11th August 2017

Agencies extend resolution plan filing deadline for certain foreign and domestic banks

The Federal Reserve Board and the Federal Deposit Insurance Corporation (FDIC) have extended the resolution plan filing deadline for 19 foreign banking organisations and two large domestic bank holding companies to 31st December, 2018, to give the firms an additional year to address any supervisory guidance in their next plan submissions.

The foreign banks are: Banco Bilbao Vizcaya Argentaria, SA; Banco Santander, SA; Bank of China Limited; Bank of Montreal; BNP Paribas; BPCE; Coöperatieve Rabobank UA; Crédit Agricole SA; HSBC Holdings plc; Industrial and Commercial Bank of China Ltd; Mitsubishi UFJ Financial Group, Inc; Mizuho Financial Group, Inc; Royal Bank of Canada; Société Générale; Standard Chartered PLC; Sumitomo Mitsui Financial Group, Inc; The Bank of Nova Scotia; The Norinchukin Bank; and The Toronto-Dominion Bank. The two domestic firms are: CIT Group, Inc and Citizens Financial Group, Inc.

Also, the agencies announced that they would allow two smaller foreign firms, Canara Bank and Mercantil Servicios Financieros, CA, to file reduced-content resolution plans moving forward. The firms have submitted prior plans that provide the agencies with an understanding of their limited US operations. Reduced-content plans focus on material changes the firms have made to their prior resolution plans, alterations or actions to improve the effectiveness of their plans, and, where applicable, actions to ensure any subsidiary insured depository institution is adequately protected from the risks arising from the activities of non-bank subsidiaries of the firm.