Farm Credit System

Investor Presentation

July 2021
The Farm Credit System at a Glance

 The Farm Credit System (‘System’, ‘Farm Credit’) was created in 1916 to support rural
Mission
communities and agriculture with reliable, consistent credit and financial services.

Cooperative  Farm Credit is a network of cooperatives owned by its borrowers (farmers, ranchers, agricultural
Structure cooperatives and rural customers).

 Farm Credit’s loan portfolio is geographically diversified across all 50 states, U.S. territories, and
Broad Loan Puerto Rico, supporting approximately 43% 1 of all U.S. farm business debt.
Diversification
 The portfolio is also diversified by commodity and loan size.

Regulatory and  Farm Credit is regulated and examined by an independent Federal agency, the Farm Credit
Congressional Administration (FCA).
Oversight  The System is under the Jurisdiction of the House and Senate Agriculture Committees.

1. Source: USDA Economic Research Service, Feb. 2021.

2
 Structure and Ownership

Key

Loans
Congressional Oversight
Funds

Farm Credit Administration Repayment

(Regulator)

LOAN

$
Member- Farm Credit Farm Credit Farm Credit Dealers Institutional
1
Borrowers Associations System Banks 2 Funding Corporation 3
Investors

Farm Credit Council 4 | Farm Credit System Insurance Corp. 5

1. Farmers, ranchers, rural homeowners, rural utility systems and agribusinesses.

2. AgFirst Farm Credit Bank, AgriBank FCB, Farm Credit Bank of Texas, CoBank ACB. CoBank has lending authority to Associations within its District as well as national lending
authorities to agricultural cooperatives, rural utilities and other eligible borrowers.
3. The Farm Credit Funding Corporation is responsible for Systemwide debt issuance and financial disclosure.
4. The Farm Credit Council is the national trade association for the Farm Credit System.
5. The Farm Credit System Insurance Corporation is an independent U.S. Government-controlled corporation which insures the timely payment of principal and interest on debt
obligations issued by the Farm Credit Banks.

3
Loan Portfolio - Overview

 A variety of loan types is available to qualified borrowers.

 Underwriting standards are based on credit, repayment capacity/cash flow and collateral.

 Loan volume increased 2.4% since year-end 2020, driven by an increase in real estate mortgage and agribusiness loans

Gross Loans
($ billions)
323.2
315.5
19.0
287.0 19.0
273.4 35.6
259.9 18.9 34.5
249.8 18.4
17.4 29.7
Rural Residential RE, Ag. Export Finance &
17.0 29.2 57.4
28.0 56.4 Other Loans
27.4
50.1 Rural Infrastructure
46.1
42.2
39.6 55.6
58.0 Agribusiness Loans
56.1
53.4
51.7
50.3 Production & Intermediate-term Loans

General Ag. Loans (Collateralized by Land)

147.6 155.6
126.3 132.2
115.5 120.6

YE 2016 YE 2017 YE 2018 YE 2019 YE 2020 2Q 21

4
 Loan Portfolio - Credit Quality

 Credit quality remains strong with loans classified1 as Acceptable and Other Assets Especially Mentioned (OAEM) at 97.8% at
June 30, 2021, compared to 97.5% at December 31, 2020.

 Nonaccrual loans as a percentage of total loans outstanding was 0.44% at June 30, 2021 and 0.48% at December 31, 2020.

 Credit risk of certain loans is reduced by off-farm income sources and crop insurance.

 59.9% of nonaccrual loans were current as to principal and interest at June 30, 2021, as compared with 58.9% at December 31,
2020.

Nonperforming Loans
($ millions)
0.91% 3,500
0.80% 0.79%
0.79%
0.81% 0.76%
3,000

0.71%
2,500
2,275 0.59%
0.61% 2,198
0.56%
1,962 1,967
0.51% 1,860 1,820 2,000 Accruing - 90 days+ Past Due
Restructured Loans
0.41% 1,500 Nonaccrual Loans
Nonperforming Loans to Total Loans
0.31%
1,000
0.21%

500
0.11%

0.01% -
YE 2016 YE 2017 YE 2018 YE 2019 YE 2020 2Q 21
1. Farm Credit Administration’s Uniform Loan Classification System. 5
Loan Portfolio - Credit Quality (cont’d)

 The System recognized a loan loss reversal of $30 million for the six months ended June 30, 2021, as compared with provisions
for loan losses of $158 million for the six months ended June 30, 2020.

 Net loan recoveries of $7 million and and net loan charge-offs $32 million were recorded during the first six months of 2021
and 2020, respectively.

Provision for Loan Losses

($ millions)

266
197 194 169
107

(30)

YE 2016 YE 2017 YE 2018 YE 2019 YE 2020 2Q 21 YTD

Net Charge-offs to Average Loans 1

0.03% 0.03% 0.03%

0.02% 0.02%

0.00%

YE 2016 YE 2017 YE 2018 YE 2019 YE 2020 2Q 21 YTD

1. Annualized ratio of net charge-offs during the period to average loans outstanding during the period. 6
Loan Portfolio - Product and Sector Diversification
General farms, primarily livestock
2%
Agricultural export finance
Horticulture
2%
1%
Rural communication Hogs Cash grains (includes corn, wheat and
3% 2% soybeans)
16%
Rural home loans, farm landlords and
part-time farms
6% Other livestock
Poultry and eggs 1%
3%

Agricultural services and fish Cattle

4% 9%
Biofuels, primarily ethanol
1%
Farm supplies and
marketing
5% General farms, primarily crop
3%

Tree fruits, nuts and grapes

6% Rural power
7%

Field crops (includes sugar beets,

potatoes and vegetables) Other
5% Forestry 3%
Food products (includes
6% meat, dairy and bakery
Rural water/waste water Dairy farms Cotton products)
1% 6% 1% 8%
Data at Dec. 31, 2020.
7
Loan Portfolio - Geographical Diversification

 Farm Credit System lends in all 50 states, the Commonwealth of Puerto Rico and U.S. territories.

 Geographic diversification supports the System’s strong credit performance.

Alaska Maine
<1% <1%

Vt. N.H.
<1% <1%

Wash. Idaho Mont. N.D. Minn. Ill. Wis. Mich. N.Y. R.I. Mass.
2.1% 1.6% <1% 2.0% 4.4% 5.2% 2.8% 2.8% 2.6% <1% <1%

Ore. Nev. Wyo. S.D. Iowa Ind. Ohio Pa. N.J. Conn.
1.3% <1% <1%. 2.5% 5.5% 3.2% 3.7% 1.3% <1% <1%
> 3%
Calif. Utah Colo. Neb. Mo. Ky. W.Va. Va. Md. Del. 1% – 3%
11.6% <1% 2.0% 3.8% 2.6% 1.6% <1% 1.7% <1% <1%
< 1%

Ariz. N.M. Kan. Ark. Tenn. N.C. SC. D.C.

<1% <1% 3.1% 1.9% 1.7% 2.4% <1% <1%

Okla. LA. Miss. Ala. Ga. P.R.

1.3% 1.1% 1.1% 1.4% 2.2% <1%

U.S.
Hawaii Texas Fla.
territories
<1% 7.1% 2.0%
<1%

Note: Percentage of total loan volume.

8
Data at Dec. 31, 2020.
Loan Portfolio - Size Diversification

 Farm Credit lends to qualified borrowers of all sizes, from Young, Beginning and Small farmers and ranchers to large
agribusinesses.

 Large loan exposures are consistently reviewed and monitored.

Amount
Range % of # of % of Portfolio
Outstanding
($ thousands) Portfolio Borrowers (# of borrowers)
($ millions)

$1 – $249 32,587 10 439,889 74 86% of customers borrow

$250 – $499 25,333 8 72,436 12 between $1,000 and $499,000.

$500 – $999 27,908 9 39,932 7

$1,000 – $4,999 66,031 21 33,630 6
$5,000 – $24,999 47,809 15 4,878 1
$25,000 – $99,999 43,811 14 907 <1
$100,000 – $249,999 33,598 11 219 <1
Over $250,000 38,413 12 92 <1
Total 315,490 100 591,983 100

Data at Dec. 31, 2020.

9
Financial Performance - Earnings

 Net income increased 19.8% for the first six months of 2021, as compared with the first six months of 2020.

 Net interest margin was positively impacted by an increase in the net interest spread of 12 basis points to 2.33% for the six
months ended June 30, 2021, and was negatively impacted by a 10 basis point decrease in income earned on earning assets
funded by noninterest-bearing sources.

Net Income
($ billions)

6.00
5.19 5.33 5.45
4.85
3.44
2.87

2016 2017 2018 2019 2020 2Q 20 YTD 2Q 21 YTD

Net Interest Margin1

2.49%
2.48%
2.46% 2.46% 2.46%
2.44%
2.42%

2016 2017 2018 2019 2020 2Q 20 YTD 2Q 21 YTD

1. Net Interest Margin is net interest income divided by average earning assets.
10
System Capital

 All Farm Credit Banks and Associations exceed the Farm Credit Administration’s regulatory requirements.

Regulatory Capital Requirements

CET 1 Capital Tier 1 Capital Total Capital Tier 1 Leverage
Minimum Requirement 4.5% 6.0% 8.0% 4.0%
Minimum Requirement w/ Conservation Buffer 7.0% 8.5% 10.5% 5.0%

Capital
($ billions)
65.5 68.4
61.7 5.6
58.5 5.2
55.3 5.1 5.7
52.3 5.1 5.5
5.2 3.8
4.9 3.7 Preferred Stock, Capital & Participation
4.8 5.0 3.7
4.8 3.7 Certificates
4.5 3.7
1.4
Restricted Capital (Insurance Fund)

Additional Paid-in-Capital
51.1 53.3
44.7 47.7
41.6 41.9
Retained Earnings

YE 2016 YE 2017 YE 2018 YE 2019 YE 2020 2Q 21

16.4% 16.8% 16.7% 16.9% 16.4% 16.8% Capital to Asset Ratio 1

1. Includes restricted assets and capital (Insurance Fund).

11
Insurance Corporation & Fund

Farm Credit System Insurance Corporation

 Created in 1988 through an amendment to the Farm Credit Act.

 Primary responsibility is managing the Farm Credit Insurance Fund.

 Secured a $10B liquidity line to be used in exigent market circumstances that threaten the Banks’ ability to pay
maturing obligations.

Insurance Fund

 Primarily to insure the timely payment of principal and interest on Systemwide Debt Securities (provides additional
protection for investors).
 Funded by premiums assessed on System Banks, which may be passed on to the Associations.

 Insurance Fund target is 2% of aggregate outstanding insured debt (primarily Systemwide Debt Securities
outstanding).
 Insurance Fund invested only in U.S. Government guaranteed securities.

 Assets of $5.7 billion in the Insurance Fund at June 30, 2021.

 Insurance Fund has never been used for the payment of principal or interest on Systemwide Debt Securities.

12
Liquidity Management

 The System primarily relies on debt markets for funding.

 In addition, System Banks hold highly-rated investments (limited to less than 35% of the Bank’s average loans outstanding for the
quarter).

 Approximately 99% of investment securities are rated double-A or higher.1

 System Banks are required to maintain a three-tiered liquidity reserve, with an overall minimum of 90 days liquidity.

System Banks’ Available for Sale Investments: $65.5bn 2

Investment Type 2,3 Maturity 2

US Treasury securities
38%
≤ 1 year
> 10 years 17%
27%
Commercial paper,
bankers’ acceptances, CDs
1 - 5 years
& other securities Mortgage-
34%
8% backed 5 - 10 years
US agency securities securities 22%
4% 45%
Asset-backed securities
5%

1. Highest credit rating from at least one rating organization.

2. At Jun 30, 2021, based on fair value.
3. Mortgage-backed securities comprised of 93% Agency collateralized, 7% Agency whole-loan pass through and <1% Private label-FHA/VA. 13
Debt Issuance

 The Farm Credit System is the second-largest GSE, based on outstanding debt.

$  Debt securities are issued on behalf of the four System Banks on a joint and
several basis.

 Active issuer of highly-rated securities (AAA/Aaa/AA+).

 Bank for International Settlements (BIS) risk-weighting of 20%.

 Debt securities are issued across a range of sizes and maturities.

$
 Offers investors exposure to the U.S. agriculture and rural infrastructure sector.

 Primary distribution and secondary market supported by 37 investment firms

(Dealer Group), including 10 LEAD (Leveraging Equality And Diversity) dealers.

 Broad and diverse investor base.

TAX
 Interest on debt securities is generally exempt from state, local and municipal tax. 1

The Farm Credit Funding Corporation maintains a flexible debt issuance program
driven by System Bank needs, but designed to meet investor demands.

1. Please consult your tax advisor for specific information. 14

Dealer Group

Academy Securities, Inc. Multi-Bank Securities, Inc.

BNY Mellon Capital Markets, LLC NatWest Markets Securities Inc
Barclays Capital Inc. Nomura Securities International Inc
Blaylock Van, LLC Piper Sandler & Co.
BofA Securities, Inc. R. Seelaus & Co., LLC
Cantor Fitzgerald & Co RBC Capital Markets, LLC
CastleOak Securities, L.P. Raymond James & Associates
Citigroup Global Markets Inc. Robert W. Baird & Co. Incorporated
Daiwa Capital Markets America Inc Samuel A. Ramirez & Co., Inc.
Deutsche Bank Securities Inc. Siebert Williams Shank & Co., LLC
First Horizon Bank Stifel, Nicolaus & Company Incorporated
Goldman, Sachs & Co. StoneX Financial Inc.
InspereX LLC TD Securities (USA) LLC
J.P. Morgan Securities LLC Tribal Capital Markets, LLC
Jefferies, LLC Truist Securities, Inc.
Loop Capital Markets LLC UBS Securities, LLC
MFR Securities, Inc. Vining-Sparks IBG, Ltd. Partnership
Mizuho Securities USA LLC Wells Fargo Securities, LLC
Morgan Stanley & Co., LLC

LEAD (Leveraging Equality And Diversity) dealers in green. Includes certified minority, women, disabled veteran and American Indian tribally-owned firms.
15
Debt Profile

Farm Credit System Debt Ratings1

FitchRatings MOODY’S S&P Global
Long-term AAA Aaa AA+
Short-term F1+ P-1 A-1+

Debt Outstanding
($ billions)
322.5 327.2
3.1 7.1
293.6 23.5 17.1
281.8
265.4 19.1
257.9 22.8
1.0
4.5 25.6 79.8 91.5
29.6 77.9
Designated Bonds
79.0
72.2 Discount Notes
59.7
Fixed-Rate Callable Bonds
90.1
95.5
79.1 Fixed-Rate Non-Callable Bonds
71.1
68.0 67.1 Floating-Rate Bonds

117.2 125.7 115.7

99.2 108.6
95.8

YE 2016 YE 2017 YE 2018 YE 2019 YE 2020 Jul. 31 '21

Numbers may not sum due to rounding, and exclusion of Linked Deposit and Retail Bonds.
1. At Jul. 31, 2021.
16
Debt Activity

Floating Rate Bonds Fixed Rate Bonds

Discount Designated
($ millions) Total
Notes Bonds
SOFR LIBOR Other Indexes Callable Non-Callable

Outstanding
23,524 56,595 39,437 29,712 79,822 90,084 3,100 322,464
12/31/20

Gross Issuance 123,050 24,320 765 8,770 40,706 19,069 4,000 220,758

Maturities1 (129,456) (12,475) (22,121) (9,300) - (13,151) - (186,600)

Calls1 - - - - (28,980) - - (28,980)

Other 1,2 - - (18) - - (471) - (489)

Net Issuance1 -6,406 11,845 -21,374 -530 11,726 5,447 4,000 4,689

Outstanding
17,118 68,440 18,063 29,182 91,548 95,531 7,100 327,152
7/31/21

Numbers may not sum to total due to rounding, and exclusion of Linked Deposit and Retail Bonds.
1. YTD at Jul. 31, 2021.
2. Includes Puts and Buybacks. 17
Discount Notes
Issuance Activity
Characteristics
 Flexible short-term investments. 2021 (YTD 1) 2020

 Mature in 365 days or less. Total $123.1bn $190.2bn

Excluding overnight
Issuance Program $32.5bn $70.4bn
(O/N) maturities
 Sizes and maturities posted to the window at 4PM EST and WAM 27 days 54 days
priced the following morning. (FFCB <go>)
 Investor order-based program. Maturity (days)
 Open to reverse inquiries. 2021 (YTD 1) 2020
0 – 30 86% 70%
Distribution 31 – 60 4% 9%
 Distributed through 10 Core and 10 LEAD2 Dealers, available to > 60 10% 22%
entire Dealer Group with re-allowance. O/N 74% 63%

Core Dealers LEAD2 Dealers

Barclays Capital Inc. Academy Securities, Inc.
Citigroup Global Markets Inc. Blaylock Van, LLC
Daiwa Capital Markets America Inc CastleOak Securities, L.P.
First Horizon Bank Loop Capital Markets LLC
J.P. Morgan Securities LLC MFR Securities, Inc.
Jefferies LLC Multi-Bank Securities, Inc.
Mizuho Securities USA LLC R. Seelaus & Co., LLC
Nomura Securities International Inc Samuel A. Ramirez & Co., Inc.
TD Securities (USA) LLC Siebert Williams Shank & Co., LLC
Wells Fargo Securities, LLC Tribal Capital Markets, LLC

1. YTD at Jul. 31, 2021.

2. Leveraging Equality And Diversity dealers. 18
Floating Rate Bonds

Characteristics Issuance Activity 1

Total Avg. Size
 Typical maturities of two years and less.
$33.9bn $316.4m
 Largest GSE issuer of alternative indexes: Prime, T-Bills and
Fed Funds. Indexes SOFR 1M LIBOR 3M LIBOR T-Bills Prime Fed Funds
(bn) $24.3 $0.4 $0.4 $2.8 $3.6 $2.4
Issuance Program
Recent Issuance (July)
 Preliminary par amounts and structures are announced at
4PM EST for auction or posting the following business day. Size Coupon
Structure Trade Date Index
(FFCB <go>) ($ MM) (Spread)
 Maturities of less than two years are typically auctioned. 3-year 7/8/2021 150 Prime -310.00
 Maturities two years and beyond are typically posted. 2Y NC 18M 7/13/2021 150 SOFR 3.00
3-year 7/16/2021 140 SOFR 6.00
 Issuance practices are responsive to market conditions. 1-year 7/21/2021 100 Prime -318.00
1.5-year 7/21/2021 300 Prime -317.00
Distribution 2-year 7/21/2021 100 Prime -315.00
2-year 7/21/2021 100 T-Bill 2.50
 Distributed through 37-member Dealer Group.
1.5-year 7/26/2021 150 SOFR 1.25
Issuance (Aug. 1, 2020 – Jul. 31, 2021) 2-year 7/28/2021 350 SOFR 2.50
1-year 7/29/2021 375 SOFR 0.50
($ millions)
1,200
Fed Funds
1,000 1M LIBOR
800 3M LIBOR
Prime
600 3M TBill
400 SOFR

200

0
0 2 4 6 8 10 12 14
Years
1. YTD at Jul. 31, 2021.
19
Fixed Rate Callable Bonds

Issuance Activity 1
Characteristics
Total Avg. Size Total Redemptions
 Typical maturities between one and ten years.
 Predominantly American call options, may include Bermudan $40.7bn $162.2m $29.0bn
and European.
Recent Issuance (July)
Issuance Program
Structure Trade Date Size ($ MM) Coupon (%)
 Preliminary par amounts and structures are announced at 10Y NC 5Y 7/7/2021 30 1.470
4PM EST for auction the following business day. (FFCB <go>) 7Y NC 3Y 7/9/2021 50 1.190
3Y NC 3M 7/12/2021 220 0.420
Distribution 12.75Y NC 3M2 7/19/2021 220 2.130
20Y NC 1Y 7/21/2021 150 2.500
 Distributed through 37-member Dealer Group. 5Y NC 6M 7/22/2021 30 0.870
7Y NC 1Y 7/26/2021 120 1.230
1.5Y NC 3M 7/27/2021 200 0.090
25Y NC 1Y 7/28/2021 50 2.650
9.5Y NC 3M 7/29/2021 140 1.770
Issuance (Aug. 1, 2020 – Jul. 31, 2021)
($ millions)

800
700
600
500
400
300
200
100
0
0 5 10 15 20 25 30
Years
1. YTD at Jul. 31, 2021.
2. Includes reopen. 20
Fixed Rate Non-Callable Bonds (Bullets)

Characteristics Issuance Activity 1

Total Avg. Size
 Offerings vary in size, structure and maturity.
 Typical maturities between one and five years. $19.1bn $168.8m

Issuance Program Recent Issuance (July)

 Preliminary par amounts and structures are announced at Structure Trade Date Size ($ MM) Coupon (%)
4PM EST for auction the following business day. (FFCB <go>) 12-year 7/7/2021 25 1.600
 Outstanding issues may be re-opened based on Farm Credit 2-year2 7/8/2021 550 0.125
Banks funding needs. 1-year 7/15/2021 500 0.060
3-year 7/16/2021 365 0.450
Distribution 7-year 7/16/2021 55 1.125
5-year 7/20/2021 85 0.680
 Distributed through 37-member Dealer Group. 10-year 7/20/2021 80 1.310
1.75-year 7/22/2021 200 0.170
4.7-year 7/29/2021 50 0.690
15-year 7/29/2021 15 1.840
Issuance (Aug. 1, 2020 – Jul. 31, 2021)
($ millions)

800
700
600
500
400
300
200
100
0
0 5 10 15 20 25 30
Years
1. YTD at Jul. 31, 2021.
2. Includes reopen. 21
Designated Bonds

Characteristics

 Benchmark-size issuance.
 Fixed rate, non-callable bonds.
 Typical maturities between two and five years.

Issuance Program

 Offered through a syndicate of dealers.

 Issued as needed.

Activity1
Total Avg. Size

$7.1bn $1.0bn
Issuance Coupon
Term Issue Date Maturity Date Managers Co-Managers
(bn) (%)
• Barclays Capital Inc. • Samuel A. Ramirez & Co., Inc.
$1.0 0.125 2-yr 05/10/2021 05/10/2023
• Daiwa Capital Markets America • Siebert Williams Shank & Co., LLC
• Citigroup Global Markets Inc • Loop Capital Markets, LLC
$1.0 0.125 2-yr 04/13/2021 04/13/2023
• Nomura Securities International • Multi-Bank Securities, Inc.
• JPMorgan • Academy Securities, Inc.
$1.0 0.250 3-yr 02/26/2021 02/26/2024
• Wells Fargo Securities, LLC • CastleOak Securities, L.P.
• Morgan Stanley & Co LLC • Academy Securities, Inc.
$1.0 0.125 2-yr 02/03/2021 02/03/2023
• TD Securities (USA) LLC • CastleOak Securities, L.P.
• Barclays Capital Inc. • Loop Capital Markets, LLC
$1.0 0.125 2-yr 11/23/2020 11/23/2022
• Daiwa Capital Markets America • Multi-Bank Securities, Inc.
• JPMorgan
$1.0 0.250 2-yr 05/06/2020 05/06/2022
• TD Securities (USA) LLC
• Nomura Securities International
$1.1 0.375 2-yr 04/08/2020 04/08/2022
• Wells Fargo Securities, LLC

1. Jan. 1, 2020 – Jul. 31, 2021. 22

Farm Credit In Your Community
The Farm Credit System - A National Organization with Local Impact

HEALTHCARE CORPORATE GIVING

Partner with programs that improve the GENEROUS donations, DISASTER RELIEF,
MENTAL HEALTH and WELL-BEING VOLUNTEER work and fundraising efforts
of rural residents each year

VETERANS FOOD SYSTEMS

Support HOMEGROWN HEROES and Foster the creation and maintenance of
programs that assist U.S. Veterans LOCAL FOOD BANKS nationwide and
interested in agricultural careers partner with social ventures that BREAK
the CYCLE of hunger and poverty

SCHOLARSHIPS YBS PROGRAM

Champion the NEXT GENERATION of Support the success of YOUNG,
rural community and agriculture BEGINNING and SMALL producers
business LEADERS

PATRONAGE
$ Distributed $2.7bn to 592,000 OWNER BORROWERS
in 2020

Find out more here: Community Engagement | Farm Credit 24

Appendix
Appendix - Support for Agriculture in Challenging Times

Lawmakers continue to demonstrate support for U.S. farmers, ranchers and agribusinesses
 The initial $19 billion Coronavirus Food Assistance Program (CFAP) supported farmers and ranchers during the COVID-19 pandemic
 The Market Facilitation Program (MFP) payments helped mitigate the adverse effects of trade restrictions
 The 2018 Farm Bill enhanced crop insurance coverage and maintained disaster relief and farm support programs

Program Date Amount Details

American Rescue Mar. ’21  $23bn for agriculture- and nutrition-  Includes $6.4bn to strengthen the agricultural and food supply chain,
Plan (under the related provisions purchase and distribute ag. commodities and increase healthcare to
Build Better rural communities
Initiative)  $4bn in debt relief to “socially disadvantaged” farmers and ranchers
Coronavirus Food Jan. ‘21  $13bn allocated to Ag Programs, of which  Direct payments targeting row crop, specialty crop, aquaculture,
Assistance $1.5bn is the Food Box Program dairy and livestock producers
Program (CFAP) Sep. ’20  $14bn in direct payments to farmers  Includes expanded eligibility and top-up payments for certain
producers
Apr. ’20  $16bn in direct payments to farmers  Jan 2021 ad hoc support includes payments livestock contract
 $3bn Food Purchase and Distribution growers and ethanol in addition to other commodities
Program
CARES Act Mar. ’20  $619bn SBA Paycheck Protection Program  Replenishment of the USDA’s Commodity Credit Corporation (CCC)
offers relief to small businesses, including funds through which MFP payments were made in 2018 and 2019
farm operations  Farm Credit institutions have been approved to lend under the
Paycheck Protection Program in 2020 and 2021
 For the first time, the SBA is accepting Economic Injury Disaster Loan
(EIDL) applications to provide relief to U.S. agricultural businesses
Market May ’19  $14.5bn in direct payments to farmers MFPs consisted of:
Facilitation  $1.4bn Food Purchase and Distribution  Direct payments
Program (MFP) Program  The Food Purchase and Distribution Program purchased unexpected
 $100m Ag. Trade Promotion Program surplus of affected commodities
Jul. ’18  $10.6bn in direct payments to farmers  The Agricultural Trade Promotion Program sought to identify and
 $1.2bn Food Purchase and Distribution access new markets for US agricultural products
Program
 $200m Ag. Trade Promotion Program
2018 Farm Bill Dec. ’18  $78bn crop insurance  Maintains a strong crop insurance program with improvements to
 $61bn farm commodity programs Price Loss Coverage and Agricultural Risk Coverage options
 Improves the safety net for dairy producers

26
Appendix - Farm Sector Finances

Net Farm Income

($ billions)
Net Farm Income Less Federal Support Federal Support
 Farmers’ Net Farm Income is
124 121 expected to decline in 2021
114 111
98 11 92
due to lower payments from
10 82 75 81 84 25 government assistance
11 46
10 62
11 12 14 22 programs related to COVID-
103 113 13
86 82 71 75 86 19.
49 64 68 61

2011 2012 2013 2014 2015 2016 2017 2018 2019 2020F 2021F

Debt-to-Asset Ratio
 Debt-to-Asset ratio remains
30% Debt/Assets 30yr Avg.
near the long term average.
20% Expected to increase slightly
in 2021 above the 30-year
10% average.

0%
1970 1973 1976 1979 1982 1985 1988 1991 1994 1997 2000 2003 2006 2009 2012 2015 2018

Working Capital to Gross Revenues Ratio

60%  Working capital, accumulated
in high income years, now
40% being utilized.
20%
0%
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019F 2020F

Source: USDA Economic Research Service - U.S. Farm Income and Wealth Statistics; Feb. 5, 2021.
27
Appendix - Agricultural Trade

U.S. Agriculture Export Destinations

 Approximately 20%1 of the total volume of U.S. ($ billions)
agricultural production is exported. 40 China Canada Mexico Japan EU + UK
 Ag trade balance is expected to increase in 35
2021 driven by record exports.
 Exports to China forecasted at a record high of 30
$35 bn. 25

20

15

10

0
2016 2017 2018 2019 2020 2021F
Ag. Trade Balance
($ billions)

200 Trade Balance Exports Imports

164
150
142
100

50

0
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021F
Source: USDA Outlook for U.S. Agricultural Trade; May 26 2021.
1. U.S. exports 70% of cotton, 70% of tree nuts, 50% of wheat, 50% of rice and 50% of soybeans.
28
Appendix - Commodities

Grain Production and Use

 The COVID-19 pandemic has led to (Metric tons millions)
price volatility in some U.S. Production World Production
commodities. 4,000 U.S. S stocks/usage ratio World stocks/usage ratio 40%

 Grain prices are being supported by

strong export demand. 3,000 30%

2,000 20%

1,000 10%

0 0%

Grain Prices Protein Prices

($ per bushel) (Cattle, Hogs and Milk in $ per cwt; Broilers in cents per lb)

2019/2020 2020/2021F 2021/2022F 2020 2021F 2022F

122.00
119.20
13.70 108.51
93.40
11.05 93.00
69.40 73.20
8.57
6.60 56.00
5.60 43.18
4.58 5.05
3.56 4.40
18.24 18.30 18.50

Corn Soybeans Wheat Cattle Hogs Broilers Milk

Sources: Prices- USDA National Agricultural Statistics Service; Production and Use - USDA World Agricultural Supply and Demand Estimates (Jul. 10, 2021)
29
Appendix - Real Estate

Change in Cropland Value (2020/2021)

 Cropland values vary widely across
the U.S.
 Farm Credit generally uses
benchmarking to evaluate loans
(not sale price).
 Cropland values remained flat
overall (2020 vs. 2021).

Average U.S. Cropland Value

($ per acre)
4,090 4,100 4,040 4,030 4,050 4,100 4,100
3,810
3,350
2,980
2,640 2,700

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

Source: USDA National Agricultural Statistics Service; Aug. 6, 2020.

30
Please visit www.Farmcreditvoices.com to learn more about Farm Credit’s
mission through the many voices of our customers, directors, employees,
and others.
Disclaimer

This overview is provided for general information purposes only. It is not an offer to sell or a
solicitation of an offer to buy any Systemwide Debt Securities. Debt Securities are offered only in
jurisdictions where permissible by offering documents available through our Selling Group.
Systemwide Debt Securities may not be eligible for sale in certain jurisdictions or to certain
persons and may not be suitable for all types of investors. All statements made in this overview
are qualified in their entirety by the information in the most recent Federal Farm Credit Banks
Consolidated Systemwide Bonds and Discount Notes Offering Circular, including the financial and
other Systemwide information incorporated therein, and other offering documents. Copies of
offering documents can be obtained, if permitted by applicable law through Selling Group
members or through the Funding Corporation’s website at www.farmcreditfunding.com.

Any forward-looking statements in this presentation are based on current expectations and are
subject to uncertainty and changes in circumstances. Actual results may differ materially from
expectations due to a number of risks and uncertainties. More information about these risks and
uncertainties is contained in the System’s most recent Annual and Quarterly Information
Statements. The System undertakes no duty to update or revise any forward-looking statements,
whether as a result of new information, future events or otherwise.