Sallie Mae 2008 Annual Report Download - page 100

Off-Balance Sheet Net Assets
The following table summarizes our off-balance sheet net assets at December 31, 2008 and 2007 on a
basis equivalent to our GAAP on-balance sheet trusts, which presents the assets and liabilities in the off-
balance sheet trusts as if they were being accounted for on-balance sheet rather than off-balance sheet. This
presentation, therefore, includes a theoretical calculation of the premiums on student loans, the allowance for
loan losses, and the discounts and deferred financing costs on the debt. This presentation is not, nor is it
intended to be, a liquidation basis of accounting. (See also “LENDING BUSINESS SEGMENT — Summary
of our Managed Student Loan Portfolio — Ending Managed Student Loan Balances, net” and “LIQUIDITY
AND CAPITAL RESOURCES — Managed Borrowings — Ending Balances,” earlier in this section.)
December 31,
2008
December 31,
2007
Off-Balance Sheet Assets:
Total student loans, net ................................... $35,591 $39,423
Restricted cash and investments ............................ 1,557 2,706
Accrued interest receivable ................................ 937 1,413
Total off-balance sheet assets ................................ 38,085 43,542
Off-Balance Sheet Liabilities:
Debt, par value ......................................... 37,228 42,192
Debt, unamortized discount and deferred issuance costs ........... (69) (104)
Total debt............................................. 37,159 42,088
Accrued interest payable .................................. 166 305
Total off-balance sheet liabilities.............................. 37,325 42,393
Off-Balance Sheet Net Assets ............................... $ 760 $ 1,149
Servicing and Securitization Revenue
Servicing and securitization revenue, the ongoing revenue from securitized loan pools accounted for off-
balance sheet as QSPEs, includes the interest earned on the Residual Interest and the revenue we receive for
servicing the loans in the securitization trusts.
99