H.4.1 Factors Affecting Reserve Balances of Depository Institutions

FEDERAL RESERVE statistical release H.4.1 Factors Affecting Reserve Balances of Depository Institutions and Condition Statement of Federal Reserve Banks May 18, 2006 1. Factors Affecting Reserve Balances of Depository Institutions Millions of dollars Reserve Bank credit, related items, and Averages of daily figures reserve balances of depository institutions Week ended Change from week ended Wednesday at Federal Reserve Banks May 17, 2006 May 10, 2006 May 18, 2005 May 17, 2006 Reserve Bank credit 824,687 + 1 + 37,129 821,463 Securities held outright 760,177 + 452 + 38,566 759,651 U.S. Treasury1 760,177 + 452 + 38,566 759,651 Bills2 275,370 0 + 11,086 275,370 Notes and bonds, nominal2 458,693 + 420 + 23,010 458,155 Notes and bonds, inflation-indexed2 22,646 0 + 3,538 22,646 Inflation compensation3 3,468 + 32 + 933 3,480 Federal agency2 0 0 0 0 Repurchase agreements4 23,750 + 250 - 2,821 21,500 Loans to depository institutions 168 - 6 + 26 178 Primary credit 20 - 20 + 18 21 Secondary credit 0 0 0 0 Seasonal credit 149 + 15 + 10 157 Float -237 + 68 + 1,023 1,250 Other Federal Reserve assets 40,828 - 764 + 335 38,884 Gold stock 11,041 0 0 11,041 Special drawing rights certificate account 2,200 0 0 2,200 Treasury currency outstanding5 37,963 + 14 + 1,418 37,963 Total factors supplying reserve funds 875,891 + 15 + 38,547 872,667 Currency in circulation5 793,980 + 247 + 39,693 794,985 Reverse repurchase agreements6 23,657 - 2,319 - 4,397 22,569 Foreign official and international accounts 23,657 - 2,319 - 4,397 22,569 Dealers 0 0 0 0 Treasury cash holdings 181 + 3 - 74 185 Deposits with F.R. Banks, other than reserve balances 12,970 + 727 - 990 12,810 U.S. Treasury, general account 5,192 + 41 - 17 5,055 Foreign official 105 + 8 + 21 85 Service-related 7,366 + 670 - 974 7,366 Required clearing balances 7,366 + 670 - 974 7,366 Adjustments to compensate for float 0 0 0 0 Other 308 + 9 - 19 304 Other liabilities and capital 33,897 + 118 + 5,077 33,049 Total factors, other than reserve balances, absorbing reserve funds 864,686 - 1,222 + 39,310 863,597 Reserve balances with Federal Reserve Banks 11,205 + 1,237 - 763 9,070 Memo (off-balance-sheet items): Marketable securities held in custody for foreign official and international accounts2,7 1,624,415 + 3,409 + 220,331 1,619,910 U.S. Treasury 1,125,054 + 301 + 50,847 1,120,764 Federal agency 499,361 + 3,108 + 169,484 499,146 Securities lent to dealers 1,600 + 592 - 1,703 1,792 Note: Components may not sum to totals because of rounding. 1. Includes securities lent to dealers, which are fully collateralized by other U.S. Treasury securities. 2. Face value of the securities. 3. Compensation that adjusts for the effect of inflation on the original face value of inflation-indexed securities. 4. Cash value of agreements, which are collateralized by U.S. Treasury and federal agency securities. 5. Estimated. 6. Cash value of agreements, which are collateralized by U.S. Treasury securities. 7. Includes U.S. Treasury STRIPS and other zero coupon bonds at face value. Sources: Federal Reserve Banks and the U.S. Department of the Treasury.

H.4.1 2. Consolidated Statement of Condition of All Federal Reserve Banks Millions of dollars Change since Eliminations from Assets, liabilities, and capital consolidation Wednesday Wednesday Wednesday May 17, 2006 May 10, 2006 May 18, 2005 Assets Gold certificate account 11,037 0 0 Special drawing rights certificate account 2,200 0 0 Coin 767 - 14 + 111 Securities, repurchase agreements, and loans 781,329 + 707 + 35,809 Securities held outright 759,651 - 86 + 38,022 U.S. Treasury1 759,651 - 86 + 38,022 Bills2 275,370 0 + 11,082 Notes and bonds, nominal2 458,155 - 118 + 22,472 Notes and bonds, inflation-indexed2 22,646 0 + 3,538 Inflation compensation3 3,480 + 32 + 931 Federal agency2 0 0 0 Repurchase agreements4 21,500 + 1,000 - 2,250 Loans 178 - 207 + 37 Items in process of collection (1,496) 7,274 + 2,222 + 1,780 Bank premises 1,836 0 + 21 Other assets5 36,925 - 3,093 + 219 Total assets (1,496) 841,368 - 178 + 37,940 Liabilities Federal Reserve notes, net of F.R. Bank holdings 757,969 - 497 + 38,695 Reverse repurchase agreements6 22,569 - 1,966 - 3,610 Deposits (0) 21,758 + 2,461 - 1,099 Depository institutions 16,313 + 2,329 - 1,078 U.S. Treasury, general account 5,055 + 124 - 25 Foreign official 85 0 - 27 Other (0) 304 + 8 + 31 Deferred availability cash items (1,496) 6,024 + 204 - 313 Other liabilities and accrued dividends7 4,740 + 54 + 1,390 Total liabilities (1,496) 813,059 + 255 + 35,062 Capital accounts Capital paid in 13,859 + 11 + 950 Surplus 12,901 0 + 1,508 Other capital accounts 1,549 - 443 + 421 Total capital 28,309 - 433 + 2,878 Note: Components may not sum to totals because of rounding. 1. Includes securities lent to dealers, which are fully collateralized by other U.S. Treasury securities. 2. Face value of the securities. 3. Compensation that adjusts for the effect of inflation on the original face value of inflation-indexed securities. 4. Cash value of agreements, which are collateralized by U.S. Treasury and federal agency securities. 5. Includes assets denominated in foreign currencies, which are revalued daily at market exchange rates. 6. Cash value of agreements, which are collateralized by U.S. Treasury securities. 7. Includes exchange-translation account reflecting the daily revaluation at market exchange rates of foreign exchange commitments. 3. Maturity Distribution of Loans and Securities, May 17, 2006 Millions of dollars U.S. Treasury Federal agency Reverse securities1 securities Repurchase Maturity Loans repurchase Weekly Weekly agreements2 Holdings Holdings agreements2 changes changes Within 15 days 164 64,454 - 2,320 0 0 21,500 22,569 16 days to 90 days 14 164,067 - 860 0 0 0 0 91 days to 1 year 0 180,967 + 4,582 0 0 . . . . . . Over 1 year to 5 years . . . 212,424 - 3,802 0 0 . . . . . . Over 5 years to 10 years . . . 55,397 + 5 0 0 . . . . . . Over 10 years . . . 82,342 + 2,309 0 0 . . . . . . All 178 759,651 - 86 0 0 21,500 22,569 Note: Components may not sum to totals because of rounding. . . . Not applicable. 1. Includes the original face value of inflation-indexed securities and compensation that adjusts for the effect of inflation on the original face value of such securities. 2. Cash value of agreements classified by remaining maturity of the agreements.

H.4.1 4. Statement of Condition of Each Federal Reserve Bank on May 17, 2006 Millions of dollars Kansas San Assets, liabilities, and capital Total Boston New York Philadelphia Cleveland Richmond Atlanta Chicago St. Louis Minneapolis Dallas City Francisco Assets Gold certificate account 11,0 3 7 4 8 6 4,1 3 9 4 6 3 4 4 6 8 5 3 1,0 2 3 9 4 7 3 2 8 2 1 1 3 2 4 5 7 5 1,242 Special drawing rights certificate acct. 2,2 0 0 1 1 5 8 7 4 8 3 1 0 4 1 4 7 1 6 6 2 1 2 7 1 3 0 6 6 9 8 234 Coin 7 6 7 3 7 5 3 3 9 7 6 6 5 8 4 8 5 4 0 3 7 6 2 6 8 121 Securities, repurchase agreements, and loans 781,3 2 9 36,2 5 9 302,6 6 9 32,9 8 1 32,8 0 1 63,1 0 4 63,6 0 3 69,8 1 8 24,1 5 5 15,4 7 4 22,2 6 3 34,0 9 3 84,109 Securities held outright 759,6 5 1 36,2 4 9 281,1 6 7 32,9 8 1 32,8 0 1 63,1 0 4 63,5 9 6 69,7 5 1 24,1 3 5 15,4 4 3 22,2 4 4 34,0 9 2 84,086 U.S. Treasury1 759,6 5 1 36,2 4 9 281,1 6 7 32,9 8 1 32,8 0 1 63,1 0 4 63,5 9 6 69,7 5 1 24,1 3 5 15,4 4 3 22,2 4 4 34,0 9 2 84,086 Bills2 275,3 7 0 13,1 4 0 101,9 2 2 11,9 5 5 11,8 9 0 22,8 7 5 23,0 5 3 25,2 8 4 8,7 4 9 5,5 9 8 8,0 6 3 12,3 5 8 30,481 Notes and bonds3 484,2 8 1 23,1 0 9 179,2 4 6 21,0 2 5 20,9 1 1 40,2 2 9 40,5 4 2 44,4 6 7 15,3 8 6 9,8 4 5 14,1 8 1 21,7 3 4 53,605 Federal agency2 0 0 0 0 0 0 0 0 0 0 0 0 0 Repurchase agreements4 21,5 0 0 0 21,5 0 0 0 0 0 0 0 0 0 0 0 0 Loans 1 7 8 9 1 0 0 0 7 6 7 2 0 3 1 1 9 1 23 Items in process of collection 8,7 7 0 4 4 2 5 6 0 4 8 7 6 8 8 6 7 4 1,8 7 5 1,0 6 6 2 6 1 2 8 6 5 7 8 4 2 4 1,428 Bank premises 1,8 3 6 1 1 3 2 0 6 5 6 1 5 6 1 5 3 2 3 1 2 0 9 7 0 1 1 8 1 0 0 2 5 8 166 Other assets5 36,9 2 5 1,1 4 5 13,2 9 8 1,7 6 5 2,2 1 3 6,8 5 9 2,5 6 1 2,5 8 0 7 1 4 6 7 4 6 7 2 8 7 5 3,570 Interdistrict settlement account 0 - 1,3 7 9 + 3 3 0 + 1,0 8 6 - 5 7 7 + 3,2 2 7 + 1,2 8 4 - 6,9 6 7 - 3 6 8 + 2 2 7 + 1,7 5 8 - 2,3 2 6 + 3,705 Total assets 842,8 6 3 37,2 1 6 322,1 2 8 36,9 5 9 35,9 0 8 75,0 8 3 70,8 2 7 67,9 4 9 25,2 7 1 17,0 5 8 25,8 2 3 34,0 6 6 94,575 Note: Components may not sum to totals because of rounding. 1. Includes securities lent to dealers, which are fully collateralized by other U.S. Treasury securities. 2. Face value of the securities. 3. Includes the original face value of inflation-indexed securities and compensation that adjusts for the effect of inflation on the original face value of such securities. 4. Cash value of agreements, which are collateralized by U.S. Treasury and federal agency securities. 5. Includes assets denominated in foreign currencies, which are revalued daily at market exchange rates.

H.4.1 4. Statement of Condition of Each Federal Reserve Bank on May 17, 2006 (continued) Millions of dollars Kansas San Assets, liabilities, and capital Total Boston New York Philadelphia Cleveland Richmond Atlanta Chicago St. Louis Minneapolis Dallas City Francisco Liabilities Federal Reserve notes outstanding 920,5 6 1 38,4 3 6 340,6 0 4 39,5 8 9 36,8 3 6 73,9 2 6 86,6 3 2 75,2 5 3 27,5 4 1 17,4 7 2 27,4 5 7 49,0 6 3 107,753 Less: notes held by F.R. Banks 162,5 9 3 4,4 4 3 44,9 2 2 7,0 0 2 5,7 4 8 12,6 6 8 23,0 8 7 13,6 6 7 4,1 8 7 2,4 5 1 3,9 8 2 18,1 0 9 22,327 Federal Reserve notes, net 757,9 6 9 33,9 9 4 295,6 8 2 32,5 8 7 31,0 8 8 61,2 5 8 63,5 4 6 61,5 8 5 23,3 5 4 15,0 2 1 23,4 7 5 30,9 5 3 85,426 Reverse repurchase agreements1 22,5 6 9 1,0 7 7 8,3 5 3 9 8 0 9 7 5 1,8 7 5 1,8 8 9 2,0 7 2 7 1 7 4 5 9 6 6 1 1,0 1 3 2,498 Deposits 21,7 5 8 8 0 0 8,1 1 2 9 1 3 9 1 4 2,8 3 9 1,9 4 4 1,6 3 6 5 1 6 5 5 8 5 5 7 7 3 9 2,230 Depository institutions 16,3 1 3 7 9 4 2,8 2 9 9 1 0 9 1 0 2,7 0 5 1,9 4 1 1,6 3 3 5 1 3 5 5 7 5 5 6 7 3 9 2,226 U.S. Treasury, general account 5,0 5 5 0 5,0 5 5 0 0 0 0 0 0 0 0 0 0 Foreign official 8 5 1 5 6 2 3 1 1 3 3 0 1 1 0 4 Other 3 0 4 5 1 7 1 0 1 1 2 3 0 0 2 0 1 0 0 Deferred availability cash items 7,5 2 0 4 3 8 8 1 6 7 6 1 6 4 6 5 6 7 8 7 4 3 7 2 1 9 5 3 9 9 6 1 3 6 9 8 1,140 Other liabilities and accrued dividends2 4,7 4 0 2 3 2 1,5 7 1 2 2 4 2 3 6 4 9 9 4 0 2 4 3 1 1 7 3 1 2 4 1 5 3 2 2 0 475 Total liabilities 814,5 5 5 36,5 4 1 314,5 3 4 35,4 6 4 33,8 5 8 67,0 3 7 68,6 5 5 66,0 9 7 24,9 5 6 16,5 6 1 25,4 5 9 33,6 2 4 91,770 Capital Capital paid in 13,8 5 9 3 2 4 3,6 7 1 7 2 9 1,0 1 5 4,0 1 1 1,0 6 1 9 0 1 1 4 9 2 4 2 1 7 4 2 0 9 1,373 Surplus 12,9 0 1 3 1 7 3,6 8 5 7 4 4 1,0 1 3 3,3 0 7 8 9 2 8 7 6 1 4 4 2 4 5 1 7 5 1 5 3 1,349 Other capital 1,5 4 9 3 4 2 3 9 2 2 2 2 7 2 7 2 1 9 7 5 2 2 1 0 1 5 8 1 83 Total liabilities and capital 842,8 6 3 37,2 1 6 322,1 2 8 36,9 5 9 35,9 0 8 75,0 8 3 70,8 2 7 67,9 4 9 25,2 7 1 17,0 5 8 25,8 2 3 34,0 6 6 94,575 Note: Components may not sum to totals because of rounding. 1. Cash value of agreements, which are collateralized by U.S. Treasury securities. 2. Includes exchange-translation account reflecting the daily revaluation at market exchange rates of foreign exchange commitments. 5. Collateral Held against Federal Reserve Notes: Federal Reserve Agents' Accounts Millions of dollars Wednesday Federal Reserve notes and collateral May 17, 2006 Federal Reserve notes outstanding 920,561 Less: Notes held by F.R. Banks not subject to collateralization 162,593 Federal Reserve notes to be collateralized 757,969 Collateral held against Federal Reserve notes 757,969 Gold certificate account 11,037 Special drawing rights certificate account 2,200 U.S. Treasury and agency securities pledged1 744,732 Other assets pledged 0 Memo: Total U.S. Treasury and agency securities1 781,151 Less: face value of securities under reverse repurchase agreements 22,594 U.S. Treasury and agency securities eligible to be pledged 758,557 Note: Components may not sum to totals because of rounding. 1. Includes face value of U.S. Treasury and agency securities held outright, compensation to adjust for the effect of inflation on the original face value of inflation-indexed securities, and cash value of repurchase agreements.