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 January 4, 2024 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 Jan 3, 2024 Federal Reserve Banks Jan 3, 2024 Dec 27, 2023 Jan 4, 2023 Reserve Bank credit 7,659,629 - 25,349 - 842,330 7,644,145 Securities held outright1 7,210,177 - 23,481 - 921,023 7,187,450 U.S. Treasury securities 4,776,057 - 15,110 - 711,394 4,753,330 Bills2 216,918 - 6,044 - 72,553 216,788 Notes and bonds, nominal2 4,079,671 - 9,010 - 638,032 4,057,147 Notes and bonds, inflation-indexed2 365,578 0 - 11,838 365,578 Inflation compensation3 113,890 - 56 + 11,029 113,816 Federal agency debt securities2 2,347 0 0 2,347 Mortgage-backed securities4 2,431,773 - 8,371 - 209,629 2,431,773 Unamortized premiums on securities held outright5 278,839 - 688 - 35,009 278,627 Unamortized discounts on securities held outright5 -25,892 + 76 + 1,691 -25,798 Repurchase agreements6 0 - 2 0 0 Foreign official 0 0 0 0 Others 0 - 2 0 0 Loans 139,299 - 349 + 122,911 146,820 Primary credit 3,006 + 499 - 1,926 2,159 Secondary credit 2 + 2 + 2 12 Seasonal credit 16 - 13 + 6 1 Paycheck Protection Program Liquidity Facility 3,450 - 24 - 7,996 3,447 Bank Term Funding Program 132,825 - 813 + 132,825 141,202 Other credit extensions7 0 0 0 0 Net portfolio holdings of MS Facilities LLC (Main Street Lending Program)8 16,163 + 24 - 6,462 16,173 Net portfolio holdings of Municipal Liquidity Facility LLC8 213 0 - 5,357 213 Net portfolio holdings of TALF II LLC8 46 0 - 1,914 46 Float -579 - 334 - 89 -738 Central bank liquidity swaps9 1,357 - 2 + 945 1,357 Other Federal Reserve assets10 40,006 - 592 + 1,978 39,994 Foreign currency denominated assets11 18,631 + 80 - 13 18,385 Gold stock 11,041 0 0 11,041 Special drawing rights certificate account 5,200 0 0 5,200 Treasury currency outstanding12 52,616 + 14 + 572 52,616 Total factors supplying reserve funds 7,747,117 - 25,254 - 841,770 7,731,388 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 Jan 3, 2024 Federal Reserve Banks Jan 3, 2024 Dec 27, 2023 Jan 4, 2023 Currency in circulation12 2,347,775 + 7,252 + 38,504 2,348,237 Reverse repurchase agreements13 1,273,049 + 140,134 -1,483,022 1,085,975 Foreign official and international accounts 369,011 + 18,988 + 33,083 366,078 Others 904,038 + 121,147 -1,516,104 719,897 Treasury cash holdings 395 + 1 + 296 390 Deposits with F.R. Banks, other than reserve balances 939,172 + 18,739 + 289,340 913,887 Term deposits held by depository institutions 0 0 0 0 U.S. Treasury, General Account 758,448 + 27,043 + 334,823 743,464 Foreign official 9,692 + 2 + 757 9,691 Other14 171,032 - 8,306 - 46,240 160,731 Treasury contributions to credit facilities15 7,438 - 411 - 7,909 7,438 Other liabilities and capital16 -83,608 - 7,407 - 111,731 -83,947 Total factors, other than reserve balances, absorbing reserve funds 4,484,221 + 158,308 -1,274,522 4,271,980 Reserve balances with Federal Reserve Banks 3,262,895 - 183,564 + 432,751 3,459,408 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. 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 Jan 3, 2024 Jan 3, 2024 Dec 27, 2023 Jan 4, 2023 Securities held in custody for foreign official and international accounts 3,388,717 + 2,977 + 64,089 3,387,236 Marketable U.S. Treasury securities1 2,961,515 + 3,265 + 45,688 2,960,091 Federal agency debt and mortgage-backed securities2 343,788 - 289 + 16,083 343,707 Other securities3 83,414 + 1 + 2,318 83,437 Securities lent to dealers 42,984 + 10,362 - 4,921 40,859 Overnight facility4 42,984 + 10,362 - 4,921 40,859 U.S. Treasury securities 42,984 + 10,362 - 4,900 40,859 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, January 3, 2024 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 1,094 44,254 98,029 3,443 0 ... 146,820 U.S. Treasury securities2 Holdings 57,224 249,347 554,981 1,614,938 771,704 1,505,136 4,753,330 Weekly changes - 8,028 + 8,958 - 18,005 - 12,475 - 7,635 - 32 - 37,217 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 23 5,339 31,904 2,394,505 2,431,773 Weekly changes 0 + 1 0 + 444 - 446 0 0 Loan participations held by MS Facilities LLC (Main Street Lending Program)5 0 0 0 7,816 ... ... 7,816 Repurchase agreements6 0 0 ... ... ... ... 0 Central bank liquidity swaps7 1,357 0 0 0 0 0 1,357 Reverse repurchase agreements6 1,085,975 0 ... ... ... ... 1,085,975 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 Boston (FRBB) to MS Facilities LLC, which were eliminated when preparing the FRBB's statement of condition, 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. Cash value of agreements. 7. 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 Jan 3, 2024 Mortgage-backed securities held outright1 2,431,773 Residential mortgage-backed securities 2,423,545 Commercial mortgage-backed securities 8,228 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 Jan 3, 2024 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 7,304 8,869 16,173 Municipal Liquidity Facility LLC 0 0 213 213 TALF II LLC 0 0 46 46 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. 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. 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 Jan 3, 2024 Dec 27, 2023 Jan 4, 2023 Assets Gold certificate account 11,037 0 0 Special drawing rights certificate account 5,200 0 0 Coin 1,426 + 4 + 236 Securities, unamortized premiums and discounts, repurchase agreements, and loans 7,587,100 - 32,639 - 815,820 Securities held outright1 7,187,450 - 37,217 - 914,050 U.S. Treasury securities 4,753,330 - 37,217 - 704,421 Bills2 216,788 - 5,566 - 72,550 Notes and bonds, nominal2 4,057,147 - 31,534 - 631,016 Notes and bonds, inflation-indexed2 365,578 0 - 11,838 Inflation compensation3 113,816 - 117 + 10,983 Federal agency debt securities2 2,347 0 0 Mortgage-backed securities4 2,431,773 0 - 209,629 Unamortized premiums on securities held outright5 278,627 - 544 - 34,916 Unamortized discounts on securities held outright5 -25,798 + 86 + 1,681 Repurchase agreements6 0 0 - 1 Loans7 146,820 + 5,035 + 131,464 Net portfolio holdings of MS Facilities LLC (Main Street Lending Program)8 16,173 + 17 - 6,465 Net portfolio holdings of Municipal Liquidity Facility LLC8 213 0 - 5,358 Net portfolio holdings of TALF II LLC8 46 0 - 1,911 Items in process of collection (0) 92 - 98 - 20 Bank premises 429 - 9 - 32 Central bank liquidity swaps9 1,357 - 2 + 945 Foreign currency denominated assets10 18,385 - 284 - 138 Other assets11 39,567 + 1,255 + 2,161 Total assets (0) 7,681,024 - 31,757 - 826,405 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 Jan 3, 2024 Dec 27, 2023 Jan 4, 2023 Liabilities Federal Reserve notes, net of F.R. Bank holdings 2,297,432 + 3,611 + 39,800 Reverse repurchase agreements12 1,085,975 - 79,599 -1,475,908 Deposits (0) 4,373,296 + 51,740 + 728,798 Term deposits held by depository institutions 0 0 0 Other deposits held by depository institutions 3,459,409 + 25,195 + 417,480 U.S. Treasury, General Account 743,464 + 30,400 + 363,844 Foreign official 9,691 + 1 + 756 Other13 (0) 160,731 - 3,857 - 53,283 Deferred availability cash items (0) 829 + 372 + 514 Treasury contributions to credit facilities14 7,438 0 - 7,909 Other liabilities and accrued dividends15 -126,798 - 7,883 - 112,728 Total liabilities (0) 7,638,174 - 31,758 - 827,432 Capital accounts Capital paid in 36,065 0 + 1,027 Surplus 6,785 0 0 Other capital accounts 0 0 0 Total capital 42,850 0 + 1,027 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. 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, January 3, 2024 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 1,426 48 39 133 54 177 103 252 33 54 96 178 259 Securities, unamortized premiums and discounts, repurchase agreements, and loans1 7,587,100 150,255 4,165,819 125,018 231,873 529,652 515,518 473,453 119,489 58,414 106,852 377,422 733,334 Net portfolio holdings of MS Facilities LLC (Main Street Lending Program)2 16,173 16,173 0 0 0 0 0 0 0 0 0 0 0 Net portfolio holdings of Municipal Liquidity Facility LLC2 213 0 213 0 0 0 0 0 0 0 0 0 0 Net portfolio holdings of TALF II LLC2 46 0 46 0 0 0 0 0 0 0 0 0 0 Central bank liquidity swaps3 1,357 58 483 49 128 275 41 47 31 9 14 29 194 Foreign currency denominated assets4 18,385 791 6,543 660 1,734 3,722 551 640 414 116 195 388 2,631 Other assets5 40,087 932 18,617 748 1,237 3,088 4,111 2,373 764 641 983 2,091 4,501 Interdistrict settlement account 0+ 10,190- 57,048- 13,758+ 58,573+ 84,272- 30,072- 70,411- 8,394- 5,039- 13,288- 41,923 + 86,898 Total assets 7,681,024 179,005 4,139,888 113,375 294,351 622,374 492,539 407,458 112,815 54,458 95,305 339,474 829,983 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, January 3, 2024 (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 2,297,432 79,998 745,257 50,620 110,282 161,167 356,780 123,424 73,108 33,021 47,946 189,837 325,992 Reverse repurchase agreements6 1,085,975 20,981 606,463 17,898 33,372 75,572 73,568 67,696 16,245 7,363 14,041 52,949 99,826 Deposits 4,373,296 69,936 2,856,246 44,443 151,053 397,169 59,764 223,657 22,427 13,914 33,129 97,147 404,412 Depository institutions 3,459,409 69,881 2,046,519 44,442 151,018 396,417 59,736 120,641 22,413 13,819 33,099 97,053 404,372 U.S. Treasury, General Account 743,464 0 743,464 0 0 0 0 0 0 0 0 0 0 Foreign official 9,691 2 9,666 1 4 8 1 1 1 0 0 1 6 Other7 160,731 53 56,597 0 32 744 27 103,014 13 96 30 93 33 Earnings remittances due to the U.S. Treasury8 -134,541 -2,572 -86,073 -1,262 -5,109 -20,788 -3 -9,779 -65 -217 -495 -1,706 -6,471 Treasury contributions to credit facilities9 7,438 7,438 0 0 0 0 0 0 0 0 0 0 0 Other liabilities and accrued dividends 8,572 1,427 3,111 162 275 765 1,044 454 135 108 218 237 636 Total liabilities 7,638,174 177,208 4,125,005 111,861 289,874 613,884 491,154 405,451 111,850 54,189 94,840 338,463 824,395 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 7,681,024 179,005 4,139,888 113,375 294,351 622,374 492,539 407,458 112,815 54,458 95,305 339,474 829,983 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, January 3, 2024 (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. 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 Jan 3, 2024 Federal Reserve notes outstanding 2,706,506 Less: Notes held by F.R. Banks not subject to collateralization 409,073 Federal Reserve notes to be collateralized 2,297,432 Collateral held against Federal Reserve notes 2,297,432 Gold certificate account 11,037 Special drawing rights certificate account 5,200 U.S. Treasury, agency debt, and mortgage-backed securities pledged1,2 2,281,196 Other assets pledged 0 Memo: Total U.S. Treasury, agency debt, and mortgage-backed securities1,2 7,187,450 Less: Face value of securities under reverse repurchase agreements 1,223,855 U.S. Treasury, agency debt, and mortgage-backed securities eligible to be pledged 5,963,595 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.