FEDERAL

Federal Home Loan Banks Office of Finance,
“Business,” Combined Financial Report for the Year
Ended December 31, 2011, at 2, 3. Accessed: July
29, 2013, at www.fhlb-of.com/ofweb_userWeb/
resources/11yrend.pdf.
53 Federal Home Loan Banks Office of Finance,
“Business,” Combined Financial Report for the Year
Ended December 31, 2011, at 2. Accessed: July
29, 2013, at www.fhlb-of.com/ofweb_userWeb/
resources/11yrend.pdf.
54 Federal Home Loan Banks Office of Finance,
“Business,” Combined Financial Report for the Year
Ended December 31, 2012, at 3. Accessed: July
29, 2013, at www.fhlb-of.com/ofweb_userWeb/
resources/12yrend.pdf.
55 Id., “Table 6 - Membership by Type of Member,”
at 31.
56 Federal Home Loan Banks Office of Finance,
“Overview,” Combined Financial Report for the
Quarterly Period Ended September 30, 2012, at
3. Accessed: July 29, 2013, at www.fhlb-of.com/
ofweb_userWeb/resources/12Q3end.pdf.
57 Id.
58 Id., at cover page.
59 The FHLBank System can borrow at favorable
rates due to the perception in financial markets
that the federal government will guarantee
repayment of its debt even though such
a guarantee has not been made explicitly.
This phenomenon is known as the “implicit
guarantee.” See Federal Housing Finance Agency
Office of Inspector General, “Preface,” FHFA’s
Oversight of Troubled Federal Home Loan Banks,
EVL-2012-001, at 6 (January 11, 2012).
Accessed: July 29, 2013, at www.fhfaoig.gov/
Content/Files/Troubled%20Banks%20EVL-
2012-001.pdf.
60 Federal Home Loan Banks Office of Finance,
“Economy and Financial Markets,” “Financial
Condition,” “Lower Average Balances,” Combined
Financial Report for the Quarterly Period Ended
June 30, 2013, at 4, 5, 19. Accessed: October
16, 2013, at www.fhlb-of.com/ofweb_userWeb/
resources/13Q2end.pdf.
61 Federal Home Loan Banks Office of Finance,
“Net Income,” Combined Financial Report for the
Quarterly Period Ended March 31, 2013, at 15.
Accessed: August 1, 2013, at www.fhlb-of.com/
ofweb_userWeb/resources/13Q1end.pdf.
62 Federal Home Loan Banks Office of Finance,
“Interest Rate Levels and Volatility,” Combined
Financial Report for the Quarterly Period Ended
June 30, 2013, at 5. Accessed: August 16,
2013, at www.fhlb-of.com/ofweb_userWeb/
resources/13Q2end.pdf.
63 Id., “Interest Rate Levels and Volatility,”
“Operating Results,” at 5, 6.
64 Id., “Table 15 - Changes in Net Income,”
“Combined Statement of Income,” at 15, F-2.
65 Id., “Operating Results,” “Combined Statement
of Income,” at 6, F-2.
66 Id., “Combined Statement of Income,”
“Operating Results,” at F-2, 6.
67 Federal Home Loan Banks Office of Finance,
“Note 11 - Derivatives and Hedging Activities,”
Combined Financial Report for the Year Ended
December 31, 2012, at F-44, F-45. Accessed:
Semiannual Report to the Congress • April 1, 2013–September 30, 2013 123