$1 Billion In Disaster Relief Funding Available
-Federal Home Loan Bank of New York Responds to Hurricane Sandy-
NEW YORK, Nov. 8, 2012 /PRNewswire-USNewswire/ -- In response to the extensive damage caused by Hurricane Sandy, the Federal Home Loan Bank of New York ("FHLBNY") is making $1 billion in disaster relief funding available to nearly 340 community-based lenders to help rebuild communities in New Jersey and New York 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.
"Hurricane Sandy brought unprecedented destruction to cities and towns across New Jersey and New York," said Alfred A. DelliBovi, president and CEO of the FHLBNY. "We now begin the long process of recovering and rebuilding. The $1 billion in funding we are making available will help our members – the local lenders serving these communities – make a long-term, positive impact on recovery, relief and rebuilding efforts."
The $1 billion CLP commitment can be used for any residential lending activity for households whose incomes are at or below 115 percent of the area median income, as well as all small business and economic development lending in FEMA-designated disaster areas, and bridge financing. These low-cost loans can be used by the FHLBNY's member-lenders to support critical disaster relief financial activities, and meet the short-, medium-, and long-term funding needs of affected communities in New Jersey and New York.
Last year, the FHLBNY announced a $500 million CLP commitment in response to the massive scope of damage created by Hurricane Irene. Home Loan Bank members tapped this funding to make small business loans in the wake of that storm.
For more information on the disaster relief funding, and for a list of counties designated by FEMA as disaster areas, please visit: www.fhlbny.com/drf.
Federal Home Loan Bank of New York
The Federal Home Loan Bank of New York 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 FHLB of New York currently serves over 330 financial institutions in New Jersey, New York, Puerto Rico, and the U.S. Virgin Islands. The mission of the Federal Home Loan Banks is to support the efforts of local members to help provide financing for America's homebuyers.
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
SOURCE Federal Home Loan Bank of New York