Each depositor insured to at least $250,000 per insured bank

The proposed rule:

• Defines "stress test" as a process to assess the potential impact of economic and financial conditions on the earnings, losses, and capital of a covered bank over a nine- quarter planning horizon, taking into account the current condition of the bank and its risks, exposures, strategies, and activities.
• Requires covered state nonmember banks to conduct annual capital adequacy stress tests using financial data as of September 30, based on three scenarios to be identified annually by the FDIC.
• Requires covered banks to report the results of the stress tests to the FDIC by the January 5 following the September 30 as-of date, in a form to be developed in coordination with the other banking agencies that would be the subject of a future request for comment.
• Requires covered banks to publish a summary of the results within 90 days after the report to the FDIC.
• Requires the public summary to include projections of losses, pre-provision net revenue, loss reserves, net income, and pro forma capital levels and ratios over the planning horizon under each scenario, and a general description of the risks covered and stress testing methodologies used.
• States that the FDIC intends to coordinate with the other primary federal financial regulatory agencies on the development of the scenarios.
• Seeks comment on the feasibility of the proposed timelines and the challenges institutions may experience.

Comments are due by March 23, 2012.