[Appendix]
[Government-Sponsored Enterprises]
[From the U.S. Government Publishing Office, www.gpo.gov]



   
      
      
         GOVERNMENT-SPONSORED ENTERPRISES                                                                                         
            
         
      
      
   
   
      GOVERNMENT-SPONSORED ENTERPRISES                                                                                         
         
      
      
      
         This chapter contains descriptions of the data on the Government-sponsored enterprises listed below. These enterprises were
            established and chartered by the Federal Government for public policy purposes. They are not included in the Federal Budget
            because they are private companies, and their securities are not backed by the full faith and credit of the Federal Government.
            However, because of their public purpose, detailed statements of financial condition are presented, to the extent such information
            is available, on a basis that is as consistent as practicable with the basis for the budget data of Government agencies. 
         
         âThe Federal National Mortgage Association and the Federal Home Loan Mortgage Corporation provide assistance to the secondary
            market for residential mortgages.
         
         âThe Federal Home Loan Banks assist thrift institutions, banks, insurance companies, and credit unions in providing financing
            for housing and community development.
         
         âInstitutions of the Farm Credit System, which include the Agricultural Credit Bank and Farm Credit Banks, provide financial
            assistance to agriculture. They are regulated by the Farm Credit Administration.
         
         âThe Federal Agricultural Mortgage Corporation, also a Farm Credit System institution under the regulation of the Farm Credit
            Administration, provides a secondary market for agricultural real estate, rural housing loans, and certain rural utility loans,
            as well as for farm and business loans guaranteed by the U.S. Department of Agriculture.
         
      
      Federal National Mortgage Association                                                                                    
         
      
      Federal Funds
         Portfolio Programs                                                                                                       
            
         Status of Direct Loans (in millions of dollars)
      
         
            
               
                  
                     
                  
               
               
                  Identification code 915â4986â0â4â371
                  2015 actual
                  2016 est.
                  2017 est.
               
               
                  
                     
                  
               
               
                  
                  Cumulative balance of direct loans outstanding:
               
               
                  1210
                  Outstanding, start of year
                  438,100
                  370,450
                  339,304
               
               
                  1251
                  Repayments: Net repayments and prepayments
                  â67,650
                  â31,146
                  â50,896
               
               
                  
                  
                  
                     
                  
                  
                     
                  
                  
                     
                  
               
               
                  1290
                  Outstanding, end of year
                  370,450
                  339,304
                  288,408
               
               
                  
                     
                  
               
            
         
      
      
         The Federal National Mortgage Association (Fannie Mae) is a Government-sponsored enterprise (GSE) in the housing finance market.
            As a housing GSE, Fannie Mae is a federally chartered, shareholder-owned, private company with a public mission to provide
            stability in and increase the liquidity of the residential mortgage market and to help increase the availability of mortgage
            credit to low- and moderate-income families and in underserved areas. Fannie Mae engages primarily in two forms of business:
            guaranteeing residential mortgage securities and investing in portfolios of residential mortgages.
         
         Fannie Mae was established in 1938 to assist private markets in providing a steady supply of funds for housing. Fannie Mae
            was originally a subsidiary of the Reconstruction Finance Corporation and was permitted to purchase only loans insured by
            the Federal Housing Administration (FHA). In 1954, Fannie Mae was restructured as a mixed ownership (part government, part
            private) corporation. Legislation directed the sale of the Government's remaining interest in Fannie Mae in 1968 and completed
            the transformation to private shareholder ownership in 1970.
         
         The Housing and Economic Recovery Act (HERA) of 2008 strengthened housing GSE regulation by creating the Federal Housing Finance
            Agency (FHFA), a new independent regulator, and providing temporary authority for the U.S. Department of the Treasury to purchase
            obligations of the housing GSEs. On September 6, 2008, FHFA placed Fannie Mae under Federal conservatorship to avoid a possible
            collapse of the housing finance market and further risks to the broader financial market. On the following day, the U.S. Department
            of the Treasury entered into a Senior Preferred Stock Purchase Agreement (PSPA) with Fannie Mae to make investments of up
            to $100 billion in senior preferred stock as required to maintain positive equity. In May 2009, Treasury increased the funding
            commitments for the PSPA to $200 billion and in December 2009, Treasury modified the funding commitments in the PSPA to the
            greater of $200 billion or $200 billion plus cumulative net worth deficits experienced during 2010â2012, less any surplus
            remaining as of December 31, 2012. Based on the financial results reported by Fannie Mae as of December 31, 2012, and under
            the terms of the PSPA, the cumulative funding commitment cap for Fannie Mae was set at $233.7 billion. As of December 31,
            2015, Fannie Mae had received $116.1 billion under the PSPA and made a total of $144.8 billion in dividend payments to Treasury
            on the senior preferred stock. The Budget continues to reflect the GSEs as non-budgetary entities, though their status will
            continue to be reviewed. All of the current federal assistance being provided to Fannie Mae, including the PSPA, is shown
            on-budget. For additional discussion and analyses of Fannie Mae, please see the Analytical Perspectives volume of the Budget documents.
         
      
      Balance Sheet (in millions of dollars)
      
         
            
               
                  
                     
                  
               
               
                  Identification code 915â4986â0â4â371
                  2014 actual
                  2015 actual
               
               
                  
                     
                  
               
               
                  
                  ASSETS:
               
               
                  
                  Federal assets:
               
               
                  
                  Investments in US securities:
               
               
                  1102
                  Treasury securities, par
                  17,757
                  26,961
               
               
                  1201
                  Non-Federal assets: Investments in non-Federal securities, net
                  29,450
                  26,600
               
               
                  
                  Net value of assets related to direct loans receivable and acquired defaulted guaranteed loans receivable:
               
               
                  1601
                  Mortgage Loans and Mortgage Related Securities
                  287,584
                  248,930
               
               
                  1601
                  Mortgage Loans and Mortgage Related Securities - Consolidated Trusts
                  2,767,805
                  2,804,581
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  1604
                  Direct loans and interest receivable, net
                  3,055,389
                  3,053,511
               
               
                  1606
                  Acquired Property, net
                  11,339
                  7,691
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  1699
                  Value of assets related to direct loans
                  3,066,728
                  3,061,202
               
               
                  
                  Other Federal assets:
               
               
                  1801
                  Cash and other monetary assets
                  73,624
                  77,007
               
               
                  1901
                  Other assets
                  42,757
                  39,012
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  1999
                  Total assets
                  3,230,316
                  3,230,782
               
               
                  
                  LIABILITIES:
               
               
                  
                  Non-Federal liabilities:
               
               
                  2202
                  Interest payable
                  10,492
                  10,016
               
               
                  2203
                  Debt
                  474,952
                  417,458
               
               
                  2203
                  Debt - Consolidated Trusts
                  2,726,528
                  2,788,787
               
               
                  2207
                  Other
                  11,945
                  10,518
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  2999
                  Total liabilities
                  3,223,917
                  3,226,779
               
               
                  
                  NET POSITION:
               
               
                  3300
                  Senior Preferred Stock
                  117,149
                  117,149
               
               
                  3300
                  Private Equity
                  â110,800
                  â113,177
               
               
                  3300
                  Noncontrolling Interest
                  50
                  31
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  3999
                  Total net position
                  6,399
                  4,003
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  4999
                  Total liabilities and net position
                  3,230,316
                  3,230,782
               
               
                  
                     
                  
               
            
         
      
         Mortgage-backed Securities                                                                                               
            
         Status of Direct Loans (in millions of dollars)
      
         
            
               
                  
                     
                  
               
               
                  Identification code 915â4987â0â4â371
                  2015 actual
                  2016 est.
                  2017 est.
               
               
                  
                     
                  
               
               
                  
                  Cumulative balance of direct loans outstanding:
               
               
                  1210
                  Outstanding, start of year
                  2,768,291
                  2,801,954
                  2,801,954
               
               
                  1231
                  Disbursements: Direct loan disbursements
                  522,948
                  
                  
               
               
                  1251
                  Repayments: Repayments and prepayments
                  â489,285
                  
                  
               
               
                  
                  
                  
                     
                  
                  
                     
                  
                  
                     
                  
               
               
                  1290
                  Outstanding, end of year
                  2,801,954
                  2,801,954
                  2,801,954
               
               
                  
                     
                  
               
            
         
      
      
         Prior to January 1, 2010, the mortgages in the pools of loans supporting the mortgage-backed securities guaranteed by Fannie
            Mae were considered to be owned by the holders of these securities according to the accounting standards for private corporations.
            Consequently, on the books of Fannie Mae, these mortgages were not considered assets and the securities outstanding were not
            considered liabilities. New accounting standards implemented on January 1, 2010, require consolidation of many, but not all,
            of these securities in Fannie Mae's financial statements. For the purposes of the Budget they are presented as direct loans
            for mortgage-backed securities. "Disbursements" and "Repayments" are budgetary terms. These items are reported by Fannie Mae
            as "Issuances" and "Liquidations" respectively.
         
      
      Federal Home Loan Mortgage Corporation                                                                                   
         
      
      Federal Funds
         Portfolio Programs                                                                                                       
            
         Status of Direct Loans (in millions of dollars)
      
         
            
               
                  
                     
                  
               
               
                  Identification code 913â4988â0â4â371
                  2015 actual
                  2016 est.
                  2017 est.
               
               
                  
                     
                  
               
               
                  
                  Cumulative balance of direct loans outstanding:
               
               
                  1210
                  Outstanding, start of year
                  413,610
                  367,145
                  339,304
               
               
                  1251
                  Repayments: Repayments and prepayments
                  â46,465
                  â27,841
                  â50,896
               
               
                  
                  
                  
                     
                  
                  
                     
                  
                  
                     
                  
               
               
                  1290
                  Outstanding, end of year
                  367,145
                  339,304
                  288,408
               
               
                  
                     
                  
               
            
         
      
      
         The Federal Home Loan Mortgage Corporation (Freddie Mac) is a Government-sponsored enterprise (GSE) in the housing finance
            market. As a housing GSE, Freddie Mac is a federally chartered, shareholder-owned, private company with a public mission to
            provide stability in and increase the liquidity of the residential mortgage market, and to help increase the availability
            of mortgage credit to low- and moderate-income families and in underserved areas. Freddie Mac engages primarily in two forms
            of business: guaranteeing residential mortgage securities and investing in portfolios of residential mortgages.
         
         Freddie Mac was established in 1970 under the Emergency Home Finance Act. The Congress chartered Freddie Mac to provide mortgage
            lenders with an organized national secondary market enabling them to manage their conventional mortgage portfolio more effectively
            and gain indirect access to a ready source of additional funds to meet new demands for mortgages. Freddie Mac serves as a
            conduit facilitating the flow of investment dollars from the capital markets to mortgage lenders, and ultimately, to homebuyers.
         
         The Housing and Economic Recovery Act (HERA) of 2008 strengthened housing GSE regulation by creating the Federal Housing Finance
            Agency (FHFA), a new independent regulator, and provided temporary authority for the U.S. Department of the Treasury to purchase
            obligations of the housing GSEs. On September 6, 2008, FHFA placed Freddie Mac under Federal conservatorship to avoid a possible
            collapse of the housing finance market and further risks to the broader financial market. On the following day, the U.S. Department
            of the Treasury entered into a Senior Preferred Stock Purchase Agreement (PSPA) with Freddie Mac to make investments of up
            to $100 billion in senior preferred stock as required to maintain positive equity. In May 2009, Treasury increased the funding
            commitments for the PSPA to $200 billion and in December 2009, Treasury modified the funding commitments in the PSPA to the
            greater of $200 billion or $200 billion plus cumulative net worth deficits experienced during 2010â2012, less any surplus
            remaining as of December 31, 2012. Based on the financial results reported by Freddie Mac as of December 31, 2012, and under
            the terms of the PSPA, the cumulative funding commitment cap for Freddie Mac was set at $211.8 billion. As of December 31,
            2015, Freddie Mac had received $71.3 billion under the PSPA and made a total of $96.5 billion in dividend payments to Treasury
            on the senior preferred stock. The Budget continues to reflect the GSEs as non-budgetary entities, though their status will
            continue to be reviewed. All of the current federal assistance being provided to Freddie Mac, including the PSPA, is shown
            on-budget. For additional discussion and analyses of Freddie Mac, please see the Analytical Perspectives volume of the Budget documents.
         
      
      Balance Sheet (in millions of dollars)
      
         
            
               
                  
                     
                  
               
               
                  Identification code 913â4988â0â4â371
                  2014 actual
                  2015 actual
               
               
                  
                     
                  
               
               
                  
                  ASSETS:
               
               
                  
                  Federal assets:
               
               
                  
                  Investments in US securities:
               
               
                  1102
                  Treasury securities, par
                  9,159
                  12,158
               
               
                  1201
                  Non-Federal assets: Investments in non-Federal securities, net
                  29,956
                  38,738
               
               
                  
                  Net value of assets related to direct loans receivable and acquired defaulted guaranteed loans receivable:
               
               
                  1601
                  Mortgage Loans and Mortgage Related Securities
                  275,490
                  239,797
               
               
                  1601
                  Mortgage Loans and Mortgage Related Securities - Consolidated Trusts
                  1,549,533
                  1,615,291
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  1604
                  Direct loans and interest receivable, net
                  1,825,023
                  1,855,088
               
               
                  1606
                  Acquired property, net
                  2,911
                  1,795
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  1699
                  Value of assets related to direct loans
                  1,827,934
                  1,856,883
               
               
                  
                  Other Federal assets:
               
               
                  1801
                  Cash and other monetary assets
                  37,254
                  36,551
               
               
                  1901
                  Other assets
                  18,481
                  17,817
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  1999
                  Total assets
                  1,922,784
                  1,962,147
               
               
                  
                  LIABILITIES:
               
               
                  
                  Non-Federal liabilities:
               
               
                  2202
                  Interest payable
                  6,217
                  6,135
               
               
                  2203
                  Debt
                  435,706
                  408,281
               
               
                  2203
                  Debt - Consolidated Trusts
                  1,467,845
                  1,539,108
               
               
                  2207
                  Other
                  7,830
                  7,324
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  2999
                  Total liabilities
                  1,917,598
                  1,960,848
               
               
                  
                  NET POSITION:
               
               
                  3300
                  Senior Preferred Stock
                  72,336
                  72,336
               
               
                  3300
                  Private Equity
                  â67,150
                  â71,037
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  3999
                  Total net position
                  5,186
                  1,299
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  4999
                  Total liabilities and net position
                  1,922,784
                  1,962,147
               
               
                  
                     
                  
               
            
         
      
         Mortgage-backed Securities                                                                                               
            
         Status of Direct Loans (in millions of dollars)
      
         
            
               
                  
                     
                  
               
               
                  Identification code 914â4989â0â4â371
                  2015 actual
                  2016 est.
                  2017 est.
               
               
                  
                     
                  
               
               
                  
                  Cumulative balance of direct loans outstanding:
               
               
                  1210
                  Outstanding, start of year
                  1,646,431
                  1,719,202
                  1,719,202
               
               
                  1231
                  Disbursements: Direct loan disbursements
                  379,847
                  
                  
               
               
                  1251
                  Repayments: Repayments and prepayments
                  â307,076
                  
                  
               
               
                  
                  
                  
                     
                  
                  
                     
                  
                  
                     
                  
               
               
                  1290
                  Outstanding, end of year
                  1,719,202
                  1,719,202
                  1,719,202
               
               
                  
                     
                  
               
            
         
      
      
         Prior to January 1, 2010, the mortgages in the pools of loans supporting the mortgage-backed securities guaranteed by Freddie
            Mac were considered to be owned by the holders of these securities according to the accounting standards for private corporations.
            Consequently, on the books of Freddie Mac, these mortgages were not considered assets and the securities outstanding were
            not considered liabilities. New accounting standards implemented on January 1, 2010, require consolidation of many, but not
            all, of these securities in Freddie Mac's financial statements. For the purposes of the Budget, they are presented as direct
            loans for mortgage-backed securities. "Disbursements'' and "Repayments'' are budgetary terms. These items are reported by
            Freddie Mac as "Issuances" and "Liquidations" respectively.
         
      
      Federal Home Loan Bank System                                                                                            
         
      
      Federal Funds
         Federal Home Loan Banks                                                                                                  
            
         Status of Direct Loans (in millions of dollars)
      
         
            
               
                  
                     
                  
               
               
                  Identification code 913â4990â0â4â371
                  2015 actual
                  2016 est.
                  2017 est.
               
               
                  
                     
                  
               
               
                  
                  Cumulative balance of direct loans outstanding:
               
               
                  1210
                  Outstanding, start of year
                  587,969
                  636,324
                  636,324
               
               
                  1231
                  Disbursements: Direct loan disbursements
                  5,097,753
                  5,097,753
                  5,097,753
               
               
                  1251
                  Repayments: Repayments and prepayments
                  â5,049,665
                  â5,097,753
                  â5,097,753
               
               
                  1264
                  Write-offs for default: Other adjustments, net (+ or -)
                  267
                  
                  
               
               
                  
                  
                  
                     
                  
                  
                     
                  
                  
                     
                  
               
               
                  1290
                  Outstanding, end of year
                  636,324
                  636,324
                  636,324
               
               
                  
                     
                  
               
            
         
      
      
         The Federal Home Loan Bank System is a Government-sponsored enterprise (GSE) in the housing finance market. The Federal Home
            Loan Banks were chartered by the Federal Home Loan Bank Board under the authority of the Federal Home Loan Bank Act of 1932
            (Act). The 11 Federal Home Loan Banks (FHLBanks) are under the supervision of the Federal Housing Finance Agency (FHFA), established
            by the Congress in 2008. The common mission of FHLBanks is to facilitate the extension of credit through their members. To
            accomplish this mission, FHLBanks make loans, called "advances", and provide other credit products and services to their over
            7,300 member commercial banks, savings associations, insurance companies, and credit unions. Advances and letters of credit
            must be fully secured by eligible collateral, and long-term advances may be made only for the purpose of providing funds for
            residential housing finance. However, "community financial institutions'' may also use long-term advances to finance small
            businesses, small farms, and small agribusinesses. Additionally, specialized advance programs provide funds for community
            reinvestment and affordable housing programs. All regulated financial depositories, certified community development financial
            institutions, and insurance companies engaged in residential housing finance are eligible for membership, and must meet other
            requirements in the Act to obtain membership. Each FHLBank operates in a geographic district and together FHLBanks cover all
            of the United States, as well as the District of Columbia, Puerto Rico, the Virgin Islands, Guam, American Samoa, and the
            Northern Mariana Islands. The principal source of funds for the lending operation is the sale of consolidated obligations
            to the public. The consolidated obligations are not guaranteed by the U.S. Government as to principal or interest. Other sources
            of lendable funds include members' deposits and capital. Funds not immediately needed for advances to members are invested.
            The capital stock of the Federal Home Loan Banks is owned entirely by the members. Initially the U.S. Government purchased
            stock of the banks in the amount of $125 million. The banks had repurchased the Government's investment in full by mid-1951.
            The Act, as amended in 1989, requires each FHLBank to operate an Affordable Housing Program (AHP). Each FHLBank provides subsidies
            in the form of direct grants or below-market rate advances for members that use the funds for qualifying affordable housing
            projects. Each of the FHLBanks must set aside annually 10 percent of its previous year's net earnings, subject to an aggregate
            minimum of $100 million, for the AHP. The Act, as amended in 1999, also required that FHLBanks contribute 20 percent of net
            earnings annually to assist in the payment of interest on bonds issued by the Resolution Funding Corporation until such time
            as the total payments are equivalent to a $300 million annual annuity with a final maturity date of April 15, 2030. The FHLBanks
            fulfilled this obligation on August 5, 2011. For additional discussion and analyses of the FHLBanks, please see the Analytical Perspectives volume of the Budget.
         
      
      Balance Sheet (in millions of dollars)
      
         
            
               
                  
                     
                  
               
               
                  Identification code 913â4990â0â4â371
                  2014 actual
                  2015 actual
               
               
                  
                     
                  
               
               
                  
                  ASSETS:
               
               
                  
                  Federal assets:
               
               
                  
                  Investments in US securities:
               
               
                  1102
                  Treasury securities, par
                  1,229
                  307
               
               
                  
                  Non-Federal assets:
               
               
                  1201
                  Investments in non-Federal securities, net
                  238,354
                  263,134
               
               
                  1206
                  Accounts receivable
                  1,094
                  1,106
               
               
                  1401
                  Net value of assets related to direct loans receivable: Direct loans receivable, gross
                  587,891
                  636,325
               
               
                  
                  Other Federal assets:
               
               
                  1801
                  Cash and other monetary assets
                  53,488
                  17,480
               
               
                  1803
                  Property, plant and equipment, net
                  223
                  210
               
               
                  1901
                  Other assets
                  1,060
                  1,364
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  1999
                  Total assets
                  883,339
                  919,926
               
               
                  
                  LIABILITIES:
               
               
                  2101
                  Federal liabilities: REFCORP and Affordable Housing Program
                  793
                  833
               
               
                  
                  Non-Federal liabilities:
               
               
                  2202
                  Interest payable
                  1,374
                  1,353
               
               
                  2203
                  Debt
                  818,042
                  858,606
               
               
                  2207
                  Deposit funds and other borrowing
                  9,322
                  8,268
               
               
                  2207
                  Other
                  7,170
                  4,649
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  2999
                  Total liabilities
                  836,701
                  873,709
               
               
                  
                  NET POSITION:
               
               
                  3100
                  Invested capital
                  46,638
                  46,217
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  4999
                  Total liabilities and net position
                  883,339
                  919,926
               
               
                  
                     
                  
               
            
         
      
      Farm Credit System                                                                                                       
         
      
      
      
         The Farm Credit System (System) is a Government-sponsored enterprise that provides privately financed credit to agricultural
            and rural communities. The major functional entities of the System are (1) the Agricultural Credit Bank (ACB); (2) the Farm
            Credit Banks (FCBs); and (3) the direct-lender associations. Farmer Mac, which is also an institution of the System, is discussed
            separately below. The history and specific functions of the bank entities are discussed after the presentation of financial
            schedules for each bank entity. As part of the System, these entities are regulated and examined by the Farm Credit Administration
            (FCA), an independent Federal agency. The administrative costs of FCA are financed by assessments on System institutions,
            including Farmer Mac. System banks finance loans primarily from sales of bonds to the public and their own capital funds.
            The System bonds issued by the banks are not guaranteed by the U.S. Government as to either principal or interest. The bonds
            are backed by an insurance fund, administered by the Farm Credit System Insurance Corporation (FCSIC), an independent Federal
            agency that collects insurance premiums from member banks to pay its administrative expenses and fund insurance reserves.
            All of the banks' current operating expenses are paid from their own income and do not require budgetary resources from the
            Federal Government.
         
      
      Federal Funds
         Agricultural Credit Bank                                                                                                 
            
         Status of Direct Loans (in millions of dollars)
      
         
            
               
                  
                     
                  
               
               
                  Identification code 912â4991â0â4â351
                  2015 actual
                  2016 est.
                  2017 est.
               
               
                  
                     
                  
               
               
                  
                  Cumulative balance of direct loans outstanding:
               
               
                  1210
                  Outstanding, start of year
                  75,638
                  84,524
                  85,914
               
               
                  1231
                  Disbursements: Direct loan disbursements
                  307,720
                  314,859
                  322,164
               
               
                  1251
                  Repayments: Repayments and prepayments
                  â298,827
                  â313,427
                  â320,139
               
               
                  1263
                  Write-offs for default: Direct loans
                  â7
                  â42
                  â54
               
               
                  
                  
                  
                     
                  
                  
                     
                  
                  
                     
                  
               
               
                  1290
                  Outstanding, end of year
                  84,524
                  85,914
                  87,885
               
               
                  
                     
                  
               
            
         
      
      
         CoBank, ACB, which is headquartered outside Denver, Colorado, serves eligible cooperatives nationwide and provides funding
            to Agricultural Credit Associations (ACAs) and Federal Land Credit Associations (FLCAs) in its chartered district. CoBank,
            ACB, is the only Agricultural Credit Bank (ACB) in the Farm Credit System. The ACB operates under statutory authority that
            combines the authorities of a Farm Credit Bank (FCB) and a Bank for Cooperatives (BC). In exercising its FCB authority, CoBank's
            charter limits its lending to 25 ACAs and one FLCA located in the northeast, central, and western regions of the country.
            As an entity lending to cooperatives, CoBank is chartered to provide credit and related services nationwide to eligible cooperatives
            primarily engaged in farm supply, grain, marketing, and processing (including sugar, dairy, and ethanol). CoBank also makes
            loans to rural utilities, including telecommunications companies, and it provides international loans for the financing of
            agricultural exports.
         
         Statement of Changes in Net Worth (in thousands of dollars)
         
            
               
                  
                     
                        
                     
                  
                  
                      
                     2014 act.
                     2015 act.
                     2016 est.
                     2017 est.
                  
                  
                     
                        
                     
                  
                  
                     
                  
                  
                     Beginning balance of net worth
                     6,609,288
                     7,061,398
                     7,800,245
                     8,129,3359
                  
                  
                     Capital stock and participations issued
                     26,635
                     335,770
                     51,693
                     29,968
                  
                  
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                  
                  
                     Capital stock and participations retired
                     33,439
                     169,301
                     29,400
                     28,100
                  
                  
                     Net income
                     916,449
                     915,751
                     866,495
                     821,553
                  
                  
                     Cash/Dividends/Patronage Distributions
                     â428,852
                     â456,814
                     â487,810
                     â505,858
                  
                  
                     Other, net
                     â28,683
                     113,441
                     â71,888
                     â15,238
                  
                  
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                  
                  
                     Ending balance of net worth
                     7,061,398
                     7,800,245
                     8,129,335
                     8,431,660
                  
                  
                     
                  
                  
                     
                        
                     
                  
               
            
         
         Financing Activities (in thousands of dollars)
         
            
               
                  
                     
                        
                     
                  
                  
                      
                     2014 act.
                     2015 act.
                     2016 est.
                     2017 est.
                  
                  
                     
                        
                     
                  
                  
                     
                  
                  
                     Beginning balance of outstanding system obligations
                     82,111,600
                     88,513,292
                     97,279,304
                     100,796,741
                  
                  
                     
                     
                     
                     
                     
                  
                  
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                  
                  
                     Consolidated systemwide and other bank bonds issued
                     26,128,369
                     41,260,664
                     42,217,911
                     43,197,367
                  
                  
                     Consolidated systemwide and other bank bonds retired
                     21,309,889
                     31,383,539
                     39,150,224
                     40,380,459
                  
                  
                     Consolidated systemwide notes, net
                     1,674,497
                     â1,043,732
                     500,000
                     500,000
                  
                  
                     Other (Net)
                     â91,285
                     â67,381
                     â50,250
                     â36,250
                  
                  
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                  
                  
                     Ending balance of outstanding system obligations
                     88,513,292
                     97,279,304
                     100,796,741
                     104,077,399
                  
                  
                     
                  
                  
                     
                        
                     
                  
               
            
         
      
      Balance Sheet (in millions of dollars)
      
         
            
               
                  
                     
                  
               
               
                  Identification code 912â4991â0â4â351
                  2014 actual
                  2015 actual
               
               
                  
                     
                  
               
               
                  
                  ASSETS:
               
               
                  
                  Non-Federal assets:
               
               
                  1201
                  Cash and investment securities
                  24,965
                  25,081
               
               
                  1206
                  Accrued interest receivable on loans
                  357
                  315
               
               
                  
                  Net value of assets related to direct loans receivable and acquired defaulted guaranteed loans receivable:
               
               
                  1601
                  Direct loans, gross
                  75,638
                  84,524
               
               
                  1603
                  Allowance for estimated uncollectible loans and interest (-)
                  â407
                  â460
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  1699
                  Value of assets related to direct loans
                  75,231
                  84,064
               
               
                  1803
                  Other Federal assets: Property, plant and equipment, net
                  1,071
                  1,025
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  1999
                  Total assets
                  101,624
                  110,485
               
               
                  
                  LIABILITIES:
               
               
                  2104
                  Federal liabilities: Resources payable to Treasury
                  1,316
                  1,484
               
               
                  
                  Non-Federal liabilities:
               
               
                  2201
                  Consolidated systemwide and other bank bonds
                  88,513
                  97,279
               
               
                  2201
                  Notes payable and other interest-bearing liabilities
                  4,461
                  3,636
               
               
                  2202
                  Accrued interest payable
                  273
                  286
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  2999
                  Total liabilities
                  94,563
                  102,685
               
               
                  
                  NET POSITION:
               
               
                  3300
                  Cumulative results of operations
                  7,061
                  7,800
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  4999
                  Total liabilities and net position
                  101,624
                  110,485
               
               
                  
                     
                  
               
            
         
      
         Farm Credit Banks                                                                                                        
            
         Status of Direct Loans (in millions of dollars)
      
         
            
               
                  
                     
                  
               
               
                  Identification code 912â4992â0â4â371
                  2015 actual
                  2016 est.
                  2017 est.
               
               
                  
                     
                  
               
               
                  
                  Cumulative balance of direct loans outstanding:
               
               
                  1210
                  Outstanding, start of year
                  108,205
                  115,851
                  119,570
               
               
                  1231
                  Disbursements: Direct loan disbursements
                  191,962
                  202,012
                  212,677
               
               
                  1251
                  Repayments: Repayments and prepayments
                  â184,314
                  â198,279
                  â207,492
               
               
                  1263
                  Write-offs for default: Direct loans
                  â2
                  â14
                  â20
               
               
                  
                  
                  
                     
                  
                  
                     
                  
                  
                     
                  
               
               
                  1290
                  Outstanding, end of year
                  115,851
                  119,570
                  124,735
               
               
                  
                     
                  
               
            
         
      
      
         The Agricultural Credit Act of 1987 (1987 Act) required the Federal Land Banks (FLBs) and Federal Intermediate Credit Banks
            (FICBs) to merge into a Farm Credit Bank (FCB) in each of the 12 Farm Credit districts. FCBs operate under statutory authority
            that combines the prior authorities of an FLB and of an FICB. No merger occurred in the Jackson district in 1988 because the
            FLB of Jackson was in receivership. Pursuant to section 410(e) of the 1987 Act, as amended by the Farm Credit Banks Safety
            and Soundness Act of 1992, FICB of Jackson merged with FCB of Columbia on October 1, 1993. Mergers and consolidations of FCBs
            across district lines, which began in 1992, have continued to date. As a result of this restructuring activity, three FCBs,
            headquartered in the following cities, remain as of October 1, 2015: AgFirst Farm Credit Bank, Columbia, South Carolina; AgriBank,
            FCB, St. Paul, Minnesota; and FCB of Texas, Austin, Texas.
         
         FCBs serve as discount banks and, as of October 1, 2015, provided funds to one Federal Land Credit Association (FLCA) and
            49 Agricultural Credit Associations (ACAs). These direct-lender associations, in turn, primarily make short- and intermediate-term
            production loans and long-term real estate loans to eligible farmers and ranchers, farm-related businesses, and rural homeowners.
            FCBs can also lend to other financing institutions, including commercial banks, as authorized by the Farm Credit Act of 1971,
            as amended.
         
         All the capital stock of FICBs, from their organization in 1923 to December 31, 1956, was held by the U.S. Government. The
            Farm Credit Act of 1956 provided a long-range plan for the eventual ownership of the FICBs by the production credit associations
            and the gradual retirement of the Government's investment in the banks. This retirement was accomplished in full on December
            31, 1968. The last of the Government capital that had been invested in FLBs was repaid in 1947.
         
         Statement of Changes in Net Worth (in thousands of dollars)
         
            
               
                  
                     
                        
                     
                  
                  
                      
                  
                  
                     
                        
                     
                  
                  
                     
                        
                     
                  
                  
                      
                     2014 act.
                     2015 act.
                     2016 est.
                     2017 est.
                  
                  
                     
                        
                     
                  
                  
                     
                        
                     
                  
                  
                      
                  
                  
                     
                        
                     
                  
                  
                     Beginning balance of net worth
                     8,615,024
                     8,828,842
                     9,149,023
                     9,491,888
                  
                  
                     Capital stock and participations issued
                     373,384
                     185,976
                     190,100
                     193,290
                  
                  
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                  
                  
                     Capital stock and participations retired
                     559,397
                     85,259
                     70,741
                     74,322
                  
                  
                     Surplus Retired
                     â43
                     â2,162
                     0
                     0
                  
                  
                     Net income
                     1,140,319
                     1,049,060
                     877,182
                     882,883
                  
                  
                     Cash/Dividends/Patronage Distributions
                     â777,461
                     â778,566
                     â655,281
                     â551,848
                  
                  
                     Other, net
                     36,930
                     â53,192
                     1,605
                     â49,133
                  
                  
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                  
                  
                     Ending balance of net worth
                     8,828,842
                     9,149,023
                     9,491,888
                     9,892,758
                  
                  
                     
                  
                  
                     
                        
                     
                  
               
            
         
         Financing Activities (in thousands of dollars)
         
            
               
                  
                     
                        
                     
                  
                  
                      
                  
                  
                     
                        
                     
                  
                  
                     
                        
                     
                  
                  
                      
                     2014 act.
                     2015 act.
                     2016 est.
                     2017 est.
                  
                  
                     
                        
                     
                  
                  
                     
                        
                     
                  
                  
                      
                  
                  
                     
                        
                     
                  
                  
                     Beginning balance of outstanding system obligations
                     118,125,324
                     125,494,765
                     133,822,885
                     138,943,867
                  
                  
                     
                     
                     
                     
                     
                  
                  
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                  
                  
                     Consolidated systemwide and other bank bonds issued
                     268,562,125
                     222,845,285
                     226,189,209
                     235,002,654
                  
                  
                     Consolidated systemwide and other bank bonds retired
                     263,321,191
                     215,967,375
                     222,218,861
                     225,855,012
                  
                  
                     Consolidated systemwide notes, net
                     2,128,507
                     1,450,210
                     1,150,634
                     1,392,485
                  
                  
                     Other (Net)
                     0
                     0
                     0
                     0
                  
                  
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                  
                  
                     Ending balance of outstanding system obligations
                     125,494,765
                     133,822,885
                     138,943,867
                     149,483,994
                  
                  
                     
                  
                  
                     
                        
                     
                  
               
            
         
      
      Balance Sheet (in millions of dollars)
      
         
            
               
                  
                     
                  
               
               
                  Identification code 912â4992â0â4â371
                  2014 actual
                  2015 actual
               
               
                  
                     
                  
               
               
                  
                  ASSETS:
               
               
                  
                  Non-Federal assets:
               
               
                  1201
                  Cash and investment securities
                  27,610
                  28,678
               
               
                  1206
                  Accrued Interest Receivable
                  475
                  502
               
               
                  
                  Net value of assets related to direct loans receivable and acquired defaulted guaranteed loans receivable:
               
               
                  1601
                  Direct loans, gross
                  108,204
                  115,850
               
               
                  1603
                  Allowance for estimated uncollectible loans and interest (-)
                  â38
                  â37
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  1699
                  Value of assets related to direct loans
                  108,166
                  115,813
               
               
                  1803
                  Other Federal assets: Property, plant and equipment, net
                  534
                  560
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  1999
                  Total assets
                  136,785
                  145,553
               
               
                  
                  LIABILITIES:
               
               
                  2104
                  Federal liabilities: Resources payable to Treasury
                  323
                  394
               
               
                  
                  Non-Federal liabilities:
               
               
                  2201
                  Consolidated systemwide and other bank bonds
                  125,495
                  133,822
               
               
                  2201
                  Notes payable and other interest-bearing liabilities
                  1,835
                  1,849
               
               
                  2202
                  Accrued interest payable
                  303
                  339
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  2999
                  Total liabilities
                  127,956
                  136,404
               
               
                  
                  NET POSITION:
               
               
                  3300
                  Cumulative results of operations
                  8,829
                  9,149
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  4999
                  Total liabilities and net position
                  136,785
                  145,553
               
               
                  
                     
                  
               
            
         
      
         Federal Agricultural Mortgage Corporation                                                                                
            
         Status of Guaranteed Loans (in millions of dollars)
      
         
            
               
                  
                     
                  
               
               
                  Identification code 912â4993â0â4â351
                  2015 actual
                  2016 est.
                  2017 est.
               
               
                  
                     
                  
               
               
                  
                  Cumulative balance of guaranteed loans outstanding:
               
               
                  2210
                  Outstanding, start of year
                  14,005
                  15,628
                  15,628
               
               
                  2231
                  Disbursements of new guaranteed loans
                  3,479
                  
                  
               
               
                  2251
                  Repayments and prepayments
                  â1,856
                  
                  
               
               
                  
                  
                  
                     
                  
                  
                     
                  
                  
                     
                  
               
               
                  2290
                  Outstanding, end of year
                  15,628
                  15,628
                  15,628
               
               
                  
                     
                  
               
               
                  
                  Memorandum:
               
               
                  2299
                  Guaranteed amount of guaranteed loans outstanding, end of year
                  1,899
                  
                  
               
               
                  
                     
                  
               
            
         
      
      
            Farmer MacFarmer Mac is authorized under the Farm Credit Act of 1971, as amended by the Agricultural Credit Act of 1987 (Act), to create
            a secondary market for agricultural real estate and rural home mortgages. The Farmer Mac title of the Act was amended by the
            1990 farm bill to authorize Farmer Mac to purchase, pool, and securitize the guaranteed portions of farmer program, rural
            business, and community development loans guaranteed by the U.S. Department of Agriculture (USDA). The Farmer Mac title was
            amended in 1991 to clarify Farmer Mac's authority to issue debt obligations, provide for the establishment of minimum capital
            standards, establish the Office of Secondary Market Oversight at the Farm Credit Administration (FCA), and expand the Agency's
            rulemaking authority. The Farm Credit System Reform Act of 1996 (1996 Act) amended the Farmer Mac title to allow Farmer Mac
            to purchase loans directly from lenders and to issue and guarantee mortgage-backed securities without requiring that a minimum
            cash reserve or subordinated (first loss) interest be maintained by poolers as had been required under its original authority.
            The 1996 Act expanded FCA's regulatory authority to include provisions for establishing a conservatorship or receivership,
            if necessary, and provided for increased core capital requirements at Farmer Mac phased in over three years. Most recently,
            the 2008 Farm Bill, the Food, Conservation and Energy Act of 2008 amended the Farmer Mac title to authorize the financing
            of rural electric and telephone cooperatives.
         
         Farmer Mac operates through several programs: the "Farm & Ranch" program involves mortgage loans secured by first liens on
            agricultural real estate, or rural housing (qualified loans); the "USDA guarantees" program involves the guaranteed portions
            of certain USDA-guaranteed loans; and the "Rural Utilities" program involves rural electric and telephone loans. Farmer Mac
            operates by (1) purchasing, or committing to purchase, newly originated or existing qualified loans or guaranteed portions
            from lenders; (2) purchasing or guaranteeing "AgVantage'' bonds backed by qualified loans; and (3) exchanging qualified loans
            or guaranteed portions for guaranteed securities. Loans purchased by Farmer Mac may be aggregated into pools that back Farmer
            Mac guaranteed securities, which are held by Farmer Mac or sold into the capital markets.
         
         Farmer Mac is governed by a 15-member Board of Directors. Ten board members are elected by stockholders, including five by
            stockholders that are Farm Credit System (FCS) institutions and five by stockholders that are non-FCS financial services firms.
            Five are appointed by the President, subject to Senate confirmation.
         
            FinancingFinancial support and funding for Farmer Mac's operations come from several sources: sale of common and preferred stock, issuance
            of debt obligations, and income. Under procedures specified in the Act, Farmer Mac may issue obligations to the U.S. Treasury
            in a cumulative amount not to exceed $1.5 billion to fulfill Farmer Mac's guarantee obligations.
         
         As of September 30, 2015, Farmer Mac's core capital exceeded statutory requirements. Additionally, Farmer Mac's regulatory
            capital (core capital plus the allowance for loan losses) exceeded the amount of required regulatory capital as determined
            by the risk-based capital rule.
         
            GuaranteesFarmer Mac provides a guarantee of timely payment of principal and interest on securities backed by qualified loans or pools
            of qualified loans. These securities are not guaranteed by the United States and are not "Government securities."
         
         Farmer Mac is subject to reporting requirements under securities laws, and its guaranteed mortgage-backed securities are subject
            to registration with the Securities and Exchange Commission under the 1933 and 1934 Securities Acts.
         
            RegulationFarmer Mac is federally regulated by FCA, acting through its Office of Secondary Market Oversight (OSMO). FCA is responsible
            for the supervision of, examination of, and rulemaking for Farmer Mac.
         
      
      Balance Sheet (in millions of dollars)
      
         
            
               
                  
                     
                  
               
               
                  Identification code 912â4993â0â4â351
                  2014 actual
                  2015 actual
               
               
                  
                     
                  
               
               
                  
                  ASSETS:
               
               
                  
                  Non-Federal assets:
               
               
                  1201
                  Investment in securities
                  3,616
                  2,032
               
               
                  1206
                  Receivables, net
                  116
                  151
               
               
                  
                  Net value of assets related to direct loans receivable:
               
               
                  1401
                  Direct loans receivable, gross
                  10,100
                  11,080
               
               
                  1402
                  Interest receivable
                  66
                  74
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  1499
                  Net present value of assets related to direct loans
                  10,166
                  11,154
               
               
                  1801
                  Other Federal assets: Cash and other monetary assets
                  628
                  1,517
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  1999
                  Total assets
                  14,526
                  14,854
               
               
                  
                  LIABILITIES:
               
               
                  
                  Non-Federal liabilities:
               
               
                  2201
                  Accounts payable
                  88
                  121
               
               
                  2202
                  Interest payable
                  35
                  38
               
               
                  2203
                  Debt
                  13,577
                  14,110
               
               
                  2204
                  Liabilities for loan guarantees
                  43
                  44
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  2999
                  Total liabilities
                  13,743
                  14,313
               
               
                  
                  NET POSITION:
               
               
                  3300
                  Invested capital
                  783
                  541
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  4999
                  Total liabilities and net position
                  14,526
                  14,854