in a national farm-loan association and by the association in the Federal land bank must be retired when the loan in connection with which such stock was issued is paid. If the association is able to meet currently its obligations to the bank the proceeds of the bank stock owned by the association are paid to the association and unless prevented by the existence of other debts, the association pays the proceeds of its stock to the shareholder. On the other hand, if the association is not able to meet its obligations to the bank currently the proceeds of the retired bank stock are withheld for application to indebtedness of the association to the bank. In such a case, or in case the association is unable to meet its obligations to creditors other than the Federal land bank, the shareholder whose stock in the association is being retired may not receive any payment in connection therewith unless and until such obligations are paid or adequate provision is made for paying them. On December 31, 1939, as denoted by the footnote to the above table, association stock owned by borrowers in the par amount of $4,095,600 had been retired but the owners thereof had not received the proceeds. Stock owned by direct borrowers and others represents stock issued to borrowers who obtained loans in territories where national farm loan associations were not operating. Such borrowers pay one-half of 1 percent more than the borrowers through national farm-loan associations and are entitled to dividends if any are declared by the bank. About 20 percent of national farm loan association stock issued to borrowers has now become disassociated from the ownership of the farms securing the loans by reason of sales or other transfers of the properties to new owners who have not become members of the associations. The result is that in many cases persons operating farms subject to loans made through national farm-loan associations and making payments on the loans are not members of the associations and the holders of the stock issued in connection with these loans are not occupying the farms or making the payments on the loans. Federal Farm Mortgage Corporation bonds outstanding as of Mar. 31, 1940 Issue: 3 percent, due Jan. 15, 1942–47. 24 percent, due Mar. 1, 1942–47. 34 percent, due Mar. 15, 1944–64. 3 percent, due May 15, 1944–49. Total.... Par amount $236, 476, 200 103, 147, 500 94, 678, 600 835, 085, 600 1, 269, 387, 900 Holders of all consolidated Federal farm loan bonds outstanding as of Mar. 31, 1940, classified as to year in which bond first becomes callable Issue 4 percent, 1943-63 (July 1)... 4 percent, 1944-46 (July 1) 312 percent, 1945-65 (Mar. 15) Grand total callable in above 4 years. 26, 218, 750 74, 981, 250 761, 129, 840 21, 719,900 876, 575, 500 1,760, 625, 240 3 percent, 1946-56 (Jan. 1). 3 percent, 1946-56 (May 1) Total callable in 1946.. Farm Credit Administration, Division of Finance and Accounts. Federal land banks CONSOLIDATED BONDS OUTSTANDING AND ON HAND, BY ISSUES, AS OF MAR. 31, 1940 Total.. Rate... 3 percent 34 per 860, 500 59, 170, 000 54, 557, 400 426, 616, 440 130, 419, 000 147, 800, 000 55, 610, 90 5, 704, 600 39, 045, 900 3 percent 3 percent 3 percent Jan. 1 1946-56 5, 000, 000 16, 000, 000 13, 300, 000 5,375,000 2, 000, 000 237, 800 1,810, 900 3, 399, 800 146, 500 2,066, 600 981, 300 119, 200 Total Total. 73, 824, 600 159, 607, 700 235, 522, 700 180, 759, 300 191, 986, 700 1,760,625,240 21, 719, 900 1,738,905,340 AMOUNT OF CONSOLIDATED BONDS ON HAND, BY ISSUES, AS OF MAR. 31, 1940 Condition of Federal land-bank loans outstanding Mar. 31, 1940-Continued Federal land banks and Federal Farm Mortgage Corporation, real-estate acquirements, Jan. 1, 1933, through Mar. 31, 1940 1 In order to avoid duplication properties acquired by voluntary deed from the Federal Farm Mortgage Corporation have been excluded (partially estimated). |