Yesterday, the FDIC announced that it was extending the deadline for insured depository institutions to opt-out of continued participation in FDIC's Temporary Liquidity Guarantee Program. The FDIC's Temporary Liquidity Guarantee Program consists of two limited guarantee programs: one guaranteeing newly-issued senior unsecured debt of insured depository institutions and most U.S. holding companies and another guaranteeing certain non-interest-bearing transaction accounts at insured depository institutions. Depository institutions were automatically covered by both programs for the first 30 days without assessment of any fees, and would continue to be covered, but obligated to pay related fees, if they did not affirmatively opt-out within 30 days (November 12). Because the comment period for the FDIC's initial Interim Rule will not expire until November 13, FDIC has issued a new Interim Rule extending the opt-out deadline to December 5, and extending from December 1 to December 19 the deadline for participating depository institutions to post lobby disclosures about their participation in the FDIC's programs. The form that depository institutions must use to opt-out is expected to be available by November 12.
Alston & Bird has issued an Advisory discussing the FDIC's interim rules and request for comments.