It also gives us a great opportunity to do more client business and given the very attractive rates and margin haircuts that they have put in place for the facility, we will see where things are at the end of today after the Fed meeting.
Prashant Bhatia (Citigroup): You mentioned you had executed two-thirds of the capital plan, could you just elaborate on what was done and what needs to be done?
Erin Callan: It was basically the refinancing needs for the year, about $22 or so $23 billion, just depending on how you looked at balance sheet growth. We have executed $16 billion, we did a large preferred stock deal which was our full year needs, we executed in February $1.9 billon.
That was going to be a smaller deal but we had the opportunity with great pricing to do a bigger one so we took care of our full year needs at that point. We did a $4 billion five year bond deal back in January, incredibly well received, great participation, great over subscription.
We have done a bunch of geographically diversified unsecured capital raises, raised capital in Singapore, and in Europe. So all over the globe, tapping into various sources and then we do a substantial amount structured notes.
Prashant Bhatia (Citigroup): On the $14.6 billion in residential mortgage, can you just break that down between prime and alt A?
Erin Callan: That is primarily alt A. There is a small component of prime in there.
Glenn Schorr (UBS): What do you use to hedge alt A?
Erin Callan: ABX best alternative, we also in our minds at least think about hedging through servicing. There is some CMBX too.
Glenn Schorr (UBS): Can you describe what is in your unencumbered bucket of assets?
Paolo Tonucci: The majority of the unencumbered collateral is going to be corporate loans and the commercial mortgages, some residential mortgages and some securities that we are trading.
The majority of the securities are obviously within our broker dealer but there are some that will be outside the broker dealer for various reasons. The commercial mortgages as are low LTV and high quality and very much financeable in a variety of secured funding forms.
Brad Hintz (Sanford Bernstein): What is the tenor of your commercial paper program right now, how much do you have outstanding?
Paolo Tonucci: We had at the end of the quarter around $8 billion outstanding in both the US and in Europe. Around half of that has been allowed just to mature.
Erin Callan: The remaining 4 is around an average tenor of two to three months.
Brad Hintz (Sanford Bernstein): Have you drawn under any of your committed facilities?
Erin Callan: No we have not.
Brad Hintz (Sanford Bernstein): Are you still making a market in your debt?
Erin Callan: We are very actively so.
Michael Hecht (Banc of America Securities): How do we expect headcount to trend the rest of the year?
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