Loans - (Tables)

6 Months Ended

Nov. 30, 2019

Loans and Leases Receivable Disclosure [Abstract]

Summary of loans outstanding to members and unadvanced commitments by loan type and by member class

The following table presents the outstanding principal balance of loans to members, including deferred loan origination costs, and unadvanced loan commitments by loan type and member class, as of

November 30, 2019 and May 31, 2019.



	November 30, 2019				May 31, 2019
(Dollars in thousands)	Loans Outstanding		Unadvanced Commitments⁽¹⁾		Loans Outstanding		Unadvanced Commitments⁽¹⁾
Loan type:
Long-term loans:
Fixed rate	$	23,861,584	$	—	$	23,094,253	$	—
Variable rate	930,949		5,410,294		1,066,880		5,448,636
Total long-term loans	24,792,533		5,410,294		24,161,133		5,448,636
Lines of credit	1,634,346		7,915,885		1,744,531		7,788,922
Total loans outstanding	26,426,879		13,326,179		25,905,664		13,237,558
Deferred loan origination costs	11,302		—		11,240		—
Loans to members	$	26,438,181	$	13,326,179	$	25,916,904	$	13,237,558

Member class:
CFC:
Distribution	$	20,682,596	$	8,764,486	$	20,155,266	$	8,773,018
Power supply	4,601,783		3,531,558		4,578,841		3,466,680
Statewide and associate	83,897		177,722		83,569		165,687
Total CFC	25,368,276		12,473,766		24,817,676		12,405,385
NCSC	702,279		563,865		742,888		552,840
RTFC	356,324		288,548		345,100		279,333
Total loans outstanding	26,426,879		13,326,179		25,905,664		13,237,558
Deferred loan origination costs	11,302		—		11,240		—
Loans to members	$	26,438,181	$	13,326,179	$	25,916,904	$	13,237,558

^{____________________________}

⁽¹⁾The interest rate on unadvanced loan commitments is not set until an advance is made; therefore, all long-term unadvanced loan commitments are reported as variable-rate. However, the borrower may select either a fixed or a variable rate when an advance on a commitment is made.

Schedule of available balance and maturities of lines of credit

The following table summarizes the available balance under unadvanced loan commitments as of November 30, 2019 and the related maturities by fiscal year and thereafter by loan type:



	Available Balance		Notional Maturities of Unadvanced Loan Commitments
(Dollars in thousands)	Available Balance		2020		2021		2022		2023		2024		Thereafter
Line of credit loans	$	7,915,885	$	437,701	$	4,059,897	$	492,117	$	1,362,948	$	1,168,481	$	394,741
Long-term loans	5,410,294		230,642		622,895		1,349,256		1,022,784		1,737,285		447,432
Total	$	13,326,179	$	668,343	$	4,682,792	$	1,841,373	$	2,385,732	$	2,905,766	$	842,173

Summary of available balance under committed lines of credit and the related maturities by fiscal year

The following table summarizes the available balance under unconditional committed lines of credit, and the related maturities by fiscal year and thereafter, as of November 30, 2019.



	Available Balance	Notional Maturities of Unconditional Committed Lines of Credit
(Dollars in thousands)	Available Balance	2020	2021	2022	2023	2024	Thereafter
Committed lines of credit	$3,070,365	$18,073	$417,498	$173,335	$1,082,986	$897,894	$480,579

Summary of loans outstanding as collateral pledged to secure the entity's collateral trust bonds, Clean Renewable Energy Bonds and notes payable to the Federal Agricultural Mortgage Corporation and the amount of the corresponding debt outstanding

The following table summarizes our loans outstanding as collateral pledged to secure our collateral trust bonds, Clean Renewable Energy Bonds, notes payable to Farmer Mac and notes payable under USDA’s Guaranteed Underwriter Program (“Guaranteed Underwriter Program”) and the amount of the corresponding debt outstanding as of November 30, 2019 and May 31, 2019. See “Note 6—Short-Term Borrowings” and “Note 7—Long-Term Debt” for information on our borrowings.



(Dollars in thousands)	November 30, 2019		May 31, 2019
Collateral trust bonds:
2007 indenture:
Distribution system mortgage notes	$	8,442,063	$	8,775,231
RUS-guaranteed loans qualifying as permitted investments	131,560		134,678
Total pledged collateral	$	8,573,623	$	8,909,909
Collateral trust bonds outstanding	7,322,711		7,622,711

1994 indenture:
Distribution system mortgage notes	$	45,702	$	47,331
Collateral trust bonds outstanding	35,000		40,000

Farmer Mac:
Distribution and power supply system mortgage notes	$	3,729,692	$	3,751,798
Notes payable outstanding	3,094,954		3,054,914

Clean Renewable Energy Bonds Series 2009A:
Distribution and power supply system mortgage notes	$	9,756	$	10,349
Cash	1,188		415
Total pledged collateral	$	10,944	$	10,764
Notes payable outstanding	9,225		9,225

Federal Financing Bank:
Distribution and power supply system mortgage notes	$	6,090,864	$	6,157,218
Notes payable outstanding	5,363,798		5,410,507

Schedule of loan portfolio by risk rating category and member class based on available data

The following tables present total loans outstanding, by member class and borrower risk rating category, based on the risk ratings as of November 30, 2019 and May 31, 2019. If a parent company provides a guarantee of full repayment of loans of a subsidiary borrower, we group the outstanding loans in the borrower risk rating category of the guarantor parent company instead of the risk rating category of the subsidiary borrower for purposes of estimating the allowance for loan losses. The borrower risk ratings for loans outstanding presented in the tables below are based on this risk rating grouping.



	November 30, 2019
(Dollars in thousands)	Pass		Special Mention		Substandard		Doubtful		Total
CFC:
Distribution	$	20,552,574	$	9,563	$	120,459	$	—	$	20,682,596
Power supply	4,554,111		—		47,672		—		4,601,783
Statewide and associate	67,640		16,257		—		—		83,897
CFC total	25,174,325		25,820		168,131		—		25,368,276
NCSC	702,279		—		—		—		702,279
RTFC	350,982		—		5,342		—		356,324
Total loans outstanding	$	26,227,586	$	25,820	$	173,473	$	—	$	26,426,879



	May 31, 2019
(Dollars in thousands)	Pass		Special Mention		Substandard		Doubtful		Total
CFC:
Distribution	$	20,022,193	$	10,375	$	122,698	$	—	$	20,155,266
Power supply	4,530,708		—		48,133		—		4,578,841
Statewide and associate	68,569		15,000		—		—		83,569
CFC total	24,621,470		25,375		170,831		—		24,817,676
NCSC	742,888		—		—		—		742,888
RTFC	339,508		—		5,592		—		345,100
Total loans outstanding	$	25,703,866	$	25,375	$	176,423	$	—	$	25,905,664

Past Due Financing Receivables

The following tables present the payment status of loans outstanding by member class as of November 30, 2019 and May 31, 2019. As indicated in the table, we did not have any past due loans as of either November 30, 2019 or May 31, 2019.



	November 30, 2019
(Dollars in thousands)	Current			30-89 Days Past Due			90 Days or More Past Due ⁽¹⁾			Total Past Due			Total Loans Outstanding			Nonaccrual Loans
CFC:
Distribution	$	20,682,596		$	—		$	—		$	—		$	20,682,596		$	—
Power supply	4,601,783			—			—			—			4,601,783			—
Statewide and associate	83,897			—			—			—			83,897			—
CFC total	25,368,276			—			—			—			25,368,276			—
NCSC	702,279			—			—			—			702,279			—
RTFC	356,324			—			—			—			356,324			—
Total loans outstanding	$	26,426,879		$	—		$	—		$	—		$	26,426,879		$	—

Percentage of total loans	100.00		%	—		%	—		%	—		%	100.00		%	—		%



	May 31, 2019
(Dollars in thousands)	Current			30-89 Days Past Due			90 Days or More Past Due ⁽¹⁾			Total Past Due			Total Loans Outstanding			Nonaccrual Loans
CFC:
Distribution	$	20,155,266		$	—		$	—		$	—		$	20,155,266		$	—
Power supply	4,578,841			—			—			—			4,578,841			—
Statewide and associate	83,569			—			—			—			83,569			—
CFC total	24,817,676			—			—			—			24,817,676			—
NCSC	742,888			—			—			—			742,888			—
RTFC	345,100			—			—			—			345,100			—
Total loans outstanding	$	25,905,664		$	—		$	—		$	—		$	25,905,664		$	—

Percentage of total loans	100.00		%	—		%	—		%	—		%	100.00		%	—		%

^{____________________________}

⁽¹⁾ All loans 90 days or more past due are on nonaccrual status.

Schedule of Troubled Debt Restructured loans

The following table provides a summary of loans modified as TDRs in prior periods, the performance status of these loans and the unadvanced loan commitments related to the TDR loans, by member class, as of November 30, 2019 and May 31, 2019.



	November 30, 2019						May 31, 2019
(Dollars in thousands)	Loans Outstanding		% of Total Loans		Unadvanced Commitments		Loans Outstanding		% of Total Loans		Unadvanced Commitments
TDR loans:
Performing TDR loans:
CFC/Distribution	$	5,755	0.02	%	$	—	$	6,261	0.03	%	$	—
RTFC	5,342		0.02		—		5,592		0.02		—
Total performing TDR loans	11,097		0.04		—		11,853		0.05		—
Total TDR loans	$	11,097	0.04	%	$	—	$	11,853	0.05	%	$	—

Impaired Financing Receivable with Related Allowance Recorded Investment

The following table provides information on loans classified as individually impaired as of November 30, 2019 and May 31, 2019.



	November 30, 2019				May 31, 2019
(Dollars in thousands)	Recorded Investment		Related Allowance		Recorded Investment		Related Allowance
With no specific allowance recorded:
CFC	$	5,755	$	—	$	6,261	$	—

With a specific allowance recorded:
RTFC	5,342		956		5,592		1,021
Total impaired loans	$	11,097	$	956	$	11,853	$	1,021

Schedule of average recorded investment in impaired loans and the interest income recognized by member class

The following table presents, by company, the average recorded investment for individually impaired loans and the interest income recognized on these loans for the three and six months ended November 30, 2019 and 2018.




	Three Months Ended November 30,
	2019		2018		2019		2018
(Dollars in thousands)	Average Recorded Investment				Interest Income Recognized
CFC	$	5,755	$	6,261	$	144	$	137
RTFC	5,424		5,923		68		74
Total impaired loans	$	11,179	$	12,184	$	212	$	211



	Six Months Ended November 30,
	2019		2018		2019		2018
(Dollars in thousands)	Average Recorded Investment				Interest Income Recognized
CFC	$	5,999	$	6,383	$	281	$	279
RTFC	5,485		5,986		137		150
Total impaired loans	$	11,484	$	12,369	$	418	$	429