Federal Deposit
Insurance Corporation

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FEDERAL DEPOSIT INSURANCE CORPORATION

Repudiation and Asset-backed Securitizations and Loan
Participations

AGENCY: Federal Deposit Insurance Corporation.

ACTION: Withdrawal of proposed Statement of Policy

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SUMMARY: The Federal Deposit Insurance Corporation (the FDIC) hereby
gives notice that it has withdrawn its outstanding proposed Statement
of Policy published on December 30, 1998, (46 FR 31018) that would have
clarified the treatment of securitizations and loan participations
after appointment by the FDIC as conservator or receiver of an insured
depository institution. The proposed Statement of Policy, which was
intended to provide sufficient assurances to permit the transfer of
financial assets by insured depository institutions in connection with
a securitization or loan participation to be accounted for as a sale
under generally accepted accounting principles, is being withdrawn
because the FDIC is proposing a rule that would have the same intended
effect as the proposed Statement of Policy.

EFFECTIVE DATE: September 9, 1999.

FOR FURTHER INFORMATION CONTACT: Thomas Bolt, Counsel, Legal Division,
Federal Deposit Insurance Corporation, 550 17th Street NW., Washington,
DC 20429, (202) 736-0168.
By Order of the Board of Directors.

Dated at Washington, D.C., this 31st day of August, 1999.