Federal Home Loan Bank of New York Announces $500 Million in Disaster...

Federal Home Loan Bank of New York Announces $500 Million in Disaster Relief Funds in Response to Hurricane Irene


NEW YORK, Sept. 6, 2011 /PRNewswire-HISPANIC PR WIRE/ — The Federal Home Loan Bank of New York (“FHLBNY”) announced today that, in response to the damage done to many local communities due to Hurricane Irene, the FHLBNY has committed to provide up to $500 million in disaster relief loans to begin the process of rebuilding communities designated by FEMA as disaster areas. The funds are being made available by the FHLBNY through its Community Lending Programs (“CLP”) to be used as immediate gap financing.

“Communities across New Jersey, New York and the Caribbean region have been severely affected by Hurricane Irene,” said Alfred A. DelliBovi, President and CEO of the FHLBNY. “Although local, state and federal officials, as well as the members of these communities themselves, did exceptional work in preparing themselves for the storm, we now begin the long process of digging out, cleaning up, and rebuilding. The funds we are making available today will allow our member lenders to make an immediate, positive impact on recovery, relief and rebuilding efforts, while providing the flexibility these members need to suit these efforts to the individual communities they serve. Our members remain fully committed to serving their customers and neighbors during these difficult times.”

The $500 million CLP commitment can specifically be used for housing, small business and economic development lending. In addition, these low-cost loans can be used by the FHLBNY’s member-lenders to support disaster relief financing activities, regardless of income status, and meet the short-, medium-, and long-term funding needs of affected communities in New Jersey, New York, Puerto Rico and the U.S. Virgin Islands.

In April 2010, the FHLBNY announced a $250 million CLP commitment in response to significant flooding across multiple counties in New Jersey and New York. The FHLBNY has increased its disaster relief funding to $500 million in response to the massive scope of damage created by the August storm.

For more information on the disaster relief funding, and for a list of counties designated by FEMA as disaster areas, please visit: http://www.fhlbny.com/drf.

Federal Home Loan Bank of New York

The FHLBNY is a Congressionally-chartered wholesale bank. It is part of the Federal Home Loan Bank System, a national wholesale banking network of 12 regional, stockholder-owned banks. The FHLBNY currently serves financial institutions in New Jersey, New York, Puerto Rico, and the U.S. Virgin Islands. The mission of the FHLBNY is to support the efforts of local members to make home mortgages to families of all income levels and provide credit to spur community growth.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995

This report contains forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These statements are based upon our current expectations and speak only as of the date hereof. These statements may use forward-looking terms, such as “projected,” “expects,” “may,” or their negatives or other variations on these terms. The Bank cautions that, by their nature, forward-looking statements involve risk or uncertainty and that actual results could differ materially from those expressed or implied in these forward-looking statements or could affect the extent to which a particular objective, projection, estimate, or prediction is realized. These forward-looking statements involve risks and uncertainties including, but not limited to, regulatory and accounting rule adjustments or requirements, changes in interest rates, changes in projected business volumes, changes in prepayment speeds on mortgage assets, the cost of our funding, changes in our membership profile, the withdrawal of one or more large members, competitive pressures, shifts in demand for our products, and general economic conditions. We undertake no obligation to revise or update publicly any forward-looking statements for any reason.

CONTACT: Eric Amig

(212) 441-6807

Brian Finnegan

(212) 441-6877

SOURCE Federal Home Loan Bank of New York

Federal Home Loan Bank of New York Announces $500 Million in Disaster Relief Funds in Response to Hurricane Irene