Sallie Mae 2009 Annual Report Download - page 165

5. Investments (Continued)
Amortized
Cost
Gross
Unrealized
Gains
Gross
Unrealized
Losses
Fair
Value
December 31, 2008
Investments
Available-for-sale
U.S. Treasury and other U.S. government
agency obligations:
U.S. Treasury securities and other U.S.
government agency obligations .......... $ 8,908 $ 195 $ — $ 9,103
Other securities:
Asset-backed securities ................. 40,907 13 (4,299) 36,621
Commercial paper and asset-backed
commercial paper ................... 801,169 — — 801,169
Municipal bonds ...................... 10,883 1,924 — 12,807
Other .............................. 1,673 — (365) 1,308
Total investment securities available-for-sale ..... $863,540 $2,132 $(4,664) $861,008
Restricted Investments
Available-for-sale
Guaranteed investment contracts ............ $ 31,914 $ — $ — $ 31,914
Total restricted investments available-for-sale . . . $ 31,914 $ — $ — $ 31,914
Held-to-maturity
Guaranteed investment contracts ............ $ 5,500 $ — $ — $ 5,500
Other securities ......................... 215 — — 215
Total restricted investments held-to-maturity ..... $ 5,715 $ — $ — $ 5,715
In addition to the restricted investments detailed above, at December 31, 2009 and 2008, the Company
had restricted cash of $5.1 billion and $3.5 billion, respectively.
As of December 31, 2009 and 2008, $1 million and $2 million of the net unrealized gain/(loss) (after tax)
related to available-for-sale investments was included in accumulated other comprehensive income. As of
December 31, 2009 and 2008, $50 million ($25 million of which is in restricted cash and investments on the
balance sheet) and $26 million (none of which is in restricted cash and investments on the balance sheet),
respectively, of available-for-sale investment securities were pledged as collateral.
The Company sold available-for-sale securities with a fair value of $100 million, $457 million and
$73 million for the years ended December 31, 2009, 2008, and 2007, respectively. There were no realized
gains/(losses) for the years ended December 31, 2009 and 2007. There were $14 million in realized gains (net
of hedging losses totaling $4 million) for the year ended December 31, 2008. The cost basis for these
securities was determined through specific identification of the securities sold.
F-38
SLM CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
(Dollars in thousands, except per share amounts, unless otherwise stated)