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 December 21, 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 Dec 20, 2023 Federal Reserve Banks Dec 20, 2023 Dec 13, 2023 Dec 21, 2022 Reserve Bank credit 7,691,030 - 10,774 - 839,526 7,687,649 Securities held outright1 7,243,616 - 16,103 - 915,811 7,238,168 U.S. Treasury securities 4,794,898 - 15,458 - 706,142 4,792,329 Bills2 224,689 - 3,281 - 67,361 224,095 Notes and bonds, nominal2 4,090,641 - 12,135 - 638,824 4,088,681 Notes and bonds, inflation-indexed2 365,578 0 - 11,838 365,578 Inflation compensation3 113,990 - 42 + 11,882 113,975 Federal agency debt securities2 2,347 0 0 2,347 Mortgage-backed securities4 2,446,371 - 645 - 209,670 2,443,492 Unamortized premiums on securities held outright5 280,334 - 575 - 35,077 280,036 Unamortized discounts on securities held outright5 -26,279 + 215 + 1,255 -26,189 Repurchase agreements6 2 - 3 0 0 Foreign official 0 0 0 0 Others 1 - 4 - 1 0 Loans 134,657 + 6,310 + 118,827 137,262 Primary credit 2,185 + 127 - 1,962 2,400 Secondary credit 0 - 1 0 0 Seasonal credit 30 + 5 + 27 26 Paycheck Protection Program Liquidity Facility 3,553 - 128 - 8,128 3,501 Bank Term Funding Program 128,889 + 6,308 + 128,889 131,335 Other credit extensions7 0 0 0 0 Net portfolio holdings of MS Facilities LLC (Main Street Lending Program)8 16,199 - 422 - 6,385 16,136 Net portfolio holdings of Municipal Liquidity Facility LLC8 3,116 - 2,491 - 2,448 2,695 Net portfolio holdings of TALF II LLC8 198 - 125 - 1,783 169 Float -234 - 25 - 84 -261 Central bank liquidity swaps9 235 - 105 + 25 235 Other Federal Reserve assets10 39,185 + 2,549 + 1,956 39,398 Foreign currency denominated assets11 18,450 + 313 + 112 18,412 Gold stock 11,041 0 0 11,041 Special drawing rights certificate account 5,200 0 0 5,200 Treasury currency outstanding12 52,588 + 14 + 554 52,588 Total factors supplying reserve funds 7,778,308 - 10,448 - 838,861 7,774,891 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 Dec 20, 2023 Federal Reserve Banks Dec 20, 2023 Dec 13, 2023 Dec 21, 2022 Currency in circulation12 2,331,997 + 1,088 + 35,790 2,335,924 Reverse repurchase agreements13 1,062,589 - 90,704 -1,436,787 1,124,202 Foreign official and international accounts 334,583 + 8,376 - 21,257 345,059 Others 728,005 - 99,080 -1,415,531 779,143 Treasury cash holdings 397 - 6 + 302 394 Deposits with F.R. Banks, other than reserve balances 914,966 + 89,763 + 230,123 904,459 Term deposits held by depository institutions 0 0 0 0 U.S. Treasury, General Account 732,196 + 73,756 + 272,416 732,721 Foreign official 9,689 - 2 + 1,250 9,688 Other14 173,082 + 16,009 - 43,543 162,050 Treasury contributions to credit facilities15 10,311 0 - 5,036 10,311 Other liabilities and capital16 -78,058 - 6,076 - 110,738 -77,687 Total factors, other than reserve balances, absorbing reserve funds 4,242,203 - 5,934 -1,286,345 4,297,603 Reserve balances with Federal Reserve Banks 3,536,105 - 4,514 + 447,484 3,477,288 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 $7.4 billion, Municipal Liquidity Facility LLC of $2.8 billion, and TALF II LLC of $0.1 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 Dec 20, 2023 Dec 20, 2023 Dec 13, 2023 Dec 21, 2022 Securities held in custody for foreign official and international accounts 3,387,026 - 1,554 + 78,269 3,379,835 Marketable U.S. Treasury securities1 2,958,450 - 1,117 + 60,260 2,952,278 Federal agency debt and mortgage-backed securities2 345,246 - 313 + 16,068 344,190 Other securities3 83,330 - 124 + 1,942 83,366 Securities lent to dealers 33,607 + 2,768 - 7,861 36,611 Overnight facility4 33,607 + 2,768 - 7,861 36,611 U.S. Treasury securities 33,607 + 2,768 - 7,840 36,611 Federal agency debt securities 0 0 - 21 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, December 20, 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 2,907 21,446 109,412 3,497 0 ... 137,262 U.S. Treasury securities2 Holdings 58,676 247,297 574,396 1,627,431 779,349 1,505,180 4,792,329 Weekly changes + 21,650 - 33,314 + 2,184 - 7,905 - 9 - 11 - 17,405 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 27 5,003 37,013 2,401,449 2,443,492 Weekly changes 0 0 0 - 22 + 23 - 3,408 - 3,409 Loan participations held by MS Facilities LLC (Main Street Lending Program)5 0 0 0 8,161 ... ... 8,161 Municipal notes held by Municipal Liquidity Facility LLC6 0 0 0 0 ... ... 0 Loans held by TALF II LLC7 0 0 0 0 ... ... 0 Repurchase agreements8 0 0 ... ... ... ... 0 Central bank liquidity swaps9 235 0 0 0 0 0 235 Reverse repurchase agreements8 1,124,202 0 ... ... ... ... 1,124,202 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. 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 Dec 20, 2023 Mortgage-backed securities held outright1 2,443,492 Residential mortgage-backed securities 2,435,227 Commercial mortgage-backed securities 8,265 Commitments to buy mortgage-backed securities2 0 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 Dec 20, 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) 7,434 7,520 8,616 16,136 Municipal Liquidity Facility LLC 0 0 2,695 2,695 TALF II LLC 0 0 169 169 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 September 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 Dec 20, 2023 Dec 13, 2023 Dec 21, 2022 Assets Gold certificate account 11,037 0 0 Special drawing rights certificate account 5,200 0 0 Coin 1,436 - 3 + 247 Securities, unamortized premiums and discounts, repurchase agreements, and loans 7,629,278 - 13,591 - 831,151 Securities held outright1 7,238,168 - 20,814 - 918,432 U.S. Treasury securities 4,792,329 - 17,405 - 708,701 Bills2 224,095 - 3,268 - 67,732 Notes and bonds, nominal2 4,088,681 - 14,095 - 640,837 Notes and bonds, inflation-indexed2 365,578 0 - 11,838 Inflation compensation3 113,975 - 42 + 11,706 Federal agency debt securities2 2,347 0 0 Mortgage-backed securities4 2,443,492 - 3,409 - 209,730 Unamortized premiums on securities held outright5 280,036 - 671 - 35,051 Unamortized discounts on securities held outright5 -26,189 + 213 + 1,277 Repurchase agreements6 0 - 7 0 Loans7 137,262 + 7,688 + 121,053 Net portfolio holdings of MS Facilities LLC (Main Street Lending Program)8 16,136 - 502 - 6,460 Net portfolio holdings of Municipal Liquidity Facility LLC8 2,695 - 2,914 - 2,871 Net portfolio holdings of TALF II LLC8 169 - 155 - 1,814 Items in process of collection (0) 66 - 8 - 27 Bank premises 441 + 10 - 49 Central bank liquidity swaps9 235 - 105 + 25 Foreign currency denominated assets10 18,412 + 247 - 63 Other assets11 38,957 + 1,517 + 1,815 Total assets (0) 7,724,063 - 15,503 - 840,348 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 Dec 20, 2023 Dec 13, 2023 Dec 21, 2022 Liabilities Federal Reserve notes, net of F.R. Bank holdings 2,285,162 + 4,474 + 36,017 Reverse repurchase agreements12 1,124,202 - 28,030 -1,438,160 Deposits (0) 4,381,747 + 14,231 + 677,354 Term deposits held by depository institutions 0 0 0 Other deposits held by depository institutions 3,477,288 - 90,484 + 427,956 U.S. Treasury, General Account 732,721 + 102,103 + 297,799 Foreign official 9,688 - 5 + 1,254 Other13 (0) 162,050 + 2,616 - 49,656 Deferred availability cash items (0) 328 - 3 + 73 Treasury contributions to credit facilities14 10,311 0 - 5,036 Other liabilities and accrued dividends15 -120,536 - 6,173 - 111,645 Total liabilities (0) 7,681,213 - 15,503 - 841,399 Capital accounts Capital paid in 36,065 0 + 1,051 Surplus 6,785 0 0 Other capital accounts 0 0 0 Total capital 42,850 0 + 1,051 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 $7.4 billion, Municipal Liquidity Facility LLC of $2.8 billion, and TALF II LLC of $0.1 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, December 20, 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 1,436 48 41 134 53 178 108 251 34 54 96 176 262 Securities, unamortized premiums and discounts, repurchase agreements, and loans1 7,629,278 151,032 4,192,139 126,097 233,389 532,384 517,796 476,311 120,192 58,711 107,113 379,856 734,259 Net portfolio holdings of MS Facilities LLC (Main Street Lending Program)2 16,136 16,136 0 0 0 0 0 0 0 0 0 0 0 Net portfolio holdings of Municipal Liquidity Facility LLC2 2,695 0 2,695 0 0 0 0 0 0 0 0 0 0 Net portfolio holdings of TALF II LLC2 169 0 169 0 0 0 0 0 0 0 0 0 0 Central bank liquidity swaps3 235 10 83 8 22 47 7 8 5 1 2 5 34 Foreign currency denominated assets4 18,412 792 6,552 662 1,736 3,728 552 641 414 116 195 388 2,635 Other assets5 39,464 921 18,434 751 1,223 3,024 3,910 2,352 735 602 991 2,068 4,453 Interdistrict settlement account 0+ 26,008- 36,961- 17,983+ 49,992+ 101,792- 35,415- 78,949- 8,240- 5,338- 13,322- 50,862 + 69,278 Total assets 7,724,063 195,504 4,188,327 110,194 287,166 642,341 489,245 401,718 113,620 54,410 95,528 332,921 813,086 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, December 20, 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 2,285,162 79,385 744,002 50,041 109,088 159,971 354,686 122,376 72,578 32,728 47,454 188,913 323,942 Reverse repurchase agreements6 1,124,202 21,719 627,811 18,528 34,547 78,233 76,158 70,079 16,817 7,623 14,535 54,813 103,340 Deposits 4,381,747 86,173 2,878,253 41,124 143,535 414,707 56,334 216,228 23,175 13,889 33,362 89,577 385,388 Depository institutions 3,477,288 86,118 2,079,580 41,123 143,501 414,333 56,286 111,317 23,158 13,735 33,331 89,454 385,352 U.S. Treasury, General Account 732,721 0 732,721 0 0 0 0 0 0 0 0 0 0 Foreign official 9,688 2 9,662 1 4 8 1 1 1 0 0 1 6 Other7 162,050 53 56,290 0 30 366 47 104,910 17 154 31 122 30 Earnings remittances due to the U.S. Treasury8 -129,416 -2,435 -83,235 -1,203 -4,817 -20,013 53 -9,466 -62 -209 -466 -1,640 -5,922 Treasury contributions to credit facilities9 10,311 7,438 2,873 0 0 0 0 0 0 0 0 0 0 Other liabilities and accrued dividends 9,207 1,427 3,741 190 336 955 630 495 147 111 178 249 750 Total liabilities 7,681,213 193,708 4,173,444 108,680 282,689 633,851 487,860 399,712 112,655 54,142 95,064 331,911 807,498 Capital Capital paid in 36,065 1,505 12,469 1,270 3,837 7,116 1,182 1,770 812 226 393 867 4,617 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 7,724,063 195,504 4,188,327 110,194 287,166 642,341 489,245 401,718 113,620 54,410 95,528 332,921 813,086 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, December 20, 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 $7.4 billion, Municipal Liquidity Facility LLC of $2.8 billion, and TALF II LLC of $0.1 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 Dec 20, 2023 Federal Reserve notes outstanding 2,708,326 Less: Notes held by F.R. Banks not subject to collateralization 423,164 Federal Reserve notes to be collateralized 2,285,162 Collateral held against Federal Reserve notes 2,285,162 Gold certificate account 11,037 Special drawing rights certificate account 5,200 U.S. Treasury, agency debt, and mortgage-backed securities pledged1,2 2,268,925 Other assets pledged 0 Memo: Total U.S. Treasury, agency debt, and mortgage-backed securities1,2 7,238,168 Less: Face value of securities under reverse repurchase agreements 1,240,510 U.S. Treasury, agency debt, and mortgage-backed securities eligible to be pledged 5,997,659 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.