WASHINGTON, July 6 (Reuters) - The largest Wall Street bankson Monday published detailed manuals of how to shut down theirbusiness during a crisis without the help of taxpayer money, acrucial step to prevent being broken up by regulators.
After the 2007-09 financial crisis, the banks were requiredto submit the so-called "living wills" each year to show howthey would proceed though an ordinary bankruptcy during a crisiswithout quietly relying on government support.
But the Federal Reserve and the Federal Deposit InsuranceCorporation last year said they were unhappy about the qualityof the plans, urging the banks to improve them, or face toughsanctions including being broken up.
The 2010 Dodd-Frank Act gave the regulators the power tocarve up the banks if they jointly deem the living wills "notcredible," though that is only the starting point of a lengthyprocedure giving banks several chances to improve.
The banks are Bank of America, Bank of New YorkMellon, Barclays, Citigroup, Credit Suisse, Deutsche Bank, Goldman Sachs,JPMorgan Chase, Morgan Stanley, State Street, UBS and Wells Fargo. (Reporting by Douwe Miedema; Editing by Alan Crosby)
Barclays (BARC)
