Fannie Mae 2004 Annual Report Download - page 96

(g)
Reflects the reversal of previously recorded unrealized gains and losses on hedged items associated with fair value
hedges; the recognition of revised amortization of debt basis adjustments; and the recognition of short-term and long-
term debt upon consolidation of MBS trusts in which we own less than 100% of the related securities.
(h)
Reflects the reclassification of interest rate swap accruals to “Derivative liabilities at fair value;” the reversal of short-
term debt associated with failed dollar roll repurchase transactions; the correction of amortization of buy-downs and
risk-based pricing adjustments; and the recognition of liabilities to derivative counterparties associated with restricted
cash.
(i)
Reflects the recognition of derivative fair value adjustments to the consolidated statements of income and other income
or expense related adjustments.
(j)
Reflects the reversal of previously recorded derivatives fair value adjustments and the recognition of unrealized gains
(losses) on AFS securities and buy-ups.
The following table displays the cumulative impact of the restatement on consolidated stockholders’ equity in
the condensed consolidated balance sheet through and as of December 31, 2001.
Table 5: Stockholders’ Equity Impact of Restatement as of December 31, 2001
Retained
Earnings
Accumulated
Other
Comprehensive
(Loss) Income
Other
Stockholders’
Equity
Total
Stockholders’
Equity
(Dollars in millions)
December 31, 2001 balance, as previously reported . . . . . . . $ 26,175 $ (7,065) $(992) $18,118
Restatement adjustments for:
Debt and derivatives . . . . . . . . . . . . . . . . . . . . . . . . (10,622)
(a)
11,363
(b)
— 741
Commitments . . . . . . . . . . . . . . . . . . . . . . . . . . . . 413 1 — 414
Investments in securities . . . . . . . . . . . . . . . . . . . . . (660) 6,880
(c)
— 6,220
MBS trust consolidation and sale accounting . . . . . . . 119 81 — 200
Financial guaranties and master servicing . . . . . . . . . (206) 268 — 62
Amortization of cost basis adjustments . . . . . . . . . . . 154 — — 154
Other adjustments . . . . . . . . . . . . . . . . . . . . . . . . . 296 — 92 388
Pre-tax total impact of restatement adjustments . . . . . . . . (10,506) 18,593 92 8,179
Tax impact (benefit) of restatement adjustments . . . . . . (3,465) 6,506 — 3,041
Total impact of restatement adjustments . . . . . . . . . . . . . (7,041) 12,087 92 5,138
December 31, 2001 balance, as restated . . . . . . . . . . . . . . . $ 19,134 $ 5,022 $(900) $23,256
(a)
Reflects the recognition of derivative fair value gains (losses) and revised amortization of debt cost basis adjustments.
(b)
Reflects the reversal of previously recorded derivative fair value losses.
(c)
Reflects the recognition of net unrealized gains on AFS securities.
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