Press Release

Searching for a President

June 5, 2003

NEW YORK -- The board of directors of the Federal Reserve Bank of New York today announced that Jamie B. Stewart will perform the functions of the chief executive officer of the bank as of June 11, 2003, as the search for a successor to William J. McDonough continues. As part of his expanded responsibilities, Mr. Stewart will serve as a voting member of the Federal Open Market Committee.

Mr. Stewart joined the New York Fed in January, 1999 as first vice president, the bank's chief operating officer and second-in-command.

"Jamie brings to this position a record of accomplishment, both at the Fed and in his many years in private sector banking." said Peter G. Peterson, chairman of the board of directors. "He serves the New York Fed ably and will guide the bank in this period of transition."

Mr. McDonough added, "Jamie has been a trusted deputy to me, and particularly on September 11, 2001 and immediately after, when he distinguished himself with his decisive actions and sure judgement."

Mr. Stewart, 58, joined the New York Fed after 11 years at Mellon Bank Corporation and Mellon Bank, most recently as vice chairman. He was responsible for Mellon Bank's overall wholesale banking, international operations and cash management activities.

In addition, Mr. Peterson announced that the search committee of the board of directors, which he chairs, has engaged the executive search firm of Spencer Stuart. Thomas J. Neff, U.S. chairman of Spencer Stuart, will handle the assignment personally, Mr. Peterson said.

Mr. Peterson added that "The president of the New York Fed, by virtue of the responsibility inherent in the position and the location of the Bank at the heart of the financial services industry of the United States, requires an individual with a capacity to play a key role in shaping monetary and economic policy, supervise some of the largest banking companies in the world, manage a large institution and address critical financial market issues, often under severe pressure." In addition, the New York Fed president is a member of the committee of the G-10 central bank governors, and a member of the board of the Bank for International Settlements, in Basel, Switzerland.

"I consider this to be not only one of the most important, but also one of the very best public sector jobs in the entire area of financial services. We are committed to finding the very best person," said Mr. Peterson.

Contact:
Peter Bakstansky
(212) 720-6136
peter.bakstansky@ny.frb.org

Linda Ricci
(212) 720-6143
linda.ricci@ny.frb.org