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Business Segment Reporting
 3 Months Ended
Mar. 31, 2018
Segment Reporting [Abstract]  
Segment Reporting Disclosure [Text Block]
BUSINESS SEGMENT REPORTING
The following tables present core earnings for Farmer Mac's operating segments and a reconciliation to consolidated net income for the three months ended March 31, 2018 and 2017:

Table 9.1
Core Earnings by Business Segment
For the Three Months Ended March 31, 2018
 
Farm & Ranch
 
USDA Guarantees
 
Rural 
Utilities
 
Institutional Credit
 
Corporate
 
Reconciling
Adjustments
 
Consolidated Net Income
 
(in thousands)
Net interest income
$
14,941

 
$
5,070

 
$
2,537

 
$
17,832

 
$
2,849

 
$
—

 
$
43,229

Less: reconciling adjustments(1)(2)(3)(4)
(2,401
)
 
(670
)
 
413

 
(3,008
)
 
(462
)
 
6,128

 
—

Net effective spread
12,540

 
4,400

 
2,950

 
14,824

 
2,387

 
6,128

 
—

Guarantee and commitment fees(2)
4,378

 
166

 
449

 
90

 
—

 
(1,584
)
 
3,499

Other income/(expense)(3)
557

 
5

 
5

 
—

 
(139
)
 
(3,688
)
 
(3,260
)
Non-interest income/(loss)
4,935

 
171

 
454

 
90

 
(139
)
 
(5,272
)
 
239

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Provision for loan losses
431

 
—

 
—

 
—

 
—

 
—

 
431

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Provision for reserve for losses
(21
)
 
—

 
—

 
—

 
—

 
—

 
(21
)
Other non-interest expense
(4,520
)
 
(1,193
)
 
(673
)
 
(1,846
)
 
(3,389
)
 
—

 
(11,621
)
Non-interest expense(5)
(4,541
)
 
(1,193
)
 
(673
)
 
(1,846
)
 
(3,389
)
 
—

 
(11,642
)
Core earnings before income taxes
13,365

 
3,378

 
2,731

 
13,068

 
(1,141
)
 
856

(6) 
32,257

Income tax (expense)/benefit
(2,807
)
 
(709
)
 
(574
)
 
(2,744
)
 
575

 
(179
)
 
(6,438
)
Core earnings before preferred stock dividends and attribution of income to non-controlling interest
10,558

 
2,669

 
2,157

 
10,324

 
(566
)
 
677

(6) 
25,819

Preferred stock dividends
—

 
—

 
—

 
—

 
(3,295
)
 
—

 
(3,295
)
Segment core earnings/(losses)
$
10,558

 
$
2,669

 
$
2,157

 
$
10,324

 
$
(3,861
)
 
$
677

(6) 
$
22,524

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total assets at carrying value
$
4,306,960

 
$
2,195,714

 
$
1,043,335

 
$
8,066,231

 
$
2,784,996

 
$
—

 
$
18,397,236

Total on- and off-balance sheet program assets at principal balance
$
6,932,002

 
$
2,391,739

 
$
1,729,797

 
$
8,325,905

 
—

 
—

 
$
19,379,443

(1) 
Excludes the amortization of premiums and discounts on assets consolidated at fair value, originally included in interest income, to reflect core earnings amounts.
(2) 
Includes the reclassification of interest income and interest expense from consolidated trusts owned by third parties to guarantee and commitment fees, to reflect management's view that the net interest income Farmer Mac earns is effectively a guarantee fee.
(3) 
Includes the reclassification of interest expense related to interest rate swaps not designated as hedges, which are included in "(Losses)/gains on financial derivatives and hedging activities" on the consolidated financial statements, to determine the effective funding cost for each operating segment.
(4) 
Effective in fourth quarter 2017, Farmer Mac revised its methodology for calculating net effective spread, a component of core earnings, to also include the net effects of gains/(losses) due to terminations or net settlements on financial derivatives and hedging activities. All prior period information has been recast to reflect the revised methodology. See "Management's Discussion and Analysis of Financial Condition and Results of Operations—Use of Non-GAAP Measures—Net Effective Spread."
(5) 
Includes directly attributable costs and an allocation of indirectly attributable costs based on employee headcount.
(6) 
Net adjustments to reconcile to the corresponding income measures: core earnings before income taxes reconciled to income before income taxes; core earnings before preferred stock dividends and attribution of income to non-controlling interest reconciled to net income; and segment core earnings reconciled to net income attributable to common stockholders.


Core Earnings by Business Segment
For the Three Months Ended March 31, 2017
 
Farm & Ranch
 
USDA Guarantees
 
Rural 
Utilities
 
Institutional Credit
 
Corporate
 
Reconciling
Adjustments
 
Consolidated Net Income
 
(in thousands)
Net interest income
$
12,754

 
$
5,283

 
$
2,948

 
$
13,502

 
$
2,584

 
$
—

 
$
37,071

Less: reconciling adjustments(1)(2)(3)(4)
(2,243
)
 
(722
)
 
(380
)
 
(887
)
 
(313
)
 
4,545

 
—

Net effective spread
10,511

 
4,561

 
2,568

 
12,615

 
2,271

 
4,545

 
—

Guarantee and commitment fees(2)
4,295

 
74

 
492

 
455

 
—

 
(1,472
)
 
3,844

Other income/(expense)(3)(5)
194

 
14

 
5

 
—

 
267

 
2,472

 
2,952

Non-interest income/(loss)
4,489

 
88

 
497

 
455

 
267

 
1,000

 
6,796

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Provision for loan losses
(637
)
 
—

 
—

 
—

 
—

 
—

 
(637
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Provision for reserve for losses
193

 
—

 
—

 
—

 
—

 
—

 
193

Other non-interest expense
(4,065
)
 
(1,087
)
 
(587
)
 
(1,521
)
 
(3,482
)
 
—

 
(10,742
)
Non-interest expense(6)
(3,872
)
 
(1,087
)
 
(587
)
 
(1,521
)
 
(3,482
)
 
—

 
(10,549
)
Core earnings before income taxes
10,491

 
3,562

 
2,478

 
11,549

 
(944
)
 
5,545

(7) 
32,681

Income tax (expense)/benefit
(3,672
)
 
(1,247
)
 
(867
)
 
(4,042
)
 
984

 
(1,942
)
 
(10,786
)
Core earnings before preferred stock dividends and attribution of income to non-controlling interest
6,819

 
2,315

 
1,611

 
7,507

 
40

 
3,603

(7) 
21,895

Preferred stock dividends
—

 
—

 
—

 
—

 
(3,295
)
 
—

 
(3,295
)
Non-controlling interest
—

 
—

 
—

 
—

 
15

 
—

 
15

Segment core earnings/(losses)
$
6,819

 
$
2,315

 
$
1,611

 
$
7,507

 
$
(3,240
)
 
$
3,603

(7) 
$
18,615

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total assets at carrying value
$
3,693,360

 
$
2,109,264

 
$
1,005,187

 
$
6,315,591

 
$
2,808,355

 
$
—

 
$
15,931,757

Total on- and off-balance sheet program assets at principal balance
6,240,467

 
2,149,697

 
1,868,794

 
7,585,583

 
—

 
—

 
$
17,844,541

(1) 
Excludes the amortization of premiums and discounts on assets consolidated at fair value, originally included in interest income, to reflect core earnings amounts.
(2) 
Includes the reclassification of interest income and interest expense from consolidated trusts owned by third parties to guarantee and commitment fees, to reflect management's view that the net interest income Farmer Mac earns is effectively a guarantee fee.
(3) 
Includes the reclassification of interest expense related to interest rate swaps not designated as hedges, which are included in "(Losses)/gains on financial derivatives and hedging activities" on the consolidated financial statements, to determine the effective funding cost for each operating segment.
(4) 
Effective in fourth quarter 2017, Farmer Mac revised its methodology for calculating net effective spread, a component of core earnings, to also include the net effects of gains/(losses) due to terminations or net settlements on financial derivatives and hedging activities. All prior period information has been recast to reflect the revised methodology. See "Management's Discussion and Analysis of Financial Condition and Results of Operations—Use of Non-GAAP Measures—Net Effective Spread."
(5) 
Includes reconciling adjustments for fair value adjustments on financial derivatives and trading assets. Also includes a reconciling adjustment related to the recognition of deferred gains over the estimated lives of certain Farmer Mac Guaranteed Securities and USDA Securities.
(6) 
Includes directly attributable costs and an allocation of indirectly attributable costs based on employee headcount.
(7) 
Net adjustments to reconcile to the corresponding income measures: core earnings before income taxes reconciled to income before income taxes; core earnings before preferred stock dividends and attribution of income to non-controlling interest reconciled to net income; and segment core earnings reconciled to net income attributable to common stockholders.
Schedule of Segment Reporting Information, by Segment [Table Text Block]
Table 9.1
Core Earnings by Business Segment
For the Three Months Ended March 31, 2018
 
Farm & Ranch
 
USDA Guarantees
 
Rural 
Utilities
 
Institutional Credit
 
Corporate
 
Reconciling
Adjustments
 
Consolidated Net Income
 
(in thousands)
Net interest income
$
14,941

 
$
5,070

 
$
2,537

 
$
17,832

 
$
2,849

 
$
—

 
$
43,229

Less: reconciling adjustments(1)(2)(3)(4)
(2,401
)
 
(670
)
 
413

 
(3,008
)
 
(462
)
 
6,128

 
—

Net effective spread
12,540

 
4,400

 
2,950

 
14,824

 
2,387

 
6,128

 
—

Guarantee and commitment fees(2)
4,378

 
166

 
449

 
90

 
—

 
(1,584
)
 
3,499

Other income/(expense)(3)
557

 
5

 
5

 
—

 
(139
)
 
(3,688
)
 
(3,260
)
Non-interest income/(loss)
4,935

 
171

 
454

 
90

 
(139
)
 
(5,272
)
 
239

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Provision for loan losses
431

 
—

 
—

 
—

 
—

 
—

 
431

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Provision for reserve for losses
(21
)
 
—

 
—

 
—

 
—

 
—

 
(21
)
Other non-interest expense
(4,520
)
 
(1,193
)
 
(673
)
 
(1,846
)
 
(3,389
)
 
—

 
(11,621
)
Non-interest expense(5)
(4,541
)
 
(1,193
)
 
(673
)
 
(1,846
)
 
(3,389
)
 
—

 
(11,642
)
Core earnings before income taxes
13,365

 
3,378

 
2,731

 
13,068

 
(1,141
)
 
856

(6) 
32,257

Income tax (expense)/benefit
(2,807
)
 
(709
)
 
(574
)
 
(2,744
)
 
575

 
(179
)
 
(6,438
)
Core earnings before preferred stock dividends and attribution of income to non-controlling interest
10,558

 
2,669

 
2,157

 
10,324

 
(566
)
 
677

(6) 
25,819

Preferred stock dividends
—

 
—

 
—

 
—

 
(3,295
)
 
—

 
(3,295
)
Segment core earnings/(losses)
$
10,558

 
$
2,669

 
$
2,157

 
$
10,324

 
$
(3,861
)
 
$
677

(6) 
$
22,524

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total assets at carrying value
$
4,306,960

 
$
2,195,714

 
$
1,043,335

 
$
8,066,231

 
$
2,784,996

 
$
—

 
$
18,397,236

Total on- and off-balance sheet program assets at principal balance
$
6,932,002

 
$
2,391,739

 
$
1,729,797

 
$
8,325,905

 
—

 
—

 
$
19,379,443

(1) 
Excludes the amortization of premiums and discounts on assets consolidated at fair value, originally included in interest income, to reflect core earnings amounts.
(2) 
Includes the reclassification of interest income and interest expense from consolidated trusts owned by third parties to guarantee and commitment fees, to reflect management's view that the net interest income Farmer Mac earns is effectively a guarantee fee.
(3) 
Includes the reclassification of interest expense related to interest rate swaps not designated as hedges, which are included in "(Losses)/gains on financial derivatives and hedging activities" on the consolidated financial statements, to determine the effective funding cost for each operating segment.
(4) 
Effective in fourth quarter 2017, Farmer Mac revised its methodology for calculating net effective spread, a component of core earnings, to also include the net effects of gains/(losses) due to terminations or net settlements on financial derivatives and hedging activities. All prior period information has been recast to reflect the revised methodology. See "Management's Discussion and Analysis of Financial Condition and Results of Operations—Use of Non-GAAP Measures—Net Effective Spread."
(5) 
Includes directly attributable costs and an allocation of indirectly attributable costs based on employee headcount.
(6) 
Net adjustments to reconcile to the corresponding income measures: core earnings before income taxes reconciled to income before income taxes; core earnings before preferred stock dividends and attribution of income to non-controlling interest reconciled to net income; and segment core earnings reconciled to net income attributable to common stockholders.


Core Earnings by Business Segment
For the Three Months Ended March 31, 2017
 
Farm & Ranch
 
USDA Guarantees
 
Rural 
Utilities
 
Institutional Credit
 
Corporate
 
Reconciling
Adjustments
 
Consolidated Net Income
 
(in thousands)
Net interest income
$
12,754

 
$
5,283

 
$
2,948

 
$
13,502

 
$
2,584

 
$
—

 
$
37,071

Less: reconciling adjustments(1)(2)(3)(4)
(2,243
)
 
(722
)
 
(380
)
 
(887
)
 
(313
)
 
4,545

 
—

Net effective spread
10,511

 
4,561

 
2,568

 
12,615

 
2,271

 
4,545

 
—

Guarantee and commitment fees(2)
4,295

 
74

 
492

 
455

 
—

 
(1,472
)
 
3,844

Other income/(expense)(3)(5)
194

 
14

 
5

 
—

 
267

 
2,472

 
2,952

Non-interest income/(loss)
4,489

 
88

 
497

 
455

 
267

 
1,000

 
6,796

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Provision for loan losses
(637
)
 
—

 
—

 
—

 
—

 
—

 
(637
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Provision for reserve for losses
193

 
—

 
—

 
—

 
—

 
—

 
193

Other non-interest expense
(4,065
)
 
(1,087
)
 
(587
)
 
(1,521
)
 
(3,482
)
 
—

 
(10,742
)
Non-interest expense(6)
(3,872
)
 
(1,087
)
 
(587
)
 
(1,521
)
 
(3,482
)
 
—

 
(10,549
)
Core earnings before income taxes
10,491

 
3,562

 
2,478

 
11,549

 
(944
)
 
5,545

(7) 
32,681

Income tax (expense)/benefit
(3,672
)
 
(1,247
)
 
(867
)
 
(4,042
)
 
984

 
(1,942
)
 
(10,786
)
Core earnings before preferred stock dividends and attribution of income to non-controlling interest
6,819

 
2,315

 
1,611

 
7,507

 
40

 
3,603

(7) 
21,895

Preferred stock dividends
—

 
—

 
—

 
—

 
(3,295
)
 
—

 
(3,295
)
Non-controlling interest
—

 
—

 
—

 
—

 
15

 
—

 
15

Segment core earnings/(losses)
$
6,819

 
$
2,315

 
$
1,611

 
$
7,507

 
$
(3,240
)
 
$
3,603

(7) 
$
18,615

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total assets at carrying value
$
3,693,360

 
$
2,109,264

 
$
1,005,187

 
$
6,315,591

 
$
2,808,355

 
$
—

 
$
15,931,757

Total on- and off-balance sheet program assets at principal balance
6,240,467

 
2,149,697

 
1,868,794

 
7,585,583

 
—

 
—

 
$
17,844,541

(1) 
Excludes the amortization of premiums and discounts on assets consolidated at fair value, originally included in interest income, to reflect core earnings amounts.
(2) 
Includes the reclassification of interest income and interest expense from consolidated trusts owned by third parties to guarantee and commitment fees, to reflect management's view that the net interest income Farmer Mac earns is effectively a guarantee fee.
(3) 
Includes the reclassification of interest expense related to interest rate swaps not designated as hedges, which are included in "(Losses)/gains on financial derivatives and hedging activities" on the consolidated financial statements, to determine the effective funding cost for each operating segment.
(4) 
Effective in fourth quarter 2017, Farmer Mac revised its methodology for calculating net effective spread, a component of core earnings, to also include the net effects of gains/(losses) due to terminations or net settlements on financial derivatives and hedging activities. All prior period information has been recast to reflect the revised methodology. See "Management's Discussion and Analysis of Financial Condition and Results of Operations—Use of Non-GAAP Measures—Net Effective Spread."
(5) 
Includes reconciling adjustments for fair value adjustments on financial derivatives and trading assets. Also includes a reconciling adjustment related to the recognition of deferred gains over the estimated lives of certain Farmer Mac Guaranteed Securities and USDA Securities.
(6) 
Includes directly attributable costs and an allocation of indirectly attributable costs based on employee headcount.
(7) 
Net adjustments to reconcile to the corresponding income measures: core earnings before income taxes reconciled to income before income taxes; core earnings before preferred stock dividends and attribution of income to non-controlling interest reconciled to net income; and segment core earnings reconciled to net income attributable to common stockholders.