The FDIC recognizes that prudent CRE workouts are often in the best interest of financial institutions and creditworthy CRE borrowers.
Financial institutions and borrowers face significant challenges when dealing with diminished operating cash flows, depreciated collateral values, or prolonged sale and rental absorption periods.
Financial institutions engaging in workout activities have raised questions regarding CRE workouts and the related accounting issues, including the treatment for TDRs.
The seminar will consist of a short discussion regarding the CRE-related issues raised by financial institutions, followed by a question-and-answer period.
Participants are encouraged to submit questions in advance to RAC@FDIC.gov with CRE Workouts or CRE Accounting in the subject line.
Financial institution officers and employees wishing to participate in this free telephone seminar should dial 888-946-8383 and enter pass code 2915837# to join the presentation 30 minutes before the 1:00 p.m. EST start time.
FDIC-Supervised Banks (Commercial and Savings)
FDIC-Supervised Savings Associations
Chief Executive Officer
Chief Lending Officer
Chief Financial Officer
Chief Accounting Officer
Call Report Preparer
Policy Statement on Prudent CRE Workouts (FIL-61-2009)
Managing CRE Concentrations in a Challenging Environment (FIL-22-2008)
Interagency Statement on Meeting the Needs of Creditworthy Borrowers (FIL-128-2008)
Allowance for Loan and Lease Losses: Revised Policy Statement and Frequently Asked Questions (FIL-105-2006)
Consolidated Reports of Condition and Income
Transcript: Seminar on Commercial Real Estate Loan Workouts and Related Accounting Issues
For supervisory issues:
Beverlea S. Gardner, Senior Examination Specialist, at BGardner@FDIC.gov or (202) 898-3640
For regulatory reporting and accounting issues:
Robert F. Storch, Chief Accountant, at RStorch@FDIC.gov or (202) 898-8906
FDIC financial institution letters (FILs) may be accessed from the FDIC's Web site at www.fdic.gov/news/news/financial/2011/index.html.
To receive FILs electronically, please visit http://www.fdic.gov/about/subscriptions/fil.html.
Paper copies of FDIC financial institution letters may be obtained through the FDIC's Public Information Center, 3501 Fairfax Drive, E-1002, Arlington, VA 22226 (1-877-275-3342 or 703-562-2200).