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Schedule HC-M: Memoranda Guide

Form: FR Y-9C (Consolidated Financial Statements for Holding Companies) Schedule: HC-M - Memoranda Frequency: Quarterly (with several items collected only annually in December) Purpose: Collect a heterogeneous set of memorandum items, indicators, and supporting detail referenced throughout the FR Y-9C - intangibles, other borrowed money, OREO, secured liabilities, broker-dealer balances, FR Y-12 gating questions, and more


Overview

Schedule HC-M is the FR Y-9C's catch-all memoranda schedule. Unlike a balance-sheet schedule, it does not roll up to a single control total; instead it carries:

  • Supporting detail for HC balance-sheet lines (intangible assets -> HC item 10; other borrowed money -> HC item 16; OREO -> HC item 7).
  • Yes/No indicator items (business combinations, restatements, FR Y-10 reporting, mutual-fund sales, nonfinancial-equity-investment gating for the FR Y-12).
  • Specialized balances (captive insurance/reinsurance subsidiaries, broker-dealer intercompany balances, secured liabilities, TARP Capital Purchase Program issuances).
  • Text items (name/phone of the FR Y-10 verifying official; risk-disclosure URL).

Who Files

All FR Y-9C reporters complete HC-M, but many items are conditional: item 6 (covered OREO) and several memoranda apply only to filers with $5 billion or more in assets; items 7.a/7.b (captive insurance/reinsurance) are completed annually in December; items 20-21 (broker-dealer / insurance-underwriting subsidiaries) apply only to financial holding companies; item 22 (risk-disclosure URL) applies to filers with $30 billion or more in total assets.


CSV Schema

HC_M_MEMORANDA.csv uses the standard single-column schema:

line_number, item_description, mdrm_code, call_mdrm, category, ties_to_hc_line, start_date, notes

Text items (the two FR Y-10 verifying-official fields and the risk-disclosure URL) are retained as rows with their TEXT… MDRM codes and a Text Item category, so the schedule's line inventory is complete; they carry no dollar amount. Indicator items (Yes/No questions) are retained with their BHCK… codes and an Indicator category.

Scope note. The official March-2026 field specification lists 44 cells for HC-M. One of those (BHCKG450, "Over-the-counter derivatives: fair value of collateral: equity securities - hedge funds") is an HC-L code that bleeds into the top of the HC-M block as an OCR page-header artifact; it is not an HC-M line item and does not appear on the HC-M form. It is therefore excluded, leaving the 43 genuine HC-M cells. This exclusion is documented in the provenance file and the verification notes below.


Schedule Structure (selected)

MEMORANDA
├── 1.  Total number of holding company common shares outstanding (a count, not $)
├── 2-3 Debt maturing <= / > one year issued to third parties by bank subsidiaries
├── 4.  Other assets acquired in satisfaction of debts previously contracted
├── 5.  Reverse repos offset against repos on Schedule HC
├── 6.  Covered OREO protected by FDIC loss-sharing agreements
├── 7.  Captive insurance (7.a) and reinsurance (7.b) subsidiaries - total assets
├── 8-9 Indicators: business combination / restatement during the year
├── 11. Indicator: FR Y-10 reporting (+ text: verifying official name & phone)
├── 12. Intangible assets: 12.a MSAs (+ 12.a.(1) fair value), 12.b goodwill,
│        12.c other intangibles, 12.d Total (= HC item 10)
├── 13. Other real estate owned (= component of HC item 7)
├── 14. Other borrowed money: 14.a commercial paper, 14.b <=1yr, 14.c >1yr,
│        14.d Total (= HC item 16)
├── 15-16 Mutual-fund/annuity sales indicator; assets under management
├── 17-19 Nonfinancial-equity-investment FR Y-12 gating questions
├── 20. Broker-dealer subsidiaries: net assets and intercompany due-from/due-to
├── 21. Insurance/reinsurance underwriting subsidiaries - net assets
├── 22. Risk-disclosure URL (text item)
├── 23. Secured liabilities (23.a secured fed funds; 23.b secured other borrowings)
└── 24. TARP Capital Purchase Program: 24.a senior preferred; 24.b warrants

(Item 10 is "Not applicable" on the current form and carries no code.)


Detailed Line Items (highlights)

Item 12 - Intangible assets (ties to HC item 10)

Line MDRM Description
12.a BHCK3164 Mortgage servicing assets
12.a.(1) BHCK6438 Estimated fair value of mortgage servicing assets (memo)
12.b BHCK3163 Goodwill
12.c BHCKJF76 All other intangible assets
12.d BHCT2143 Total intangible assets (= Schedule HC item 10)
HC-M item 12.d (BHCT2143)  =  12.a + 12.b + 12.c  =  Schedule HC item 10
                              (Goodwill 10.a + Other intangible assets 10.b)

Item 14 - Other borrowed money (ties to HC item 16)

Line MDRM Description
14.a BHCK2309 Commercial paper
14.b BHCK2332 Other borrowed money, remaining maturity <= 1 year
14.c BHCK2333 Other borrowed money, remaining maturity > 1 year
14.d BHCT3190 Total other borrowed money (= Schedule HC item 16)

Item 13 - Other real estate owned

Line MDRM Description Ties To
13 BHCT2150 Other real estate owned Component of HC item 7

Captive insurance/reinsurance (item 7) and broker-dealer (item 20)

Line MDRM Description
7.a BHCKK193 Total assets of captive insurance subsidiaries (December only)
7.b BHCKK194 Total assets of captive reinsurance subsidiaries (December only)
20.a BHCKC252 Broker-dealer subsidiaries - net assets
20.b.(1)-(3) BHCK4832/4833/4834 Due from parent / subsidiary banks / nonbank subsidiaries
20.c.(1)-(3) BHCK5041/5043/5045 Due to parent / subsidiary banks / nonbank subsidiaries
20.d BHCK5047 Intercompany liabilities qualifying as subordinated

Secured liabilities (item 23) and TARP CPP (item 24)

Line MDRM Description Ties To
23.a BHCKF064 Secured "Federal funds purchased in domestic offices" Portion of HC item 14.a
23.b BHCKF065 Secured "Other borrowings" Portion of HC-M item 14.d
24.a BHCKG234 Senior perpetual preferred stock or similar (CPP) -
24.b BHCKG235 Warrants to purchase common stock or similar (CPP) -

See the CSV for the complete 43-line inventory, including indicator and text items.


Reconciliation / Ties

HC-M 12.d (BHCT2143)  =  HC item 10  (intangible assets)
HC-M 14.d (BHCT3190)  =  HC item 16  (other borrowed money)
HC-M 13   (BHCT2150)  ⊂  HC item 7   (premises/OREO; OREO component)
HC-M 23.a (BHCKF064)  ⊂  HC item 14.a (secured portion of fed funds purchased)
HC-M 23.b (BHCKF065)  ⊂  HC-M item 14.d (secured portion of other borrowings)

The "reciprocal / brokered deposit" style intercompany detail in item 20 (due-from / due-to related institutions) and the FHLB-relevant other-borrowed-money lines in item 14 are the schedule's principal funding-structure disclosures.


Pitfalls

  • BHCKG450 is not an HC-M item. It is an HC-L derivatives-collateral code that appears as an OCR header artifact at the top of the HC-M field-spec block; it is excluded here (see Scope note).
  • Mixed item kinds. HC-M mixes dollar amounts, integer counts (item 1, common shares - reported unrounded, not in thousands), Yes/No indicators (items 8, 9, 11, 15, 17, 18, 19.a, 19.b), and text fields (item 11 official name/phone, item 22 URL). Treating an indicator code as a dollar amount will corrupt any aggregation.
  • Conditional and annual items. Several items are blank for most filers by design (item 6 and various memoranda for < $5B filers; items 7.a/7.b only in December; items 20-21 only for financial holding companies; item 22 only for $30B+ filers). A blank is a valid filing.
  • Item numbering has gaps. Item 10 is "Not applicable"; the form jumps from 9 to 11. Do not infer a missing item 10 row.
  • Total cells use the BHCT prefix. Items 12.d, 13, and 14.d use BHCT… total codes; the component lines use BHCK…. The total prefix signals a Federal Reserve-computed/edited control cell.

Verification & Provenance

  • MDRM: all 43 HC-M line codes joined to the Federal Reserve MDRM codeset; 43 of 43 verified present (the 44th field-spec cell, BHCKG450, is the excluded HC-L artifact).
  • Warehouse evidence: all 43 codes are observed in the Federal Reserve bulk BHCF data (1986-2025); the TEXT… items are non-numeric and (as expected) carry no value series in the bulk numeric data.
  • Provenance file: _rebuild/schedules/PROVENANCE_HC_M.csv.
  • Sources: Federal Reserve MDRM; FR Y-9C form and instructions (March 2026); Federal Reserve bulk BHCF data (1986-2025).

Last Updated: 2026-06-11 Reference: FR Y-9C form and instructions (March 2026); Federal Reserve MDRM; Federal Reserve bulk BHCF data (1986-2025)