Most thrift holding companies will get a two-year phase in period for following Federal Reserve Board reporting requirements while others will initially be exempted, the central bank said Friday.
Under the Dodd-Frank Act, the Fed takes over supervision of thrift holding companies from the now-dissolved Office of Thrift Supervision (OTC). As a result, most thrift parents will be required to use the same reporting formats used by Fed-supervised bank holding companies.
But, finalizing an August proposal, the Fed said in a notice Friday that reporting changes for savings and loan holding companies will happen gradually. Only for certain reports, such as an annual report required by the central bank, must thrift parents adapt to the Fed's system immediately in 2012. Further requirements will not take hold until 2013.
"The Board recognizes institutions' need for lead time to prepare for the new reporting requirements," the Fed said Friday.
Meanwhile, some thrift holding companies — in which the company's thrift is a relatively small part of its operation — will initially be exempted from having to switch from the OTS to the Fed's reporting formats. For example, firms with a majority of assets derived from insurance — that do not otherwise report to the Securities and Exchange Commission — will be exempted until the release of capital rules for thrift holding companies. Also getting an exemption are nonfinancial firms that were grandfathered under a general ban on commercially owned thrifts.
