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 October 2, 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 Oct 1, 2008 Sep 24, 2008 Oct 3, 2007 Oct 1, 2008 Reserve Bank credit 1,388,565 + 253,621 + 527,049 1,481,099 Securities held outright 488,541 + 8,269 - 291,089 491,121 U.S. Treasury1 476,612 + 55 - 303,018 476,621 Bills2 18,423 0 - 248,596 18,423 Notes and bonds, nominal2 411,731 0 - 60,411 411,731 Notes and bonds, inflation-indexed2 39,832 0 + 4,079 39,832 Inflation compensation3 6,627 + 55 + 1,911 6,635 Federal agency2 11,929 + 8,215 + 11,929 14,500 Repurchase agreements4 83,000 - 28,714 + 41,107 83,000 Term auction credit 149,143 - 857 + 149,143 149,000 Other loans 367,796 + 180,043 + 367,594 409,522 Primary credit 44,463 + 5,106 + 44,436 49,524 Secondary credit 286 + 267 + 286 0 Seasonal credit 74 - 21 - 101 42 Primary dealer and other broker-dealer credit5 147,692 + 59,545 + 147,692 146,565 Asset-backed commercial paper money market mutual fund liquidity facility 122,104 + 100,344 + 122,104 152,108 Other credit extensions 53,176 + 14,801 + 53,176 61,283 Net portfolio holdings of Maiden Lane LLC6 29,413 + 40 + 29,413 29,447 Float -1,215 - 157 - 175 -1,490 Other Federal Reserve assets 271,888 + 94,997 + 231,056 320,499 Gold stock 11,041 0 0 11,041 Special drawing rights certificate account 2,200 0 0 2,200 Treasury currency outstanding7 38,788 + 14 + 149 38,788 Total factors supplying reserve funds 1,440,594 + 253,635 + 527,198 1,533,128 Currency in circulation7 836,409 + 2,509 + 24,632 841,003 Reverse repurchase agreements8 87,909 + 28,119 + 52,667 93,063 Foreign official and international accounts 70,767 + 14,548 + 35,525 73,063 Dealers 17,143 + 13,572 + 17,143 20,000 Treasury cash holdings 269 + 7 - 68 260 Deposits with F.R. Banks, other than reserve balances 304,654 + 162,611 + 292,374 388,850 U.S. Treasury, general account 8,629 + 3,541 + 3,199 5,278 U.S. Treasury, supplementary financing account 266,081 + 149,035 + 266,081 344,473 Foreign official 133 + 14 + 30 137 Service-related 7,718 + 355 + 1,250 7,717 Required clearing balances 7,718 + 355 + 1,250 7,717 Adjustments to compensate for float 0 0 0 0 Other 22,093 + 9,666 + 21,815 31,245 Other liabilities and capital9 44,358 - 2,098 + 3,007 38,458 Total factors, other than reserve balances, absorbing reserve funds 1,273,599 + 191,148 + 372,612 1,361,633 Reserve balances with Federal Reserve Banks 166,996 + 62,487 + 154,587 171,495 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. Includes credit extended through the Primary Dealer Credit Facility and credit extended to certain other broker-dealers. 6. Fair value. Refer to table 2 and the note on consolidation accompanying table 5. 7. Estimated. 8. Cash value of agreements, which are collateralized by U.S. Treasury securities. 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 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, October 1, 2008 Millions of dollars Averages of daily figures Wednesday Memorandum item Week ended Change from week ended Oct 1, 2008 Oct 1, 2008 Sep 24, 2008 Oct 3, 2007 Marketable securities held in custody for foreign official and international accounts1 2,465,651 + 43,756 + 467,242 2,482,377 U.S. Treasury 1,495,189 + 37,096 + 281,057 1,513,135 Federal agency 970,462 + 6,660 + 186,185 969,241 Securities lent to dealers 255,801 + 50,853 + 252,072 259,672 Overnight facility2 22,236 + 2,924 + 18,507 24,128 Term facility3 233,565 + 47,929 + 233,565 235,544 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 other highly rated debt securities. 2. Information on Principal Accounts of Maiden Lane LLC Millions of dollars Wednesday Account name Oct 1, 2008 Net portfolio holdings of Maiden Lane LLC1 29,447 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 174 Outstanding principal amount and accrued interest on loan payable to JPMorgan Chase & Co.3 1,171 1. Fair value. Fair value reflects an estimate of the price that would be received upon selling an asset if the transaction were to be conducted in an orderly market on the measurement date. Revalued quarterly. This table reflects valuations as of June 30, 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, October 1, 2008 Millions of dollars U.S. Treasury Federal agency Reverse Term auction Other securities2 securities Repurchase Remaining maturity repurchase credit loans1 Holdings Weekly Holdings Weekly agreements3 agreements3 changes changes Within 15 days 24,000 213,684 13,459 - 5,867 395 0 43,000 93,063 16 days to 90 days 125,000 113,221 24,209 + 493 9,178 + 3,546 40,000 0 91 days to 1 year ... 21,335 70,092 + 1,987 4,927 + 954 ... ... Over 1 year to 5 years ... 61,283 174,098 + 3,404 0 0 ... ... Over 5 years to 10 years ... ... 93,362 + 9 0 0 ... ... Over 10 years ... ... 101,401 + 17 0 0 ... ... All 149,000 409,522 476,621 + 43 14,500 + 4,500 83,000 93,063 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 Oct 1, 2008 Sep 24, 2008 Oct 3, 2007 Assets Gold certificate account 11,037 0 0 Special drawing rights certificate account 2,200 0 0 Coin 1,509 + 15 + 389 Securities, repurchase agreements, term auction credit, and other loans 1,132,643 + 147,723 + 317,590 Securities held outright 491,121 + 4,543 - 288,503 U.S. Treasury1 476,621 + 43 - 303,003 Bills2 18,423 0 - 248,596 Notes and bonds, nominal2 411,731 0 - 60,411 Notes and bonds, inflation-indexed2 39,832 0 + 4,079 Inflation compensation3 6,635 + 42 + 1,924 Federal agency2 14,500 + 4,500 + 14,500 Repurchase agreements4 83,000 - 3,000 + 47,750 Term auction credit 149,000 - 1,000 + 149,000 Other loans 409,522 + 147,181 + 409,343 Net portfolio holdings of Maiden Lane LLC5 29,447 + 40 + 29,447 Items in process of collection (510) 1,279 + 311 - 1,399 Bank premises 2,167 - 2 + 64 Other assets6 318,410 + 136,692 + 279,834 Total assets (510) 1,498,693 + 284,781 + 625,927 Liabilities Federal Reserve notes, net of F.R. Bank holdings 803,979 + 4,557 + 26,574 Reverse repurchase agreements7 93,063 + 2,390 + 58,521 Deposits (0) 560,424 + 285,348 + 543,631 Depository institutions 179,291 + 83,990 + 168,547 U.S. Treasury, general account 5,278 + 103 - 367 U.S. Treasury, supplementary financing account 344,473 + 184,667 + 344,473 Foreign official 137 - 13 + 39 Other (0) 31,245 + 16,601 + 30,939 Deferred availability cash items (510) 2,769 + 389 - 568 Other liabilities and accrued dividends8,9 -2,812 - 7,414 - 8,816 Total liabilities (510) 1,457,423 + 285,270 + 619,343 Capital accounts Capital paid in 20,312 + 76 + 3,022 Surplus 18,520 + 4 + 3,082 Other capital accounts 2,438 - 570 + 480 Total capital 41,270 - 489 + 6,584 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, October 1, 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 1,509 42 74 115 130 192 199 176 58 51 104 166 204 Securities, repurchase agreements, term auction credit, and other loans 1,132,643 183,725 553,838 28,111 30,127 67,153 60,659 54,275 22,113 11,077 23,740 25,520 72,305 Securities held outright 491,121 20,599 174,738 21,443 18,623 44,534 48,866 43,346 16,971 9,272 18,033 20,372 54,323 U.S. Treasury1 476,621 19,991 169,579 20,810 18,073 43,219 47,423 42,066 16,470 8,998 17,500 19,771 52,720 Bills2 18,423 773 6,555 804 699 1,671 1,833 1,626 637 348 676 764 2,038 Notes and bonds3 458,198 19,219 163,024 20,006 17,375 41,549 45,590 40,440 15,834 8,650 16,824 19,007 50,682 Federal agency2 14,500 608 5,159 633 550 1,315 1,443 1,280 501 274 532 601 1,604 Repurchase agreements4 83,000 3,481 29,531 3,624 3,147 7,526 8,258 7,326 2,868 1,567 3,048 3,443 9,181 Term auction credit 149,000 7,500 100,445 0 8,250 14,709 3,320 2,156 2,050 30 2,575 1,000 6,965 Other loans 409,522 152,144 249,124 3,044 107 384 215 1,446 223 208 84 705 1,836 Net portfolio holdings of Maiden Lane LLC5 29,447 0 29,447 0 0 0 0 0 0 0 0 0 0 Items in process of collection 1,789 77 0 407 256 72 148 168 22 121 119 156 244 Bank premises 2,167 122 210 64 150 214 226 207 128 111 275 251 209 Other assets6 318,410 17,871 82,070 30,394 21,759 83,434 24,715 14,606 3,442 6,095 3,706 6,661 23,657 Interdistrict settlement account 0 -120,130 +147,865 - 14,287 - 9,278 - 52,364 + 18,715 + 12,488 + 5,032 + 62 + 6,020 + 5,873 + 4 Total assets 1,499,203 82,246 818,312 45,341 43,671 99,740 106,049 83,044 31,208 17,746 34,378 39,362 98,107 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, October 1, 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 989,42 3 37,3 1 4 353,17 2 41,2 9 5 39,99 3 81,0 5 1 120,38 1 80,6 9 6 29,9 4 4 17,4 8 4 30,77 6 54,80 9 102,510 Less: Notes held by F.R. Banks 185,44 3 5,6 2 5 51,21 0 6,8 3 6 8,24 3 12,4 6 2 29,58 3 13,7 9 4 3,5 6 3 2,9 3 1 3,48 2 23,02 8 24,686 Federal Reserve notes, net 803,97 9 31,6 8 8 301,96 2 34,4 5 9 31,74 9 68,5 8 9 90,79 8 66,9 0 2 26,3 8 1 14,5 5 2 27,29 4 31,78 1 77,824 Reverse repurchase agreements1 93,06 3 3,9 0 3 33,11 1 4,0 6 3 3,52 9 8,4 3 9 9,26 0 8,2 1 4 3,2 1 6 1,7 5 7 3,41 7 3,86 0 10,294 Deposits 560,42 4 44,5 2 7 477,89 0 1,5 2 3 4,79 7 11,6 0 3 2,12 0 4,7 4 2 1,0 2 9 3 6 6 2,86 6 2,63 5 6,325 Depository institutions 179,29 1 44,5 2 0 96,98 7 1,5 1 9 4,79 4 11,4 0 6 2,11 7 4,7 4 1 1,0 2 2 3 6 5 2,86 5 2,63 4 6,322 U.S. Treasury, general account 5,27 8 0 5,27 8 0 0 0 0 0 0 0 0 0 0 U.S. Treasury, supplementary financing account 344,47 3 0 344,47 3 0 0 0 0 0 0 0 0 0 0 Foreign official 13 7 2 10 7 4 3 1 1 3 2 0 1 0 1 3 Other 31,24 5 5 31,04 5 0 0 1 8 6 0 0 6 0 1 0 1 Deferred availability cash items 3,27 9 9 6 1 5 6 6 43 6 3 0 0 26 6 2 5 0 5 3 2 9 6 24 4 26 9 504 Other liabilities and accrued dividends2,3 -2,81 2 1 5 1 -5,33 8 1 8 9 18 6 4 6 6 36 9 3 0 1 1 5 5 1 0 1 12 5 16 7 317 Total liabilities 1,457,93 3 80,3 6 6 807,62 6 40,8 0 0 40,69 7 89,3 9 7 102,81 3 80,4 0 8 30,8 3 3 17,0 7 2 33,94 6 38,71 2 95,263 Capital Capital paid in 20,31 2 7 8 4 5,16 2 2,3 2 8 1,52 1 5,2 1 4 1,60 5 1,3 0 5 1 8 2 3 2 0 21 1 26 8 1,413 Surplus 18,52 0 1,0 5 0 4,68 3 1,8 1 4 1,29 1 4,9 9 9 1,42 6 8 1 5 1 8 0 3 5 4 19 3 36 4 1,351 Other capital 2,43 8 4 6 84 2 3 9 8 16 1 1 3 0 20 6 5 1 5 1 3 0 2 8 1 9 80 Total liabilities and capital 1,499,20 3 82,2 4 6 818,31 2 45,3 4 1 43,67 1 99,7 4 0 106,04 9 83,0 4 4 31,2 0 8 17,7 4 6 34,37 8 39,36 2 98,107 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.

H.4.1 6. Collateral Held against Federal Reserve Notes: Federal Reserve Agents' Accounts Millions of dollars Wednesday Federal Reserve notes and collateral Oct 1, 2008 Federal Reserve notes outstanding 989,423 Less: Notes held by F.R. Banks not subject to collateralization 185,443 Federal Reserve notes to be collateralized 803,979 Collateral held against Federal Reserve notes 803,979 Gold certificate account 11,037 Special drawing rights certificate account 2,200 U.S. Treasury and agency securities pledged1 488,172 Other assets pledged 302,571 Memo: Total U.S. Treasury and agency securities1 574,121 Less: Face value of securities under reverse repurchase agreements 85,949 U.S. Treasury and agency securities eligible to be pledged 488,172 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.