Page 49 - WHEDA Annual Report 2014

WHEDA finAnciAlS fy2014
June 30, 2014 and 2013 (Millions of Dollars)
StAtEMEntS of nEt poSition
Cash and cash equivalents
Mortgage loans and interest receivable Mortgage-backed security investments and interest receivable
Investments and interest receivable Security lending cash collateral
Other assets
TOTAL ASSETS
Deferred Outflow of Resources1
Accrued interest payable Bonds and notes payable Interest Rate Swap Agreements Security lending liability
Other liabilities
TOTAL LIABILITIES
Net investment in capital assets Restricted by bond resolutions Restricted by contractual agreements Unrestricted
ToTAL nET PoSITIon
1 – Derivative instruments relating interest Rate Swap Agreements Schedule may not foot due to rounding
Total assets of the Authority as of June 30, 2014 were $2.2 billion which represents a decline of 12.2% from the prior year. The Authority’s mortgage loan portfolio continued to contract as a result of continued loan prepayments in both the Single Family and Multifamily programs. In addition, all new Single Family loans are sold upon closing which generates front-end revenue, but does not increase the Authority’s loan portfolio.
Mortgage loans and interest receivable of $1.5 billion decreased 11.0% and mortgage backed security investments decreased by $4.3 million or 4.4% to $94.0 million because although the rate of loan prepayments was down in fiscal 2014 when compared to the last several years, it is still unusually high. In addition, Multifamily loan originations decreased by $47.9 million, which when combined with the fact that all Single Family loans originated during the year were sold resulted in the Authority’s loan portfolio contracting by 11.0%. Liabilities decreased by $332.4 million to $1.6 billion. The largest reduction was in the bonds and notes payable category and was the result of early calls of high rate variable debt made possible by the cash flow generated from loan
INCREASE/(DECREASE)
2014
390.2 1,529.7
94.0 112.6 3.5 21.3
2,151.3
52.2
13.8 1,393.1
52.2 5.0 112.3
1,576.4
7.2 419.1
193.4 7.4
627.1
2013
AMOUNT
(69.0) (190.0)
(4.3) (29.4)
0.1 (6.0)
%
(15.0) (11.0)
(4.4) (20.7)
2.9 (22.0)
(12.2)
(23.6)
(23.3) (18.4) (23.6) (2.0)
2.6
17.4
16.1 2.5 0.2 469.2
2.9
459.2 1,719.7
98.3 142.0 3.4 27.3
2,449.9
68.3
18.0 1,707.9 68.3
5.1 109.5
1,908.8
6.2 408.9 193.0 1.3
609.4
(298.6)
(16.1)
(4.2) (314.8)
(16.1) (0.1) 2.8
332.4
1.0 10.2 0.4
6.1
17.7
prepayments and scheduled redemptions.
Overall, net position, increased $17.7 million during fiscal year 2014. Net income of $28.9 million was partially offset by an $11.2 million restatement of net position to account for the implementation of GASB 65. The various lending programs and investments within the Authority’s business segments generated the change in net position prior to the restatement. The business segment contributions for fiscal year 2014 are as follows: $14.7 million in Single Family bond resolutions, $7.6 million in Multifamily Housing Revenue bond resolutions, $6.8 million in the General Fund (including subsidiary change in net assets) and ($200,000) in State of Wisconsin Programs.
As of June 30, 2014, the Authority’s long-term issuer credit rating (ICR) and bond resolution ratings were unchanged. The Authority has an Issuer’s Credit Rating (ICR) from Moody’s Investors Services (Moody’s) of Aa3 and from Standard and Poor’s (S&P) of AA-. All individual bond resolutions have credit ratings equal to or better than the Authority’s ICR.
WHEDA AnnuAl REpoRt 2014
49