FHLB Restatement To Boost AffordableHousing Funds

Register now

CHICAGO - (03/23/05) -- The Federal Home Loan Bank ofChicago said last week it has restated its financial statements forthe past three years, under a supervisory agreement with itsfederal regulator. The net effect of the restatement was a 10%increase in net income from 2001 through September 2004, which willrequire the Chicago bank to provide an additional $11.5 million inAffordable Housing Program grants under a requirement that 10% ofits net income be set aside for the AHP program. The restatementwas the result of a review by the federal regulator of FHLBs, theFederal Housing Finance Board, and voluntary accounting changes forcertain transactions.

For reprint and licensing requests for this article, click here.
MORE FROM AMERICAN BANKER