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US regulators sign off on large bank 'living wills'

BY Reuters | ECONOMIC | 04:04 PM EDT

By Pete Schroeder

WASHINGTON, May 22 (Reuters) - A pair of U.S. banking regulators have signed off on plans submitted by the nation's largest banks detailing how they could be safely unwound in bankruptcy.

The Federal Reserve and Federal Deposit Insurance Corporation did not identify any shortcomings in the so-called "living wills" of the nation's 8 largest banks and 56 foreign banking organizations. The regulators also announced Friday that shortcomings identified in prior plans submitted by Bank of America, Goldman Sachs, JPMorgan Chase and Citigroup had been sufficiently addressed. The agencies dinged those banks in 2024, saying their plans did not adequately show how they could safely unwind their derivatives portfolios.

(Reporting by Pete Schroeder, Editing by Franklin Paul)

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