-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, HKh//JVoPpu6SmQq+aME1m+IyhdO3tlwnk9iShFQyKbWe9pyPRpidm4RxuqoEkn3 aNCzfUyxbM3NJHUqBXN/PQ== 0000845877-05-000340.txt : 20051109 0000845877-05-000340.hdr.sgml : 20051109 20051109163803 ACCESSION NUMBER: 0000845877-05-000340 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20050909 ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20051109 DATE AS OF CHANGE: 20051109 FILER: COMPANY DATA: COMPANY CONFORMED NAME: FEDERAL AGRICULTURAL MORTGAGE CORP CENTRAL INDEX KEY: 0000845877 STANDARD INDUSTRIAL CLASSIFICATION: FEDERAL & FEDERALLY-SPONSORED CREDIT AGENCIES [6111] IRS NUMBER: 521578738 FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-14951 FILM NUMBER: 051190517 BUSINESS ADDRESS: STREET 1: 1133 21ST STREET, N.W. STREET 2: STE 600 CITY: WASHINGTON STATE: DC ZIP: 20036 BUSINESS PHONE: 2028727700 MAIL ADDRESS: STREET 1: 1133 21ST STREET, N.W. STREET 2: SUITE 600 CITY: WASHINGTON STATE: DC ZIP: 20036 8-K 1 f8k_pr110905.txt UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 8-K CURRENT REPORT Pursuant to Section 13 OR 15(d) of the Securities Exchange Act of 1934 Date of Report (Date of earliest event reported): November 9, 2005 Federal Agricultural Mortgage Corporation ---------------------------------------------- (Exact name of registrant as specified in its charter) Federally chartered instrumentality of the United States 0-17440 52-1578738 (State or other jurisdiction of (Commission (I.R.S. Employer incorporation or organization) File Number) Identification No.) 1133 21st Street, N.W., Suite 600, Washington, D.C. 20036 (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code: (202) 872-7700 No change (Former name or former address, if changed since last report) Item 2.02. Results of Operations and Financial Condition. On November 9, 2005, the Registrant issued a press release to announce the Registrant's financial results for third quarter 2005 and a conference call to discuss those results and the Registrant's Quarterly Report on Form 10-Q for third quarter 2005. A copy of the press release is attached to this report as Exhibit 99 and is incorporated herein by reference. Item 9.01. Financial Statements and Exhibits. (a) Not applicable. (b) Not applicable. (c) Exhibits: 99 Press release dated November 9, 2005. SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. FEDERAL AGRICULTURAL MORTGAGE CORPORATION By: /s/ Jerome G. Oslick --------------------------------- Name: Jerome G. Oslick Title: Vice President - General Counsel Dated: November 9, 2005 EXHIBIT INDEX Exhibit No. Description Page No. 99 Press Release Dated November 9, 2005 5 EX-99 2 exhibit99.txt Exhbibit 99 FARMER MAC NEWS FOR IMMEDIATE RELEASE CONTACT November 9, 2005 Mary Waters 202-872-5542 Farmer Mac Reports Third Quarter Results Washington, D.C. -- The Federal Agricultural Mortgage Corporation (Farmer Mac, NYSE: AGM and AGM.A) today reported U.S. GAAP net income for third quarter 2005 of $7.6 million or $0.67 per diluted share, compared to $8.2 million or $0.72 per diluted share for second quarter 2005 and $8.6 million or $0.70 per diluted share for third quarter 2004. For the nine months ended September 30, 2005, net income was $20.8 million or $1.80 per diluted share, compared to $18.4 million or $1.50 per diluted share for the nine months ended September 30, 2004. More complete information on Farmer Mac's performance for the quarter ended September 30, 2005 is set forth in the Form 10-Q filed with the SEC today by Farmer Mac. Core earnings were $9.3 million or $0.82 per diluted share for third quarter 2005, compared to $6.0 million or $0.52 per diluted share for second quarter 2005 and $5.4 million or $0.44 per diluted share for third quarter 2004. For the nine months ended September 30, 2005, core earnings were $21.5 million or $1.87 per diluted share, compared to $17.5 million or $1.43 per diluted share for the corresponding period in the prior year. Farmer Mac reports its "core earnings," a non-GAAP measure, in addition to GAAP earnings. Farmer Mac uses the core earnings measure to present net income available to common stockholders less the after-tax effects of unrealized gains and losses on financial derivatives resulting from the application of the derivative accounting standards. Non-GAAP Performance Measures Farmer Mac reports its financial results in accordance with GAAP. In addition to GAAP measures, Farmer Mac presents certain non-GAAP performance measures. Farmer Mac uses the latter measures to develop financial plans, to gauge corporate performance and to set incentive compensation because, in management's view, the non-GAAP measures more accurately represent Farmer Mac's economic performance, transaction economics and business trends. Investors and the investment analyst community have previously relied upon similar measures to evaluate Farmer Mac's historical and future performance. Farmer Mac's disclosure of non-GAAP measures is not intended to replace GAAP information but, rather, to supplement it. Farmer Mac developed the non-GAAP measure "core earnings" to present net income available to common stockholders less the after-tax effects of unrealized gains and losses on financial derivatives resulting from Statement of Financial Accounting Standards No. 133, Accounting for Derivative Instruments and Hedging Activities ("FAS 133"). The GAAP measure most comparable to core earnings is net income available to common stockholders. Unlike core earnings, however, the GAAP measure is heavily influenced by unrealized gains or losses in the value of financial derivatives used to hedge interest rate risk in Farmer Mac's mortgage portfolio. The reconciliation of GAAP net income available to common stockholders to core earnings is presented in the following table:
Reconciliation of GAAP Net Income Available to Common Stockholders to Core Earnings - ----------------------------------------------------------------------------------------------------------------- Three Months Ended Nine Months Ended ------------------------------------- ----------------------------------------- Sept. 30, Sept. 30, Sept. 30, Sept. 30, 2005 2004 2005 2004 ----------------- ----------------- ------------------- --------------------- (in thousands, except per share amounts) Per Per Per Per Diluted Diluted Diluted Diluted Share Share Share Share -------- -------- -------- ---------- GAAP net income available to common stockholders $ 7,633 $ 0.67 $ 8,604 $ 0.70 $ 20,756 $ 1.80 $ 18,391 $ 1.50 Less the effects of FAS 133: Unrealized gains/(losses) on financial derivatives and trading assets, net of tax (1,668) (0.15) 3,144 0.25 (770) (0.07) 633 0.05 Benefit from non-amortization of premium payments on financial derivatives, net of tax - - 76 0.01 - - 228 0.02 -------- -------- -------- -------- ---------- ------------------- ---------- Core earnings $ 9,301 $ 0.82 $ 5,384 $ 0.44 $ 21,526 $ 1.87 $ 17,530 $ 1.43 -------- -------- -------- -------- ---------- ------------------- ----------
Farmer Mac is a stockholder-owned instrumentality of the United States chartered by Congress to establish a secondary market for agricultural real estate and rural housing mortgage loans and to facilitate capital market funding for USDA-guaranteed farm program and rural development loans. Farmer Mac's Class C non-voting and Class A voting common stocks are listed on the New York Stock Exchange under the symbols AGM and AGM.A, respectively. Additional information about Farmer Mac (as well as the Form 10-Q referenced above) is available on Farmer Mac's website at www.farmermac.com. The conference call to discuss Farmer Mac's third quarter 2005 earnings and the Corporation's Form 10-Q for third quarter 2005 will be webcast on Farmer Mac's website beginning at 11:00 a.m. eastern time, Thursday, November 10, 2005, and an audio recording of that call will be available for two weeks on Farmer Mac's website after the call is concluded. * * * * -----END PRIVACY-ENHANCED MESSAGE-----