I. Executive Summary - Fourth Quarter 2019
The attached report highlights the FDIC’s financial activities and results for the quarter ended December 31, 2019.
- During the fourth quarter of 2019, the Deposit Insurance Fund (DIF) balance rose to $110.3 billion, up $1.4 billion from the September 30, 2019, balance of $108.9 billion. The quarterly increase was primarily due to $1.3 billion in assessment revenue and $531 million in interest on U.S. Treasury securities, partially offset by $460 million in operating expenses.
- The reserve ratio, which is the ratio of the DIF balance to estimated insured deposits, was 1.41 percent for the fourth quarter of 2019, unchanged from third quarter 2019.
- During the fourth quarter of 2019, the FDIC was named receiver for three failed financial institutions. The combined assets at inception for these failed institutions were $179 million with estimated losses to the DIF as of December 31, 2019, of $9 million. The corporate cash outlay during the fourth quarter for these failures was approximately $156 million.
- Through December 31, 2019, overall FDIC Operating Budget expenditures were below the full-year budget by nine percent ($180 million). This variance was primarily the result of underspending in the Salaries and Compensation, Outside Services – Personnel, Travel, and Buildings and Leased Space expense categories in the Ongoing Operations budget component and the Outside Services – Personnel expense category in the Receivership Funding budget component.