    Financial Audit: Federal Deposit Insurance Corporation's 2000 and
    1999 Financial Statements (09-MAY-01, GAO-01-635).

    GAO audited the financial statements for the Federal Deposit
    Insurance Corporation's (FDIC) Bank Insurance Fund, Savings
    Association Insurance Fund, and FSLIC Resolution Fund for 2000
    and 1999. GAO found that (1) the financial statements of each
    fund are presented fairly in conformity with U.S. generally
    accepted accounting principles, (2) although certain internal
    controls should be improved, FDIC had effective internal control
    over financial reporting and compliance with laws and
    regulations, and (3) no reportable noncompliance with the laws
    and regulations that GAO tested.
    -------------------------Indexing Terms-------------------------
    REPORTNUM:   GAO-01-635
        ACCNO:   A00970
      TITLE:     Financial Audit: Federal Deposit Insurance Corporation's
                 2000 and 1999 Financial Statements
         DATE:   05/09/2001
      SUBJECT:   Financial statement audits
    	     Internal controls
    	     Accounting standards
    	     Corporate audits
    	     Federal corporations
    	     Funds management
    	     Bank Insurance Fund
    	     FSLIC Resolution Fund
    	     Savings Association Insurance Fund

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    GAO-01-635

    A

    Report to the Congress

    May 2001 FINANCIAL AUDIT Federal Deposit Insurance Corporation?s 2000 and
    1999 Financial Statements

    GAO- 01- 635

    Letter 3 Opinion Letter 5 Bank Insurance Fund?s

    14 Financial Statements

    Statements of Financial Position 14 Statements of Income and Fund Balance 15
    Statements of Cash Flows 16 Notes to Financial Statements 17

    Savings Association 32

    Insurance Fund?s Statements of Financial Position 32

    Statements of Income and Fund Balance 33 Financial Statements

    Statements of Cash Flows 34 Notes to Financial Statements 35

    FSLIC Resolution 48

    Fund?s Financial Statements of Financial Position 48

    Statements of Income and Accumulated Deficit 49 Statements

    Statements of Cash Flows 50 Notes to Financial Statements 51

    Appendixes Appendix I: Comments From the Federal Deposit Insurance
    Corporation 68

    Appendix II: GAO Contacts and Staff Acknowledgements 69 Table Table 1: FRF?s
    Assets and Liabilities as of January 1, 1996, and

    December 31, 2000 11

    Abbreviations

    BIF Bank Insurance Fund FDIC Federal Deposit Insurance Corporation

    FMFIA Federal Managers? Financial Integrity Act of 1982 FRF FSLIC Resolution
    Fund FSLIC Federal Savings and Loan Insurance Corporation REFCORP Resolution
    Funding Corporation RTC Resolution Trust Corporation SAIF Savings
    Association Insurance Fund

    Lett er

    May 9, 2001 To the President of the Senate and the Speaker of the House of
    Representatives

    This report presents our opinions on the financial statements of the Bank
    Insurance Fund, the Savings Association Insurance Fund, and the FSLIC
    Resolution Fund (FRF) for the years ended December 31, 2000 and 1999. These
    financial statements are the responsibility of the Federal Deposit Insurance
    Corporation (FDIC), the administrator of the three funds. This report also
    presents (1) our opinion on the effectiveness of FDIC?s internal control as
    of December 31, 2000, and (2) our evaluation of FDIC?s

    compliance with laws and regulations during 2000. In addition, it discusses
    a reportable weakness in information system general controls detected during
    our 2000 audits, and the future activities of FRF. We conducted our audits
    pursuant to the provisions of section 17( d) of the

    Federal Deposit Insurance Act, as amended (12 U. S. C. 1827( d)), and in
    accordance with generally accepted government auditing standards. We are
    sending copies of this report to Senator Phil Gramm, Chairman, and

    Senator Paul S. Sarbanes, Ranking Member, of the Senate Committee on
    Banking, Housing and Urban Affairs; Representative Michael G. Oxley,
    Chairman, and Representative John J. LaFalce, Ranking Minority Member,

    of the House Committee on Financial Services; the Honorable Donna Tanoue,
    Chairman of the Board of Directors of the Federal Deposit Insurance
    Corporation; the Honorable Alan Greenspan, Chairman of the

    Board of Governors of the Federal Reserve System; the Honorable John D.
    Hawke, Jr., Comptroller of the Currency; the Honorable Ellen S. Seidman,
    Director of the Office of Thrift Supervision; the Honorable Paul H. O?Neill,

    Secretary of the Treasury; the Honorable Mitchell E. Daniels, Jr., Director
    of the Office of Management and Budget; and other interested parties.

    David M. Walker Comptroller General of the United States

    Opi ni on Let ter

    To the Board of Directors Federal Deposit Insurance Corporation

    We have audited the statements of financial position as of December 31, 2000
    and 1999, for the three funds administered by the Federal Deposit Insurance
    Corporation (FDIC), the related statements of income and fund balance
    (accumulated deficit), and the statements of cash flows for the

    years then ended. In our audits of the Bank Insurance Fund (BIF), the
    Savings Association Insurance Fund (SAIF), and the FSLIC Resolution Fund
    (FRF), we found

     the financial statements of each fund are presented fairly in conformity
    with U. S. generally accepted accounting principles;

     although certain internal controls should be improved, FDIC had effective
    internal control over financial reporting (including safeguarding of assets)
    and compliance with laws and regulations; and

     no reportable noncompliance with the laws and regulations that we tested.

    The following sections discuss our conclusions in more detail. They also
    present information on (1) the scope of our audits, (2) a reportable
    condition 1 related to information system general control weaknesses noted
    during our 2000 audits, (3) the future of FRF, and (4) our evaluation of

    FDIC?s comments on a draft of this report. Opinion on Bank The financial
    statements including the accompanying notes present fairly, Insurance Fund?s

    in all material respects, in conformity with U. S. generally accepted
    accounting principles, the Bank Insurance Fund?s financial position as of
    Financial Statements December 31, 2000 and 1999, and the results of its
    operations and its cash flows for the years then ended.

    1 Reportable conditions involve matters coming to the auditor?s attention
    that, in the auditor?s judgment, should be communicated because they
    represent significant deficiencies in the design or operation of internal
    control, and could adversely affect FDIC?s ability to meet the control
    objectives described in this report.

    Opinion on Savings The financial statements including the accompanying notes
    present fairly, Association Insurance

    in all material respects, in conformity with U. S. generally accepted
    accounting principles, the Savings Association Insurance Fund?s financial
    Fund?s Financial

    position as of December 31, 2000 and 1999, and the results of its operations
    Statements

    and its cash flows for the years then ended. Opinion on FSLIC

    The financial statements including the accompanying notes present fairly,
    Resolution Fund?s

    in all material respects, in conformity with U. S. generally accepted
    accounting principles, the FSLIC Resolution Fund?s financial position as of
    Financial Statements December 31, 2000 and 1999, and the results of its
    operations and its cash flows for the years then ended.

    As discussed in note 8 of FRF?s financial statements, a contingency exists
    from approximately 120 lawsuits filed in the United States Court of Federal
    Claims concerning the counting of goodwill assets as part of regulatory
    capital. FDIC has concluded that it is probable that FRF will be required to
    pay possibly substantial amounts as a result of future judgments and
    settlements. FDIC is currently unable to estimate a range of loss to FRF, or
    determine whether any such loss would have a material effect on the
    financial condition of FRF. However, funds to pay such judgments or

    compromise settlements from these goodwill litigation cases are made
    available to FRF by an indefinite, permanent appropriation as provided by
    Section 110 of the Department of Justice Appropriations Act, 2000.

    Opinion on Internal Although certain internal controls should be improved,
    FDIC management Control maintained, in all material respects, effective
    internal control over financial reporting (including safeguarding assets)
    and compliance as of December 31, 2000, that provided reasonable assurance
    that misstatements, losses, or

    noncompliance, material in relation to the FDIC?s financial statements would
    be prevented or detected on a timely basis. FDIC management asserted that
    its internal control was effective based on criteria established under 31 U.
    S. C. 3512 (Federal Managers? Financial Integrity Act-- FMFIA). In making
    its assertion, FDIC management also fairly stated the need to improve
    certain internal controls.

    Our work identified weaknesses in FDIC?s information system general
    controls, as described as a reportable condition in a later section of this
    report. The weakness in information system general controls, although not

    considered material, represents a significant deficiency in the design or
    operations of internal control that could adversely affect FDIC?s ability to
    meet its internal control objectives. Although the weakness did not

    materially affect the 2000 financial statements, misstatements may
    nevertheless occur in other FDIC- reported financial information as a result
    of the internal control weakness.

    Compliance With Laws Our tests for compliance with selected provisions of
    laws and regulations

    and Regulations disclosed no instances of noncompliance that would be
    reportable under

    U. S. generally accepted government auditing standards. However, the
    objective of our audits was not to provide an opinion on overall compliance
    with laws and regulations. Accordingly, we do not express such an opinion.

    Objectives, Scope, and FDIC?s management is responsible for (1) preparing
    the annual financial

    Methodology statements in conformity with U. S. generally accepted
    accounting principles, (2) establishing, maintaining, and assessing internal
    control to

    provide reasonable assurance that the broad control objectives of FMFIA are
    met, and (3) complying with applicable laws and regulations.

    We are responsible for obtaining reasonable assurance about whether (1) the
    financial statements are presented fairly, in all material respects, in
    conformity with U. S. generally accepted accounting principles, and

    (2) management maintained effective internal control, the objectives of
    which are

     financial reporting - transactions are properly recorded, processed, and
    summarized to permit the preparation of financial statements in conformity
    with U. S. generally accepted accounting principles, and

    assets are safeguarded against loss from unauthorized acquisition, use, or
    disposition, and

     compliance with laws and regulations - transactions are executed in
    accordance with laws and regulations that could have a direct and material
    effect on the financial statements. We are also responsible for testing
    compliance with selected provisions of laws and regulations that have a
    direct and material effect on the financial statements.

    In order to fulfill these responsibilities, we  examined, on a test basis,
    evidence supporting the amounts and disclosures in the financial statements;

     assessed the accounting principles used and significant estimates made by
    management;

     evaluated the overall presentation of the financial statements;

     obtained an understanding of internal control related to financial
    reporting, including safeguarding assets, and compliance with laws and
    regulations, including the execution of transactions in accordance with
    management?s authority;

     tested relevant internal control over financial reporting, including
    safeguarding assets, and compliance, and evaluated the design and operating
    effectiveness of internal control;

     considered FDIC?s process for evaluating and reporting on internal control
    based on criteria established by FMFIA; and

     tested compliance with selected provisions of the Federal Deposit
    Insurance Act, as amended and the Chief Financial Officers Act of 1990. We
    did not evaluate all internal controls relevant to operating objectives as
    broadly defined by FMFIA, such as those controls relevant to preparing
    statistical reports and ensuring efficient operations. We limited our
    internal control testing to controls over financial reporting and
    compliance. Because of inherent limitations in internal control,
    misstatements due to error or fraud, losses, or noncompliance may
    nevertheless occur and not be detected. We also caution that projecting our
    evaluation to future periods is subject to the risk that controls may become
    inadequate because of changes in conditions or that the degree of compliance
    with controls may

    deteriorate. We did not test compliance with all laws and regulations
    applicable to FDIC. We limited our tests of compliance to those deemed
    applicable to the financial statements for the year ended December 31, 2000.
    We caution

    that noncompliance may occur and not be detected by these tests and that
    such testing may not be sufficient for other purposes.

    We conducted our audits from July 2000 through April 6, 2001. We performed
    our work in accordance with U. S. generally accepted government auditing
    standards. FDIC provided comments on a draft of this report. They are
    discussed and evaluated in a later section of this report and are reprinted
    in appendix I.

    Reportable Condition As part of the financial statement audits, we reviewed
    FDIC?s information systems general controls. The primary objectives of
    information system

    general controls are to safeguard data, protect computer application
    programs, prevent system software from unauthorized access, and ensure
    continued computer operations in case of unexpected interruption.

    Information system general controls include corporatewide security program
    planning and management, access controls, system software, application
    software development and change controls, segregation of duties, and service
    continuity controls. The effectiveness of application

    controls 2 depends on the effectiveness of general controls. Both
    information system general controls and application controls must be
    effective to help ensure the reliability, appropriate confidentiality, and
    availability of critical automated information.

    In performing our tests, we identified weaknesses in FDIC?s corporatewide
    security program, access controls, segregation of duties, system software,
    and service continuity. As we have reported to FDIC in 1998 and 1999, 3 the
    underlying cause of many of these general control weaknesses is rooted in
    the lack of a fully implemented and effective corporatewide security
    program. This critical area is generally the foundation of an entity?s

    security control and reflects the entity?s commitment to addressing security
    risks over the long term. In our 1999 report, we provided FDIC with
    recommended corrective actions and acknowledged that it takes a significant
    and sustained effort by FDIC management to establish an effective
    corporatewide security program. In response, FDIC management stated its
    commitment to implement a strong information system environment. During
    2000, we found that FDIC developed plans for correcting many of the
    weaknesses we identified; however, implementation of these plans had not
    occurred as of December 31, 2000.

    The weaknesses in information system general controls can significantly
    impair the effectiveness of all FDIC?s application controls, including
    financial systems. We considered the effect of the information system
    general control weaknesses and determined that other management

    2 Application controls consist of the structure, policies, and procedures
    that apply to separate, individual systems, such as accounts payable and
    general ledger systems. 3 Because of their sensitive nature, in 1998 and
    1999 we communicated to FDIC management the details surrounding the
    weaknesses and vulnerabilities we identified, along with our

    recommendations for corrective action, through separate correspondence.

    controls mitigated their effect on the financial statements. Because of
    their sensitive nature, the details surrounding these weaknesses are being
    communicated to FDIC management, along with our recommendations for
    corrective actions, through separate correspondence.

    In addition to these weaknesses, we identified less significant matters
    involving FDIC?s system of internal accounting control that we will be
    reporting in separate correspondence to FDIC management.

    Future of FRF FDIC, as administrator of FRF, is responsible for completing
    the liquidation of the assets and liabilities of the former Federal Savings
    and Loan

    Insurance Corporation (FSLIC) and Resolution Trust Corporation (RTC). 4 FRF
    will continue operations until all of its assets are sold or otherwise
    liquidated and all of its liabilities are satisfied. As shown in table 1,
    since 1996 FRF has had a significant decline in total assets and liabilities
    and, in particular, in the assets not yet liquidated. FDIC expects continued
    rapid decline in FRF assets. Through December 31, 2000, FRF has returned $4.
    6

    billion to the U. S. Treasury and has made $1.4 billion of payments to the
    Resolution Funding Corporation (REFCORP). 5 4 On January 1, 1996, FRF
    assumed responsibility for all remaining assets and liabilities of the
    former RTC. 5 The RTC Completion Act required FDIC to return to the U. S.
    Treasury any funds that were transferred to RTC pursuant to the RTC
    Completion Act but not needed by RTC. The RTC

    Completion Act made available $18.3 billion of additional funding. Prior to
    RTC?s termination on December 31, 1995, RTC drew down $4. 6 billion of the
    $18.3 billion made available by the RTC Completion Act. The full amount of
    the appropriation transferred to RTC has been fully repaid. After providing
    for all outstanding RTC liabilities, FDIC must also transfer the net
    proceeds from the sale of RTC- related assets to REFCORP. Any funds

    transferred to REFCORP are used to pay the interest on REFCORP bonds issued
    to provide funding for the early RTC resolutions.

    Table 1: FRF?s Assets and Liabilities as of January 1, 1996, and December
    31, 2000

    Dollars in billions

    Percent January 1,

    December 31, Increase

    1996 2000 (Decrease)

    Cash and cash equivalents $ 1.5 $ 3. 5 133 Assets not yet liquidated 13.9 2.
    3 (83)

    Total Assets $ 15.4 $5. 8 (62) Total Liabilities $11.2 $0. 1 (99)

    As described in notes 3 and 4 of FRF?s financial statements, two major
    components of the assets not yet liquidated are receivables from thrift
    resolutions (about $0. 5 billion) and investments in securitization related
    assets (about $1.8 billion). Most of the receivables from thrift resolutions
    represent amounts advanced and/ or obligations incurred for resolving
    troubled and failed insured thrifts. FDIC manages and disposes the assets
    from failed thrifts through receiverships. 6 Most of the remaining assets in
    these receiverships are cash. FDIC is pursuing the complete liquidation of

    these receiverships during the year 2001 except for those receiverships
    involved in goodwill litigation. 7 The securitization related assets had a
    weighted- average remaining life of less than 1 year on December 31, 2000.

    The operations of FRF will eventually meet a point where maintaining a
    separate liquidation entity may not be cost- effective. At that time, there
    may be some assets that are not fully liquidated; pending legal liabilities
    that may take years to settle; and certain assets the disposal of which may
    not be in the best interest of the United States government. FDIC has a
    research and evaluation effort underway to identify the remaining issues
    that need to be resolved, along with possible disposition strategies, in
    order

    to dissolve FRF as contemplated by the Federal Deposit Insurance Act. Also,
    due to the unique nature of several of these assets and liabilities, FDIC
    anticipates that its effort will include the development of new disposal
    plans for its remaining assets and liabilities. 6 The assets held by
    receiverships, and the claims against them, are accounted for separately

    from FRF?s assets and liabilities to ensure that liquidation proceeds are
    distributed in accordance with applicable laws and regulations.

    7 See note 8 of FRF?s financial statements for a description of goodwill
    litigation and its impact.

    Following are some of the issues and items remaining in FRF:

     Over 900 criminal restitution orders are outstanding, in the amount of
    approximately $600 million, which will remain open for nearly 20 years. The
    actual amount that will ultimately be collected is unknown. 8 During 2000,
    FDIC collected $3.2 million from these outstanding restitution orders.

     Over 90 outstanding items, which include litigation claims and judgments,
    were obtained against officers and directors and other professionals
    responsible for causing thrift losses with an estimated recoverable value of
    approximately $80 million. These judgments are renewable based on individual
    state law. Generally, the renewals vary from 5 to 10 years and are renewable
    more than once. 9 FDIC recovered $31.9 million in claims during 2000.
    Numerous assistance agreements entered into by the former FSLIC will remain
    open for many years as those assisted institutions share with FRF their tax
    savings that result from the tax free nature of FSLIC

    assistance. 10 In 2000, FRF collected over $80 million as its share of these
    tax savings.

     Various litigation cases are outstanding. FRF is involved in approximately
    700 cases. 11 The most numerous, and substantial in terms of liability
    involve goodwill litigation. 12 To date, approximately 120 lawsuits have
    been filed against the United States government. Because of appeals and
    differences in awarding damages in the cases thus far, the

    final outcome in the cases and the amount of any possible damages remain
    uncertain. There are also litigation cases in which FRF is the plaintiff for
    itself, or is acting in a fiduciary manner on behalf of the receiverships
    resulting from failed financial institutions. These pending 8 U. S.
    generally accepted accounting principles state that contingencies that
    result in gains are usually not reflected in the financial statements to
    avoid recognizing revenue prior to its realization. 9 See footnote 8 of this
    report. 10 See footnote 8 of this report.

    11 Whereas FRF is involved in approximately 700 cases, FDIC records losses
    for only those cases in which the contingent loss is considered probable and
    reasonably estimable. FDIC also discloses contingent losses that are
    reasonably possible. See note 8 of FRF?s financial statements. 12 See
    footnote 7 of this report.

    cases may take years to settle, and many of the goodwill cases are still
    pending from the early 1990s.

     Potential liabilities may exist due to representations and warranties made
    to support the sale of loans and servicing rights. 13 These liabilities
    could be incurred over the remaining life of the loans, which could be as
    long as 20 years. Only when the remaining asset and liability issues, some
    of which are highlighted above, are resolved can FRF be formally dissolved.
    FDIC is considering whether seeking enabling legislation or other measures
    may be needed to dissolve the remaining FRF assets and liabilities.

    FDIC Comments and In commenting on a draft of this report, FDIC acknowledged
    the Our Evaluation information system weakness, and stated a commitment to
    continue its efforts to strengthen its information security program and to
    incorporate

    GAO?s recommendations into its security plans for 2001. We plan to evaluate
    the effectiveness on FDIC?s corrective actions in information security as
    part of our 2001 audit of FDIC?s financial statements and internal control.
    FDIC also stated that it will continue to monitor the other matters
    discussed in our report, including goodwill litigation cases.

    David M. Walker Comptroller General of the United States

    April 6, 2001 13 See note 3 of FRF?s financial statements for a description
    of representations and warranties.

    Bank Insurance Fund?s Financial Statements

    Statements of Financial Position

    Statements of Income and Fund Balance

    Statements of Cash Flows

    Notes to Financial Statements

    Savings Association Insurance Fund?s Financial Statements

    Statements of Financial Position

    Statements of Income and Fund Balance

    Statements of Cash Flows

    Notes to Financial Statements

    FSLIC Resolution Fund?s Financial Statements

    Statements of Financial Position

    Statements of Income and Accumulated Deficit

    Statements of Cash Flows

    Notes to Financial Statements

    Appendi xes Comments From the Federal Deposit

    Appendi x I Insurance Corporation

    Appendi x II

    GAO Contacts and Staff Acknowledgements GAO Contacts Jeanette M. Franzel
    (202) 512- 9471 Lynda E. Downing (202) 512- 9168 Acknowledgements In
    addition to those named above, the following staff made key

    contributions to this report: Patricia P. Blumenthal, Gary P. Chupka, Dennis
    L. Clarke, John C. Craig, Timothy J. Murray, and Theresa A. Patrizio.

    The following staff from the FDIC Office of Inspector General also
    contributed to this report: Robert W. Allmang, James J. Ballenger, Arlene S.
    Boateng, Rhonda G. Bunte, W. Kevin Hainsworth, R. William Harrington, Paul
    S. Johnston, Foxhall A. Parker, Michael L. Rexrode, Duane H. Rosenberg,
    Titus S. Simmons, Dale W. Seeley, Ross E. Simms, Sharon R. Spencer, Charles
    E. Thompson, Joseph E. Uricheck, and R. Leon Wellons.

    (917672) Lett er

    GAO United States General Accounting Office

    Page 1 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    Contents

    Contents Page 2 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    Page 3 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements United States
    General Accounting Office

    Washington, D. C. 20548 Comptroller General

    of the United States

    Page 4 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    Page 5 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements United States
    General Accounting Office

    Washington, D. C. 20548 Comptroller General

    of the United States

    Page 6 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    Page 7 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    Page 8 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    Page 9 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    Page 10 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    Page 11 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    Page 12 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    Page 13 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    Page 14 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    Bank Insurance Fund?s Financial Statements Page 15 GAO- 01- 635 FDIC?s 2000
    and 1999 Financial Statements

    Bank Insurance Fund?s Financial Statements Page 16 GAO- 01- 635 FDIC?s 2000
    and 1999 Financial Statements

    Bank Insurance Fund?s Financial Statements Page 17 GAO- 01- 635 FDIC?s 2000
    and 1999 Financial Statements

    Bank Insurance Fund?s Financial Statements Page 18 GAO- 01- 635 FDIC?s 2000
    and 1999 Financial Statements

    Bank Insurance Fund?s Financial Statements Page 19 GAO- 01- 635 FDIC?s 2000
    and 1999 Financial Statements

    Bank Insurance Fund?s Financial Statements Page 20 GAO- 01- 635 FDIC?s 2000
    and 1999 Financial Statements

    Bank Insurance Fund?s Financial Statements Page 21 GAO- 01- 635 FDIC?s 2000
    and 1999 Financial Statements

    Bank Insurance Fund?s Financial Statements Page 22 GAO- 01- 635 FDIC?s 2000
    and 1999 Financial Statements

    Bank Insurance Fund?s Financial Statements Page 23 GAO- 01- 635 FDIC?s 2000
    and 1999 Financial Statements

    Bank Insurance Fund?s Financial Statements Page 24 GAO- 01- 635 FDIC?s 2000
    and 1999 Financial Statements

    Bank Insurance Fund?s Financial Statements Page 25 GAO- 01- 635 FDIC?s 2000
    and 1999 Financial Statements

    Bank Insurance Fund?s Financial Statements Page 26 GAO- 01- 635 FDIC?s 2000
    and 1999 Financial Statements

    Bank Insurance Fund?s Financial Statements Page 27 GAO- 01- 635 FDIC?s 2000
    and 1999 Financial Statements

    Bank Insurance Fund?s Financial Statements Page 28 GAO- 01- 635 FDIC?s 2000
    and 1999 Financial Statements

    Bank Insurance Fund?s Financial Statements Page 29 GAO- 01- 635 FDIC?s 2000
    and 1999 Financial Statements

    Bank Insurance Fund?s Financial Statements Page 30 GAO- 01- 635 FDIC?s 2000
    and 1999 Financial Statements

    Bank Insurance Fund?s Financial Statements Page 31 GAO- 01- 635 FDIC?s 2000
    and 1999 Financial Statements

    Page 32 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    Savings Association Insurance Fund?s Financial Statements

    Page 33 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    Savings Association Insurance Fund?s Financial Statements

    Page 34 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    Savings Association Insurance Fund?s Financial Statements

    Page 35 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    Savings Association Insurance Fund?s Financial Statements

    Page 36 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    Savings Association Insurance Fund?s Financial Statements

    Page 37 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    Savings Association Insurance Fund?s Financial Statements

    Page 38 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    Savings Association Insurance Fund?s Financial Statements

    Page 39 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    Savings Association Insurance Fund?s Financial Statements

    Page 40 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    Savings Association Insurance Fund?s Financial Statements

    Page 41 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    Savings Association Insurance Fund?s Financial Statements

    Page 42 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    Savings Association Insurance Fund?s Financial Statements

    Page 43 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    Savings Association Insurance Fund?s Financial Statements

    Page 44 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    Savings Association Insurance Fund?s Financial Statements

    Page 45 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    Savings Association Insurance Fund?s Financial Statements

    Page 46 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    Savings Association Insurance Fund?s Financial Statements

    Page 47 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    Page 48 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    FSLIC Resolution Fund?s Financial Statements Page 49 GAO- 01- 635 FDIC?s
    2000 and 1999 Financial Statements

    FSLIC Resolution Fund?s Financial Statements Page 50 GAO- 01- 635 FDIC?s
    2000 and 1999 Financial Statements

    FSLIC Resolution Fund?s Financial Statements Page 51 GAO- 01- 635 FDIC?s
    2000 and 1999 Financial Statements

    FSLIC Resolution Fund?s Financial Statements Page 52 GAO- 01- 635 FDIC?s
    2000 and 1999 Financial Statements

    FSLIC Resolution Fund?s Financial Statements Page 53 GAO- 01- 635 FDIC?s
    2000 and 1999 Financial Statements

    FSLIC Resolution Fund?s Financial Statements Page 54 GAO- 01- 635 FDIC?s
    2000 and 1999 Financial Statements

    FSLIC Resolution Fund?s Financial Statements Page 55 GAO- 01- 635 FDIC?s
    2000 and 1999 Financial Statements

    FSLIC Resolution Fund?s Financial Statements Page 56 GAO- 01- 635 FDIC?s
    2000 and 1999 Financial Statements

    FSLIC Resolution Fund?s Financial Statements Page 57 GAO- 01- 635 FDIC?s
    2000 and 1999 Financial Statements

    FSLIC Resolution Fund?s Financial Statements Page 58 GAO- 01- 635 FDIC?s
    2000 and 1999 Financial Statements

    FSLIC Resolution Fund?s Financial Statements Page 59 GAO- 01- 635 FDIC?s
    2000 and 1999 Financial Statements

    FSLIC Resolution Fund?s Financial Statements Page 60 GAO- 01- 635 FDIC?s
    2000 and 1999 Financial Statements

    FSLIC Resolution Fund?s Financial Statements Page 61 GAO- 01- 635 FDIC?s
    2000 and 1999 Financial Statements

    FSLIC Resolution Fund?s Financial Statements Page 62 GAO- 01- 635 FDIC?s
    2000 and 1999 Financial Statements

    FSLIC Resolution Fund?s Financial Statements Page 63 GAO- 01- 635 FDIC?s
    2000 and 1999 Financial Statements

    FSLIC Resolution Fund?s Financial Statements Page 64 GAO- 01- 635 FDIC?s
    2000 and 1999 Financial Statements

    FSLIC Resolution Fund?s Financial Statements Page 65 GAO- 01- 635 FDIC?s
    2000 and 1999 Financial Statements

    FSLIC Resolution Fund?s Financial Statements Page 66 GAO- 01- 635 FDIC?s
    2000 and 1999 Financial Statements

    Page 67 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    Page 68 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    Appendix I

    Page 69 GAO- 01- 635 FDIC?s 2000 and 1999 Financial Statements

    Appendix II

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    Contents Table 1: FRF?s Assets and Liabilities as of January 1, 1996, and

    December 31, 2000 11
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