Edge and Agreement Corporation

An Edge corporation is a federally-chartered corporation organized under Section 25(a) of the Federal Reserve Act and subject to Federal Reserve Regulation K. Edge corporations are allowed to engage only in international banking or other financial transactions related to international business.
An Agreement corporation is a state-chartered corporation that has agreed to operate as if it were organized under Section 25 of the Federal Reserve Act and has agreed to be subject to Federal Reserve Regulation K. Agreement corporations are restricted, in general, to international banking operations. Banks must apply to the Federal Reserve for permission to acquire stock in an Agreement corporation.
A reporting bank’s Edge or Agreement subsidiary, i.e., the bank’s majority-owned Edge or Agreement corporation, is treated for purposes of these reports as a “foreign” office of the reporting bank. )

 

reference: FFIEC

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