Capital stress testing requirements for foreign banking organizations with total consolidated assets of $100 billion or more and combined U.S. assets of less than $100 billion.

CFR · 2024-01-01 · US · Title 12

(a) (1) (i) The following assets do not qualify as eligible assets: (A) Equity securities; (B) Any assets classified as loss at the preceding examination by a regulatory agency, outside accountant, or the bank's internal loan review staff; (C) Accrued income on assets classified loss, doubtful, substandard or value impaired, at the preceding examination by a regulatory agency, outside accountant, or the bank's internal loan review staff; (D) Any amounts due from the home office, other offices and affiliates, including income accrued but uncollected on such amounts; (E) The balance from time to time of any other asset or asset category disallowed at the preceding examination (F) Prepaid expenses and unamortized costs, furniture and fixtures and leasehold improvements; and (G) Any other asset that the Board determines should not qualify as an eligible asset. (ii) The following rules of valuation apply: (A) A marketable debt security is valued at its principal amount or market value, whichever is lower; (B) An asset classified doubtful or substandard at the preceding examination by a regulatory agency, outside accountant, or the bank's internal loan review staff, is valued at 50 percent and 80 percent, respectively; (C) With respect to an asset classified value impaired, the amount representing the allocated transfer risk reserve that would be required for such exposure at a domestically chartered bank is valued at 0 and the residual exposure is valued at 80 percent; and (D) Rea

official document · source cfr-2024 · id 12:§ 252.146