Financial Update (Fourth Quarter 2004)



FEATURES

 Appraisal Reviews
 Maintain Soundness

 GLBA Spurs
 Banks’ Insurance
 Activities

 Conference Focuses
 on Remittances

 New Fed
 Brochures About
 Check 21

 Fed Distributes
 Redesigned $50s

 Atlanta Fed Chair,
 Vice Chair
 Reappointed

 Will Privacy
 Concerns Prolong
 Cash Use?

 Fed Governor
 Sees Oil Prices
 Staying High

 Greenspan on
 Challenges of
 Aging Population

 Helping Consumers
 Avoid Overdrafts

 Examining Fannie
 Mae and
 Freddie Mac

DEPARTMENTS

 Data Bank

 Circular Letters

STAFF

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Fed Distributes Redesigned $50s

Louise Roseman, director of operations and payments systems for the Federal Reserve Board, points out the features of a new $50 note to Fawaz “Tony” Ismail, owner of Alamo Flags in Washington, D.C., on Sept. 28, the bill’s first day of issue. Joining Roseman are (from left) Thomas Ferguson, director of the Bureau of Engraving and Printing; Bruce Townsend, deputy assistant director of the Secret Service; and Brian Roseboro, undersecretary for domestic finance of the Department of the Treasury.

Newly redesigned $50 notes began to make their way into circulation on Sept. 28 as the Federal Reserve started distributing them to financial institutions.

The same day, officials from the U.S. Treasury Department, the Federal Reserve Board, and the U.S. Secret Service took part in the symbolic first transaction using the new note. They used a new $50 bill, whose redesign includes star and stripe motifs, to buy an American flag from the Alamo Flag shop in Union Station in Washington, D.C.

Safer and more secure
The design for the new $50 note was unveiled on April 26 and is the second denomination in the Series 2004 currency—the redesigned $20 note debuted in 2003. The notes in this series feature security enhancements—some introduced in the 1990s, including a watermark, a security thread, and color-shifting ink—that help thwart counterfeiting.

Related
Security features of the $50 note
Press release about the $50’s distribution
Interactive $50 bill
“New $50 Bill Unveiled” (Q2 2004)

Showing its colors
This note series is also the first modern U.S. currency printed in colors other than green and black. On the new $50 note, blue stars appear to the left of Grant’s portrait and red stripes and a small metallic silver-blue star to the right. These colors and symbols not only make the notes more complex and difficult to counterfeit but also help people tell the different denominations apart.

The next note to be redesigned will be the $10 note, which will be unveiled in the spring of 2005. The $100 note will also be revamped, but no date is set for its release. There are no plans to redesign the $5, $2, and $1 notes.

Getting the word out
To help inform people about the currency’s updated security features, the government is conducting a worldwide education program aimed at the media, cash handlers, merchants, and business and industry associations. Since May 2003, the Treasury’s Bureau of Engraving and Printing has distributed more than 52 million pieces of training materials, including posters, videos, and brochures, about the new currency.

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