8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of

The Securities Exchange Act of 1934

Date of Report (Date of earliest event reported) November 18, 2008

FEDERAL HOME LOAN BANK OF BOSTON

(Exact name of registrant as specified in its charter)

Federally chartered corporation	000-51402	04-6002575
(State or other jurisdiction of incorporation)	(Commission File Number)	(IRS EmployerIdentification No.)

111 Huntington Avenue
Boston, MA 02199
(Address of principal executive offices, including zip code)

(617) 292-9600
(Registrant’s telephone number, including area code)

Not Applicable
(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

oWritten communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o    Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

oPre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

oPre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 7.01 Regulation FD Disclosure

On November 18, 2008, the Federal Home Loan Bank of Boston (the Bank) announced its quarterly dividend rate. Copies of the related press release and letter to members are attached as Exhibit 99.1 and Exhibit 99.2, respectively, to this Current Report on Form 8-K. The information being furnished pursuant to Item 7.01 of this Current Report on Form 8-K and the information contained in Exhibit 99.1 and Exhibit 99.2 shall not be deemed to be “filed” for purposes of Section 18 of the Exchange Act, or otherwise subject to the liabilities under Section 18.

Item 9.01 Financial Statements and Exhibits

(d) Exhibits

Exhibit Number

99.1 Press release, dated November 18, 2008, issued by the Bank.

99.2 Letter to members, dated November 18, 2008, issued by the Bank.

2

Signature(s)

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	Federal Home Loan Bank of Boston
Date: November 18, 2008	By:	/s/Frank Nitkiewicz
		Frank Nitkiewicz
		Executive Vice President, Chief Financial Officer

3

EX-99.1

Exhibit 99.1

NEWS RELEASE

FOR IMMEDIATE RELEASE	CONTACT: Mark S. Zelermyer
November 18, 2008	617-292-9750
	mark.zelermyer@fhlbboston.com

FEDERAL HOME LOAN BANK OF BOSTON DECLARES DIVIDEND

BOSTON — The board of directors of the Federal Home Loan Bank of Boston declared a quarterly dividend rate with an equivalent annual yield of 2.50 percent. The dividend, based on average stock outstanding for the third quarter, will be paid on December 2, 2008.

The Federal Home Loan Bank of Boston is a cooperatively owned wholesale bank for housing finance in the six New England states. Its mission is to support the residential-mortgage and community-development lending activities of its members, which include over 450 financial institutions across New England. To accomplish its mission, the Bank utilizes private-sector capital to provide members and other qualified customers with reliable access to low-cost wholesale funds, liquidity, a competitive outlet for the sale of loans, special lending programs, technical assistance, and other products and services.

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Federal Home Loan Bank of Boston  |  111 Huntington Avenue  |  Boston, MA 02199  |  617-292-9600  |  FAX: 617-292-9645

www.fhlbboston.com

EX-99.2

Exhibit 99.2

November 18, 2008

TO:  All Shareholders

The board of directors of the Federal Home Loan Bank of Boston (the Bank) declared a quarterly dividend of $22.9 million, payable on December 2, 2008, based on average shares outstanding during the period July 1, 2008, through September 30, 2008. The dividend yield is 2.50 percent, and the payout ratio relative to the $49.7 million of net income earned in the quarter ended September 30, 2008, is 46 percent and will effectively contribute $27.3 million to retained earnings.

The dividend yield represents a reduction in yield of 55 basis points from that of the previous quarter. While the recommended yield is 46 basis points below the average daily three-month LIBOR yield for the quarter, it should be noted that three-month LIBOR has been elevated relative to other short-term indices throughout the financial crisis due to bank credit concerns, and this trend accelerated toward the end of the third quarter. We also note that this dividend level exceeds the average overnight federal funds effective rate for the third quarter by 50 basis points.

The Bank remains financially strong. However, unprecedented conditions affecting the Federal Home Loan Bank System have resulted in significant challenges going forward:

·Performance of loans underlying the Bank’s private-label residential mortgage-backed securities continues to deteriorate, raising the possibility of charges for impairments deemed to be other than temporary in future quarters. Please see our September 30, 2008, Form 10-Q at www.sec.gov for details.

·Funding costs for the Federal Home Loan Banks relative to broader interest-rate benchmarks have also deteriorated to unprecedented levels for debt with maturities of one year or longer, creating the prospect of spread compression going forward. These conditions are partly the result of the various federal initiatives to provide relief to credit markets, but they have had an adverse impact on our funding costs, the duration of which cannot be predicted.

Our primary objective is and always will be to supply funding to meet your needs in any environment. Capital preservation is a key component to our ability to deliver on that promise, and we therefore believe that this dividend is prudent.

Please don’t hesitate to contact me (617-292-9610), Chief Financial Officer Frank Nitkiewicz (617-292-9624), or Chief Accounting Officer Earl Baucom (617-292-9789) to discuss any concerns you might have.

Sincerely,

Michael A. Jessee

President and Chief Executive Officer