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Equity (Tables)

12 Months Ended

Dec. 31, 2020

The following table presents the Series C Preferred Stock, the Series D Preferred Stock, the Series E Preferred Stock, and the Series F Preferred Stock (collectively referred to as the "Outstanding Preferred Stock") as of December 31, 2020:

Table 9.1



Name	Issuance Date	Issuance Cost		Shares Issued	Annual Dividend Rate(3)		Liquidation Value		Redemption Date(4)
Series C(1)	June 20, 2014	$	1,618,583	3,000,000	6.000	%	$	25.00	July 18, 2024
Series D(2)	May 13, 2019	$	3,340,456	4,000,000	5.700	%	$	25.00	July 17, 2024
Series E	May 20, 2020	$	2,496,750	3,180,000	5.750	%	$	25.00	July 17, 2025
Series F	August 20, 2020	$	3,839,902	4,800,000	5.250	%	$	25.00	October 17, 2025

(1)The Series C Preferred Stock pays an annual dividend rate of 6.000% from the date of issuance to and including the quarterly payment date occurring on July 17, 2024, and thereafter, at a floating rate equal to three-month LIBOR plus 3.26%.

(2)Farmer Mac has the option to redeem the preferred stock on any quarterly dividend payment date on and after July 17, 2024.

(3)Dividends on all series of Outstanding Preferred Stock are non-cumulative, which means that if Farmer Mac's board of directors has not declared a dividend before the applicable dividend payment date for any dividend period, such dividend will not be paid or cumulate, and Farmer Mac will have no obligation to pay dividends for such dividend period, whether or not dividends on any series of Outstanding Preferred Stock are declared for any future dividend period.

(4)Farmer Mac has the right but not the obligation to redeem.

Quarterly Dividends Paid by Farmers MAC

The following tables present the quarterly dividends paid by Farmer Mac on its outstanding preferred during 2020, 2019, and 2018:

Table 9.2


	2020
	1st Quarter		2nd Quarter(1)		3rd Quarter(2)(3)		4th Quarter
5.875% Non-Cumulative Preferred Stock, Series A	$	0.3672	$	0.3672	$	0.2530	$	—
6.000% Fixed-to-Floating Rate Non-Cumulative Preferred Stock, Series C	0.3750		0.3750		0.3750		0.3750
5.700% Non-Cumulative Preferred Stock, Series D	0.3563		0.3563		0.3563		0.3563
5.750% Non-Cumulative Preferred Stock, Series E	—		0.2276		0.3594		0.3594
5.250% Non-Cumulative Preferred Stock, Series F	—		—		0.2078		0.3281

(1)For second quarter 2020, dividend payment includes $0.2276 per share on the Series E Preferred Stock for the period from but not including May 20, 2020 (issuance date) to and including the July 17, 2020.

(2)For third quarter 2020 dividend payment includes $0.2530 per share on the Series A Preferred Stock for the period from but not including July 17, 2020 to and including the September 19, 2020 redemption date.

(3)For third quarter 2020, dividend payment includes $0.2078 per share on the Series F Preferred Stock for the period from but not including August 20, 2020 (issuance date) to and including the October 17, 2020.


	2019
	1st Quarter		2nd Quarter(1)(2)		3rd Quarter		4th Quarter
5.875% Non-Cumulative Preferred Stock, Series A	$	0.3672	$	0.3672	$	0.3672	$	0.3672
6.875% Non-Cumulative Preferred Stock, Series B	0.4297		0.2626		—		—
6.000% Fixed-to-Floating Rate Non-Cumulative Preferred Stock, Series C	0.3750		0.3750		0.3750		0.3750
5.700% Non-Cumulative Preferred Stock, Series D	—		0.2533		0.3563		0.3563

(1)For second quarter 2019, dividend payment includes $0.2626 per share on the Series B Preferred Stock for the period from but not including April 17, 2019 to and including the June 12, 2019 redemption date.

(2)For second quarter 2019, dividend payment includes $0.2533 per share on the Series D Preferred Stock for the period from but not including May 13, 2019 (issuance date) to and including July 17, 2019.


	2018
	1st Quarter		2nd Quarter		3rd Quarter		4th Quarter
5.875% Non-Cumulative Preferred Stock, Series A	$	0.3672	$	0.3672	$	0.3672	$	0.3672
6.875% Non-Cumulative Preferred Stock, Series B	0.4297		0.4297		0.4297		0.4297
6.000% Fixed-to-Floating Rate Non-Cumulative Preferred Stock, Series C	0.3750		0.3750		0.3750		0.3750

Share-based Payment Arrangement, Option, Activity

The following tables summarize SARs and non-vested restricted stock activity for the years ended December 31, 2020, 2019, and 2018:

Table 9.3


	For the Years Ended December 31,
	2020			2019			2018
	SARs	Weighted- Average Exercise Price		SARs	Weighted- Average Exercise Price		SARs	Weighted- Average Exercise Price
Outstanding, beginning of year	98,836	$	46.47	124,960	$	38.38	163,272	$	32.95
Granted	34,881	74.80		24,582	82.76		10,122	86.15
Exercised	(15,912)	26.93		(40,851)	35.61		(48,434)	30.06
Canceled	(1,388)	86.15		(9,855)	79.45		—	—
Outstanding, end of year	116,417	57.16		98,836	46.47		124,960	38.38
Exercisable at end of year	66,602	42.08		72,696	34.07		95,675	31.41

	For the Years Ended December 31,
	2020			2019			2018
	Non-vested Restricted Stock	Weighted- Average Grant Date Fair Value		Non-vested Restricted Stock	Weighted- Average Grant Date Fair Value		Non-vested Restricted Stock	Weighted- Average Grant Date Fair Value
Outstanding, beginning of year	62,597	$	75.81	80,153	$	60.98	95,015	$	44.39
Granted	53,471	66.02		41,735	80.51		32,070	84.03
Canceled	(4,042)	69.66		(17,054)	74.97		(1,098)	86.15
Vested and issued	(28,070)	70.13		(42,237)	52.65		(45,834)	42.12
Outstanding, end of year	83,956	71.76		62,597	75.81		80,153	60.98

Share-based Payment Arrangement, Option, Exercise Price Range

The following tables summarize information regarding SARs and non-vested restricted stock outstanding as of December 31, 2020:

Table 9.4


SARs:
	Outstanding		Exercisable		Vested or Expected to Vest
Range of Exercise Prices	SARs	Weighted- Average Remaining Contractual Life	SARs	Weighted- Average Remaining Contractual Life	SARs	Weighted- Average Remaining Contractual Life
$10.00 - $24.99	9,000	1.1 years	9,000	1.1 years	9,000	1.1 years
25.00 - 39.99	40,537	3.7 years	40,537	3.7 years	40,537	3.7 years
40.00 - 54.99	—	0.0 years	—	0.0 years	—	0.0 years
55.00 - 69.99	6,619	6.3 years	6,619	6.3 years	6,619	6.3 years
70.00 - 84.99	54,303	8.9 years	6,474	8.3 years	54,303	8.9 years
85.00 - 99.99	5,958	7.3 years	3,972	7.3 years	5,958	7.3 years
	116,417		66,602		116,417

Non-vested Restricted Stock:
	Outstanding		Expected to Vest
Weighted- Average Grant-Date Fair Value	Non-vested Restricted Stock	Weighted-Average Remaining Contractual Life	Non-vested Restricted Stock	Weighted-Average Remaining Contractual Life
$35.00 - $49.99	—	0.0 years	—	0.0 years
50.00 - 64.99	19,622	2.2 years	19,622	2.2 years
65.00 - 79.99	43,804	1.4 years	43,804	1.4 years
80.00 - 94.99	20,530	0.8 years	20,530	0.8 years
	83,956		83,956

Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions

The fair value of SARs was estimated using the Black-Scholes option pricing model based on the following assumptions:

Table 9.5


	For the Year Ended December 31,
	2020	2019	2018
Risk-free interest rate	0.9%	2.5%	2.7%
Expected years until exercise	6 years	6 years	6 years
Expected stock volatility	34.3%	33.8%	33.0%
Dividend yield	4.2%	3.4%	2.7%

- Definition

Tabular disclosure of an entity's stock, including par or stated value per share, number and dollar amount of share subscriptions, shares authorized, shares issued, shares outstanding, number and dollar amount of shares held in an employee trust, dividend per share, total dividends, share conversion features, par value plus additional paid in capital, the value of treasury stock and other information necessary to a fair presentation, and EPS information. Stock by class includes common, convertible, and preferred stocks which are not redeemable or redeemable solely at the option of the issuer. Includes preferred stock with redemption features that are solely within the control of the issuer and mandatorily redeemable stock if redemption is required to occur only upon liquidation or termination of the reporting entity. If more than one issue is outstanding, state the title of each issue and the corresponding dollar amount; dollar amount of any shares subscribed but unissued and the deduction of subscriptions receivable there from; number of shares authorized, issued, and outstanding.

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