BANK REPORTS

Federal Deposit Insurance Corporation
Office of the Comptroller of the Currency
Board of Governors of the Federal Reserve System

TO: CHIEF EXECUTIVE OFFICER

SUBJECT: Reports of Condition and Income for Fourth Quarter 2006

The attached material pertains to the Reports of Condition and Income (Call Report) for the December 31, 2006, report date. Please plan to complete the preparation, editing, and review of your bank's Call Report data and the submission of these data to the agencies' Central Data Repository (CDR) as early as possible. Starting your preparation early will aid you in identifying and resolving any edit exceptions prior to the submission deadline. If you later find that certain information needs to be revised, please make the appropriate changes to your Call Report data and promptly submit the revised data file to the CDR.

Except for certain banks with foreign offices, your completed Call Report must be received by Tuesday, January 30, 2007, in accordance with the filing requirements discussed below. No extensions of time for submitting Call Report data are granted.

Section 601 of the Financial Services Regulatory Relief Act of 2006 (Relief Act) removed several statutory reporting requirements relating to insider lending by banks. One of these amendments, which became effective on October 13, 2006, eliminated the requirement that a bank include a separate report with its Call Report each quarter on any extensions of credit the bank has made to its executive officers since the date of its last Call Report. Accordingly, the agencies will no longer require banks to report on such extensions of credit beginning this quarter. Therefore, the "Special Report" on loans to executive officers, which had been included after the final page of the Call Report forms in previous quarters, is being discontinued as of December 31, 2006.

Because no other Call Report revisions are taking effect this quarter, the agencies are not sending a sample set of the December 31, 2006, report forms to banks. Sample Call Report forms are available on both the FFIEC's Web site (www.ffiec.gov/ffiec_report_forms.htm) and the Federal Deposit Insurance Corporation's (FDIC) Web site (www.fdic.gov/regulations/resources/call/index.html). The agencies currently plan to send banks a sample set of the March 31, 2007, Call Report forms, draft copies of which are available for your review on the FFIEC's Web site. The draft March 2007 forms illustrate the agencies' proposed changes to the Call Report (see FIL-95-2006, dated November 7, 2006) as well as other Call Report revisions that were previously approved for implementation in March 2007 (see FIL 7 2006, dated January 27, 2006).

All banks are reminded to complete the item for preferred deposits (Memorandum item 1.e of Schedule RC-E). This information is collected only as of the December 31 report date each year.

Banks that have fiduciary or related activities (in the form of assets or accounts), either at the bank itself or in a trust company subsidiary, should ensure that they complete the appropriate items in Schedule RC T, Fiduciary and Related Services. The specific items that are to be completed in Schedule RC T are determined by a bank's total fiduciary assets as of December 31, 2005, or its gross fiduciary and related services income in 2005.

Each bank must file its December 31, 2006, Call Report data in one of the following two ways:

• A bank may use computer software to prepare and edit its report data and then electronically submit the data directly to the CDR (https://cdr.ffiec.gov/cdr/).
• A bank may complete its report in paper form and arrange with a software vendor or another party to convert its paper report into the electronic format that can be processed by the CDR. The software vendor or other party then must electronically submit the bank's Call Report data file to the CDR.

Electronic submission of Call Report data will be considered timely if the data are received by the CDR no later than Tuesday, January 30, 2007, and pass FFIEC-published validation criteria (validity edits and quality edits) or, where necessary, contain explanations for any quality edits that are not passed. Explanatory comments should be prepared consistent with the "Guidelines for Resolving Edits" that are published on the FFIEC's Web site at http://www.ffiec.gov/find/documents/resolvingedits.pdf 56k (PDF Help).

A bank that has more than one foreign office, other than a "shell" branch or an International Banking Facility, is permitted an additional five calendar days to submit its Call Report data. Such a bank must electronically transmit its data to the CDR no later than Sunday, February 4, 2007.

Banks may use a facility within the CDR to check the receipt and submission status of their Call Report data instead of waiting for e-mail verifications. Instructions for this functionality may be accessed at https://cdr.ffiec.gov/CDR/public/CDRhelp/CDRHelp.html by selecting "Financial Institutions," scrolling down to "Data Submission Flow," and clicking on "Submission Status." Instructions for submitting test data are also located on this Web site under "Data Submission Flow."

For technical assistance with the CDR, banks should contact the CDR Help Desk by telephone at (888) CDR 3111, by fax at (301) 495-7864, or by e-mail at CDR.Help@ffiec.gov. For further information concerning the Call Report itself, state member banks should contact their Federal Reserve District Bank. National and FDIC-supervised banks should contact the FDIC's Data Collection and Analysis Section in Washington, D.C., by telephone at (800) 688 FDIC (3342) or by e-mail at insurance-research@fdic.gov.

Distribution

Insured Commercial Banks, State-Chartered Savings Banks, and Noninsured National Trust Companies