 $143,410 $78,547 $288,779 29 Number of loans 56,842 40,267 9,823 3,583 2,209 591 369 30 Weighted-average maturity (months) 5.0 5.6 5.2 5.0 6.2 5.2 3.8 31 Weighted-average interest rate (percent per annum) . 19.57 18.82 19.06 18.93 19.60 19.74 20.41 32 Interquartile range1 18.11-20.62 17.72-19.82 17.96-20.23 17.72-19.90 18.68-20.40 17.98-21.50 19.00-22.13 By purpose of loan 33 Feeder livestock 19.63 19.43 19.64 19.33 19.64 18.47 19.86 34 Other livestock 19.88 19.45 19.55 18.47 18.77 17.80 (2) 35 Other current operating expenses 19.48 18.68 18.86 19.14 19.62 20.50 20.47 36 Farm machinery and equipment 18.87 18.46 18.93 18.85 18.82 (2) (2) 37 Other 20.11 19.00 19.62 17.91 19.97 21.12 21.98 1. Interest rate range that covers the middle 50 percent of the total dollar amount NOTE. For more detail, see the Board's E.2(111) statistical release, of loans made. 2. Fewer than 10 sample loans. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Securities Markets All 1.35 INTEREST RATES Money and Capital Markets Averages, percent per annum; weekly and monthly figures are averages of business day data unless otherwise noted. 1981 1981, week ending IInnssttrruummeenntt 11997788 11997799 11998800 Aug. Sept. Oct. Nov. Oct. 30 Nov. 6 Nov. 13 Nov. 20 Nov. 27 MONEY MARKET RATES 1 Federal funds12 7.93 11.19 13.36 17.82 15.87 15.08 13.31 14.87 14.79 14.01 13.17 12.42 Commercial paper3 4 7 1-month 7.76 10.86 12.76 17.58 15.95 14.80 12.35 14.56 13.92 12.73 11.89 1111..2266 3 7.94 10.97 12.66 17.23 16.09 14.85 12.16 14.60 13.71 12.50 11.65 11.15 4 6-month 7.99 10.91 12.29 16.62 15.93 14.72 11.96 14.47 13.50 12.19 11.45 11.04 Finance paper, directly placed3-4 5 1-month 7.73 10.78 12.44 17.37 15.68 14.63 12.13 14.45 13.82 1122..4444 1111..5599 1111..1100 6 3-month 7.80 10.47 11.49 15.88 15.24 14.04 11.80 13.84 13.18 12.06 11.37 10.95 7 6-month 7.78 10.25 11.28 15.32 15.01 13.96 11.72 13.74 13.05 11.98 11.29 10.90 Bankers acceptances4 5 8 3-month 8.11 11.04 12.78 17.22 16.11 14.78 12.00 14.53 13.50 12.29 11.47 1111..1100 9 6-month n.a. n.a. n.a. 16.56 15.80 14.62 11.84 14.39 13.28 12.03 11.29 11.08 Certificates of deposit, secondary market6 10 1-month 7.88 11.03 12.91 17.91 16.31 14.97 12.45 14.76 14.02 12.84 1111..9966 11.45 11 3-month 8.22 11.22 13.07 17.96 16.84 15.39 12.48 15.14 14.13 12.77 11.97 11.51 1? 6-month 8.61 11.44 12.99 17.98 17.19 15.71 12.65 15.49 14.27 12.85 12.09 11.78 13 Eurodollar deposits, 3-month2 8.78 11.96 14.00 18.79 17.80 16.34 13.33 16.35 15.49 14.25 13.09 12.35 U.S. Treasury bills4 Secondary market7 14 3-month 7.19 10.07 11.43 15.51 14.70 13.54 10.86 13.14 12.21 10.93 10.31 1100..2233 15 6-month 7.58 10.06 11.37 15.52 14.92 13.82 11.30 13.43 12,54 11.44 10.82 10.65 16 1-year 7.74 9.75 10.89 14.70 14.53 13.62 11.20 13.36 12.35 11.29 10.78 10.63 Auction average8 17 3-month 7.221 10.041 11.506 15.612 14.951 13.873 11.269 13.352 12.695 11.128 10.693 1100..556600 18 6-month 7.572 10.017 11.374 15.548 15.057 14.013 11.530 13.619 12.721 11.510 10.972 10.915 1199 77..667788 99..881177 1100..774488 1144..554422 1155..005566 1144..558800 1133..115599 1133..115599 CAPITAL MARKET RATES U.S. Treasury notes and bonds9 Constant maturities10 20 1-year 8.34 10.67 12.05 16.72 16.52 15.38 12.41 15.02 13.83 12.51 11.88 11.70 21 2-year 8.34 10.12 11.77 16.28 16.46 15.54 12.88 15.24 14.15 13.00 12.40 12.22 r) 2-Vyear11 13.95 12.55 23 3-year 8.29 9.71 11.55 16.00 16.22 15.50 13.11 15.34 14.17 13.07 12.72 12.67 24 5-year 8.32 9.52 11.48 15.56 15.93 15.41 13.38 15.36 14.36 13.43 13.12 12.81 25 7-year 8.36 9.48 11.43 15.22 15.65 15.33 13.42 15.33 14.34 13.41 13.17 12.97 26 10-year 8.41 9.44 11.46 14.94 15.32 15.15 13.39 15.25 14.22 13.29 13.09 13.12 27 20-year 8.48 9.33 11.39 14.52 15.07 15.13 13.56 15.27 14.41 13.61 13.29 13.12 28 30-year 8.49 9.29 11.30 14.17 14.67 14.68 13.35 14.87 14.07 13.40 13.12 13.00 Composite12 29 Over 10 years (long-term) 7.89 8.74 10.81 13.61 14.14 14.13 12.68 14.27 13.39 12.78 12.41 12.32 State and local notes and bonds Moody's series13 30 Aaa 5.52 5.92 7.85 11.10 11.55 12.05 11.05 12.60 12.00 10.50 10.70 10.98 31 Baa 6.27 6.73 9.01 12.78 13.60 13.34 12.74 13.50 13.25 12.50 12.50 12.69 32 Bond Buyer series14 6.03 6.52 8.59 12.26 12.92 12.83 11.89 12.99 12.44 11.43 11.71 11.98 Corporate bonds Seasoned issues15 33 All industries 9.07 10.12 12.75 15.60 16.16 16.20 15.35 16.31 15.89 15.38 15.10 15.04 34 Aaa 8.73 9.63 11.94 14.89 15.49 15.40 14.22 15.51 14.88 14.18 13.92 13.92 35 Aa 8.92 9.94 12.50 15.42 15.95 15.82 14.97 15.95 15.53 15.04 14.71 14.61 36 A 9.12 10.20 12.89 15.76 16.36 16.47 15.82 16.60 16.29 15.91 15.56 15.54 37 Baa 9.49 10.69 13.67 16.34 16.92 17.11 16.39 17.16 16.87 16.41 16.20 16.08 Aaa utility bonds16 38 8.96 10.03 12.74 17.21 16.94 15.56 17.20 14.62 14.85 39 Recently offered issues 8.97 10.02 12.70 16.82 17.33 17.24 15.49 17.32 16.88 15.89 14.65 14.52 MEMO: Dividend/price ratio17 40 Preferred stocks 8.25 9.07 10.57 12.63 13.01 13.09 12.76 13.06 13.09 12.81 12.54 12.59 41 Common stocks 5.28 5.46 5.25 5.16 5.69 5.65 5.54 5.72 5.45 5.54 5.66 5.50 1. Weekly and monthly figures are averages of all calendar days, where the rate 11. Each weekly figure is calculated on a biweekly basis and is the average of for a weekend or holiday is taken to be the rate prevailing on the preceding business five business days ending on the Monday following the calendar week. The biweekly day. The daily rate is the average of the rates on a given day weighted by the rate is used to determine the maximum interest rate payable in the following twovolume of transactions at these rates. week period on small saver certificates. (See table 1.16.) 2. Weekly figures are statement week averages—that is, averages for the week 12. Unweighted averages of yields (to maturity or call) for all outstanding notes ending Wednesday. and bonds neither due nor callable in less than 10 years, including several very low 3. Unweighted average of offering rates quoted by at least five dealers (in the yielding "flower" bonds. case of commercial paper), or finance companies (in the case of finance paper). 13. General obligations only, based on figures for Thursday, from Moody's Before November 1979, maturities for data shown are 30-59 days, 90-119 days, Investors Service. and 120-179 days for commercial paper; and 30-59 days, 90-119 days, and 150- 14. General obligations only, with 20 years to maturity, issued by 20 state and 179 days for finance paper. local governmental units of mixed quality. Based on figures for Thursday. 4. Yields are quoted on a bank-discount basis, rather than an investment yield 15. Daily figures from Moody's Investors Service. Based on yields to maturity basis (which would give a higher figure). on selected long-term bonds. 5. Dealer closing offered rates for top-rated banks. Most representative rate 16. Compilation of the Federal Reserve. Issues included are long-term (20 years (which may be, but need not be, the average of the rates quotecl by the dealers). or more). New-issue yields are based on quotations on date of offering; those on 6. Unweighted average of offered rates quoted by at least five dealers early in recently offered issues (included only for first 4 weeks after termination of underthe day. writer price restrictions), on Friday close-of-business quotations. 7. Unweighted average of closing bid rates quoted by at least five dealers. 17. Standard and Poor's corporate series. Preferred stock ratio based on a sample 8. Rates are recorded in the week in which bills are issued. of ten issues: four public utilities, four industrials, one financial, and one trans- 9. Yields are based on closing bid prices quoted by at least five dealers. portation. Common stock ratios on the 500 stocks in the price index. 10. Yields adjusted to constant maturities by the U.S. Treasury. That is, yields are read from a yield curve at fixed maturities. Based on only recently issued, actively traded securities. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A28 Domestic NonfinancialS tatistics • December 1981 1.36 STOCK MARKET Selected Statistics 1981 IInnddiiccaattoorr 11997788 11997799 11998800 Apr. May June July Aug. Sept. Oct. Nov. Prices and trading (averages of daily figures) Common stock prices 1 New York Stock Exchange (Dec. 31, 1965 = 50) 53.76 55.67 68.06 77.60 76.28 76.80 74.98 75.24 68.37 69.40 71.49 2 Industrial 58.30 61.82 78.64 90.57 88.78 88.63 86.64 86.72 78.07 78.94 80.86 3 Transportation 43.25 45.20 60.52 80.63 76.78 76.71 74.42 73.27 63.67 65.65 67.68 4 Utility 39.23 36.46 37.35 38.34 38.27 39.23 38.90 40.22 38.17 38.87 40.73 5 Finance 56.74 58.65 64.28 74.59 74.65 79.79 74.97 73.76 69.38 72.58 76.47 6 Standard & Poor's Corporation (1941^13 = 10)1 96.11 107.94 118.71 134.43 131.73 132.28 129.13 129.63 118.27 119.84 122.92 7 American Stock Exchange (Aug. 31, 1973 = 100) 144.56 186.56 300.94 363.09 365.52 369.64 364.33 364.60 313.60 308.81 321.01 Volume of trading (thousands of shares) 8 New York Stock Exchange 28,591 32,233 44,867 54,124 45,272 50,517 43,930 44,489 46,042 46,233 50,791 9 American Stock Exchange 3,622 4,182 6,377 6,339 5,650 6,096 4,374 5,137 5,556 4,233 5,257 Customer financing (end-of-period balances, in millions of dollars) 10 Regulated margin credit at brokers-dealers2 11,035 11,619 14,721 14,869 14,951 15,126 15,134 14,545 13,973 13,866 11 Margin stock3 10,830 11,450 14,500 14,630 14,700 14,870 14,870 14,270 13,710 13,600 12 Convertible bonds 205 167 219 238 251 254 263 274 263 263 13 Subscription issues 1 2 2 1 1 2 1 1 3 Free credit balances at brokers4 14 Margin-account 835 1,105 2,105 2,270 2,345 2,350 2,670 2,645 2,940 2,990 15 Cash-account 2,510 4,060 6,070 6,440 6,150 6,650 6,470 6,640 6,555 6,100 Margin-account debt at brokers (percentage distribution, end of period) 16 Total 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 By equity class (in percent)5 17 Under 40 33.0 16.0 14.0 20.8 21.3 25.0 25.0 38.5 47.0 32.0 18 40-49 28.0 29.0 30.0 26.8 25.3 29.0 29.0 24.0 22.0 28.0 19 50-59 18.0 27.0 25.0 23.7 25.3 21.0 22.0 15.0 13.0 18.0 n a. 20 60-69 10.0 14.0 14.0 12.6 12.7 11.0 11.0 10.0 8.0 10.0 1 21 70-79 6.0 8.0 9.0 8.1 8.0 7.0 7.0 6.0 5.0 6.0 1 22 80 or more 5.0 7.0 8.0 8.0 8.0 7.0 6.0 6.0 5.0 6.0 i Special miscellaneous-account balances at brokers (end of period) 23 Total balances (millions of dollars)6 13,092 16,150 21,690 22,748 23,457 23,700 24,460 24,760 25,234 24,962 Distribution by equity status (percent) 24 Net credit status 41.3 44.2 47.8 49.3 50.2 53.2 53.8 53.5 55.0 55.0 n a. Debt status, equity of 25 60 percent or more 45.1 47.0 44.4 41.7 41.0 38.4 37.9 37.0 33.0 35.0 26 Less than 60 percent 13.6 8.8 7.7 9.0 8.8 8.4 8.3 9.5 12.0 10.0 Margin requirements (percent of market value and effective date)7 Mar. 11, 1968 June 8, 1968 May 6, 1970 Dec. 6, 1971 Nov. 24, 1972 Jan. 3, 1974 27 Margin stocks 70 80 65 55 65 50 28 Convertible bonds 50 60 50 50 50 50 29 Short sales 70 80 65 55 65 50 1. Effective July 1976, includes a new financial group, banks and insurance 5. Each customer's equity in his collateral (market value of collateral less net companies. With this change the index includes 400 industrial stocks (formerly debit balance) is expressed as a percentage of current collateral values. 425), 20 transportation (formerly 15 rail), 40 public utility (formerly 60), and 40 6. Balances that may be used by customers as the margin deposit required for financial. additional purchases. Balances may arise as transfers based on loan values of other 2. Margin credit includes all credit extended to purchase or carry stocks or related collateral in the customer's margin account or deposits of cash (usually sales proequity instruments and secured at least in part by stock. Credit extended is end- ceeds) occur. of-month data for member firms of the New York Stock Exchange. 7. Regulations G, T, and U of the Federal Reserve Board of Governors, pre- In addition to assigning a current loan value to margin stock generally, Regu- scribed in accordance with the Securities Exchange Act of 1934, limit the amount lations T and U permit special loan values for convertible bonds and stock acquired of credit to purchase and carry margin stocks that may be extended on securities through exercise of subscription rights. as collateral by prescribing a maximum loan value, which is a specified percentage 3. A distribution of this total by equity class is shown on lines 17-22. of the market value of the collateral at the time the credit is extended. Margin 4. Free credit balances are in accounts with no unfulfilled commitments to the requirements are the difference between the market value (100 percent) and the brokers and are subject to withdrawal by customers on demand. maximum loan value. The term "margin stocks" is defined in the corresponding regulation. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Thrift Institutions A29 1.37 SAVINGS INSTITUTIONS Selected Assets and Liabilities Millions of dollars, end of period 1981 AAccccoouunntt 11997799 11998800 Feb. Mar. Apr. May June July Aug. Sept. Oct." Savings and loan associations 1 Assets 523,542 578,962 629,829 634,405 636,859 639,827 644,603 646,704 648,793 651,986 654,605 657,583 2 Mortgages 432,808 475,688 502,812 505,309 507,152 509,525 511,754 514,803 516,527 517,701 518,379 518,527 3 Cash and investment securities1 44,884 46,341 57,572 58,401 58,461 56,886 59,045 57,616 57,453 58,558 59,161 61,042 4 Other 45,850 56,933 #69,445 70,695 71,246 72,416 73,804 74,285 74,813 75,727 77,065 78,014 5 Liabilities and net worth 523,542 578,962 629,829 634,405 636,859 639,827 644,603 646,704 648,793 651,986 654,605 657,583 6 Savings capital 430,953 470,004 510,959 515,250 518,990 516,071 517,628 517,632 514,103 512,745 514,941 518,399 7 Borrowed money 42,907 55,232 64,491 62,270 64,197 67,704 70,025 74,756 79,554 83,287 87,296 85,796 8 FHLBB 31,990 40,441 47,045 46,360 47,310 49,607 51,064 53,836 57,188 60,025 61,857 62,031 9 Other 10,917 14,791 16,309 16,887 18,097 18,097 18,961 20,920 22,366 23,262 25,439 23,765 10 Loans in process 10,721 9,582 8,120 7,756 7,840 7,840 7,997 88,,000088 7,766 7,382 7,073 6,757 11 Other 9,904 11,506 12,227 16,071 13,271 14,946 17,089 1144,,775566 16,365 18,067 15,097 17,212 12 Net worth2 29,057 32,638 33,319 32,981 32,645 32,266 31,864 31,552 31,005 30,505 30,198 29,419 13 MEMO: Mortgage loan commitments outstanding3 18,911 16,007 16,102 16,279 17,374 18,552 18,740 18,020 17,224 16,681 16,015 15,548 Mutual savings banks4 14 Assets 158,174 163,405 171,564 172,349 173,232 172,837 173,776 174,387 174,637 175,072 175,234 Loans 15 Mortgage 95,157 999888,,,999000888 99,865 99,739 99,719 99,798 99,790 99,993 100,072 100,157 99,944 16 Other 77,,119955 999,,,222555333 1111,,773333 12,598 13,248 1122,,775566 13,375 1144,,440033 14,378 14,597 14,868 Securities 17 U.S. government5 4,959 7,658 8,949 9,032 9,203 9,262 9,296 9,230 9,363 9,375 9,594 18 State and local government 3,333 2,930 2,390 2,376 2,359 2,314 2,328 2,337 2,297 2,335 2,323 19 Corporate and other6 39,732 37,086 39,282 39,223 39,236 39,247 39,111 38,418 38,425 38,253 38,118 20 Cash 3,665 3,156 4,334 4,205 4,238 4,172 4,513 4,473 4,654 4,814 4,810 21 Other assets 4,131 4,412 5,011 5,177 5,231 5,288 5,364 5,534 5,449 5,541 5,577 n a. 22 Liabilities 158,174 163,405 171,564 172,349 173,232 172,837 173,776 174,387 174,637 175,072 175,234 23 Deposits 142,701 146,006 153,501 153,332 154,805 153,692 153,891 154,926 153,797 153,429 153,412 24 Regular7 141,170 144,070 151,416 151,346 152,630 151,429 151,658 152,603 151,450 151,075 151,072 25 Ordinary savings 71,816 61,123 53,971 52,035 53,049 52,331 51,212 51,594 50,647 49,149 49,254 26 Time and other 69,354 82,947 97,445 99,311 99,581 99,098 100,447 101,009 100,803 101,926 10,818 27 Other 1,531 1,936 2,086 1,986 2,174 2,264 2,232 2,323 2,347 2,354 25,769 28 Other liabilities 4,565 5,873 6,695 7,753 7,265 8,103 8,922 8,634 10,179 11,119 11,458 29 General reserve accounts 1100,,990077 11,525 11,368 13,412 11,163 11,042 10,923 1100,,882277 10,661 10,524 10,364 30 MEMO: Mortgage loan commitments outstanding8 4,400 3,182 1,476 1,331 1,379 1,614 1,709 1,577 1,401 1,333 1,218 Life insurance companies 31 Assets 389,924 432,282 479,210' 485,033 490,149 493,185 497,276 500,316 503,994 506,585 509,478 Securities 32 Government 20,009 0,338 21,378' 22,669 22,775 22,603 22,948 23,415 23,691 23,949 24,280 33 United States9 4,822 4,888 5,345' 6,774 6,807 6,502 6,787 7,119 7,359 7,544 7,670 34 State and local 6,402 6,428 6,701' 6,145 6,199 6,809 6,815 6,876 6,865 6,904 7,033 35 Foreign10 8,785 9,022 9,332' 9,250 9,269 9,292 9,346 9,420 9,467 9,501 9,577 36 Business 198,105 222,332 238,113' 241,675 243,996 245,841 247,437 248,737 250,186 250,371 250,315 n.a. 37 Bonds 162,587 178,371 190,747' 195,251 196,514 198,397 199,818 201,402 203,016 204,501 205,908 38 Stocks 35,518 39,757 47,366' 46,424 47,482 47,444 47,619 47,335 41,170 45,870 44,407 39 Mortgages 106,167 118,421 131,080' 132,567 133,230 133,896 134,492 135,318 135,928 136,516 136,982 40 Real estate 11,764 13,007 15,033' 15,869 16,244 16,464 16,738 16,966 17,429 17,626 17,801 41 Policy loans 30,146 34,825 41,411' 42,574 43,231 43,772 44,292 44,970 45,591 46,252 47,042 42 Other assets 23,733 27,563 31,702' 29,679 30,673 30,609 31,369 30,910 31,169 31,971 33,058 Credit unions 43 Total assets/liabilities and capital 62,348 65,854 71,709 71,446 73,214 72,783 73,565 74,041 73,616 73,240 73,719 73,715 44 Federal 34,760 35,934 39,801 39,636 40,624 40,207 40,648 40,948 40,510 40,233 40,513 40,555 45 State 27,588 29,920 31,908 31,810 32,590 32,576 32,917 33,093 33,106 33,007 33,206 23,160 46 Loans outstanding 50,269 53,125 47,774 47,451 47,815 47,994 48,499 49,064 49,507 49,976 50,169 49,799 47 Federal 27,687 28,698 25,627 25,376 25,618 25,707 26,038 26,422 26,661 26,974 27,137 26,956 48 State 22,582 24,426 22,147 22,075 22,197 22,287 22,461 22,642 22,846 23,002 23,032 22,843 49 Savings 53,517 56,232 64,399 64,357 65,744 65,495 65,988 66,472 65,854 65,138 65,686 65,797 50 Federal (shares) 29,802 35,530 36,348 36,236 36,898 36,684 36,967 37,260 36,819 36,373 36,584 36,671 51 State (shares and deposits) 23,715 25,702 28,051 28,121 28,846 28,811 29,021 29,212 29,035 28,765 29,102 29,126 For notes see bottom of page A30. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A30 Domestic NonfinancialS tatistics • December 1981 1.38 FEDERAL FISCAL AND FINANCING OPERATIONS Millions of dollars Calendar year FFiissccaall FFiissccaall FFiissccaall Type of account or operation yyeeaarr yyeeaarr yyeeaarr 11997799 11998800'' 11998811 1980 1981 1981 HI H2 HI Aug. Sept. Oct. U.S. budget 1 Receipts " 465,940 520,056 602,612 270,864 262,152 318,899 47,976 60,594 45,467 2 Outlays1-2 493,635 579,603 660,544 289,905 310,972 334,710 53,095 53,698 63,573 3 Surplus, or deficit(-) -27,694 -59,547 -57,932 -19,041 -48,821 -15,811 -5,119 6,897 -18,106 4 Trust funds 18,335 8,791 7,168 4,383 -2,551 5,797 310 9,408 -4,269 5 Federal funds3 -46,069 -67,752 -65,099 -23,418 -46,306 -21,608 -5,429 -2,511 -13,837 OOffff--bbuuddggeett eennttiittiieess ((ssuurrpplluuss,, oorr ddeeffiicciitt 66 FFeeddeerraall FFiinnaanncciinngg BBaannkk oouuttllaayyss -13,261 -14,549 -20,769 -7,735 -7,552 -11,046 -616 -3,129 -638 77 OOtthheerr44 793 303 -236 -522 376 -900 -418 30 -5 U.S. budget plus off-budget, including Federal Financing Bank 8 Surplus, or deficit (-) -40,162 -73,792 -78,937 -27,298 -55,998 -27,757 -6,153 3,798 -18,749 Source or financing 9 Borrowing from the public 33,641 70,515 79,329 24,435 54,764 33,213 6,501 8,577 10,374 10 Cash and monetary assets (decrease, or increase (- )r -408 -355 -1,878 -3,482 -6,730 2,873 1,330 -13,731 1,483 11 Other6 6,929 3,632 1,485 6,345 7,964 -8,328 -1,678 1,356 6,892 MEMO: 12 Treasury operating balance (level, end of period) 24,176 20,990 18,670 14,092 12,305 16,389 5,714 18,670 16,335 13 Federal Reserve Banks 6,489 4,102 3,520 3,199 3,062 2,923 2,595 3,520 3,550 14 Tax and loan accounts 17,687 16,888 15,150 10,893 9,243 13,466 3,119 15,150 12,785 1. Effective June 1978, earned income credit payments in excess of an individ- 6. Includes accrued interest payable to the public; allocations of special drawing ual's tax liability, formerly treated as income tax refunds, are classified as outlays rights; deposit funds; miscellaneous liability (including checks outstanding) and retroactive to January 1976. asset accounts; seigniorage; increment on gold; net gain/loss for U.S. currency 2. Effective Oct. 1, 1980, the Pension Benefit Guaranty Corporation was re- valuation adjustment; net gain/loss for IMF valuation adjustment; and profit on classified from an off-budget agency to an on-budget agency in the Department of the sale of gold. Labor. 3. Half-year figures are calculated as a residual (total surplus/deficit less trust SOURCE. "Monthly Treasury Statement of Receipts and Outlays of the U.S. fund surplus/deficit). Government," Treasury Bulletin, and the Budget of the United States Government, 4. Includes Postal Service Fund; Rural Electrification and Telephone Revolving Fiscal Year 1982. Fund; and Rural Telephone Bank. 5. Includes U.S. Treasury operating cash accounts; special drawing rights; gold tranche drawing rights; loans to International Monetary Fund; and other cash and monetary assets. NOTES TO TABLE 1.37 1. Holdings of stock of the Federal Home Loan Banks are included in "other 10. Issues of foreign governments and their subdivisions and bonds of the Inassets." ternational Bank for Reconstruction and Development. 2. Includes net undistributed income, which is accrued by most, but not all, associations. NOTE. Savings and loan associations: Estimates by the FHLBB for all associations 3. Excludes figures for loans in process, which are shown as a liability. in the United States. Data are based on monthly reports of federally insured 4. The NAMSB reports that, effective April 1979, balance sheet data are not associations and annual reports of other associations. Even when revised, data for strictly comparable with previous months. Beginning April 1979, data are reported current and preceding year are subject to further revision. on a net-of-valuation-reserves basis. Prior to that date, data were reported on a Mutual savings banks: Estimates of National Association of Mutual Savings gross-of-valuation-reserves basis. Banks for all savings banks in the United States. 5. Beginning April 1979, includes obligations of U.S. government agencies. Be- Life insurance companies: Estimates of the American Council of Life Insurance fore that date, this item was included in "Corporate and other." for all life insurance companies in the United States. Annual figures are annual- 6. Includes securities of foreign governments and international organizations statement asset values, with bonds carried on an amortized basis and stocks at and, prior to April 1979, nonguaranteed issues of U.S. government agencies. year-end market value. Adjustments for interest due and accrued and for differ- 7. Excludes checking, club, and school accounts. ences between market and book values are not made on each item separately but 8. Commitments outstanding (including loans in process) of banks in New York are included, in total, in "other assets." State as reported to the Savings Banks Association of the state of New York. Credit unions: Estimates by the National Credit Union Administration for a 9. Direct and guaranteed obligations. Excludes federal agency issues not guar- group of federal and state-chartered credit unions that account for about 30 percent anteed, which are shown in the table under "Business" securities. of credit union assets. Figures are preliminary and revised annually to incorporate recent benchmark data. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Federal Finance A31 1.39 U.S. BUDGET RECEIPTS AND OUTLAYS Millions of dollars Calendar year FFFiiissscccaaalll FFFiiissscccaaalll FFFiiissscccaaalll SSSooouuurrrccceee ooorrr tttyyypppeee yyyeeeaaarrr yyyeeeaaarrr yyyeeeaaarrr 1980 1981 1981 111999777999 111999888000rrr 111999888111 HI H2 HI Aug. Sept. Oct. RECEIPTS 1 All sources1 465,955 520,056 602,612 270,864 262,152 318,899 47,976 60,594 45,467 2 Individual income taxes, net 217,841 244,069 285,551 119,988 131,962 142,889 21,615 30,882 22,555 3 Withheld 195,295 223,763 255,966 110,394 120,924 126,101 21,150 21,291 21,817 4 Presidential Election Campaign Fund... 36 39 41 34 4 36 1 0 0 5 Nonwithheld 56,21,5 63,746 76,844 49,707 14,592 59,907 1,227 10,155 1,283 6 Refunds1 33,705 43,479 47,299 40,147 3,559 43,155 813 564 545 Corporation income taxes 7 Gross receipts 71,448 72,380 73,733 43,434 28,579 44,048 2,397 10,040 2,934 8 Refunds 5,771 7,780 12,596 4,064 4,518 6,565 790 1,381 1,669 9 Social insurance taxes and contributions, net 141,591 160,747 186,426 86,597 77,262 102,911 18,190 14,516 15,369 10 Payroll employment taxes and contributions2 111155,,004411 133,042 156,953 69,077 66,831 83,851 14,965 13,136 13,872 11 Self-employment taxes and contributions3 5,034 5,723 6,041 5,535 188 6,240 0 524 443 12 Unemployment insurance 15,387 15,336 16,129 8,690 6,742 9,205 2,561 193 439 13 Other net receipts4 6,130 6,646 7,304 3,294 3,502 3,615 664 663 616 14 Excise taxes 18,745 24,329 40,839 11,383 15,332 21,945 4,052 3,597 3,486 15 Customs deposits 7,439 7,174 8,083 3,443 3,717 3,926 776 771 784 16 Estate and gift taxes 5,411 6,389 6,787 3,091 3,499 3,259 568 699 643 17 Miscellaneous receipts5 9,252 12,748 13,790 6,993 6,318 6,487 1,169 1500 1,365 OUTLAYS 18 All types1,6 493,635 579,603 660,544 289,905 310,972 334,710 53,095 53,698 64,216 19 National defense 117,681 135,880 159,699 69,132 72,457 80,005 13,523 14,022 14,722 20 International affairs 6,091 10,472 11,051 4,602 5,430 5,999 785 982 1,019 21 General science, space, and technology ... 5,041 5,999 6,422 3,150 3,205 3,314 490 347 830 22 Energy 6,856 6,623 10,642 3,126 3,997 5,677 929 1,018 1,276 23 Natural resources and environment 12,091 14,130 13,783 6,668 7,722 6,476 1,194 1,131 1,562 24 Agriculture 6,238 4,951 5,598 3,193 1,892 3,101 536 -407 820 25 Commerce and housing credit 2,565 7,795 3,995 3,878 3,163 1,940 292 -639 1,154 26 Transportation 17,459 20,840 23,312 9,582 11,547 11,991 1,925 1,881 1,727 27 Community and regional development.... 9,482 9,917 9,265 5,302 5,370 4,621 618 641 990 28 Education, training, employment, social services 29,685 31,399 30,563 16,686 15,221 15,928 2,647 1,954 2,655 29 Health 49,614 58,165 69,324 29,299 31,263 34,708 5,838 6,599 6,276 30 Income security1,6 160,159 192,133 225,599 94,605 107,912 113,490 18,857 19,094 20,847 31 Veterans benefits and services 19,928 21,167 22,937 9,758 11,731 10,531 789 2,011 3,013 32 Administration of justice 4,153 4,554 4,721 2,291 2,299 2,344 397 397 387 33 General government 4,153 4,641 4,730 2,422 2,432 2,692 581 266 508 34 General-purpose fiscal assistance 8,372 8,306 6,621 3,940 4,191 3,015 28 179 1,314 35 Interest7 52,556 64,564 82,590 32,658 35,909 41,178 7,320 6,436 6,157 36 Undistributed offsetting receipts7,8 -18,489 -21,933 -30,306 -10,387 -14,769 -12,432 -3,652 -2,216 -1,039 1. Effective June 1978, earned income credit payments in excess of an individual's classified from an off-budget agency to an on-budget agency in the Department of tax liability, formerly treated as income tax refunds, were classified as outlays Labor. retroactive to January 1976. 7. Effective September 1976, "Interest" and "Undistributed offsetting receipts" 2. Old-age, disability, and hospital insurance, and railroad retirement accounts. reflect the accounting conversion from an accrual basis to a cash basis for the 3. Old-age, disability, and hospital insurance. interest on special issues for U.S. government accounts. 4. Supplementary medical insurance premiums, federal employee retirement 8. Consists of interest received by trust funds, rents and royalties on the Outer contributions, and Civil Service retirement and disability fund. Continental Shelf, and U.S. government contributions for employee retirement. 5. Deposits of earnings by Federal Reserve Banks and other miscellaneous receipts. SOURCE. "Monthly Treasury Statement of Receipts and Outlays of the U.S. 6. Effective Oct. 1, 1980, the Pension Benefit Guaranty Corporation was re- Government" and the Budget of the U.S. Government, Fiscal Year 1982. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A32 Domestic Financial Statistics • December 1981 1.40 FEDERAL DEBT SUBJECT TO STATUTORY LIMITATION Billions of dollars 1979 1980 1981 IItteemm Sept. 30 Dec. 31 Mar. 31 June 30 Sept. 30 Dec. 31 Mar. 31 June 30 Sept. 30 1 Federal debt outstanding 833.8 852.2 870.4 884.4 914.3 936.7 970.9 977.4 1003.9 2 Public debt securities 826.5 845.1 863.5 877.6 907.7 930.2 964.5 971.2 997.9 3 Held by public 638.8 658.0 677.1 682.7 710.0 737.7 773.7 771.3 789.8 4 Held by agencies 187.7 187.1 186.3 194.9 197.7 192.5 190.9 199.9 208.1 5 Agency securities 7.2 7.1 7.0 6.8 6.6 6.5 6.4 6.2 6.1 6 Held by public 5.8 5.6 5.5 5.3 5.1 5.0 4.9 4.7 4.6 7 Held by agencies 1.5 1.5 1.5 1.5 1.5 1.5 1.5 1.5 1.5 8 Debt subject to statutory limit 827.6 846.2 864.5 878.7 908.7 931.2 965.5 972.2 998.8 9 Public debt securities 825.9 844.5 862.8 877.0 907.1 929.6 963.9 970.6 997.2 10 Other debt1 1.7 1.7 1.7 1.7 1.6 1.6 1.6 1.6 1.6 11 MEMO: Statutory debt limit 830.0 879.0 879.0 925.0 925.0 935.1 985.0 985.0 999.8 1. Includes guaranteed debt of government agencies, specified participation cer- NOTE. Data from Treasury Bulletin (U.S. Treasury Department), tificates, notes to international lending organizations, and District of Columbia stadium bonds. 1.41 GROSS PUBLIC DEBT OF U.S. TREASURY Types and Ownership Billions of dollars, end of period 1981 TTyyppee aanndd hhoollddeerr 11997777 11997788 11997799 11998800 July Aug. Sept. Oct. Nov. 1 Total gross public debt 718.9 789.2 845.1 930.2 973.3 980.2 997.9 1,005.0 1013.3 By type 2 Interest-bearing debt 715.2 782.4 844.0 928.9 972.1 978.9 996.5 999.5 1011.9 3 Marketable 459.9 487.5 530.7 623.2 666.4 673.8 683.2 689.6 704.8 4 Bills 161.1 161.7 172.6 216.1 217.5 219.9 223.4 229.1 233.9 5 Notes 251.8 265.8 283.4 321.6 354.0 357.6 363.6 362.6 370.8 6 Bonds 47.0 60.0 74.7 85.4 94.9 96.3 96.2 97.9 100.1 7 Nonmarketable1 255.3 294.8 313.2 305.7 305.6 305.2 313.3 309.9 307.1 2.2 2.2 2.2 9 State and local government series 13.9 24.3 24.6 23.8 22.8 22.8 23.2 23.1 23.0 10 Foreign issues3 22.2 29.6 28.8 24.0 21.9 21.4 20.5 20.5 20.3 11 Government 21.0 28.0 23.6 17.6 16.3 15.7 15.5 15.5 15.3 12 Public 1.2 1.6 5.3 6.4 5.7 5.7 5.0 5.0 5.0 13 Savings bonds and notes 77.0 80.9 79.9 72.5 69.0 68.6 68.3 68.0 68.0 14 Government account series4 139.8 157.5 177.5 185.1 191.6 192.1 201.1 198.1 195.5 15 Non-interest-bearing debt 3.7 6.8 1.2 1.3 1.2 1.3 1.4 5.6 1.4 By holder5 16 U.S. government agencies and trust funds 154.8 170.0 187.1 192.5 198.6 199.0 208.1 17 Federal Reserve Banks 102.8 109.6 117.5 121.3 123.4 124.5 124.3 18 Private investors 461.3 508.6 540.5 616.4 651.3 656.7 665.4 19 Commercial banks 101.4 93.2 96.4 116.0 114.2 115.0 112.2 20 Mutual savings banks 5.9 5.0 4.7 5.4 5.6 5.5 5.5 21 Insurance companies 15.1 15.7 16.7 20.1 19.8 20.6 20.7 n a. n a. 22 Other companies 20.5 19.6 22.9 25.7 37.8 38.0 37.8 23 State and local governments 55.2 64.4 69.9 78.8 76.0 86.2 86.2 Individuals 24 Savings bonds 76.7 80.7 79.9 72.5 69.0 68.7 68.3 25 Other securities 28.6 30.3 36.2 56.7 70.5 71.5 72.0 26 Foreign and international6 109.6 137.8 124.4 127.7 139.0r 137.0 135.5 27 Other miscellaneous investors7 49.7 58.9 90.1 106.9 109.4r 114.2 127.2 1. Includes (not shown separately): Securities issued to the Rural Electrification 5. Data for Federal Reserve Banks and U.S. government agencies and trust Administration, depository bonds, retirement plan bonds, and individual retire- funds are actual holdings; data for other groups are Treasury estimates. ment bonds. 6. Consists of investments of foreign balances and international accounts in the 2. These nonmarketable bonds, also known as Investment Series B Bonds, may United States. be exchanged (or converted) at the owner's option for Vh percent, 5-year mar- 7. Includes savings and loan associations, nonprofit institutions, corporate penketable Treasury notes. Convertible bonds that have been so exchanged are re- sion trust funds, dealers and brokers, certain government deposit accounts, and moved from this category and recorded in the notes category (line 5). government sponsored agencies. 3. Nonmarketable dollar-denominated and foreign currency-denominated series held by foreigners. NOTE. Gross public debt excludes guaranteed agency securities. 4. Held almost entirely by U.S. government agencies and trust funds. Data by type of security from Monthly Statement of the Public Debt of the United States (U.S. Treasury Department); data by holder from Treasury Bulletin. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Federal Finance A33 1.42 U.S. GOVERNMENT MARKETABLE SECURITIES Ownership, by maturity Par value; millions of dollars, end of period 1981 1981 T f U 1,4 11998800 11997799 Aug. Sept. Aug. Sept. All maturities 1 to 5 years 1 All holders 530,731 623,186 673,765 683,209 164,198 197,409 216,771 218,310 2 U.S. government agencies and trust funds 11,047 9,564 9,015 9,015 2,555 1,990 1,368 1,368 3 Federal Reserve Banks 117,458 121,328 124,522 124,330 8,469 35,835 34,718 34,689 4 Private investors 402,226 492,294 540,228 549,863 133,173 159,585 180,685 182,253 5 Commercial banks 69,076 77,868 78,972 77,015 38,346 44,482 42,963 40,551 6 Mutual savings banks 3,204 3,917 4,096 4,101 1,668 1,925 2,069 1,991 7 Insurance companies 11,496 11,930 13,209 13,297 4,518 4,504 5,358 5.415 8 Nonfinancial corporations 8,433 7,758 5,366 5,278 2,844 2,203 1,292 1,065 9 Savings and loan associations 3,209 4,225 4,218 4,253 1,763 2,289 2,357 2,354 10 State and local governments 15,735 21,058 23,743 23,757 3,487 4,595 5,090 4,995 11 All others 291,072 365,539 410,624 422,162 80,546 99,577 121,556 125,881 Total, within 1 year 5 to 10 years 12 All holders 255,252 297,385 314,506 318,998 50,440 56,037 58,214 61,660 13 U.S. government agencies and trust funds 1,629 830 909 909 871 1,404 1,398 1,398 14 Federal Reserve Banks 63,219 56,858 62,082 61,919 12,977 13,458 11,519 11,519 15 Private investors 190,403 239,697 251,516 256,170 36,592 41,175 45,297 48,743 16 Commercial banks 20,171 25,197 28.435 28,793 8,086 5,793 4,397 4,466 17 Mutual savings banks 836 1,246 1,382 1,463 459 455 270 272 18 Insurance companies 2,016 1,940 2,186 2,104 2.815 3,037 2,787 2,851 19 Nonfinancial corporations 4,933 4,281 2,388 2,543 308 357 340 335 20 Savings and loan associations 1,301 1,646 1,661 1,723 69 216 129 102 21 State and local governments 5,607 7,750 8,679 8,545 1,540 2,030 2,338 2,395 22 All others 155,539 197,636 206,785 211,000 24,314 29,287 35,036 38,324 Bills, within 1 year 10 to 20 years 23 All holders 172,644 216,104 219,854 223,388 27,588 36,854 43,165 41,378 24 U.S. government agencies and trust funds 0 1 1 1 4,520 3,686 4,027 4,027 25 Federal Reserve Banks 45,337 43,971 47,123 46,931 3,272 5,919 6,535 6,491 26 Private investors 127,306 172,132 172,730 176,456 19,796 27,250 32,602 30,860 27 Commercial banks 5,938 9,856 9,218 8,688 993 1,071 1,263 1,265 28 Mutual savings banks 262 394 343 360 127 181 203 197 29 Insurance companies 473 672 660 575 1,305 1,718 2,117 2,106 30 Nonfinancial corporations 2,793 2,363 941 1,021 218 431 849 775 31 Savings and loan associations 219 818 377 385 58 52 38 38 32 State and local governments 3,100 5,413 6,133 5,862 1,762 3,597 4,542 4,390 33 All others 114,522 152,616 155.059 159,565 15,332 20,200 23,590 22,089 Other, within 1 year Over 20 years 34 All holders 82,608 81,281 94,652 95,610 33,254 35,500 41,109 42,863 35 U.S. government agencies and trust funds 1,629 829 907 907 1,472 1,656 1,313 1,313 36 Federal Reserve Banks 17,882 12,888 14.959 14,988 9,520 9,258 9,669 9,713 37 Private investors 63,097 67,565 78,785 79,715 22,262 24,587 30,127 31,837 38 Commercial banks 14,233 15,341 19,217 20,104 1,470 1,325 1,914 1,941 39 Mutual savings banks 574 852 1,039 1,103 113 110 172 178 40 Insurance companies 1,543 1,268 1,526 1,529 842 730 760 821 41 Nonfinancial corporations 2,140 1,918 1,447 1,523 130 476 497 559 42 Savings and loan associations 1,081 828 1,284 1,338 19 21 34 36 43 State and local governments 2,508 2,337 2,546 2,683 3,339 3,086 3,094 3,433 44 All others 41,017 45,020 51,726 51,435 16,340 18,838 23,656 24,869 NOTE. Direct public issues only. Based on Treasury Survey of Ownership from and 725 insurance companies, each about 80 percent; (2) 409 nonfinancial cor- Treasury Bulletin (U.S. Treasury Department). porations and 470 savings and loan associations, each about 50 percent; and (3) Data complete for U.S. government agencies and trust funds and Federal Reserve 489 state and local governments, about 40 percent. Banks, but data for other groups include only holdings of those institutions that "All others," a residual, includes holdings of all those not reporting in the report. The following figures show, for each category, the number and proportion Treasury Survey, including investor groups not listed separately. reporting as of Sept. 30,1981: (1)5,326 commercial banks, 456 mutual savings banks, Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A34 Domestic Financial Statistics • December 1981 1.43 U.S. GOVERNMENT SECURITIES DEALERS Transactions Par value; averages of daily figures, in millions of dollars 1981 1981, week ending Wednesday IItteemm 11997788 11997799 11998800 Aug. Sept. Oct. Oct. 14 Oct. 21 Oct. 28 Nov. 4 Nov. 11 Nov. 18 Immediate delivery1 1 U.S. government securities.. 10,285 13,183 18,331 23,901 24,881 27,905 28,485 24,554 25,112 38,770 40,026 35,180 By maturity 2 Bills 6,173 7,915 11,413 14,188 14,980 17,241 16,607 15,220 15,753 24,324 21,388 18,701 3 Other within 1 year 392 454 421 516 794 768 511 747 608 1,324 857 1,424 4 1-5 years 1,889 2,417 3,330 3,990 4,238 4,408 4,063 3,779 4,612 7,520 8,847 7,192 5 5-10 years 965 1,121 1,464 2,410 2,688 2,903 4,824 2,471 2,234 2,813 3,237 3,386 6 Over 10 years 867 1,276 1,704 2,797 2,181 2,587 2,479 2,337 1,905 2,789 5,698 4,477 By type of customer 7 U.S. government securities dealers 1,135 1,448 1,484 1,767 1,810 2,138 1,215 1,885 1,864 3,089 2,120 1,936 8 U.S. government securities brokers 3,838 5,170 7,610 11,555 11,922 13,499 14,266 11,931 11,608 18,183 18,771 16,742 9 All others2 5,312 6,564 9,237 10,579 11,149 12,269 13,004 10,738 11,162 17,498 19,135 16,502 10 Federal agency securities.... 1,894 2,723 3,258 3,136 2,786 3,559 3,471 3,227 3,114 4,828 4,206 4,646 11 Certificates of deposit 1.292 1,764 2,472 4,161 5,337 5,370 5,354 4,327 5,205 7,535 6,890 6,773 12 Bankers acceptances 1,420 1,844 2,087 2,118 1,771 2,000 2,815 2,829 2,656 13 Commercial paper 5,942 6,622 6,989 7,038 7,396 6,140 8,015 7,306 7,902 Futures transactions3 14 Treasury bills 3,619 3,764 3,825 3,886 3,847 3,421 5,348 4,638 5,461 15 Treasury coupons 1,337 1,840 1,499 1,590 1,499 1,264 1,493 2,255 3,077 16 Federal agency securities.... n.a. n.a. n a. 237 169 195 173 246 191 256 276 360 Forward transactions4 17 U.S. government securities.. 612 359 303 429 173 340 918 700 233 18 Federal agency securities.... 1,123 1,269 1,437 1,673 1,372 1,326 2,073 2,116 2,154 1. Before 1981, data for immediate transactions include forward transactions. date of the transaction for government securities (Treasury bills, notes, and bonds) 2. Includes, among others, all other dealers and brokers in commodities and or after 30 days for mortgage-backed agency issues. securities, nondealer departments of commercial banks, foreign banking agencies, NOTES. Averages for transactions are based on number of trading days in the and the Federal Reserve System. period. 3. Futures contracts are standardized agreements arranged on an organized ex- Transactions are market purchases and sales of U.S. government securities dealchange in which parties commit to purchase or sell securities for delivery at a future ers reporting to the Federal Reserve Bank of New York. The figures exclude date. allotments of, and exchanges for, new U.S. government securities, redemptions of 4. Forward transactions are agreements arranged in the over-the-counter market called or matured securities, purchases or sales of securities under repurchase in which securities are purchased (sold) for delivery after 5 business days from the agreement, reverse repurchase (resale), or similar contracts. 1.44 U.S. GOVERNMENT SECURITIES DEALERS Positions and Financing Averages of daily figures, in millions of dollars 1981 1981, week ending Wednesday IItteemm 11997788 11997799 11998800 Aug. Sept. Oct. Sept. 30 Oct. 7 Oct. 14 Oct. 21 Oct. 28 Nov. 4 Positions Net immediate1 1 U.S. government securities.... 2,656 3,223 4,306 6,635 6,148 6,384 4,431 6,807 7,709 5,318 5,945 7,569 2 Bills 2.452 3.813 4,103 4,322 5,543 4,781 2,689 5,640 5,576 4,247 4,056 5,103 3 Other within 1 year 260 -325 -1,062 -2,181 -2,613 3,235 -2,326 -3,026 -3,072 -3,283 -3,435 -3,532 4 1-5 years -92 -455 434 2,531 2,180 1,901 2,516 1,753 1,409 1,170 2,766 3,229 5 5-10 years 40 160 166 72 31 -12 -702 -605 552 196 -15 -57 6 Over 10 years -4 30 665 1,892 2,081 2,947 2,254 3,044 3,243 2,989 2,573 2,825 7 Federal agency securities 606 1,471 797 2.984 2,341 2,059 2,040 1,673 1,751 2,160 2,397 2,630 8 Certificates of deposit 2,775 2,794 3,115 3.925 3,341 4,209 4,275 4,454 4,022 4,194 4,045 4,412 9 Bankers acceptances 1.475 1,440 2,133 1,741 2,118 2,046 2,207 2,110 2,239 10 Commercial paper 2.171 2,337 2,635 2,430 3,100 2,607 2,566 2,259 2,880 Future positions 11 Treasury bills -9.939 -9,786 -8,568 -8,055 -8,140 -8,901 -8,355 -8,022 -10,225 12 Treasury coupons n a. n.a. n a. -2,598 -2,363 -3,146 -2,638 -2,849 -3,422 -3,218 -2,988 -3,405 13 Federal agency securities -807 -661 -363 -562 -416 -548 -532 -145 -80 Forwards positions 14 U.S. government securities.... --550099 -565 -560 -492 -557 -553 -616 -538 -500 15 Federal agency securities -206 -254 -362 -196 -202 -273 -362 -451 -688 Financing2 16 Re O ve v r e s r e n i r g e h p t u a r n ch d a c se o n a ti g n r u ee in m g e n . t . s . ^ 11 tt 16,087 17,052 19,848 19,204 19,645 18,788 20,896 19,832 20,080 17 Term agreements 29.414 30,889 37,492 35,365 37,581 35,144 35,279 39,901 39,553 Repurchase agreements4 nn..aa.. nn..aa.. 18 Overnight and continuing ... JJ 36,719 35,814 41,347 36,971 38,172 40,457 41,331 42,401 44,375 19 Term agreements 27,213 29,521 32,892 32,831 33,538 30,717 32,468 33,860 33,875 For notes see opposite page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Federal Finance A35 1.45 FEDERAL AND FEDERALLY SPONSORED CREDIT AGENCIES Debt Outstanding Millions of dollars, end of period 1981 AAggeennccyy 11997788 11997799 11998800 Apr. May June July Aug. Sept. 1 Federal and federally sponsored agencies' 137,063 163,290 193,229 200,434 205,020 208,961 213,690 218,362 223,393 2 Federal agencies 23,488 24,715 28,606 29.502 29,311 29,945 29,978 30,088 30,870 3 Defense Department2 968 738 610 566 556 546 536 526 516 4 Export-Import Bank3-4 8,711 9,191 11,250 11.868 11,850 12,423 12,401 12,385 12,855 5 Federal Housing Administration5 588 537 477 459 449 448 443 449 432 6 Government National Mortgage Association participation certificates6 3,141 2,979 2,817 2,775 2,775 2,715 2,715 2,715 2,715 7 Postal Service7 2,364 1,837 1,770 1.770 1,538 1,538 1,538 1,538 1.538 8 Tennessee Valley Authority 7,460 8,997 11,190 11.845 11,930 12.060 12.130 12,260 12,599 9 United States Railway Association7 356 436 492 219 213 215 215 215 215 10 Federally sponsored agencies1 113,575 138,575 164,623 170,932 175,709 179,016 183,712 188,274 192,523 11 Federal Home Loan Banks 27,563 33,330 41,258 44,357 47,121 49,425 52.431 55,161 58,276 12 Federal Home Loan Mortgage Corporation 2,262 2,771 2,536 2.409 2,409 2,409 2,408 2,408 2,308 13 Federal National Mortgage Association 41,080 48,486 55,185 54.183 54,430 54,657 55,362 56,372 56,688 14 Federal Land Banks 20,360 16.006 12,365 10.583 10,583 10.583 10,317 10,317 10,317 15 Federal Intermediate Credit Banks 11,469 2,676 1,821 1.388 1,388 1,388 1.388 1,388 1,388 16 Banks for Cooperatives 4,843 584 584 220 220 220 220 220 220 17 Farm Credit Banks' 5,081 33,216 48,153 54.345 56,061 56,932 57,784 58,306 59,024 18 Student Loan Marketing Association8 915 1,505 2,720 3.445 3,495 3,400 3.800 4,100 4,300 19 Other 2 1 1 2 2 2 2 2 2 MEMO: 20 Federal Financing Bank debt1 9 51,298 67,383 87,460 96,489 98,297 100,333 102,853 103,597 107,309 Lending to federal and federally sponsored 21 Export-Import Bank4 6,898 8,353 10,654 11,346 11,346 11,933 11,933 11,933 .12,409 22 Postal Service7 2,114 1.587 1,520 1.520 1,288 1.288 1.288 1,288 1,288 23 Student Loan Marketing Association8 915 1,505 2,720 3.445 3,495 3,400 3,800 4,100 4,300 24 Tennessee Valley Authority 5,635 7.272 9,465 10.120 10,205 10,335 10,405 10,535 10,874 25 United States Railway Association7 356 436 492 219 213 215 215 215 215 Other Lending10 26 Farmers Home Administration 23,825 32,050 39.431 43.456 44.746 45,691 47,396 47,171 48,821 27 Rural Electrification Administration 4,604 6.484 9,196 10.652 10,988 11,346 11.604 11,861 12,343 28 Other 6,951 9.696 13,982 15,731 16,016 16,125 16,212 16,494 17,059 1. In September 1977 the Farm Credit Banks issued their first consolidated bonds, of Housing and Urban Development; Small Business Administration; and the and in January 1979 they began issuing these bonds on a regular basis to replace Veterans Administration. the financing activities of the Federal Land Banks, the Federal Intermediate Credit 7. Off-budget. Banks, and the Banks for Cooperatives. Line 17 represents those consolidated 8. Unlike other federally sponsored agencies, the Student Loan Marketing Asbonds outstanding, as well as any discount notes that have been issued. Lines 1 sociation may borrow from the Federal Financing Bank (FFB) since its obligations and 10 reflect the addition of this item. are guaranteed by the Department of Health, Education, and Welfare. 2. Consists of mortgages assumed by the Defense Department between 1957 and 9. The FFB, which began operations in 1974, is authorized to purchase or sell 1963 under family housing and homeowners assistance programs. obligations issued, sold, or guaranteed by other federal agencies. Since FFB incurs 3. Includes participation certificates reclassified as debt beginning Oct. 1, 1976. debt solely for the purpose of lending to other agencies, its debt is not included in 4. Off-budget Aug. 17, 1974, through Sept. 30, 1976; on-budget thereafter. the main portion of the table in order to avoid double counting. 5. Consists of debentures issued in payment of Federal Housing Administration 10. Includes FFB purchases of agency assets and guaranteed loans; the latter insurance claims. Once issued, these securities may be sold privately on the se- contain loans guaranteed by numerous agencies with the guarantees of any particcurities market. ular agency being generally small. The Farmers Home Administration item consists 6. Certificates of participation issued prior to fiscal 1969 by the Government exclusively of agency assets, while the Rural Electrification Administration entry National Mortgage Association acting as trustee for the Farmers Home Admin- contains both agency assets and guaranteed loans. istration; Department of Health, Education, and Welfare: Department NOTES TO TABLE 1.44 1. Immediate positions are net amounts (in terms of par values) of securities 3. Includes all reverse repurchase agreements, including those that have been owned by nonbank dealer firms and dealer departments of commercial banks on arranged to make delivery on short sales and those for which the securities obtained a commitment, that is, trade-date basis, including any such securities that have have been used as collateral on borrowings, i.e.. matched agreements. been sold under agreements to repurchase (RPs). The maturities of some repur- 4. Includes both repurchase agreements undertaken to finance positions and chase agreements are sufficiently long, however, to suggest that the securities "matched book" repurchase agreements. involved are not available for trading purposes. Securities owned, and hence dealer positions, do not include securities to resell (reverse RPs). Before 1981, data for NOTE. Data for positions are averages of daily figures, in terms of par value, immediate positions include forward positions. based on the number of trading days in the period. Positions are shown net and 2. Figures cover financing involving U.S. government and federal agency secu- are on a commitment basis. Data for financing are based on Wednesday figures, rities, negotiable CDs, bankers acceptances, and commercial paper. in terms of actual money borrowed or lent. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A36 Domestic Financial Statistics • December 1981 1.46 NEW SECURITY ISSUES of State and Local Governments Millions of dollars 1981 TTyyppee ooff iissssuuee oorr iissssuueerr,, oorr uussee 11997788 11997799 11998800 Apr. May June July Aug. Sept. 1 All issues, new and refunding1 48,607 43,490 48,462 5,216 3,476 4,862 3,180 3,066 3,769 Type of issue 2 General obligation 17,854 12,109 14,100 1,360 1,321 1,387 1,064 954 530 3 Revenue 30,658 3311,,225566 3344,,226677 33,,885500 22,,114455 33,,447700 22,,111111 22,,110000 33,,222288 5 U.S. government loans 95 125 95 6 10 5 5 12 11 Type of issuer 6 State 6,632 4,314 5,304 544 639 585 353 446 92 7 Special district and statutory authority 24,156 23,434 26,972 2,787 1,667 2,706 1,724 1,682 2,667 8 Municipalities, counties, townships, school districts 17,718 15,617 16,090 1,878 1,160 1,566 1,099 927 1,000 9 Issues for new capital, total 37,629 41,505 46,736 5,036 3,463 4,781 3,167 2,408 3,752 Use of proceeds 10 Education 5,003 5,130 4,572 497 231 641 255 267 136 11 Transportation 3,460 2,441 2,621 137 427 160 537 110 206 12 Utilities and conservation 9,026 8,594 8,149 1,278 664 760 881 541 1,626 13 Social welfare 10,494 15,968 19,958 1,022 1,029 1,371 712 825 459 14 Industrial aid 3,526 3,836 3,974 1,341 459 747 358 266 823 15 Other purposes 6,120 5,536 7,462 761 653 1,102 424 399 502 1. Par amounts of long-term issues based on date of sale. SOURCE. Public Securities Association. 2. Only bonds sold pursuant to the 1949 Housing Act, which are secured by contract requiring the Housing Assistance Administration to make annual contributions to the local authority. 1.47 NEW SECURITY ISSUES of Corporations Millions of dollars 1981 TTyyppee ooff iissssuuee oorr iissssuueerr,, oorr uussee 11997788 11997799 11998800 Mar. Apr. May June July Aug. Sept. 1 A11 issues1 47,230 51,533 73,688 6,423 6,835 5,457 9,536 4,133' 3,062' 4,637 2 Bonds 36,872 40,208 53,199 4,275 4,597 3,080 5,601 2,376' 1,616' 2,797 Type of offering 3 Public 19,815 25,814 41,587 3,778 3,668 2,520 4,603 1,925 905 2,198 4 Private placement 17,057 14,394 11,612 497 929 560 998 451' 711' 599 Industry group 5 Manufacturing 9,572 9,678 15,409 1,064 1,459 1,269 1,313 600' 308' 452 6 Commercial and miscellaneous 5,246 3,948 6,688 212 342 138 566 206 390' 201 7 Transportation 2,007 3,119 3,329 172 142 49 584 133' 95' 64 8 Public utility 7,092 8,153 9,556 594 904 1,063 996 383 360' 1,012 9 Communication 3,373 4,219 6,683 958 554 56 470 767 115' 471 10 Real estate and financial 9,586 11,094 11,534 1,276 1,197 506 1,672 287' 348' 598 11 Stocks 10,358 11,325 20,490 2,148 2,238 2,377 3,935 1,757 1,446 1,840 Type 12 Preferred 2,832 3,574 3,632 298 85 164 188 67 14 156 13 Common 7,526 7,751 16,858 1,850 2,153 2,213 3,747 1,690 1,432' 1,684 Industry group 14 Manufacturing 1,241 1,679 4,839 735 531 903 382 335 160 117 15 Commercial and miscellaneous 1,816 2,623 5,245 816 477 958 1,024 437 626 457 16 Transportation 263 255 549 17 146 47 18 29 91' 87 17 Public utility 5,140 5,171 6,230 414 717 173 843 308 248 484 264 303 567 56 1,036 73 12 369 19 Real estate and financial 1,631 12,931 3,059 167 310 296 632 574 310' 325 1. Figures, which represent gross proceeds of issues maturing in more than one 1933, employee stock plans, investment companies other than closed-end, intrayear, sold for cash in the United States, are principal amount or number of units corporate transactions, and sales to foreigners, multiplied by offering price. Excludes offerings of less than $100,000, secondary offerings, undefined or exempted issues as defined in the Securities Act of SOURCE. Securities and Exchange Commission. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Corporate Finance A37 1.48 OPEN-END INVESTMENT COMPANIES Net Sales and Asset Position Millions of dollars 1981 IItteemm 11997799 11998800 Mar. Apr. May June July Aug. Sept.r Oct. INVESTMENT COMPANIES1 1 Sales of own shares2 7,495 15,266 1,696 2,000 1,785 1,910 1,639 1,457 1,449 1,768 2 Redemptions of own shares3 8,393 12,012 1,112 1,594 1,250 1,512 1,297 1,422 1,457 593 3 Net sales -898 3,254 584 406 535 398 342 35 -8 1,175 4 Assets4 49,277 58,400 59,146 58,531 60,081 58,887 57,494 54,221 51,659 54,335 5 Cash position5 4,983 5,321 4,971 5,099 5,448 5,199 5,109 5,058 5,409 5,799 6 Other 44,294 53,079 54,175 53,432 54,633 53,688 52,385 49,163 46,250 48,536 1. Excluding money market funds. 5. Also includes all U.S. government securities and other short-term debt se- 2. Includes reinvestment of investment income dividends. Excludes reinvestment curities. of capital gains distributions and share issue of conversions from one fund to another in the same group. NOTE. Investment Company Institute data based on reports of members, which 3. Excludes share redemption resulting from conversions from one fund to an- comprise substantially all open-end investment companies registered with the Seother in the same group. curities and Exchange Commission. Data reflect newly formed companies after 4. Market value at end of period, less current liabilities. their initial offering of securities. 1.49 CORPORATE PROFITS AND THEIR DISTRIBUTION Billions of dollars; quarterly data are at seasonally adjusted annual rates. 1979 1980 1981 AAccccoouunntt 11997788 11997799 11998800 Q4 Q1 Q2 Q3 Q4 Q1 Q2 1 Corporate profits with inventory valuation and capital consumption adjustment 185.5 196.8 182.7 189.4 200.2 169.3 177.9 183.3 203.0 190.3 2 Profits before tax 223.3 255.3 245.5 255.4 277.1 217.9 237.6 249.5 257.0 229.0 3 Profits tax liability 82.9 87.6 82.3 87.2 94.2 71.5 78.5 85.2 87.7 76.4 4 Profits after tax 140.3 167.7 163.2 168.2 182.9 146.4 159.1 164.3 169.2 152.7 5 Dividends 44.6 50.1 56.0 51.6 53.9 55.7 56.7 57.7 59.6 62.0 6 Undistributed profits 95.7 117.6 107.2 116.6 129.0 90.7 102.4 106.6 109.6 90.6 7 Inventory valuation -24.3 -42.6 -45.6 -50.8 -61.4 -31.1 -41.7 -48.4 -39.2 -24.0 8 Capital consumption adjustment -13.5 -15.9 -17.2 -15.1 -15.4 -17.6 -17.9 -17.8 -14.7 -14.7 SOURCE. Survey of Current Business (U.S. Department of Commerce). Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A38 Domestic NonfinancialS tatistics • December 1981 1.50 NONFINANCIAL CORPORATIONS Current Assets and Liabilities Billions of dollars, except for ratio 1980 1981 AAccccoouunntt 11997755 11997766 11997777 11997788 11997799 Q2 Q3 Q4 Q1 Q2 1 Current assets 759.0 826.8 902.1 1,030.0 1,200.9 1,232.2 1,254.9 1,281.6 1,321.2 1,317.7 2 Cash 82.1 88.2 95.8 104.5 116.1 111.5 113.4 121.0 120.5 118.5 3 U.S. government securities 19.0 23.4 17.6 16.3 15.6 14.0 16.4 17.3 17.0 18.3 4 Notes and accounts receivable 272.1 292.8 324.7 383.8 456.8 463.4 478.7 491.2 507.3 507.1 5 Inventories 315.9 342.4 374.8 426.9 501.7 525.0 524.5 525.4 542.8 540.0 6 Other 69.9 80.1 89.2 98.5 110.8 118.3 121.9 126.7 133.6 133.7 7 Current liabilities 451.6 494.7 549.4 665.5 809.1 826.0 850.5 877.2 910.9 908.1 8 Notes and accounts payable 264.2 281.9 313.2 373.7 456.3 462.8 477.0 498.3 504.0 500.8 9 Other 187.4 212.8 236.2 291.7 352.8 363.2 373.5 378.9 406.9 407.2 10 Net working capital 307.4 332.2 352.7 364.6 391.8 406.2 404.3 404.4 410.3 409.6 11 MEMO: Current ratio 1 1.681 1.672 1.642 1.548 1.484 1.492 1.475 1.461 1.450 1.451 1. Ratio of total current assets to total current liabilities. All data in this table reflect the most current benchmarks. Complete data are available upon request from the Flow of Funds Section, Division of Research and NOTE. For a description of this series, see "Working Capital of Nonfinancial Statistics. Corporations" in the July 1978 BULLETIN, pp. 533-37. SOURCE. Federal Trade Commission. 1.51 TOTAL NONFARM BUSINESS EXPENDITURES on New Plant and Equipment. Billions of dollars; quarterly data are at seasonally adjusted annual rates. 1980 1981 1982 IInndduussttrryy 11997799 11998800 1199881111 Q4 Q1 Q21 Q3 Q41 Ql1 Q21 1 Total nonfarm business 270.46 295.63 322.61 299.58 312.24 316.73 328.25 332.06 345.46 354.83 Manufacturing 2 Durable goods industries 51.07 58.91 62.94 59.77 61.24 63.10 62.58 64.73 66.26 68.34 3 Nondurable goods industries 47.61 56.90 65.32 58.86 63.27 62.40 67.53 67.50 70.21 72.24 Nonmanufacturing 4 Mining 11.38 13.51 16.80 15.28 16.20 16.80 17.55 16.59 17.23 17.81 Transportation 5 Railroad 4.03 4.25 4.28 4.54 4.23 4.38 4.18 4.32 4.20 5.18 6 Air 4.01 4.01 3.83 3.77 3.85 3.29 3.34 4.93 3.06 3.63 7 Other 4.31 3.82 3.95 3.39 3.66 4.04 4.09 3.96 4.53 5.08 Public utilities 8 Electric 27.65 28.12 29.38 27.54 27.69 29.32 30.54 29.82 30.59 31.57 9 Gas and other 6.31 7.32 8.56 7.41 8.36 8.53 9.01 8.27 9.55 8.71 10 Trade and services 79.26 81.79 86.27 82.91 83.43 85.88 87.55 88.27 95.12 96.29 11 Communiation and other2 34.83 36.99 41.27 36.11 40.32 39.02 41.89 43.69 44.17 45.97 1. Anticipated by business. SOURCE. Survey of Current Business (U.S. Dept. of Commerce). 2. "Other" consists of construction; social services and membership organizations; and forestry, fisheries, and agricultural services. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Corporate Finance A39 1.52 DOMESTIC FINANCE COMPANIES Assets and Liabilities Billions of dollars, end of period 1980 1981 AAccccoouunntt 11997755 11997766 11997777 11997788 11997799 Q3 Q4 Q1 Q2 Q3 ASSETS Accounts receivable, gross 1 Consumer 36.0 38.6 44.0 52.6 65.7 71.7 73.6 76.1 79.0 84.5 2 Business 39.3 44.7 55.2 63.3 70.3 66.9 72.3 72.7 78.2 76.9 3 Total 75.3 83.4 99.2 116.0 136.0 138.6 145.9 148.7 157.2 161.3 4 LESS: Reserves for unearned income and losses.... 9.4 10.5 12.7 15.6 20.0 22.3 23.3 24.3 25.7 27.7 5 Accounts receivable, net 65.9 72.9 86.5 100.4 116.0 116.3 122.6 124.5 131.4 133.6 6 Cash and bank deposits 2.9 2.6 2.6 3.5 7 Securities 1.0 1.1 .9 1.3 24.91 28.3 27.5 30.8 31.6 34.5 8 All other 11.8 12.6 14.3 17.3 9 Total assets 81.6 89.2 104.3 122.4 140.9 144.7 150.1 155.3 163.0 168.1 LIABILITIES 10 Bank loans 8.0 6.3 5.9 6.5 8.5 10.1 13.2 13.1 14.4 14.7 11 Commercial paper 22.2 23.7 29.6 34.5 43.3 40.5 43.4 44.2 49.0 51.2 12 Short-term, n.e.c 4.5 5.4 6.2 8.1 8.2 7.7 7.5 8.2 8.5 11.9 13 Long-term, n.e.c 27.6 32.3 36.0 43.6 46.7 52.0 52.4 51.6 52.6 50.7 14 Other 6.8 8.1 11.5 12.6 14.2 14.6 14.3 17.3 17.0 17.1 15 Capital, surplus, and undivided profits 12.5 13.4 15.1 17.2 19.9 19.8 19.4 20.9 21.5 22.4 16 Total liabilities and capital 81.6 89.2 104.3 122.4 140.9 144.7 150.1 155.3 163.0 168.1 1. Beginning Q1 1979, asset items on lines 6, 7, and 8 are combined. NOTE. Components may not add to totals due to rounding. 1.53 DOMESTIC FINANCE COMPANIES Business Credit Millions of dollars, seasonally adjusted except as noted Changes in accounts Extensions Repayments AAAccccccooouuunnntttsss receivable rrreeeccceeeiiivvvaaabbbllleee ooouuutttssstttaaannndddiiinnnggg TTTyyypppeee SSSeeepppttteeemmmbbbeeerrr 1981 1981 1981 333000,,, 111999888111111 July Aug. Sept. July Aug. Sept. July Aug. Sept. 1 Total 76,877 1,213 430 -619 19,419 20,356 18,852 18,206 19,926 19,471 2 Retail automotive (commercial vehicles) 11,188 -128 63 99 838 988 1,022 966 925 923 3 Wholesale automotive 11,312 588 -62 -1,216 5,657 5,905 5,203 55,,006699 55,,996677 66,,441199 4 Retail paper on business, industrial and farm equipment 26,135 456 -73 307 1,523 1,701 1,446 984 1,774 1,139 5 Loans on commercial accounts receivable and factored commercial accounts receivable 8,606 -97 519 -352 8,824 9,459 8,721 8,921 8,940 9,073 6 All other business credit 19,636 311 -17 543 2,577 2,303 2,460 2,266 2,320 1,917 1. Not seasonally adjusted. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A40 Domestic NonfinancialS tatistics • December 1981 1.54 MORTGAGE MARKETS Millions of dollars; exceptions noted. 1981 Item 1978 1979 1980 Apr. May June July Aug. Sept. Oct. Terms and yields in primary and secondary markets PRIMARY MARKETS Conventional mortgages on new homes Terms1 1 Purchase price (thousands of dollars) 62.6 74.4 83.4 88.5 88.9 94.1 95.2 98.1 89. R 89.2 2 Amount of loan (thousands of dollars) 45.9 53.3 59.2 64.1 65.5 66.8 67.7 70.3 64.8R 63.5 3 Loan/price ratio (percent) 75.3 73.9 73.2 74.7 76.7 72.6 73.9 74.7 74.1 73.0 4 Maturity (years) 28.0 28.5 28.2 28.6 28.5 27.5 28.3 27.2 26.6' 27.4 5 Fees and charges (percent of loan amount)2 1.39 1.66 2.09 2.61 2.60 2.50 2.73 2.98 2.75' 2.86 6 Contract rate (percent per annum) 9.30 10.48 12.25 13.62 13.56 14.12 14.13 14.60 14.69R 15.04 Yield (percent per annum) 1 FHLBB series3 9.54 10.77 12.65 14.15 14.10 14.67 14.72 15.27 15.29R 15.65 8 HUD series4 9.68 11.15 13.95 15.70 16.35 16.40 16.70 17.50 18.30 18.05 SECONDARY MARKETS Yield (percent per annum) 9 FHA mortgages (HUD series)5 9.70 10.87 13.42 15.91 16.03 16.31 16.76 17.96 18.55 17.43 10 GNMA securities6 8.98 10.22 12.55 14.69 15.31 15.02 15.76 16.67 17.06 16.54 FNMA auctions7 11 Government-underwritten loans 9.77 11.17 14.11 16.54 16.93 16.17 16.65 17.63 18.99 18.13 12 Conventional loans 10.01 11.77 14.43 15.66 16.44 16.30 16.44 17.59 19.14 18.61 Activity in secondary markets FEDERAL NATIONAL MORTGAGE ASSOCIATION Mortgage holdings (end of period) 13 Total 39,032 46,050 55,104 57,436 57,586 57,657 57,979 58,722 59,682 60,489 14 FHA/VA-insured 29,941 33,673 37,364 38,919 39,030 38,988 39,108 39,368 39,792 40,043 15 Conventional 9,091 14,377 17,724 18,517 18,557 18,669 18,870 19,354 19,890 24,445 Mortgage transactions (during period) 16 Purchases 12,301 10,812 8,099 206 283 247 627 944 1,125 1,001 17 Sales 9 0 0 1 0 0 0 0 0 0 Mortgage commitments8 18 Contracted (during period) 18,959 10,179 8,083 383 802 1,110 1,662 1,394 811 533 19 Outstanding (end of period) 9,185 6,409 3,278 2,031 2,328 3,103 4,039 4,399 3,997 3,447 Auction of 4-month commitments to buy Government-underwritten loans 20 Offered 12,978.1 8,860.4 8,605.4 139.1 204.8 237.6 331.9 689.5 145.9 66.3 21 Accepted 6,747.2 3,920.9 4,002.0 114.5 179.1 127.1 290.4 336.6 64.1 37.3 Conventional loans 22 Offered 9,933.0 4,495.3 3,639.2 126.9 281.3 307.1 306.6 862.2 120.7 43.2 23 Accepted 5,110.9 2,343.6 1,748.5 92.0 155.9 224.0 238.2 304.3 67.9 27.5 FEDERAL HOME LOAN MORTGAGE CORPORATION Mortgage holdings (end of period)9 24 Total 2,810 3,543 4,362 5,176 5,223 5,257 5,250 5,294 5,431 5,469 25 FHA/VA 1,847 1,995 2,116 2,224 2,235 2,241 2,233 2,238 2,264 2,267 26 Conventional 963 1,549 2,246 2,952 2,988 3,016 3,017 3,056 3,167 3,202 Mortgage transactions (during period) 27 Purchases 6,525 5,717 3,723 125 480 139 242 101 337 290 28 Sales 6,211 4,544 2,527 97 422 94 238 44 249 244 Mortgage commitments10 29 Contracted (during period) 7,451 5,542 3,859 118 130 293 866 386 365 1,834 30 Outstanding (end of period) 1,410 797 447 678 322 1,018 824 1,028 982 2,863 1. Weighted averages based on sample surveys of mortgages originated by major assuming prepayment in 12 years on pools of 30-year FHA/VA mortgages carrying institutional lender groups. Compiled by the Federal Home Loan Bank Board in the prevailing ceiling rate. Monthly figures are unweighted averages of Monday cooperation with the Feaeral Deposit Insurance Corporation. quotations for the month. 2. Includes all fees, commissions, discounts, and "points" paid (by the borrower 7. Average gross yields (before deduction of 38 basis points for mortgage seror the seller) in order to obtain a loan. vicing) on accepted bids in Federal National Mortgage Association's auctions of 3. Average effective interest rates on loans closed, assuming prepayment at the 4-month commitments to purchase home mortgages, assuming prepayment in 12 end of 10 years. years for 30-year mortgages. No adjustments are made for FNMA commitment 4. Average contract rates on new commitments for conventional first mortgages, fees or stock related requirements. Monthly figures are unweighted averages for rounded to the nearest 5 basis points; from Department of Housing and Urban auctions conducted within the month. Development. 8. Includes some multifamily and nonprofit hospital loan commitments in ad- 5. Average gross yields on 30-year, minimum-downpayment, Federal Housing dition to 1- to 4-family loan commitments accepted in FNMA's free market auction Administration-insured first mortgages for immediate delivery in the private sec- system, and through the FNMA-GNMA tandem plans. ondary market. Any gaps in data are due to periods of adjustment to changes in 9. Includes participation as well as whole loans. maximum permissible contract rates. 10. Includes conventional and government-underwritten loans. 6. Average net yields to investors on Government National Mortgage Association guaranteed, mortgage-backed, fully modified pass-through securities. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Real Estate Debt A41 1.55 MORTGAGE DEBT OUTSTANDING Millions of dollars, end of period 1980 1981 TTyyppee ooff hhoollddeerr,, aanndd ttyyppee ooff pprrooppeerrttyy 11997788 11997799 11998800 Q3 Q4 Q1 Q2 Q3 1 All holders 1,169,412 1,326,750 1,451,840 1,414,881 1,451,841 l,468,594r 1,498,021r 1,525,101 2 1- to 4-family 765,217 878,931 960,422 935,393 960,408 973,460 992,497 1,010,241 3 Multifamily 121,138 128,852 136,580 134,193 136,601 137,750 138,947 140,253 4 Commercial 211,851 236,451 258,338 251,651 258,332 262,459 268,261 272,884 5 Farm 71,206 82,516 96,500 93,644 96,500 94,925r 98,316r 101,723 6 Major financial institutions 848,177 938,567 998,386 977,281 998,372 1,008,204 1,024,618 1,037,853 7 Commercial banks1 214,045 245,187 264,602 258,003 264,602 268,102 274,503 282,404 8 1- to 4-family 129,167 149,460 160,746 156,737 160,746 162,872 166,761 171,560 9 Multifamily 10,266 11,180 12,304 11,997 12,304 12,467 12,764 13,132 10 Commercial 66,115 75,957 82,688 80,626 82,688 83,782 85,782 88,251 11 Farm 8,497 8,590 8,864 8,643 8,864 8,981 9,196 9,461 12 Mutual savings banks 95,157 98,908 99,827 99,8306 99,813 99,719 99,993 100,200 13 1- to 4-family 62,252 64,706 65,307 64,966 65,297 65,236 65,415 65,551 14 Multifamily 16,529 17,340 17,180 17,249 17,338 17,321 17,369 17,405 15 Commercial 16,319 16,963 17,120 17,031 17,118 17,102 17,149 17,184 16 Farm 57 59 60 60 60 60 60 60 17 Savings and loan associations 432,808 475,688 502,812 491,895 502,812 507,152 514,803 518,132 18 1- to 4-family 356,114 394,345 419,446 409,896 419,446 423,269 430,324 433,107 19 Multifamily 36,053 37,579 38,113 37,728 38,113 38,189 38,044 38,290 20 Commercial 40,461 43,764 45,253 44,271 45,253 45,694 46,435 46,735 21 Life insurance companies 106,167 118,784 131,145 128,077 131,145 133,231 135,319 131,117 22 1- to 4-family 14,436 16,193 17,911 17,996 17,911 17,847 17,646 17,889 23 Multifamily 19,000 19,274 19,614 19,357 19,614 19,579 19,603 19,872 24 Commercial 62,232 71,137 80,776 77,995 80,776 82,839 85,038 86,207 25 Farm 10,499 12,180 12,844 12,729 12,844 12,966 13,032 13,149 26 Federal and related agencies 81,739 97,084 114,300 110,526 114,300 116,243 120,040 124,511 27 Government National Mortgage Association 3,509 3,852 4,642 4,389 4,642 4,826 4,955 4,380 28 1- to 4-family 877 763 704 719 704 696 699 690 29 Multifamily 2,632 3,089 3,938 3,730 3,938 4,130 4,256 3,690 30 Farmers Home Administration 926 1,274 3,492 3,525 3,492 2,837 3,595 4,295 31 1- to 4-family 288 417 916 978 916 1,321 1,565 1,765 32 Multifamily 320 71 610 774 610 528 489 564 33 Commercial 101 174 411 370 411 479 576 651 34 Farm 217 612 1,555 1,403 1,555 509 965 1,315 35 Federal Housing and Veterans Administration 5,305 5,555 5,640 5,600 5,640 5,799 5,895r 6,014 36 1- to 4-family 1,673 1,955 2,051 1,986 2,051 2,135 2,172 2,224 37 Multifamily 3,632 3,600 3,589 3,614 3,589 3,664 3,723 3,790 38 Federal National Mortgage Association 43,311 51,091 57,327 55,632 57,327 57,362 57,657 59,682 39 1- to 4-family 37,579 45,488 51,775 50,071 51,775 51,842 52,181 54,227 40 Multifamily 5,732 5,603 5,552 5,561 5,552 5,520 5,476 5,455 41 Federal Land Banks 25,624 31,277 38,131 36,837 38,131 40,258 42,681 44,708 42 1- to 4-family 927 1,552 2,099 1,985 2,099 2,228 2,401 2,605 43 Farm 24,697 29,725 36,032 34,852 36,032 38,030 40,280 42,103 44 Federal Home Loan Mortgage Corporation 3,064 4,035 5,068 4,543 5,068 5,161 5,257 5,432 45 1- to 4-family 2,407 3,059 3,873 3,459 3,873 3,953 4,025 4,166 46 Multifamily 657 976 1,195 1,084 1,195 1,208 1,232 1,266 47 Mortgage pools or trusts2 88,633 119,278 142,258 136,583 142,258 147,246 151,374 155,487 48 Government National Mortgage Association 54,347 76,401 93,874 89,452 93,874 97,184 100,558 103,750 49 1- to 4-family 52,732 74,546 91,602 87,276 91,602 94,810 98,057 101,068 50 Multifamily 1,615 1,855 2,272 2,176 2,272 2,374 2,501 2,682 51 Federal Home Loan Mortgage Corporation 11,892 15,180 16,854 16,659 16,854 17,067 17,565 17,936 52 1- to 4-family 9,657 12,149 13,471 13,318 13,471 13,641 14,115 14,401 53 Multifamily 2,235 3,031 3,383 3,341 3,383 3,426 3,450 3,535 54 Farmers Home Administration 22,394 27,697 31,530 30,472 31,530 32,995 33,251 33,801 55 1- to 4-family 13,400 14,884 16,683 16,226 16,683 16,640 16,750 16,900 56 Multifamily 1,116 2,163 2,612 2,235 2,612 2,853 3,072 3,172 57 Commercial 3,560 4,328 5,271 5,059 5,271 5,382 5,531 5,631 58 Farm 4,318 6,322 6,964 6,952 6,964 8,120 7,898 8,098 59 Individual and others3 150,863 171,821 196,896 190,491 196,911 196,901r 201,989r 207,250 60 1- to 4-family 83,708 99,414 113,838 109,780 113,834 116,970 120,386 124,088 61 Multifamily 21,351 23,251 26,058 25,407 26,081 26,491 26,968 27,400 62 Commercial 22,883 24,128 26,819 26,299 26,815 27,181 27,750 28,225 63 Farm 22,921 25,028 30,181 29,005 30,181 26,259r 26,885r 27,537 1. Includes loans held by nondeposit trust companies but not bank trust de- NOTE. Based on data from various institutional and governmental sources, with partments. some quarters estimated in part by the Federal Reserve in conjunction with the 2. Outstanding principal balances of mortgages backing securities insured or Federal Home Loan Bank Board and the Department of Commerce. Separation guaranteed by the agency indicated. of nonfarm mortgage debt by type of property, if not reported directly, and in- 3. Other holders include mortgage companies, real estate investment trusts, state terpolations and extrapolations when required, are estimated mainly by the Federal and local credit agencies, state and local retirement funds, noninsured pension Reserve. Multifamily debt refers to loans on structures of five or more units. funds, credit unions, and U.S. agencies for which amounts are small or separate data are not readily available. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A42 Domestic NonfinancialS tatistics • December 1981 1.56 CONSUMER INSTALLMENT CREDIT1 Total Outstanding, and Net ChangeA Millions of dollars 1981 11997788 11997799 11998800 Apr. May June July Aug. Sept. Oct. Amounts outstanding (end of period) 1 Total 273,645 312,024 313,435 313,419 315,465 318,459 320,886 324,653 328,296 328,826 By major holder 2 Commercial banks 136,016 154,177 145,765 142,070 142,143 143,310 144,020 144,769 145,287 145,090 3 Finance companies 54,298 68,318 76.756 81,033 81,794 82,723 83,924 86,152 88,698 89,583 4 Credit unions 44,334 46,517 44.041 44,390 45,055 45,686 46,096 46,605 46,791 46,416 5 Retailers2 25,987 28,119 29.410 27,227 27,319 27,412 27,469 27,494 27,712 28,046 6 Savings and loans 7,097 8,424 9,911 10,792 11,148 11,115 10,959 11,125 11,236 11,348 7 Gasoline companies 3,220 3,729 4,717 5,046 5,157 5,364 5,597 5,716 5,771 5,562 8 Mutual savings banks 2,693 2,740 2,835 2,861 2,849 2,849 2,821 2,792 2,801 2,781 By major type of credit 9 Automobile 101,647 116,362 116,327 118,479 118,932 119,685 121,002 123,219 125,646 126,235 10 Commercial banks 60,510 67,367 61,025 59.252 59,169 59,192 59,434 59,485 59,394 59,133 11 Indirect paper 33,850 38,338 34.857 33,931 33,913 33,996 34,270 34,501 34,656 34,638 12 Direct loans 26,660 29,029 26,168 25,321 25,256 25,196 25,164 24,984 24,738 24,495 13 Credit unions 21,200 22,244 21.060 21.227 21,545 21,847 22,044 22,286 22,375 22,196 14 Finance companies 19,937 26,751 34,242 38,000 38,218 38,646 39,525 41,448 43,877 44,906 15 Revolving 48,309 56.937 59,862 57,322 57,524 58.470 58,976 59,745 60,415 60,651 16 Commercial banks 24,341 29,862 30.001 29,127 29,096 29,722 29,923 30,530 30,921 31,012 17 Retailers 20,748 23,346 25.144 23,149 23,271 23,384 23,456 23,499 23,723 24,077 18 Gasoline companies 3,220 3,729 4,717 5,046 5,157 5,364 5,597 5,716 5,771 5,562 19 Mobile home 15,235 16,838 17,327 17,422 17,626 17,724 17,784 17,988 18,157 18,329 20 Commercial banks 9,545 10,647 10.376 10,142 10,159 10,179 10,192 10,242 10,274 10,317 21 Finance companies 3.152 3.390 3.745 3,828 3,909 3,990 4,076 4,178 4,282 4,384 22 Savings and loans 2,067 2,307 2.737 2,980 3,079 3,069 3,026 3,072 3,103 3,134 23 Credit unions 471 494 469 472 479 486 490 496 498 494 24 Other 108,454 121,887 119.919 120,196 121,383 122,580 123,124 123,701 124,078 123,611 25 Commercial banks 41,620 46,301 44.363 43,549 43,719 44,217 44,471 44,512 44,698 44,628 26 Finance companies 31,209 38,177 38,769 39,205 39,667 40,087 40,323 40,526 40,539 40,293 27 Credit unions 22,663 23,779 22,512 22,691 23,031 23,353 23,563 23,823 23,918 23,726 28 Retailers 5,239 4,773 4.266 4,078 4,048 4,028 4,013 3,995 3,989 3,969 29 Savings and loans 5,030 6,117 7,174 7,812 8,069 8,046 7,933 8,053 8,133 8,214 30 Mutual savings banks 2,693 2,740 2,835 2,861 2,849 2,849 2,821 2,792 2,801 2,781 Net change (during period)3 31 Total 43,079 38,381 1,410 2,331 1,346 1,930 1,954 2,859 2,819 1,014 By major holder 32 Commercial banks 23,641 18,161 -8.412 -345 -14 614 432 185 123 -175 33 Finance companies 9.430 14,020 8,438 1,253 409 570 948 2,383 2,682 1,204 34 Credit unions 6,729 2,185 -2.475 272 391 219 532 245 -134 -209 35 Retailers2 2,497 2,132 1.291 531 -3 416 265 -13 117 101 36 Savings and loans 7 1,327 1,485 421 519 45 -175 42 71 32 37 Gasoline companies 257 509 988 141 67 78 4 33 -20 72 38 Mutual savings banks 518 47 95 58 -23 -12 -52 -16 -20 -11 By major type of credit 39 Automobile 18,736 14,715 -35 428 -195 57 1,208 2,115 2,282 962 40 Commercial banks 10,933 6,857 -6,342 -461 -208 -214 199 -91 -201 -288 41 Indirect paper 6,471 4,488 -3,481 -256 -83 -44 274 159 63 -44 42 Direct loans 4,462 2,369 -2,861 -205 -125 -170 -75 -250 -264 -244 43 Credit unions 3,101 1,044 -1,184 142 160 106 263 106 -82 -98 44 Finance companies 4,702 6,814 7,491 747 -147 165 746 2,100 2,565 1,348 45 Revolving 9,035 8,628 2,925 838 350 1,018 477 491 293 390 46 Commercial banks 5,967 5,521 139 153 230 580 156 440 171 138 47 Retailers 2,811 2,598 1,798 544 53 360 317 18 142 180 48 Gasoline companies 257 509 988 141 67 78 4 33 -20 72 49 Mobile home 286 1,603 488 145 243 89 67 176 175 135 50 Commercial banks 419 1,102 -271 -15 7 -12 20 44 48 41 51 Finance companies 74 238 355 58 78 85 81 93 102 74 52 Savings and loans -276 240 430 99 152 14 -44 37 26 23 53 Credit unions 69 23 -25 3 6 2 10 2 -1 -3 54 Other 15,022 13,435 -1,968 920 948 766 202 77 69 -473 55 Commercial banks 6,322 4,681 -1,938 -22 -43 260 57 -208 105 -66 56 Finance companies 4,654 6,968 592 448 478 320 121 190 15 -218 57 Credit unions 3,559 1,118 -1,266 127 225 111 259 137 -51 -108 58 Retailers -314 -466 -507 -13 -56 56 -52 -31 -25 -79 59 Savings and loans 283 1,087 1,056 322 367 31 -131 5 45 9 60 Mutual savings banks 518 47 95 58 -23 -12 -52 -16 -20 -11 1. The Board's series cover most short- and intermediate-term credit extended 3. Net change equals extensions minus liquidations (repayments, charge-offs and to individuals through regular business channels, usually to finance the purchase other credit); figures for all months are seasonally adjusted. of consumer goods and services or to refinance debts incurred for such purposes, and scheduled to be repaid (or with the option of repayment) in two or more ^Total consumer noninstallment credit outstanding—credit scheduled to be reinstallments. paid in a lump sum, including single-payment loans, charge accounts, and service 2. Includes auto dealers and excludes 30-day charge credit held by travel and credit—amounted to $64.3 billion at the end of 1978, $71.3 billion at the end of entertainment companies. 1979, and $72.2 billion at the end of 1980. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Consumer Debt A43 1.57 CONSUMER INSTALLMENT CREDIT Extensions and Liquidations Millions of dollars; monthly data are seasonally adjusted. 1981 TJT IJ • . r J-. 11998800 Apr. May June July Aug. Sept. Oct. Extensions 1 Total 297,668 324,777 305,887 28,878 28,149 29,005 28,750 28,899 29,428 26,952 By major holder ?,C ommercial banks 142,433 154,733 133,605 11,986 12,055 12,483 12,433 12,034 12,036 1111,,224444 3 Finance companies 50,505 61,518 60,801 5,218 4,937 5,251 5,439 6,385 7,158 5,327 4 Credit unions 38,111 34,926 29,594 3,181 3,212 3,137 3,299 2,913 2,558 2,621 Retailers1 44,571 47,676 50,959 5,002 4,486 5,018 4,826 4,616 4,727 4,729 6 Savings and loans 3,724 5,901 6,621 985 1,068 649 383 537 573 553 7 Gasoline companies 16,017 18,005 22,402 2,272 2,243 2,296 2,252 2,284 2,246 2,333 8 Mutual savings banks 2,307 2,018 1,905 234 148 171 118 130 130 145 By major type of credit 9 Automobile 87,981 93,901 83,002 7,205 7,320 7,442 8,178 88,,557733 99,,117766 77,,113399 10 Commercial banks 52,969 53,554 40,657 3,438 3,627 3,652 3,874 3,457 3,394 2,912 11 Indirect paper 29,342 29,623 22,269 1,929 2,071 2,126 2,349 2,084 2,075 1,627 n Direct loans 23,627 23,931 18,388 1,509 1,556 1,526 1,525 1,373 1,319 1,285 13 Credit unions 18,539 17,397 15,294 1,589 1,608 1,553 1,663 1,537 1,337 1,308 14 Finance companies 16,473 22,950 27,051 2,178 2,085 2,237 2,641 3,579 4,445 2,919 15 Revolving 105,125 120,174 129,580 12,352 11,904 12,668 12,190 11,964 12,335 12,208 16 Commercial banks 51,333 61,048 61,847 5,561 5,613 5,905 5,557 5,528 5,831 5,555 17 Retailers 37,775 41,121 45,331 4,519 4,048 4,467 4,381 4,152 4,258 4,320 18 Gasoline companies 16,017 18,005 22,402 2,272 2,243 2,296 2,252 2,284 2,246 2,333 19 Mobile home 5,412 6,471 5,098 551 609 488 451 536 543 487 7.0 Commercial banks 3,697 4,542 2,942 251 250 259 282 297 302 266 7.1 Finance companies 886 797 898 100 112 122 116 120 134 123 22 Savings and loans 609 948 1,146 184 230 93 30 105 95 89 23 Credit unions 220 184 113 16 17 14 23 14 12 9 24 Other 99,150 104,231 88,207 8,770 8,316 8,407 7,931 7,826 7,374 7,118 25 Commercial banks 34,434 35,589 28,159 2,736 2,565 2,667 2,720 2,752 2,509 2,511 26 Finance companies 33,146 37,771 32,852 2,940 2,740 2,892 2,682 2,686 2,579 2,285 27 Credit unions 19,352 17,345 14,187 1,576 1,587 1,570 1,613 1,362 1,209 1,304 28 Retailers 6,796 6,555 5,628 483 438 551 445 464 469 409 29 Savings and loans 3,115 4,953 5,476 801 838 556 353 432 478 464 30 Mutual savings banks 2,307 2,018 1,905 234 148 171 118 130 130 145 Liquidations 31 Total 254,589 286,396 304,477 26,547 26,803 27,075 26,796 26,040 26,609 25,938 By major holder 32 Commercial banks 118,792 136,572 142,017 12,331 12,069 11,869 12,001 11,849 11,913 11,419 33 Finance companies 41,075 47,498 52,363 3,965 4,528 4,681 4,491 4,002 4,476 4,123 34 Credit unions 31,382 32,741 32,069 2,909 2,821 2,918 2767 2,668 2,692 2,830 35 Retailers' 42,074 45,544 49,668 4,471 4,489 4,602 4561 4,629 4,610 4,628 36 Savings and loans 3,717 4,574 5,136 564 549 604 558 495 502 521 37 Gasoline companies 15,760 17,496 21,414 2,131 2,176 2,218 2,248 2,251 2,266 2,261 38 Mutual savings banks 1,789 1,971 1,810 176 171 183 170 146 150 156 By major type of credit 39 Automobile 69,245 79,186 83,037 6,777 7,515 7,385 6,970 6,458 6,894 66,,117777 40 Commercial banks 42,036 46,697 46,999 3,899 3,835 3,866 3,675 3,548 3,595 3,200 41 Indirect paper 22,871 25,135 25,750 2,185 2,154 2,170 2,075 1,925 2,012 1,671 42 Direct loans 19,165 21,562 21,249 1,714 1,681 1,696 1,600 1,623 1,583 1,529 43 Credit unions 15,438 16,353 16,478 1,447 1,448 1,447 1,400 1,431 1,419 1,406 44 Finance companies 11,771 16,136 19,560 1,431 2,232 2,072 1,895 1,479 1,880 1,571 45 Revolving 96,090 111,546 126,655 11,514 11,554 11,650 11,713 11,473 12,042 11,818 46 Commercial banks 45,366 55,527 61,708 5,408 5,383 5,325 5,401 5,088 5,660 5,417 47 Retailers 34,964 38,523 43,533 3,975 3,995 4,107 4,064 4,134 4,116 4,140 48 Gasoline companies 15,760 17,496 21,414 2,131 2,176 2,218 2,248 2,251 2,266 2,261 49 Mobile home 5,126 4,868 4,610 406 366 399 384 360 368 352 50 Commercial banks 3,278 3,440 3,213 266 243 271 262 253 254 225 51 Finance companies 812 559 543 42 34 37 35 27 32 49 52 Savings and loans 885 708 716 85 78 79 74 68 69 66 53 Credit unions 151 161 138 13 11 12 13 12 13 12 54 Other 84,128 90,796 90,175 7,850 7,368 7,641 7,729 7,749 7,305 7,591 55 Commercial banks 28,112 30,908 30,097 2,758 2,608 2,407 2,663 2,960 2,404 2,577 56 Finance companies 28,492 30,803 32,260 2,492 2,262 2,572 2,561 2,496 2,564 2,503 57 Credit unions 15,793 16,227 15,453 1,449 1,362 1,459 1,354 1,225 1,260 1,412 58 Retailers 7,110 7,021 6,135 496 494 495 497 495 494 488 59 Savings and loans 2,832 3,866 4,420 479 471 525 484 427 433 455 60 Mutual savings banks 1,789 1,971 1,810 176 171 183 170 146 150 156 1. Includes auto dealers and excludes 30-day charge credit held by travel and entertainment companies. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A44 Domestic Nonfinancial Statistics • December 1981 1.58 FUNDS RAISED IN U.S. CREDIT MARKETS Billions of dollars; half-yearly data are at seasonally adjusted annual rates. 1978 1979 1980 1981 11997755 11997766 11997777 11997788 11997799 H2 HI H2 HI H2 HI' Nonfinancial sectors 1 Total funds raised 211.8 273.6 336.6 395.6 387.0 371.9 404.9 385.0 389.0 339.0 404.9 416.8 2 Excluding equities 201.7 262.8 333.5 396.3 394.0 357.0 403.5 394.7 393.3 330.1 383.8 415.3 By sector and instrument 3 U.S. government 85.4 69.0 56.8 53.7 37.4 79.2 43.4 30.0 44.7 66.5 91.9 89.0 4 Treasury securities 85.8 69.1 57.6 55.1 38.8 79.8 45.3 32.3 45.2 67.2 92.4 89.5 5 Agency issues and mortgages -.4 -.1 -.9 -1.4 -1.4 -.6 -1.9 -2.3 -.5 -.6 -.6 -.5 6 All other nonfinancial sectors 126.4 204.6 279.9 342.0 349.6 292.7 361.5 355.0 344.3 272.5 313.0 327.9 7 Corporate equities 10.1 10.8 3.1 -.6 -7.1 15.0 1.4 -9.8 -4.3 8.9 21.0 1.6 8 Debt instruments 116.3 193.8 276.7 342.6 356.7 277.8 360.1 364.7 348.6 263.6 292.0 326.3 y Private domestic nonfinancial sectors 114.9 185.0 266.0 308.7 328.6 263.4 318.2 341.0 316.1 241.3 285.6 292.6 10 Corporate equities 9.9 10.5 2.7 -.1 -7.8 12.9 1.6 -9.6 -6.1 6.9 18.8 .9 11 Debt instruments 105.0 174.5 263.2 308.8 336.4 250.6 316.6 350.6 322.2 234.4 266.8 291.7 12 Debt capital instruments 98.4 123.7 172.2 193.7 200.1 179.4 202.1 203.0 197.2 177.0 181.9 162.2 13 State and local obligations 16.1 15.7 21.9 26.1 21.8 26.9 26.8 20.9 22.7 21.6 32.1 27.8 14 Corporate bonds 27.2 22.8 21.0 20.1 21.2 30.4 21.0 21.7 20.7 35.3 25.6 20.5 Mortgages 15 Home mortgages 39.5 64.0 96.3 108.5 113.7 81.7 116.7 117.6 109.8 76.5 87.0 76.1 16 Multifamily residential * 3.9 7.4 9.4 7.8 8.5 8.5 8.0 7.6 8.2 8.8 5.4 17 Commercial 11.0 11.6 18.5 22.1 24.4 22.4 20.5 23.4 25.4 24.8 19.9 22.6 18 Farm 4.6 5.7 7.1 7.5 11.3 9.5 8.4 11.6 11.0 10.6 8.4 9.7 19 Other debt instruments 6.6 50.7 91.0 115.1 136.3 71.1 114.5 147.6 125.0 57.4 84.9 129.5 20 Consumer credit 9.6 25.4 40.2 47.6 46.3 2.3 47.0 50.9 41.6 -5.1 9.7 29.2 21 Bank loans n.e.c -10.5 4.4 26.7 37.1 49.2 37.3 30.5 55.5 42.8 13.5 61.2 46.3 22 Open market paper -2.6 4.0 2.9 5.2 11.1 6.6 7.1 8.0 14.2 24.8 -11.6 16.9 23 Other 10.1 16.9 21.3 25.1 29.7 24.9 30.0 33.1 26.4 24.1 25.6 37.1 24 By borrowing sector 114.9 185.0 266.0 308.7 328.6 263.4 318.2 341.0 316.1 241.3 285.6 292.6 25 State and local governments 13.7 15.2 17.3 20.9 18.4 25.3 23.3 17.9 18.9 19.7 30.9 25.3 26 Households 49.6 89.6 139.1 164.3 170.6 101.7 173.5 179.1 162.1 94.2 109.1 126.8 27 Farm 8.5 10.2 12.3 15.0 20.8 14.5 17.1 21.2 20.4 17.9 11.1 23.0 28 Nonfarm noncorporate 1.4 5.7 12.7 15.3 14.0 15.8 13.0 13.5 14.5 11.0 20.6 16.8 29 Corporate 1.7 64.3 84.6 93.2 104.8 106.1 91.3 109.3 100.2 98.4 113.8 100.8 30 Foreign 11.5 19.6 13.9 33.2 21.0 29.3 43.2 14.0 28.1 31.2 27.4 35.2 31 Corporate equities .2 .3 .4 -.5 .8 2.1 -.3 -.2 1.7 1.9 2.2 .6 32 Debt instruments 11.3 19.3 13.5 33.8 20.3 27.2 43.5 14.1 26.4 29.2 25.2 34.6 33 Bonds 6.2 8.6 5.1 4.2 3.9 .8 3.1 2.8 4.9 2.0 -.4 3.3 34 Bank loans n.e.c 2.0 5.6 3.1 19.1 2.3 11.5 26.5 2.1 2.4 6.1 17.0 5.5 35 Open market paper .3 1.9 2.4 6.6 11.2 10.1 9.6 6.1 16.3 15.7 4.5 20.6 36 U.S. government loans 2.8 3.3 3.0 3.9 3.0 4.7 4.2 3.1 2.8 5.4 4.0 5.2 Financial sectors 37 Total funds raised 9.7 23.4 51.4 76.8 84.3 66.7 75.2 87.8 80.8 59.8 73.5 90.9 By instrument 38 U.S. government related 10.3 15.1 21.9 36.7 48.2 43.0 39.0 43.7 52.8 44.7 41.3 38.7 39 Sponsored credit agency securities 2.3 3.3 7.0 23.1 24.3 24.4 24.9 21.2 27.3 25.1 23.7 24.0 40 Mortgage pool securities 7.1 12.2 16.1 13.6 24.0 18.6 14.1 22.5 25.5 19.6 17.6 14.7 41 Loans from U.S. government .9 -.4 -1.2 0 0 0 0 0 0 0 0 0 42 Private financial sectors -.6 8.2 29.5 40.1 36.0 23.7 36.2 44.1 28.0 15.2 32.2 52.2 43 Corporate equities .5 -.2 2.6 1.8 2.5 6.2 .5 3.6 1.4 7.1 5.2 10.4 44 Debt instruments -1.1 8.4 26.9 38.3 33.6 17.5 35.8 40.6 26.6 8.1 27.0 41.9 45 Corporate bonds 3.2 9.8 10.1 7.5 7.8 7.1 7.1 8.2 7.5 10.1 4.2 -1.7 46 Mortgages 2.3 2.1 3.1 .9 -1.2 -.9 -.7 .3 -2.6 -5.8 4.0 -2.9 47 Bank loans n.e.c -3.7 -3.7 -.3 2.8 -.4 -.5 3.0 -1.4 .6 * -.9 4.6 48 Open market paper and RPs 1.1 2.2 9.6 14.6 18.2 4.6 15.0 25.4 10.9 -.8 10.1 23.8 49 Loans from Federal Home Loan Banks -4.0 -2.0 4.3 12.5 9.2 7.1 11.5 8.2 10.1 4.6 9.6 18.0 By sector 50 Sponsored credit agencies 3.2 2.9 5.8 23.1 24.3 24.4 24.9 21.2 27.3 25.1 23.7 24.0 51 Mortgage pools 7.1 12.2 16.1 13.6 24.0 18.6 14.1 22.5 25.5 19.6 17.6 14.7 52 Private financial sectors -.6 8.2 29.5 40.1 36.0 23.7 36.2 44.1 28.0 15.2 32.2 52.2 53 Commercial banks 1.2 2.3 1.1 1.3 1.6 .5 1.1 1.3 1.8 .8 .3 .2 54 Bank affiliates .6 5.4 2.0 7.2 6.5 6.9 8.2 8.0 4.9 5.8 8.0 6.9 55 Savings and loan associations -2.3 .1 9.9 14.3 11.4 6.9 11.4 11.1 11.7 -1.4 15.2 17.0 56 Other insurance companies 1.0 .9 1.4 .8 .9 .9 .8 .9 .9 .9 .9 .9 57 Finance companies .5 4.3 16.9 18.1 16.8 5.8 17.5 22.7 10.9 5.2 6.3 18.7 58 REITs -1.3 -2.2 -2.3 -1.1 -.4 -1.7 -1.1 -.6 -.2 -1.4 -2.0 -.8 59 Open-end investment companies -.3 -2.4 .4 -.5 -.6 4.4 -1.7 .7 -1.9 5.3 3.4 9.3 All sectors 60 Total funds raised, by instrument 221.5 297.0 388.0 472.5 471.3 438.6 480.1 472.8 469.7 398.8 478.4 507.8 61 Investment company shares -.3 -2.4 .4 -.5 -.6 4.4 -1.7 .7 -1.9 5.3 3.4 9.3 62 Other corporate equities 10.9 13.1 5,3 1.7 -4.0 16.8 3.6 -6.9 -1.0 10.7 22.8 2.6 63 Debt instruments 210.9 286.4 382.3 471.3 475.8 417.5 478.3 479.0 472.6 382.9 452.1 495.8 64 U.S. government securities 94.9 84.6 79.9 90.5 85.7 122.3 82.5 73.8 97.6 111.3 133.2 127.8 65 State and local obligations 16.1 15.7 21.9 26.1 21.8 26.9 26.8 20.9 22.7 21.6 32.1 27.8 66 Corporate and foreign bonds 36.7 41.2 36.1 31.8 32.8 38.4 31.2 32.6 33.0 47.4 29.5 22.1 67 Mortgages 57.2 87.2 132.3 148.3 155.9 121.1 153.4 160.6 151.1 114.2 128.0 110.9 68 Consumer credit 9.6 25.4 40.2 47.6 46.3 2.3 47.0 50.9 41.6 -5.1 9.7 29.2 69 Bank loans n.e.c -12.2 6.2 29.5 59.0 51.0 48.4 60.0 56.2 45.8 19.6 77.2 56.4 70 Open market paper and RPs -1.2 8.1 15.0 26.4 40.5 21.4 31.6 39.5 41.5 39.7 3.1 61.3 71 Other loans 9.8 17.8 27.4 41.5 41.9 36.7 45.7 44.4 39.3 34.1 39.3 60.3 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Flow of Funds A45 1.59 DIRECT AND INDIRECT SOURCES OF FUNDS TO CREDIT MARKETS Billions of dollars, except as noted; half-yearly data are at seasonally adjusted annual rates 1978 1979 1980 1981 TTrraannssaaccttiioonn ccaatteeggoorryy,, oorr sseeccttoorr 11997755 11997766 11997777 11997788 11997799 11998800 H2 HI H2 HI H2 HI' 1 Total funds advanced in credit markets to nonfinancial sectors 201.7 262.8 333.5 396.3 394.0 357.0 403.5 394.7 393.3 330.1 383.8 415.3 By public agencies and foreign Total net advances 39.6 4499..88 79.2 110011..99 7744..00 92.1 110022..77 4499..66 9988..55 110022..99 8811..33 110033..00 3 U.S. government securities 18.0 23.1 34.9 36.1 -6.2 15.6 29.5 -27.1 14.7 23.2 8.0 24.0 4 Residential mortgages 15.8 12.3 20.0 25.7 36.7 31.1 30.1 35.7 37.8 33.3 28.9 20.8 5 FHLB advances to savings and loans -4.0 -2.0 4.3 12.5 9.2 7.1 11.5 8.2 10.1 4.6 9.6 18.0 6 Other loans and securities 9.8 16.4 20.1 27.6 34.3 38.2 31.6 32.8 35.8 41.7 34.8 40.3 Total advanced, by sector 7 U.S. government 13.4 7.9 10.0 17.1 19.0 23.7 20.8 19.8 18.3 25.4 22.1 29.3 8 Sponsored credit agencies 11.6 16.8 22.4 39.9 53.4 43.8 44.8 47.8 58.9 42.4 45.2 40.4 9 Monetary authorities 8.5 9.8 7.1 7.0 7.7 4.5 .5 -.9 16.2 12.1 -3.1 -7.4 10 Foreign 6.1 15.2 39.6 38.0 -6.1 20.0 36.7 -17.2 5.1 23.0 17.0 40.8 11 Agency borrowing not included in line 1 10.3 15.1 21.9 36.7 48.2 43.0 39.0 43.7 52.8 44.7 41.3 38.7 Private domestic funds advanced 12 Total net advances 172.4 228.1 276.2 331.0 368.2 307.9 339.8 388.9 347.6 271.9 351.0 351.0 13 U.S. government securities 76.9 61.5 45.1 54.3 91.9 106.7 53.0 101.0 82.9 88.1 125.3 103.8 14 State and local obligations 16.1 15.7 21.9 26.1 21.8 26.9 26.8 20.9 22.7 21.6 32.1 27.8 15 Corporate and foreign bonds 32.8 30.5 22.2 22.4 24.0 26.2 22.3 24.0 24.0 32.5 19.9 17.3 16 Residential mortgages 23.6 55.5 83.7 92.1 84.6 59.1 95.0 89.8 79.5 51.2 66.9 60.7 17 Other mortgages and loans 18.9 62.9 107.7 148.6 155.1 96.2 154.2 161.4 148.7 83.1 109.3 159.4 18 LESS: Federal Home Loan Bank advances -4.0 -2.0 4.3 12.5 9.2 7.1 11.5 8.2 10.1 4.6 9.6 18.0 Private financial intermediation 19 Credit market funds advanced by private financial institutions 123.4 191.4 260.9 302.4 292.5 270.3 294.8 316.9 268.0 246.1 294.4 322.5 20 Commercial banking 29.4 59.6 87.6 128.7 121.1 99.7 124.6 130.3 112.0 58.5 140.9 101.4 21 Savings institutions 53.2 70.5 82.0 73.5 55.9 58.4 69.4 59.6 52.2 35.5 81.3 43.8 22 Insurance and pension funds 40.6 49.7 67.8 75.0 66.4 79.8 73.9 72.3 60.5 89.2 70.3 79.3 23 Other finance .3 11.6 23.4 25.2 49.0 32.4 27.0 54.8 43.3 62.8 1.9 97.9 24 Sources of funds 123.4 191.4 260.9 302.4 292.5 270.3 294.8 316.9 268.0 246.1 294.4 322.5 25 Private domestic deposits 94.2 124.4 138.9 140.8 143.2 171.1 132.9 135.1 151.2 158.7 183.6 196.9 26 Credit market borrowing -1.1 8.4 26.9 38.3 33.6 17.5 35.8 40.6 26.6 8.1 27.0 41.9 27 Other sources 30.3 58.5 95.1 123.2 115.7 81.6 126.1 141.2 90.3 79.4 83.8 83.7 28 Foreign funds -8.7 -4.7 1.2 6.3 25.6 -22.3 11.8 45.6 5.6 -22.8 -21.9 -5.1 29 Treasury balances -1.7 -.1 4.3 6.8 .4 -2.6 12.4 5.0 -4.2 -2.3 -2.8 10.6 30 Insurance and pension reserves 29.7 34.3 50.1 62.2 47.8 64.1 60.8 52.3 43.4 70.0 58.1 61.6 31 Other, net 11.0 29.0 39.5 48.0 41.9 42.4 41.1 38.4 45.4 34.5 50.4 16.7 Private domestic nonfinancial investors 32 Direct lending in credit markets 47.9 45.1 42.2 67.0 109.3 55.1 80.7 112.5 106.1 33.9 76.4 70.4 33 U.S. government securities 25.4 16.4 24.1 35.6 62.8 32.6 37.8 71.0 54.5 19.3 45.8 34.6 34 State and local obligations 8.4 3.3 -.8 1.4 1.4 3.1 .8 2.6 .2 -1.8 7.9 19.7 35 Corporate and foreign bonds 8.9 11.8 -3.8 -2.9 10.3 3.6 * 4.6 16.0 4.8 2.3 -12.5 36 Commercial paper -1.3 1.9 9.6 16.5 11.4 -3.8 23.1 11.4 11.4 -4.5 -3.1 7.2 37 Other 6.6 11.7 13.2 16.4 23.5 19.7 19.1 22.9 24.0 16.0 23.3 21.4 38 Deposits and currency 101.2 133.4 148.5 152.1 152.6 182.3 143.0 149.3 155.9 167.6 197.1 202.6 39 Currency 6.2 7.3 8.3 9.3 7.9 10.3 8.7 9.0 6.9 8.5 12.1 4.7 40 Checkable deposits 9.4 10.4 17.2 16.3 19.2 4.2 13.8 16.6 21.9 -1.5 9.9 29.9 41 Small time and savings accounts 97.3 123.7 93.5 63.5 61.7 80.9 65.8 66.5 56.9 66.7 95.2 11.3 42 Money market fund shares 1.3 * .2 6.9 34.4 29.2 7.7 30.2 38.6 61.9 -3.4 104.1 43 Large time deposits -14.0 - 12.0 25.8 46.6 21.2 50.3 40.6 3.3 39.1 26.3 74.2 43.9 44 Security RPs .2 2.3 2.2 7.5 6.6 6.5 5.1 18.5 -5.3 5.3 7.8 7.7 45 Foreign deposits .8 1.7 1.3 2.0 1.5 .9 1.4 5.2 -2.3 .4 1.3 1.0 46 Total of credit market instruments, deposits and currency 149.1 178.5 190.7 219.1 261.9 237.5 223.7 261.8 262.0 201.5 273.4 273.0 47 Public support rate (in percent) 19.6 19.0 23.7 25.7 18.8 25.8 25.5 12.6 25.0 31.2 21.2 24.8 48 Private financial intermediation (in percent) 71.6 83.9 94.4 91.3 79.4 87.8 86.8 81.5 77.1 90.5 85.6 91.9 49 Total foreign funds -2.6 10.5 40.8 44.3 19.5 -2.3 48.5 28.4 10.7 .2 -4.8 35.6 MEMO: Corporate equities not included above 51) Total net issues 10.6 10.6 5.7 1.2 -4.6 21.1 1.8 -6.2 -2.9 16.0 26.3 11.9 51 Mutual fund shares -.3 -2.4 .4 -.5 -.6 4.4 -1.7 .7 -1.9 5.3 3.4 9.3 52 Other equities 10.9 13.1 5.3 1.7 -4.0 16.8 3.6 -6.9 -1.0 10.7 22.8 2.6 53 Acquisitions by financial institutions 9.8 12.5 7.4 4.5 10.6 17.7 6.9 7.1 14.0 10.5 24.9 28.8 54 Other net purchases .8 -1.9 -1.6 -3.4 -15.1 3.4 -5.0 -13.4 -16.9 5.5 1.4 -16.9 NOTES BY LINE NUMBER. 30. Excludes net investment of these reserves in corporate equities. 1. Line 2 of table 1.58. 31. Mainly retained earnings and net miscellaneous liabilities. 2. Sum of lines 3-6 or 7-10. 32. Line 12 less line 19 plus line 26. 6. Includes farm and commercial mortgages. 33-37. Lines 13-17 less amounts acquired by private finance. Line 37 includes 11. Credit market funds raised by federally sponsored credit agencies, and net mortgages. issues of federally related mortgage pool securities. 39. Mainly an offset to line 9. 12. Line 1 less line 2 plus line 11. Also line 19 less line 26 plus line 32. Also sum 46. Lines 32 plus 38, or line 12 less line 27 plus 39 and 45. of lines 27, 32, and 38 less lines 40 and 46. 47. Line 2/line 1. 17. Includes farm and commercial mortgages. 48. Line 19/line 12. 25. Line 38 less lines 40 and 46. 49. Sum of lines 10 and 28. 26. Excludes equity issues and investment company shares. Includes line 18. 50. 52. Includes issues by financial institutions. 28. Foreign deposits at commercial banks, bank borrowings from foreign branches, NOTE. Full statements for sectors and transaction types quarterly, and annually and liabilities of foreign banking agencies to foreign affiliates. for flows and for amounts outstanding, may be obtained from Flow of Funds 29. Demand deposits at commercial banks. Section, Division of Research and Statistics, Board of Governors of the Federal Reserve System, Washington, D.C. 20551. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A46 Domestic Nonfinancial Statistics • December 1981 2.10 NONFINANCIAL BUSINESS ACTIVITY Selected Measures 1967 = 100; monthly and quarterly data are seasonally adjusted. Exceptions noted. 1981 MMeeaassuurree 11997788 11997799 11998800 Feb. Mar. Apr. May June July Aug.r Sept.r Oct.r Nov. 1 Industrial production1 146.1 152.5 147.0 151.8 152.1 151.9 152.7 152.9 153.9 153.6 151.7 149.6 146.5 Market groupings 2 Products, total 144.8 150.0 146.7 150.2 150.7 151.3 152.3 152.7 153.0 152.6 151.2 150.0 147.6 3 Final, total 135.9 147.2 145.3 148.2 149.0 149.9 151.3 151.4 152.1 151.5 150.3 149.6 147.3 4 Consumer goods 149.1 150.8 145.4 147.6 148.3 148.9 150.7 150.3 150.7 149.6 148.2 147.5 144.7 5 Equipment 132.8 142.2 145.2 148.7 150.0 151.4 152.1 153.0 154.1 154.0 153.1 152.3 150.8 6 Intermediate 154.1 160.5 151.9 157.7 157.1 156.3 156.1 154.9 156.2 156.8 154.5 151.6 149.0 7 Materials 148.3 156.4 147.6 154.3 154.4 152.9 153.4 154.0 155.3 155.2 152.4 148.9 144.9 Industry groupings 8 Manufacturing 146.7 153.6 146.7 151.2 151.6 152.0 152.8 152.4 153.2 153.2 151.2 148.7 145.2 Capacity utilization (percent)1-2 9 Manufacturing 84.4 85.7 79.1 79.8 79.8 79.8 80.0 79.6 79.8 79.6 78.4 76.9 74.9 10 Industrial materials industries .... 85.6 87.4 80.0 82.3 82.1 81.1 81.2 81.3 81.9 81.7 80.0 78.0 75.8 11 Construction contracts (1972 = 100)3 174.1 185.6 161.8 177.0 183.0 172.0 160.0 170.0 153.0 156.0 159.0 157.0 n.a. 12 Nonagricultural employment, total4 . 131.8 136.5 137.6 138.7 138.8 139.0 139.1 139.2 139.6 139.7 139.9 139.5 139.1 13 Goods-producing, total 109.8 113.5 110.3 110.0 110.3 ^ 110.3 110.3 110.8 111.3 111.3 111.2 110.1 109.2 14 Manufacturing, total 105.4 108.2 104.4 103.8 103.8 104.6 105.0 105.0'" 105.6 105.4 105.4 104.0 103.0 15 Manufacturing, productionworker 103.0 105.3 99.4 98.2 98.4 99.2 99.6 99.6 100.1 99.9 99.8 98.0 96.6 16 Service-producing 143.8 149.1 152.6 154.4 154.5 154.7 155.0 154.8 155.2 155.2 155.6 155.7 155.6 17 Personal income, total 273.3 308.5 342.9 368.0 371.5 373.6 375.8 378.5 383.9R 388.0 390.9 393.1 n.a. 18 Wages and salary disbursements .. 258.8 289.5 314.7 337.9 340.2 341.8 343.6 345.2 347.8 351.4 353.2 354.6 n.a. 19 Manufacturing 223.1 248.6 261.5 281.3 282.9 286.1 289.2 289.9 292.1 294.3 294.1 292.0 n.a. 20 Disposable personal income5 267.0 299.6 332.5 355.3 358.7 360.1 362.3 366.6R 371.9' 375.3 377.7 382.3 n.a. 21 Retail sales6 253.8 281.6 303.8 331.7 334.8 328.1 326.7 333.9'' 333.8'' 338.5 338.9 331.7 334.2 Prices7 22 Consumer 195.4 217.4 246.8 263.2 265.1 266.8R 269.0 271.3 274.4 276.5 279.3 279.9 n.a. 23 Producer finished goods 194.6 216.1 246.9 263.3 266.0 268.5 269.6 270.5' 271.8'' 271.2 271.1 274.0 274.5 1. The industrial production and capacity utilization series have been revised 6. Based on Bureau of Census data published in Survey of Current Business. back to January 1979. 1. Data without seasonal adjustment, as published in Monthly Labor Review. 2. Ratios of indexes of production to indexes of capacity. Based on data from Seasonally adjusted data for changes in the price indexes may be obtained from Federal Reserve, McGraw-Hill Economics Department, and Department of Com- the Bureau of Labor Statistics. U.S. Department of Labor. merce. 3. Index of dollar value of total construction contracts, including residential, NOTE. Basic data (not index numbers) for series mentioned in notes 4, 5, and nonresidential, and heavy engineering, from McGraw-Hill Information Systems 6, and indexes for series mentioned in notes 3 and 7 may also be found in the Company, F. W. Dodge Division. Survey of Current Business. 4. Based on data in Employment and Earnings (U.S. Department of Labor). Figures for industrial production for the last two months are preliminary and Series covers employees only, excluding personnel in the Armed Forces. estimated, respectively. 5. Based on data in Survey of Current Business (U.S. Department of Commerce). 2.11 OUTPUT, CAPACITY, AND CAPACITY UTILIZATION Seasonally adjusted 1980 1981 1980 1981 1980 1981 SSeerriieess Q4 Q1 Q2 Q3 Q4 01 Q2 Q3 Q4 Q1 Q2 03 Output (1967 = 100) Capacity (percent of 1967 output) Utilization rate (percent) 1 Manufacturing 148.6 151.3 152.4 152.5 187.9 189.4 190.9 192.4 79.1 79.9 79.8 79.3 2 Primary processing 152.7 157.5 156.5 155.7 192.5 193.8 195.0 196.3 79.3 81.3 80.3 79.4 3 Advanced processing 146.2 148.1 150.2 150.8 185.5 187.1 188.7 190.4 78.8 79.1 79.6 79.2 4 Materials 149.4 154.2 153.4 154.3 186.4 187.6 188.9 190.1 80.1 82.2 81.2 81.2 5 Durable goods 144.3 150.9 152.3 152.7 190.6 191.8 192.9 194.0 75.7 78.7 79.0 78.7 6 Metal materials 109.4 117.5 112.8 114.2 141.3 141.5 141.7 141.9 77.4 83.0 79.6 80.5 7 Nondurable goods 176.3 179.2 178.4 175.8 205.3 207.3 209.2 211.2 85.9 86.5 85.3 83.3 8 Textile, paper, and chemical 183.7 186.7 185.9 182.8 214.9 217.1 219.4 221.7 85.5 86.0 84.8 82.5 9 Textile 113.7 114.8 114.5 115.5 139.7 140.1 140.6 141.0 81.4 81.9 81.4 81.8 10 Paper 149.7 151.4 151.0 152.2 158.5 159.7 160.7 161.9 94.5 94.8 93.9 94.1 11 Chemical 228.2 232.7 231.6 224.9 270.5 274.1 277.5 281.0 84.3 84.9 83.5 80.1 12 Energy materials 128.2 130.9 125.1 131.6 152.8 153.5 154.2 155.0 83.9 85.3 81.1 85.0 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Labor Market A47 2.11 Continued Previous cycle1 Latest cycle2 1980 1981 High Low High Low Oct. Mar. Apr. May June July Aug.' Sept.' Oct. Capacity utilization rate (percent) 13 Manufacturing 88.0 69.0 87.2 74.9 78.2 79.8 79.8 80.0 79.6 79.8 79.6 78.4 76.9 14 Primary processing 93.8 68.2 90.1 71.0 77.6 80.8 80.7 80.6 79.5 80.1 79.9 78.1 75.6 15 Advanced processing 85.5 69.4 86.2 77.2 78.3 79.2 79.4 79.8 79.7 79.8 79.4 78.5 77.5 16 Materials 92.6 69.4 88.8 73.8 78.4 82.1 81.1 81.2 81.3 81.9 81.7 80.0 78.0 17 Durable goods 91.5 63.6 88.4 68.2 73.3 79.2 78.8 79.2 78.9 79.3 79.5 77.3 75.0 18 Metal materials 98.3 68.6 96.0 59.6 70.5 83.9 79.9 80.3 78.7 79.5 83.0 79.0 74.5 19 Nondurable goods 94.5 67.2 91.6 77.5 85.1 85.4 85.9 85.6 84.3 83.9 83.0 82.9 80.7 70 Textile, paper, and chemical.... 95.1 65.3 92.2 75.3 84.5 85.0 85.5 85.4 83.5 83.2 82.3 82.1 79.9 71 Textile 92.6 57.9 90.6 80.9 81.4 81.5 81.9 81.7 80.5 82.0 82.3 81.3 79.5 77 Paper 99.4 72.4 97.7 89.3 94.1 95.3 94.9 93.9 93.0 92.9' 93.6 95.7 92.1 23 Chemical 95.5 64.2 91.3 70.7 82.9 83.4 84.1 84.3 82.0 81.2 79.7 79.3 77.2 24 Energy materials 94.6 84.8 88.3 82.7 82.7 85.2 79.9 79.8 83.7 86.2 85.6 83.1 82.6 1. Monthly high 1973; monthly low 1975. 2. Preliminary; monthly highs December 1978 through January 1980; monthly lows July 1980 through October 1980. 2.12 LABOR FORCE, EMPLOYMENT, AND UNEMPLOYMENT Thousands of persons; monthly data are seasonally adjusted. Exceptions noted. 1981 CCaatteeggoorryy 11997788 11997799 11998800 May June July Aug. Sept. Oct. Nov. HOUSEHOLD SURVEY DATA 1 Noninstitutional population1 161,058 163,620 166,246 168,272 168,480 168,685 168,855 169,049 169,252 169,435 7 Labor force (including Armed Forces)1 ... 102.537 104.996 106,821 109.533 108.307 108,603 108,762 108,401 108,894 109,187 3 Civilian labor force 100.420 102,908 104.719 107.406 106,176 106.464 106,602 106,236 106,736 107,029 4 Nonagricultural industries2 91,031 93.648 93.960 95.882 95.127 95,704 95,574 94.959 94,880 94,662 5 Agriculture 3.342 3,297 3.310 3.353 3.265 3.258 3,370 3.310 3,337 33,663 Unemployment 6 Number 6,047 5.963 7.448 8.171 7.784 7.502 7,657 7.966 8,520 9.004 7 Rate (percent of civilian labor force) . 6.0 5.8 7.1 7.6 7.3 7.0 7.2 7.5 8.0 8.4 8 Not in labor force 58,521 58,623 59.425 58.739 60.173 60.082 60.093 60.648 60,359 60.248 ESTABLISHMENT SURVEY DATA 9 Nonagricultural payroll employment3 86,697 89,823 90,564 91,564 91,615 91,880 91,901 92,033' 91,798' 91,561 10 Manufacturing 20.505 21.040 20.300 20.414 20.424 20.535 20.505 20,496' 20,227' 20.038 II Mining 851 958 1,020 957 1,110 1,132 1.151 1,162' 1.164' 1,179 17. Contract construction 4.229 4.463 4,399 4.334 4.284 4,272 4,275 4,272' 4.260' 4.242 13 Transportation and public utilities 4.923 5.136 5.143 5.148 5.149 5.167 5.170 5.186' 5.164' 5,161 14 Trade 19.542 20.192 20,386 20.714 20,717 20.796 20.862 20,872' 20.910' 20,826 15 Finance 4,724 4.975 5.168 5.326 5,331 5.344 5.354 5,366' 5.359' 5,355 16 Service 16.252 17,112 17.901 18.540 18,560 18.642 18,667 18.774' 18.782' 18,828 17 Government 15.672 15.947 16,249 16.131 16,040 15.992 15.917 15.905' 15,932' 15,932 1. Persons 16 years of age and over. Monthly figures, which are based on sample 3. Data include all full- and part-time employees who worked during, or data, relate to the calendar week that contains the 12th day; annual data are received pay for. the pay period that includes the 12th day of the month, and averages of monthly figures. By definition, seasonality does not exist in population exclude proprietors, self-employed persons, domestic servants, unpaid family workfigures. Based on data from Employment and Earnings (U.S. Department of La- ers. and members of the Armed Forces. Data are adjusted to the March 1979 bor). benchmark and only seasonally adjusted data are available at this time. Based on 2. Includes self-employed, unpaid family, and domestic service workers. data from Employment and Earnings (U.S. Department of Labor). Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A48 Domestic Nonfinancial Statistics • December 1981 2.13 INDUSTRIAL PRODUCTION Indexes and Gross Value Monthly data are seasonally adjusted. 1967 1980 1980 1981 Grouping p ti o o r n - age Nov. Dec Jan. Feb. Mar. Apr. May June July Aug/ Sept. Oct.? Nov.e Index (1967 = 100) MAJOR MARKET 1 Total index 100.00 147.0 149.2 150.4 151.4 151.8 152.1 151.9 152.7 152.9 153.9 153.6 151.7 149.6 146.5 2 Products 60.71 146.7 148.7 149.4 149.9 150.2 150.7 151.3 152.3 152.2 153.0 152.6 151.2 150.0 147.6 3 Final products 47.82 145.3 147.4 147.8 147.8 148.2 149.0 149.9 151.3 151.4 152.1 151.5 150.3 149.6 147.3 4 Consumer goods 27.68 145.4 148.1 147.1 146.9 147.8 148.3 148.9 150.7 150.3 150.7 149.6 148.2 147.5 144.7 5 Equipment 20.14 145.2 146.5 148.8 149.1 148.7 150.0 151.4 152.1 153.0 154.1 154.0 153.1 152.3 150.8 6 Intermediate products 12.89 151.9 153.4 155.4 157.5 157.7 157.1 156.3 156.1 154.9 156.2 156.8 154.5 151.6 149.0 7 Materials 39.29 147.6 150.1 152.2 153.8 154.3 154.4 152.9 153.4 154.0 155.3 155.2 152.4 148.9 144.9 Consumer goods 8 Durable consumer goods 7.89 136.7 143.4 141.3 140.1 141.2 143.6 144.3 147.3 147.9 146.5 142.5 140.3 136.6 128.4 9 Automotive products 2.83 132.8 146.1 139.0 130.4 133.9 139.2 142.9 151.8 153.1 147.6 137.6 139.1 133.0 123.4 10 Autos and utility vehicles 2.03 110.1 125.4 116.2 102.7 108.5 116.1 120.2 129.1 131.4 123.0 107.8 110.0 101.7 89.2 11 Autos 1.90 103.6 115.4 105.9 93.3 101.1 107.8 113.2 120.0 122.2 118.1 104.0 103.3 92.5 81.1 12 Auto parts and allied goods.. 80 190.4 198.6 197.0 200.8 198.4 197.5 200.8 209.5 208.0 210.0 213.1 212.9 212.5 210.0 13 Home goods 5.06 138.9 141.8 142.6 145.6 145.2 146.1 145.0 144.8 145.0 145.8 145.3 141.0 138.6 131.2 14 Appliances, A/C, and TV ... 1.40 117.3 128.4 126.4 132.2 125.8 129.1 121.2 121.4 120.0 123.6 126.8 118.9 116.3 96.9 15 Appliances and TV 1.33 119.5 131.0 128.7 134.1 128.2 131.2 122.6 122.3 121.4 124.8 128.9 121.3 118.3 16 Carpeting and furniture 1.07 155.2 154.1 157.3 156.2 160.4 160.2 165.2 163.1 166.3 163.2 160.1 158.6 152.5 17 Miscellaneous home goods... 2.59 143.8 144.0 145.4 148.4 149.5 149.4 149.7 149.9 149.8 150.7 149.2 145.8 144.9 142.8 18 Nondurable consumer goods 19.79 148.9 150.0 149.3 149.6 150.5 150.1 150.7 152.1 151.2 152.3 152.5 151.3 151.9 151.3 19 Clothing 4.29 126.0 125.5 121.0 121.2 120.9 118.9 120.6 122.1 120.9 122.8 121.9 119.1 20 Consumer staples 15.50 155.2 156.7 157.2 157.5 158.6 158.8 159.0 160.3 159.6 160.5 161.0 160.3 160.5 160.1 21 Consumer foods and tobacco 8.33 147.4 149.1 149.0 149.3 150.5 150.5 150.2 151.3 149.6 150.5 150.6 149.4 150.1 22 Nonfood staples 7.17 164.3 165.6 166.6 167.0 168.1 168.4 169.3 170.8 171.3 172.2 173.0 172.9 172.6 172.7 23 Consumer chemical products 2.63 208.9 211.0 213.8 213.0 219.3 220.0 224.1 225.1 224.4 226.8 227.7 229.2 228.8 24 Consumer paper products . 1.92 123.1 128.3 127.7 127.9 129.0 128.7 127.4 127.7 129.2 127.6 128.9 127.7 128.0 25 Consumer energy products 2.62 149.8 147.3 147.8 149.4 145.4 143.7 144.9 147.9 148.9 150.0 150.4 149.5 148.9 26 Residential utilities 1.45 167.9 166.0 166.2 167.5 161.3 161.1 162.9 168.9 170.4 172.6 169.7 168.6 Equipment 27 Business 12.63 173.2 173.9 177.1 177.7 177.5 179.3 181.0 182.0 183.6 184.8 184.4 182.6 181.1 178.2 28 Industrial 6.77 156.5 155.3 159.1 161.5 163.4 164.6 165.9 167.0 169.0 169.4 170.2 168.9 167.2 164.8 29 Building and mining 1.44 242.8 247.9 253.3 264.0 270.4 276.6 281.7 286.4 289.7 290.3 293.0 293.6 295.0 293.3 30 Manufacturing 3.85 128.2 124.3 128.5 127.7 128.4 128.6 128.5 128.4 130.6 130.8 130.8 129.3 126.3 123.4 31 Power 1.47 148.9 145.3 146.5 149.1 149.9 149.3 149.9 150.8 151.2 151.6 152.7 150.4 148.6 146.9 32 Commercial transit, farm 5.86 192.4 195.4 198.0 196.6 193.7 196.2 198.6 199.4 200.4 202.5 200.9 198.4 197.2 193.8 33 Commercial 3.26 237.8 244.8 248.5 249.3 250.4 252.7 254.5 258.0 259.9 263.7 264.3 264.2 261.2 256.6 34 Transit 1.93 139.9 137.5 139.0 133.1 124.8 127.8 131.5 130.0 129.7 128.4 124.6 120.6 121.5 119.2 35 Farm 67 123.1 121.9 122.4 122.9 116.4 118.5 119.7 113.9 114.9 118.0 111.8 102.3 103.7 36 Defense and space 7.51 98.2 100.3 101.0 100.9 100.5 100.7 101.5 102.0 101.7 102.6 102.8 103.5 104.0 104.6 Intermediate products 37 Construction supplies 6.42 140.9 142.6 145.2 148.4 148.9 149.0 147.9 146.5 143.4 144.3 144.0 139.6 134.3 131.5 38 Business supplies 6.47 162.8 164.2 165.5 166.6 166.4 165.1 164.7 165.6 166.2 168.0 169.5 169.2 168.8 39 Commercial energy products... 1.14 172.3 174.0 175.4 175.5 174.0 174.7 175.2 179.0 177.7 180.0 176.6 173.5 174.3 Materials 40 Durable goods materials 20.35 143.0 146.1 147.4 150.0 150.6 152.2 151.8 152.8 152.4 153.6 154.3 150.3 146.0 140.3 41 Durable consumer parts 4.58 107.8 113.1 113.8 114.7 114.3 118.4 119.7 121.1 123.1 123.2 121.8 114.6 107.0 99.5 42 Equipment parts 5.44 187.2 184.2 186.1 189.7 188.9 191.1 192.8 194.0 193.2 193.8 194.7 192.6 191.2 186.5 43 Durante materials n.e.c 10.34 135.3 140.6 142.0 144.7 146.6 146.7 144.3 145.1 143.9 145.9 147.4 143.8 139.5 134.1 44 Basic metal materials 5.57 105.3 114.7 114.3 116.6 118.6 118.3 113.8 114.3 112.8 114.5 117.4 113.0 107.0 45 Nondurable goods materials 10.47 171.5 175.1 179.6 180.2 179.9 177.5 179.3 179.0 176.9 176.5 175.4 175.6 171.3 167.8 46 Textile, paper, and chemical materials 7.62 177.7 182.4 187.6 187.6 187.3 185.1 186.8 187.3 183.7 183.5 182.4 182.6 178.1 174.3 47 Textile materials 1.85 117.4 115.2 112.2 114.8 115.1 114.4 115.1 114.9 113.4 115.5 116.0 114.9 112.6 48 Paper materials 1.62 145.6 149.5 151.1 150.5 151.0 152.6 152.2 150.9 149.8 150.0 151.5 155.1 149.6 49 Chemical materials 4.15 217.2 225.2 235.9 234.7 233.8 229.5 232.4 233.9 228.4 227.1 224.1 223.6 218.5 50 Containers, nondurable 1.70 165.9 166.5 169.9 173.0 172.3 168.7 172.0 167.8 171.4 171.7 169.4 170.9 166.1 51 Nondurable materials n.e.c. 1.14 138.2 139.2 139.7 141.0 141.8 139.6 139.7 140.5 139.6 136.6 137.8 135.9 133.7 52 Energy materials 8.48 129.3 128.9 129.6 130.2 131.6 130.9 123.1 123.0 129.3 133.3 132.6 129.0 128.3 127.7 53 Primary energy 4.65 115.2 114.4 116.0 115.8 118.2 116.9 104.2 104.4 113.7 120.3 120.9 117.4 118.1 54 Converted fuel materials 3.82 146.5 146.5 146.1 147.8 148.0 148.1 146.1 145.5 148.2 149.2 146.9 143.1 140.7 Supplementary groups 55 Home goods and clothing 9.35 133.0 134.3 132.7 134.4 134.1 133.6 133.8 134.4 133.9 135.2 134.5 130.9 130.4 125.7 56 Energy, total 12.23 137.7 137.0 137.7 138.5 138.5 137.7 132.6 133.5 138.0 141.2 140.5 137.5 137.0 136.4 57 Products 3.76 156.6 155.4 156.1 157.3 154.0 153.1 154.1 157.3 157.6 159.1 158.4 156.8 156.6 58 Materials 8.48 129.3 128.9 129.6 130.2 131.6 130.9 123.1 123.0 129.3 133.3 132.6 129.0 128.3 127.7 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Output A49 2.13 Continued 1967 SIC pro- 1980 Grouping code por- avg. tion Nov. Dec. Feb. Mar. Apr. May June July Aug.r Sept. Oct.? Nov Index (1967 = 100) MAJOR INDUSTRY 1 Mining and utilities 12,05 149.5 151.5 152.4 153.3 154.1 154.8 150.5 152.1 156.3 159.1 158.2 156.6 156.1 154.9 2 Mining 6.36 132.7 135.1 138.6 140.4 143.1 143.2 135.2 135.4 141.7 146.5 146.0 145.4 145.1 144.4 3 Utilities 5.69 168.3 169.9 167.9 167.6 166.4 167.8 167.6 170.7 172.7 173.1 171.9 169.1 168.5 166.6 4 Electric 3.88 189.7 192.6 189.5 189.3 187.1 188.9 188.6 192.9 195.6 196.2 194.2 190.2 189.4 187.1 5 Manufacturing 87.95 146.7 148.9 150.4 151.1 151.2 151.6 152.0 152.8 152.4 153.2 153.2 151.2 148.7 145.2 6 Nondurable 35.97 161.2 163.0 165.0 165.6 166.2 165.3 165.9 166.4 165.8 167.1 167.3 166.2 164.0 161.5 7 Durable 51.98 136.7 139.2 140.3 141.0 140.8 142.1 142.5 143.5 143.2 143.6 143.4 140.9 138.1 134.0 Mining 8 Metal 10 .51 109.2 107.2 122.2 125.5 134.1 131.1 123.1 125.0 123.5 123.6 124.1 120.9 118.3 9 Coal 11.12 .69 146.7 151.7 153.5 147.5 159.0 151.2 75.9 77.0 122.9 170.0 167.4 161.9 165.3 161.9 10 Oil and gas extraction 13 4.40 133.3 136.1 138.4 141.4 142.2 144.1 146.1 146.2 148.2 147.7 148.2 149.2 149.4 149.7 11 Stone and earth minerals... 14 .75 132.8 132.7 137.4 138.4 140.0 138.8 133.7 132.2 132.7 133.3 128.2 124.5 119.7 Nondurable manufactures 12 Foods 20 8.75 149.6 151.6 151.0 151.9 152.5 152.4 151.9 152.2 151.3 151.6 151.9 151.1 151.2 13 Tobacco products 21 .67 119.9 123.5 118.8 123.5 125.4 125.7 122.2 122.3 120.9 121.3 123.8 122.4 14 Textile mill products 22 2.68 138.6 136.4 135.6 138.4 139.3 136.2 138.9 138.8 138.3 139.4 140.7 136.3 133.6 15 Apparel products 23 3.31 127.0 125.7 122.7 123.8 121.6 120.2 121.6 122.6 121.1 122.6 122.6 122.5 16 Paper and products 26 3.21 151.1 154.3 157.0 156.5 156.0 157.6 157.0 155.9 153.4 154.9 156.7 158.6 153.5 151.0 17 Printing and publishing .... 27 4.72 139.6 142.1 143.0 143.9 144.8 142.7 141.6 141.3 143.1 144.4 146.1 145.9 146.0 146.1 18 Chemicals and products.... 28 7.74 207.1 211.7 220.5 218.9 219.8 218.5 219.8 220.6 218.4 221.5 219.2 217.9 213.8 19 Petroleum products 29 1.79 132.9 128.6 131.3 133.1 131.5 130.3 130.0 129.8 129.3 128.7 130.4 129.3 127.2 126.1 20 Rubber and plastic products 30 2.24 235.7 258.9 262.3 264.0 270.2 269.5 275.2 280.3 285.1 285.3 286.7 279.6 271.9 21 Leather and products 31 .86 70.1 71.0 67.9 68.9 68.3 68.8 68.9 69.8 68.4 70.1 69.6 69.7 70.6 Durable manufactures 22 Ordnance, private and government 19.91 3.64 78.5 79.7 79.6 78.6 78.4 78.5 79.8 80.9 80.9 80.6 81.8 82.3 82.8 83.0 23 Lumber and products 24 1.64 119.3 123.7 123.6 127.4 126.2 125.6 126.3 126.2 122.5 122.9 119.1 113.2 107.1 24 Furniture and fixtures 25 1.37 150.0 147.6 148.6 150.0 154.3 155.6 158.7 158.9 162.4 164.9 163.3 159.9 157.0 25 Clay, glass, stone products . 32 2.74 147.5 148.8 153.0 156.8 156.4 154.6 154.3 151.7 148.1 148.7 148.2 146.1 143.6 26 Primary metals 33 6.57 102.3 113.2 111.5 114.1 114.5 114.9 110.6 111.9 107.4 109.4 113.1 108.5 102.6 96.8 27 Iron and steel 331.2 4.21 92.4 107.6 103.0 108.7 108.4 108.0 103.4 105.6 98.5 99.7 105.1 99.2 93.0 28 Fabricated metal products.. 34 5.93 134.1 132.3 135.7 135.8 137.6 139.2 139.5 138.4 139.3 140.1 140.0 137.1 133.5 128.5 29 Nonelectrical machinery 35 9.15 162.8 162.9 166.9 167.3 168.3 169.2 169.7 172.1 174.1 176.7 176.4 173.9 171.5 168.0 30 Electrical machinery 36 8.05 172.8 173.0 175.1 177.6 174.9 177.4 178.8 179.9 180.1 180.9 182.6 180.0 179.0 173.2 31 Transportation equipment.. 37 9.27 116.9 121.8 120.4 117.4 116.1 119.5 121.3 123.7 123.4 119.8 115.4 114.1 111.0 106.3 32 Motor vehicles and parts. 371 4.50 119.0 129.2 125.7 120.0 119.9 127.1 130.7 136.4 137.5 130.5 123.1 120.2 113.8 104.6 33 Aerospace and miscellaneous transportation equipment 372-9 4.77 114.9 114.9 115.4 114.9 112.6 112.3 112.4 111.8 110.2 109.7 108.2 108.5 108.4 108.0 34 Instruments 38 2.11 171.1 170.0 171.9 173.9 171.1 170.0 170.0 170.6 171.3 172.1 172.3 169.7 168.7 165.5 35 Miscellaneous manufactures 39 1.51 148.3 147.1 151.0 152.9 154.9 155.4 157.3 157.0 158.8 159.4 158.6 156.0 153.4 153.1 Gross value (billions of 1972 dollars, annual rates) MAJOR MARKET 36 Products, total 507.41 601.9 611.8 612.4 612.9 614.5 618.0 616.2 622.2 619.2 621.4 616.5 607.4 607.0 596.8 37 Final 390 9i 465.2 473.5 472.6 471.6 472.8 476.4 476.3 482.4 480.5 481.9 476.4 469.6 471.7 463.9 38 Consumer goods . 277.51 313.3 320.7 317.7 316.8 318.8 320.5 320.0 324.3 322.1 324.0 319.3 314.5 315.1 309.7 39 Equipment 113.4' 152.0 152.9 154.9 154.8 154.0 155.9 156.3 158.1 158.5 157.9 157.1 155.1 156.7 154.2 40 Intermediate 116.61 136.7 138.3 139.8 141.2 141.7 141.7 139.9 139.8 138.7 139.5 140.1 137.8 135.3 132.9 1. 1972 dollar value. NOTE. Published groupings include some series and subtotals not shown separately. For description and historical data, see Industrial Production—1976 Revision (Board of Governors of the Federal Reserve System: Washington, D.C.), December 1977. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A50 Domestic Nonfinancial Statistics • December 1981 2.14 HOUSING AND CONSTRUCTION Monthly figures are at seasonally adjusted annual rates except as noted. 1981 IItteemm 11997788 11997799 11998800 Mar. Apr. May June July Aug. Sept.' Oct. Private residential real estate activity (thousands of units) NEW UNITS 1 Permits authorized 1,801 1,552 1,191 1,153 1,186 1,167 %3 913 865 850 729 2 1-family 1,183 981 710 678 689 654 567 528 494 453 397 3 2-or-more-family 618 571 481 475 497 513 396 385 371 397 332 4 Started 2,020 1,745 1,292 1,297 1,332 1,158 11,,003399 1,047 941' 920 857 5 1-family 1,433 1,194 852 838 897 764 668888 704 606' 646 487 6 2-or-more-family 587 551 440 459 435 394 351 343 335' 274 370 7 Under construction, end of period1 1,310 1,140 896 927 913 894 853 822' 793' 774 n.a. 8 1-family 765 639 515 533 526 506 482 462' 439' 428 n.a. 9 2-or-more-family 546 501 382 394 388 388 371 361r 354' 345 n.a. 10 Completed 1,868 1,855 1,502 1,362 1,519 1,273 1,377 l,324r 1,224' 1,169 n.a. 11 1-family 1,369 1,286 957 880 964 875 877 864' 801' 759 n.a. 12 2-or-more-family 498 569 545 482 555 398 500 460r 423r 410 n.a. 13 Mobile homes shipped 276 277 222 255 265 255 246 268 230 235 n.a. Merchant builder activity in 1-family units 14 Number sold 818 709 530 507 451 478 402 408r 350' 313 360 15 Number for sale, end of period1 419 402 340 325 327 322 310 303 300' 295 284 Price (thousands of dollars)2 Median 16 Units sold 55.8 62.7 64.9 67.1 68.4 71.2 68.7 69.6 73.2' 67.8 71.2 17 Units sold 62.7 71.9 76.6 81.2 82.9 83.7 84.7 82.7 87.1' 84.7 84.6 EXISTING UNITS (1-family) 18 Number sold 3,863 3,701 2,881 2,490 2,610 2,500 2,660 2,520 2,260 2,050 1,920 Price of units sold (thous. of dollars)2 19 Median 48.7 55.5 62.1 64.4 65.3 66.3 67.7 67.5 68.1 67.1 65.2 20 Average 55.1 64.0 72.7 76.2 77.3 78.6 79.9 79.6 80.5 79.1 76.4 Value of new construction3 (millions of dollars) CONSTRUCTION 21 Total put in place 205,559 230,781 230,273 250,274 246,542 235,907 233,998 234,741 232,673 r 234,686 230,826 22 Private 159,664 181,690 174,8% 189,641 189,921 184,077 181,811 183,380 183,283' 182,454 179,101 23 Residential 93,423 99,032 87,260 96,266 95,206 89,719 85,971 85,340 84,699' 83,831 80,844 24 Nonresidential, total 6666,,224411 8822,,665588 87,636 9933,,337755 9944,,771155 9944,,335588 9955,,884400 9988,,004400 9988,,558844 9988,,662233 9988,,225577 Buildings 25 Industrial 10,993 14,953 13,839 15,380 15,504 15,503 16,243 17,182 18,295 18,344 18,944 26 Commercial 18,561 24,919 29,940 33,307 33,395 32,391 32,442 34,028 33,721 33,412 32,080 27 Other 6,739 7,427 8,654 9,588 9,1% 8,903 9,735 9,241 9,367 9,402 9,614 28 Public utilities and other 29,948 35,359 35,203 35,100 36,620 37,561 37,420 37,589 37,201 37,465 37,619 29 Public 45,896 49,088 55,371 60,632 56,620 51,830 52,186 51,360 49,390 52,232 51,725 30 Military 1,501 1,648 1,880 1,685 2,105 2,065 2,254 1,925 1,739 1,831 2,120 31 Highway 10,708 11,998 13,784 16,200 15,099 12,419 13,338 13,203 12,227 12,537 11,277 32 Conservation and development 4,457 4,586 5,089 5,565 5,681 4,894 4,912 5,226 4,711 4,904 6,523 33 Other 29,230 30,856 34,618 37,182 33,735 32,452 31,682 31,006 30,713 32,960 31,805 1. Not at annual rates. NOTE. Census Bureau estimates for all series except (a) mobile homes, which 2. Not seasonally adjusted. are private, domestic shipments as reported by the Manufactured Housing Institute 3. Value of new construction data in recent periods may not be strictly comparable and seasonally adjusted by the Census Bureau, and (b) sales and prices of existing with data in prior periods due to changes by the Bureau of the Census in its units, which are published by the National Association of Realtors. All back ana estimating techniques. For a description of these changes see Construction Reports current figures are available from originating agency. Permit authorizations are (C-30-76-5), issued by the Bureau in July 1976. those reported to the Census Bureau from 16,000 jurisdictions beginning with 1978. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Prices A51 2.15 CONSUMER AND PRODUCER PRICES Percentage changes based on seasonally adjusted data, except as noted 12 months to 3 months (at annual rate) to 1 month to IIInnndddeeexxx llleeevvveeelll OOOcccttt... IIIttteeemmm 1980 1981 1981 111999888111 11998800 11998811 (((111999666777 OOcctt.. OOcctt.. === 111000000)))!!! Dec. Mar. June Sept. June July Aug. Sept. Oct. CONSUMER PRICES2 1 All items 12.6 10.2 13.2 9.6 7.4 13.5 .7 1.2 .8 1.2 .4 279.9 2 Commodities 11.6 7.1 11.0 8.9 2.1 9.2 .4 .8 .6 .9 .4 257.9 3 Food 10.2 5.8 13.1 2.1 -.1 10.9 .2 .8 .8 1.0 .3 277.6 4 Commodities less food 12.2 7.7 9.9 12.3 3.1 8.6 .4 .7 .5 .8 .4 245.9 5 Durable 11.3 6.8 11.8 -.7 9.0 12.4 1.0 1.2 1.0 .7 .0 232.9 6 Nondurable 13.4 8.8 6.2 29.8 -2.0 3.6 -.2 .1 .3 .5 .3 260.7 7 Services 14.1 14.6 16.8 10.3 15.1 19.5 1.2 1.8 1.2 1.5 .4 318.6 8 Rent 8.7 8.4 9.6 7.0 7.7 10.2 .4 .5 .8' 2.5 .8 213.6 9 Services less rent 14.9 15.5 17.8 10.9 16.1 20.9 1.3 2.0 1.2 1.6 .4 338.7 Other groupings 10 All items less food 13.1 11.2 13.2 11.7 9.0 14.1 .8 1.3 .8 1.2 .4 279.0 11 All items less food and energy 12.2 10.9 14.4 5.8 11.8 15.2 1.0 1.4 .9 1.2 .4 265.9 12 Homeownership 17.0 13.2 23.1 3.1 16.9 21.3 1.5 2.1 1.1 .6 -.3 366.7 PRODUCER PRICES 13 Finished goods 13.1 7.3 8.3 13.3 6.8 2.8 .5 .4' .1' .2 .6 274.0 14 Consumer 13.3 6.9 7.4 13.6 6.1 2.1 .4 .3' .0' .2 .4 274.7 15 Foods 9.3 2.3 4.3 1.6 1.8 5.6 .5 1.4' .0' .0 -.2 253.7 16 Excluding foods 15.3 8.7 8.9 18.6 7.9 .7 .4 -.1' .0' .3 .7 281.3 17 Capital equipment 12.0 8.9 11.8 12.0 9.8 5.7 .7 .7' .7' .0 .9 271.4 18 Intermediate materials3 11.9 9.1 12.9 14.3 7.7 4.3 .3 .4' .4' .3 .0 314.5 Crude materials 19 Nonfood 19.5 15.7 27.5 39.7 9.5 2.1 -.7 .7' -.7' .6 -.8 480.5 20 Food 12.8 -12.0 -4.0 -23.1 8.6 -12.1 2.8 .3' -1.0' -2.5 -2.5' 245.6 1. Not seasonally adjusted. 3. Excludes intermediate materials for food manufacturing and manufactured 2. Figures for consumer prices are those for all urban consumers. animal feeds. SOURCE. Bureau of Labor Statistics. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A52 Domestic Nonfinancial Statistics • December 1981 2.16 GROSS NATIONAL PRODUCT AND INCOME Billions of current dollars except as noted; quarterly data are at seasonally adjusted annual rates. 1980 1981 AAccccoouunntt 11997788 11997799 11998800 Q3 Q4 Q1 Q2 Q3R GROSS NATIONAL PRODUCT 1 Total 2,156.1 2,413.9 2,626.1 2,637.3 2,730.6 2,853.0 2,885.8 2,956.6 By source 2 Personal consumption expenditures 1,348.7 1,510.9 1,672.8 1,682.2 1,751.0 1,810.1 1,829.1 1,887.2 3 Durable goods 199.3 212.3 211.9 208.8 223.3 238.3 227.3 237.9 4 Nondurable goods 529.8 602.2 675.7 674.2 703.5 726.0 735.3 750.5 5 Services 619.6 696.3 785.2 799.2 824.2 845.8 866.5 898.8 6 Gross private domestic investment 375.3 415.8 395.3 377.1 397.7 437.1 458.6 459.1 7 Fixed investment 353.2 398.3 401.2 393.2 415.1 432.7 435.3 434.8 8 Nonresidential 242.0 279.7 296.0 294.0 302.1 315.9 324.6 333.2 9 Structures 78.7 96.3 108.8 107.3 111.5 117.2 123.1 127.8 10 Producers' durable equipment 163.3 183.4 187.1 186.8 190.7 198.7 201.5 205.4 11 Residential structures 111.2 118.6 105.3 99.2 113.0 116.7 110.7 101.6 12 Nonfarm 106.9 113.9 100.3 94.5 107.6 111.4 105.4 96.0 13 Change in business inventories 22.2 17.5 -5.9 -16.0 -17.4 4.5 23.3 24.3 14 Nonfarm 21.8 13.4 -4.7 -12.3 -14.0 6.8 21.5 19.5 15 Net exports of goods and services -0.6 13.4 23.3 44.5 23.3 29.2 20.8 22.0 16 Exports 219.8 281.3 339.8 342.4 346.1 367.4 368.2 364.1 17 Imports 220.4 267.9 316.5 297.9 322.7 338.2 347.5 342.1 18 Government purchases of goods and services 432.6 473.8 534.7 533.5 558.6 576.5 577.4 588.3 19 Federal 153.4 167.9 198.9 194.9 212.0 221.6 219.5 226.0 20 State and local 279.2 305.9 335.8 338.6 346.6 354.9 357.9 362.3 By major type of product 21 Final sales, total 2,133.9 2,396.4 2,632.0 2,653.4 2,748.0 2,848.5 2,862.5 2,932.2 22 Goods 946.6 1,055.9 1,130.4 1,129.4 1,169.0 1,247.5 1,257.0 1,294.4 23 Durable 409.8 451.2 458.6 456.5 476.7 501.4 516.9 525.3 24 Nondurable 536.8 604.7 671.9 672.9 692.2 746.1 740.1 769.1 25 Services 976.3 1,097.2 1,229.6 1,249.0 1,285.3 1,317.1 1,344.7 1,385.5 26 Structures 233.2 260.8 266.0 258.9 276.4 288.4 284.1 276.7 27 Change in business inventories 22.2 17.5 -5.9 -16.0 -17.4 4.5 23.3 24.3 28 Durable goods 17.8 11.5 -4.0 -8.4 .7 -4.2 18.5 18.0 29 Nondurable goods 4.4 6.0 -1.8 -7.7 -18.1 8.6 4.8 6.3 30 MEMO: Total GNP in 1972 dollars 1,436.9 1,483.0 1,480.7 1,471.9 1,485.6 1,516.4 1,510.4 1,512.8 NATIONAL INCOME 31 Total 1,745.4 1,963.3 2,121.4 2,122.4 2,204.8 2,291.1 2,320.9 2,371.9 32 Compensation of employees 1,299.7 1,460.9 1,596.5 1,597.4 1,661.8 1,722.4 1,752.0 1,789.9 33 Wages and salaries 1,105.4 1,235.9 1,343.6 1,342.3 1,397.3 1,442.9 1,467.0 1,498.0 34 Government and government enterprises 219.6 235.9 253.6 253.9 263.3 267.1 270.5 274.7 35 Other 885.7 1,000.0 1,090.0 1,088.4 1,134.0 1,175.7 1,196.4 1,223.3 36 Supplement to wages and salaries 194.3 225.0 252.9 255.0 264.5 279.5 285.1 291.9 37 Employer contributions for social insurance 92.1 106.4 115.8 116.0 121.0 131.5 133.2 135.6 38 Other labor income 102.2 118.6 137.1 139.1 143.5 148.0 151.8 156.3 39 Proprietors' income1 117.1 131.6 130.6 129.7 134.0 132.1 134.1 137.2 40 Business and professional1 91.0 100.7 107.2 107.6 111.6 113.2 112.5 112.4 41 Farm1 26.1 30.8 23.4 22.1 22.5 18.9 21.7 24.9 42 Rental income of persons2 27.4 30.5 31.8 32.0 32.4 32.7 33.3 33.9 43 Corporate profits1 199.0 196.8 182.7 177.9 183.3 203.0 190.3 191.2 44 Profits before tax3 223.3 255.4 245.5 237.6 249.5 257.0 229.0 230.9 45 Inventory valuation adjustment -24.3 -42.6 -45.7 -41.7 -48.4 -39.2 -24.0 -26.3 46 Capital consumption adjustment -13.5 -15.9 -17.2 -17.9 -17.8 -14.7 -14.7 -13.4 47 Net interest 115.8 143.4 179.8 185.3 193.3 200.8 211.0 219.6 1. With inventory valuation and capital consumption adjustments. 3. For after-tax profits, dividends, and the like, see table 1.49. 2. With capital consumption adjustments. SOURCE. Survey of Current Business (Department of Commerce). Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

National Income Accounts A53 2.17 PERSONAL INCOME AND SAVING Billions of current dollars; quarterly data are at seasonally adjusted annual rates. Exceptions noted. 1980 1981 AAccccoouunntt 11997788 11997799 11998800 Q3 Q4 Q1 Q2 Q3r PERSONAL INCOME AND SAVING 1 Total personal income 1,721.8 1,943.8 2,160.2 2,182.1 2,256.2 2,319.8 2,368.5 2,441.8 2 Wage and salary disbursements 1,105.2 1,236.1 1,343.7 1,341.8 1,397.8 1,442.9 1,467.0 1,497.8 3 Commodity-producing industries 389.1 437.9 465.4 460.1 484.0 501.3 508.1 519.8 4 Manufacturing 299.2 333.4 350.7 346.7 364.0 377.4 386.7 393.6 5 Distributive industries 270.5 303.0 328.9 329.2 340.6 351.9 357.8 365.3 6 Service industries 226.1 259.2 295.7 298.7 310.0 322.5 330.5 338.2 7 Government and government enterprises 219.4 236.1 253.6 253.9 263.3 267.1 270.5 274.5 8 Other labor income 102.2 118.6 137.1 139.1 143.5 148.0 151.8 156.3 9 Proprietors' income1 117.2 131.6 130.6 129.7 134.0 132.1 134.1 137.2 10 Business and professional1 91.0 100.8 107.2 107.6 111.6 113.2 112.5 112.4 11 Farm1 26.1 30.8 23.4 22.1 22.5 18.9 21.7 24.9 12 Rental income of persons2 27.4 30.5 31.8 32.0 32.4 32.7 33.3 33.9 13 Dividends 43.1 48.6 54.4 55.1 56.1 58.0 60.2 63.0 14 Personal interest income 173.2 209.6 256.3 261.8 269.7 288.7 300.9 315.8 15 Transfer payments 223.3 249.4 294.2 310.7 313.9 319.6 324.2 342.7 16 Old-age survivors, disability, and health insurance benefits 116.2 131.8 153.8 163.2 165.3 169.8 172.0 188.5 17 LESS: Personal contributions for social insurance 69.6 80.6 87.9 88.1 91.2 102.3 103.1 105.0 18 EQUALS: Personal income 1,721.8 1,943.8 2,160.2 2,182.1 2,256.2 2,319.8 2,368.5 2,441.8 19 LESS: Personal tax and nontax payments 258.8 302.0 338.5 341.5 359.2 372.0 382.9 400.0 20 EQUALS: Disposable personal income 1,462.9 1,641.7 1,821.7 1,840.6 1,897.0 1,947.8 1,985.6 2,041.7 21 LESS: Personal outlays 1,386.6 1,555.5 1,720.4 1,729.2 1,799.4 1,858.9 1,879.0 1,938.5 22 EQUALS: Personal saving 76.3 86.2 101.3 111.4 97.6 88.9 106.6 103.3 MEMO: Per capita (1972 dollars) 23 Gross national product 6.426 6,588 6,503 6,456 6,499 6,619 6,581 6,554 24 Personal consumption expenditures 4,046 4,135 4,108 4,082 4,142 4,191 4,162 4,195 25 Disposable personal income 4,389 4,493 4,473 4,468 4,488 4,511 4,517 4,534 26 Saving rate (percent) 5.2 5.2 5.6 6.1 5.1 4.6 5.4 5.1 GROSS SAVING 27 Gross saving 355.2 412.0 401.9 402.0 406.7 442.6 465.3 462.3 28 Gross private saving 355.4 398.9 432.9 446.5 436.4 451.1 475.3 478.8 29 Personal saving 76.3 86.2 101.3 111.4 97.6 88.9 106.6 103.3 30 Undistributed corporate profits1 57.9 59.1 44.3 42.8 40.4 55.7 52.0 49.0 31 Corporate inventory valuation adjustment -24.3 -42.6 -45.7 -41.7 -48.4 -39.2 -24.0 -26.3 Capital consumption allowances 32 Corporate 136.4 155.4 175.4 178.4 183.2 187.5 194.6 201.1 33 Noncorporate 84.8 98.2 111.8 113.4 115.8 119.0 122.1 125.4 34 Wage accruals less disbursements .0 .0 .0 .5 -.5 .0 0 .0 35 Government surplus, or deficit (-), national income and product accounts -0.2 11.9 -32.1 -45.6 -30.8 -9.7 -11.2 -17.6 36 Federal -29.2 -14.8 -61.2 -74.2 -67.9 -46.6 -47.2 -54.9 37 State and local 29.0 26.7 29.1 28.6 37.1 36.9 36.1 37.2 38 Capital grants received by the United States, net .0 1.1 1.1 1.1 1.1 1.1 1.1 1.1 39 Gross investment 361.6 414.1 401.2 405.0 400.1 446.0 458.3 459.9 40 Gross private domestic 375.3 415.8 395.3 377.1 397.7 437.1 458.6 459.1 41 Net foreign -13.8 -1.7 5.9 27.8 2.3 8.8 -.2 .8 42 Statistical discrepancy 6.4 2.2 -.7 3.0 -6.6 3.4 -6.9 -2.4 1. With inventory valuation and capital consumption adjustments. SOURCE. Survey of Current Business (Department of Commerce). 2. With capital consumption adjustment. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A54 International Statistics • December 1981 3.10 U.S. INTERNATIONAL TRANSACTIONS Summary Millions of dollars; quarterly data are seasonally adjusted except as noted.1 1980 1981 Item credits or debits 11997788 11997799 11998800 Q2 Q3 Q4 Q1 Q2 P 1 Balance on current account -14,075 1,414 3,723 -545 44,,997755 11,,339900 33,,226633 11,,007733 2 Not seasonally adjusted 905 11,,114499 33,,224444 33,,554466 22,,336699 3 Merchandise trade balance2 -33,759 -27,346 -25,342 -6,744 --22,,990022 --55,,557700 --44,,667777 --66,,991144 4 Merchandise exports 142,054 184,473 223,966 55,667 5566,,225522 5577,,114499 6611,,009988 6600,,447777 5 Merchandise imports -175,813 -211,819 -249,308 -62,411 --5599,,115544 --6622,,771199 --6655,,777755 --6677,,339911 6 Military transactions, net 738 -1,947 -2,515 -427 --445555 --771155 --556688 --558866 7 Investment income, net3 21,400 33,462 32,762 6,518 88,,115544 88,,225577 99,,005533 88,,664477 8 Other service transactions, net 2,613 2,839 5,874 1,440 11,,668811 11,,776622 998822 11,,445566 9 Remittances, pensions, and other transfers -1,884 -2,057 -2,397 -545 -591 -720 -550 -536 10 U.S. government grants (excluding military) -3,183 -3,536 -4,659 -787 -912 -1,624 -977 -994 11 Change in U.S. government assets, other than official reserve assets, net (increase, -) -4,644 -3,767 -5,165 -1,187 -1,427 -1,094 -1,395 -1,475 12 Change in U.S. official reserve assets (increase, -) 732 -1,132 -8,155 502 -1,109 -4,279 -4,529 -905 13 Gold -65 -65 0 0 0 0 0 0 14 Special drawing rights (SDRs) 1,249 -1,136 -16 112 -261 1,285 -1,441 -23 15 Reserve position in International Monetary Fund 4,231 -189 -1,667 -99 -294 -1,240 -707 -780 16 Foreign currencies -4,683 257 -6,472 489 -554 -4,324 -2,381 -102 17 Change in U.S. private assets abroad (increase, -)3 -57,158 -57,739 -71,456 -24,152 -16,766 -22,622 -16,473 -19,141 18 Bank-reported claims -33,667 -26,213 -46,947 -20,165 -12,440 -13,139 -11,241 -14,063 19 Nonbank-reported claims -3,853 -3,026 -2,653 92 343 -2,005 -3,192 n.a. 20 U.S. purchase of foreign securities, net -3,582 -4,552 -3,310 -1,369 -818 -356 -488 1,451 21 U.S. direct investments abroad, net3 -16,056 -23,948 -18,546 -2,710 -3,851 -7,122 -1,552 -3,627 22 Change in foreign official assets in the United States (increase, +) 33,561 -13,757 15,492 7,557 7,686 7,712 5,503 -3,009 23 U.S. Treasury securities 23,555 -22,435 9,683 4,360 3,769 6,911 7,242 -2,069 24 Other U.S. government obligations 666 463 2,187 250 549 587 454 536 25 Other U.S. government liabilities4 2,359 -133 636 420 80 205 -112 180 26 Other U.S. liabilities reported by U.S. banks 5,551 7,213 -159 1,676 1,823 -460 -2,910 -2,286 27 Other foreign official assets5 1,4530 1,135 3,145 851 1,465 469 829 630 28 Change in foreign private assets in the United States (increase, +)* 30,187 52,703 34,769 -326 3,965 16,157 1,637 15,819 29 U.S. bank-reported liabilities 16,141 32,607 10,743 -4,509 916 7,737 -3,889 8,791 30 U.S. nonbank-reported liabilities 1,717 2,065 5,109 1,092 373 3,228 -820 n.a. 31 Foreign private purchases of U.S. Treasury securities, net 2,178 4,820 2,679 -1,260 -254 893 1,405 701 32 Foreign purchases of other U.S. securities, net 2,254 1,334 5,384 468 241 2,240 2,454 3,450 33 Foreign direct investments in the United States, net3 .... 7,896 11,877 10,853 3,883 2,689 2,059 2,487 2,878 34 Allocation of SDRs 0 1,139 1,152 00 00 00 1,093 00 35 Discrepancy 11,398 21,140 29,640 1188,,115511 22,,667766 22,,773366 10,901 77,,663377 36 Owing to seasonal adjustments 11,,335555 --33,,229911 22,,113399 -340 11,,222211 37 Statistical discrepancy in recorded data before seasonal adjustment 11,398 21,140 29,640 1166,,779966 55,,996677 559977 11,241 66,,441166 MEMO: Changes in official assets 38 U.S. official reserve assets (increase, ~) 732 -1,132 -8,155 502 -1,109 -4,279 -4,529 -905 39 Foreign official assets in the United States (increase, +) 31,202 -13,624 14,856 7,137 7,606 7,507 5,615 -3,189 40 Change in Organization of Petroleum Exporting Countries official assets in the United States (part of line 22 above) -1,137 5,543 12,744 4,617 4,115 1,024 5,446 2,635 41 Transfers under military grant programs (excluded from lines 4, 6, and 10 above) 236 305 635 155 125 211 192 207 1. Seasonal factors are no longer calculated for lines 12 through 41. 4. Primarily associated with military sales contracts and other transactions ar- 2. Data are on an international accounts (IA) basis. Differs from the Census ranged with or through foreign official agencies. basis data, shown in table 3.11, for reasons of coverage and timing; military exports 5. Consists of investments in U.S. corporate stocks and in debt securities of are excluded from merchandise data and are included in line 6. private corporations and state and local governments. 3. Includes reinvested earnings of incorporated affiliates. NOTE. Data are from Bureau of Economic Analysis, Survey of Current Business (U.S. Department of Commerce). Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Trade and Reserve Assets A55 3.11 U.S. FOREIGN TRADE Millions of dollars; monthly data are seasonally adjusted. 1981 IItteemm 11997788 11997799 11998800 Apr. May June July Aug. Sept. Oct. 1 EXPORTS of domestic and foreign merchandise excluding grant-aid shipments 143,682 181,860 220,626 19,818 18,869 19,870 19,264 19,050 19,655 19,044 2 GENERAL IMPORTS including merchandise for immediate consumption plus entries into bonded warehouses 174,759 209,458 244,871 22,289 21,310 21,975 19,807 23,528 21,229 23,234 3 Trade balance -31,075 -27,598 -24,245 -2,471 -2,441 -2,105 -542 -4,478 -1,574 -4,190 NOTE. The data in this table are reported by the Bureau of Census data on a account" in table 3.10, line 6). On the import side, additions are made for gold, free-alongside-ship (f.a.s.) value basis—that is, value at the port of export. Begin- ship purchases, imports of electricity from Canada and other transactions; military ning in 1981, foreign trade of the U.S. Virgin Islands is included in the Census payments are excluded and shown separately as indicated above. basis trade data; this adjustment has been made for all data shown in the table. The Census basis data differ from merchandise trade data shown in table 3.10, SOURCE. FT900 "Summary of U.S. Export and Import Merchandise Trade" U.S. International Transactions Summary, for reasons of coverage and timing. On (U.S. Department of Commerce, Bureau of the Census). the export side, the largest adjustments are: (a) the addition of exports to Canada not covered in Census statistics, and (b) the exclusion of military sales (which are combined with other military transactions and reported separately in the "service 3.12 U.S. RESERVE ASSETS Millions of dollars, end of period 1981 TTyyppee 11997788 11997799 11998800 Apr. May June July Aug. Sept. Oct.P 1 Total1 18,650 18,956 26,756 29,693 29,395 29,582 28,870 29,265 29,716 30,248 2 Gold stock, including Exchange Stabilization Fund1 11,671 11,172 11,160 11,154 11,154 11,154 11,154 11,154 11,152 11,152 3 Special drawing rights2,3 1,558 2,724 2,610 3,712 3,652 3,689 3,717 3,739 3,896 3,949 4 Reserve position in International Monetary Fund2 1,047 1,253 2,852 3,576 3,690 3,988 4,157 4,341 4,618 4,736 5 Foreign currencies4,5 4,374 3,807 10,134 11,251 10,899 10,751 9,842 10,031 10,050 10,411 1. Gold held under earmark at Federal Reserve Banks for foreign and inter- 3. Includes allocations by the International Monetary Fund of SDRs as follows: national accounts is not included in the gold stock of the United States; see table $867 million on Jan. 1, 1970; $717 million on Jan. 1, 1971; $710 million on Jan. 1, 3.22. 1972; $1,139 million on Jan. 1, 1979; $1,152 million on Jan. 1, 1980; and $1,093 2. Beginning July 1974, the IMF adopted a technique for valuing the SDR based million on Jan. 1, 1981; plus net transactions in SDRs. on a weighted average of exchange rates for the currencies of member countries. 4. Beginning November 1978, valued at current market exchange rates. From July 1974 through December 1980, 16 currencies were used; from January 5. Includes U.S. government securities held under repurchase agreement against 1981, 5 currencies have been used. The U.S. SDR holdings and reserve position receipt of foreign currencies, if any. in the IMF also are valued on this basis beginning July 1974. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A56 International Statistics • December 1981 3.13 FOREIGN BRANCHES OF U.S. BANKS Balance Sheet Data Millions of dollars, end of period 1981 AAsssseett aaccccoouunntt 1199778811 11997799 11998800 Mar. Apr. May June July Aug. Sept.? All foreign countries 1 Total, all currencies 306,795 364,233 400,510 413,880 413,516 417,187 422,946 433,238 433,242 450,151 2 Claims on United States 17,340 32,302 28,460 30,002 34,519 38,645 35,204 43,074 41,533 46,509 3 Parent bank 12,811 25,929 20,202 18,641 23,086 28,012 24,311 30,994 29,782 32,272 4 Other 4,529 6,373 8,258 11,361 11,433 10,633 10,893 12,080 11,751 14,237 5 Claims on foreigners 278,135 317,175 354,368 365,349 360,514 359,531 368,654 370,938 372,378 384,219 6 Other branches of parent bank 70,338 79,661 76,986 78,882 76,917 76,224 79,814 82,128 83,171 84,469 7 Banks 103,111 123,413 146,400 152,363 149,647 149,060 154,748 154,843 152,286 159,623 8 Public borrowers2 23,737 26,072 28,014 28,919 28,291 27,734 27,806 28,645 29,270 29,876 9 Nonbank foreigners 80,949 88,029 102,968 105,185 105,659 106,513 106,286 105,322 107,651 110,251 10 Other assets 11,320 14,756 17,682 18,529 18,483 19,011 19,088 19,226 19,331 19,423 11 Total payable in U.S. dollars 224,940 267,711 291,635 305,328 308,373 312,683 320,308 330,758 328,784 342,997 12 Claims on United States 16,382 31,171 27,191 28,817 33,306 37,403 33,950 41,873 40,250 45,255 13 Parent bank 12,625 25,632 19,896 18,421 22,839 27,709 24,041 30,742 29,490 32,008 14 Other 3,757 5,539 7,295 10,396 10,467 9,694 9,909 11,131 10,760 13,247 15 Claims on foreigners 203,498 229,118 255,234 266,291 264,537 264,263 275,195 277,354 276,935 286,166 16 Other branches of parent bank 55,408 61,525 58,508 60,969 59,590 58,711 62,696 64,725 65,477 66,127 17 Banks 78,686 96,261 117,302 122,873 121,674 121,930 128,114 127,552 124,504 131,505 18 Public borrowers2 19,567 21,629 23,491 24,095 23,801 23,201 23,488 24,250 24,410 24,679 19 Nonbank foreigners 49,837 49,703 55,933 58,354 59,472 60,421 60,897 60,827 62,544 63,855 20 Other assets 5,060 7,422 9,210 10,220 10,530 11,017 11,163 11,531 11,599 11,576 United Kingdom 21 Total, all currencies 106,593 130,873 144,717 148,077 144,577 146,640 149,704 148,774 150,161 153,838 22 Claims on United States 5,370 11,117 7,509 9,159 8,518 10,382 9,640 9,130 9,995 11,143 23 Parent bank 4,448 9,338 5,275 6,265 5,766 7,666 7,098 6,167 7,189 7,680 24 Other 922 1,779 2,234 2,894 2,752 2,716 2,542 2,963 2,806 3,463 25 Claims on foreigners 98,137 115,123 131,142 132,797 130,062 130,200 134,102 133,626 134,034 136,856 26 Other branches of parent bank 27,830 34,291 34,760 35,654 34,704 34,834 35,914 37,035 38,035 38,874 27 Banks 45,013 51,343 58,741 59,742 57,934 57,611 60,261 59,639 58,362 59,045 28 Public borrowers2 4,522 4,919 6,688 6,920 6,848 6,720 6,811 6,822 6,665 7,097 29 Nonbank foreigners 20,772 24,570 30,953 30,481 30,576 31,035 31,116 30,130 30,972 31,840 30 Other assets 3,086 4,633 6,066 6,121 5,997 6,058 5,962 6,018 6,132 5,839 31 Total payable in U.S. dollars 75,860 94,287 99,699 104,533 102,336 104,959 108,854 107,961 109,008 112,769 32 Claims on United States 5,113 10,746 7,116 8,755 8,080 9,932 9,150 8,628 9,552 10,679 33 Parent bank 4,386 9,297 5,229 6,236 5,715 7,611 7,059 6,110 7,128 7,617 34 Other 727 1,449 1,887 2,519 2,365 2,321 2,091 2,518 2,424 3,062 35 Claims on foreigners 69,416 81,294 89,723 92,493 91,018 91,632 96,240 95,832 95,887 98,397 36 Other branches of parent bank 22,838 28,928 28,268 29,087 28,466 28,527 29,725 30,789 31,710 32,623 37 Banks 31,482 36,760 42,073 43,379 42,467 42,786 45,631 44,488 42,957 43,643 38 Public borrowers2 3,317 3,319 4,911 5,189 5,0% 4,967 5,123 5,176 5,006 5,251 39 Nonbank foreigners 11,779 12,287 14,471 14,838 14,989 15,352 15,761 15,379 16,214 16,880 40 Other assets 1,331 2,247 2,860 3,285 3,238 3,395 3,464 3,501 3,569 3,693 Bahamas and Caymans 41 Total, all currencies 91,735 108,977 123,837 127,886 132,145 133,594 135,081 145,290 142,087 148,079 42 Claims on United States 9,635 19,124 17,751 17,348 22,473 24,531 21,812 29,808 27,131 30,059 43 Parent bank 6,429 15,196 12,631 10,017 14,908 17,511 14,477 21,654 19,303 20,556 44 Other 3,206 3,928 5,120 7,331 7,565 7,020 7,335 8,154 7,828 9,503 45 Claims on foreigners 79,774 86,718 101,926 106,052 105,081 104,197 108,477 110,584 109,888 113,061 46 Other branches of parent bank 12,904 9,689 13,342 14,022 13,107 12,235 13,569 13,788 13,909 13,174 47 Banks 33,677 43,189 54,861 57,127 57,405 57,073 59,705 60,748 59,316 62,959 48 Public borrowers2 11,514 12,905 12,577 12,579 12,205 12,169 12,038 12,471 12,610 12,431 49 Nonbank foreigners 21,679 20,935 21,146 22,324 22,364 22,720 23,165 23,577 24,053 24,497 50 Other assets 2,326 3,135 4,160 4,486 4,591 4,866 4,792 4,898 5,068 4,959 51 Total payable in U.S. dollars 85,417 102,368 117,654 121,900 126,429 127,969 129,438 139,514 136,054 142,228 1. In May 1978 the exemption level for branches required to report was increased, eluding corporations that are majority owned by forcing governments, replaced which reduced the number of reporting branches. the previous, more narrowly defined claims on foreign official institutions. 2. In May 1978 a broader category of claims on foreign public borrowers, in- Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Overseas Branches A57 3.13 Continued 1981 t • u-r* . 1199778811 Mar. Apr. May June July Aug. Sept.? All foreign countries 52 Total, all currencies 306,795 364,233 400,510 413,880 413,516 417,187 422,946 433,238 433,242 450,151 53 To United States 58,012 66,686 91,059 98,776 105,667 105,343 109,322 118,093 116,190 124,337 54 Parent bank 28,654 24,530 39,266 43,062 45,320 41,039 44,327 43,069 44,010 48,755 55 Other banks in United States 12,169 13,968 14,473 14,584 15,551 16,301 16,136 17,578 15,686 18,125 56 Nonbanks 17,189 28,188 37,275 41,130 44,796 48,003 48,859 57,446 56,494 57,457 57 To foreigners 238,912 283,344 294,823 300,525 292,941 296,462 298,169 299,240 300,081 306,442 58 Other branches of parent bank 67,496 77,601 75,685 77,050 76,094 75,815 79,033 81,387 80,991 83,205 59 Banks 97,711 122,849 131,747 134,325 129,670 133,650 131,818 129,290 125,563 127,374 60 Official institutions 31,936 35,664 32,466 29,385 28,046 27,469 26,352 25,682 28,209 28,720 61 Nonbank foreigners 41,769 47,230 54,925 59,765 59,131 59,528 60,966 62,881 65,318 67,143 62 Other liabilities 9,871 14,203 14,673 14,579 14,908 15,382 15,455 15,905 16,971 19,372 63 Total payable in U.S. dollars 230,810 273,819 303,076 316,771 320,256 324,479 332,284 343,947 341,596 354,934 64 To United States 55,811 64,530 88,156 96,319 103,204 102,971 106,740 115,481 113,526 121,374 65 Parent bank 27,519 23,403 37,527 41,531 43,826 39,604 42,822 41,620 42,481 46,932 66 Other banks in United States 11,915 13,771 14,203 14,432 15,381 16,175 15,945 17,391 15,529 17,945 67 Nonbanks 16,377 27,356 36,426 40,356 43,997 47,192 47,973 56,470 55,516 56,497 68 To foreigners 169,927 201,476 206,684 211,496 207,455 211,915 215,931 218,178 217,239 220,744 69 Other branches of parent bank 53,396 60,513 58,093 59,874 59,213 59,108 62,292 64,884 64,338 66,104 70 Banks 63,000 80,691 87,377 87,990 86,490 89,885 89,909 88,554 83,842 84,378 71 Official institutions 26,404 29,048 24,697 22,762 21,453 21,345 20,853 20,108 22,056 22,731 72 Nonbank foreigners 27,127 31,224 36,517 40,870 40,299 41,577 42,877 44,632 47,003 47,531 73 Other liabilities 5,072 7,813 8,236 8,956 9,597 9,593 9,613 10,288 10,831 12,816 United Kingdom 74 Total, all currencies 106,593 130,873 144,717 148,077 144,577 146,640 149,704 148,774 150,161 153,838 75 To United States 9,730 20,986 21,785 25,424 25,843 26,688 29,598 30,383 31,408 34,216 76 Parent bank 1,887 3,104 4,225 4,242 4,543 4,376 4,371 4,138 4,189 5,365 77 Other banks in United States 4,189 7,693 5,716 5,731 5,928 5,973 6,172 5,864 5,646 6,635 78 Nonbanks 3,654 10,189 11,844 15,451 15,372 16,339 19,055 20,381 21,573 22,216 79 To foreigners 93,202 104,032 117,438 117,318 113,634 114,655 115,099 113,560 113,191 113,534 80 Other branches of parent bank 12,786 12,567 15,384 15,437 15,095 14,169 14,996 15,103 15,255 14,989 81 Banks 39,917 47,620 56,262 55,990 53,842 56,209 55,923 54,351 51,532 51,638 82 Official institutions 20,963 24,202 21,412 19,241 18,390 18,508 17,197 16,352 17,866 18,480 83 Nonbank foreigners 19,536 19,643 24,380 26,650 26,307 25,769 26,983 27,754 28,538 28,427 84 Other liabilities 3,661 5,855 5,494 5,335 5,100 5,297 5,007 4,831 5,562 6,088 85 Total payable in U.S. dollars 77,030 95,449 103,440 108,895 107,139 109,209 113,427 113,247 114,191 117,669 86 To United States 9,328 20,552 21,080 24,950 25,333 26,221 28,858 29,606 30,661 33,539 87 Parent bank 1,836 3,054 4,078 4,159 4,448 4,306 4,277 4,054 4,132 5,306 88 Other banks in United States 4,101 7,651 5,626 5,684 5,854 5,919 6,094 5,768 5,594 6,556 89 Nonbanks 3,391 9,847 11,376 15,107 15,031 15,996 18,487 19,784 20,935 21,677 90 To foreigners 66,216 72,397 79,636 80,729 78,668 79,713 81,544 80,400 79,988 80,312 91 Other branches of parent bank 9,635 8,446 10,474 10,460 10,282 9,327 10,289 10,566 10,943 10,615 92 Banks 25,287 29,424 35,388 34,467 34,209 35,870 36,701 35,789 32,914 32,820 93 Official institutions 17,091 20,192 17,024 15,374 14,478 14,851 14,000 13,133 14,244 15,307 94 Nonbank foreigners 14,203 14,335 16,750 20,428 19,699 19,665 20,554 20,912 21,887 21,570 95 Other liabilities 1,486 2,500 2,724 3,216 3,138 3,275 3,025 3,241 3,542 3,818 Bahamas and Caymans 96 Total, all currencies 91,735 108,977 123,837 127,886 132,145 133,594 135,081 145,290 142,087 148,079 97 To United States 39,431 37,719 59,666 64,026 69,478 69,048 69,407 77,197 73,924 77,702 98 Parent bank 20,482 15,267 28,181 31,741 32,925 29,583 32,160 31,034 31,265 33,451 99 Other banks in United States 6,073 5,204 7,379 7,883 8,618 9,297 8,822 10,517 8,938 10,191 100 Nonbanks 12,876 17,248 24,106 24,402 27,935 30,168 28,425 35,646 33,721 34,060 101 To foreigners 50,447 68,598 61,218 60,957 59,424 61,170 62,470 64,491 64,565 66,627 102 Other branches of parent bank 16,094 20,875 17,040 17,437 17,788 17,950 19,484 20,989 20,315 22,393 103 Banks 23,104 33,631 29,895 28,752 27,213 28,846 28,326 28,056 27,538 27,983 104 Official institutions 4,208 4,866 4,361 4,403 4,079 3,666 3,685 3,934 4,605 4,028 105 Nonbank foreigners 7,041 9,226 9,922 10,365 10,344 10,708 10,975 11,512 12,107 12,223 106 Other liabilities 1,857 2,660 2,953 2,903 3,243 3,376 3,204 3,602 3,598 3,750 107 Total payable in U.S. dollars 87,014 103,460 119,657 123,785 128,235 129,811 131,120 141,241 137,754 143,682 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A58 International Statistics • December 1981 3.14 SELECTED U.S. LIABILITIES TO FOREIGN OFFICIAL INSTITUTIONS Millions of dollars, end of period 1981 IItteemm 11997788 11997799 11998800 Apr. May June July Aug. Sept.P Oct.? 1 Total' 162,775 149,697 164,576 170,600 165,414 167,069 166,986 162,391 161,587 159,685 By type 2 Liabilities reported by banks in the United States2 . 23,326 30.540 30.381 25,563 23,575 25,234 25,937 22,934 22,865 20,816 3 U.S. Treasury bills and certificates3 67.671 47,666 56,243 61,671 57,858 57,719 55,659 52,924 50,179 48.867 U.S. Treasury bonds and notes 4 Marketable 35,894 37.590 41.455 45,303 45,625 46,605 47,402 48,934 50,312 51,945 5 Nonmarketable4 20,970 17.387 14,654 14,294 13,202 12,802 12,402 12.402 12,402 12,191 6 U.S. securities other than U.S. Treasury securities5 14,914 16.514 21,843 23,769 24,062 24,309 25,186 25,197 25.829 25,866 By area 7 Western Europe1 93,089 85.633 81.592 78,237 71,467 71,130 70,557 65,960 64,409 60,969 8 Canada 2,486 1.898 1.562 1,177 1.365 1,248 664 1,603 1.366 1,073 9 Latin America and Caribbean 5,046 6.291 5,688 5.908 5,526 6,103 5,584 5,968 5,429 5,088 10 Asia 59,004 52.978 70.782 79,253 81.014 83,124 85,845 84,641 87,333 89,194 11 Africa 2,408 2.412 4,123 4,188 3,927 3,190 2,645 2,840 2,090 2.149 12 Other countries6 742 485 829 1,835 2,116 2,275 1,691 1,379 960 1,212 1. Includes the Bank for International Settlements. 5. Debt securities of U.S. government corporations and federally sponsored 2. Principally demand deposits, time deposits, bankers acceptances, commercial agencies, and U.S. corporate stocks and bonds. paper, negotiable time certificates of deposit, and borrowings under repurchase 6. Includes countries in Oceania and Eastern Europe. agreements. 3. Includes nonmarketable certificates of indebtedness (including those payable NOTE. Based on Treasury Department data and on data reported to the Treasury in foreign currencies through 1974) and Treasury bills issued to official institutions Department by banks (including Federal Reserve Banks) and securities dealers in of foreign countries. the United States. 4. Excludes notes issued to foreign official nonreserve agencies. Includes bonds and notes payable in foreign currencies. 3.15 LIABILITIES TO AND CLAIMS ON FOREIGNERS Reported by Banks in the United States Payable in Foreign Currencies Millions of dollars, end of period 1980 1981 IItteemm 11997777 11997788 11997799 Dec. Mar. June Sept.P 1 Banks' own liabilities 925 2,406 1.918 3,748 3,298 3,031 2,870 2 Banks' own claims' 2,356 3,671 2,419 4,206 4,257 3,673 4,132 3 Deposits 941 1,795 994 2,507 1,779 2,052 2,423 4 Other claims 1,415 1,876 1,425 1,699 2,478 1,621 1,709 S 335588 558800 996622 444444 334477 224477 1. Includes claims of banks' domestic customers through March 1978. NOTE. Data on claims exclude foreign currencies held by U.S. monetary au- 2. Assets owned by customers of the reporting bank located in the United States thorities. that represent claims on foreigners held by reporting banks for the accounts of their domestic customers. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Nonbank-Reported Data A59 3.16 LIABILITIES TO FOREIGNERS Reported by Banks in the United States Payable in U.S. dollars Millions of dollars, end of period 1981 HHoollddeerr aanndd ttyyppee ooff lliiaabbiilliittyy 11997788 11997799 11998800 Mar. Apr. May June July Aug. Sept. Oct.? 1 All foreigners 166,842 187,521 205,295 205,285' 213,250 213,487 208,799 213,677 208,044' 215,930 197,898 2. Banks' own liabilities 78.661 117,196 124.789 120,616' 128,170 132,167 127.947 131,903 130,980' 142.030 123,201 3 Demand deposits 19,218 23,303 23,462 21,195' 22,644 22.193 23.174 21,401 22,072 23,589 19,023 4 Time deposits' 12,427 13,623 15.076 16,316' 15.731 16.059 16,641 16,457 17,250' 17,300 17,497 .5 Other2 9.705 16.453 17,581 16,227' 14,814 12.359 14,090 13.327 11.242' 13,584 11,032 6 Own foreign offices3 37,311 63,817 68,670 66,877' 74,980 81.556 74,042 80.717 80.416' 87,556 75,649 7 Banks' custody liabilities4 88,181 70,325 80,506 84,669' 85,080 81.320 80,852 81,774 77.065' 73,900 74,697 8 U.S. Treasury bills and certificates5 .. 68,202 48,573 57,595 62,344' 63,281 59,597 59,745 57,550 54.846' 52.368 51,530 9 Other negotiable and readily transferable instruments6 17,472 19,396 20.079 18,015' 17.922 17.392 17.023 17,865 17,999' 17,295 18,248 10 Other 2,507 2,356 2.832 4.310 3.877 4,331 4.084 6,359 4.220' 4,238 4,919 11 Nonmonetary international and regional organizations7 2,607 2,356 2,342 1,854 1,816 1,813 1,777 1,798 1,650 1,826 1,981 12 Banks' own liabilities 906 714 442 293 667 509 357 363 436 398 303 13 Demand deposits 330 260 146 126 178 147 224 222 233 249 185 14 Time deposits' 84 151 85 67 81 80 75 75 59 60 58 15 Other2 492 303 211 100 408 281 58 65 145 89 60 16 Banks' custody liabilities4 1,701 1.643 1,900 1.561 1,149 1,304 1,420 1.435 1,214 1,428 1,678 17 U.S. Treasury bills and certificates ... 201 102 254 333 63 213 289 247 84 96 184 18 Other negotiable and readily transferable instruments6 1,499 1,538 1,646 1.228 1,086 1,091 1,132 1.188 1,130 1,332 1,494 19 Other 1 2 0 0 0 0 0 0 0 0 0 20 Official institutions8 90,742 78,206 86,624 87,797' 87,262 81,434 82,953 81,596 75,858 73,044 69,683 21 Banks' own liabilities 12,165 18,292 17,826 16,242' 14,689 13,478 15.815 14.460 13,482 13,951 11,762 22 Demand deposits 3,390 4,671 3,771 3.232 3,768 3,444 3,975 3,134 3,714 2,697 2,668 23 Time deposits' 2.560 3,050 3.612 2.950' 2,424 2,654 2.563 2.090 2,021 1,981 1,693 24 Other2 6.215 10,571 10,443 10,060' 8.496 7,381 9,277 9,236 7,747 9,273 7,402 25 Banks' custody liabilities4 78.577 59,914 68,798 71.555' 72,574 67,955 67,138 67.136 62,376 59,093 57,921 26 U.S. Treasury bills and certificates5 .. 67,415 47,666 56.243 60,492 61.670 57,858 57,719 55.659 52,921' 50,179 48,867 27 Other negotiable and readily transferable instruments6 10,992 12.196 12,501 10.871 10.819 10,014 9,346 9.396 9.400' 8,659 9,007 28 Other 170 52 54 191 84 83 73 2.081 55' 255 46 29 Banks9 57,423 88,316 96,415 94,516' 102,584 108,542 101,464 107,806 107,448' 117,457 102,034 30 Banks' own liabilities 52,626 83,299 90,456 86,784' 95,138 100,442 93,250 98,886 98,350' 108,445 91,834 31 Unaffiliated foreign banks 15.315 19,482 21,786 19,907' 20,157 18,886 19,208 18,168 17,933 20,889 16,184 32 Demand deposits 11.257 13,285 14,188 12,567' 13,493 13,394 13,628 12,929 13,255 15,199 11,309 33 Time deposits' 1,429 1,667 1,703 2,305 1.549 1,685 1,728 1,573 1,686 1,880 1,663 34 Other2 2.629 4,530 5,895 5,035' 5,115 3,808 3,852 3,666 2,993 3,810 3,212 35 Own foreign offices3 37.311 63,817 68,670 66,877' 74,980 81.556 74,042 80,717 80,416' 87,556 75,649 36 Banks' custody liabilities4 4,797 5,017 5,959 7,731' 7,446 8,100 8,214 8,921 9,099' 9,012 10,200 37 U.S. Treasury bills and certificates ... 300 422 623 827 839 945 1,170 1,069 1,217 1,439 1,574 38 Other negotiable and readily transferable instruments6 2.425 2.415 2,748 2,927' 2.932 3.053 3,178 3,732 4,019' 3,889 4,091 39 Other 2,072 2,179 2,588 3,977 3,675 4,102 3.866 4,119 3,862' 3,684 4,535 40 Other foreigners 16,070 18,642 19,914 21,118' 21,588 21,698 22,605 22,477 23,088 23,603 24,200 41 Banks' own liabilities 12.964 14,891 16,065 17,296' 17,677 17.737 18,525 18,195 18,712 19,236 19,302 42 Demand deposits 4.242 5.087 5,356 5,270 5,205 5,209 5,346 5,116 4.871 5,444 4,861 43 Time deposits 8,353 8,755 9,676 10.995 11.677 11.640 12,275 12,719 13.483' 13.380 14,084 44 Other2 368 1,048 1,033 1.032' 795 889 903 360 358' 411 358 45 Banks' custody liabilities4 3,106 3,751 3,849 3,822' 3,911 3.961 4.080 4,283 4.376 4,367 4,898 46 U.S. Treasury bills and certificates . .. 285 382 474 692' 709 581 568 575 624 654 905 47 Other negotiable and readily transferable instruments6 2,557 3,247 3,185 2.989' 3,085 3,235 3,367 3,548 3,450 3,414 3,656 48 Other 264 123 190 141 118 145 144 159 302 300 337 49 MEMO: Negotiable time certificates of deposit in custody for foreigners .. . 11,007 10,984 10,745 9,697' 9.584 9,653 10,176 10,091 9,961 9,481 9,410 1. Excludes negotiable time certificates of deposit, which are included in "Other 5. Includes nonmarketable certificates of indebtedness and Treasury bills issued negotiable and readily transferable instruments." Data for time deposits before to official institutions of foreign countries. April 1978 represent short-term only. 6. Principally bankers acceptances, commercial paper, and negotiable time cer- 2. Includes borrowing under repurchase agreements. tificates of deposit. 3. U.S. banks: includes amounts due to own foreign branches and foreign sub- 7. Principally the International Bank for Reconstruction and Development, and sidiaries consolidated in "Consolidated Report of Condition" filed with bank reg- the Inter-American and Asian Development Banks. ulatory agencies. Agencies, branches, and majority-owned subsidiaries of foreign 8. Foreign central banks and foreign central governments and the Bank for banks: principally amounts due to head office or parent foreign bank, and foreign International Settlements. branches, agencies or wholly owned subsidiaries of head office or parent foreign 9. Excludes central banks, which are included in "Official institutions." bank. 4. Financial claims on residents of the United States, other than long-term securities, held by or through reporting banks. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A60 International Statistics • December 1981 3.16 Continued 1981 AArreeaa aanndd ccoouunnttrryy 11997788 11997799 11998800 Mar. Apr. May June July Aug. Sept. Oct.P 1 Total 166,842 187,521 205,295 205,285' 213,250 213,487 208,799 213,677 208,044' 215,930 197,898 2 Foreign countries 164,235 185,164 202,953 203,431' 211,434 211,674 207,022 211,880 206,394' 214,104 195,918 3 Europe 85,172 90,952 90.897 92,375' 89,966 87,209 86,789 85,418 81,547' 84,941 77,695 4 Austria 513 413 523 519' 523 493 540 610 612 590 583 5 Belgium-Luxembourg 2,550 2,375 4.019 4,672' 4,926 5,469 5,056 4,759 4,240 4,852 3,641 6 Denmark 1,946 1,092 497 461 434 526 415 430 239 163 232 7 Finland 346 398 455 317' 328 280 305 294 220 198 187 8 France 9.214 10,433 12.125 12,949' 13,121 11,367 11,515 11,058 9,235 7,637 7,124 9 Germany 17,283 12,935 9,973 12,305 12,490 9,472 9,631 9,072 7,301 8,410 6,555 10 Greece 826 635 670 563' 574 513 507 533 492 578 496 11 Italy 7,739 7,782 7.572 3,453 3,600 3,014 4,620 6,134 6,374 6,261 5,937 12 Netherlands 2.402 2,337 2,441 2,328 2,314 2,176 2,133 1,792 1,751' 2,240 2,173 13 Norway 1,271 1,267 1.344 1,575 1,472 1,648 1,743 1,289 1,228 1,008 1,449 14 Portugal 330 557 374 356 309 336 454 448 460 486 424 15 Spain 870 1,259 1,500 1,631 1,352 1.678 1,199 1,329 1,409 1,189 975 16 Sweden 3,121 2,005 1,737 2,399' 2,784 2,501 2,180 1,864 1,667 2,102 1,609 17 Switzerland 18,225 17,954 16,689 16,836' 15,744 15,810 15,844 16,320 16,426 16,983 17,116 18 Turkey 157 120 242 235 209 182 194 356 208 234 252 19 United Kingdom 14,272 24,700 22.680 25,847' 24,351 25,485 24,428 23,220 24,194 26,192 23,882 20 Yugoslavia 254 266 681 202 238 270 312 408 343 366 265 21 Other Western Europe1 3.440 4,070 6.939 5,328' 4,893 5,616 5,323 5,177 4,804 5,010 4,355 22 U.S.S.R 82 52 68 47 37 85 41 46 34 28 42 23 Other Eastern Europe2 330 302 370 350 267 288 351 280 310 414 399 24 Canada 6,969 7,379 10.031 8,612' 10,339 11,222 10,208 9,249 9,871' 10,119 8,934 25 Latin America and Caribbean 31,638 49,686 53,170 51,324' 58,433 60,096 56,156 63,979 63,791' 66,357 58,491 26 Argentina 1,484 1,582 2,132 1,917 1,919 1,800 1,991 1,980 2,043 1,979 1,929 27 Bahamas 6,752 15.255 16,381 14,466' 18,751 20,154 17,760 24,476 24,209 2255,,116688 20,206 28 Bermuda 428 430 670 908' 634 802 698 646 700 880066 722 29 Brazil 1,125 1,005 1,216 1,151' 1,345 1,347 1,412 1,145 1,282 1,300 1,263 30 British West Indies 5,974 11,138 12.766 11.593' 14,061 14,892 12,834 14,024 13,239 14,456 10,392 31 Chile 398 468 460 549 539 526 508 566 538 491 538 32 Colombia 1,756 2,617 3.077 2,960' 2,940 2,828 2,827 2,784 2,708 22,,552277 2,759 33 Cuba 13 13 6 6 8 7 7 7 7 88 6 34 Ecuador 322 425 371 511 352 391 463 392 355 394 403 35 Guatemala3 416 414 367 446 416 413 399 412 399 476 419 36 Jamaica3 52 76 97 94 141 132 80 122 290 92 147 37 Mexico 3,467 4,185 4,547 4,757' 5,332 4,948 5,351 5,532 6,352 6,018 5,717 38 Netherlands Antilles 308 499 413 493' 459 438 495 487 692 696 2,770 39 Panama 2,967 4,483 4,718 4,447' 4,723 4,847 4,615 5,004 4,619 4,962 4,589 40 Peru 363 383 403 342 354 334 450 363 398 381 369 41 Uruguay 231 202 254 306 284 334 322 243 266' 259 249 42 Venezuela 3,821 4,192 3,170 4,220 4,178 3,924 3,548 3,671 3,621 3,982 4,044 43 Other Latin America and Caribbean . 1.760 2.318 2,123 2,158 1,997 1,979 2,398 2,125 2,073 2,362 1,969 44 36,492 33,005 42.420 45,044' 45,974 46,156 47,279 48,073 46,192' 4488,,669977 4466,,883399 China 45 Mainland 67 49 49 60 46 54 102 84 74 76 85 46 Taiwan 502 1,393 1,662 1,822 1,798 1,781 1,936 2,005 2,177 2,188 2,182 47 Hong Kong 1.256 1,672 2,548 2,440' 2,469 3,001 3,151 3,446 3,956 4,061 4.158 48 India 790 527 416 576 442 458 408 394 455 491 433 49 Indonesia 449 504 730 1,063 944 707 582 1,309 732 809 1,269 50 Israel 688 707 883 582 444 404 478 387 482' 407 418 51 Japan 21,927 8,907 16,281 19,443' 19,450 19,803 19,563 19,475 19,757' 20,732 20,205 52 Korea 795 993 1,528 1,380 1,381 1,397 1,330 1,252 1,319 1,434 1,291 53 Philippines 644 795 919 1,115 1,213 802 1,049 992 868 832 691 54 Thailand 427 277 464 250 391 338 422 436 371 392 274 55 Middle-East oil-exporting countries4.. 7,534 15,300 14,453 14,180' 15,119 14,728 15,129 14,909 12,396 13,289 12,195 56 Other Asia 1,414 1,879 2,487 2,132' 2,276 2,684 3,129 3,385 3,607 3,985 3,638 57 Africa 2,886 3,239 5,187 4,553 4,533 4.513 3,907 3,173 3,201 2,561 2,535 58 Egypt 404 475 485 333 336 308 289 293 355 433 343 59 Morocco 32 33 33 33 34 54 41 77 59 43 28 60 South Africa 168 184 288 322 330 360 253 257 296 244 282 61 Zaire 43 110 57 28 28 24 181 84 41 76 44 62 Oil-exporting countries5 1,525 1,635 3,540 3,084 3,135 3,004 2,388 1,715 1,703 1,040 1,165 63 Other Africa 715 804 783 753 670 764 755 747 746 725 672 64 Other countries 1,076 904 1.247 1,523' 2,189 2,477 2,683 1,987 1,792 1,429 1,423 65 Australia 838 684 950 1,284' 1,913 2,276 2,398 1,770 1,568 1,170 1,212 66 All other 239 220 297 240 275 201 285 217 224 260 211 67 Nonmonetary international and regional organizations 2,607 2,356 2,342 1.854 1,816 1,813 1,777 1,798 1,650 1,826 1,981 68 International 1,485 1,238 1,156 754 806 781 747 699 524 631 945 69 Latin American regional 808 806 890 768 693 729 722 765 747 750 724 70 Other regional6 314 313 296 333 317 303 307 333 379 445 312 1. Includes the Bank for International Settlements. Beginning April 1978. also 6. Asian, African, Middle Eastern, and European regional organizations, except includes Eastern European countries not listed in line 23. the Bank for International Settlements, which is included in "Other Western 2. Beginning April 1978 comprises Bulgaria, Czechoslovakia, the German Dem- Europe." ocratic Republic, Hungary, Poland, and Romania. 3. Included in "Other Latin America and Caribbean" through March 1978. 4. Comprises Bahrain, Iran, Iraq, Kuwait, Oman, Qatar, Saudi Arabia, and United Arab Emirates (Trucial States). 5. Comprises Algeria, Gabon, Libya, and Nigeria. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Nonbank-Reported Data A61 3.17 BANKS' OWN CLAIMS ON FOREIGNERS Reported by Banks in the United States Payable in U.S. Dollars Millions of dollars, end of period 1981 AArreeaa aanndd ccoouunnttrryy 11997788 11997799 11998800 Mar. Apr. May June July Aug. Sept. Oct.? 1 Total 115,545 133,943 172,592 182,753r 185,871 187,139 197,312 196,860 198,878' 209,951 196,134 2 Foreign countries 115,488 133,906 172,514 182,707' 185,830 187,092 197,264 196,800 198,827' 209,896 196,091 3 Europe 24,201 28,388 32,108 35,528' 34,687 34,463 37,338 35,198 35,065' 40,861 34,131 4 Austria 140 284 236 174 151 149 166 157 185 436 138 5 Belgium-Luxembourg 1,200 1,339 1,621 2,573 2,157 2,012 2,796 2,087 2,373 2,625 1,755 6 Denmark 254 147 127 119 141 162 125 132 166' 167 186 7 Finland 305 202 460 326 327 299 365 343 352 337 397 8 France 3,735 3,322 2,958 3,911 3,706 3,164 3,209 2,861 3,074' 3,350 2,563 9 Germany 845 1,179 948 1,122 1,040 1,140 1,099 1,259 1,144 1,268 846 10 Greece 164 154 256 210 334 242 249 292 214 286 229 11 Italy 1,523 1,631 3,364 3,060' 2,931 2,981 3,879 3,923 3,997' 4,015 4,322 12 Netherlands 677 514 575 575 ' 545 604 627 497 581 568 565 13 Norway 299 276 227 233 180 173 172 167 249 298 227 14 Portugal 171 330 331 247 242 263 353 389 350 328 353 15 Spain 1,120 1,051 993 11,,550022'' 1,611 1,720 1,769 1,726 1,801 1,711 1,627 16 Sweden 537 542 783 888844 975 996 794 730 672 930 871 17 Switzerland 1,283 1,165 1,446 1,390' 1,278 1,708 1,690 1,871 1,708 1,947 1,471 18 Turkey 300 149 145 136 132 172 147 137 159 144 153 19 United Kingdom 10,147 13,795 14,917 16,201r 16,004 15,835 16,675 15,454 14,832' 19,375 15,516 20 Yugoslavia 363 611 853 872 878 904 988 992 948 928 954 21 Other Western Europe1 122 175 179 176 224 147 182 160 200 185 148 22 U.S.S.R 360 268 281 265 266 254 302 245 252 236 203 23 Other Eastern Europe2 657 1,254 1,410 1,548 1,567 1,539 1,752 1,776 1,809 1,730 1,608 24 Canada 5,152 4,143 4,810 5,422r 6,201 6,068 7,024 7,661 6,353' 7,960 7,299 15 Latin America and Caribbean 57,565 67,993 92,992 97,434' 99,120 99,964 103,375 105,302 108,706 111,451 107,673 26 Argentina 2,281 4,389 5,689 5,691' 5,900 5,659 5,822 5,742 5,702 5,743 5,885 27 Bahamas 21,555 18,918 29,419 34,634' 34,080 33,285 34,753 35,552 36,684' 37,849 36,609 28 Bermuda 184 496 218 324 401 481 404 411 340 650 335 29 Brazil 6,251 7,713 10,496 10,278' 9,934 9,927 10,014 9,781 10,214' 9,823 10,352 30 British West Indies 9,694 9,818 15,663 14,511 16,422 17,312 18,313 18,001 17,846' 18,996 17,022 31 Chile 970 1,441 1,951 1,876 2,028 2,019 2,074 2,203 2,321 2,511 2,565 32 Colombia 1,012 1,614 1,752 1,467 1,457 1,580 1,533 1,480 1,429 1,487 1,529 33 Cuba 0 4 3 3 4 3 3 7 14 5 4 34 Ecuador 705 1,025 1,190 1,257 1,229 1,239 1,285 1,307 1,318' 1,297 1,282 35 Guatemala3 94 134 137 208 98 104 104 95 115 119 126 36 Jamaica3 40 47 36 36' 34 35 38 39 40 68 39 37 Mexico 5,479 9,099 12,595 12,489' 13,243 13,351 14,066 15,560 17,391' 17,238 17,130 38 Netherlands Antilles 273 248 821 921 824 756 874 933 894 867 928 39 Panama 3,098 6,041 4,974 5,673' 5,517 6,054 6,210 6,029 6,167 6,664 5,776 40 Peru 918 652 890 794 855 871 818 803 796 787 794 41 Uruguay 52 105 137 103 105 100 94 102 107 142 166 42 Venezuela 3,474 4,657 5,438 5,463' 5,330 5,438 5,295 5,436 5,529 5,319 5,268 43 Other Latin America and Caribbean . 1,485 1,593 1,583 1,705 1,658 1,751 1,675 1,821 1,800' 1,885 1,865 44 Asia 2255,,336622 3300,,773300 39,078 4400,,001111'' 4422,,551122 4433,,002200 46,027 44,999 4444,,993344'' 45,562 43,141 China 45 Mainland 4 35 195 201 202 204 205 188 186 153 148 46 Taiwan 1,499 1,821 2,469 2,413 2,568 2,414 2,471 2,380 2,543' 2,476 2,359 47 Hong Kong 1,479 1,804 2,247 2,333' 2,429 2,898 3,328 3,208 3,347 3,721 3,775 48 India 54 92 142 130' 134 170 132 106 135 144 176 49 Indonesia 143 131 245 288 299 268 257 271 254 363 267 50 Israel 888 990 1,172 983' 1,016 1,186 1,309 1,178 1,108 1,086 1,200 51 Japan 12,646 16,911 21,361 23,983' 23,918 24,195 25,995 25,954 25,352' 25,330 22,746 52 Korea 2,282 3,793 5,697 5,826' 6,031 6,023 6,678 6,426 6,479' 6,486 6,563 53 Philippines 680 737 989 610' 999 1,024 1,192 1,194 1,402 1,530 1,448 54 Thailand 758 933 876 835 829 698 661 546 527' 512 559 55 Middle East oil-exporting countries4.. 3,125 1,548 1,432 1,491' 1,914 1,474 1,617 1,288 1,473 1,394 1,381 56 Other Asia 1,804 1,934 2,252 1,919' 2,175 2,465 2,181 2,261 2,129 2,367 2,520 57 Africa 2,221 1,797 2,377 2,271 2,272 2,536 2,422 2,518 2,715 2,954 2,788 58 Egypt 107 114 151 137 124 126 155 128 148 145 147 59 Morocco 82 103 223 153 118 87 71 88 204 273 269 60 South Africa 860 445 370 534 562 668 658 688 787 917 852 61 Zaire 164 144 94 111 108 98 98 100 87 102 98 62 Oil-exporting countries5 452 391 805 589 650 805 672 726 713 689 534 63 Other 556 600 734 746 710 752 769 789 777 828 888 64 Other countries 988 855 1,150 1,041 1,038 11,,004400 1,078 1,121 1,054 1,109 1,059 65 Australia 877 673 859 874 922 889988 939 988 952 957 962 66 All other 111 182 290 167 116 142 139 133 102 152 97 67 Nonmonetary international and regional organizations6 56 36 78 46' 41 47 48 60 51 55 43 1. Includes the Bank for International Settlements. Beginning April 1978, also 5. Comprises Algeria, Gabon, Libya, and Nigeria. includes Eastern European countries not listed in line 23. 6. Excludes the Bank for International Settlements, which is included in "Other 2. Beginning April 1978 comprises Bulgaria, Czechoslovakia, the German Dem- Western Europe." ocratic Republic, Hungary, Poland, and Romania. NOTE. Data for period prior to April 1978 include claims of banks' domestic 3. Included in "Other Latin America and Caribbean" through March 1978. customers on foreigners. 4. Comprises Bahrain, Iran, Iraq, Kuwait, Oman, Qatar, Saudi Arabia, and United Arab Emirates (Trucial States). Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A62 International Statistics • December 1981 3.18 BANKS' OWN AND DOMESTIC CUSTOMERS' CLAIMS ON FOREIGNERS Reported by Banks in the United States Payable in U.S. Dollars Millions of dollars, end of period 1981 TTyyppee ooff ccllaaiimm 11997788 11997799 11998800 Mar. Apr. May June July Aug. Sept. Oct.P 1 Total 111111122222226666666,,,,,,,777777788888887777777 111111155555554444444,,,,,,,000000033333330000000 111111199999998888888,,,,,,,666666699999998888888 222222211111114444444,,,,,,,555555588888881111111''''''' 222222233333331111111,,,,,,,000000077777776666666 222222244444445555555,,,,,,,555555500000007777777''''''' 22 BBaannkkss'' oowwnn ccllaaiimmss oonn ffoorreeiiggnneerrss 111111111111115555555.......555555544444445555555 111111133333333333333.......999999944444443333333 111111177777772222222,,,,,,,555555599999992222222 111111188888882222222.......777777755555553333333 ''''''' 185,871 187.139 111111199999997777777,,,,,,,333333311111112222222 196,860 198,878' 222222200000009999999,,,,,,,999999955555551111111''''''' 196,134 33 FFoorreeiiggnn ppuubblliicc bboorrrroowweerrss 11111110000000,,,,,,,333333344444446666666 11111115555555,,,,,,,999999933333337777777 22222220000000,,,,,,,888888888888882222222 22222221111111,,,,,,,111111155555559999999''''''' 21,466 21,541 22222222222222,,,,,,,888888822222225555555 24,020 24,414' 22222225555555,,,,,,,000000000000004444444''''''' 25,418 44 OOwwnn ffoorreeiiggnn ooffffiicceess'' 44444441111111,,,,,,,666666600000005555555 44444447777777,,,,,,,444444422222228888888 66666665555555,,,,,,,000000088888884444444 77777775555555,,,,,,,111111100000007777777''''''' 76,763 75.441 88888880000000,,,,,,,222222222222228888888 80,673 80.373' 88888888888888,,,,,,,111111188888889999999''''''' 78,767 55 UUnnaaffffiilliiaatteedd ffoorreeiiggnn bbaannkkss 44444440000000,,,,,,,444444488888883333333 44444440000000.......999999922222227777777 55555550000000,,,,,,,111111166666668888888 44444448888888,,,,,,,888888866666665555555''''''' 49,600 52,236 55555555555555,,,,,,,222222211111112222222 54,204 55.364' 55555558888888,,,,,,,444444422222224444444''''''' 54,512 66 DDeeppoossiittss 5555555.......444444422222228888888 6666666.......222222277777774444444 8888888,,,,,,,222222255555554444444 8888888,,,,,,,999999988888880000000''''''' 8,798 10,743 11111111111111,,,,,,,333333344444442222222 11,278 11,678' 11111112222222,,,,,,,777777722222220000000''''''' 12,060 77 OOtthheerr 33333335555555.......000000055555554444444 33333334444444.......666666655555554444444 44444441111111,,,,,,,999999911111114444444 33333339999999,,,,,,,888888888888885555555''''''' 40,802 41,493 44444443333333,,,,,,,888888877777770000000 42,926 43,686' 44444445555555,,,,,,,777777700000004444444''''''' 42,452 88 AAllll ootthheerr ffoorreeiiggnneerrss 22222223333333.......111111111111111111111 22222229999999,,,,,,,666666655555550000000 33333336666666,,,,,,,444444455555559999999 33333337777777,,,,,,,666666622222222222222''''''' 38,042 37,921 33333339999999,,,,,,,000000044444447777777 37,963 38,727' 33333338888888.......333333333333334444444''''''' 37,436 99 CCllaaiimmss ooff bbaannkkss'' ddoommeessttiicc ccuussttoommeerrss22 .... 11111111111111.......222222244444443333333 22222220000000,,,,,,,000000088888888888888 22222226666666,,,,,,,111111100000006666666 33333331111111.......888888822222228888888''''''' 33333333333333,,,,,,,777777766666664444444 33333335555555,,,,,,,555555555555556666666 444444488888880000000 999999955555555555555 888888888888885555555 1111111.......000000011111111111111''''''' 777777744444443333333 999999999999992222222 11 Negotiable and readily transferable 5555555.......333333399999996666666 11111113333333,,,,,,,111111100000000000000 11111115555555.......555555577777774444444 22222220000000.......000000066666664444444 22222223333333,,,,,,,555555511111114444444 22222225555555,,,,,,,111111199999991111111 12 Outstanding collections and other 5555555.......333333366666666666666 6666666.......000000033333332222222 9999999.......666666644444448888888 11111110000000.......777777755555553333333 9999999,,,,,,,555555500000007777777 9999999,,,,,,,333333377777773333333 13 MEMO: Customer liability on 11111115555555,,,,,,,000000033333330000000 11111118888888,,,,,,,000000022222221111111 22222222222222,,,,,,,777777711111114444444 22222224444444,,,,,,,444444400000009999999''''''' 22222227777777,,,,,,,444444455555557777777 22222227777777,,,,,,,666666622222228888888 Dollar deposits in banks abroad, reported by nonbanking business enterprises in the United States5 13.558 22,042 24.100 30,403 34,316 34.753 33,070 37.327 34,153 35,998 n.a. 1. U.S. banks: includes amounts due from own foreign branches and foreign 4. Data for March 1978 and for period before that are outstanding collections subsidiaries consolidated in "Consolidated Report of Condition" filed with bank only. regulatory agencies. Agencies, branches, and majority-owned subsidiaries of foreign 5. Includes demand and time deposits and negotiable and nonnegotiable certifbanks: principally amounts due from head office or parent foreign bank, and foreign icates of deposit denominated in U.S. dollars issued by banks abroad. For descripbranches, agencies, or wholly owned subsidiaries of head office or parent foreign tion of changes in data reported by nonbanks, see July 1979 BULLETIN, p. 550. bank. 2. Assets owned by customers of the reporting bank located in the United States that represent claims on foreigners held by reporting banks for the account of their NOTE. Beginning April 1978. data for banks' own claims are given on a monthly domestic customers. basis, but the data for claims of banks' own domestic customers are available on 3. Principally negotiable time certificates of deposit and bankers acceptances. a quarterly basis only. 3.19 BANKS' OWN CLAIMS ON UNAFFILIATED FOREIGNERS Reported by Banks in the United States Payable in U.S. Dollars Millions of dollars, end of period 1978 1979 1980 1981 MMaattuurriittyy;; bbyy bboorrrroowweerr aanndd aarreeaa Dec. Dec. Sept. Dec. Mar. June Sepf 1 Total 73,635 86,181 99,022 106,857 107,276' 116,251 122,050 Bv borrower 2 Maturity of 1 year or less' 58.345 65.152 76,231 82,665 83.471' 90,819 94,603 3 Foreign public borrowers 4.633 7.233 8,935 10,036 10.734' 11,619 12,970 4 All other foreigners 53.712 57,919 67,296 72,628 72,732' 79,200 81,633 5 Maturity of over 1 year' 15.289 21,030 22,791 24,193 23,805' 25,431 27,447 6 Foreign public borrowers 5,395 8,371 9,722 10,152 10,250' 11,012 12,296 7 All other foreigners 9,894 12.659 13,069 14,041 13,555 14,419 15,151 Bv area Maturity of 1 year or less1 8 Europe 15,169 15,235 16,940 18,762 18,681' 20,718 22,749 9 Canada 2,670 1,777 2,166 2,723 2,743' 3,196 3,799 10 Latin America and Caribbean 20,895 24,928 28,097 32,034 31,329' 32,911 35,509 11 17,545 21,641 26,876 26.748 28,363' 31,448 29,448 12 Africa 1,496 1,077 1,401 1,757 1,624' 1,770 2,324 13 All other2 569 493 751 640 730' 776 774 Maturity of over 1 year1 14 Europe 33,,114422 4,160 4,705 5,118 5,585' 6,277 6,403 15 Canada 1,426 1,317 1,188 1,448 1.180' 1,316 1,347 16 Latin America and Caribbean 8,464 12,814 14,187 15,075 14.841' 15,448 17,423 17 1.407 1,911 2,014 1,865 1,530' 1,680 1,571 18 Africa 637 655 567 507 531' 551 548 19 All other2 214 173 130 179 138' 159 155 1. Remaining time to maturity. 2. Includes nonmonetary international and regional organizations. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Nonbank-Reported Data A63 3.20 CLAIMS ON FOREIGN COUNTRIES Held by U.S. Offices and Foreign Branches of U.S.-Chartered Banks1 Billions of dollars, end of period 1979 1980 1981 AArreeaa oorr ccoouunnttrryy 11997777 1199778822 Sept. Dec. Mar. June Sept. Dec. Mar. June Sept.'' 1 Total 240.0 266.2 294.0 303.8 308.5 328.7' 339.1r 351.9' 370.9 382.2 398.2 2 G-10 countries and Switzerland 116.4 124.7 135.7 138.4 141.2 154.2 158.8 162.1 168.4 168.3 171.8 3 Belgium-Luxembourg 8.4 9.0 10.7 11.1 10.8 13.1 13.6 13.0 13.5 14.2 14.0 4 France 11.0 12.2 12.0 11.7 12.0 14.1' 13.9 14.1 14.5 14.7 16.0 5 Germany 9.6 11.3 12.8 12.2 11.4 12.7 12.9 12.1 13.2 12.1 12.7 6 Italy 6.5 6.7 6.1 6.4 6.2 6.9 7.2 8.2 7.7 8.4 8.6 7 Netherlands 3.5 4.4 4.7 4.8 4.3 4.5 4.4 4.4 4.6 4.1 3.7 8 Sweden 1.9 2.1 2.3 2.4 2.4 2.7 2.8 2.9 3.2 3.1 3.4 9 Switzerland 3.6 5.3 5.0 4.7 4.3 3.3 3.4 5.0 5.1 5.2 5.1 10 United Kingdom 46.5 47.3 53.7 56.4 57.6 64.4' 66.7' 67.4 68.2 66.7 68.6 11 Canada 6.4 6.0 6.0 6.3 6.9 7.2 7.7 8.4 8.8 10.8 11.5 12 Japan 18.8 20.6 22.3 22.4 25.4 25.5 26.1 26.5 29.6 28.9 28.2 13 Other developed countries 18.6 19.4 19.7 19.9 18.8 20.3 20.6 21.7 23.5 24.8 26.3 14 Austria 1.3 1.7 2.0 2.0 1.7 1.8 1.8 1.9 1.8 2.1 2.1 15 Denmark 1.6 2.0 2.0 2.2 2.1 2.2 2.2 2.3 2.4 2.3 2.5 16 Finland 1.2 1.2 1.2 1.2 1.1 1.3 1.2 1.4 1.4 1.3 1.4 17 Greece 2.2 2.3 2.3 2.4 2.4 2.5 2.6 2.8 2.7 3.0 2.9 18 Norway 1.9 2.1 2.3 2.3 2.4 2.4 2.4 2.6 2.8 2.8 3.0 19 Portugal .6 .6 .7 .7 .6 .6 .7 .6 .6 .8 1.0 20 Spain 3.6 3.5 3.3 3.5 3.5 3.9 4.2 4.4 5.6 5.7 5.8 21 Turkey 1.5 1.5 1.4 1.4 1.4 1.4 1.3 1.5 1.5 1.4 1.5 22 Other Western Europe .9 1.3 1.5 1.4 1.4 1.6 1.7 1.7 1.8 1.8 1.9 23 South Africa 2.4 2.0 1.7 1.3 1.1 1.5 1.2 1.1 1.5 1.9 2.5 24 Australia 1.4 1.4 1.3 1.3 1.2 1.2 1.2 1.3 1.4 1.7 1.9 25 OPEC countries3 17.6 22.7 23.4 22.9 21.8 20.9 21.4' 22.7 21.7 22.2 23.4 26 Ecuador 1.1 1.6 1.6 1.7 1.8 1.8 1.9 2.1 2.0 2.0 2.1 27 Venezuela 5.5 7.2 7.9 8.7 7.9 7.9 8.5 9.1 8.3 8.7 9.2 28 Indonesia 2.2 2.0 1.9 1.9 1.9 1.9 1.9 1.8 2.1 2.1 2.5 29 Middle East countries 6.9 9.5 9.2 8.0 7.8 6.9 6.7' 6.9 6.7 6.8 7.1 30 African countries 1.9 2.5 2.8 2.6 2.5 2.5 2.4 2.8 2.6 2.6 2.6 31 Non-OPEC developing countries 48.7 52.6 58.9 62.9 63.7 67.6' 72.8 77.2 81.8 84.6 89.8 Latin America 32 Argentina 2.9 3.0 4.1 5.0 5.5 5.6 7.6 7.9 9.4 8.5 9.2 33 Brazil 12.7 14.9 15.1 15.2 15.0 15.3 15.8 16.2 16.8 17.3 17.6 34 Chile .9 1.6 2.2 2.5 2.5 2.7 3.2 3.7 4.0 4.7 5.5 35 Colombia 1.3 1.4 1.7 2.2 2.1 2.2 2.4 2.6 2.4 2.5 2.5 36 Mexico 11.9 10.8 11.4 12.0 12.1 13.6 14.4 15.9 17.0 18.2 20.0 37 Peru 1.9 1.7 1.4 1.5 1.3 1.4 1.5 1.8 1.8 1.7 1.8 38 Other Latin America 2.6 3.6 3.6 3.7 3.6 3.6 3.9 3.9 4.7 3.8 4.2 Asia China 39 Mainland .0 .0 .1 .1 .1 .1 .1 .2 .2 .2 .2 40 Taiwan 3.1 2.9 3.5 3.4 3.6 3.8 4.1 4.2 4.4 4.6 5.1 41 India .3 .2 .2 .2 .2 .2 .2 .3 .3 .3 .3 42 Israel .9 1.0 1.0 1.3 .9 1.2 1.1 1.5 1.3 1.8 1.5 43 Korea (South) 3.9 3.9 5.3 5.4 6.4 7.1 7.3 7.1 7.7 8.7 8.5 44 Malaysia4 .7 .6 .7 .9 .8 .9 .9 1.0 1.0 1.4 1.4 45 Philippines 2.5 2.8 3.7 4.2 4.4 4.6 4.8 5.1' 4.8 5.1 5.6 46 Thailand 1.1 1.2 1.6 1.5 1.4 1.5 1.5 1.6' 1.6 1.5 1.4 47 Other Asia .4 .2 .4 .5 .5 .5 .5 .6 .5 .7 .8 Africa 48 Egypt .3 .4 .6 .6 .7 .8' .6' .8 .8 .7 1.0 49 Morocco .5 .6 .5 .6 .5 .5 .6 .7 .6 .5 .7 50 Zaire .3 .2 .2 .2 .2 .2 .2 .2 .2 .2 .2 51 Other Africa5 .7 1.4 1.6 1.7 1.7 1.9r 2.1' 2.1' 2.2 2.1 2.2 52 Eastern Europe 6.3 6.9 7.2 7.3 7.3 7.2 7.3 7.4 7.7 7.7 7.7 53 U.S.S.R 1.6 1.3 .9 .7 .6 .5 .5 .4 .4 .5 .4 54 Yugoslavia 1.1 1.5 1.8 1.8 1.9 2.1 2.1 2.3 2.4 2.5 2.5 55 Other 3.7 4.1 4.6 4.8 4.9 4.5 4.7 4.6 4.8 4.8 4.8 56 Offshore banking centers 26.1 31.0 38.6 40.4 42.6 44.3 44.6' 47.0r 53.1 59.0 60.9 57 Bahamas 9.9 10.4 13.0 13.7 13.9 13.7 13.2' 13.7' 15.2 17.7 20.8 58 Bermuda .6 .7 .7 .8 .6 .6 .6 .6 .7 .7 .9 59 Cayman Islands and other British West Indies 3.7 7.4 9.5 9.4 11.3 9.8 10.1 10.6 11.7 12.4 11.7 60 Netherlands Antilles .7 .8 1.1 1.2 .9 1.2 1.3 2.1 2.3 2.4 2.2 61 Panama6 3.1 3.0 3.4 4.3 4.9 5.6 5.6 5.4 6.5 6.9 6.7 62 Lebanon .2 .1 .2 .2 .2 .2 .2 .2 .2 .2 .2 63 Hong Kong 3.7 4.2 5.5 6.0 5.7 6.9 7.5 8.1 8.4 10.3 10.3 64 Singapore 3.7 3.9 4.9 4.5 4.7 5.9 5.6 5.9 7.3 8.1 8.0 65 Others7 .5 .5 .4 .4 .4 .4 .4 .3 .9 .3 .1 66 Miscellaneous and unallocated8 5.3 9.1 10.6 11.7 13.1 14.3 13.7 14.0 14.9 15.7 18.2 1. The banking offices covered by these data are the U.S. offices and foreign the claims of the U.S. offices also include customer claims and foreign currency branches of U.S.-owned banks and of U.S. subsidiaries of foreign-owned banks. claims (amounting in June 1978 to $10 billion). Offices not covered include (1) U.S. agencies and branches of foreign banks, and 3. In addition to the Organization of Petroleum Exporting Countries shown (2) foreign subsidiaries of U.S. banks. To minimize duplication, the data are ad- individually, this group includes other members of OPEC (Algeria, Gabon, Iran, justed to exclude the claims on foreign branches held by a U.S. office or another Irao, Kuwait, Libya, Nigeria, Qatar, Saudi Arabia, and United Arab Emirates) as foreign branch of the same banking institution. The data in this table combine well as Bahrain and Oman (not formally members of OPEC). foreign branch claims in table 3.13 (the sum of lines 7 through 10) with the claims 4. Foreign branch claims only through December 1976. of U.S. offices in table 3.17 (excluding those held by agencies and branches of 5. Excludes Liberia. foreign banks and those constituting claims on own foreign branches). However, 6. Includes Canal Zone beginning December 1979. see also footnote 2. 7. Foreign branch claims only. 2. Beginning with data for June 1978, the claims of the U.S. offices 8. Includes New Zealand, Liberia, and international and regional organizations. in this table include only banks' own claims payable in dollars. For earlier dates Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A64 International Statistics • December 1981 3.21 MARKETABLE U.S. TREASURY BONDS AND NOTES Foreign Holdings and Transactions Millions of dollars 1981 1981 CCCooouuunnntttrrryyy ooorrr aaarrreeeaaa 11997799 11998800 Jan.- Oct .p Apr. May June July Aug. Sept. Oct.'' Holdings (end of period)1 1 Estimated total2 51,484 57,549 62,245 62,967 64,263' 64,668r 66,468r 67,001' 68,222 2 Foreign countries2 46.055 52.961 57.474 58.168 59,289 59,658 61,579 62.331 63,770 3 Europe2 24.964 24.468 25,005 24.641 25,000 24.573 25,090 24.334 24,531 4 Belgium-Luxembourg 60 77 123 131 173 163 370 372 384 5 Germany2 14,056 12.327 11.907 11.940 12.585 13,226 13.524 12,830 13,029 6 Netherlands 1.466 1.884 1.950 1,813 1,781 1.756 1,760 1,756 1,784 7 Sweden 647 595 567 572 582 606 623 646 661 8 Switzerland2 1,868 1.485 1,526 1,535 1,600 763 848 876 861 9 United Kingdom 6.376 7.323 8.002 7.414 6.976 6.709 6,630 6,469 6,446 10 Other Western Europe 491 777 930 1,236 1,304 1.350 1.334 1.385 1,367 11 Eastern Europe 0 0 0 0 0 0 0 0 0 12 Canada 232 449 464 486 484 501 514 528 547 13 Latin America and Caribbean 466 999 939 849 666 724 818 854 788 14 Venezuela 103 292 287 287 287 313 294 289 15 Other Latin America and Caribbean . 200 285 389 430 217 260 321 313 317 16 Netherlands Antilles 163 421 258 132 162 177 184 246 182 17 Asia 19.805 26.112 29.920 31,047 31.997 32,716 34.008 35.468 37.014 18 Japan 11.175 9.479 9,566 9,606 9,778 9,786 9.890 10,102 10.094 19 Africa 591 919 1,139 1,139 1.140 1.139 1.140 1.140 882 20 All other -3 14 7 6 3 6 8 8 8 21 Nonmonetary international and regional organizations 5.429 4.588 4,771 4.799 4,974' 5.010' 4.889' 4.667' 4,452 22 International 5,388 4.548 4,759 4.791 4,966' 5.008' 4.887' 4,670' 4,450 23 Latin American regional 37 36 6 1 1 1 1 1 1 Transactions (net purchases, or sales (-) during period) 24 Total2 6,537 6,066 10,932 368 721 1,297' 405 1,799 533 1,480 25 Foreign countries2 6,238 6.906 11.068 516 694 1.121 369 1,920 753 1,698 26 Official institutions 1.697 3.865 10.490 495 321 980 798 1,532 1,378 1,633 27 Other foreign2 4.543 3.040 577 21 373 141 -429 388 -625 65 28 Nonmonetary international and regional organizations 300 -843 -134 -148 26 176' 36 -120 -220 -217 MEMO: Oil-exporting countries 29 Middle East3 -1.014 7.672 9.850 1.062 841 565 659 1,204 1,316 1,442 30 Africa4 -100 327 220 0 0 0 0 0 0 0 1. Estimated official and private holdings of marketable U.S. Treasury securities 2. Beginning December 1978, includes U.S. Treasury notes publicly issued to with an original maturity of more than 1 year. Data are based on a benchmark private foreign residents denominated in foreign currencies. survey of holdings as of Jan. 31, 1971. and monthly transactions reports. Excludes 3. Comprises Bahrain, Iran. Iraq. Kuwait. Oman, Qatar. Saudi Arabia, and nonmarketable U.S. Treasury bonds and notes held by official institutions of foreign United Arab Emirates (Trucial States). countries. 4. Comprises Algeria. Gabon, Libya, and Nigeria. 3.22 FOREIGN OFFICIAL ASSETS HELD AT FEDERAL RESERVE BANKS Millions of dollars, end of period 1981 AAsssseettss 11997788 11997799 11998800 May June July Aug. Sept. Oct. Nov.P 1 Deposits 367 429 411 346 338 285 255 419 547 534 Assets held in custody 2 U.S. Treasury securities1 117,126 95.075 102,417 109.742 107.884 105.064 102,197 101,068 101,068 103,894 3 Earmarked gold2 15.463 15.169 14,965 14.875 14.871 14.854 14,833 14,813 14.811 14,802 1. Marketable U.S. Treasury bills, notes, and bonds; and nonmarketable U.S. NOTE. Excludes deposits and U.S. Treasury securities held for international and Treasury securities payable in dollars and in foreign currencies. regional organizations. Earmarked gold is gold held for foreign and international 2. The value of earmarked gold increased because of the changes in par value accounts and is not included in the gold stock of the United States, of the U.S. dollar in May 1972 and in October 1973. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Investment Transactions A65 3.23 FOREIGN TRANSACTIONS IN SECURITIES Millions of dollars 1981 1981 Transactions, and area or country 11997799 11998800 O Ja c n t. . P - Apr. May June July Aug. Sept. Oct.P U.S. corporate securities STOCKS 1 Foreign purchases 22,783 40,273 34,875 4,034 4,076 4,384' 3,455 3,152 2,846 2,838 2 Foreign sales 21,104 34,852 29,589 3,315 2,860 3,417' 3,257 3,206 2,322 2,791 3 Net purchases, or sales (-) 1,679 5,421 5,285 719 1,217 967r 198 -54 525 47 4 Foreign countries 1,662 5,403 5,250 711 1,207 962r 190 -49 530 53 5 Europe 237 3,110 3,271 420 764 508' 119 74 37 46 6 France 137 490 887 126 393 45 48 29 10 21 7 Germany -215 172 -18 17 -20 13' -28 -28 -48 6 8 Netherlands -71 -328 56 -2 31 29 -41 -28 -3 13 9 Switzerland -519 308 194 75 84 0 -19 1 -68 -97 10 United Kingdom 964 2,523 1,939 197 215 371 147 85 131 86 11 Canada 552 887 735 230 143 104 77 -39 44 -47 12 Latin America and Caribbean -19 148 -50 -26 9 126 -126 -51 -81 7 13 Middle East1 688 1,206 1,119 91 223 33 105 -36 497 164 14 Other Asia 211 16 213 3 71 187 37 20 29 -117 15 Africa -14 -1 6 -1 1 4 -1 0 0 0 16 Other countries 7 38 -44 -5 -4 -1 -21 -17 4 -2 17 Nonmonetary international and regional organizations 17 18 36 8 10 5 8 -5 -5 -6 BONDS2 18 Foreign purchases 8,871 15,425 14,760 1,548 897 1,793' 1,894 1,171 1,309 1,166 19 Foreign sales 7,592 9,964 9,708 774 669 1,319' 820 894 1,051 1,203 20 Net purchases, or sales (-) 1,279 5,461 5,052 774 228 474' 1,074 277 258 -37 21 Foreign countries 1,376 5,526 5,003 732 246 473 1,067 278 243 -27 22 Europe 671 1,576 1,294 327 -3 179 122 176 5 -106 23 France 56 129 0 8 17 10 -5 -9 4 5 24 Germany 59 213 731 22 28 151 68 105 64 43 25 Netherlands -202 -65 47 13 4 0 0 -2 -2 3 26 Switzerland -118 54 80 17 34 20 22 22 -23 7 27 United Kingdom 814 1,257 295 231 -87 4 11 45 -53 -164 28 Canada 80 135 24 12 18 -6 23 2 -12 -35 29 Latin America and Caribbean 109 185 105 22 9 12 21 -5 7 -13 30 Middle East1 424 3,499 3,599 362 192 359 853 81 252 84 31 Other Asia 88 117 -15 9 29 -71 49 24 -9 43 32 Africa 1 5 0 0 0 0 0 0 0 0 33 Other countries 1 10 -4 0 0 1 0 0 -1 0 34 Nonmonetary international and regional organizations -96 -65 49 42 -18 1' 7 -1 15 -10 Foreign securities 35 Stocks, net purchases, or sales (-) -817 -2,139 5 -92 32 -114 108 51 190 -30 36 Foreign purchases 4,617 7,887 7,872 852 853 891 891 835 792 588 37 Foreign sales 5,434 10,026 7,867 944 821 1,005 783 784 603 617 38 Bonds, net purchases, or sales (- ) -3,912 -1,013 -2,644 -632 -194 -479 -417 -32 -427 -153 39 Foreign purchases 12,662 17,073 13,546 1,155 1,292 1,509 1,768 1,078 1,023 1,553 40 Foreign sales 16,573 18,086 16,191 1,787 1,487 1,988 2,185 1,110 1,450 1,705 41 Net purchases, or sales (-), of stocks and bonds ... -4,729 -3,152 -2,639 -724 -162 -592 -309 19 -237 -182 42 Foreign countries -3,979 -4,029 -2,900 -734 -162 -592 -619 62 40 -355 43 Europe -1,698 -1,105 -304 -302 75 -41 147 -55 75 -44 44 Canada -2,601 -1,959 -2,605 -271 -385 -507 -858 -74 -231 -250 45 Latin America and Caribbean 343 80 182 119 -51 -10 -24 62 1 50 46 Asia 15 -1,147 -138 -234 174 -104 141 131 204 -113 47 Africa -63 24 -61 -7 -3 -6 -2 -3 -6 1 48 Other countries 25 78 27 -39 29 75 -23 1 -3 0 49 Nonmonetary international and regional organizations -750 876 261 9 0 0 311 -43 -277 173 1. Comprises oil-exporting countries as follows: Bahrain, Iran, Iraq, Kuwait, 2. Includes state and local government securities, and securities of U.S. gov- Oman, Qatar, Saudi Arabia, and United Arab Emirates (Trucial States). ernment agencies and corporations. Also includes issues of new debt securities sold abroad by U.S. corporations organized to finance direct investments abroad. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A66 International Statistics • December 1981 3.24 LIABILITIES TO UNAFFILIATED FOREIGNERS Reported by Nonbanking Business Enterprises in the United States' Millions of dollars, end of period 1980 1981 TTyyppee,, aanndd aarreeaa oorr ccoouunnttrryy 11997788 11997799 11998800 June Sept. Dec. Mar. June 1 Total 14,956 17,104 21,235 18,649 18,682 21,235 21,646 20,937 2 Payable in dollars 11,527 14,029 17,527 15,210 15,345 17,527 18,121 17,782 3 Payable in foreign currencies2 3,429 3,075 3.709 3,439 3,337 3,709 3,525 3,154 By type 4 Financial liabilities 6,368 7,411 11,022 8,417 8,345 11,022 11,458 11,140 5 Payable in dollars 3,853 5,141 8,249 5,796 5,858 8,249 8,825 8,838 6 Payable in foreign currencies 2.515 2.270 2,772 2,621 2,487 2,772 2,633 2,302 7 Commercial liabilities 8,588 9,693 10,214 10,232 10,337 10,214 10,188 9,796 8 Trade payables 4.001 4.421 4,400 4,296 4,377 4.400 4,781 4,400 9 Advance receipts and other liabilities 4,587 5.272 5,814 5,936 5,960 5,814 5,407 5,3% 10 Payable in dollars 7,674 8.888 9,277 9,413 9,487 9,277 9,296 8,944 11 Payable in foreign currencies 914 805 936 819 850 936 892 852 By area or country Financial liabilities 12 Europe 3,971 4,655 6,309 5,437 5,316 6,309 6,007 5,748 13 Belgium-Luxembourg 293 345 484 437 432 484 553 511 14 France 173 175 327 347 360 327 324 354 15 Germany 366 497 582 657 557 582 498 471 16 Netherlands 391 829 663 799 781 663 544 624 17 Switzerland 248 170 354 233 224 354 315 321 18 United Kingdom 2,167 2,460 3,765 2,796 2,832 3,765 3,661 3,337 19 Canada 247 466 864 557 551 864 1,059 945 20 Latin America and Caribbean 1,357 1,483 3,100 1,641 1,734 3,100 3,483 3,575 21 Bahamas 478 375 964 429 407 964 11,,221177 11,,225566 22 Bermuda 4 81 1 2 1 1 11 11 23 Brazil 10 18 23 25 20 23 19 20 24 British West Indies 194 514 1,452 714 708 1.452 1,458 1,534 25 Mexico 102 121 99 101 108 99 97 98 26 Venezuela 49 72 81 72 74 81 85 91 27 Asia 784 799 723 757 712 723 880 843 28 Japan 717 726 644 683 618 644 766 730 29 Middle East oil-exporting countries3 32 31 38 31 37 38 51 29 30 Africa 5 4 11 10 11 11 6 5 31 Oil-exporting countries4 2 1 1 1 1 1 1 0 32 All other5 5 4 15 15 21 15 23 24 Commercial liabilities 33 Europe 3.047 3,636 4.067 4,036 4,074 4.067 3,814 3,894 34 Belgium-Luxembourg 97 137 90 133 109 90 83 72 3b France 321 467 582 485 501 582 563 564 36 Germany 523 545 679 724 686 679 639 615 3/ Netherlands 246 227 219 245 276 219 246 225 38 Switzerland 302 310 493 462 452 493 385 375 39 United Kingdom 824 1.077 1,011 1.133 1.047 1,011 880 949 40 Canada 667 868 785 591 591 785 749 661 41 Latin America 997 1,323 1,244 1,271 1,361 11,,224444 11,,228877 1.156 42 Bahamas 25 69 8 26 8 88 11 4 43 Bermuda 97 32 73 107 114 73 111 72 44 Brazil 74 203 111 151 156 111 84 54 45 British West Indies 53 21 35 37 12 35 16 34 46 Mexico 106 257 326 272 324 326 421 327 47 Venezuela 303 301 307 210 293 307 253 290 48 2.931 2,905 2,848 3,091 2,909 2,848 3,071 2,788 49 Japan 448 494 645 418 502 645 810 867 50 Middle East oil-exporting countries3 1,523 1,017 894 1,030 944 894 955 852 51 Africa 743 728 814 875 1,006 814 828 675 52 Oil-exporting countries4 312 384 514 498 633 514 519 392 53 All other5 203 233 456 367 396 456 440 622 1. For a description of the changes in the International Statistics tables, see July 3. Comprises Bahrain, Iran, Iraq, Kuwait. Oman, Qatar, Saudi Arabia, and 1979 BULLETIN, p. 550. United Arab Emirates (Trucial States). 2. Before December 1978, foreign currency data include only liabilities denom- 4. Comprises Algeria, Gabon. Libya, and Nigeria. inated in foreign currencies with an original maturity of less than one year. 5. Includes nonmonetary international and regional organizations. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Nonbank-Reported Data A67 3.25 CLAIMS ON UNAFFILIATED FOREIGNERS Reported by Nonbanking Business Enterprises in the United States' Millions of dollars, end of period 1980 1981 TTyyppee,, aanndd aarreeaa oorr ccoouunnttrryy 11997788 11997799 11998800 June Sept. Dec. Mar. June 1 27,882 31,095 34,288 32,290 31,908 34,288 37,548 35,081 2 Payable in dollars 24,910 27,936 31,415 29,216 28,612 31,415 34,609 32,202 3 Payable in foreign currencies2 2,972 3,159 2,874 3,074 3,296 2,874 2,939 2,879 By type 4 Financial claims 16,554 18,282 19,701 18,858 18,573 19,701 22,149 20,028 5 Deposits 11,111 12,654 13,872 13,028 12,520 13,872 16,425 14,389 6 Payable in dollars 10,043 11,738 13,097 12,125 11,307 13,097 15,630 13,664 7 Payable in foreign currencies 1,068 916 775 904 1,213 775 795 725 8 Other financial claims 5,443 5,628 5,829 5,830 6,053 5,829 5,724 5,639 9 Payable in dollars 3,874 3,802 4,146 4.102 4,399 4,146 4,078 3,894 10 Payable in foreign currencies 1,569 1,826 1,683 1,728 1,655 1.683 1,646 1,655 11 Commercial claims 11,329 12,813 14,588 13,432 13,335 14,588 15,399 15,053 12 Trade receivables 10,770 12,122 13,871 12,715 12,635 13,871 14,598 14,222 13 Advance payments and other claims 559 691 717 717 700 717 801 830 14 Payable in dollars 10,993 12,396 14,171 12.989 12,906 14,171 14,901 14,554 15 Payable in foreign currencies 335 416 416 443 428 416 498 499 By area or country Financial claims 16 Europe 5,215 6,163 6,094 5.882 5,680 6,094 6,098 5,215 17 Belgium-Luxembourg 48 32 195 23 17 195 170 174 18 France L 178 177 334 307 409 334 411 377 19 Germany 510 409 230 195 168 230 213 139 20 Netherlands 103 53 32 37 30 32 42 30 21 Switzerland 98 73 59 96 41 59 90 96 22 United Kingdom 4,021 5,107 4,967 4,908 4,634 4,967 4,900 4,046 23 Canada 4,469 4,841 5,016 4,918 4,906 5,016 6,562 6,088 24 Latin America and Caribbean 5,714 6,276 7,612 6,956 6.806 7,612 8,548 7,855 25 Bahamas 3,001 2,757 3,420 3,098 2,845 3,420 3,947 3,231 26 Bermuda 80 30 135 25 65 135 13 33 27 Brazil 151 163 96 120 116 96 22 20 28 British West Indies 1,291 2,001 2,615 2,408 2,337 2,615 3,393 3,382 29 Mexico 162 157 208 177 192 208 168 158 30 Venezuela 157 143 137 139 128 137 131 143 31 920 706 710 781 853 710 691 618 32 Japan 305 199 177 276 331 177 191 107 33 Middle East oil-exporting countries3 18 16 20 16 20 20 17 19 34 Africa 181 253 238 256 260 238 214 216 35 Oil-exporting countries4 10 49 26 35 29 26 27 39 36 All other5 55 44 32 65 68 32 36 37 Commercial claims 37 Europe 3,982 4,904 5,487 4,850 4,676 5,487 5,822 5,449 38 Belgium-Luxembourg 144 202 232 258 230 232 277 235 39 France 609 727 1,128 665 709 1,128 918 782 40 Germany 398 589 590 512 569 590 597 570 41 Netherlands 267 298 318 297 289 318 347 308 42 Switzerland 198 272 351 434 339 351 461 474 43 United Kingdom •824 901 930 907 991 930 1,187 1.067 44 Canada 1,094 846 897 899 933 897 1,037 987 45 Latin America and Caribbean 2,546 2,853 3,790 3,291 3,389 3,790 3,832 3,786 46 Bahamas 109 21 21 19 53 21 15 29 47 Bermuda 215 197 148 133 81 148 170 192 48 Brazil 628 645 861 696 712 861 799 823 49 British West Indies 9 16 34 9 17 34 15 34 50 Mexico 505 698 1,090 931 992 1,090 1,051 1.110 51 Venezuela 291 343 407 395 388 407 436 417 52 3,081 3,415 3,447 3,577 3,398 3,447 3,704 3,721 53 Japan 976 1,140 990 1,143 1,094 990 1,234 1,171 54 Middle East oil-exporting countries3 716 766 821 830 837 821 925 956 55 Africa 447 554 651 566 669 651 678 701 56 Oil-exporting countries4 136 133 151 115 135 151 143 137 57 All other5 178 240 316 249 270 316 327 409 1. For a description of the changes in the International Statistics tables, see July 3. Comprises Bahrain, Iran, Iraq, Kuwait, Oman, Qatar, Saudi Arabia, and 1979 BULLETIN, p. 550. United Arab Emirates (Trucial States). 2. Prior to December 1978, foreign currency data include only liabilities denom- 4. Comprises Algeria, Gabon, Libya, and Nigeria. inated in foreign currencies with an original maturity of less than one year. 5. Includes nonmonetary international and regional organizations. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A68 International Statistics • December 1981 3.26 DISCOUNT RATES OF FOREIGN CENTRAL BANKS Percent per annum Rate on Nov. 30, 1981 Rate on Nov. 30, 1981 Rate on Nov. 30, 1981 Country Country Country Per- Month Per- Month Per- Month cent effective cent effective cent effective Argentina 188.81 Nov. 1981 France1 17.5 Oct. 1981 Sweden 11.0 Oct. 1981 Austria .. 6.75 Mar. 1980 Germany, Fed. Rep. of 7.5 May 1980 Switzerland 6.0 Sept. 1981 Belgium.. 13.0 May 1981 Italy 19.0 Mar. 1981 United Kingdom' Brazil.... 49.0 Mar. 1981 Japan 6.25 Mar. 1981 Venezuela 14.0 Aug. 198i Canada .. 15.07 Nov. 1981 Netherlands 9.0 Mar. 1981 Denmark. 11.00 Oct. 1980 Norway 9.0 Nov. 1979 1. As from February 1981, the rate at which the Bank of France discounts discounts or makes advances against eligible commercial paper and/or Treasury bills for 7 to 10 days. government commercial banks or brokers. For countries with 2. Minimum lending rate suspended as of August 20, 1981. more than one rate applicable to such discounts or advances, the rate shown is the one at which it is understood the central bank transacts the NOTE. Rates shown are mainly those at which the central bank either largest proportion of its credit operations. 3.27 FOREIGN SHORT-TERM INTEREST RATES Percent per annum, averages of daily figures 1981 CCoouunnttrryy,, oorr ttyyppee 11997788 11997799 11998800 May June July Aug. Sept. Oct. Nov. 1 Eurodollars 8.74 11.96 14.00 19.06 17.86 18.50 18.79 17.80 16.34 13.33 2 United Kingdom 9.18 13.60 16.59 12.34 12.61 13.63 14.02 14.60 16.27 15.03 3 Canada 8.52 11.91 13.12 18.96 19.28 19.67 21.84 20.42 18.84 16.53 4 Germany 3.67 6.64 9.45 13.06 13.05 12.92 12.87 12.48 11.72 11.05 5 Switzerland 0.74 2.04 5.79 9.87 10.02 9.76 9.05 10.56 10.85 9.88 6 Netherlands 6.53 9.33 10.60 11.76 11.81 12.38 13.54 12.96 12.57 11.70 7 France 8.10 9.44 12.18 15.75 18.84 17.34 17.40 17.65 16.47 15.35 8 Italy 11.40 11.85 17.50 19.92 20.49 20.78 20.94 21.07 21.00 21.12 9 Belgium 7.14 10.48 14.06 16.90 15.58 16.16 16.00 16.00 15.83 15.28 10 Japan 4.75 6.10 11.45 7.22 7.41 7.16 7.22 7.26 7.13 7.15 NOTE. Rates are for 3-month interbank loans except for Canada, finance company paper; Belgium, 3-month Treasury bills; and Japan, Gensaki rate. 3.28 FOREIGN EXCHANGE RATES Cents per unit of foreign currency 1981 CCoouunnttrryy//ccuurrrreennccyy 11997788 11997799 11998800 May June July Aug. Sept. Oct. Nov. 1 Australia/dollar 114.41 111.77 114.00 114.06 114.07 114.27 113.99 114.86 114.32 114.55 2 Austria/schilling 6.8958 7.4799 7.7349 6.1722 5.9502 5.8225 5.6968 6.0554 6.3356 6.4022 3 Belgium/franc 3.1809 3.4098 3.4247 2.6742 2.5734 2.5027 2.4466 2.5978 2.6557 2.6724 4 Canada/dollar 87.729 85.386 85.530 83.265 83.050 82.601 81.766 83.275 83.136 84.235 5 Denmark/krone 18.156 19.010 17.766 13.864 13.384 13.074 12.732 13.552 13.825 13.944 6 Finland/markka 24.337 27.732 26.892 23.207 22.511 22.045 21.607 22.225 22.601 23.020 7 France/franc 22.218 23.504 23.694 18.225 17.679 17.253 16.720 17.769 17.762 17.782 8 Germany/deutsche mark 49.867 54.561 55.089 43.601 42.054 40.977 39.988 42.545 44.370 44.862 9 India/rupee 12.207 12.265 12.686 11.900 11.688 11.229 11.038 10.971 10.948 10.947 10 Ireland/pound 191.84 204.65 205.77 159.49 153.61 149.40 146.04 155.04 157.50 158.95 11 Italy/lira .11782 .12035 .11694 .08766 .08436 .08233 .08038 .08424 .08374 .08392 12 Japan/yen .47981 .45834 .44311 .45332 .44621 .43055 .42881 .43582 .43198 .44843 13 Malaysia/ringgit 43.210 45.720 45.967 42.752 42.720 42.519 42.119 42.527 43.500 44.323 14 Mexico/peso 4.3896 4.3826 4.3535 4.1500 4.1066 4.0650 4.0301 3.9859 3.9371 3.8878 15 Netherlands/guilder 46.284 49.843 50.369 39.224 37.816 36.833 36.009 38.329 40.151 40.915 16 New Zealand/dollar 103.64 102.23 97.337 88.150 85.823 83.771 82.331 82.644 82.355 83.104 17 Norway/krone 19.079 19.747 20.261 17.652 16.907 16.387 16.177 16.779 16.897 17.194 18 Portugal/escudo 2.2782 2.0437 1.9980 1.6449 1.5899 1.5429 1.4999 1.5268 1.5458 1.5534 19 South Africa/rand 115.01 118.72 128.54 119.35 115.18 108.46 105.27 105.56 104.61 103.82 20 Spain/peseta 1.3073 1.4896 1.3958 1.0953 1.0565 1.0248 .99864 1.0407 1.0416 1.0483 21 Sri Lanka/rupee 6.3834 6.4226 6.1947 5.4422 5.3970 5.3491 5.1932 5.0056 4.8372 4.8020 22 Sweden/krona 22.139 23.323 23.647 20.450 19.802 19.293 18.870 18.435 18.023 18.217 23 Switzerland/franc 56.283 60.121 59.697 48.400 48.226 47.667 46.091 49.511 53.080 56.000 24 United Kingdom/pound 191.84 212.24 232.58 208.84 197.38 187.37 182.03 181.46 184.07 190.25 MEMO: 25 United States/dollar1 92.39 88.09 87.39 103.59 106.86 109.87 112.29 107.98 106.34 104.53 1. Index of weighted-average exchange value of U.S. dollar against cur- the Weighted-Average Exchange Value of the U.S. Dollar: Revision" on page rencies of other G-10 countries plus Switzerland. March 1973 = 100. 700 of the August 1978 BULLETIN. Weights are 1972-76 global trade of each of the 10 countries. Series revised as of August 1978. For description and back data, see "Index of NOTE. Averages of certified noon buying rates in New York for cable transfers. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A69 Guide to Tabular Presentation, Statistical Releases, and Special Tables GUIDE TO TABULAR PRESENTATION Symbols and Abbreviations c Corrected 0 Calculated to be zero e Estimated n.a. Not available p Preliminary n.e.c. Not elsewhere classified r Revised (Notation appears on column heading IPCs Individuals, partnerships, and corporations when more than half of figures in that column REITs Real estate investment trusts are changed.) RPs Repurchase agreements * Amounts insignificant in terms of the last decimal SMSAs Standard metropolitan statistical areas place shown in the table (for example, less than Cell not applicable 500,000 when the smallest unit given is millions) General Information Minus signs are used to indicate (1) a decrease, (2) a negative obligations of the Treasury. "State and local government" figure, or (3) an outflow. also includes municipalities, special districts, and other politi- "U.S. government securities" may include guaranteed cal subdivisions. issues of U.S. government agencies (the flow of funds figures In some of the tables details do not add to totals because of also include not fully guaranteed issues) as well as direct rounding. STATISTICAL RELEASES List Published Semiannually, with Latest Bulletin Reference Issue Page Anticipated schedule of release dates for periodic releases June 1981 A78 SPECIAL TABLES Published Irregularly, with Latest Bulletin Reference Commercial bank assets and liabilities, June 30, 1980 December 1980 A68 Commercial bank assets and liabilities, September 30, 1980 February 1981 A68 Commercial bank assets and liabilities, December 31, 1980 April 1981 A72 Assets and liabilities of U.S. branches and agencies of foreign banks, June 30, 1981 October 1981 A80 Commercial bank assets and liabilities, March 31, 1981 July 1981 A72 Commercial bank assets and liabilities, June 30, 1981 October 1981 A74 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A70 Federal Reserve Board of Governors PAUL A. VOLCKER, Chairman HENRY C. WALLICH FREDERICK H. SCHULTZ, Vice Chairman J. CHARLES PARTEE OFFICE OF BOARD MEMBERS OFFICE OF STAFF DIRECTOR FOR MONETARY AND FINANCIAL POLICY JOSEPH R. COYNE, Assistant to the Board DONALD J. WINN, Assistant to the Board STEPHEN H. AXILROD, Staff Director ANTHONY F. COLE, Special Assistant to the Board EDWARD C. ETTIN, Deputy Staff Director WILLIAM R. MALONI, Special Assistant to the Board MURRAY ALTMANN, Assistant to the Board FRANK O'BRIEN, JR., Special Assistant to the Board STANLEY J. SIGEL, Assistant to the Board JOSEPH S. SIMS, Special Assistant to the Board NORMAND R. V. BERNARD, Special Assistant to the Board JAMES L. STULL, Manager, Operations Review Program DIVISION OF RESEARCH AND STATISTICS LEGAL DIVISION JAMES L. KICHLINE, Director MICHAEL BRADFIELD, General Counsel JOSEPH S. ZEISEL, Deputy Director ROBERT E. MANNION, Deputy General Counsel MICHAEL J. PRELL, Associate Director J. VIRGIL MATTINGLY, JR., Associate General Counsel ROBERT A. EISENBEIS, Senior Deputy Associate Director GILBERT T. SCHWARTZ, Associate General Counsel JARED J. ENZLER, Senior Deputy Associate Director MICHAEL E. BLEIER, Assistant GeneralCounsel ELEANOR J. STOCKWELL, Senior Deputy Associate Director MARYELLEN A. BROWN, Assistant to the General Counsel DONALD L. KOHN, Deputy Associate Director J. CORTLAND G. PERET, Deputy Associate Director HELMUT F. WENDEL, Deputy Associate Director OFFICE OF THE SECRETARY MARTHA BETHEA, Assistant Director JOE M. CLEAVER, Assistant Director WILLIAM W. WILES, Secretary ROBERT M. FISHER, Assistant Director BARBARA R. LOWREY, Assistant Secretary DAVID E. LINDSEY, Assistant Director JAMES MCAFEE, Assistant Secretary LAWRENCE SLIFMAN, Assistant Director *THEODORE E. DOWNING, Assistant Secretary FREDERICK M. STRUBLE, Assistant Director STEPHEN P. TAYLOR, Assistant Director LEVON H. GARABEDIAN, Assistant Director (Administration) DIVISION OF CONSUMER AND COMMUNITY AFFAIRS DIVISION OF INTERNATIONAL FINANCE JANET O. HART, Director GRIFFITH L. GARWOOD, Deputy Director EDWIN M. TRUMAN, Director JERAULD C. KLUCKMAN, Associate Director ROBERT F. GEMMILL, Associate Director GLENN E. LONEY, Assistant Director CHARLES J. SIEGMAN, Associate Director DOLORES S. SMITH, Assistant Director LARRY J. PROMISEL, Senior Deputy Associate Director DALE W. HENDERSON, Deputy Associate Director SAMUEL PIZER, Staff Adviser DIVISION OF BANKING RALPH W. SMITH, JR., Assistant Director SUPERVISION AND REGULATION JOHN E. RYAN, Director FREDERICK R. DAHL, Associate Director DON E. KLINE, Associate Director WILLIAM TAYLOR, Associate Director JACK M. EGERTSON, Assistant Director ROBERT A. JACOBSEN, Assistant Director ROBERT S. PLOTKIN, Assistant Director THOMAS A. SIDMAN, Assistant Director SAMUEL H. TALLEY, Assistant Director LAURA M. HOMER, Securities Credit Officer Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A71 and Official Staff NANCY H. TEETERS LYLE E. GRAMLEY EMMETT J. RICE OFFICE OF OFFICE OF STAFF DIRECTOR FOR STAFF DIRECTOR FOR MANAGEMENT FEDERAL RESERVE BANK ACTIVITIES tToNY J. SALVAGGIO, Acting Staff Director THEODORE E. ALLISON, Staff Director UOHN M. DENKLER, Staff Director HARRY A. GUINTER, Assistant Director for Contingency EDWARD T. MULRENIN, Assistant Staff Director Planning JOSEPH W. DANIELS, SR., Director of Equal Employment Opportunity DIVISION OF FEDERAL RESERVE BANK OPERATIONS DIVISION OF DATA PROCESSING CLYDE H. FARNSWORTH, JR., Director CHARLES L. HAMPTON, Director LORIN S. MEEDER, Associate Director BRUCE M. BEARDSLEY, Deputy Director WALTER ALTHAUSEN, Assistant Director TUYLESS D. BLACK, Associate Director CHARLES W. BENNETT, Assistant Director GLENN L. CUMMINS, Assistant Director RICHARD B. GREEN, Assistant Director NEAL H. HILLERMAN, Assistant Director EARL G. HAMILTON, Assistant Director C. WILLIAM SCHLEICHER, JR., Assistant Director ELLIOTT C. MCENTEE, Assistant Director ROBERT J. ZEMEL, Assistant Director DAVID L. ROBINSON, Assistant Director P.D. RING, Adviser §HOWARD F. CRUMB, Acting Adviser DIVISION OF PERSONNEL DAVID L. SHANNON, Director JOHN R. WEIS, Assistant Director CHARLES W. WOOD, Assistant Director OFFICE OF THE CONTROLLER JOHN KAKALEC, Controller GEORGE E. LIVINGSTON, Assistant Controller DIVISION OF SUPPORT SERVICES DONALD E. ANDERSON, Director ROBERT E. FRAZIER, Associate Director WALTER W. KREIMANN, Associate Director *On loan from the Federal Reserve Bank of Chicago. tOn loan from the Federal Reserve Bank of Dallas. tOn leave of absence. §On loan from the Federal Reserve Bank of New York. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A72 Federal Reserve Bulletin • December 1981 FOMC and Advisory Councils FEDERAL OPEN MARKET COMMITTEE PAUL A. VOLCKER, Chairman ANTHONY M. SOLOMON, Vice Chairman EDWARD G. BOEHNE LYLE E. GRAMLEY FREDERICK H. SCHULTZ ROBERT H. BOYKIN SILAS KEEHN NANCY H. TEETERS E. GERALD CORRIGAN J. CHARLES PARTEE HENRY C. WALLICH EMMETT J. RICE STEPHEN H. AXILROD, Staff Director JOSEPH E. BURNS, Associate Economist MURRAY ALTMANN, Secretary RICHARD G. DAVIS, Associate Economist NORMAND R. V. BERNARD, Assistant Secretary EDWARD C. ETTIN, Associate Economist NANCY M. STEELE, Deputy Assistant Secretary DONALD J. MULLINEAUX, Associate Economist MICHAEL BRADFIELD, General Counsel MICHAEL J. PRELL, Associate Economist JAMES H. OLTMAN, Deputy General Counsel KARL L. SCHELD, Associate Economist ROBERT E. MANNION, Assistant General Counsel EDWIN M. TRUMAN, Associate Economist JAMES L. KICHLINE, Economist JOSEPH S. ZEISEL, Associate Economist PETER D. STERNLIGHT, Manager for Domestic Operations, System Open Market Account SAM Y. CROSS, Manager for Foreign Operations, System Open Market Account FEDERAL ADVISORY COUNCIL MERLE E. GILLIAND, Fourth District, President CHAUNCEY E. SCHMIDT, Twelfth District, Vice President WILLIAM S. EDGERLY, First District ROBERT M. SURDAM, Seventh District DONALD C. PLATTEN, Second District RONALD TERRY, Eighth District JOHN W. WALTHER, Third District CLARENCE G. FRAME, Ninth District J. OWEN COLE, Fifth District GORDON E. WELLS, Tenth District ROBERT STRICKLAND, Sixth District T. C. FROST, JR., Eleventh District HERBERT V. PROCHNOW, Secretary WILLIAM J. KORSVIK, Associate Secretary CONSUMER ADVISORY COUNCIL RALPH J. ROHNER, Washington, D.C., Chairman CHARLOTTE H. SCOTT, Charlottesville, Virginia, Vice Chairman ARTHUR F. BOUTON, Little Rock, Arkansas F. THOMAS JUSTER, Ann Arbor, Michigan JULIA H. BOYD, Alexandria, Virginia RICHARD F. KERR, Palm City, Florida ELLEN BROADMAN, Washington, D.C. HARVEY M. KUHNLEY, Minneapolis, Minnesota JAMES L. BROWN, Milwaukee, Wisconsin THE REV. ROBERT J. MCEWEN, S.J., Chestnut Hill, MARK E. BUDNITZ, Atlanta, Georgia Massachusetts JOSEPH N. CUGINI, Westerly, Rhode Island STAN L. MULARZ, Chicago, Illinois RICHARD S. D'AGOSTINO, Philadelphia, Pennsylvania WILLIAM J. O'CONNOR, Buffalo, New York SUSAN PIERSON DE WITT, Springfield, Illinois MARGARET REILLY-PETRONE, Upper Montclair, New Jersey JOANNE S. FAULKNER, New Haven, Connecticut RENE REIXACH, Rochester, New York LUTHER GATLING, New York, New York FLORENCE M. RICE, New York, New York VERNARD W. HENLEY, Richmond, Virginia HENRY B. SCHECHTER, Washington, D.C. JUAN JESUS HINOJOSA, McAllen, Texas PETER D. SCHELLIE, Washington, D.C. SHIRLEY T. HOSOI, Los Angeles, California NANCY Z. SPILLMAN, Los Angeles, California GEORGE S. IRVIN, Denver, Colorado RICHARD A. VAN WINKLE, Salt Lake City, Utah MARY W. WALKER, Monroe, Georgia Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A73 Federal Reserve Banks, Branches, and Offices FEDERAL RESERVE BANK, Chairman President Vice President branch, or facility Zip Deputy Chairman First Vice President in charge of branch BOSTON* 02106 Robert P. Henderson Frank E. Morris Thomas I. Atkins James A. Mcintosh NEW YORK* 10045 Robert H. Knight, Esq. Anthony M. Solomon Boris Yavitz Thomas M. Timlen Buffalo 14240 Frederick D. Berkeley, III John T. Keane PHILADELPHIA 19105 John W. Eckman Edward G. Boehne Jean A. Crockett Richard L. Smoot CLEVELAND* 44101 J. L. Jackson Willis J. Winn William H. Knoell Walter H. MacDonald Cincinnati 45201 Martin B. Friedman Robert E. Showalter Pittsburgh 15230 Milton G. Hulme, Jr. Harold J. Swart RICHMOND* 23219 Maceo A. Sloan Robert P. Black Steven Muller Jimmie R. Monhollon Baltimore 21203 Edward H. Co veil Robert D. McTeer, Jr. Charlotte 28230 Naomi G. Albanese Stuart P. Fishburne Culpeper Communications and Records Center 22701 Albert D. Tinkelenberg ATLANTA 30301 William A. Fickling, Jr. William F. Ford John H. Weitnauer, Jr. Robert P. Forrestal Birmingham 35202 Louis J. Willie Hiram J. Honea Jacksonville 32231 Jerome P. Keuper Charles D. East Miami 33152 Roy Vandegrift, Jr. F. J. Craven, Jr. Nashville 37203 John C. Bolinger, Jr. Jeffrey J. Wells New Orleans 70161 Horatio C. Thompson James D. Hawkins CHICAGO* 60690 John Sagan Silas Keehn Stanton R. Cook Daniel M. Doyle Detroit 48231 Herbert H. Dow William C. Conrad ST. LOUIS 63166 Armand C. Stalnaker Lawrence K. Roos William B. Walton Donald W. Moriarty, Jr. Little Rock 72203 E. Ray Kemp, Jr. John F. Breen Louisville 40232 Sister Eileen M. Egan Donald L. Henry Patricia W. Shaw Robert E. Matthews Memphis 38101 Stephen F. Keating E. Gerald Corrigan MINNEAPOLIS 55480 William G. Phillips Thomas E. Gainor Norris E. Hanford Betty J. Lindstrom Helena 59601 Paul H. Henson Roger Guffey KANSAS CITY 64198 Doris M. Drury Henry R. Czerwinski Caleb B. Hurtt Wayne W. Martin D O e k n la v h e o r ma City 7 8 3 02 1 1 2 7 5 Christine H. Anthony William G. Evans Robert G. Lueder Robert D. Hamilton Omaha 68102 Gerald D. Hines Robert H. Boykin DALLAS 75222 John V. James William H. Wallace Josefina A. Salas-Porras Joel L. Koonce, Jr. E H l o u P s a t s o o n 7 7 7 9 0 9 0 9 1 9 Jerome L. Howard J. Z. Rowe Lawrence L. Crum Thomas H. Robertson San Antonio 78295 Cornell C. Maier John J. Balles SAN FRANCISCO 94120 Caroline L. Ahmanson John B. Williams Harvey A. Proctor Richard C. Dunn Los Angeles 90051 John C. Hampton Angelo S. Carella Portland 97208 Wendell J. Ashton A. Grant Holman Salt Lake City 84130 George H. Weyerhaeuser Gerald R. Kelly Seattle 98124 *Additional offices of these Banks are located at Lewiston, Maine 04240; Windsor Locks, Connecticut 06096; Cranford, New Jersey 07016; Jericho, New York 11753; Utica at Oriskany, New York 13424; Columbus, Ohio 43216; Columbia, South Carolina 29210; Charleston, West Virginia 25311; Des Moines, Iowa 50306; Indianapolis, Indiana 46204; and Milwaukee, Wisconsin 53202. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A74 Federal Reserve Board Publications Copies are available from PUBLICATIONS SERVICES, payable to the order of the Board of Governors of the Federal Room MP-510, Board of Governors of the Federal Reserve Reserve System. Remittance from foreign residents should System, Washington, D.C. 20551. When a charge is indicat- be drawn on a U.S. bank. Stamps and coupons are not ed, remittance should accompany request and be made accepted. THE FEDERAL RESERVE SYSTEM—PURPOSES AND FUNC- Each volume $1.00; 10 or more to one address, $.85 TIONS. 1974. 125 pp. each. ANNUAL REPORT. OPEN MARKET POLICIES AND OPERATING PROCEDURES— FEDERAL RESERVE BULLETIN. Monthly. $20.00 per year or STAFF STUDIES. 1971. 218 pp. $2.00 each; 10 or more to $2.00 each in the United States, its possessions, Canada, one address, $1.75 each. and Mexico; 10 or more of same issue to one address, REAPPRAISAL OF THE FEDERAL RESERVE DISCOUNT MECHA- $18.00 per year or $1.75 each. Elsewhere, $24.00 per NISM. Vol. 1. 1971. 276 pp. Vol. 2. 1971. 173 pp. Vol. 3. year or $2.50 each. 1972. 220 pp. Each volume $3.00; 10 or more to one BANKING AND MONETARY STATISTICS. 1914-1941. (Reprint address, $2.50 each. of Part I only) 1976. 682 pp. $5.00. THE ECONOMETRICS OF PRICE DETERMINATION CONFER- BANKING AND MONETARY STATISTICS, 1941-1970. 1976. ENCE, October 30-31, 1970, Washington, D.C. 1972. 397 1,1,68 pp. $15.00. pp. Cloth ed. $5.00 each; 10 or more to one address, ANNUAL STATISTICAL DIGEST $4.50 each. Paper ed. $4.00 each; 10 or more to one 1971-75. 1976. 339 pp. $5.00 per copy. address, $3.60 each. 1972-76. 1977. 377 pp. $10.00 per copy. FEDERAL RESERVE STAFF STUDY: WAYS TO MODERATE 1973-77. 1978. 361 pp. $12.00 per copy. FLUCTUATIONS IN HOUSING CONSTRUCTION. 1972. 487 1974-78. 1980. 305 pp. $10.00 per copy. pp. $4.00 each; 10 or more to one address, $3.60 each. 1970-79. 1981. 587 pp. $20.00 per copy. LENDING FUNCTIONS OF THE FEDERAL RESERVE BANKS. 1980. 1981. 241 pp. $10.00 per copy. 1973. 271 pp. $3.50 each; 10 or more to one address, FEDERAL RESERVE CHART BOOK. Issued four times a year in $3.00 each. February, May, August, and November. Subscription IMPROVING THE MONETARY AGGREGATES: REPORT OF THE includes one issue of Historical Chart Book. $7.00 per ADVISORY COMMITTEE ON MONETARY STATISTICS. year or $2.00 each in the United States, its possessions, 1976. 43 pp. $1.00 each; 10 or more to one address, $.85 Canada, and Mexico. Elsewhere, $10.00 per year or each. $3.00 each. ANNUAL PERCENTAGE RATE TABLES (Truth in Lending— HISTORICAL CHART BOOK. Issued annually in Sept. Subscrip- Regulation Z) Vol. I (Regular Transactions). 1969. 100 tion to Federal Reserve Chart Book includes one issue. pp. Vol. II (Irregular Transactions). 1969. 116 pp. Each $1.25 each in the United States, its possessions, Canada, volume $1.00; 10 or more of same volume to one and Mexico; 10 or more to one address, $1.00 each. address, $.85 each. Elsewhere, $1.50 each. FEDERAL RESERVE MEASURES OF CAPACITY AND CAPACITY SELECTED INTEREST AND EXCHANGE RATES—WEEKLY SE- UTILIZATION. 1978. 40 pp. $1.75 each; 10 or more to one RIES OF CHARTS. Weekly. $15.00 per year or $.40 each in address, $1.50 each. the United States, its possessions, Canada, and Mexico; THE BANK HOLDING COMPANY MOVEMENT TO 1978: A 10 or more of same issue to one address, $13.50 per year COMPENDIUM. 1978. 289 pp. $2.50 each; 10 or more to or $.35 each. Elsewhere, $20.00 per year or $.50 each. one address, $2.25 each. THE FEDERAL RESERVE ACT, as amended through December IMPROVING THE MONETARY AGGREGATES: STAFF PAPERS. 1976, with an appendix containing provisions of certain 1978. 170 pp. $4.00 each; 10 or more to one address, other statutes affecting the Federal Reserve System. 307 $3.75 each. pp. $2.50. 1977 CONSUMER CREDIT SURVEY. 1978. 119 pp. $2.00 each. REGULATIONS OF THE BOARD OF GOVERNORS OF THE FED- FLOW OF FUNDS ACCOUNTS. 1949-1978. 1979. 171 pp. $1.75 each; 10 or more to one address, $1.50 each. ERAL RESERVE SYSTEM. BANK CREDIT-CARD AND CHECK-CREDIT PLANS. 1968. 102 INTRODUCTION TO FLOW OF FUNDS. 1980. 68 pp. $1.50 each; pp. $1.00 each; 10 or more to one address, $.85 each. 10 or more to one address, $1.25 each. REPORT OF THE JOINT TREASURY-FEDERAL RESERVE STUDY PUBLIC POLICY AND CAPITAL FORMATION. 1981. 326 pp. OF THE U.S. GOVERNMENT SECURITIES MARKET. 1969. $13.50 each. 48 pp. $.25 each; 10 or more to one address, $.20 each. NEW MONETARY CONTROL PROCEDURES: FEDERAL RE- JOINT TREASURY-FEDERAL RESERVE STUDY OF THE GOV- SERVE STAFF STUDY, 1981. ERNMENT SECURITIES MARKET; STAFF STUDIES—PART SEASONAL ADJUSTMENT OF THE MONETARY AGGREGATES: 1. 1970. 86 pp. $.50 each; 10 or more to one address, $.40 REPORT OF THE COMMITTEE OF EXPERTS ON SEASONAL each. PART 2, 1971. 153 pp. and PART 3, 1973. 131 pp. ADJUSTMENT TECHNIQUES. 1981. 55 pp. $2.75 each. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A75 FEDERAL RESERVE REGULATORY SERVICE. Looseleaf; updat- STAFF STUDIES: Summaries Only Printed in the ed at least monthly. (Requests must be prepaid; outside Bulletin North America an additional $10.00 for each publica- Studies and papers on economic and financial subjects tion.) that are of general interest. Requests to obtain single copies Consumer and Community Affairs Handbook. $50.00 per of the full text or to be added to the mailing list for the series year. may be sent to Publications Services. Monetary Policy and Reserve Requirements Handbook. $50.00 per year. TIE-INS BETWEEN THE GRANTING OF CREDIT AND SALES OF Securities Credit Transactions Handbook. $50.00 per year. INSURANCE BY BANK HOLDING COMPANIES AND OTHER Federal Reserve Regulatory Service. 2 vols. (Contains all LENDERS, by Robert A. Eisenbeis and Paul R. Schweitthree Handbooks plus substantial additional material.) zer. Feb. 1979. 75 pp. $150.00 per year. PERFORMANCE AND CHARACTERISTICS OF EDGE CORPORA- WELCOME TO THE FEDERAL RESERVE, December 1980. TIONS, by James V. Houpt. Feb. 1981. 56 pp. BANKING STRUCTURE AND PERFORMANCE AT THE STATE LEVEL DURING THE 1970S, by Stephen A. Rhoades. Mar. 1981. 26 pp. CONSUMER EDUCATION PAMPHLETS FEDERAL RESERVE DECISIONS ON BANK MERGERS AND AC- Short pamphlets suitable for classroom use. Multiple QUISITIONS DURING THE 1970S, by Stephen A. Rhoades. copies available without charge. Aug. 1981. 16 pp. Alice in Debitland Consumer Handbook To Credit Protection Laws REPRINTS The Equal Credit Opportunity Act and . . . Age Most of the articles reprinted do not exceed 12 pages. The Equal Credit Opportunity Act and . . . Credit Rights in Housing Revision of Bank Credit Series. 12/71. The Equal Credit Opportunity Act and . . . Doctors, Law- Rates on Consumer Instalment Loans. 9/73. yers, Small Retailers, and Others Who May Provide Industrial Electric Power Use. 1/76. Incidental Credit Revised Series for Member Bank Deposits and Aggregate The Equal Credit Opportunity Act and . . . Women Reserves. 4/76. Fair Credit Billing Federal Reserve Operations in Payment Mechanisms: A The Board of Governors of the Federal Reserve System Summary. 6/76. The Federal Open Market Committee The Federal Budget in the 1970's. 9/78. Federal Reserve Bank Board of Directors Perspectives on Personal Saving. 8/80. Federal Reserve Banks The Impact of Rising Oil Prices on the Major Foreign Federal Reserve Glossary Industrial Countries. 10/80. Monetary Control Act of 1980 Federal Reserve and the Payments System: Upgrading Elec- Guide to Federal Reserve Regulations tronic Capabilities for the 1980s. 2/81. How to File A Consumer Credit Complaint Dealing with Inflation: Obstacles and Opportunities. 4/81. If You Borrow To Buy Stock U.S. International Transactions in 1980. 4/81. If You Use A Credit Card Survey of Finance Companies, 1980. 5/81. Truth in Leasing Bank Lending in Developing Countries. 9/81. U.S. Currency What Truth in Lending Means to You Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A76 ANTICIPATED SCHEDULE OF RELEASE DATES FOR PERIODIC RELEASES- BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM' Approximate Date or period Weekly Releases release days to which data refer Aggregate Reserves of Depository Institutions and Monetary Base. Monday Week ended previous H.3 (502) [1.22] Wednesday Actions of the Board; Applications and Reports. H.2 (501) Friday Week ended previous Saturday Assets and Liabilities of Domestically Chartered Commercial Banks. Tuesday Wednesday, 2 weeks earlier H.8 (510) [1.25] Changes in State Member Banks. K.3 (615) Tuesday Week ended previous Saturday Factors Affecting Reserves of Depository Institutions and Condition Friday Week ended previous Statement of Federal Reserve Banks. H.4.1 (503) [1.11] Wednesday Foreign Exchange Rates. H.10 (512) [3.28] Monday Week ended previous Friday Money Stock Measures and Liquid Assets. H.6 (508) [1.21] Friday Week ended Wednesday of previous week Selected Borrowings in Immediately Available Funds of Large Thursday Week ended Thursday of Member Banks. H.5 (507) [1.13] previous week Selected Interest Rates. H. 15 (519) [1.35] Monday Week ended previous Saturday Weekly Consolidated Condition Report of Large Commercial Banks Friday Wednesday, 1 week earlier and Domestic Subsidiaries. H.4.2 (504) [1.26, 1.27, 1.28, 1.29, 1.291] Friday Week ended previous Weekly Summary of Banking and Credit Measures. H.9 (511) Wednesday; and week ended Wednesday of previous week Monthly Releases Capacity Utilization: Manufacturing and Materials. G.3 (402) [2.11] Mid-month Previous month Changes in Status of Banks and Branches. G.4.5 (404) 25th of month Previous month Commercial and Industrial Loans to U.S. Addressees Excluding 1st Wednesday of Last Wednesday of previous Bankers' Acceptances and Commercial Paper by Industry. G.27 month month (429) [1.30] Consumer Installment Credit. G.19 (421) [1.56, 1.57] 3rd working day of 2nd month previous month Debits and Deposit Turnover at Commercial Banks. G.6 (406) [1.20] 25th of month Previous month Finance Companies. G.20 (422) [1.52, 1.53] 5th working day of 2nd month previous month Foreign Exchange Rates. G.5 (405) [3.28] 1 st of month Previous month 1. Release dates are those anticipated or usually met. However, please note that for some releases there is normally a certain variability because of reporting or processing procedures. Moreover, for all series unusual circumstances may, from time to time, result in a release date being later than anticipated. The BULLETIN table that reports these data is designated in brackets. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

All Approximate Date or period Monthly Releases—Continued release days to which data refer Industrial Production. G. 12.3 (414) [2.13] Mid-month Previous month Loan Commitments at Selected Large Commercial Banks. G.21 (423) 20th of month 2nd month previous Loans and Securities at all Commercial Banks. G.7 (407) [1.23] 20th of month Previous month Major Nondeposit Funds of Commercial Banks. G.10 (411) [1.24] 20th of month Previous month Maturity Distribution of Outstanding Negotiable Time Certificates of 24th of month Last Wednesday of previous Deposit. G.9 (410) month Research Library—Recent Acquisitions. G.15 (417) 1st of month Previous month Selected Interest Rates. G.13 (415) [1.35] 6th of month Previous month Summary of Equity Security Transactions. G.16 (418) Last week of Release date month Quarterly Releases Agricultural Finance Databook E. 15 (125) End of February, January, April, July, and May, August, October and November Automobile Credit. E.4 (114) 4th of April, July, Previous quarter October, and January Finance Rates and Other Terms on Selected Types of Consumer 25th of January, 2nd month previous Installment Credit Extended by Major Finance Companies. E.10 April, July and (120) October Flow of Funds: Seasonally adjusted and unadjusted. Z.l (780) [1.58, 15th of February, Previous quarter 1.59] May, August, and November Geographical Distribution of Assets and Liabilities of Major Foreign 15th of March, Previous quarter Branches of U.S. Banks. E.ll (121) June, September, and December Finance Rates on Selected Consumer Installment Loans at Reporting 15th of March, February, May, August, and Commercial Banks. E.12 (122) June, November September, and December Survey of Terms of Banking Lending. E.2 (111) [1.34] 15th of March, February, May, August, and June, November September, and December Semiannual Releases Domestic Offices, Commercial Bank Assets and Liabilities May and End of previous December November and June Consolidated Report of Condition. E.3.4 (113) [1.26, 1.27, 1.28] February and July Previous 6 months Check Collection Services—Federal Reserve System. E.9 (119) Country Exposure Lending Survey. E.16 (126) May and End of previous December November and June List of OTC Margin Stocks. E.7 (117) April and October Release date Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A78 Approximate Date or period Annual Releases release days to which data refer Aggregate Summaries of Annual Surveys of Security Credit February End of previous June Extension. C.2 (101) Bank Holding Companies and Subsidiary Banks. C.6 (105) March Previous year Domestic Foreign Insured Bank Income by Size of Bank. C.4 (103) End of May Previous year Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A79 Index to Statistical Tables References are to pages A3 through A68 although the prefix 'A" is omitted in this index ACCEPTANCES, bankers, 10, 25, 27 Demand deposits—Continued Agricultural loans, commercial banks, 18, 19, 20, 26 Subject to reserve requirements, 14 Assets and liabilities (See also Foreigners) Turnover, 12 Banks, by classes, 17, 18-21 Depository institutions Domestic finance companies, 39 Reserve requirements, 8 Federal Reserve Banks, 11 Reserves, 3, 4, 5, 14 Foreign banks, U.S. branches and agencies, 22 Deposits (See also specific types) Nonfinancial corporations, 38 Banks, by classes, 3, 17, 18-21, 29 Savings institutions, 29 Federal Reserve Banks, 4, 11 Automobiles Subject to reserve requirements, 14 Consumer installment credit, 42, 43 Turnover, 12 Production, 48, 49 Discount rates at Reserve Banks and at foreign central banks (See Interest rates) BANKERS balances, 17, 18-20 (See also Foreigners) Discounts and advances by Reserve Banks (See Loans) Banks for Cooperatives, 35 Dividends, corporate, 37 Bonds (See also U.S. government securities) New issues, 36 EMPLOYMENT, 46, 47 Yields, 3 Eurodollars, 27 Branch banks, 15, 21, 22, 56 Business activity, nonfinancial, 46 FARM mortgage loans, 41 Business expenditures on new plant and equipment, 38 Federal agency obligations, 4, 10, 11, 12, 34 Business loans (See Commercial and industrial loans) Federal and federally sponsored credit agencies, 35 Federal finance CAPACITY utilization, 46 Debt subject to statutory limitation and types and Capital accounts ownership of gross debt, 32 Banks, by classes, 17 Receipts and outlays, 31 Federal Reserve Banks, 11 Treasury operating balance, 30 Central banks, 68 Federal Financing Bank, 30, 35 Certificates of deposit, 21, 27 Federal funds, 3, 6, 18, 19, 20, 27, 30 Commercial and industrial loans Federal Home Loan Banks, 35 Commercial banks, 15, 17, 22, 26 Federal Home Loan Mortgage Corporation, 35, 40, 41 Weekly reporting banks, 18-22, 23 Federal Housing Administration, 35, 40, 41 Commercial banks Federal Intermediate Credit Banks, 35 Assets and liabilities, 3, 15, 17, 18-21 Federal Land Banks, 35, 41 Business loans, 26 Federal National Mortgage Association, 35, 40, 41 Commercial and industrial loans, 15, 17, 22, 23, 26 Federal Reserve Banks Consumer loans held, by type, 42, 43 Condition statement, 11 Loans sold outright, 21 Discount rates (See Interest rates) Nondeposit funds, 16 U.S. government securities held, 4, 11, 12, 32, 33 Number, 17 Federal Reserve credit, 4, 5, 11, 12 Real estate mortgages held, by holder and property, 41 Federal Reserve notes, 11 Commercial paper, 3, 25, 27, 39 Federally sponsored credit agencies, 35 Condition statements (See Assets and liabilities) Finance companies Construction, 46, 50 Assets and liabilities, 39 Consumer installment credit, 42, 43 Business credit, 39 Consumer prices, 46, 51 Loans, 18, 19, 20, 42, 43 Consumption expenditures, 52, 53 Paper, 25, 27 Corporations Financial institutions, loans to, 18, 19, 20 Profits and their distribution, 37 Float, 4 Security issues, 36, 65 Flow of funds, 44, 45 Cost of living (See Consumer prices) Foreign banks, assets and liabilities of U.S. branches and Credit unions, 29, 42, 43 agencies, 22 Currency and coin, 5, 17 Foreign currency operations, 11 Currency in circulation, 4, 13 Foreign deposits in U.S. banks, 4, 11, 18, 19, 20 Customer credit, stock market, 28 Foreign exchange rates, 68 Foreign trade, 55 DEBITS to deposit accounts, 12 Foreigners Debt (See specific types of debt or securities) Claims on, 56, 58, 61, 62, 63, 67 Demand deposits Liabilities to, 21, 56-60, 64-66 Adjusted, commercial banks, 12, 14 Banks, by classes, 17, 18-21 GOLD Ownership by individuals, partnerships, and Certificates, 11 corporations, 24 Stock, 4, 55 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A80 Government National Mortgage Association, 35, 40, 41 REAL estate loans Gross national product, 52, 53 Banks, by classes, 18-20, 41 Rates, terms, yields, and activity, 3, 40 HOUSING, new and existing units, 50 Savings institutions, 27 Type of holder and property mortgaged, 41 INCOME, personal and national, 46, 52, 53 Repurchase agreements and federal funds, 6, 18, 19, 20 Industrial production, 46, 48 Reserve requirements, 8 Installment loans, 42, 43 Reserves Insurance companies, 29, 32, 33, 41 Commercial banks, 17 Interbank loans and deposits, 17 Depository institutions, 3, 4, 5, 14 Interest rates Federal Reserve Banks, 11 Bonds, 3 Member banks, 14 Business loans of banks, 26 U.S. reserve assets, 55 Federal Reserve Banks, 3, 7 Residential mortgage loans, 40 Foreign central banks and foreign countries, 68 Retail credit and retail sales, 42, 43, 46 Money and capital markets, 3, 27 Mortgages, 3, 40 SAVING Prime rate, commercial banks, 26 Flow of funds, 44, 45 Time and savings deposits, 9 National income accounts, 53 International capital transactions of the Savings and loan assns., 3, 9, 29, 33, 41, 44 United States, 56-67 Savings deposits (See Time deposits) International organizations, 56-61, 64-67 Savings institutions (See Thrift institutions) Inventories, 52 Securities (See also U.S. government securities) Investment companies, issues and assets, 37 Federal and federally sponsored credit agencies, 35 Investments (See also specific types) Foreign transactions, 65 Banks, by classes, 17, 29 New issues, 36 Commercial banks, 3, 15, 17, 18-20 Prices, 28 Federal Reserve Banks, 11, 12 Special drawing rights, 4, 11, 54, 55 Savings institutions, 29, 41 State and local governments Deposits, 18, 19, 20 LABOR force, 47 Holdings of U.S. government securities, 32, 33 Life insurance companies (See Insurance companies) New security issues, 36 Loans (See also specific types) Ownership of securities issued by, 18, 19, 20, 29 Banks, by classes, 17, 18-21 Yields of securities, 3 Commercial banks, 3, 15, 17, 18-21, 22, 26 Stock market, 28 Federal Reserve Banks, 3, 4, 5, 7, 11, 12 Stocks (See also Securities) Insured or guaranteed by United States, 40, 41 New issues, 36 Savings institutions, 29, 41 Prices, 28 MANUFACTURING TAX receipts, federal, 31 Capacity utilization, 46 Thrift institutions, selected assets and liabilities, 29 Production, 46, 49 Time deposits, 3, 9, 12, 14, 17, 18-21 Margin requirements, 28 Trade, foreign, 55 Member banks Treasury currency, Treasury cash, 4 Borrowing at Federal Reserve Banks, 5, 11 Treasury deposits, 4, 11, 30 Federal funds and repurchase agreements, 6 Treasury operating balance, 30 Reserve requirements, 8 Reserves and related items, 14 UNEMPLOYMENT, 47 Mining production, 49 U.S. balance of payments, 54 Mobile home shipments, 50 U.S. government balances Monetary aggregates, 3, 14 Commercial bank holdings, 18, 19, 20 Money and capital market rates (See Interest Member bank holdings, 14 rates) Treasury deposits at Reserve Banks, 4, 11, 30 Money stock measures and components, 3, 13 U.S. government securities Mortgages (See Real estate loans) Bank holdings, 17, 18-20, 32, 33 Mutual funds (See Investment companies) Dealer transactions, positions, and financing, 34 Mutual savings banks, 3, 9, 18-20, 29, 32, 33, 41 Federal Reserve Bank holdings, 4, 11, 12, 32, 33 Foreign and international holdings and transactions, 11, NATIONAL defense outlays, 31 32, 64 National income, 52 Open market transactions, 10 Outstanding, by type and ownership, 32, 33 OPEN market transactions, 10 Rates, 3, 27 Savings institutions, 29 PERSONAL income, 53 Utilities, production, 49 Prices Consumer and producer, 46, 51 VETERANS Administration, 40, 41 Stock market, 28 Prime rate, commercial banks, 26 WEEKLY reporting banks, 18-23 Production, 46, 48 Wholesale (producer) prices, 46, 51 Profits, corporate, 37 YIELDS (See Interest rates) Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A81 Index to Volume 67 GUIDE TO PAGE REFERENCES IN MONTHLY ISSUES Issue Text Other ("A" pages) Issue Text Other ("A' ' pages) Index to Index to Total tables Total tables January ... 1-108 1-80 78-79 July 529-594 1-90 88-89 February . 109-194 1-82 80-81 August ... 595-646 1-78 74-75 March 195-268 1-80 78-79 September 647-748 1-78 76-77 April 269-388 1-90 88-89 October... 749-812 1-92 90-91 May 389-460 1-76 74-75 November 813-874 1-78 76-77 June 461-528 1-84 81-82 December 875-928 1-96 79-80 The "A" pages referred to in this index are in the December issue. Pages Pages AGRICULTURE Assets and liabilities of overseas branches of member Publication 431 banks 902 Statements 545, 893 Axilrod, Stephen H., article 277 Aiken, J.B., Jr., appointed director, Charlotte Branch . 377 Allison, Theodore E. BAILEY, Lonnie G., appointed director, Seattle Appointed Staff Director for Federal Reserve Bank Branch 387 Activities 146 Bank holding companies (For orders issued to individual Statements 296, 828 companies under the Bank Holding Company Act, Anderson, John D., appointed Class C director, Cleve- see Bank Holding Company Act) land 375 Enforcement proceedings, settlement 147 Anderson, John F., appointed Class C director, Kansas Financial developments in 1980, article 473 City 383 Interest rate futures contracts, interpretation 785 Annual Report 496 Nonbanking activities, amendment of rules .... 856, 860 Annual Statistical Digest 310, 903 Regulation Y (See Regulations) Articles Bank Holding Company Act Bank holding companies, financial developments in Control, determinations issued under 1980 473 Allied Bancshares 97 Bank lending practices, 1979-81 671 Citicorp 258 Bank lending to developing countries 647 Clinton Cable T.V. Co., Inc 98 Community Reinvestment Act, progress report 813 Exchange Bancorporation 580 Consumer Advisory Council, first five years 529 First Oklahoma Bancorporation, Inc 581 Economy in 1980 1 Frank J. Eicher Company, Inc 98 Federal Reserve and payments system, upgrading Havelock Investment Company 583 electronic capabilities for 1980s 109 Investment Corporation of America, Inc 584 Finance companies, 1980, survey 398 Lewistown Company 584 Financial developments, domestic (See Statements to Midwestern Fidelity Corporation 99 Congress) Noble Bancshares, Inc 585 Foreign exchange operations of Treasury and Federal Rae C. Heiple, Inc 363 Reserve (See Foreign exchange operations) Republic of Texas Corporation 100, 518 Housing finance, changing patterns 461 Reserve Enterprises, Inc 519 Inflation, recent experience 389 Southern National Corporation 101 Insured commercial banks, profitability 657 Walter E. Heller International Corporation .. 586, 638 International transactions of United States in 1980 .. 269 Grandfather privileges, determinations Monetary aggregates, seasonal adjustment methods 875 issued under First Union Corporation 63 Money stock, recent revisions 539-42 Orders issued under Public policy and capital formation 749 ABN Company, Inc 806, 868 Regulatory simplification 535 ABT Bancshares Corporation 368 Small banks, financial performance, 1977-80 480 Acadiana Bancshares, Inc 523 Statements and reports to Congress (See Statements Affiliated Bankshares of Colorado, Inc 640, 922 to Congress) Agri Bancorporation 743 Steel industry, U.S 117 Alamosa Bancorporation Ltd 102 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A82 Federal Reserve Bulletin • December 1981 Pages Pages Bank Holding Company Act—Continued Bank Holding Company Act—Continued Orders issued—Cont. Orders issued—Cont. Allied Bancshares, Inc 589, 868, 872, 922 Bridgeport State Company 103 Alpha Banco Inc 102 Brighton Bancshares Corporation 456 Alpine Bancorp, Inc 368 Brookhollow Bancshares, Inc 869 Alsip Bancorporation, Inc 456 Bryson Bancshares, Inc 922 American Bancorp, Inc 922 Buhl Bancorporation, Inc 574 American Bank Corporation 103 Burchard Bankshares, Inc 744 American City Bancorp, Inc 263 Burr Oak Banco, Inc 189 American Exchange Company 589 Burt Bancshares, Inc 809 American Holding Co 368 Byers Bancshares, Inc 806 American National Bancorp, Inc., Bristow, OK... 640 CB & T Bancshares, Inc 807, 922 American National Bancorp, Inc., Lawton, OK... 103 CBC Bancorp, Inc 369 American National Sidney Corp 103 CCB Bancorp, Inc 735 AmSouth Bancorporation 640 CNB Bancorp, Inc 869 Anadarko Bancshares, Inc 189 CNBCorp 369 Anchor Bancshares, Inc 189 CTS Bancorporation 744 Arapahoe Financial Corp 263 CVB Financial Corp 869 Arbuckle Bancorp, Inc 103 Cache Bancshares, Inc 807 Arcadia Agency Company 344 Cairo/Moberly Bancshares, Inc 869 Arlington Bancorp, Inc 726 California Pacific Corporation 369 Army National Bancshares, Inc 523 Callaway Security Banks, Inc 629 Ashland Capital Corporation, Inc 640 Cambridge Capital Co 744 Ashton Corporation, Inc 369 Camden County Bancshares, Inc 523 Auburn Bancshares, Inc 523 Cameron Investment Company, Inc 188 Avenue Bancorporation 263 Campbell State Company 523 B & M Bancshares, Inc 456 Canadian Commercial Bank 735 Banc One Corporation 806 Capital Bankshares Corporation 869 Banc 1 Minnesota 806 Carbondale Investment 640 Banclndependent Incorporated 589 Cardinal Bancorp 456 BancMidwest Corporation 263 Carson Bancorporation, Inc 922 Banco Occidental, S.A 186 Carter Lake Investment Co 103 Bancorp of Huntingdon, Inc 869 Cary-Grove Bancorp, Inc 726 BancShares Corporation 869 Cass County State Company 263 Bancshares of New Jersey, Inc 589 Cedar Linn Investment Co 807 Bank Leumi Le-Israel B.M 62, 362, 635 Celina Bancorp, Inc 807 Bank Securities, Inc 868 Cen-La Bancshares, Inc 589 Bank Shares, Inc 353 Centennial Bancshares, Inc 640 Banks of Iowa, Inc 523 Centinel Bank Shares, Inc 456 Bankstock Two, Inc 369 Central Bancorp, Inc 639 Bannen Banks of Florida, Inc 640 Central Bancorporation, Inc., Cincinnati, OH 639 Bantex Bancshares, Inc 103 Central Bancorporation, Inc., Denver, CO 103 Barnett Banks of Florida, Inc 102 Central Bancorporation, Inc., Newport, MN 263 Batavia Banc Corporation 180 Central Bank Shares, Inc 807 Beardsley Bancshares, Inc 369 Central Banking Company 869 Bell Tower Financial, Incorporated 589 Central Nebraska Bankshares, Inc 103 Belle Plaine Service Corp 744 Central Oklahoma Bancshares, Inc 103 Benz Holding Company 263 Central Wisconsin Bankshares, Inc 807 Binger Agency, Inc 640 Century Holding Corporation 640 Blakely Investment Company 806 Chadwick Bancshares, Inc 103 Blythedale Bancshares, Inc 103 Chaffee Bancorporation, Inc 869 Boatmen's Bancshares, Inc 263, 640 Charter Bancorporation, Inc 865 Boelus Investment Co 263 Chemical Bank 810 Bokchito Bancshares, Inc 640 Chemical Financial Corporation 922 Bonstate Bancshares, Inc 640 Chester State Bancshares, Inc 640 Boone Bancorp, Inc 523 Childress Bancshares, Inc 189 Boone Bancorporation, Inc 640 Chimney Rock Bancorp 103 Borresen Investment, Inc 189 Chisholm Trail Financial Corp 456 Bostates Investment Co 865 Chittenden Corporation 263 Bosworth Bancshares, Inc 922 Choctaw Bancorp, Inc 189 Bourbon Bancshares, Inc 922 Chugwater Corporation 743 Bradford Bancorp, Inc 922 Citicorp 181,443,740,872 Bradley Corporation 744 Citizens Bancorporation 589 Braman Bancshares, Inc 640 Citizens Bancshares Corporation 807 Brenton, Banks Inc 744 Citizens Banking Corporation 523 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Index to Volume 67 A83 Pages Pages Bank Holding Company Act—Continued Bank Holding Company Act—Continued Orders issued—Cont. Orders issued—Cont. Citizens Deposit Bancshares, Inc 640 Culbertson Ban Corp 641 Citizens Financial Corporation 869 Cumberland Bancorp, Inc 869 Citizens Financial Services, Inc 744 Dai-Ichi Kangyo Bank, Ltd 872 Citizens Greenville Bancshares, Inc 523 Daingerfield Bancshares, Inc 264 Citizens Holding Company 103 Dakota Bancshares, Inc 922 Citizens Holding Corporation 641 Dakota Bank Holding Co 745 Citizens National Bancshares, Inc 641 Dakota Bankshares, Inc 754, 922 Citizens State Bankshares of Bald Knob, Inc 641 Dakota County Bancshares, Inc 434, 869 City Bancshares, Inc 744 Dale Hollow Holding Company 922 City Voting Trust 45 Dalhart Bancshares, Inc 807 Clara City Bancorporation, Inc 103 Darrouzett Bancshares, Inc 369 Clayton Bancshares, Inc 371 Decatur Agency Company 344 Cleghorn Financial, Inc 922 Delhi Bancshares, Inc 458 Clement Bancshares, Inc 103 Denver City Bancshares, Inc 189 Clifford Bancshares, Inc 926 Derby Bancshares, Inc 103 Clint Banc Corp 807 Detroitbank Corporation 508, 632 Clinton Bancshares, Inc 869 Deutsche Bank AG 449 Cokato Bancshares, Inc 263 De Witt Bancorp, Inc 457 Colbert Bancshares, Inc 456 Dritter Financial Corporation 369 Colfax Bancorporation 46 East Texas Bancshares, Inc 523 Colonial Banc Corp 868 Eaton Capital Corporation 590 Colonial Bancorporation 456 Echo Bancshares, Inc 189 Colorado National Bancshares, Inc 189 Eden Bank Holding Company, Inc 641 Columbine Valley Corporation 589 Educators Investment Company of Kansas 865 Columbus Corp 103 Elgin Bancshares, Inc 190 Commerce Bancorporation, Inc 103 Elgin National Bancorp 796 Commerce Bancshares, Inc 807 Elk County Bancshares, Inc 922 Commerce BancShares of Wyoming, Inc 456 Elk Grove Bancorp, Inc 726 Commerce Group, Inc 868, 869 Elk Valley Bancshares, Inc 922 Commerce Group Grand Island, Inc 868 Ellco Bancshares, Inc 926 Commerce Group Hastings, Inc 868 Ellis Banking Corporation 923 Commerce Group Kearney, Inc 865, 868 El Paso National Corporation 643 Commerce Group North Platte, Inc 868 El Pueblo Bancorporation 435 Commerce Group West Point, Inc 868 Elston Corporation 190 Commerce Southwest Inc 189, 264, 641 Emerson First National Company 344, 745 Commercial Banc-Corp 47 Emory Bancshares, Inc 869 Commercial Bancshares, Inc., Champaign, IL 457 Equality Bancshares, Inc 523 Commercial Bancshares, Inc., Tulsa, OK 745 Erick Bancorporation, Inc 103 Commercial Bancshares, Inc 922 Etowa Bancing Company 190 Commercial Security Bancorporation 369, 728 European American Bancorp 525 Commonwealth Bancshares, Inc 369 Everly Bancorporation 190 Community Bancshares, Inc 523 Exchange Holding, Inc 369 Community Banks, Inc 589 Executive Banking Corporation 921 Compagnie de Gestion Belgo-Luxembourgeoise, F & M Holding Company 190 S.A 186 F.G.B. Holding Corporation 737 Conifer Group, Inc 447 FNB Financial Services, Inc 369 Connecticut River Bancorp, Inc 189 Fall River Bankshares, Inc 641 Consolidated Bancorp, Inc 369 Faribault Bankshares, Inc 457 Consolidated Bancshares, Inc 589 Farmers & Stockmens Bancorporation 104 Continental Illinois Corporation 525 Farmers Bancshares, Inc 104 Continental National Bancshares, Inc 807 Farmers Investment Company, Inc 926 Conway Bancshares, Inc 641 Farmers State Bankshares, Inc 590 Copperas Cove Bancshares, Inc 641 Federated Bancshares, Inc 190 Coronado, Inc 926 Fidelity Corp 807 Country Hill Bancshares, Inc 589 Fifth Third Bancorp 190 County National Bancorporation 807, 912 Finance Ohio Company 104 Covington First State Bancshares, Inc 103 Financial Bancshares Company 189 Cozad Elevators, Inc 641 Financial Bancshares, Inc 523 Credit and Commerce American Holdings, N.V... 737 Financial Dominion of Indiana Corporation 923 Credit and Commerce American Investment, Financial Growth Systems, Inc 264 B.V 737 Financial Security Corporation 104 Cross Town Holding Company 588 Financial Services of Winger 346 Crown Bancshares, Inc 589 Finlayson Bancshares, Inc 264 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A84 Federal Reserve Bulletin • December 1981 Pages Pages Bank Holding Company Act—Continued Bank Holding Company Act—Continued Orders issued—Cont. Orders issued—Cont. First Abilene Bankshares, Inc 590 First National Bancorporation, Inc 524 First American Bancshares, Inc 457 First National Bancshares, Inc 923 First American Bank Corporation 797 First National Bank of Palm Beach, Incorporated . 104 First American Corporation 188 First National Boston Bancorporation 253, 576 First Arkadelphia Bankshares, Inc 641 First National Charter Corporation 807 First Baird Bancshares, Inc 523 First National Cincinnati Corporation 921 First Banc Group, Inc 104 First National Financial Corp. of Martinsville 264 First Banc of Indiana Holding Company, Inc 457 First National Holding Company 923 First Bancorp of N. H., Inc 457, 869 First New Mexico Bankshare Corporation 264 First Bancorp of War, Inc 264 First Nocona Bancshares, Inc 457 First Bancorporation of Ohio 799 First Northbrook Bancorp, Inc 869 First Bancshares of Louisiana, Inc 457 First of Austin Bancshares, Inc 264 First Bancshares of Muskogee, Inc 104 First of Huron Corp 524 First Bancshares of Seguin, Inc 590 First of Searcy, Inc 369 First Bank Holding Company of Batesville 347 First of Waverly Corporation 923 First Bankers Corporation of Florida 805, 921 First Ogallala Investment, Inc 870 First Bellevue Bancshares, Co 457 First Oklahoma National Corporation 104 First Blackwell Bancshares 369 First Peoples Bancorp, Inc 264 First Breck Holding Company 104 First Picher Bancshares, Inc 524 First Broken Arrow Corporation 590 First Pioneer Bank Corp 807 First Canadian Bancorp, Inc 523 First Porter Bancshares, Inc 923 First Carthage Corporation 104 First Prairie Corp 870 First Cary-Grove Corporation 523 First Russellville Bankstock, Inc 870 First Chattanooga Corporation 104 First Security Bancshares, Inc 639 First Citizens Bancshares, Inc 190 First South Bankcorp 524 First City Bancorporation of Texas, First Southeast Banking Corporation 350 Inc 188, 262, 803, 806, 921 First Southern Bancshares, Inc 190 First City Financial Corporation 869 First Southwest Corporation 870 First City Holding Corporation 457 First State Bancorporation, Tiptonville, TN 264 First Clarion Bancorporation 522 First State Bancorporation, Tuscaloosa, AL 923 First Community Bancorporation 348 First State Bancorporation of Watonga, Inc 104 First Community Bancshares, Inc 264 First State Bancshares, Inc 590 First Davis Bancorporation, Inc 104 First State Corporation 369 First Dekalb Bancshares, Inc 523 First State Financial Corporation, East Detroit, MI. 923 First Delta Corporation 524 First State Financial Corporation, Larned, KS 807 First Deposit Bancshares, Inc 923 First State Holding Company, Inc 802 First Dodge City Bancshares, Inc 800 First State Holding Company of Prescott 190 First Eastex Bancshares, Inc 590 First Tuscumbia Corporation 923 First Enid, Inc 807 First Union Bancorporation 262, 515 First Equity Bancshares, Inc 869 First Union Corporation 63 First Etowah Bancorp Inc 869 First United Bancorporation, Inc 190, 923 First Fairfield Bankshares, Inc 745 First United Bancshares, Inc 370 First Financial Bancorporation, Inc 807 First United, Inc 190 First Financial Bancshares, Inc 807 First University Corporation 807 First Florida Banks, Inc 590 First Virginia Banks, Inc 870 First Fordyce Bancshares, Inc 923 First Western Bancorporation 104 First Glen Bancorp, Inc 524 First York Bancorp 643 First Granbury Bancorporation 264 Firstbank Holding Company of Colorado 743 First Healdton Bancorporation, Inc 745 Firstsub, Inc 262 First International Bancshares, Fischer Corporation 456 Inc 368, 456, 640, 743, 868 Flagler Bankshares, Inc 870 First Jefferson Corporation 745 Flora Financial Corporation 592 First Jenks Bancorporation, Incorporated 104 Florida Coast Banks, Inc 183 First Jersey National Corporation 457, 524 Fort Cobb Bancshares, Inc 524 First Kansas BancGroup, Inc 369 Fort Gibson Bancshares, Inc 745 First Lincolnwood Corp 510 Founders Bancorporation, Inc 808 First Luther Bancorporation, Inc 923 Fox Valley Bancorp, Inc 524 First Marlow Bancshares, Inc 457 Franklin Bancorp, Inc 745 First Maryland Bancorp 579 Freeborn Financial Services, Inc 809 First Medicine Lodge Bancshares, Inc 264 Freeport Bancshares, Inc 457 First Miami Bancshares, Inc 104 Fremont Bancshares, Inc 865 First Missouri Banks, Inc 914 Fremont First National Co 865 First National Bancorp 190 GNB Bancorporation 745 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Index to Volume 67 A85 Pages Pages Bank Holding Company Act—Continued Bank Holding Company Act—Continued Orders issued—Cont. Orders issued—Cont. GRP, Inc 870 Independent Bankshares Corporation 641 G.W.B. Company, B.V 368 Industrial Bancshares, Inc 641 G.W.B. Holding Company 368 Intercontinental Bank Holding Company 806 G.W. Bancorp, Inc 641 Intercounty Bancshares, Inc 457 Galena Bancorp, Inc 870 International Bank-Holding Co. N.V 806 Gay lord Bancshares, Inc 870 Investment Corporation of America, Inc 584, 865 Geary Bancshares, Inc 923 Inwood Bancorp. Inc 371 Gebsco, Inc 457 Iowa-Grant Bancshares, Inc 265 Geiger Corporation 104 Irwin Union Corporation 459 Genesco Bancshares, Inc 264 J & L Bancorporation, Inc 370 Geneva Bancshares, Inc 808 JCT Trust Company Limited 362, 635 Georgia Bancshares, Inc 190 J. P. Morgan & Co., Incorporated 917 Gibbon Exchange Company 525 J. R. Montgomery Bancorporation 865 Gilpin County Bancshares, Inc 923 Jacinto City Bancshares, Inc 808 Girard Company 916 James B. Chambers Memorial 865 Golden Summit Corporation 190 James Madison Limited 370 Good Thunder Bancshares, Inc 590 Jayhawk Bancshares, Inc 370 Grant S. Clark Investment Company 641 Jeflferies Insurance Agency, Inc 745 Gray Bancorp 370 Jefferson Bancorp, Inc 924 Great Plains Bank Corporation 104 Jefferson County Bancorp, Inc 860 Great Western Financial Services, Inc 105 Jersey Village Bancshares, Inc 190 Green City Bancshares, Inc 105 Johnson Bancshares, Inc 808 Green Investment Co 744 K.B.J. Enterprises, Inc 641 Grimes County Capital Corporation 870 Kansas Bancshares, Inc 642 Griswold State Bancshares, Inc 456 Kavanaugh Bancshares, Inc 745 Grove Bancshares, Inc 641 Keewatin Bancorporation, Inc 524 Guaranty Bancorp 590 Kellett, N. V 452 Guaranty Capital Corporation 923 Kellonto Bankshares Corporation 870 Guaranty Securities Corporation 102 Kimball Bancshares, Inc 642 Guardian Bancorp, Inc 105 King Bancshares, Inc 590 Guardian Banks Financial Corp 264 Kingman County Financial Corp 590 Gulf Coast Bancshares, Inc 265 Lac Qui Parle BanCorporation, Inc 642 Gulfstream Banks, Inc 745 Lafarge Bancorp. Inc 370 Gunnison Bank Holding Corporation 641 Lafourche Bancshares, Inc 590 Guthrie County Investment Co 457 Lake Area Bancshares, Inc 808 HSBC Holdings, B. V 452 Lakeland Bancshares, Inc 524 Hancock Bancshares Corporation 923 Lakeville Financial Services, Inc 524 Hardeman County Investment Company, Inc 923 Landmark Bancshares Corporation 642, 924 Hardin County Bancorporation 190 Lasalle National Corporation 870 Harrisburg Bancshares, Inc 105 Leavcorp, Inc 524 Harrisonville Bancshares, Inc 590 Lee County Bancorp, Inc 590 Hartman Bancshares, Inc 641 Leitchfield Deposit Bancshares, Inc 592 Harvard Tower Holding Corporation 590 Leland National Bancorp, Inc 808 Hawkeye Bancorporation 265, 590, 870 Liberty Bancorporation, Inc 870 Henry County Bancorp, Inc 265 Liberty Bancshares, Inc 745 Heritage Financial Corporation 370 Lincoln State Company, Inc 924 Heritage Racine Corporation 184 Live Oak Bancshares Corporation 457 Heritage Wisconsin Corporation 257 Lorenzo Bancshares, Inc 590 Hernando Banking Corporation 870 Lyon Bancorp, Inc 642 Highland Ban-Corp. Inc 190 Lytton Bancorporation 745 Hoffman Bancorp 726 McCamey Bancshares, Inc 457 Holmes County Capital Corporation 923 McLean Bank Holding Company 870 Holyrood Bancshares, Inc 870 Madison Lake Bancorporation, Inc 457 Hongkong and Shanghai Banking Corporation 452 Mangum Bancshares, Inc 924 Howe Financial Corporation 641 Mansfield Bancshares, Inc 924 Hull State Bancshares, Inc 457 Manufacturers Bancorp, Inc 590 Huntington Bancshares Incorporated 924 Marine Midland Banks, Inc 452 Hutsonville Bank Corp 48 Marine National Bancorporation 354 I.C.B. Holding, N.V 806 Mark Twain Bancshares, Inc 458 Illinois Center Bancorporation, Inc 808 Marshall Bancshares, Inc 870 Independence Bank Group, Inc 924 Maryland National Corporation 644 Independent Bank Corporation 190, 436 Mathes Bancshares, Inc 643 Independent Bank Holding Company 743 Mauston Bancorp, Inc 642 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A86 Federal Reserve Bulletin • December 1981 Pages Pages Bank Holding Company Act—Continued Bank Holding Company Act—Continued Orders issued—Cont. Orders issued—Cont. Maynard Bancshares, Inc 870 Northwest Bancorporation 511, 804 Meadows Bancorp, Inc 726 Northwest Bancorporation of Arkansas, Inc 924 Meeker Bancshares, Inc 642 Northwest Bancshares of Louisiana, Inc 924 Mercantile Bancorporation Inc 190, 355, 370, 921 Northwest Funding, Inc 642 Mercantile Bankshares Corporation 522, 806 Northwest Georgia Bankshares, Inc 924 Mercantile Texas Corporation 806 Nortonville Bancshares, Inc 592 Mercer Bancorp, Inc 745 Oak Hill Financial, Inc 458 Merchants Capital Corporation 924 Ohio Citizens Bancorp, Inc 458 Merchants Corporation 865 Old Kent Financial Corporation 458, 924 Merchants Financial Corporation 265 Olivia Bancorporation, Inc 591 Mesa Bancorp 642 One Valley Bancorp of West Virginia, Metcalf Bancshares, Inc 870 Inc 591 Metro Bancorp, Inc 590 Oppegard Agency, Inc 809 Metro Bancshares, Inc 191 Orange County Banking Corp 808 Metro Bank Corp 368 Orchard Valley Financial Corp 524 Metro Shares, Inc 808 Orient Bancorporation 191 Metropolitan Bancorporation 191 Osage Bank Services, Inc 370 Metropolitan Bancorporation, Inc 263 Otto Bremer Foundation 522 Michigan Financial Corporation 924 Otzar Hityashvuth Hayehudim B.M 362, 635 Michigan National Corporation 191, 745 Overton Bancshares, Inc 871 Middle Georgia Corporation 265 Oxford Bankshares, Inc 642 Middle River Bancshares, Inc 191 Ozark Bankshares, Inc 925 Midland Bank, Limited 511, 729 PTD Bancorp., Inc 191 Midlands Corporation 808 Packwood Financial, Inc 810 Mid-Nebraska Bancshares, Inc 359 Pacwest Bancorp and Citizens Bank Purchase Midwest Bancorp 642 Company 370 Midwest National Corporation 871 Pagosa Springs Holding Company 591 Milan Agency, Inc 926 Palos Bancshares, Inc 746 Montana Bancsystem, Inc 49 Pan American Banks, Inc 925 Montfort Bancorporation, Inc 265 Parmer County Financial Corporation 746 Montgomery County Bancshares, Inc 808 Pawnee Bancshares, Inc 458 Montgomery County Financial Corporation 458 Pedernales Investment Corporation 458 Montrose Savings Bancshares, Inc 871 Peoples Ban Corporation 371 Moorcroft Corporation 743 Peoples Bancorp of Sandy Hook, Inc 925 Morgan Bancorporation, Inc 924 Peoples Bancshares, Inc., Colorado Springs, CO.. 265 Moultrie Bancorp, Inc 642 Peoples Bancshares, Inc., Lebanon, TN 808 Mountain Valley Bankshares, Inc 745 Peoples Bancshares, Inc., Pell City, AL 524 Multi-Line, Inc 51,590 Peoples Banking Corporation 591 Mulvane Bankshares, Inc 191 Peoples Bankshares, Ltd 746 Munich Bancshares, Inc 924 Peoples Corporation 925 Mustang Community Ban Corp 745 Peoples First National Bancshares, Inc 642 Myers Bancshares, Inc 924 Peoples Holding Company, Inc 925 NBC Bancshares, Inc 264 Peoples Investment Corporation 642 National Bancshares Corporation of Texas 524 Perham State Bancshares 524 National Bank of Canada 522 Permian Financial Corporation 808 National City Bancorporation 745 Perry Bancshares, Inc 746 National City Corporation 52 Persons Banking Company, Inc 458 National Detroit Corporation 440 Philadelphia National Corporation 525 Nebanco, Inc 808 Piedmont Bankgroup Incorporated 370 New England Merchants Company, Inc 734 Pike Bancorp, Inc 524 New Lenox Holding Company 924 Pike Bancshares, Inc 191 New Mexico Banquest Corporation 871 Pikes Peak National Company 458 New Salem Bancorporation, Inc 191 Pine City Bancorporation, Inc 871 Newcastle Corporation 743 Plains Corporation 925 Niceville Bankshares 524 Planters Holding Company 191 North Central Bancorporation 524 Platte Valley Bancorp, Inc 65 North Fork Bancorporation, Inc 745 Platteville Capital Corporation 746 North Platte Corporation 921 Plaza Commerce Bancorp 871 North Texas Bancshares, Inc 591 Poplar Bluff Bancshares, Inc 808 Northern Bancshares, Inc 191 Port Gibson Capital Corporation 925 Northern National Corporation 591 Port Neches Bancshares, Inc 746 Northshore Bancshares, Inc 591 Portis Bancorporation, Inc 871 Northwest Bancorp 924 Prairieland Bancorp., Inc 925 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Index to Volume 67 A87 Pages Pages Bank Holding Company Act—Continued Bank Holding Company Act—Continued Orders issued—Cont. Orders issued—Cont. Prescott State Bank Holding Company, Inc 871 Southern Bancshares, Inc 458 Preston Bancshares, Inc 871 Southern Indiana Bancorp, Inc 265 Protection Bank Holding Company, Inc 925 Southwest Bancorp 371 Provident National Corporation 744 Southwest Bancorp, Inc 871 Puget Sound Bancorp 746 Southwest Bancorporation, Inc 746 Quitman Bancshares, Inc 591 Southwest Bancshares, Inc 263, 368, Rainsville Holding Company 642 588, 743, 806 Rawlins Bancshares, Inc 925 Southwest Florida Banks, Inc 746 Reagan Bancshares, Inc 808 Southwest Independent Bancorp, Inc 871 Red Oak Bancshares, Inc., Red Oak, OK 808 Spencer Bancorporation, Inc 925 Red Oak Bancshares, Inc., Red Oak, TX 524 State Bancshares of Ulen, Inc 808 Remer Bancorporation, Inc 591 State Exchange Bancshares, Inc 809 Republic Bancorporation, Inc 66 State Street Boston Corporation 862 Republic Bancshares Steele Bancorp 591 Corporation 591 Steuben Financial Corp 925 Republic of Texas Corporation 57, 191, 370 Strong City Banco, Inc 191 Rice Lake Bancorp, Inc 522 Subpal Bancorp, Inc 727 Ridgway Bancorp, Inc 871 Suburban Bancorp, Inc 727 Riggs National Corporation 368 Suburban Bancorporation, Inc 871 Rio Grande Bancorp, Inc 925 Suburban Bankshares, Inc 871 Rio Grande Bancshares, Inc 808 Sugarland Bancshares, Inc 642 Rio Grande City Bancshares, Inc 642 Sulphur Community Bancshares, Inc 925 Royalton Bancshares, Inc 642 Summit Bancorporation 192 Rupp Bancshares, Inc 808 Sweet Springs Bancshares, Inc 192 Ruston Bancshares, Inc 591 Sweetwater Valley Corp 642 S.T.D. Investments, Inc 871 Syracuse Financial Company 872 Sahara Bancorp, Inc 191 TBK-Inversiones, S.A 186 St. Croix Banco, Inc 370 T. N. B. Financial Corporation 734 St. Joseph Bancorporation, Inc 643 Tahoka First Bancorp, Inc 808 Salem National Bancorporation, Inc 591 Taney County Bancorporation, Inc 514 San Saba National Corporation 578 Tecamah Agency Company 344 Savannah Bancshares, Inc 191 Texas American Bancshares, Inc. .. 589, 743, 806, 921 Scandia American Bancorporation, Inc 871 Texas Commerce Bancshares, Inc 370, 441, Schertz Bancshares Corporation 191 591, 746, 925 Schrage Ltd 871 Texplaza Bancshares, Inc 642 Seafirst Corporation 68, 517 Thomas County Bankshares, Inc 743 Security Bancorp 871 Tokai Bank, Limited 872 Security Bancorp, Inc 919 Tomball Bancshares, Inc 525 Security Bancorporation, Inc 265 Town and Country Bancshares, Inc 872 Security BancShares of Montana, Inc 525 Tri City Bankshares Corporation 872 Security Holding Company 591 Tri-County Bancorp 192 Security National Corporation 746 Troy Bancorp, Inc 746 Security Pacific Corporation 637 Twin Cities Financial Services, Inc 746 Security Richland Bancorporation 871 U.S. Bancorp 60 Security State Holding Company 191 USTCorp 926 Service Bancshares, Limited 871 Union Bancshares, Incorporated' 192 Shattuck Bancshares, Inc 746 Union Bank Corporation 192 Shawmut Corporation 746 Union de Inversion Mobiliaria, S.A 186 Shawneetown Bancorp, Inc 746 Union Holding Company 642 Shelbyville Bancshares, Inc 588 Union Planters Corporation 746 Sherburn Bancshares, Inc 746 United Bancorporation of New York 358, 639 Sheridan Bancorp, Inc 746 United Bancorporation of Wyoming, Inc 808 Shidler Bancshares, Inc 591 United Bancshares, Inc 525 Societe Generale 453 United Bank Corporation 925 Society Corporation 370, 746 United Bank Corporation of New York 861 South Dakota Bancshares, Inc 191 United Banks of Colorado, Inc 192 South First National Corporation 458 United Banks of Wisconsin, Inc 265 South Georgia Bankshares, Inc 191 United Central Bancshares, Inc 643 South Texas Bancshares, Inc 458 United Kansas Bank Group, Inc 925 Southeast Banking Corporation 926 United Mercantile Bancshares, Inc 192 Southeast Capital Corporation 265 United Texas Financial Corporation 525 Southeast Financial Bankstock Corporation 588 Utah Bancorporation 522, 921 Southern Bancorporation of Alabama 642 V & V Holding Company 747 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A88 Federal Reserve Bulletin • December 1981 Pages Pages Bank Holding Company Act—Continued Bank Holding Company Tax Act of 1976—Continued Orders issued—Cont. Certifications issued under—Cont. Valders Bancorporation 370 National Insurance Agency, Inc 521 Valley Bancorporation 370 Noble Bancshares, Inc 587 Valley Bancshares, Inc 926 Northwestern Financial Corporation 85 Valley Bank Holding Company 265 Parker Insurance Agency Incorporated 86 Valley National Corporation 459 Patagonia Corporation 87 Valley View Bancshares, Inc 643 Peoples Bancorp, Inc 88 Veblen Insurance Company, Inc 525 Republic of Texas Corporation 89 Verdigre State Company •. 591 Safeway Insurance Company 90 Walker Ban Co 591 Sloan State Corporation 91 Warner Bancorp, Inc 808 Southeastern Capital Corporation 520 Warren Bancorp, Inc 370 Southern National Corporation 92 Warren Bancshares, Inc 872 Steego Corporation 84 Washington Bancorp, Inc 872 Strachan Construction Company, Inc 260 Washita Bancshares, Inc 808 Tri-State Investment Corporation 93 Waunakee Bank Shares, Inc 926 Twin Valley Agency, Inc 95 Weatherford Bancshares, Inc 370 University Bancorp, Inc 96 Welch Bancshares, Inc 370 Bank lending practices, 1979-81, article 671 Welcome Bancshares, Inc 458 Bank lending to developing countries, article 647 Weldon Bancshares, Inc 265 Bank Merger Act West Gate Bancshares, Inc 371 Orders issued under West Point Bancorp, Inc 926 American Bank of Commerce, Albuquerque, NM . 261 Westbrook Bancshares, Inc 192 Central Bank of Birmingham, Birmingham, AL ... 927 Western Bancshares of Las Cruces, Inc 808 Central Trust Company Rochester N.Y., Roches- Western Kentucky Bancshares, Inc 741 ter, NY 644 Westex Bancorp, Inc 642, 746 Exchange Bank and Trust Company of Florida, Wheatland Bancorporation 808 Tampa, FL 371 Wilbur State Company 642 Fidelity Union Trust Company, Newark, NJ 371 Willmar Bancorporation, Inc 188 First Virginia Bank-Alleghany, Covington, VA.... 873 Wilmont Bankshares, Inc 808 First Virginia Bank-Colonial, Richmond, VA 459 Wilshire Bancshares, Inc 872 First Virginia Bank of Roanoke Valley, Roanoke, Winthrop Bancshares, Inc 591 VA 526 Wolf Point Bancorporation, Inc 926 GSB Bank, Gaylord, MI 526 Wood Lake Bancorporation 592 Harter Bank & Trust Company, Canton, OH 371 Woodfield Bancorp, Inc 727 Isabella Bank and Trust, Mount Pleasant, MI 866 Woodland Bancorp, Inc 592 Miles State Bank, St. Michaels, MD 526 Worcester Bancorp, Inc 862 Mimbres Valley Bank, Deming, NM 873 Wyatt Bancorp, Inc 872 Suisse State Bank, Forest Hill, MD 526 Wynne wood Bancshares, Inc 926 United Virginia Bank, Richmond, VA 644 Wyoming Bancorporation 746 Bank mergers and acquisitions during 1970s, staff study . 607 Wyoming National Corporation 633 Bank Secrecy Act, statements 620, 781 Ysleta Bancshares, Inc 872 Bankers acceptances, amendment of Regulation K .... 342 Zappco, Inc 525 Banking system, statement 419 Bank Holding Company Tax Act of 1976 Banks, small, article on financial performance, 1977-80 . 480 Certifications issued under Barksdale, Clarence C., elected Class A director, Aarestad Farm Products, Inc 69 St. Louis 381 Adams Affiliates, Inc 73 Barnes, J. David, elected Class A director, Cleveland . 375 American General Corporation 258 Baute, Joseph A., elected Class B director, Boston ... 373 Archer Company 70 Beardsley, Bruce M., appointed Deputy Director, Divi- Baldwin-United Corporation 71 sion of Data Processing 432 Catlan Corporation 72 Blach, Harold B., Jr., elected Class B director, Atlanta . 378 Central States Investment Company 73 Black, Uyless D., appointed Associate Director, Divi- Conlon-Moore Corporation 74 sion of Data Processing 432 Criss Concrete Company, Inc 75 Bleier, Michael E., appointed Assistant General Coun- Frank J. Eicher Company, Inc 76 sel 146 Gammino Realty Company, Inc 77 Board of Governors (See also Federal Reserve System) Gilmanton Company 78 Annual Report 496 H. Pat Henson Company 79 Fees for Federal Reserve services to depository insti- Homewood Corporation 259 tutions 23, 247-52, 305-09, 626-28, 854 Houston Corporation 80 Financial developments, domestic (See Statements to How-Win Development Co 81 Congress) Investment Corporation of America, Inc 587 Interpretations (See Interpretations) Midwest Bancorporation, Inc 81 Litigation (See Litigation) Midwestern Fidelity Corporation 82 Members and officers A70 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Index to Volume 67 A89 Pages Pages Board of Governors—Continued Capital, bank, broadened definition 901 Publications and releases (See Publications) Capacity utilization rates, revision 787 Regulations (See Regulations) Capital formation, publication, and article on Rules (See Rules) study 247, 749 Staff changes Check clearing and collection (See Transfers of funds) Allison, Theodore E 146 Cleaver, Joe M., appointed Assistant Director, Division Beardsley, Bruce M 432 of Research and Statistics 147 Black, Uyless D 432 Cleveland, William P., article 875 Bleier, Michael E 146 Cohen, Eugene E., appointed director, Miami Branch . 379 Bradfield, Michael 496 Cole, Anthony F., appointed Special Assistant to Board Brown, Maryellen A 146 for Congressional Liaison 147 Cleaver, Joe M 147 Cole, Roger T., article 480 Cole, Anthony F 147 Commercial banks (See also Member banks) Downing, Theodore E., Jr 787 Foreign banks (See Foreign banks) Enzler, Jared J 146 Insured, article on profitability 657 Farnsworth, Clyde H., Jr 146 Commercial paper, policy statement on sale by state Frazier, Robert E 628 member banks 494 Green, Richard B 432 Commodity Futures Trading Commission, statement on Hamilton, Earl G., 904 study compiled by 778 Henderson, Dale W 563 Community Reinvestment Act, progress report 813 Henry, George B 496 Conrad, William E., article 749 Hillerman, Neal H 432 Consumer Advisory Council 309, 495, 529, 563, 786 Hurley, Cornelius K., Jr 147, 628 Consumer leasing, issuance of Regulation M and pro- Keir, Peter M 904 posed staff commentary 302, 786 Kline, Don E 904 Cornyn, Anthony G., article 473 Kohn, Donald L 147 Corporations, U.S., statement on margin credit regula- Lindsey, David E 147 tions on foreign acquisitions 241 McEntee, Elliott C 432 Corrick, Ernest B., appointed director, Helena Branch.. 383 McNeill, Charles R 563 Corrigan, E. Gerald, statement 778 Maloni, William Robert 147 Credit (See also Loans) Manies, David Michael 310, 787 Brokers and dealers (See Regulations: T) Mattingly, J. Virgil, Jr 146 Cash Discount Act (See Legislation) Meeder, Lorin S 432 Federally assisted, statements 424, 845, 895 Mingo, John J 147 Interest rates (See Interest on deposits) Petersen, Neal L 496 Margin credit regulations, statement 241 Promisel, Larry J 563 Price, statement on impact of federal deficits 832 Ring, P. Donald 432 Reserve requirements (See Regulations: D) Schleicher, C. William, Jr 432 Stocks (See Stock market) Schwartz, Gilbert T 146 Cross, Sam Y., reports 687, 888 Shafer, Jeffrey R 147 Slifman, Lawrence 147 Stull, James L 147 DEPOSITORY institutions Teed, Raymond L 432, 628 Credit extended by Reserve Banks (See Regulations: Wiles, William W 563 A) Staff studies (See Staff studies) Examination process, statement 490 Statements and reports to Congress (See Statements Nonmember, deferrals of reserve requireto Congress) ments 430, 856 Bradfield, Michael, appointed General Counsel 496 Proposed legislation, statements 775, 835 Branch banks Reserve requirements (See Regulations: D) Federal Reserve Small, Board actions on reporting by 25 Directors (See Directors) Depository Institutions Deregulation Committee Vice Presidents in charge, list A73 Rules, amendments 44, 343 Member banks, foreign branches Technical amendments to Regulation Q to incorporate Assets and liabilities 902 committee rules 176 Bankers acceptances issued by, amendment of Deposits Regulations K and Y 342 Interest on deposits (See Regulations: Q) Brown, Maryellen A., appointed Assistant to General Negotiable order of withdrawal accounts 785, 795 Counsel 146 Reserve requirements (See Regulations: D) Budgetary policy, U.S., statement 293 de Windt, E.M., elected Class B director, Business, small, statement 297 Cleveland 375 Directors Federal Reserve Banks CAMPBELL, Gordon W., appointed director, Jackson- Chairmen and Federal Reserve Agents 373, A73 ville Branch 378 Deputy Chairmen 373, A73 Canner, Glen, article 813 List 373 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A90 Federal Reserve Bulletin • December 1981 Pages Pages Directors—Continued Federal Reserve Banks—Continued Federal Reserve branch banks Directors (See Directors) Chairmen and Deputy Chairmen 373, A73 Discount rates (See Interest rates) List 373 Earnings and expenses . 24 Discount rates at Reserve Banks (See Interest rates) Minneapolis, statement by president 778 Dividends Presidents and Vice Presidents A73 Federal Reserve Banks 24 Transfers of funds (See Transfers of funds) Insured commercial banks, article 657 Federal Reserve Regulatory Service 146, 904 Dod, David P., article 647 Federal Reserve System (See also Board of Governors) Dorton, O.T., appointed director, Cincinnati Branch .. 376 Foreign exchange operations (See Foreign Downing, Theodore E., Jr., temporary appointment as exchange operations) Assistant Secretary of Board 787 Legislation (See Legislation) Drug trafficking (See Bank Secrecy Act) Map A95 Dunn, Leon A., Jr., elected Class B director, Membership, admission of state Richmond 376 banks 148, 252, 310, 496, 563, 628, 711, 857 Finance companies, 1980, survey 398 EARNINGS and expenses Foreign acquisition of U.S. corporations, statement Federal Reserve Banks 24 on margin credit regulations 241 Insured commercial banks, article 657 Foreign banking and financing (See Regulations: K) Economic policy and review of economic situation, Foreign banks statements 135,141,243 International banking facilities (See Regulations: D Economy in 1980, article 1 and Q) Edge Act and Agreement corporations Report forms for 145 International banking facilities (Set Regulations: D Selection of home states 495 and Q) Foreign branches of member banks (See Branch banks) International banking operations (See Regulations: K) Foreign exchange operations of Treasury and Federal Staff study 13 Reserve, reports 209, 486, 687. Electronic fund transfers (See Transfers of funds) Frazier, Robert E., appointed Associate Director, Divi- Enzler, Jared T. sion of Support Services 628 Appointed Senior Deputy Associate Director, Division of Research and Statistics 146 GIANOLI, Albert C., appointed director, Salt Lake Article 749 City Branch 387 Equal Credit Opportunity Act Glassman, James E., article 389 Enforcement by state banks, policy statement 855 Goodrum, Daniel S., appointed director, Miami Branch . 379 Regulation B (See Regulations) 523 Gramley, Lyle E. Employee Retirement Income Security Act 146, 726 Federal deficits, impact on Examination process for banks, statement 490 credit, inflation, and monetary policy, statement .. 832 Export trading companies, statement 233 Interest rates, statement 623 Mergers within financial services industry, statement . 555 FAIR Housing Act, policy statement on enforcement.. 855 Green, Richard B., appointed Assistant Director of Farnsworth, Clyde H., Jr., appointed Director, Division Federal Reserve Bank Operations 432 of Federal Reserve Bank Operations 146 Gregory, Karl D., appointed director, Detroit Branch . 380 Federal Advisory Council A72 Federal Financial Institutions Examination HAKALA, Marcia A., article 529 Council 146,431,855,901 Hamilton, Earl G., appointed Assistant Director, Federal Open Market Committee Division of Federal Reserve Bank Operations 904 Foreign exchange operations (See Foreign Hampton, John C., appointed director, Portland Branch 387 exchange operations) Harrington, Michael J., appointed Class C director, Members and officers, list A72 Boston 374 Minutes, statement 774 Henderson, Dale W., appointed Deputy Associate Di- Policy actions, rector, Division of International Finance 563 record 27, 149, 311, 497, 565, 712, 789, 905 Henry, George B., Associate Director, Division of Federal Reserve Act, orders issued under International Finance, resignation 496 Bankers International Corporation 364 Hill, Samuel R., Jr., appointed director, Birmingham Citibank Overseas Investment Corporation 366 Branch 378 Republic International Bank of New York (California) 454 Hillas, Roger S., elected Class A director, Philadelphia . 375 Federal Reserve and payments system, article 109 Hillerman, Neal H., appointed Assistant Director, Divi- Federal Reserve and Treasury foreign exchange opera- sion of Data Processing 432 tions (See Foreign exchange operations) Hodgdon, Raymond F., article 109 Federal Reserve Banks Houpt, James V., staff study 13 Branches (See Branch banks) Housing (See Real estate) Chairmen and Deputy Chairmen 373, A73 Howell, Paul N., appointed director, Houston Branch . 385 Credit extended by (See Regulations: A) Hower, Frank B., Jr., appointed director, Louisville Delegation by Board of certain authority, Branch 381 amendments to rules and Regu- Hurley, Cornelius K., Jr., appointed Assistant General lation K 39-41, 178, 726, 856, 860 Counsel, and resignation 147, 628 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Index to Volume 67 A91 Pages Pages Hurley, Evelyn M., article. 398 Legislation—Continued Truth in Lending (See Truth in Lending) INCOME and expenses (See Earnings and expenses) Leslie, Henry A., appointed director, Birmingham Branch 378 Industrial production, releases 15, 134. 231, 291, Lindsey, David E., appointed Assistant Director, Divi- 417, 488, 543, 608, 707, 762, 824, 891 sion of Research and Statistics 147 Industrial production index, revision 787 Litigation Inflation, article, and statements 389, 764, 832 Cases pending involving Board of Governors . 108, 192, Insured commercial banks, article on profitability 657 267, 372, 459, 526, 592, 644, 747, 810, 873, 927 Interest on deposits (See also Interest rates) Enforcement proceedings, settlement 147 Changes (See Regulations: Q) Loans (See also Credit) Interest rates (See also Interest on deposits) Bank lending practices, 1979-81, article 671 Federal Reserve Banks, changes . 430, 709, 785, 854, 901 Bank lending to developing countries, article 647 Futures contracts, interpretation 785 Credit life insurance, policy statement on income Statements 618, 623, 767, 826 from sale 431 Interlocking bank relationships 495, 507 Member banks (See Member banks) International banking facilities, amendments to Regula- Mortgages (See Real estate) tions D and Q 23,562,571,912 Stocks (See Stock market) International banking operations (See Regulations: K) International transactions of United States in 1980, McENTEE, Elliott C., appointed Assistant Director, article 269 Division of Federal Reserve Bank Operations 432 Interpretations, Board of Governors McMullan, Paul W., appointed director, New Orleans Federal Reserve Regulatory Service 904 Branch 379 Interest rate futures contracts 785 McNeill, Charles R., Assistant to General Counsel, Investments by U.S. banking organization in foreign retirement 563 company that does business in United States 145 Maloni, William Robert, appointed Special Assistant to Negotiable order of withdrawal accounts .. 431, 785, 795 Board for Congressional Liaison 147 Securities of state member banks 155 Manies, David Michael, temporary appointment as As- Investments sistant Secretary of Board, and return to Reserve Interpretation 145 Bank of Kansas City 310, 787 Organization of Petroleum Exporting Countries, Margin requirements statement 769 Extension, proposed, statement 241 Foreign currency in margin account, amendment to JAMES, John V., appointed Class C director, Dallas.. 384 Regulation T 496, 574 Jenks, George S., appointed director, Denver Branch . 383 Options on government and government agency debt Johnson, Lewis, article 749 issues, amendment to Regulation T 563, 785, 859 Jones, Frank A., Jr., elected Class B director. St. Louis. 381 Over-the-counter stocks, revision of list, and criteria for inclusion 310,787,904 KENDALL, Leon T., elected Class B director, Chicago 380 Proposed amendment of Regulations G and U 563 Keir, Peter M., Assistant to Board, resignation 904 Marquardt, Vern A., elected Class A director, Minne- Kennedy, William H., Jr., appointed director, Little apolis 382 Rock Branch 381 Mattingly, J. Virgil, Jr., appointed Associate General Kiernan, Peter D., elected Class A director, New York . 374 Counsel 146 Kline, Don E., appointed Associate Director, Division Meeder, Lorin S., appointed Associate Director, Diviof Banking Supervision and Regulation 904 sion of Federal Reserve Bank Operations 432 Knoell, William H., appointed Class C director, Cleve- Member banks land 375 Branches (See Branch banks) Kohn, Donald L., appointed Deputy Associate Direc- Credit extended by Reserve Banks (See Regulations: tor, Division of Research and Statistics 147 A) Securities (See Securities) LAKE, Ernest L., appointed director. Pittsburgh State member banks (See State member banks) Branch 376 Mergers (See also Bank Merger Act) Lampton, Leslie B., appointed director. New Orleans Bank, and acquisitions during 1970s, staff study 607 Branch 380 Financial services industry, statement 555 Landis, Robert M., appointed Class C director, Phila- Mingo, John J., Senior Deputy Associate Director, delphia 375 Division of Research and Statistics, resignation 147 Leasing (See Consumer leasing) Mitchell, George W., article on Federal Reserve and Lee, William S. Ill, appointed director, Charlotte payments system 109 Branch 377 Mitchell, Nicholas W., appointed director. Charlotte Legislation (See also Statements to Congress) Branch 377 Bank Holding Company Act (See Bank Holding Com- Monetary aggregates pany Act) Money stock and related series, revision 432, 561 Community Reinvestment Act 813 Seasonal adjustment methods, publication on, and Employee Retirement Income Security Act 146, 726 article 787, 875 Equal Credit Opportunity and Fair Housing Acts ... 855 Monetary control procedure, new, findings and evalua- Federal Reserve Act Federal Reserve Act) tion from Federal Reserve study 277 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A92 Federal Reserve Bulletin • December 1981 Pages Pages Monetary policy Regulations, Board of Governors—Continued Reports to Congress 195, 237, 277, 595 B, Equal Credit Opportunity Statements to Congress .... 17, 141, 243, 293, 297, 610, Compliance costs and benefits, survey 625 613, 832 C, Home Mortgage Disclosure Money market funds, statement 548 Mortgage loan data, amendments 35 Money stock, revisions 432, 539-42, 561 Revision and simplification 145, 625, 720 Mortgages (See Real estate) D, Reserve Requirements of Depository Institutions Murphy, Donald J., appointed director, Omaha Contemporaneous reserve requirements, proposed Branch 384 change 856 Deposits payable outside United States, amend- NAITO, William S., appointed director, Portland ment 507 Branch 386 International banking facilities, Narcotics abuse (See Bank Secrecy Act) amendments 23, 562, 571 Negotiable order of withdrawal accounts, Phasing-in interpretation 431, 785, 795 All institutions with offices in Hawaii, Nonmember depository institutions amendment 911 Reserve requirements, deferral and phase-in... 430, 911 Ne novo institutions, temporary amend- Small, Board actions on reporting by 25 ment 902,911 Time deposits of deferred compensation plans, OPEL, John R., elected Class B director, New York.. 374 amendments 430, 434 Open market operations (See Federal Open Market Transaction accounts or nonpersonal time deposits, Committee) amendments 35 Opper, Barbara Negri, article 657 Depository Institutions Deregulation Committee rules Organization of Petroleum Exporting Companies, state- (See Regulations: Q) ment 769 E, Electronic Fund Transfers Over-the-counter margin stocks (See Stock market) Compliance costs and benefits, survey 625 Repayment of preauthorized overdraft credit, PARDEE, Scott E., reports 209, 486 amendment 26, 155 Partee, J. Charles Staff commentary 786 Bank examination process, statement 490 F, Securities of State Member Banks Margin credit regulations, statement 241 Securities and Exchange Commission regulations, Payments mechanism (See Transfers of funds) amendments to conform with, interpretation, and Penny, statement on introduction of zinc-based technical amendments 155 coin 296 G, Securities Credit by Persons Other Than Banks, Petersen, Neal L., General Counsel, resignation 496 Brokers, or Dealers Pierce, David A., article 875 Margin requirements, proposed amendment 563 Production, industrial (See Industrial production) H, Membership of State Banking Institutions in the Productivity in United States, statement 137 Federal Reserve System Promisel, Larry J., appointed Senior Deputy Associate Transfer agents, amendments 36 Director, Division of International Finance 563 J, Collection of Checks and Other Items Publications in 1981 (including releases) and Wire Transfers of Funds Agricultural Finance Databook—Quarterly Series ... 431 Access to Federal Reserve collection services and Annual Report 496 certain technical changes, amendments 431, 711, 724 Annual Statistical Digest 310, 904 K, International Banking Operations Federal Reserve Regulatory Service 146, 904 Bankers acceptances issued by foreign branches of Foreign banks operating in United States and their member banks, amendment 342 home states, list 495 Capital requirements of Edge corporations, amend- Public Policy and Capital Formation 247, 749 ment 725 Published Interpretations 904 Investments by U.S. banking organization in for- Seasonal Adjustment of the Monetary Aggregates .. 787 eign company that does business in United Pyeatt, Wayne W., appointed director, Memphis States, interpretation 145 Branch 382 Nonbanking activities, amendment and proposed amendment 37, 857 RADDOCK, Richard D., article 117 Prior notification period for certain proposals, Real estate amendment 39 Equal Credit Opportunity and Fair Housing Acts, L, Management Official Interlocks policy statement on enforcement 855 Ruling on exceptions 495, 507 Home mortgage disclosure (See Regulations: C) M, Consumer Leasing Housing finance, article 461 Issuance 302 Regulations, Board of Governors (See also Rules) Staff commentary, proposed 786 A, Extensions of Credit by Federal Reserve Banks P, Minimum Security Devices and Procedure for Administrative guidance for implementing 709 Federal Reserve Banks and State Member Banks Discount rate Reporting requirements, amendments 252, 342 Special circumstances, amendment 709, 795 Q, Interest on Deposits Surcharge, amendments 785, 854, 859, 901 Deposits payable outside U.S. amendment 507 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Index to Volume 67 A93 Pages Pages Regulations, Board of Governors—Continued Securities—Continued Q, Interest on Deposits—Cont. Fees for Federal Reserve services to depository insti- International banking facilities, tutions 626 amendments 23, 562, 571, 912 State member banks Negotiable order of withdrawal accounts, interpre- Securities and Exchange Commission regulations, tation and amendment 431, 785, 795 amendments to Regulation F and interpretation . 155 Rules of Depository Institutions Deregulation Com- Transfer agents, amendment of Regulation H 36 mittee, amendment to incorporate 176 Stocks (See Stock market) T, Credit by Brokers and Dealers Sege, Ronald A., article 389 Collateral, proposed amendment 857 Seiders, David F., article 461 Foreign currency in margin account, amendment to Shafer, Jeffrey R., Deputy Associate Director, Division delete provision permitting 496, 574 of International Finance, resignation 147 Margin requirements for trading options on govern- Silver market in 1979-80, statement on study 778 ment and government agency debt issues, Simpson, Thomas D., article 539 amendment 563, 785, 859 Slifman, Lawrence, appointed Assistant Director, Divi- U, Credit by Banks for the Purpose of Purchasing sion of Research and Statistics 147 or Carrying Margin Stock Small business, statements on effects of monetary poli- Margin requirements, proposed amendment 563 cy and high interest rates 297, 767 Y, Bank Holding Companies and Change in Bank Smith, James F., Jr., appointed director, Nashville Control Branch 379 Nonbanking activities, amendments and proposed Staff studies amendment 37, 563, 626, 629, 857, 902, 912 Bank mergers and acquisitions during 1970s 607 Transfer agents, amendments 36 Banking structure and performance at state level Z, Truth in Lending during 1970s 229 "Arranger" of credit, proposed amendment 857 Edge corporations 13 Compliance costs and benefits, survey 625 Monetary control procedure, new, findings and evalu- Revision, complete, and simplification ... 302, 319-42 ation from Federal Reserve study 277 Staff commentary on simplified State member banks regulation, issuance, and revision .... 495, 786, 902 Capital, broadened definition 901 Regulatory simplification, article 535 Employee Retirement Income Security Act, enforce- Reserve requirements ment by Board 146, 726 Depository institutions (See Regulations: D) Equal Credit Opportunity and Fair Housing Acts, Nonmember depository institutions, deferral... 430, 856 policy statement on enforcement 855 Revisions Interest futures contracts, interpretation 785 Capacity utilization 787 Membership in Federal Reserve System, Industrial production 787 admissions 148, 252, 310, 496, 563, 628, 711, 857 Monetary aggregates and money stock . 432, 539-42, 561 Mergers (See Bank Merger Act) Rhoades, Stephen A., staff study 229, 607 Reporting requirements, amendments to Regu- Ricketts, Thomas, appointed director, Detroit Branch . 380 lation P 252, 342 Ring, P. Donald, appointed Adviser, Division of Federal Sale of commercial paper, policy statement 494 Reserve Bank Operations 432 Sale of credit life insurance, policy statement 431 Rules {See also Regulations) Securities (See Securities) Delegation of authority, Staff study 229 amendments 39, 178, 495, 507, 726, 856, 860 Statements to Congress (including reports) Depository Institutions Deregulation Committee, Agriculture 545, 893 amendments to rules 176 Bank examination process 490 Organization, amendments 42 Bank Secrecy Act 620, 781 Publication including 146,904 Banking system 419 Procedure, amendments 41,180 Budgetary and monetary policy, interrelation- Ryan, John E., statements 620, 781 ships 293 Cash Discount Act 143, 235 Credit, federally assisted 424, 845, 895 SCARBOROUGH, J. Banks, elected Class A director, Depository institutions, proposed legislation... 775, 835 Richmond 376 Economic policy and review of economic Schleicher, C. William, Jr., appointed Assistant Direc- situation 135,141, 243 tor, Division of Data Processing 432 Export trading companies 233 Schultz, Frederick H. Federal deficits, impact on credit, inflation, and mon- Agriculture, statements 545, 893 etary policy 832 Banking system, statement 419 Federal Open Market Committee minutes 774 Federal Open Market Committee minutes, statement . 774 Financial developments, domestic, quarterly reports Small business, statements on effects of monetary to Congress (1980 Q4 and 1981 Ql) 127, 410 policy and high interest rates 297, 767 Inflation, dealing with 764 Schwartz, Gilbert T., appointed Associate General Interest rates 618, 623, 767, 826 Counsel 146 International implications of U.S. macroeconomic Securities (See also specific types) policies, and particularly monetary policies 610 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A94 Federal Reserve Bulletin • December 1981 Pages Pages Statements to Congress—Continued Transfers of Funds—Continued Margin credit regulations 241 Fees for Federal Reserve services to depository insti- Mergers within financial services industry 555 tutions 23, 247-52, 305-09, 626-28, 854 Monetary policy Statement 828 Conduct, review, and report on Treasury and Federal Reserve foreign exchange operaobjectives for 1981 and targets for 1982 613 tions (See Foreign exchange operations) Key issues for 1981 and beyond 17 Trepeta, Warren T., article 671 Reports to Congress 195, 237, 277, 595 Truth in Lending (Se? Regulations: Z) Money market funds 548 Organization of Petroleum Exporting Countries 769 UNITED STATES government and government agency Payments mechanism and electronic fund transfer securities services 828 Collateral, proposed amendment of Regulation T.... 857 Productivity in United States 137 Interest rate futures contracts, interpretation 785 Silver market in 1979-80, remarks on study 778 Margin requirements for trading options... 563, 785, 859 Small business, effects of monetary policy and high U.S. international transactions in 1980, article 269 interest rates 297, 767 Ulmer, Carl F., appointed director, Buffalo Branch ... 374 Trade policy, U.S 850 Zinc-based penny, introduction 296 VOLCKER, Paul A. Steel industry, U. S., article 117 Budgetary and monetary policy, statement on interre- Stekler, Lois E., article 269 lationships 293 Stock market Depository institutions, statements on proposed legis- Foreign currency in margin account, amendment of lation 775, 835 Regulation T 496, 563 Economic policy and review of economic situation, Over-the-counter margin stock list, revision, and cristatements 135,141,243 teria for inclusion 310, 787, 904 Inflation, statement on dealing with 764 Margin requirements, proposed amendment of Regu- International implications of U.S. macroeconomic lations G, T, and U 563 policies, and particularly monetary policies, state- Stull, James L., appointed Manager of Operations Rement 610 view Program, Office of Board Members 147 Monetary policy Surveys Conduct, review, and report on objectives for Bank lending practices, 1979-81, article 671 1981 and targets for 1982, statement 613 Consumer regulations (Regulations B, E, and Z) .... 625 Key issues for 1981 and beyond, statement 17 Finance companies, 1980 398 Report to Congress, statement 237 Monetary Policy Report to Congress, statement 237 Money market funds, statement 548 TABLES (for index to tables published monthly, see guide at top of p. A81) Capacity utilization 787 WALLICH, Henry C. Industrial production 787 Export trading companies, statement 233 Money stock and related series 432, 561 Organization of Petroleum Exporting Countries, Tate, Robert L., appointed director, Baltimore Branch 377 statement 769 Teed, Raymond L., appointed Associate Director, Divi- Productivity in United States, statement 137 sion of Federal Reserve Bank Operations, and resig- Trade policy, U.S., statement 850 nation 432, 628 Warner, Richard V., appointed director, Little Rock Teeters, Nancy H. Branch 381 Cash Discount Act, statements 143, 235 Wasserman, Mark A., article 1 Credit, federally assisted, statements 424, 845, 895 Watt, Shirley N., article 1 Interest rates, statements 618, 826 Weis, Donald B., appointed director, Memphis Branch . 382 Thrift Institutions Advisory Group 24 Wiles, William W., appointed Secretary of Board 563 Tomson, Ollie Jay, elected Class A director, Chicago.. 380 Williams, John R., article 539 Tower, Marcus R., appointed director, Oklahoma City Wilson, Miles D., elected Class A director, Dallas .... 384 Branch 384 Wire network (See Transfers of funds) Trade policy, U.S., statement 850 Woodbridge, Henry S., Jr., elected Class A director, Transfers of funds Boston 373 Electronic fund transfers Article 109 ZEARLEY, Thomas L., article 473 Regulations E and J (See Regulations) Zigmund, Harold F., elected Class B director, System's wire network, revised schedule 26 Minneapolis 382 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A95 The Federal Reserve System Boundaries of Federal Reserve Districts and Their Branch Territories ""'and Hete, (?) \ J Minneapolis,^, ® j r ^7) 1 \ Detrain I*'*'- Denver( 10) Kan\a\ r (" i > t,Q | S 1 t. L \ o d u L i o s u isMlle] " '( j,'t"p'®jg, . - > . > • M . '1 I Oklahoma 1 Dallas^, \ C" H V^) i'l 1' Jacks Houston \San Antonio ym n B M t o M Mi 1* WW*. •HHHHBk JUOi^B • wV? V• a - •HHHBH LEGEND Boundaries of Federal Reserve Districts ® Federal Reserve Bank Cities Boundaries of Federal Reserve Branch * Federal Reserve Branch Cities Territories Federal Reserve Bank Facility Q Board of Governors of the Federal Reserve System Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis