(5) Short-Term Debt and Credit Arrangements

The following is a summary of short-term debt outstanding:

(dollar amounts in thousands)	August 31, 2013		May 31, 2013
Short-term debt:
Commercial paper sold through dealers, net of discounts (1)	$	2,289,831	$	2,009,884
Commercial paper sold directly to members, at par (1)	919,625		812,141
Commercial paper sold directly to non-members, at par (1)	20,954		39,298
Select notes	493,968		358,390
Daily liquidity fund notes sold directly to members	575,937		680,419
Bank bid notes	150,000		150,000
Subtotal short-term debt	4,450,315		4,050,132

Long-term debt maturing within one year:
Medium-term notes sold through dealers	630,480		989,607
Medium-term notes sold to members	423,106		391,318
Secured collateral trust bonds	904,982		1,504,949
Member subordinated certificates	37,707		37,176
Secured notes payable	452,232		742,402
Unsecured notes payable	3,903		3,899
Total long-term debt maturing within one year	2,452,410		3,669,351
Total short-term debt	$	6,902,725	$	7,719,483

(1) Backup liquidity is provided by our revolving credit agreements.

Revolving Credit Agreements

At August 31, 2013 and May 31, 2013, we had $3,345 and $3,100 million, respectively, of commitments under revolving credit agreements. We may request letters of credit for up to $100 million under each agreement in place at August 31, 2013, which then reduces the amount available under the facility. Our bank lines of credit may be used for general corporate purposes; however, we use them primarily as backup liquidity for dealer and member commercial paper. The following table presents the total available and the outstanding letters of credit under our revolving credit agreements:

	Total available				Letters of credit outstanding
(dollar amounts in thousands)	August 31, 2013		May 31, 2013		August 31, 2013		May 31, 2013		Maturity	Facility fee per year (1)
Three-year agreement	$	219,000	$	219,000	$	—	$	—	March 21, 2014	15 basis points
Three-year agreement	1,006,000		916,000		—		—		October 21, 2015	10 basis points
Four-year agreement	1,087,500		1,007,500		—		—		October 21, 2016	10 basis points
Five-year agreement	1,030,609		954,012		1,891		3,488		October 21, 2017	10 basis points
Total	$	3,343,109	$	3,096,512	$	1,891	$	3,488

(1) Facility fee determined by CFC’s senior unsecured credit ratings based on the pricing schedules put in place at the inception of the related agreement.

The following represents our required and actual financial ratios under the revolving credit agreements:

		Actual
	Requirement	August 31, 2013	May 31, 2013
Minimum average adjusted TIER over the six most recent fiscal quarters (1)	1.025	1.27	1.27
Minimum adjusted TIER for the most recent fiscal year (1) (2)	1.05	1.29	1.29
Maximum ratio of adjusted senior debt to total equity (1)	10.00	5.79	5.85

(1) In addition to the adjustments made to the leverage ratio set forth in the Non-GAAP Financial Measures section, senior debt excludes guarantees to member systems that have certain investment-grade ratings from Moody’s Investors Service and Standard & Poor’s Corporation. The TIER and debt-to-equity calculations include the adjustments set forth in the Non-GAAP Financial Measures section and exclude the results of operations for CAH.

(2) We must meet this requirement to retire patronage capital.

On July 9, 2013, we exercised our option to increase the commitment levels for the tranche of the three-year revolving credit agreement maturing on October 21, 2015, four-year revolving credit agreement maturing on October 21, 2016, and five-year revolving credit agreement maturing on October 21, 2017 to $1,006 million, $1,088 million and $1,033 million, respectively.

At August 31, 2013 and May 31, 2013, we were in compliance with all covenants and conditions under our revolving credit agreements and there were no borrowings outstanding under these agreements.