Fannie Mae 2006 Annual Report Download - page 76

Table 4: Analysis of Net Interest Income and Yield
Average
Balance
(1)
Interest
Income/
Expense
Average
Rates
Earned/
Paid
Average
Balance
(1)
Interest
Income/
Expense
Average
Rates
Earned/
Paid
Average
Balance
(1)
Interest
Income/
Expense
Average
Rates
Earned/
Paid
2006 2005 2004
For the Year Ended December 31,
(Dollars in millions)
Interest-earning assets:
Mortgage loans
(2)
. . . . . . $376,016 $20,804 5.53% $384,869 $20,688 5.38% $400,603 $21,390 5.34%
Mortgage securities . . . . . 356,872 19,313 5.41 443,270 22,163 5.00 514,529 25,302 4.92
Non-mortgage
securities
(3)
. . . . . . . . . 45,138 2,734 6.06 41,369 1,590 3.84 46,440 1,009 2.17
Federal funds sold and
securities purchased
under agreements to
resell . . . . . . . . . . . . . 13,376 641 4.79 6,415 299 4.66 8,308 84 1.01
Advances to lenders . . . . . 5,365 135 2.52 4,468 104 2.33 4,773 33 0.69
Total interest-earning
assets . . . . . . . . . . . . . . . $796,767 $43,627 5.48% $880,391 $44,844 5.09% $974,653 $47,818 4.91%
Interest-bearing liabilities:
Short-term debt . . . . . . . . $164,566 $ 7,724 4.69% $246,733 $ 6,535 2.65% $331,971 $ 4,380 1.32%
Long-term debt . . . . . . . . 604,555 29,139 4.82 611,827 26,777 4.38 625,225 25,338 4.05
Federal funds purchased
and securities sold
under agreements to
repurchase . . . . . . . . . . 320 12 3.75 1,552 27 1.74 3,037 19 0.63
Total interest-bearing
liabilities . . . . . . . . . . . . $769,441 $36,875 4.79% $860,112 $33,339 3.88% $960,233 $29,737 3.10%
Impact of net non-interest
bearing funding . . . . . . . . $ 27,326 0.16% $ 20,279 0.10% $ 14,420 0.05%
Net interest income/net
interest yield
(4)
. . . . . . . . $ 6,752 0.85% $11,505 1.31% $18,081 1.86%
(1)
Average balances for 2006 were calculated based on the average of the amortized cost amount at the beginning of the
year and the amortized cost amount at the end of each respective quarter of the year. Average balances for 2005 and
2004 were calculated based on the average of the amortized cost amount at the beginning of each respective year and
the amortized cost amount at the end of each respective year.
(2)
Includes nonaccrual loans with an average balance totaling $6.7 billion, $7.4 billion and $7.6 billion for the years
ended December 31, 2006, 2005 and 2004, respectively.
(3)
Includes cash equivalents.
(4)
We calculate our net interest yield by dividing our net interest income for the period by the average balance of our
total interest-earning assets during the period.
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