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 August 24, 2023 1. Factors Affecting Reserve Balances of Depository Institutions Millions of dollars Reserve Bank credit, related items, and Averages of daily figures Wednesday reserve balances of depository institutions at Week ended Change from week ended Aug 23, 2023 Federal Reserve Banks Aug 23, 2023 Aug 16, 2023 Aug 24, 2022 Reserve Bank credit 8,107,290 - 46,423 - 711,267 8,102,816 Securities held outright1 7,524,272 - 32,018 - 907,653 7,521,981 U.S. Treasury securities 5,006,304 - 30,101 - 693,790 5,006,494 Bills2 259,422 0 - 66,622 259,422 Notes and bonds, nominal2 4,272,970 - 30,446 - 628,297 4,273,034 Notes and bonds, inflation-indexed2 364,549 0 - 10,170 364,549 Inflation compensation3 109,363 + 345 + 11,299 109,489 Federal agency debt securities2 2,347 0 0 2,347 Mortgage-backed securities4 2,515,622 - 1,916 - 213,862 2,513,140 Unamortized premiums on securities held outright5 291,365 - 611 - 37,228 291,081 Unamortized discounts on securities held outright5 -27,591 - 171 - 1,034 -27,498 Repurchase agreements6 4 - 142 + 4 0 Foreign official 4 - 140 + 4 0 Others 0 - 2 0 0 Loans 255,182 - 2,835 + 236,734 252,629 Primary credit 1,937 + 106 - 1,175 2,190 Secondary credit 0 0 0 0 Seasonal credit 61 + 3 + 14 65 Paycheck Protection Program Liquidity Facility 6,000 - 79 - 9,289 5,817 Bank Term Funding Program 107,268 + 375 + 107,268 107,386 Other credit extensions7 139,916 - 3,240 + 139,916 137,171 Net portfolio holdings of MS Facilities LLC (Main Street Lending Program)8 19,499 - 191 - 6,405 19,512 Net portfolio holdings of Municipal Liquidity Facility LLC8 5,613 + 3 + 60 5,615 Net portfolio holdings of TALF II LLC8 1,580 + 1 - 579 1,581 Float -168 + 2 - 40 -224 Central bank liquidity swaps9 230 + 1 + 64 230 Other Federal Reserve assets10 37,304 - 10,463 + 4,810 37,910 Foreign currency denominated assets11 18,270 - 97 + 665 18,301 Gold stock 11,041 0 0 11,041 Special drawing rights certificate account 5,200 0 0 5,200 Treasury currency outstanding12 52,419 + 14 + 1,466 52,419 Total factors supplying reserve funds 8,194,220 - 46,506 - 709,135 8,189,777 Note: Components may not sum to totals because of rounding. Footnotes appear at the end of the table.

H.4.1 1. Factors Affecting Reserve Balances of Depository Institutions (continued) Millions of dollars Reserve Bank credit, related items, and Averages of daily figures Wednesday reserve balances of depository institutions at Week ended Change from week ended Aug 23, 2023 Federal Reserve Banks Aug 23, 2023 Aug 16, 2023 Aug 24, 2022 Currency in circulation12 2,328,554 - 2,520 + 53,406 2,328,199 Reverse repurchase agreements13 2,112,385 + 43,083 - 380,974 2,112,514 Foreign official and international accounts 297,336 + 2,237 + 33,499 295,981 Others 1,815,048 + 40,844 - 414,474 1,816,533 Treasury cash holdings 310 + 11 + 206 315 Deposits with F.R. Banks, other than reserve balances 591,588 - 29,071 - 168,033 596,533 Term deposits held by depository institutions 0 0 0 0 U.S. Treasury, General Account 413,787 - 22,008 - 121,480 416,031 Foreign official 9,686 0 + 2,252 9,686 Other14 168,116 - 7,062 - 48,803 170,816 Treasury contributions to credit facilities15 13,358 0 - 4,582 13,358 Other liabilities and capital16 -38,764 + 1,172 - 88,583 -38,522 Total factors, other than reserve balances, absorbing reserve funds 5,007,431 + 12,676 - 588,559 5,012,398 Reserve balances with Federal Reserve Banks 3,186,789 - 59,182 - 120,576 3,177,380 Note: Components may not sum to totals because of rounding. 1. Includes securities lent to dealers under the overnight securities lending facility; 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. Guaranteed by Fannie Mae, Freddie Mac, and Ginnie Mae. The current face value shown is the remaining principal balance of the securities. 5. Reflects the premium or discount, which is the difference between the purchase price and the face value of the securities that has not been amortized. For U.S. Treasury securities, Federal agency debt securities, and mortgage-backed securities, amortization is on an effective-interest basis. 6. Cash value of agreements. 7. Includes outstanding loans to depository institutions that were subsequently placed into Federal Deposit Insurance Corporation (FDIC) receivership, including depository institutions established by the FDIC. The Federal Reserve Banks' loans to these depository institutions are secured by pledged collateral and the FDIC provides repayment guarantees. 8. Includes assets purchased pursuant to terms of the credit facility and amounts related to Treasury contributions to the facility. Refer to note on consolidation below. 9. Dollar value of foreign currency held under these agreements valued at the exchange rate to be used when the foreign currency is returned to the foreign central bank. This exchange rate equals the market exchange rate used when the foreign currency was acquired from the foreign central bank. 10. Includes bank premises, accrued interest, and other accounts receivable. 11. Revalued daily at current foreign currency exchange rates. 12. Estimated. 13. Cash value of agreements, which are collateralized by U.S. Treasury securities, federal agency debt securities, and mortgage-backed securities 14. Includes deposits held at the Reserve Banks by international and multilateral organizations, government-sponsored enterprises, designated financial market utilities, and deposits held by depository institutions in joint accounts in connection with their participation in certain private-sector payment arrangements. Also includes certain deposit accounts other than the U.S. Treasury, General Account, for services provided by the Reserve Banks as fiscal agents of the United States. 15. Book value. Amount of equity investments in MS Facilities LLC of $9.7 billion, Municipal Liquidity Facility LLC of $2.8 billion, and TALF II LLC of $0.9 billion. 16. Includes the liability for earnings remittances due to the U.S. Treasury. Sources: Federal Reserve Banks and the U.S. Department of the Treasury.

H.4.1 1A. Memorandum Items Millions of dollars Averages of daily figures Wednesday Memorandum item Week ended Change from week ended Aug 23, 2023 Aug 23, 2023 Aug 16, 2023 Aug 24, 2022 Securities held in custody for foreign official and international accounts 3,440,337 - 9,146 + 53,932 3,434,557 Marketable U.S. Treasury securities1 3,005,691 - 8,898 + 19,642 3,000,551 Federal agency debt and mortgage-backed securities2 352,553 - 322 + 35,926 351,850 Other securities3 82,093 + 74 - 1,636 82,156 Securities lent to dealers 37,980 - 3,641 - 4,969 38,877 Overnight facility4 37,980 - 3,641 - 4,969 38,877 U.S. Treasury securities 37,980 - 3,641 - 4,969 38,877 Federal agency debt securities 0 0 0 0 Note: Components may not sum to totals because of rounding. 1. Includes securities and U.S. Treasury STRIPS at face value, and inflation compensation on TIPS. Does not include securities pledged as collateral to foreign official and international account holders against reverse repurchase agreements with the Federal Reserve presented in tables 1, 5, and 6. 2. Face value of federal agency securities and current face value of mortgage-backed securities, which is the remaining principal balance of the securities. 3. Includes non-marketable U.S. Treasury securities, supranationals, corporate bonds, asset-backed securities, and commercial paper at face value. 4. Face value. Fully collateralized by U.S. Treasury securities.

H.4.1 2. Maturity Distribution of Securities, Loans, and Selected Other Assets and Liabilities, August 23, 2023 Millions of dollars Within 15 16 days to 91 days to Over 1 year Over 5 year Over 10 Remaining Maturity All days 90 days 1 year to 5 years to 10 years years Loans1 138,803 3,060 104,953 5,813 0 ... 252,629 U.S. Treasury securities2 Holdings 68,144 251,632 634,931 1,719,070 831,951 1,500,768 5,006,494 Weekly changes - 3,846 + 36,695 - 32,826 + 225 + 14,295 - 14,122 + 419 Federal agency debt securities3 Holdings 0 0 0 0 2,347 0 2,347 Weekly changes 0 0 0 0 0 0 0 Mortgage-backed securities4 Holdings 0 1 13 9,262 43,694 2,460,170 2,513,140 Weekly changes 0 0 0 - 311 + 313 - 4,344 - 4,343 Loan participations held by MS Facilities LLC (Main Street Lending Program)5 0 0 0 9,999 ... ... 9,999 Municipal notes held by Municipal Liquidity Facility LLC6 0 0 2,907 0 ... ... 2,907 Loans held by TALF II LLC7 0 193 201 0 ... ... 394 Repurchase agreements8 0 0 ... ... ... ... 0 Central bank liquidity swaps9 230 0 0 0 0 0 230 Reverse repurchase agreements8 2,112,514 0 ... ... ... ... 2,112,514 Term deposits 0 0 0 ... ... ... 0 Note: Components may not sum to totals because of rounding. ...Not applicable. 1. Loans includes primary, secondary, and seasonal loans and credit extended through the Paycheck Protection Program Liquidity Facility (PPPLF), Bank Term Funding Program, and other credit extensions. A component of PPPLF loans presented in the Within 15 day category has reached maturity and is recognized as performing loans based upon the underlying guarantee of the collateral by the Small Business Administration. Additionally, the Within 15 days category includes outstanding loans to depository institutions (including FDIC-established depository institutions) that were subsequently placed in receivership. These loans are recognized as performing based upon payment due from the receiverships, pledged collateral securing the loans, and the FDIC repayment guarantees. Loans exclude the loans from the Federal Reserve Bank of New York (FRBNY) to Municipal Liquidity Facility LLC and TALF II LLC, and from the Federal Reserve Bank of Boston (FRBB) to MS Facilities LLC, which were eliminated when preparing the FRBNY's and FRBB's statement of condition, respectively, consistent with consolidation under generally accepted accounting principles. 2. Face value. For inflation-indexed securities, includes the original face value and compensation that adjusts for the effect of inflation on the original face value of such securities. 3. Face value. 4. Guaranteed by Fannie Mae, Freddie Mac, and Ginnie Mae. The current face value shown is the remaining principal balance of the securities. 5. Book value of the loan participations held by the MS Facilities LLC. 6. Book value of the municipal notes held by the Municipal Liquidity Facility LLC. 7. Book value of the loans held by the TALF II LLC. 8. Cash value of agreements. 9. Dollar value of foreign currency held under these agreements valued at the exchange rate to be used when the foreign currency is returned to the foreign central bank. This exchange rate equals the market exchange rate used when the foreign currency was acquired from the foreign central bank.

H.4.1 3. Supplemental Information on Mortgage-Backed Securities Millions of dollars Wednesday Account name Aug 23, 2023 Mortgage-backed securities held outright1 2,513,140 Residential mortgage-backed securities 2,504,771 Commercial mortgage-backed securities 8,369 Commitments to buy mortgage-backed securities2 150 Commitments to sell mortgage-backed securities2 0 Cash and cash equivalents3 0 1. Guaranteed by Fannie Mae, Freddie Mac, and Ginnie Mae. The current face value shown is the remaining principal balance of the securities. 2. Current face value. Includes residential and commercial mortgage-backed securities. Residential mortgage-backed securities generally settle within 180 calendar days and include commitments associated with outright transactions, dollar rolls, and coupon swaps. Commercial mortgage-backed securities generally settle within three business days. 3. This amount is included in other Federal Reserve assets in table 1 and in other assets in table 5 and table 6. 4. Information on Principal Accounts of Credit Facilities LLCs Millions of dollars Wednesday Aug 23, 2023 Net portfolio holdings of Credit Facilities LLCs Outstanding Credit Facilities LLCs: principal Outstanding amount amount of Treasury of loan facility contributions extended to asset and the LLC1 purchases2 other assets3 Total MS Facilities LLC (Main Street Lending Program) 9,011 9,018 10,494 19,512 Municipal Liquidity Facility LLC 2,907 2,907 2,708 5,615 TALF II LLC 744 394 1,187 1,581 Note: Components may not sum to totals because of rounding. 1. Book value. This amount was eliminated when preparing the Federal Reserve Banks' statement of condition consistent with consolidation under generally accepted accounting principles. Refer to the note on consolidation accompanying table 6. Loans are extended from the Federal Reserve Bank to the LLC upon settlement of the investment activity. 2. Outstanding amount of facility asset purchases: a. For the MS Facilities LLC (Main Street Lending Program) includes loan participations at face value, net of an allowance for loan losses updated as of June 30, 2023. b. For the Municipal Liquidity Facility LLC includes municipal notes at book value. Asset balances from trading activity may be reported on a one-day lag after the transaction date. c. For the TALF II LLC includes loans to holders of eligible asset-backed securities at book value. 3. Includes short term receivables, interest and dividend receivables, and other assets of the facility. Also includes the portion of the Treasury contribution to the credit facilities, which is held as investments in nonmarketable Treasury securities and the residual portion which is held as cash and cash equivalents at the FRBNY. The amount of cash and cash equivalents held at the FRBNY are eliminated in consolidation and, as result, are excluded from net portfolio holdings in Tables 1, 5, and 6. Amounts excluded are approximately 15% of Treasury contributions to the Municipal Liquidity Facility LLC and TALF II LLC. Refer to the note on consolidation accompanying table 6.

H.4.1 5. Consolidated Statement of Condition of All Federal Reserve Banks Millions of dollars Change since Eliminations from Wednesday Assets, liabilities, and capital Wednesday Wednesday consolidation Aug 23, 2023 Aug 16, 2023 Aug 24, 2022 Assets Gold certificate account 11,037 0 0 Special drawing rights certificate account 5,200 0 0 Coin 1,430 + 4 + 133 Securities, unamortized premiums and discounts, repurchase agreements, and loans 8,038,193 - 8,946 - 711,230 Securities held outright1 7,521,981 - 3,924 - 906,900 U.S. Treasury securities 5,006,494 + 419 - 694,134 Bills2 259,422 0 - 66,622 Notes and bonds, nominal2 4,273,034 + 75 - 628,233 Notes and bonds, inflation-indexed2 364,549 0 - 10,170 Inflation compensation3 109,489 + 344 + 10,891 Federal agency debt securities2 2,347 0 0 Mortgage-backed securities4 2,513,140 - 4,343 - 212,766 Unamortized premiums on securities held outright5 291,081 - 691 - 37,172 Unamortized discounts on securities held outright5 -27,498 + 7 - 984 Repurchase agreements6 0 - 6 0 Loans7 252,629 - 4,332 + 233,826 Net portfolio holdings of MS Facilities LLC (Main Street Lending Program)8 19,512 + 15 - 6,405 Net portfolio holdings of Municipal Liquidity Facility LLC8 5,615 + 3 + 61 Net portfolio holdings of TALF II LLC8 1,581 + 1 - 579 Items in process of collection (0) 56 - 2 + 10 Bank premises 453 + 7 - 157 Central bank liquidity swaps9 230 + 1 + 64 Foreign currency denominated assets10 18,301 + 12 + 758 Other assets11 37,457 + 2,242 + 4,973 Total assets (0) 8,139,066 - 6,661 - 712,370 Note: Components may not sum to totals because of rounding. Footnotes appear at the end of the table.

H.4.1 5. Consolidated Statement of Condition of All Federal Reserve Banks (continued) Millions of dollars Change since Eliminations from Wednesday Assets, liabilities, and capital Wednesday Wednesday consolidation Aug 23, 2023 Aug 16, 2023 Aug 24, 2022 Liabilities Federal Reserve notes, net of F.R. Bank holdings 2,277,521 - 2,246 + 51,201 Reverse repurchase agreements12 2,112,514 + 15,848 - 381,846 Deposits (0) 3,773,913 - 21,600 - 289,138 Term deposits held by depository institutions 0 0 0 Other deposits held by depository institutions 3,177,380 - 51,573 - 93,533 U.S. Treasury, General Account 416,031 + 31,217 - 114,165 Foreign official 9,686 + 2 + 2,251 Other13 (0) 170,816 - 1,246 - 83,691 Deferred availability cash items (0) 281 + 62 + 77 Treasury contributions to credit facilities14 13,358 0 - 4,582 Other liabilities and accrued dividends15 -81,241 + 1,273 - 89,004 Total liabilities (0) 8,096,347 - 6,661 - 713,292 Capital accounts Capital paid in 35,934 0 + 923 Surplus 6,785 0 0 Other capital accounts 0 0 0 Total capital 42,719 0 + 923 Note: Components may not sum to totals because of rounding. 1. Includes securities lent to dealers under the overnight securities lending facility; 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. Guaranteed by Fannie Mae, Freddie Mac, and Ginnie Mae. The current face value shown is the remaining principal balance of the securities. 5. Reflects the premium or discount, which is the difference between the purchase price and the face value of the securities that has not been amortized. For U.S. Treasury securities, Federal agency debt securities, and mortgage-backed securities, amortization is on an effective-interest basis. 6. Cash value of agreements, which are collateralized by U.S. Treasury and federal agency securities. 7. Loans includes primary, secondary, and seasonal loans and credit extended through the Paycheck Protection Program Liquidity Facility, Bank Term Funding Program, and other credit extensions. 8. Includes assets purchased pursuant to terms of the credit facility and amounts related to Treasury contributions to the facility. Refer to note on consolidation below. 9. Dollar value of foreign currency held under these agreements valued at the exchange rate to be used when the foreign currency is returned to the foreign central bank. This exchange rate equals the market exchange rate used when the foreign currency was acquired from the foreign central bank. 10. Revalued daily at current foreign currency exchange rates. 11. Includes accrued interest, which represents the daily accumulation of interest earned, and other accounts receivable. 12. Cash value of agreements, which are collateralized by U.S. Treasury securities, federal agency debt securities, and mortgage-backed securities. 13. Includes deposits held at the Reserve Banks by international and multilateral organizations, government-sponsored enterprises, designated financial market utilities, and deposits held by depository institutions in joint accounts in connection with their participation in certain private-sector payment arrangements. Also includes certain deposit accounts other than the U.S. Treasury, General Account, for services provided by the Reserve Banks as fiscal agents of the United States. 14. Book value. Amount of equity investments in MS Facilities LLC of $9.7 billion, Municipal Liquidity Facility LLC of $2.8 billion, and TALF II LLC of $0.9 billion. 15. Includes the liability for earnings remittances due to the U.S. Treasury.

H.4.1 6. Statement of Condition of Each Federal Reserve Bank, August 23, 2023 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 certificates and special drawing rights certificates 16,237 557 5,175 525 752 1,187 2,287 1,104 479 264 452 1,290 2,165 Coin 1,430 39 45 128 58 185 116 260 34 45 91 177 254 Securities, unamortized premiums and discounts, repurchase agreements, and loans1 8,038,193 154,731 4,380,150 130,686 242,921 548,555 533,932 490,908 123,841 60,398 109,461 392,235 870,375 Net portfolio holdings of MS Facilities LLC (Main Street Lending Program)2 19,512 19,512 0 0 0 0 0 0 0 0 0 0 0 Net portfolio holdings of Municipal Liquidity Facility LLC2 5,615 0 5,615 0 0 0 0 0 0 0 0 0 0 Net portfolio holdings of TALF II LLC2 1,581 0 1,581 0 0 0 0 0 0 0 0 0 0 Central bank liquidity swaps3 230 10 82 8 22 47 7 8 5 1 2 5 33 Foreign currency denominated assets4 18,301 788 6,513 657 1,726 3,705 549 637 412 116 194 386 2,619 Other assets5 37,966 806 16,771 659 1,089 2,744 3,590 2,057 846 493 827 1,814 6,270 Interdistrict settlement account 0+ 3,470- 202,450- 3,100+ 53,150+ 230,542+ 13,885- 35,321- 4,166- 1,370- 9,472- 23,256 - 21,910 Total assets 8,139,066 179,912 4,213,481 129,563 299,717 786,964 554,366 459,652 121,450 59,947 101,556 372,651 859,806 Note: Components may not sum to totals because of rounding. Footnotes appear at the end of the table.

H.4.1 6. Statement of Condition of Each Federal Reserve Bank, August 23, 2023 (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, net 2,277,521 81,016 720,440 54,906 111,924 168,151 352,441 124,793 72,691 34,197 50,236 190,660 316,065 Reverse repurchase agreements6 2,112,514 40,813 1,179,734 34,817 64,918 147,009 143,110 131,687 31,602 14,324 27,313 103,000 194,188 Deposits 3,773,913 47,325 2,350,862 38,936 120,995 474,857 56,747 207,764 16,160 11,202 23,704 79,184 346,176 Depository institutions 3,177,380 47,269 1,869,748 38,935 120,960 474,411 56,718 93,128 16,150 11,149 23,672 79,095 346,147 U.S. Treasury, General Account 416,031 0 416,031 0 0 0 0 0 0 0 0 0 0 Foreign official 9,686 2 9,660 1 4 8 1 1 1 0 0 1 6 Other7 170,816 53 55,423 0 31 438 28 114,635 9 53 32 88 23 Earnings remittances due to the U.S. Treasury8 -92,624 -1,756 -61,524 -821 -3,027 -12,972 -1 -7,314 -113 -169 -356 -1,519 -3,051 Treasury contributions to credit facilities9 13,358 9,684 3,674 0 0 0 0 0 0 0 0 0 0 Other liabilities and accrued dividends 11,664 1,022 5,427 211 433 1,437 653 692 146 124 194 325 1,000 Total liabilities 8,096,347 178,104 4,198,612 128,050 295,243 778,481 552,951 457,622 120,486 59,678 101,091 371,650 854,379 Capital Capital paid in 35,934 1,516 12,455 1,269 3,834 7,109 1,212 1,794 812 226 393 858 4,456 Surplus 6,785 292 2,414 244 640 1,374 203 236 153 43 72 143 971 Other capital 0 0 0 0 0 0 0 0 0 0 0 0 0 Total liabilities and capital 8,139,066 179,912 4,213,481 129,563 299,717 786,964 554,366 459,652 121,450 59,947 101,556 372,651 859,806 Note: Components may not sum to totals because of rounding. Footnotes appear at the end of the table.

H.4.1 6. Statement of Condition of Each Federal Reserve Bank, August 23, 2023 (continued) 1. Securities include outright holdings of U.S. Treasury securities, federal agency debt securities, and mortgage-backed securities, including securities lent to dealers under the overnight securities lending facility; refer to table 1A. Mortgage-backed securities are guaranteed by Fannie Mae, Freddie Mac, and Ginnie Mae. Unamortized premiums and discounts are the differences between the purchase price and the face value of the securities that have not been amortized. For U.S. Treasury securities, federal agency debt securities, and mortgage-backed securities, amortization is on an effective-interest basis. Repurchase agreements reflect the cash value of agreements, which are collateralized by U.S. Treasury and federal agency securities. Loans includes primary, secondary, and seasonal loans and credit extended through the Paycheck Protection Program Liquidity Facility, Bank Term Funding Program, and other credit extensions. 2. Includes assets purchased pursuant to terms of the credit facility and amounts related to Treasury contributions to the facility. Refer to note on consolidation below. 3. Dollar value of foreign currency held under these agreements valued at the exchange rate to be used when the foreign currency is returned to the foreign central bank. This exchange rate equals the market exchange rate used when the foreign currency was acquired from the foreign central bank. 4. Revalued daily at current foreign currency exchange rates. 5. Includes items in process of collection, bank premises, accrued interest (which represents the daily accumulation of interest earned), and other accounts receivable. 6. Cash value of agreements, which are collateralized by U.S. Treasury securities, federal agency debt securities, and mortgage-backed securities. 7. Includes deposits held at the Reserve Banks by international and multilateral organizations, government-sponsored enterprises, designated financial market utilities, and deposits held by depository institutions in joint accounts in connection with their participation in certain private-sector payment arrangements. Also includes certain deposit accounts other than the U.S. Treasury, General Account, for services provided by the Reserve Banks as fiscal agents of the United States. 8. The Federal Reserve Banks remit residual net earnings to the U.S. Treasury after providing for the costs of operations, payment of dividends, and the amount necessary to maintain each Federal Reserve Bank's allotted surplus cap. Positive amounts represent the estimated weekly remittances due to U.S. Treasury. Negative amounts represent the cumulative deferred asset position, which is incurred during a period when earnings are not sufficient to provide for the cost of operations, payment of dividends, and maintaining surplus. The deferred asset is the amount of net earnings that the Federal Reserve Banks need to realize before remittances to the U.S. Treasury resume. 9. Book value. Amount of equity investments in MS Facilities LLC of $9.7 billion, Municipal Liquidity Facility LLC of $2.8 billion, and TALF II LLC of $0.9 billion. Note on consolidation: The Federal Reserve Bank of New York (FRBNY) and the Federal Reserve Bank of Boston (FRBB) have extended loans to limited liability companies under the authority of section 13(3) of the Federal Reserve Act. On June 5, 2020, FRBNY began extending loans to the Municipal Liquidity Facility LLC (MLF LLC), a limited liability company formed to purchase municipal notes from eligible issuers. The assets of the MLF LLC and the amount provided by U.S. Treasury as credit protection to the FRBNY are used to secure the loan from the FRBNY. On June 25, 2020, FRBNY began extending loans to the TALF II LLC, a special purpose vehicle that was formed to help support the flow of credit to consumers and businesses. The assets of the TALF II LLC and the amount provided by U.S. Treasury as credit protection to the FRBNY are used to secure the loan from the FRBNY. On July 15, 2020, the FRBB began extending loans to the MS Facilities LLC (Main Street Lending Program), a special purpose vehicle that was formed to help ensure credit flows to small and medium-sized businesses and to eligible nonprofits. The assets of the MS Facilities LLC and the amount provided by U.S. Treasury as credit protection to the FRBB are used to secure the loan from the FRBB. The FRBNY is the managing member of MLF LLC and TALF II LLC. The FRBB is the managing member of MS Facilities LLC (Main Street Lending Program). Consistent with generally accepted accounting principles, the assets and liabilities of each LLC have been accounted for and consolidated with the assets and liabilities of the FRBNY or FRBB, in the preparation of the statements of condition shown on this release. As a consequence of the consolidation, the loan from the Reserve Bank to the LLC is eliminated as are any balances held at the FRBNY for LLCs consolidated to FRBNY or FRBB for LLCs consolidated to FRBB. Treasury contributions to credit facilities are held at FRBNY until invested. Net assets of the LLC appears as assets on table 6 (and in table 1 and table 5), and the liabilities of the LLC to entities other than the FRBNY or FRBB, including those with recourse only to the portfolio holdings of the LLC, are included in other liabilities in this table (and table 1 and table 5). The amount provided by U.S. Treasury as credit protection to FRBNY and FRBB appears as liabilities on table 6 (and in table 1 and table 5).

H.4.1 7. Collateral Held against Federal Reserve Notes: Federal Reserve Agents' Accounts Millions of dollars Wednesday Federal Reserve notes and collateral Aug 23, 2023 Federal Reserve notes outstanding 2,688,481 Less: Notes held by F.R. Banks not subject to collateralization 410,960 Federal Reserve notes to be collateralized 2,277,521 Collateral held against Federal Reserve notes 2,277,521 Gold certificate account 11,037 Special drawing rights certificate account 5,200 U.S. Treasury, agency debt, and mortgage-backed securities pledged1,2 2,261,285 Other assets pledged 0 Memo: Total U.S. Treasury, agency debt, and mortgage-backed securities1,2 7,521,981 Less: Face value of securities under reverse repurchase agreements 2,346,318 U.S. Treasury, agency debt, and mortgage-backed securities eligible to be pledged 5,175,663 Note: Components may not sum to totals because of rounding. 1. Includes face value of U.S. Treasury, agency debt, and mortgage-backed 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. 2. Includes securities lent to dealers under the overnight securities lending facility; refer to table 1A.