Fed/FDIC Extends Living Will Deadline for Some Banks -TEXT

     WASHINGTON (MNI) - The following is the text of a joint press release

issued Tuesday by the Federal Reserve and the Federal Deposit Insurance

Corporation extending the deadline for filing so-called living will plans to the

U.S. subsidiaries of 19 foreign banks and two large domestic bank holding

companies. 

     The Federal Reserve Board and the Federal Deposit Insurance Corporation

(FDIC) today extended the resolution plan filing deadline for 19 foreign banking

organizations and two large domestic bank holding companies to December 31,

2018, to give the firms an additional year to address any supervisory guidance

in their next plan submissions. 

     Resolution plans, required by the Dodd-Frank Act and commonly known as

living wills, must describe the company's strategy for rapid and orderly

resolution under bankruptcy in the event of material financial distress or

failure of the company. For foreign banking organizations, resolution plans are

focused on their U.S. operations. 

     The foreign banks are: Banco Bilbao Vizcaya Argentaria, S.A., Banco

Santander, S.A., Bank of China Limited, Bank of Montreal, BNP Paribas, BPCE,

Cooperatieve Rabobank U.A., Credit Agricole S.A., HSBC Holdings plc, Industrial

and Commercial Bank of China Ltd., Mitsubishi UFJ Financial Group, Inc., Mizuho

Financial Group, Inc., Royal Bank of Canada, Societe Generale, 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, C.A., to file

reduced-content resolution plans moving forward. The firms have submitted prior

plans that provide the agencies with an understanding of their limited U.S.

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 nonbank subsidiaries of the firm.

--MNI Washington Bureau; +1 202-371-2121; email: jean.yung@marketnews.com

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