Interagency Guidance for Financial Institutions Regarding California Registered Warrants

July 10, 2009

Attached is an interagency statement released jointly by the Federal Reserve and the other federal financial institution regulatory agencies regarding State of California registered warrants. The statement provides guidance on the appropriate risk weighting of these warrants for risk-based capital purposes. It also discusses what banking organizations should do in order to exercise prudent judgment and sound risk management in accepting these warrants.