Final rule--correction to amendment to Regulations H and Y. (Legal Developments).The Board of Governors is issuing a correction to the regulatory text of a final rule published in the January 2002 volume of the Federal Reserve Bulletin regarding the capital treatment of recourse The right of an individual who is holding a Commercial Paper, such as a check or promissory note, to receive payment on it from anyone who has signed it if the individual who originally made it is unable, or refuses, to tender payment. , direct credit substitutes, and residual interests Residual Interest A type of interest payment received by investors in a real estate mortgage investment conduit (REMIC). Notes: Investors receive interest payments after all required regular interest has been paid to investors within higher priority tranches. in asset securitizations. The correction rectifies errors made in Attachment II in Appendix A, Part 208, and Appendix A, Part 225. The following corrections are effective January 1, 2002: 1. In Appendix A to Part 208, Attachment II (88 Federal Reserve Bulletin 39) (2002): A. In the column for Components, in the fourth entry under Supplementary Capital, replace the word "stocks" with the word "stock." B. In the column for Minimum requirements, the fourth entry is revised to read, "Banks should avoid using minority interests to introduce elements not otherwise qualifying for tier 1 capital Tier 1 Capital A term used to describe the capital adequacy of a bank. Tier I capital is core capital, this includes equity capital and disclosed reserves. Notes: Equity capital includes instruments that can't be redeemed at the option of the holder. ." C. In the column for Minimum requirements, remove the eleventh In music or music theory an eleventh is the note eleven scale degrees from the root of a chord and also the interval between the root and the eleventh. Since there are only seven degrees in a diatonic scale the eleventh degree is the same as the subdominant and the interval entry beginning with "As a general rule ..." in its entirety The whole, in contradistinction to a moiety or part only. When land is conveyed to Husband and Wife, they do not take by moieties, but both are seised of the entirety. . D. Remove footnote Text that appears at the bottom of a page that adds explanation. It is often used to give credit to the source of information. When accumulated and printed at the end of a document, they are called "endnotes." 3 following the table. 2. In Appendix A to Part 225, Attachment II (88 Federal Reserve Bulletin 53) (2002): A. In the column for Minimum requirements, the second entry is revised to read "Organizations should avoid using minority interests to introduce elements not otherwise qualifying for tier 1 capital." B. In the column for Minimum requirements, in the eleventh entry of the table, replace the word "banks" with "organizations." |
|
||||||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion