In its role as deposit insurer of financial institutions, 

the FDIC promotes the safety and soundness of insured 

depository institutions (IDIs). The following financial 

highlights address the performance of the deposit 

insurance funds.

DEPOSIT INSURANCE 

FUND PERFORMANCE 

The FDIC administers the Deposit Insurance Fund (DIF) 

and the FSLIC Resolution Fund (FRF), which fulfills 

the obligations of the former Federal Savings and Loan 

Insurance Corporation (FSLIC) and the former Resolution 

Trust Corporation (RTC). The following summarizes the 

condition of the DIF. (See the accompanying graphs on 

FDIC-Insured Deposits and Insurance Fund Reserve Ratios 

on the following page.)

For 2014, the DIF’s comprehensive income totaled $15.6 

billion compared to comprehensive income of $14.2 billion 

during 2013. This $1.4 billion year-over-year increase was 

primarily due to a $2.6 billion decrease in provision for 

insurance losses, partially offset by a $1.0 billion decrease 

in assessment revenue.

Assessment revenue was $8.7 billion for 2014. The decrease 

of $1.0 billion, from $9.7 billion in 2013, was primarily due to 

lower risk-based assessment rates resulting from continued 

improvements in banks’ CAMELS ratings and financial 

condition. 

The provision for insurance losses was negative $8.3 

billion for 2014, compared to negative $5.7 billion for 

2013. The negative provision for 2014 primarily resulted 

from a decrease of $9.1 billion in the estimated losses for 

institutions that failed in current and prior years, partially 

offset by an increase of $850 million in the contingent 

liability for anticipated failures due to the deterioration in 

the financial condition of certain troubled institutions. 

The $9.1 billion reduction in the estimated losses from 

failures was primarily attributable to (1) unanticipated 

recoveries of $1.8 billion in litigation settlements, 

professional liability claims, and tax refunds by the 

receiverships and (2) a $6.7 billion decrease in the 

receiverships’ shared-loss liability that resulted from 

decreases in covered asset balances, lower future loss rate 

estimates, and unanticipated recoveries on shared-loss 

agreement losses. Covered asset balances decreased 

by $23.6 billion during 2014 with lower than anticipated 

losses. These lower than anticipated losses were due to 

loan amortizations and pay-downs, resulting from the 

improvement in the condition of real estate markets where 

shared-loss assets are concentrated, and the expiration of 

83 commercial asset shared-loss coverage agreements in 

2014, thereby ending the loss claim period. The reduction 

in future loss rate estimates resulted from the general 

improvement in the real estate markets and the composition 

of the remaining covered asset portfolios, which primarily 

consist of performing single family assets. These assets 

have historically experienced significantly lower losses than 

commercial assets. Finally, unanticipated recoveries of 

approximately $958 million on previous shared-loss claims, 

which are not estimated due to their uncertainty, were 

received by the receiverships during 2014.

The DIF’s interest revenue on U.S. Treasury investments for 

2014 was $282 million compared to interest revenue of $103 

million in 2013. This $179 million year-over-year increase 

reflects not only a larger investment portfolio balance, 

but also new, higher-yielding investments. The DIF’s cash 

and U.S. Treasury investment portfolio balance was $51.7 

billion at year-end 2014, an increase of $9.7 billion from the 

year-end 2013 balance of $42.0 billion that was primarily 

due to assessment collections of $8.9 billion and recoveries 

from resolutions of $4.1 billion, less disbursements for 

resolutions of $1.9 billion and cash operating expenses of 

$1.6 billion.

III. Financial 

Highlights

FINANCIAL HIGHLIGHTS 65
ANNUAL REPORT 2014

66 FINANCIAL HIGHLIGHTS

SOURCE: Commercial Bank Call and Thrift Financial Reports

Note: Beginning in the fourth quarter of 2010 through the fourth quarter of 2012, estimated insured deposits include the entire balance 

of noninterest-bearing transaction accounts.

ESTIMATED DIF INSURED DEPOSITS

DEPOSIT INSURANCE FUND RESERVE RATIOS

12-09

Fund Balances as a Percent of Insured Deposits

3-10 6-10 9-10 12-10 3-11 6-11 9-11 12-11 3-12 6-12 9-12 12-12 6-133-13 9-13 6-143-1412-13 9-14 12-14

0.4

0.6

0.8

1.2

1.0

0.2

0.0

-0.2

-0.4

12-09

Dollars in Billions

3-10 6-10 9-10 12-10 3-11 6-11 9-11 12-11 3-12 6-12 9-12 12-12 3-13 6-13 9-13 12-13 3-14 6-14 9-14 12-14

8,000

7,000

6,000

5,000

4,000

3,000

2,000

1,000

0
FINANCIAL HIGHLIGHTS 67

DEPOSIT INSURANCE FUND SELECTED STATISTICS 

 Dollars in Millions

For the years ended December 31

2014  2013 2012

Financial Results

Revenue $8,965 $10,459 $18,522 

Operating Expenses 1,664  1,609 1,778 

Insurance and Other Expenses (includes provision for loss) (8,299)  (5,655)  (4,377) 

Net Income 15,600 14,505 21,121 

Comprehensive Income 15,589  14,233  21,131 

Insurance Fund Balance $62,780  $47,191  $32,958 

Fund as a Percentage of Insured Deposits (reserve ratio) 1.01% 0.79% 0.45%

Selected Statistics

Total DIF-Member Institutions1 6,509 6,812 7,083 

Problem Institutions 291 467 651 

Total Assets of Problem Institutions $86,712 $152,687 $232,701

Institution Failures 18 24 51 

Total Assets of Failed Institutions in Year2 $2,914 $6,044  $11,617 

Number of Active Failed Institution Receiverships 481 479  463 

1 Commercial banks and savings institutions. Does not include U.S. insured branches of foreign banks.

2 Total Assets data are based upon the last Call Report filed by the institution prior to failure.