2

2018 INVESTMENTS

Country & 

Project Name

U.S. sponsor/

Insured Investor Project Description Amount Category

AFRICA AND THE MIDDLE EAST

Africa Regional

Africell Holding Limited Ziad Dalloul Expansion of wireless business in the 

Democratic Republic of Congo, the Gambia, 

Uganda and Sierra Leone

100,000,000 Finance

ECP Africa Fund IV A LLC Emerging Capital Partners Investment in high-growth companies serving 

African consumers 

100,000,000 Investment Fund

Botswana

Botswana Finance LLC Lazare Kaplan International Extension of a working capital facility to one 

additional local diamond processing company

30,000,000 Finance

Burundi

Gigawatt Global Burundi S.A. Gigawatt Global Cooperatief U.A. Construction of a 7.5 MW utility scale solar PV 

plant in Gitega

10,000,000 Finance

Ethiopia

Afriflora Sun NIH VI Flamingo, LLC Expansion of an agriculture business that grows 

Sweetheart Roses

126,000,000 Insurance

Ghana

AV Ventures Ghana LLC AV LLC Financing for SMEs focused on the poultry 

sector, leveraged with USDA Food for Progress 

funds

2,000,000 Finance

CAL Bank Limited Citibank, N.A. Onlending for Ghanaian SMEs, infrastructure 

projects, and to refinance an existing OPICguaranteed Citibank framework loan

100,000,000 Finance

LuccaHealth Medical Specialty 

Center Ghana Limited

BlackIvy Group LLC Construction of an ambulatory surgical center 

and imaging services center in Accra

7,500,000 Finance

Jordan

Microfund for Women Citibank, N.A. Expansion of microfinance portfolio that consists 

of 96 percent female borrowers

3,888,500 Finance

Capital Bank Global Communities Expansion of SME loan portfolio 15,000,000 Finance

SunEdison Solar Chubb Bermuda Insurance Ltd. 24 MW photovoltaic plant 5,082,843 Insurance

Kenya

ACORN – Edenvale 

Developments LLP

Helios Investors III L.P. Construction and operation of 344 apartments 

for university students in Nairobi

3,800,000 Finance

Kipeto Wind Farm Sovereign Risk Insurance Construction of a 100 MW wind farm 50,000,000 Insurance

Twiga Foods Ltd. Grant Brooke Financing for additional trucks and cold storage 

units for a fresh produce distributor 

5,000,000 Finance

WBC – Victoria Commercial 

Bank Ltd

FSVC Expansion of SME lending portfolio to womenowned businesses and green energy projects9,750,000 Finance

Malawi

EALGF – EcoBank Malawi Global Communities Lending to small and medium agribusinesses 5,000,000 Finance

Middle East Regional

Siraj Palestine Fund II, Ltd. Massar International Equity investments in SMEs in the West Bank 30,000,000 Investment Fund

Namibia

Silverlands Vineyards 

(Proprietary) Limited

Silverstreet Private Equity Strategies 

Soparfi Sarl

Expansion of a table grape grower in 

Aussenkehr

13,788,000 Insurance

Nigeria

Union Bank of Nigeria Atlas Mara Limited Expansion of onlending initiatives and SME 

portfolio, and upgrades to digital banking 

products and technology

200,000,000 Finance

4

2018 INVESTMENTS

Country & 

Project Name

U.S. sponsor/

Insured Investor Project Description Amount Category

Mytrah Vayu (Sabarmati) 

Private Limited

General Electric Co. Construction of a 225 MW wind farm 225,000,000 Finance

Somerset Indus Healthcare Fund II Somerset Indus 

Capital Partners II, LLC

Investing in products and services platforms that 

provide access to affordable quality healthcare

25,000,000 Investment Fund

WaterHealth India Private Limited WaterHealth International, Inc. Expanding access to safe drinking water, 

primarily in rural areas

12,500,000 Finance

Mongolia

Gobi Finance Non-Bank 

Finance Institution

Ralph Parks Expansion of an existing loan portfolio to 

support micro and SMEs and to finance shortterm consumer loans

2,000,000 Finance

Schulze Global Mongolia 

Debt Facility Limited

Gabriel Schulze Continuation of an onlending facility supporting 

SMEs in Mongolia

10,000,000 Finance

Pakistan

Kashf Foundation Microvest Expansion of a microfinance lending portfolio 7,000,000 Finance

North Shore Medical Lab Services North Shore Medical Labs Inc Introduction of pathology laboratories for 

hospitals in rural areas to support early 

diagnosis and improved treatment

10,000,000 Insurance

EUROPE AND EURASIA

Kazakhstan

WBC-JSC Tengri Bank Financial Services Volunteer Corps Expansion of SME lending portfolio 14,625,000 Finance

LATIN AMERICA AND 

THE CARIBBEAN

Brazil

Azul Linhas Aéreas Brasileiras S.A. Azul S.A. Support for major maintenance for airline 

serving domestic routes in Brazil 

250,000,000 Finance

WBC-Star Participações S.A. SouthStone Capital LLC Expansion of food and beverage business 19,500,000 Finance

Colombia

Acercasa SAS Grow Brilliant LLC Non-bank financial institution providing 

residential mortgages 

10,000,000 Finance

Avenida Colombia Real Estate 

Fund II, L.P.

Avenida Partners LLC Investment in residential and commercial 

real estate serving low- and middle-income 

populations 

50,000,000 Investment Fund

Concesionaria Vial 

Unión del Sur S.A.S.

J.P. Morgan Securities LLC Construction and operation of an 83 KM toll road 250,000,000 Finance

Ecuador

BTS Torres GmBH Cartesian Capital Group, LLC Construction and operation of at least 500 

mobile telecommunication towers

26,171,939 Finance

GIFF-MFI-Banco Guayaquil S.A. Citibank, N.A. Expansion of microfinance loan portfolio 14,000,000 Finance

El Salvador

Azure Source Capital Total Impact Capital Onlending to water service providers 4,000,000 Finance

La Hipotecaria 15th 

Mortgage Trust 2018-1

John D. Rauschkolb Securitization of low- and middle-income 

mortgages in El Salvador and Panama

30,400,000 Finance

*

*Information has temporarily been redacted, including to protect the safety of implementing partners.
5

2018 INVESTMENTS

Country & 

Project Name

U.S. sponsor/

Insured Investor Project Description Amount Category

Guatemala

Industrial DPR Funding Ltd. Wells Fargo Bank, N.A. Diversified Payment Rights securitization to 

support lending to home buyers 

150,000,000 Finance

Latin America Region

CrediQ, S.A. de C.V. Citibank, N.A. SME vehicle finance onlending facility in El 

Salvador and Costa Rica

142,500,000 Finance

Global Partnerships Social 

Investment Fund 5.0

Global Partnerships Lending to social enterprises in the financial 

services, healthcare, solar energy and 

agriculture sectors 

5,000,000 Finance

Lafise Group Panama – 

Tranche A Loan

Lafise Group Panama, Inc. Expansion of portfolio of SME loans, leases, and 

housing loans with a portion of proceeds going 

to Northern Triangle and female borrowers

50,000,000 Finance

Lafise Group Panama – 

Tranche B Loan

Lafise Group Panama, Inc. Increase of Tier II capital for the expansion of 

SME, housing and consumer loan and lease 

portfolio in Costa Rica, Honduras and Panama

15,000,000 Finance

Paladin Realty Latin America 

Investors IV-CI, LLC

Paladin Realty Partners, LLC Investment in real estate, with a focus on 

affordable housing 

13,000,000 Investment Fund

Mexico

WBC – Alternativa 19 Del Sur 

S.A. de C.V. SOFOM E.N.R.

WorldBusiness Capital, Inc. Microloans for SMEs and home improvement 14,625,000 Finance

WBC - Exitus Capital Kandeo Investment Advisors, LLC Expansion of portfolio for SME onlending 9,750,000 Finance

WBC-Financiamiento 

Progresemos, S.A. de C.V.

Kandeo Investment Advisors, LLC Expansion of micro and SME lending with more 

than 50 percent of proceeds benefiting women

11,700,000 Finance

Nicaragua

Banco Lafise Bancentro, S.A. Lafise Group Panama, Inc. Expansion of SME, consumer and housing 

portfolio

35,000,000 Finance

Panama

La Hipotecaria 14th Mortgage 

Trust 2018-1

John D. Rauschkolb Securitization of low- and middle-income 

mortgages in El Salvador and Panama

44,600,000 Finance

Paraguay

Sudameris Bank S.A.E.C.A Citibank N.A. Expansion of SME lending portfolio 93,750,000 Finance

7

The accompanying notes are an integral part of these statements.

AS OF SEPTEMBER 30, 2018 AND 2017

BALANCE SHEET

(in thousands) 2018 2017

Assets

Intragovernmental:

Fund Balance with Treasury (Note 2) $ 960,439 $ 579,543 

Investments (Note 3) 5,828,307 5,759,429 

Accounts Receivable, Net (Note 4) 42 75 

Total Intragovernmental 6,788,788 6,339,047 

With the Public:

Accounts Receivable, Net (Note 4) 400 1,109 

Credit Program Receivable, Net (Note 5) 2,688,903 2,484,543 

Negative Loan Guarantee Liability (Note 5) 153,279 250,133 

Property and Equipment, Net (Note 6) 497 1,247 

Total Assets $ 9,631,867 $ 9,076,079 

Liabilities

Intragovernmental:

Borrowings from Treasury (Note 8) $ 3,475,086 $ 3,014,833 

Downward Reestimate Payable to Treasury (Note 9) 204,271 270,295 

Other Liabilities (Note 12) 570 304 

Total Intragovernmental 3,679,927 3,285,432 

With the Public:

Unearned Revenue (Note 10) 121,532 119,987 

Other Liabilities (Note 12) 6,553 6,814 

Total Liabilities 3,808,012 3,412,233 

Net Position

Unexpended Appropriations 4,000 – 

Cumulative Results of Operations 5,819,855 5,663,846 

Total Net Position 5,823,855 5,663,846 

Total Liabilities and Net Position $ 9,631,867 $ 9,076,079
8

The accompanying notes are an integral part of these statements.

FOR THE YEARS ENDED SEPTEMBER 30, 2018 AND 2017

STATEMENT OF NET COST

(in thousands) 2018 2017

Insurance Program

Gross Costs

 Operating Costs $ 32,787 $ 40,371 

 Insurance Claim Recovery (Note 11) (500) (500)

Total Gross Costs 32,287 39,871 

Less: Earned Revenue (145,860) (149,013)

Net Insurance Program Costs (113,573) (109,142)

Financing Program

Gross Costs

 Operating Costs 144,457 124,489 

 Subsidy Costs/(Reduction) (150,025) (239,043)

 Re-estimates 74,573 118,415 

Total Gross Costs 69,005 3,861 

Less: Earned Revenue (103,954) (94,499)

Net Financing Program Costs (34,949) (90,638)

Net Cost of Operations $ (148,522) $ (199,780)
9

The accompanying notes are an integral part of these statements.

FOR THE YEARS ENDED SEPTEMBER 30, 2018 AND 2017

STATEMENT OF CHANGES IN NET POSITION

(in thousands) 2018 2017

Unexpended Appropriations

Beginning Unexpended Appropriations $ – $ 307

Appropriations Received 376,573 282,604

Appropriations Transferred-In 4,000 –

Appropriations Used (376,573) (282,911)

Total Unexpended Appropriations 4,000 –

Cumulative Results of Operations

Beginning Balance 5,663,846 5,702,061

Budgetary Financing Sources

Appropriations Used 376,573 282,911

Transfers In/Out Without Reimbursement – 1,000

Other Financing Sources (Non-exchange)

Imputed Financing 2,147 353

Offset to Non-entity Collections (371,233) (522,259)

Total Financing Sources 7,487 (237,995)

Net Cost of Operations 148,522 199,780

Net Change 156,009 (38,215)

Cumulative Results of Operations $ 5,819,855 $ 5,663,846

Net Position $ 5,823,855 $ 5,663,846


12

NOTES TO THE FINANCIAL STATEMENTS

E. Investments

Investments are in U.S. Treasury securities and are carried 

at face value, net of unamortized discount or premium, and 

are held to maturity. OPIC has the ability and intent to hold 

its investments until maturity or until the carrying cost can be 

otherwise recovered.

F. Property and Equipment, Net 

OPIC’s property and equipment consists of general-purpose 

equipment used by the agency, leasehold improvements 

made to office spaces leased by OPIC, assets acquired 

under capital lease, internal use software, and when 

applicable, internal-use software development costs for 

projects in development. OPIC capitalizes property and 

equipment at historical cost for acquisitions that have an 

estimated useful life of two years or more. OPIC has a 

capitalization threshold of $50,000 for equipment, furniture, 

vehicles and leasehold improvement, and $250,000 

for internal use software. OPIC expenses property and 

equipment acquisition that do not meet the capitalization 

criteria when purchased, as well as normal repairs and 

maintenance. The cost of property and equipment acquired 

under a capital lease is the amount recognized as a liability 

for the capital lease at its inception. Depreciation and 

amortization of property and equipment are computed using 

the straight-line method over the estimated useful life of 

the asset or lease term, whichever is shorter, with periods 

ranging from 5 to 15 years.

G. Federal Employee Benefits

Leave 

Employee annual leave is accrued as it is earned and 

reduced as leave is taken. Each year the balance of 

accrued annual leave is adjusted to reflect current pay 

rates as well as forfeited “use or lose” leave. Amounts are 

reported as unfunded to the extent current or prior year 

appropriations are not available to fund annual leave earned 

but not taken. Sick leave and other types of non-vested 

leave are expensed as taken. 

Employee Health and Life Insurance Benefits 

OPIC employees may choose to participate in the 

contributory Federal Employees Health Benefit and the 

Federal Employees Group Life Insurance programs. OPIC 

matches a portion of the employee contributions to each 

program. Such matching contributions are recognized as 

current operating expenses. 

Employee Pension Benefits

OPIC employees participate in either the Civil Service 

Retirement System or the Federal Employees Retirement 

System (FERS) and Social Security. These systems provide 

benefits upon retirement and in the event of death, disability 

or other termination of employment and may also provide 

pre-retirement benefits. They may also include benefits to 

survivors and their dependents, and they may contain early 

retirement or other special features. OPIC’s contributions 

to both retirement plans, as well as to the governmentwide Federal Insurance Contribution Act, administered 

by the Social Security Administration, are recognized as 

current operating expenses. Federal employee benefits 

also include the Thrift Savings Plan. For FERS employees, 

OPIC matches employee contributions to the plan, subject 

to limitations. The matching contributions are recognized as 

current operating expenses. 

Imputed Financing Costs

OPIC recognizes the full cost of providing all employee 

benefits and future retirement benefits, including life 

and health insurance, at the time employee services are 

rendered. Eligible retired OPIC employees can continue 

to participate in health and life insurance plans. The cost 

of these benefits is funded through Agency contributions, 

employee compensation to the extent withheld from 

employee and retiree pay, from matching of employee 

withholding for Thrift Savings Plan and Federal Insurance 

Contributions Act (FICA), and by the Office of Personnel 

Management (OPM) which administers the retirement 

programs for OPIC employees. The OPM calculates imputed 

costs as the actuarial present value of future benefits 

attributed to services rendered by covered employees 

and eligible retired OPIC employees during the accounting 

period, net of the amounts contributed by employees, 

retirees and the Agency. OPIC recognizes these imputed 

costs in the Statement of Net Cost and imputed financing in 

the Statement of Changes in Net Position.

Federal Employees’ Compensation Act

The Federal Employees’ Compensation Act provides 

income and medical cost protection to covered federal 

civilian employees injured on the job and to beneficiaries 

of employees whose deaths are attributable to job-related 

injury or disease. The FECA program is administered by 

the Department of Labor. The Department of Labor pays 

valid claims as they occur, which are billed to OPIC annually 

and funded and paid approximately 15 months later. The 

Department of Labor also calculates an estimated actuarial 

liability for future benefits based upon historical experience 

and other economic variables.
13

H. Insurance Program 

The Insurance Program liability represents claims incurred 

but not reported, resulting from insured events that have 

occurred as of the reporting date and from claims submitted 

but not yet paid. The amount recognized in the Balance 

Sheet is a liability known with certainty; plus, an accrual for 

a contingent liability to be recognized when an existing 

condition, situation, or set of circumstances involving 

uncertainty is resolved. Possible losses are determined 

when one or more future events occur or fail to occur; a 

future outflow or other sacrifice of resources becomes 

probable, and the future outflow or sacrifice of resources is 

measurable. 

I. Commitments and Contingencies

OPIC is currently involved in certain legal claims and has 

received notifications of potential claims in the normal 

course of business. There are substantial factual and legal 

issues that might bar any recovery in these matters. It is 

not possible to evaluate the likelihood of any unfavorable 

outcome, nor is it possible to estimate the amount of 

compensation, if any, that may be determined to be owed in 

the context of a settlement. Management believes that the 

resolution of these claims will not have a material adverse 

impact on OPIC. 

NOTE 2: FUND BALANCE WITH TREASURY 

Treasury processes cash receipts and disbursements 

on OPIC’s behalf to pay liabilities and finance authorized 

purchases. The fund balance with Treasury includes 

general, revolving, and deposit funds in OPIC’s accounts. 

The general fund is used for subsidy and reestimates, 

revolving funds are used for operating expenses and 

OPIC’s finance and insurance programs, and deposit funds 

are for taxes withheld on payments to contractors. OPIC’s 

fund balance with Treasury accounts are reconciled with 

those of Treasury on a regular basis. At September 30, 

2018 and September 30, 2017, there were no unreconciled 

differences between Treasury records and balances 

reported on OPIC’s general ledger. The fund balance with 

Treasury as of September 30, 2018 and 2017 consists of the 

following:

(in thousands) 2018 2017

Status of Fund Balance with Treasury:

 Unobligated Balance

 Available $ 803,982 $ 416,487

 Unavailable 53,223 47,288

 Obligated Balance not yet Disbursed 103,227 115,766

 Non-budgetary Fund Balance 

 with Treasury

7 2

Total $ 960,439 $ 579,543

OPIC’s fund balance with Treasury is classified as 

unobligated balance available, unobligated balance 

unavailable, obligated balance not yet disbursed, and nonbudgetary FBWT. Unobligated available balances represent 

amounts that are apportioned for obligation in the current 

fiscal year and unexpired appropriations available for 

incurring new obligations. Unobligated unavailable balances 

represent amounts that are in expired appropriations 

and not available for incurring new obligations. Obligated 

balances not yet disbursed include undelivered orders or 

delivered orders received but not yet paid. Non-budgetary 

Fund Balance with Treasury includes deposit accounts that 

do not have budget authority.

NOTE 3: INVESTMENTS

By statute, OPIC is authorized to invest funds derived from 

fees and other revenues related to its insurance programs 

in U.S. Treasury Marketable Securities. Investments are 

carried at face value, net of unamortized discount or 

premium, and are held to maturity. Premiums or discounts 

are amortized using the effective yield method. Interest 

income is compounded semi-annually by Treasury and 

adjusted to include an accrual for interest earned to 

September 30. OPIC has the ability and intent to hold its 

investments until maturity or until the carrying cost can be 

otherwise recovered. The composition of investments and 

amortized cost at September 30, 2018 and 2017 are as 

follows.

NOTES TO THE FINANCIAL STATEMENTS
14

NOTES TO THE FINANCIAL STATEMENTS

2018

(in thousands) Cost

Amortized (Premium) 

/Discount Interest Receivable Investments, Net Market Value

U.S. Treasury

Marketable Securities:

 Notes $ 5,380,787 $ 9,900 $ 28,199 $ 5,418,886 $ 5,236,823

 Bonds 421,137 (15,316) 3,600 409,421 449,217 

Total U.S. Treasury

Marketable Securities $ 5,801,924 $ (5,416) $ 31,799 $ 5,828,307 $ 5,686,040

2017

(in thousands) Cost

Amortized (Premium)

/Discount Interest Receivable Investments, Net Market Value

U.S. Treasury 

Marketable Securities:

 Notes $ 5,259,757 $ 11,171 $ 27,569 $ 5,298,497 $ 5,278,646 

 Bonds 483,051 (27,359) 5,240 460,932 533,203 

Total U.S. Treasury

Marketable Securities $ 5,742,808 $ (16,188) $ 32,809 $ 5,759,429 $ 5,811,849

NOTE 4: ACCOUNTS RECEIVABLE, NET

Accounts receivable are amounts due to OPIC from the 

public and other Federal agencies. Receivables from 

the public result from maintenance fees from loans and 

loan guarantees, and assets acquired in insurance claims 

settlements. Amounts due from Federal agencies result 

from reimbursable agreements entered into by OPIC with 

other agencies to provide various services. Accounts 

receivable are reduced to net realizable value by an 

allowance for uncollectible amounts. Allowances are based 

on management’s periodic evaluations of the underlying 

assets. In its evaluation, management considers numerous 

factors, including, but not limited to, general economic 

conditions, asset composition, and prior loss experience. 

The primary components of OPIC’s accounts receivable as 

of September 30, 2018 and 2017 are as follows:

(in thousands) 2018 2017

Intragovernmental:

Accounts Receivable $ 42 $ 75

With the Public:

Accounts Receivable 1,839 1,726

Insurance Settlement 162 4,560

Allowance for Uncollectible Amounts (1,601) (5,177)

Accounts Receivable, Net $ 442 $ 1,184

NOTE 5: DIRECT LOANS AND LOAN GUARANTEES, 

NON-FEDERAL BORROWERS

Direct Loan and Loan Guarantee Programs

The Federal Credit Reform Act of 1990 (FCRA) governs 

direct loans made after fiscal year 1991. FCRA loans are 

valued at the present value of expected future cash flows, 

discounted at the interest rate of U.S. Treasury Marketable 

Securities. The subsidy allowance represents the difference 

between the outstanding loans receivable balance and 

the net present value of the estimated cash flows of the 

loans over their remaining term. The subsidy allowance is 

subtracted from the outstanding loans receivable balance 

to obtain the net loans receivable balance. FCRA also 

governs loan guarantees made after fiscal year 1991. The 

liability is determined by calculating the net present value 

of expected future cash flows for outstanding guarantees 

in a manner similar to that used to determine the subsidy 

allowance for direct loans. Loan guarantee liability can be 

positive or negative and if negative is reported as an asset 

on the Balance Sheet. Guaranteed loans acquired by OPIC 

upon borrower default are established as loans receivable 

and are valued in a similar manner as direct loans under 

FCRA. 

Budgetary Accounting for Loan Programs

OPIC’s loan disbursements are financed by Agency selffunded appropriation authority for long-term loan subsidy 

cost and borrowings from Treasury for the remaining 

non-subsidized portion of the loans. The Congress may 

authorize one year, multi-year or no year appropriation 

authority to cover the estimated long-term costs of the 

loan programs. The non-subsidized portion of each loan 

disbursement, financed initially under permanent indefinite 

authority to borrow funds from Treasury, is repaid from 

collections of loan fees, repayments and default recoveries. 

Permanent indefinite authority is available to fund any 

reestimate increase of subsidy costs that occurs after the 

year in which a loan is disbursed. Reestimate reductions of 

subsidy costs are returned to Treasury and are unavailable 

to OPIC. As required by the Federal Credit Reform Act of 

1990, OPIC uses budgetary “program accounts” to account 
15

for appropriation authority in its credit programs and 

non-budgetary “financing accounts” to account for credit 

program cash flow. Estimates and reestimates of credit 

program subsidy expenses are recorded in OPIC’s program 

accounts.

Non-budgetary Credit Reform Financing Accounts

Actual cash flows for direct loan and loan guarantee 

programs are recorded in separate Credit Reform Financing 

Accounts within Treasury. These accounts borrow funds 

from Treasury, make direct loan disbursements, pay 

claims on guaranteed loans, collect principal, interest, and 

fees from borrowers, earn interest from Treasury on any 

uninvested funds, pay interest expense on outstanding 

borrowings and transfer negative subsidy to Treasury’s 

general fund receipt account. New subsidy funded from 

OPIC’s non-credit spending authority and appropriated 

upward subsidy reestimates are received in program 

accounts and transferred to non-budgetary credit reform 

financing accounts. The budgetary resources and activities 

for these accounts are presented separately in the 

Statement of Budgetary Resources and the Budget of the 

United States and are excluded from the determination of 

the budget deficit or surplus. OPIC also has the authority to 

collect and retain fees in the non-budgetary credit reform 

financing accounts designated for oversight and due 

diligence of the portfolio management.

Subsidy Funding under Federal Credit Reform

FCRA requires that the credit subsidy costs of direct loans 

and loan guarantees be expensed in the year loans are 

disbursed. The credit subsidy cost is the net present 

value of expected cash inflows and outflows over the life 

of a guaranteed loan, or the difference between the net 

present value of expected cash flows and the face value of 

a direct loan. The cost expressed as a percentage of loans 

disbursed is termed the subsidy rate. OPIC receives annual 

authority from Congress to self-fund its credit program 

subsidy. OPIC records subsidy expenses when loans are 

disbursed. In accordance with FCRA, subsidy costs are 

reestimated annually.

Interest Receivable

Interest receivable is comprised of accrued interest 

on loans receivable (direct loans and defaulted loan 

guarantees). Initial unpaid interest on defaulted loan 

guarantees that OPIC acquires with the loan, is treated 

as part of the principal of the loan receivable. Interest 

income is accrued at the contractual rate on the outstanding 

principal. Purchased interest is carried at cost. 

Valuation Methodology for Direct Loans and Loan 

Guarantees

The value of direct loans and loan guarantees is based on 

the net present value of their expected future cash flows. 

OPIC estimates future cash flows for direct loans and loan 

guarantees using economic and financial credit subsidy 

models. OPIC’s models vary in the specific methodologies 

employed to forecast future program cash flows. In general, 

however, models for all major credit programs use historical 

data as the basis for assumptions about future program 

performance and then translate these assumptions into 

nominal cash flow estimates by applying rules about 

program structure. Nominal cash flow forecasts are 

discounted using the Office of Management and Budget’s 

Credit Subsidy Calculator that has both forecasted and 

actual Treasury interest rates.

Historical data is used as the basis for program performance 

assumptions. The historical data undergoes quality 

review and analysis prior to its use in developing model 

assumptions. Key input to the subsidy models varies by 

program and includes items such as:

• Contractual terms of the loan or guarantee such as loan 

amount, interest rate, maturity and grace period

• Borrower characteristics

• Loan performance assumptions, such as default and 

recovery rates

• Loan fee rates

OPIC’s rating methodology for its Federal Credit Reform 

reestimates is based on industry best practices and the 

expert judgment of a core panel of officers from origination, 

monitoring, credit policy and risk management who worked 

in conjunction with Moody’s Analytics. The methodology 

rates the portfolio risk with a consistent and standardized 

approach. 

The primary drivers of the yearly reestimated subsidy costs 

include:

• Reevaluation of repayment risks such as credit risk and 

political risk

• Updates to loan level discount rates for loans that are at 

least 90 percent disbursed in the current fiscal year

• Updates to projected cash flows with actual cash flows for 

the current fiscal year

• Updates to interest rates for loans with floating interest 

rates.

NOTES TO THE FINANCIAL STATEMENTS
NOTES TO THE FINANCIAL STATEMENTS

16

A. Direct Loans, Net

2018

(in thousands)

Loans 

Receivable, 

Gross

Fees & 

Interest 

Receivable

Allowance 

for Subsidy 

Cost

Value 

of Assets 

Related to 

Direct Loans, 

Net

Direct Loans $ 2,630,867 $ 69,853 $ (171,870) $ 2,528,850

2017

(in thousands)

Loans 

Receivable, 

Gross

Fees & 

Interest 

Receivable

Allowance 

for Subsidy 

Cost

Value 

of Assets 

Related to 

Direct Loans, 

Net

Direct Loans $ 2,430,096 $ 65,801 $ (163,636) $ 2,332,261

B. Total Amount of Direct Loans Disbursed

(in thousands) 2018 2017

Direct Loan Disbursements $ 392,383 $ 759,067

C. Schedule for Reconciling Direct Loan Subsidy Cost 

Allowance

(in thousands) 2018 2017

Beginning balance of the 

subsidy cost allowance $ (163,636) $ (206,016)

Add: subsidy expense for direct 

loans disbursed during the year 

by component:

 Interest rate differential costs 91 1,171

 Default costs (net of recoveries) (40,987) (84,510)

 Fees and other collections 87,255 159,227

 Other subsidy costs (4,136) (2,883)

Total of the above subsidy 

expense components 42,223 73,005

Adjustments:

 Fees accrued (4,721) (5,355)

 Loans written off 12,250 6,783

 Subsidy allowance amortization (75,690) (67,467)

 Other (107) (57)

Total adjustments (68,268) (66,096)

Total subsidy cost allowance 

before reestimates (189,681) (199,107)

Add or subtract subsidy 

reestimates by component:

Interest rate reestimate 5,985 (57)

Technical/default reestimate 11,826 35,528

Total reestimates 17,81 35,471

Ending balance of the 

subsidy cost allowance $ (171,870) $ (163,636)

D. Defaulted Loan Guarantees

2018

(in thousands)

Defaulted Loan 

Guarantees 

Receivable, 

Gross

Interest 

Receivable

Allowance 

for Subsidy 

Cost

Value of Assets 

Related to 

Defaulted Loan 

Guarantees 

Receivable, Net

Loan 

Guarantees $ 325,815 $ 6,675 $ (219,658) $ 112,832

2017

(in thousands)

Defaulted Loan 

Guarantees 

Receivable, 

Gross

Interest 

Receivable

Allowance 

for Subsidy 

Cost

Value of Assets 

Related to 

Defaulted Loan 

Guarantees 

Receivable, Net

Loan 

Guarantees $ 227,151 $ 3,340 $ (125,590) $ 104,901

E. Outstanding Principal of Loan Guarantees

(in thousands) 2018 2017

Loan Guarantees $ 8,424,215 $ 8,231,215

F. New Loan Guarantees Disbursed 

(in thousands) 2018 2017

Loan Guarantees $ 1,115,395 $ 1,534,361

G. Schedule for Reconciling the Negative Loan 

Guarantee Liability

(in thousands) 2018 2017

Beginning balance of the negative 

loan guarantee liability $ 250,133 $ 370,442

Add: subsidy income/(expense) for 

guaranteed 

loans disbursed during the year 

by component:

 Default costs (net of recoveries) (74,604) (99,909)

 Fees and other collections 196,437 275,608

 Other subsidy costs (14,031) 13,105)

Total of the above subsidy 

income/(expense) components 107,802 162,594

Adjustments:

 Fees accrued (200,278) (197,664)

 Actual claims paid 122,080 120,841

 Loans acquired (26,520) (59,203)

 Subsidy allowance amortization 4,583 7,011

Total adjustments (100,135) (129,015)

Ending balance of the negative loan 

guarantee liability before reestimates 257,800 404,021

Add or subtract subsidy reestimates 

by component:

Interest rate reestimate (22,660) (15,975)

Technical/default reestimate (81,861) (137,913)

Total of the above reestimate components (104,521) (153,888)

Ending balance of the negative 

loan guarantee liability $ 153,279 $ 250,133
NOTES TO THE FINANCIAL STATEMENTS

17

H. Subsidy Rates by Program and Component

2018

Interest Defaults

Fees & Other 

Collections Other Total

Direct Loans – 7.95% (18.82)% – (10.87)%

Loan Guarantees:

Finance 

Guarantees – 5.68% (16.61)% – (10.93)%

Investment Funds – 11.85% (17.32)% – (5.47)%

Limited Arbitral 

Award Coverage – 3.82% (5.99)% – (2.17)%

Non–Honoring 

of Sovereign 

Guarantees – 2.54% (8.45)% – (5.91)%

The subsidy rates presented above are consistent with the 

estimated subsidy rates published in the Federal Credit 

Supplement to the Budget of the U.S. Government except 

for differences due to rounding. The published budget 

formulation subsidy rates are notional, for illustrative 

purposes only, as OPIC estimates subsidy on a loan-byloan basis at the time of obligation. These rates cannot be 

applied to the direct loans and loan guarantees disbursed 

during the current reporting year to yield the subsidy 

expense. The subsidy expense for new loans reported in 

the current year could result from the disbursements of 

loans obligated in the current and prior fiscal years. Subsidy 

expense reported in the current year also includes the cost 

of subsidy reestimates.

I. Administrative Expenses

OPIC incurs administrative expenses to carry out its credit 

reform programs. This amount is determined by annual 

appropriation legislation and self-funded by OPIC’s budget 

authority. 

(in thousands) 2018 2017

Direct Loan and Loan Guarantee 

Administrative Expense $ 47,520 $ 42,000

NOTE 6: PROPERTY AND EQUIPMENT, NET

The components of property and equipment as of 

September 30, 2018 and 2017 are as follows:

2018

(in thousands) Cost

Accumulated

Depreciation

Net Book 

Value

With the Public:

Property and Equipment

Equipment $ 3,296 $ (2,821) $ 475

Leasehold Improvements 11,375 (11,370) 5

Internal-Use Software 9,584 (9,567) 17

Total Property 

and Equipment, Net $ 24,255 $ (23,758) $ 497

2017

(in thousands) Cost

Accumulated

Depreciation

Net Book 

Value

With the Public:

Property and Equipment

Equipment $ 3,145 $ (2,465) $ 680

Leasehold Improvements 11,374 (10,852) 522

Internal-Use Software 9,584 (9,539) 45

Total Property 

and Equipment, Net $ 24,103 $ (22,856) $ 1,247

NOTE 7: LIABILITIES COVERED AND NOT COVERED BY 

BUDGETARY RESOURCES

Liabilities of Federal agencies are classified as liabilities 

covered or not covered by budgetary resources. OPIC’s 

liabilities not covered by budgetary resources primarily 

consist of accrued unfunded annual leave. OPIC’s liabilities 

not requiring budgetary resources consists of primarily 

of rent incentives. As of September 30, 2018 and 2017, 

liabilities not covered by budgetary resources were as 

follows:

(in thousands) 2018 2017

Intragovernmental Liabilities Not Covered 

By Budgetary Resources

Unfunded FECA Liability $ 101 $ 74

Total Intragovernmental Liabilities Not 

Covered 

By Budgetary Resources 101 74

Liabilities with the Public Not Covered 

By Budgetary Resources

 Unfunded Annual Leave 2,912 2,884

 Actuarial FECA Liability 48 48

Total Liabilities with the Public Not Covered 

By Budgetary Resources 2,960 2,932

Total Liabilities Not Covered by 

Budgetary Resources 3,061 3,006

Total Liabilities Covered by 

Budgetary Resources 3,791,373 3,402,249

Total Liabilities Not Requiring 

Budgetary Resources 13,578 6,978

Total Liabilities $ 3,808,012 $ 3,412,233

Liabilities covered by budgetary resources consist of 

liabilities incurred which are covered by realized budgetary 

resources as of the Balance Sheet date. Budgetary 
NOTES TO THE FINANCIAL STATEMENTS

18

resources encompass not only new budget authority 

but also other resources available to cover liabilities for 

specified purposes in a given year. Available budgetary 

resources include: (1) new budget authority; (2) unobligated 

balances of budgetary resources at the beginning of the 

year or net transfers of prior year balances during the year; 

(3) spending authority from offsetting collections (credited 

to an appropriation or fund account); and (4) recoveries of 

unexpired budget authority through downward adjustments 

of prior year obligations. Liabilities are considered covered 

by budgetary resources if they are to be funded by 

permanent indefinite appropriations, which have been 

enacted and signed into law and are available for use as of 

the Balance Sheet date, provided that the resources may be 

apportioned by OMB without further action by the Congress 

and without a contingency having to be met first.

NOTE 8: BORROWINGS FROM TREASURY

OPIC’s debt comes from direct borrowings from the U.S. 

Treasury to fund the portion of direct loans not covered 

by subsidy appropriations, disbursements of downward 

subsidy reestimates and pay claims in excess of the amount 

of subsidy and collections maintained in the non-budgetary 

financing funds. OPIC’s debt as of September 30, 2018 and 

2017 consisted of the following:

(in thousands) 2018 2017

Debt to the Treasury

Beginning Balance $ 3,014,833 $ 2,490,911

Net Borrowings 460,253 523,922

Ending Balance $ 3,475,086 $ 3,014,833

NOTE 9: DOWNWARD REESTIMATE PAYABLE TO 

TREASURY

Federal credit programs are required to transfer to Treasury 

excess funding. OPIC cannot transfer these funds until 

they receive authority from OMB which will occur in the 

succeeding fiscal year. The balance of the downward 

reestimate for OPIC’s finance programs as of September 30, 

2018 and 2017 was $204,271 and $270,295, respectively.

NOTE 10: UNEARNED REVENUE

Unearned revenue consists of the following:

(in thousands) 2018 2017

Finance Retainer Fees and Deferred

Facility Fees $ 90,788 $ 95,275

Insurance Retainer Fees and Unearned 

Insurance Premiums 17,166 17,793

Rent Incentives 13,578 6,919

Total Unearned Revenue: $ 121,532 $ 119,987

OPIC may charge a retainer and other working capital fees 

in conjunction with each project. Working capital fees are 

maintained in non-budgetary financing funds. Facility fees 

collected in excess of $5,000 are amortized over the life 

of the project. Insurance premiums received are amortized 

over the coverage period.

NOTE 11: INSURANCE LIABILITIES AND CLAIM 

RECOVERIES

OPIC provides Political Risk Insurance for overseas 

investments of up to 20 years against three different risks: 

inconvertibility of currency, expropriation, and political 

violence. Insurance coverage against inconvertibility 

protects the investor from increased restrictions on 

the investor’s ability to convert local currency into U.S. 

dollars. Inconvertibility insurance does not protect against 

devaluation of a country’s currency. Expropriation coverage 

provides compensation for losses due to confiscation, 

nationalization, or other governmental actions that deprive 

investors of their fundamental rights in the investment. 

Insurance against political violence insures investors against 

losses caused by politically motivated acts of violence (war, 

revolution, insurrection, or civil strife, including terrorism and 

sabotage).

Under most OPIC insurance contracts, investors may obtain 

all three coverages, but claim payments may not exceed 

the single highest coverage amount. Claim payments are 

limited by the value of the investment and the amount of 

current coverage in force at the time of the loss and may be 

reduced by the insured’s recoveries from other sources. In 

certain instances, OPIC’s requirement to pay up to the single 

highest coverage amount may be reduced by stop-loss and 

risk-sharing agreements. Finally, losses on insurance claims 

may be reduced by recoveries by OPIC as subrogee of 

the insured’s claim against the host government. Payments 

made under insurance contracts that result in recoverable 

assets are included in Accounts Receivable net of an 

allowance for uncollectible amounts. 

In addition to requiring formal applications for claimed 

compensation, OPIC’s contracts generally require investors 

to notify OPIC promptly of host government action that the 

investor has reason to believe is or may become a claim. 

Compliance with this notice provision sometimes results 

in the filing of notices of events that do not mature into 

claims. As of September 30, 2018, and 2017, insurance 

claims where the likelihood of loss is reasonably possible 

are estimated to be $12.4 million, and zero, respectively. 

Recoveries on insurance claims in the amount of $500 

thousand were received by OPIC as of September 30, 2018 

and 2017. 
NOTES TO THE FINANCIAL STATEMENTS

19

NOTE 12: OTHER LIABILITIES

OPIC’s total other liabilities as of September 30, 2018, is as 

follows:

2018

(in thousands)

Non-Current 

Liabilities Current Liabilities Total Liabilities

Intragovernmental:

 Employer Contributions & Payroll Taxes Payable $ – $ 469 $ 469

 Unfunded FECA Liability 86 15 101

Total Intragovernmental 86 484 570

With the Public:

 Accounts Payable – 1,207 1,207

 Accrued Funded Payroll & Benefits – 2,287 2,287

 Accrued Unfunded Annual Leave – 2,912 2,912

 Liability for Deposit Funds – 99 99

 Actuarial FECA Liability 48 – 48

Total Liabilities With the Public 48 6,505 6,553

Total Other Liabilities $ 134 $ 6,989 $ 7,123

OPIC’s total other liabilities as of September 30, 2017, is as 

follows:

2017

(in thousands)

Non–Current 

Liabilities Current Liabilities Total Liabilities

Intragovernmental:

 Employer Contributions & Payroll Taxes Payable $ – $ 230 $ 230

 Unfunded FECA Liability

21 53 74

Total Intragovernmental 21 283 304

With the Public:

 Accounts Payable – 1,590 1,590

 Accrued Funded Payroll & Benefits – 2,202 2,202

 Accrued Unfunded Annual Leave – 2,884 2,884

 Liability for Deposit Funds – 90 90

 Actuarial FECA Liability 48 – 48

Total Liabilities With the Public 48 6,766 6,814

Total Other Liabilities $ 69 $ 7,049 $ 7,118
NOTES TO THE FINANCIAL STATEMENTS

20

NOTE 13: LEASES

Operating Leases

OPIC leases commercial facilities under a multi-year 

operating lease agreement, as amended, which expires in 

May 2029. Under the terms of the lease, OPIC receives 

a tenant improvement allowance for space refurbishment 

as well as other incentives. The value of these incentives 

are deferred in the balance sheet and are amortized to 

recognize rent expense on a straight-line basis over the life 

of the lease. Rental expense was approximately $6.5 million 

for fiscal years 2018 and 2017. Future rental payments are 

as follows:

(in thousands)

Non-federal 

Lease Payments

Fiscal Year

2019 $ 6,855

2020 7,027 

2021 7,202 

2022 7,382

2023 7,565

After 2023 45,829

Total Future Lease Payments $ 81,860

NOTE 14: BUDGETARY RESOURCES

Permanent Indefinite Appropriations

The Federal Credit Reform Act of 1990 authorizes 

permanent, indefinite appropriations from Treasury, as 

appropriate, to carry out all obligations resulting from 

the financing program. Permanent indefinite authority is 

available to fund any reestimated increase of subsidy costs 

that occurs after the year in which a loan is disbursed. 

Reestimated reductions of subsidy costs are returned to 

Treasury and are unavailable to OPIC. 

Consolidated New Obligations and Upward Adjustments through September 30

(in thousands) 2018 2017

Category A Category B Total Category A Category B Total

Direct $ 116,787 $ 1,499,350 $ 1,616,137 $ 67,618 $ 1,541,616 $ 1,609,234

Reimbursable - 801 801 – 5,682 5,682

Total Obligations $ 116,787 $ 1,500,151 $ 1,616,938 $ 67,618 $ 1,547,298 $ 1,614,916

Section 235(c) of the Foreign Assistance Act of 1961 (FAA) 

established a fund which shall be available for discharge of 

liabilities under insurance or reinsurance or under similar 

predecessor authority. All valid claims arising from insurance 

issued by OPIC constitute obligations on which the full 

faith and credit of the United States of America is pledged 

for full payment. Should funds in OPIC’s reserves not be 

sufficient to discharge obligations arising under insurance, 

and if OPIC exceeds its $100 million borrowing authority 

authorized by statute for its insurance program, funds would 

have to be appropriated to fulfill the pledge of full faith 

and credit to which such obligations are entitled. Standing 

authority for such appropriations is contained in Section 

235(f) of the FAA.

Borrowing Authority

OPIC is required to borrow from the U.S. Treasury’s Bureau 

of the Fiscal Service to fund the unsubsidized portion of 

direct loan disbursements, and is authorized to borrow 

when funds are needed to disburse negative subsidy 

and pay claims in excess of the amount of subsidy and 

collections maintained in the financing funds. At the end 

of fiscal year 2018 and 2017, OPIC had $2,370 million and 

$2,959 million, respectively, in borrowing authority carried 

over to fund direct loans and pay future claims. 

Apportionment Categories of New Obligations and 

Upward Adjustments

OPIC funds are apportioned in category A and B. Category 

A apportionments are restricted by time; category B 

apportionments are restricted by project. OPIC’s new 

obligations and upward adjustments can be either 

reimbursable or direct. Reimbursable obligations are 

financed by offsetting collections received in return for 

goods and services provided, while direct obligations are 

not financed from reimbursements.

OPIC’s new obligations and upward adjustments by 

apportionment type and category, as of September 30, 2018 

and 2017 consisted of the following: 
NOTES TO THE FINANCIAL STATEMENTS

21

Undelivered Orders at the End of the Period

Undelivered Orders include loan and related subsidy 

obligations that have been issued but not disbursed and 

obligations for goods and services ordered that have 

not been received. OPIC’s undelivered orders, paid and 

unpaid, as of September 30, 2018 and 2017 consisted of the 

following: 

Undelivered Orders through September 30

(in thousands) 2018 2017

Federal Non-Federal Total Federal Non-Federal Total

Unpaid $ 840,913 $ 1,822,632 $ 2,663,545 $ 934,412 $ 2,161,531 $ 3,095,943

Paid 42 21 63 – 21 21

Total Obligations $ 840,955 $ 1,822,653 $ 2,663,608 $ 934,412 $ 2,161,552 $ 3,095,964

NOTE 15: EXPLANATION OF DIFFERENCES BETWEEN 

THE STATEMENT OF BUDGETARY RESOURCES AND THE 

BUDGET OF THE UNITED STATES GOVERNMENT

SFFAS No. 7, Accounting for Revenue and Other Financing 

Sources and Concepts for Reconciling Budgetary and 

Financial Accounting, requires federal agencies and entities 

to explain material differences between amounts reported 

in the Statement of Budgetary Resources and the actual 

amounts reported in the Budget of the U.S. Government 

(the President’s Budget). The FY 2020 President’s Budget 

which presents the actual amounts for the year ended 

September 30, 2018, has not been published as of the issue 

date of these financial statements. The President’s Budget is 

scheduled for publication in the spring of FY 2019 and can 

be found on the OMB website: http://www.whitehouse.gov/

omb. 

2017

(in millions) Budgetary Resources

New Obligations & 

Upward Adjustments

Distributed Offsetting 

Receipts Net Outlays

Combined Statement of Budgetary Resources $ 7,841 $ 1,615 $ 485 $ 256

Included in SBR, not in President’s Budget

Expired Accounts (44) – – –

Distributed Offsetting Receipts - – (485) 485

Rounding 3 (3) – (1)

Budget of the United States Government $ 7,800 $ 1,612 $ – $ 740

Balances reported in the FY 2017 Statement of Budgetary 

Resources and the related President’s Budget are shown 

in a table below for Budgetary Resources, Obligations, 

Distributed Offsetting Receipts, Net Outlays and any 

related differences. The differences reported are due to 

differing reporting requirements for expired and unexpired 

appropriations between the Treasury guidance used to 

prepare the SBR and the OMB guidance used to prepare 

the President’s Budget. The SBR includes both unexpired 

and expired appropriations, while the President’s Budget 

discloses only unexpired budgetary resources that are 

available for new obligations. Additionally differences exist 

due to Distributed Offsetting Receipts reported on the SBR, 

but not on the President’s Budget and due to rounding 

variances for Budgetary Resources and Obligations.
NOTES TO THE FINANCIAL STATEMENTS

22

NOTE 16: RECONCILIATION OF NET COST OF 

OPERATIONS TO OUTLAYS

Budgetary accounting is used for planning and control 

purposes and relates to both the receipt and use of cash, as 

well as reporting the federal deficit. Financial accounting is 

intended to provide a picture of the government’s financial 

operations and financial position so it presents information 

on an accrual basis. The accrual basis includes information 

about costs arising from the consumption of assets and 

the incurrence of liabilities. The reconciliation of net 

outlays, presented on a budgetary basis, and the net cost, 

presented on an accrual basis, provides an explanation 

of the relationship between budgetary and financial 

accounting information. The reconciliation serves not only to 

identify costs paid for in the past and those that will be paid 

in the future, but also to assure integrity between budgetary 

and financial accounting. The analysis below illustrates this 

reconciliation by listing the key differences between net 

cost and net outlays.

For the year ended September 30, 2018

(in thousands) Intra governmental With the public Total

Net Cost $ (13,208) $ (135,313) $ (148,522)

Components of Net Cost That Are Not Part of Net Outlays:

Property and Equipment Depreciation – (902) (902)

Year–end Credit Reform subsidy Re–estimates

(86,710) 166,961 80,251

Increase/(decrease) in assets:

Accounts Receivable (97,762) (709) (98,471)

Credit Program Receivable – 204,360 204,360

Negative Loan Guarantee Liability – (96,854) (96,854)

Investments (8,608) – (8,608)

(Increase)/decrease in liabilities:

Unearned Revenue – (1,545) (1,545)

Subsidy Payable to the Financing Account 388,710 – 388,710

Downward Reestimate Payable to Treasury 66,024 – 66,024

Other Liabilities (266) 268 2

Other Financing Sources:

Imputed Costs (2,147) – (2,147)

Total Components of Net Cost That Are Not Part of Net Outlays 259,241 271,579 530,820

Components of Net Outlays That Are Not Part of Net Cost:

Acquisition of Property and Equipment – 151 151

Distributed Offsetting Receipts (425,120) – (425,120)

Total Components of Net Outlays That Are Not Part of Net Cost (425,120) 151 (425,271)

Net Outlays $ (179,087) $ 136,417 $ (42,670)

Related Amounts on the Statement of Budgetary Resources

Outlays, net 382,450

Distributed Offsetting Receipts (425,120)

Agency Outlays, Net (42,670)
NOTES TO THE FINANCIAL STATEMENTS

23

NOTE 16: RECONCILIATION OF NET COST OF 

OPERATIONS TO OUTLAYS (continued)

For the year ended September 30, 2017

(in thousands) Intra governmental With the public Total

Net Cost $ (37,529) $ (162,251) $ (199,780)

Components of Net Cost That Are Not Part of Net Outlays:

Property and Equipment Depreciation – (976) (976)

Year–end Credit Reform subsidy Re–estimates

(118,415) 251,965 133,550

Increase/(decrease) in assets:

Accounts Receivable 102,729 (539) 102,190

Credit Program Receivable – 598,555 598,555

Negative Loan Guarantee Liability – (120,309) (120,309)

Investments (8,608) – (8,608)

(6,258) – (6,258)

(Increase)/decrease in liabilities: – (1,545) (1,545)

Unearned Revenue – (18,268) (18,268)

Subsidy Payable to the Financing Account 286,048 – 286,048

Downward Reestimate Payable to Treasury (34,093) – (34,093)

Insurance Program Liabilities – 128 128

Other Liabilities (61) 28 (33)

Other Financing Sources: (2,147) – (2,147)

Imputed Costs (353) – (353)

Total Components of Net Cost That Are Not Part of Net Outlays 229,597 710,584 940,181

Components of Net Outlays That Are Not Part of Net Cost:

Acquisition of Property and Equipment

– 18 18

Distributed Offsetting Receipts (484,722) – (484,722)

Total Components of Net Outlays That Are Not Part of Net Cost (484,722) 18 (484,704)

Net Outlays $ (292,654) $ 548,351 $ 255,697

Related Amounts on the Statement of Budgetary Resources

Outlays, net 740,419

Distributed Offsetting Receipts (484,722)

Agency Outlays, Net 255,697