November 23, 2022
Agencies announce results of resolution plan review for largest and most complex domestic banks
Board of Governors of the Federal Reserve System
Federal Deposit Insurance Corporation
For release at 10:30 a.m. EST
The Federal Reserve Board and the Federal Deposit Insurance Corporation announced on Wednesday the results of their joint review of the resolution plans—also known as living wills—that the eight largest and most complex domestic banking organizations submitted in 2021. Resolution plans must describe a financial company’s strategy for rapid and orderly resolution in bankruptcy in the event of its material financial distress or failure. The agencies identified a shortcoming in Citigroup Inc.’s resolution plan and did not identify any other shortcomings or deficiencies in the plans from the other banking organizations.
A shortcoming is a weakness that raises questions about the feasibility of the plan and could result in additional requirements if not corrected, but is not as severe as a deficiency. In Citigroup’s resolution plan, the agencies found a shortcoming related to data quality and data management concerns previously identified by the Boar