Fed, OCC and FDIC Announce a Regulatory Capital Estimation Tool

On Monday, September 24, 2012, the Federal Reserve Board (the "Fed"), the Federal Deposit Insurance Corporation (the "FDIC"), and the Office of the Comptroller of the Currency (the "OCC") announced the availability of a regulatory capital estimation tool to help community banking organizations and other interested parties evaluate recently published regulatory capital proposals.  The tool will assist these organizations in estimating the potential effects on their capital ratios of the agencies’ Basel III Notice of Proposed Rulemaking ("NPR") and Standardized Approach NPR.

In June 2012, the Fed, the FDIC, and the OCC approved these joint NPRs, which would revise their current regulatory capital standards.  The Basel III NPR focuses primarily on strengthening the level of regulatory capital requirements and improving the quality of capital.  The Standardized Approach NPR proposes a number of enhancements to the risk-sensitivity of the agencies’ capital standards.

Read the Fed press release

Read the FDIC press release

Read the OCC press release