This page should be used to present all assessments and conclusions that are significant and specify matters that require the attention of the bank holding company's board of directors. This page should be written so that it may, with minor modification, also serve as the full text for the Summary of Inspection Findings presented to the board of directors of the holding company should that prove necessary. Henceforth, financial write-ups will only be required for bank subsidiaries that hold ten percent or more of a bank holding company's consolidated assets and for any bank subsidiary evidencing material financial deficiencies or other characteristics that should be brought to the attention of the bank holding company's board of directors 1 . Company-prepared financial statements may be used instead of standardized Federal Reserve financial statement report pages, if, in the judgment of the examiner, they are suitably detailed, clear, and accurate. At the conclusion of a six-month field testing period, Reserve Banks should forward to Board staff designated below any recommended changes as to the page's format and use.
Field testing can commence immediately.
Examiners, of course, in these as in all other cases, may decide to issue Summaries to board members when they deem that that will prove constructive in resolving potential or actual problems of the company. These changes should also be adopted where appropriate in preparing a combined Commercial Bank Examination and Bank Holding Company Inspection Report. The guidance set forth in SR 94-46 is amended to incorporate this change in instruction. The revisions in the Bank Holding Company Inspection Report have been made to facilitate the preparation of a more streamlined report, one that provides boards of directors and management with clearly and concisely stated presentations of examiner's significant findings and recommendations. To that end, examiners are required only to include in the Core Section a relatively small number of report pages and, in the Appendix Section, only financial statements for the organization.