UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 OR 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): June 26, 2002
Federal Agricultural Mortgage Corporation
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(Exact name of registrant as specified in its charter)
Federally chartered
instrumentality of
the United States 0-17440 52-1578738
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(State or other jurisdiction of (Commission (I.R.S. Employer
incorporation or organization) File Number) Identification No.)
1133 Twenty-First Street, N.W., Suite 600, Washington, D.C. 20036
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (202) 872-7700
No change
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(Former name or former address, if changed since last report)
Item 7. Financial Statements and Exhibits.
(a) Not applicable.
(b) Not applicable.
(c) Exhibits:
99 Letter from United States Senate Committee on Agriculture,
Nutrition, and Forestry to the Comptroller General of the
United States dated June 26, 2002
Item 9. Regulation FD Disclosure.
In a letter dated June 26, 2002, the United States Senate Committee on
Agriculture, Nutrition, and Forestry requested that the U. S. General Accounting
Office assist the Committee in its continued oversight of the Registrant to
ensure that the Registrant's "mission continues to be met in a financially sound
manner." The letter is filed as Exhibit 99 hereto and incorporated herein by
reference.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
FEDERAL AGRICULTURAL MORTGAGE CORPORATION
By: /s/ Jerome G. Oslick
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Name: Jerome G. Oslick
Title: Vice President - General Counsel
Dated: June 26, 2002
EXHIBIT INDEX
Exhibit No. Description Page No.
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99 Letter from United States Senate Committee on 5
Agriculture, Nutrition, and Forestry to the
Comptroller General of the United States
dated June 26, 2002
United States Senate
Committee on
Agriculture, Nutrition, and Forestry
Washington, DC 20510-6000
202-224-2035
TTY/TDD 202-224-2587
June 26, 2002
The Honorable David Walker
Comptroller General of the United States
U.S. General Accounting Office
441 G Street, NW
Washington, DC 20548
Dear Mr. Walker:
We are requesting that you assist our Committee in its continued oversight of
the Federal Agricultural Mortgage Corporation (Farmer Mac). This government
sponsored enterprise was chartered by Congress to provide increased credit to
the agricultural sector of the economy. In seeking your assistance we want to
ensure that Farmer Mac's mission continues to be met in a financially sound
manner.
Farmer Mac has undergone substantial public attention in recent months. Specific
criticisms include the independence of Farmer Mac's Board Members,
over-compensation of executives, insider control of stock, inadequate capital
and reserves and questionable investment practices.
While some of these questions can be addressed by Farmer Mac and its regulator,
the Farm Credit Administration, we believe that an independent analysis of these
concerns is justified due to the seriousness of the issues and the potential for
statutory conflicts. The recent release of corporate governance standards by
both private and government entities makes this evaluation a timely one for your
consideration.
Specifically, the Committee requests that the GAO investigation address: (1) the
financial stability of Farmer Mac; (2) its corporate governance; (3) its
compensation policy, including the granting of stock options; (4) its investment
practices and strategy; (5) the non-voting status of its Class C stock; and (6)
its fulfillment of its Congressionally-established mission. We ask that this
report provide potential legislative or regulatory recommendations to address
any shortcomings found in these areas.
Thank you for your consideration of this request. Please contact Doug O'Brien of
the Committee staff (224-2035) if you have any questions.
Sincerely,
Tom Harkin Richard G. Lugar
Chairman Ranking Member