• Severe storms and tornadoes have caused significant property damage to areas of Arkansas and Tennessee.
• In Arkansas, the counties of Baxter, Conway, Independence, Izard, Pope, Randolph, Sharp, Stone, Union, and Van Buren have been declared federal disaster areas. Individuals and households in these counties may be eligible for federal assistance.
• In Tennessee, the counties of Hardin, Macon, Madison, Shelby, and Sumner have been declared federal disaster areas. Individuals and households in these counties may be eligible for federal assistance.
• The FDIC is encouraging financial institutions to work constructively with borrowers who are experiencing difficulties beyond their control because of damage caused by these disasters.
• Extending repayment terms, restructuring existing loans or easing terms for new loans, if done in a manner consistent with sound banking practices, can contribute to the health of the community and serve the long-term interests of the lending institution.
• The FDIC will also consider regulatory relief from certain filing and publishing requirements for banks in the affected areas.

Distribution:
FDIC-Supervised Banks (Commercial and Savings) in Arkansas and Tennessee

Suggested Routing:
Chief Executive Officer
Compliance Officer
Chief Lending Officer

Note:
FDIC Financial Institution Letters (FILs) may be accessed from the FDIC's Web site at www.fdic.gov/news/financial-institution-letters/2008/index.html .

To receive FILs electronically, please visit http://www.fdic.gov/about/subscriptions/fil.html .

Paper copies of FDIC FILs may be obtained through the FDIC's Public Information Center, 801 17th Street, NW, Room 100, Washington, DC 20434 (1-877-275-3342 or 703-562-2200).