FEDERAL AGRICULTURAL MORTGAGE CORPAGM
FEDERAL AGRICULTURAL MORTGAGE CORP Debt Disclosure
NOTES PAYABLE
Farmer Mac's borrowings consist of discount notes and medium-term notes, both of which are unsecured general obligations of Farmer Mac. Discount notes generally have original maturities of 1 year or less, whereas medium-term notes generally have original maturities of 0.5 years to 25.0 years.
The following tables set forth information related to Farmer Mac's borrowings as of December 31, 2025 and 2024:
Table 6.1
| December 31, 2025 | |||||||||||||||||||||||
Outstanding as of December 31 | Average Outstanding During the Year | ||||||||||||||||||||||
| Amount | Weighted- Average Rate | Amount | Weighted- Average Rate | ||||||||||||||||||||
| (dollars in thousands) | |||||||||||||||||||||||
| Due within one year: | |||||||||||||||||||||||
| Discount notes | $ | 2,614,571 | 3.87 | % | $ | 1,854,488 | 4.22 | % | |||||||||||||||
| Medium-term notes | 2,822,454 | 4.02 | % | 2,901,863 | 4.35 | % | |||||||||||||||||
| Current portion of medium-term notes | 5,834,657 | 2.77 | % | ||||||||||||||||||||
| Total due within one year | $ | 11,271,682 | 3.34 | % | |||||||||||||||||||
| Due after one year: | |||||||||||||||||||||||
| Medium-term notes due in: | |||||||||||||||||||||||
| Two years | $ | 6,641,397 | 3.65 | % | |||||||||||||||||||
| Three years | 3,740,471 | 3.97 | % | ||||||||||||||||||||
| Four years | 2,836,656 | 4.24 | % | ||||||||||||||||||||
| Five years | 3,889,804 | 3.71 | % | ||||||||||||||||||||
| Thereafter | 2,435,870 | 2.88 | % | ||||||||||||||||||||
| Total due after one year | $ | 19,544,198 | 3.71 | % | |||||||||||||||||||
| Total principal net of discounts | $ | 30,815,880 | 3.58 | % | |||||||||||||||||||
| Hedging adjustments | 6,690 | ||||||||||||||||||||||
| Total | $ | 30,822,570 | |||||||||||||||||||||
| December 31, 2024 | |||||||||||||||||||||||
| Outstanding as of December 31 | Average Outstanding During the Year | ||||||||||||||||||||||
| Amount | Weighted- Average Rate | Amount | Weighted- Average Rate | ||||||||||||||||||||
| (dollars in thousands) | |||||||||||||||||||||||
| Due within one year: | |||||||||||||||||||||||
| Discount notes | $ | 2,167,258 | 4.42 | % | $ | 1,928,884 | 5.11 | % | |||||||||||||||
| Medium-term notes | 2,343,264 | 4.64 | % | 1,000,290 | 5.28 | % | |||||||||||||||||
| Current portion of medium-term notes | 5,927,101 | 3.20 | % | ||||||||||||||||||||
| Total due within one year | $ | 10,437,623 | 3.77 | % | |||||||||||||||||||
| Due after one year: | |||||||||||||||||||||||
| Medium-term notes due in: | |||||||||||||||||||||||
| Two years | $ | 4,844,538 | 2.66 | % | |||||||||||||||||||
| Three years | 3,822,999 | 3.53 | % | ||||||||||||||||||||
| Four years | 2,732,980 | 4.13 | % | ||||||||||||||||||||
| Five years | 2,491,831 | 4.41 | % | ||||||||||||||||||||
| Thereafter | 3,190,202 | 2.63 | % | ||||||||||||||||||||
| Total due after one year | $ | 17,082,550 | 3.34 | % | |||||||||||||||||||
| Total principal net of discounts | $ | 27,520,173 | 3.51 | % | |||||||||||||||||||
| Hedging adjustments | (148,999) | ||||||||||||||||||||||
| Total | $ | 27,371,174 | |||||||||||||||||||||
The maximum amount of Farmer Mac's discount notes outstanding at any month end during the years ended December 31, 2025 and 2024 was $2.6 billion and $2.3 billion, respectively.
Callable medium-term notes give Farmer Mac the option to redeem the debt at par value on a specified call date or at any time on or after a specified call date. The following table summarizes by maturity date the amounts and costs for Farmer Mac debt callable in 2026 as of December 31, 2025:
Table 6.2
Debt Callable in 2026 as of December 31, 2025, by Maturity | |||||||||||
| Amount | Weighted-Average Rate | ||||||||||
| (dollars in thousands) | |||||||||||
| Maturity: | |||||||||||
| 2027 | $ | 1,144,586 | 2.99 | % | |||||||
| 2028 | 1,408,199 | 4.04 | % | ||||||||
| 2029 | 1,493,927 | 4.45 | % | ||||||||
| 2030 | 1,395,746 | 3.22 | % | ||||||||
| Thereafter | 1,472,467 | 2.66 | % | ||||||||
| Total | $ | 6,914,925 | 3.49 | % | |||||||
The following schedule summarizes the earliest interest rate reset date, or debt maturities, of total borrowings outstanding as of December 31, 2025, including callable and non-callable medium-term notes, assuming callable notes are redeemed at the initial call date:
Table 6.3
| Earliest Interest Rate Reset Date, or Debt Maturities, of Borrowings Outstanding | |||||||||||
| Amount | Weighted-Average Rate | ||||||||||
| (dollars in thousands) | |||||||||||
| Debt with interest rate resets, or debt maturities in: | |||||||||||
| 2026 | $ | 14,354,481 | 3.49 | % | |||||||
| 2027 | 4,248,054 | 3.42 | % | ||||||||
| 2028 | 3,497,592 | 3.96 | % | ||||||||
| 2029 | 2,669,771 | 4.25 | % | ||||||||
| 2030 | 3,854,837 | 3.70 | % | ||||||||
| Thereafter | 2,191,145 | 2.73 | % | ||||||||
| Total principal net of discounts | $ | 30,815,880 | 3.58 | % | |||||||
During the years ended December 31, 2025 and 2024, Farmer Mac called $2.2 billion and $1.9 billion of callable medium-term notes, respectively.
Authority to Borrow from the U.S. Treasury
Farmer Mac's statutory Charter authorizes it to borrow up to $1.5 billion from the U.S. Treasury through the issuance of debt obligations to the U.S. Treasury. Any funds borrowed from the U.S. Treasury may be used solely to fulfill Farmer Mac's guarantee obligations. The Charter provides that the U.S. Treasury is required to purchase debt obligations up to the authorized limit if Farmer Mac certifies that:
•a portion of the guarantee fees have been set aside as a reserve against losses arising from guarantee activities in an amount determined by Farmer Mac's board of directors to be necessary and such reserve has been exhausted; and
•the proceeds of the purchase of such obligations are needed to fulfill Farmer Mac's guarantee obligations.
Any debt obligations issued by Farmer Mac under this authority would bear interest at a rate determined by the U.S. Treasury, taking into consideration the average rate on outstanding marketable obligations of the United States as of the last day of the last calendar month ending before the date of the purchase of the obligations from Farmer Mac. The Charter requires Farmer Mac to repurchase any of its debt obligations held by the U.S. Treasury within a reasonable time. As of December 31, 2025, Farmer Mac had not used this borrowing authority.
About Debt Disclosures
Debt disclosures detail a company's borrowing structure — the types of instruments, interest rates, maturity schedule, and covenant restrictions that define its financial obligations and flexibility. This section is essential for assessing refinancing risk, interest rate exposure, and the margin of safety against financial distress.
Key signals: the maturity schedule reveals concentration risk — large maturities within 1-2 years during tight credit markets can force dilutive refinancing or asset sales. Compare the fair value of debt against carrying amount to gauge whether the market views the company's credit risk differently than the balance sheet suggests. Watch covenant compliance disclosures for tightening cushions, especially leverage and interest coverage ratios. Variable-rate debt exposure quantifies sensitivity to interest rate changes. Secured versus unsecured mix affects recovery rates and future borrowing capacity. Compare net debt-to-EBITDA against industry peers and covenant limits to assess financial health.