Fannie Mae 2013 Annual Report Download - page 256

FANNIE MAE
(In conservatorship)
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (Continued)
F-32
For the Year Ended December 31,
2013 2012 2011
Average
Recorded
Investment
Total Interest
Income
Recognized (7)
Interest
Income
Recognized
on a Cash
Basis
Average
Recorded
Investment
Total
Interest
Income
Recognized (7)
Interest
Income
Recognized
on a Cash
Basis
Average
Recorded
Investment
Total
Interest
Income
Recognized (7)
Interest
Income
Recognized
on a Cash
Basis
(Dollars in millions)
Individually impaired loans:
With related allowance
recorded:
Single-family:
Primary (2) . . . . . . . . . . . . . . $ 124,659 $ 4,351 $ 603 $ 115,767 $ 4,077 $ 654 $ 100,797 $ 3,735 $ 733
Government (3) . . . . . . . . . . 213 11 — 216 11 — 229 12 —
Alt-A . . . . . . . . . . . . . . . . . 35,075 1,096 135 32,978 1,048 151 29,561 982 186
Other (4). . . . . . . . . . . . . . . . 15,537 425 52 15,593 444 65 14,431 435 90
Total single-family . . . . . 175,484 5,883 790 164,554 5,580 870 145,018 5,164 1,009
Multifamily . . . . . . . . . . . . . . 2,552 128 1 2,535 125 2 2,430 103 5
Total individually impaired
loans with related
allowance recorded . . . . . . 178,036 6,011 791 167,089 5,705 872 147,448 5,267 1,014
With no related allowance
recorded: (5)
Single-family:
Primary (2) . . . . . . . . . . . . . . 11,442 1,369 227 8,264 1,075 231 6,884 606 204
Government (3) . . . . . . . . . . 112 8 — 78 7 — 12 7 —
Alt-A . . . . . . . . . . . . . . . . . 2,207 329 45 1,811 253 55 1,771 205 63
Other (4). . . . . . . . . . . . . . . . 752 117 17 455 95 24 467 57 19
Total single-family . . . . . 14,513 1,823 289 10,608 1,430 310 9,134 875 286
Multifamily . . . . . . . . . . . . . . 1,863 97 3 1,781 56 2 993 48 8
Total individually impaired
loans with no related
allowance recorded . . . . . . 16,376 1,920 292 12,389 1,486 312 10,127 923 294
Total individually impaired
loans(6) . . . . . . . . . . . . . . . . $ 194,412 $ 7,931 $1,083 $179,478 $ 7,191 $ 1,184 $ 157,575 $ 6,190 $ 1,308
__________
(1) Recorded investment consists of unpaid principal balance, unamortized premiums, discounts and other cost basis adjustments, and
accrued interest receivable.
(2) Consists of mortgage loans that are not included in other loan classes.
(3) Consists of mortgage loans guaranteed or insured, in whole or in part, by the U.S. government or one of its agencies that are not Alt-A.
(4) Includes loans with higher-risk characteristics, such as interest-only loans and negative-amortizing loans, that are neither government
nor Alt-A.
(5) The discounted cash flows or collateral value equals or exceeds the carrying value of the loan and, as such, no valuation allowance is
required.
(6) Includes single-family loans restructured in a TDR with a recorded investment of $187.6 billion, $193.4 billion and $161.9 billion as of
December 31, 2013, 2012 and 2011, respectively. Includes multifamily loans restructured in a TDR with a recorded investment of $911
million, $1.1 billion and $956 million as of December 31, 2013, 2012 and 2011, respectively.
(7) Total single-family interest income recognized of $7.7 billion for the year ended December 31, 2013 consists of $5.7 billion of
contractual interest and $2.0 billion of effective yield adjustments. Total single-family interest income recognized of $7.0 billion for the
year ended December 31, 2012 consists of $5.3 billion of contractual interest and $1.7 billion of effective yield adjustments. Total
single-family interest income recognized of $6.0 billion for the year ended December 31, 2011 consists of $4.5 billion of contractual
interest and $1.6 billion of effective yield adjustments.
Troubled Debt Restructurings
A modification to the contractual terms of a loan that results in granting a concession to a borrower experiencing financial
difficulties is considered a TDR. In addition to formal loan modifications, we also engage in other loss mitigation activities