Federal Home Loan Bank of San Francisco Issues Consolidated Obligations

What Happened

• The Federal Home Loan Bank of San Francisco filed a Form 8‑K (dated June 25, 2026) under Item 2.03 to report consolidated obligations (debt) for which it is the primary obligor. The schedule in the filing lists three consolidated obligations committed on trade dates June 22–23, 2026, with par amounts totaling $1.11 billion. Consolidated obligations are joint and several obligations of the eleven Federal Home Loan Banks and are not guaranteed by the U.S. government.

Key Details

• Total par amount reported on Schedule A: $1,110,000,000 (sum of three entries).
• Issue details (as reported):
  • Trade date 6/22/2026; CUSIP 3130BBBR5; settlement 7/07/2026; maturity 10/07/2027; Bermudan optional call; fixed coupon 4.32%; par $100,000,000.
  • Trade date 6/23/2026; CUSIP 3130BBC4; settlement 6/24/2026; maturity 9/24/2026; non‑callable; variable single‑index floating rate; par $1,000,000,000.
  • Trade date 6/23/2026; CUSIP 3130BBCA1; settlement 6/30/2026; maturity 3/30/2028; Bermudan optional call; fixed coupon 4.32%; par $10,000,000.
• The filing notes Schedule A omits most discount notes with maturities ≤1 year issued in the ordinary course and does not reflect associated derivative arrangements (e.g., interest‑rate swaps) that may be used for asset/liability management.

Why It Matters

• This filing notifies investors that the Bank raised or committed to raise short‑ and medium‑term funding through consolidated obligations — a primary funding source for the Federal Home Loan Banks. The $1.11 billion reported includes a $1.0 billion variable floater and fixed‑rate bonds, affecting the Bank’s funding mix and interest‑rate exposure.
• Important investor points from the filing: consolidated obligations are backed by the collective resources of the eleven Federal Home Loan Banks (not the U.S. Treasury), and the Bank may be required by the Federal Housing Finance Agency to repay obligations for which another FHLB is primary obligor. The report is factual and does not include earnings, management changes, or guarantees beyond the FHLB system.