Company: AGM-PH
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0000845877-25-000204
Chunk: 108

Company: FEDERAL AGRICULTURAL MORTGAGE CORP
Filing Date: 2025-08-07
Form: 10-Q
Item: Part I, Item 1
Chunk 108
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 support agriculture production, food and fiber processing, and other supply chain production, and which may have risk profiles that differ from smaller agricultural mortgage loans, Farmer Mac has implemented methodologies and parameters that help assess credit risk based on the appropriate sector, borrower construct, and transaction complexity. For more information about Farmer Mac's underwriting and collateral valuation standards for Agricultural Finance mortgage loans, see "Business—Farmer Mac's Lines of Business—Agricultural Finance—Underwriting and Collateral Standards—Farm & Ranch" and "Business—Farmer Mac's Lines of Business—Agricultural Finance—Underwriting and Collateral Standards—Corporate AgFinance" in Farmer Mac's 2024 Annual Report.

Farmer Mac's 90-day delinquency measure includes loans 90 days or more past due, as well as loans in foreclosure and non-performing loans where the borrower is in bankruptcy. For Agricultural Finance mortgage loans to which Farmer Mac has direct credit exposure, Farmer Mac's 90-day delinquencies as of June 30, 2025, were $125.9 million (0.98% of the Agricultural Finance mortgage loan portfolio to which Farmer Mac has direct credit exposure), compared to $160.0 million (1.29% of the Agricultural Finance mortgage loan portfolio) as of March 31, 2025 and $108.9 million (0.88% of the Agricultural Finance mortgage loan portfolio) as of December 31, 2024. Those 90-day delinquencies consisted of 75 delinquent loans as of June 30, 2025, compared to 99 delinquent loans as of March 31, 2025 and 62 delinquent loans as of December 31, 2024. The decrease in the number of 90-day delinquencies during second quarter 2025 was primarily driven by a decrease in permanent plantings and crop loans; although 90-day delinquencies remain concentrated in those two commodity groups within the Southwest region. This reflects compressed profitability in certain agricultural commodity segments, including permanent planting and crops. The top ten borrower exposures over 90 days delinquent represented over half of the 90-day delinquencies as of June 30, 2025. Farmer Mac believes that it remains adequately collateralized on its delinquent loans. 

Farmer Mac's 90-day delinquency rate of 0.98% as of June 30, 2025 was slightly below our historical average of approximately 1%, which is based