OCC Bulletin 2021-44| September 22, 2021
Comptroller's Handbook: Revised "Earnings" and "Regulatory Reporting" Booklets
Chief Executive Officers of All National Banks, Federal Savings Associations, and Federal Branches and Agencies; Department and Division Heads; All Examining Personnel; and Other Interested Parties
The Office of the Comptroller of the Currency (OCC) today issued versions 1.0 of the "Earnings" and "Regulatory Reporting" booklets of the Comptroller's Handbook. These booklets are prepared for use by OCC examiners in connection with their examination and supervision of national banks, federal savings associations, and federal branches and agencies of foreign banking organizations (collectively, banks).1
The revised "Earnings" booklet replaces and rescinds the "Analytical Review of Income and Expense" booklet issued in March 1990 (with examination procedures issued in March 1998). The revised "Regulatory Reporting" booklet replaces and rescinds the "Review of Regulatory Reports" booklet also issued in March 1990.
Note for Community Banks
The "Earnings" and "Regulatory Reporting" booklets apply to the OCC's supervision of community banks.
The "Earnings" booklet
- supplements the earnings core assessments and provides examiners with expanded procedures to use when reviewing earnings for a specific line of business or the bank as a whole.
- provides information regarding how to complete an earnings analysis, highlights key earnings ratios and the components that make up those ratios, and discusses other factors to consider when reviewing a bank's earnings performance.
- discusses sound risk management principles, including appropriate planning, budgeting, and forecasting processes, to ensure that earnings are sufficient to maintain adequate capital and reserves.
The "Regulatory Reporting" booklet
- provides information for examiners on common financial regulatory reports, including the call report and other Federal Financial Institutions Examination Council financial reports.
- provides guidance to examiners on how to determine the materiality of a misstatement in a regulatory report and when a refiling might be required.
- discusses sound risk management principles for regulatory reporting, including appropriate board oversight as well as sufficient policies, procedures, personnel, and control systems.
- provides examiners with procedures for assessing a bank's regulatory reporting activities.
Please contact Alicia Miller, Governance and Operational Policy Analyst, at (202) 649-6550.
Grovetta N. Gardineer
Senior Deputy Comptroller for Bank Supervision Policy