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 July 10, 2008 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 Jul 9, 2008 Jul 2, 2008 Jul 11, 2007 Jul 9, 2008 Reserve Bank credit 887,866 - 2,164 + 33,967 882,042 Securities held outright 478,925 + 87 - 311,662 478,951 U.S. Treasury1 478,925 + 87 - 311,662 478,951 Bills2 21,740 0 - 255,279 21,740 Notes and bonds, nominal2 412,392 0 - 62,280 412,392 Notes and bonds, inflation-indexed2 39,171 0 + 4,712 39,171 Inflation compensation3 5,622 + 87 + 1,185 5,648 Federal agency2 0 0 0 0 Repurchase agreements4 113,357 + 3,107 + 90,464 107,000 Term auction credit 150,000 0 + 150,000 150,000 Other loans 13,014 - 3,766 + 12,776 13,332 Primary credit 12,856 - 2,005 + 12,813 12,985 Secondary credit 57 - 29 + 57 250 Seasonal credit 101 + 6 - 94 97 Primary dealer credit facility 0 - 1,738 0 0 Other credit extensions 0 0 0 0 Net portfolio holdings of Maiden Lane LLC5 28,900 - 916 + 28,900 28,944 Float -1,361 + 157 - 1,358 -1,566 Other Federal Reserve assets 105,031 - 833 + 64,845 105,382 Gold stock 11,041 0 0 11,041 Special drawing rights certificate account 2,200 0 0 2,200 Treasury currency outstanding6 38,875 + 14 + 349 38,875 Total factors supplying reserve funds 939,982 - 2,149 + 34,315 934,158 Currency in circulation6 833,093 + 6,335 + 15,767 832,959 Reverse repurchase agreements7 42,984 + 807 + 11,260 41,276 Foreign official and international accounts 42,984 + 807 + 11,260 41,276 Dealers 0 0 0 0 Treasury cash holdings 275 - 3 - 38 280 Deposits with F.R. Banks, other than reserve balances 12,729 + 249 + 1,032 11,877 U.S. Treasury, general account 5,180 + 138 + 268 4,355 Foreign official 100 - 29 + 5 100 Service-related 7,195 + 142 + 764 7,195 Required clearing balances 7,195 + 142 + 764 7,195 Adjustments to compensate for float 0 0 0 0 Other 254 - 2 - 5 227 Other liabilities and capital8 44,348 - 2,125 + 4,909 43,969 Total factors, other than reserve balances, absorbing reserve funds 933,430 + 5,264 + 32,930 930,362 Reserve balances with Federal Reserve Banks 6,553 - 7,412 + 1,386 3,796 Note: Components may not sum to totals because of rounding. 1. Includes securities lent to dealers under the overnight and term securities lending facilities; refer to table 1A. 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. 5. Fair value. Refer to table 2 and the note on consolidation accompanying table 5. 6. Estimated. 7. Cash value of agreements, which are collateralized by U.S. Treasury securities. 8. Includes the liabilities of Maiden Lane LLC to entities other than the Federal Reserve Bank of New York, including liabilities that have recourse only to the portfolio holdings of Maiden Lane LLC. Refer to table 2 and the note on consolidation accompanying table 5. Sources: Federal Reserve Banks and the U.S. Department of the Treasury.

H.4.1 1A. Memorandum Items, July 9, 2008 Millions of dollars Averages of daily figures Wednesday Memorandum item Week ended Change from week ended Jul 9, 2008 Jul 9, 2008 Jul 2, 2008 Jul 11, 2007 Marketable securities held in custody for foreign official and international accounts1 2,350,038 + 4,385 + 361,055 2,348,900 U.S. Treasury 1,375,422 + 1,652 + 130,401 1,369,919 Federal agency 974,616 + 2,734 + 230,654 978,981 Securities lent to dealers 109,775 - 7,707 + 106,562 108,438 Overnight facility2 6,021 - 7,217 + 2,808 5,141 Term facility3 103,754 - 490 + 103,754 103,297 Note: Components may not sum to totals because of rounding. 1. Face value of the securities. Includes U.S. Treasury STRIPS and other zero-coupon bonds at face value. 2. Fully collateralized by U.S. Treasury securities. 3. Fully collateralized by U.S. Treasury securities, federal agency securities, and highly rated non-agency asset-backed and mortgage-backed securities. Sources: Federal Reserve Banks and the U.S. Department of the Treasury. 2. Information on Principal Accounts of Maiden Lane LLC Millions of dollars Wednesday Account name Jul 9, 2008 Net portfolio holdings of Maiden Lane LLC1 28,944 Outstanding principal amount of loan extended by the Federal Reserve Bank of New York2 28,820 Accrued interest payable to the Federal Reserve Bank of New York2 25 Outstanding principal amount and accrued interest on loan payable to JPMorgan Chase & Co.3 1,153 1. Fair value. Fair value reflects an estimate of the price that would be received upon selling an asset if th e transaction were to be conducted in an orderly market on the measurement date. Revalued quarterly. This table reflects valuations as of June 26, 2008. 2. Book value. This amount was eliminated when preparing the Federal Reserve Bank of New York's statement of condition consistent with consolidation under generally accepted accounting principles. Refer to the note on consolidation accompanying table 5. 3. Book value. The fair value of these obligations is included in other liabilities and capital in table 1 and in other liabilities and accrued dividends in table 4 and table 5. Note: On June 26, 2008, the Federal Reserve Bank of New York (FRBNY) extended credit to Maiden Lane LLC under the authority of section 13(3) of the Federal Reserve Act. This limited liability company was formed to acquire certain assets of Bear Stearns and to manage those assets through time to maximize repayment of the credit extended and to minimize disruption to financial markets. Payments by Maiden Lane LLC from the proceeds of the net portfolio holdings will be made in the following order: operating expenses of the LLC, principal due to the FRBNY, interest due to the FRBNY, principal due to JPMorgan Chase & Co., and interest due to JPMorgan Chase & Co. Any remaining funds will be paid to the FRBNY. 3. Maturity Distribution of Term Auction Credit, Other Loans, and Securities, July 9, 2008 Millions of dollars U.S. Treasury Reverse Term auction Other securities2 Repurchase Remaining maturity repurchase credit loans1 Holdings Weekly agreements3 agreements3 changes Within 15 days 75,000 5,290 4,819 + 1,410 67,000 41,276 16 days to 90 days 75,000 8,042 40,250 - 1,411 40,000 0 91 days to 1 year ... 0 73,638 + 6 ... ... Over 1 year to 5 years ... ... 173,492 + 27 ... ... Over 5 years to 10 years ... ... 90,155 + 19 ... ... Over 10 years ... ... 96,597 + 34 ... ... All 150,000 13,332 478,951 + 85 107,000 41,276 Note: Components may not sum to totals because of rounding. . . . Not applicable. 1. Excludes the loan from the Federal Reserve Bank of New York to Maiden Lane LLC that was eliminated when preparing that Bank's statement of condition consistent with consolidation under generally accepted accounting principles. The loan to Maiden Lane LLC is designed to be repaid from the orderly liquidation of Maiden Lane LLC's portfolio holdings and does not have a fixed amortization schedule. 2. 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. 3. Cash value of agreements.

H.4.1 4. Consolidated Statement of Condition of All Federal Reserve Banks Millions of dollars Change since Eliminations from Assets, liabilities, and capital consolidation Wednesday Wednesday Wednesday Jul 9, 2008 Jul 2, 2008 Jul 11, 2007 Assets Gold certificate account 11,037 0 0 Special drawing rights certificate account 2,200 0 0 Coin 1,299 - 18 + 372 Securities, repurchase agreements, term auction credit, and other loans 749,282 - 5,503 - 62,032 Securities held outright 478,951 + 85 - 311,655 U.S. Treasury1 478,951 + 85 - 311,655 Bills2 21,740 0 - 255,279 Notes and bonds, nominal2 412,392 0 - 62,280 Notes and bonds, inflation-indexed2 39,171 0 + 4,712 Inflation compensation3 5,648 + 85 + 1,191 Federal agency2 0 0 0 Repurchase agreements4 107,000 - 6,000 + 86,500 Term auction credit 150,000 0 + 150,000 Other loans 13,332 + 412 + 13,124 Net portfolio holdings of Maiden Lane LLC5 28,944 + 51 + 28,944 Items in process of collection (619) 1,668 + 434 - 5,035 Bank premises 2,154 0 + 108 Other assets6 103,244 - 876 + 64,273 Total assets (619) 899,829 - 5,910 + 26,631 Liabilities Federal Reserve notes, net of F.R. Bank holdings 795,659 + 564 + 15,768 Reverse repurchase agreements7 41,276 + 185 + 9,980 Deposits (0) 15,693 - 5,037 - 317 Depository institutions 11,010 - 5,222 + 287 U.S. Treasury, general account 4,355 + 216 - 559 Foreign official 100 - 9 + 5 Other (0) 227 - 24 - 50 Deferred availability cash items (619) 3,231 - 162 - 3,882 Other liabilities and accrued dividends8,9 3,678 - 871 - 2,019 Total liabilities (619) 859,537 - 5,320 + 19,530 Capital accounts Capital paid in 19,880 + 4 + 3,715 Surplus 18,493 0 + 3,094 Other capital accounts 1,918 - 594 + 291 Total capital 40,291 - 591 + 7,100 Note: Components may not sum to totals because of rounding. 1. Includes securities lent to dealers under the overnight and term securities lending facilities; refer to table 1A. 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. Fair value. Refer to table 2 and the note on consolidation accompanying table 5. 6. Includes assets denominated in foreign currencies, which are revalued daily at market exchange rates. 7. Cash value of agreements, which are collateralized by U.S. Treasury securities. 8. Includes exchange-translation account reflecting the daily revaluation at market exchange rates of foreign exchange commitments. 9. Includes the liabilities of Maiden Lane LLC to entities other than the Federal Reserve Bank of New York, including liabilities that have recourse only to the portfolio holdings of Maiden Lane LLC. Refer to the note on consolidation accompanying table 5.

H.4.1 5. Statement of Condition of Each Federal Reserve Bank, July 9, 2008 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 11,037 424 3,935 453 423 891 1,221 913 344 199 349 636 1,249 Special drawing rights certificate acct. 2,200 115 874 83 104 147 166 212 71 30 66 98 234 Coin 1,299 36 55 98 108 162 153 161 50 52 92 145 187 Securities, repurchase agreements, term auction credit, and other loans 749,282 26,077 309,982 25,833 28,102 66,687 64,896 57,158 22,401 11,337 21,752 27,613 87,443 Securities held outright 478,951 20,089 170,408 20,912 18,162 43,430 47,655 42,272 16,551 9,042 17,586 19,867 52,977 U.S. Treasury1 478,951 20,089 170,408 20,912 18,162 43,430 47,655 42,272 16,551 9,042 17,586 19,867 52,977 Bills2 21,740 912 7,735 949 824 1,971 2,163 1,919 751 410 798 902 2,405 Notes and bonds3 457,211 19,177 162,673 19,962 17,337 41,459 45,492 40,353 15,800 8,632 16,788 18,966 50,573 Federal agency2 0 0 0 0 0 0 0 0 0 0 0 0 0 Repurchase agreements4 107,000 4,488 38,070 4,672 4,057 9,703 10,646 9,444 3,698 2,020 3,929 4,438 11,835 Term auction credit 150,000 1,500 92,305 240 5,810 13,479 6,390 4,350 2,016 27 200 3,300 20,383 Other loans 13,332 0 9,200 10 73 75 205 1,092 137 248 38 8 2,248 Net portfolio holdings of Maiden Lane LLC5 28,944 0 28,944 0 0 0 0 0 0 0 0 0 0 Items in process of collection 2,287 104 0 249 599 230 111 188 31 121 93 184 380 Bank premises 2,154 119 212 65 150 203 226 208 124 111 276 253 207 Other assets6 103,244 5,577 28,232 9,241 6,697 25,043 8,192 5,122 1,373 1,972 1,474 2,340 7,981 Interdistrict settlement account 0 + 4,949 -52,221 + 5,265 + 1,664 - 8,514 +23,084 +14,173 + 5,165 + 3,428 + 6,876 + 4,343 - 8,211 Total assets 900,448 37,400 320,013 41,286 37,847 84,848 98,050 78,135 29,559 17,250 30,977 35,612 89,471 Note: Components may not sum to totals because of rounding. 1. Includes securities lent to dealers under the overnight and term securities lending facilities; refer to table 1A. 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. Fair value. Refer to the note on consolidation below. 6. Includes assets denominated in foreign currencies, which are revalued daily at market exchange rates. Note on consolidation: On June 26, 2008, the Federal Reserve Bank of New York extended a loan under the authority of section 13(3) of the Federal Reserve Act to Maiden Lane LLC, a limited liability company formed to acquire certain assets of Bear Stearns. The Federal Reserve Bank of New York is the primary beneficiary of Maiden Lane LLC. Consistent with generally accepted accounting principles, the assets and liabilities of Maiden Lane LLC have been consolidated with the assets and liabilities of the Federal Reserve Bank of New York in the preparation of the statements of condition shown on this release. As a consequence of the consolidation, the extension of credit from the Federal Reserve Bank of New York to Maiden Lane LLC is eliminated, the net assets of Maiden Lane LLC appear as an asset in this table (and table 1 and table 4), and the liabilities of Maiden Lane LLC to entities other than the Federal Reserve Bank of New York, including those with recourse only to the portfolio holdings of Maiden Lane LLC, are included in other liabilities on the next page (and in table 1 and table 4).

H.4.1 5. Statement of Condition of Each Federal Reserve Bank, July 9, 2008 (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 988,6 0 0 37,3 9 0 346,7 2 1 40,7 4 0 38,7 2 6 80,7 6 3 119,8 2 1 83,0 7 4 30,6 9 4 17,8 6 2 31,6 6 1 55,7 1 3 105,435 Less: Notes held by F.R. Banks 192,9 4 1 4,7 4 9 59,3 3 9 6,7 4 4 6,7 3 4 12,4 0 8 30,8 7 0 12,5 2 2 3,5 0 0 2,7 5 6 3,4 6 6 23,6 6 8 26,186 Federal Reserve notes, net 795,6 5 9 32,6 4 1 287,3 8 2 33,9 9 7 31,9 9 2 68,3 5 5 88,9 5 2 70,5 5 2 27,1 9 3 15,1 0 6 28,1 9 5 32,0 4 6 79,249 Reverse repurchase agreements1 41,2 7 6 1,7 3 1 14,6 8 6 1,8 0 2 1,5 6 5 3,7 4 3 4,1 0 7 3,6 4 3 1,4 2 6 7 7 9 1,5 1 6 1,7 1 2 4,566 Deposits 15,6 9 3 7 7 3 6,2 3 0 4 3 8 7 2 1 1,7 4 5 1,1 9 3 7 9 0 3 5 9 3 0 2 5 0 6 7 7 5 1,860 Depository institutions 11,0 1 0 7 7 1 1,6 2 5 4 3 4 7 1 8 1,7 0 2 1,1 9 0 7 8 8 3 4 6 3 0 1 5 0 4 7 7 4 1,857 U.S. Treasury, general account 4,3 5 5 0 4,3 5 5 0 0 0 0 0 0 0 0 0 0 Foreign official 1 0 0 2 7 0 4 3 1 1 3 2 0 1 0 1 3 Other 2 2 7 1 1 7 9 0 0 3 2 0 0 1 3 0 1 0 0 Deferred availability cash items 3,8 5 0 2 8 9 0 4 8 1 7 5 7 2 7 5 2 9 6 2 7 9 5 3 2 8 2 2 0 5 2 7 0 662 Other liabilities and accrued dividends2,3 3,6 7 8 1 3 7 1,4 0 1 1 5 0 1 6 2 3 8 1 3 5 0 2 7 6 1 4 9 1 0 0 1 2 3 1 6 6 283 Total liabilities 860,1 5 7 35,5 7 3 309,6 9 9 36,8 6 8 35,1 9 7 74,4 9 9 94,8 9 8 75,5 4 0 29,1 8 1 16,5 6 9 30,5 4 5 34,9 6 9 86,620 Capital Capital paid in 19,8 8 0 7 6 4 5,0 6 5 2,3 3 5 1,3 2 2 5,1 7 8 1,5 6 1 1,2 8 0 1 8 1 3 2 2 2 0 8 2 6 3 1,401 Surplus 18,4 9 3 1,0 5 0 4,6 5 7 1,8 1 4 1,2 9 1 4,9 9 8 1,4 2 5 8 1 5 1 8 0 3 5 5 1 9 4 3 6 4 1,351 Other capital 1,9 1 8 1 3 5 9 2 2 6 9 3 8 1 7 2 1 6 6 4 9 9 1 7 5 3 0 1 7 99 Total liabilities and capital 900,4 4 8 37,4 0 0 320,0 1 3 41,2 8 6 37,8 4 7 84,8 4 8 98,0 5 0 78,1 3 5 29,5 5 9 17,2 5 0 30,9 7 7 35,6 1 2 89,471 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. 3. Includes the liabilities of Maiden Lane LLC to entities other than the Federal Reserve Bank of New York, including liabilities that have recourse only to the portfolio holdings of Maiden Lane LLC. Refer to the note on consolidation on the previous page. 6. Collateral Held against Federal Reserve Notes: Federal Reserve Agents' Accounts Millions of dollars Wednesday Federal Reserve notes and collateral Jul 9, 2008 Federal Reserve notes outstanding 988,600 Less: Notes held by F.R. Banks not subject to collateralization 192,941 Federal Reserve notes to be collateralized 795,659 Collateral held against Federal Reserve notes 795,659 Gold certificate account 11,037 Special drawing rights certificate account 2,200 U.S. Treasury and agency securities pledged1 545,270 Other assets pledged 237,152 Memo: Total U.S. Treasury and agency securities1 585,951 Less: Face value of securities under reverse repurchase agreements 40,681 U.S. Treasury and agency securities eligible to be pledged 545,270 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.