December 15, 2016
The Federal Home Loan Bank of Boston is initiating a repurchase of excess stock on December 29, 2016, the repurchase settlement date, from any shareholder whose holdings of Class B stock exceed 105 percent of its total stock investment requirement as measured after the close of business on December 28, 2016. The repurchase will be in an amount sufficient to reduce stock holdings to the aforementioned level, with a minimum repurchase amount of $100,000 and a maximum excess holding amount of $10,000,000.
Shareholders with holdings of Class B stock that are less than 105 percent of their total stock investment requirement or with excess stock that is less than $100,000, regardless of the percentage of required stock, will not be impacted by this transaction. Also, no shareholders will be allowed to retain more than $10,000,000 of excess stock at the time of this stock repurchase.
For a preliminary estimate of the amount of stock to be purchased by the Bank, based on the total stock investment requirement measured as of the close of business on December 13, 2016, members should access their advice letter on Direct+. Please note that this is only a preliminary estimate; the actual repurchase amount (if any) will be determined after the close of business on December 28, 2016, and all repurchases will be settled as of the opening of business on December 29, 2016.
An email sent to members fulfills the Bank's requirement to provide no less than 15 days advance written notice that it will repurchase excess stock from your institution as of the opening of business on the repurchase settlement date in accordance with Section III.A.2 (a) of its Capital Plan. On December 29, 2016, proceeds from the repurchase will be credited to member IDEAL Way accounts at the Bank.
Members will receive an email on December 29, 2016, advising them to consult Direct+ to determine the amount (if any) that was credited to their IDEAL Way account that day.
Members may also contact customer service at 1-800-357-3452 and select option three to obtain this information.