FCA Info Memo - Annual Adjustment of the 2002 Annual Report Disclosure Threshold for 2001 CEO Compensation

Informational Memorandum
Subject:	Annual Adjustment of the 2002 Annual Report Disclosure Threshold for 2001 CEO Compensation
Date of Memorandum:	01/29/2002
Expiration Date:
Office:	OPA
Signed By:	Dunn, Michael
FCA Contact Person:	Dunn, William
Contact Phone:	703-883-4489
List of Attachments:

INFORMATIONAL MEMORANDUM

January 29, 2002

To: Chairman, Board of Directors

Chief Executive Officer

All Farm Credit Banks and Associations

From: Michael V. Dunn, Director

Office of Policy and Analysis

Subject: Annual Adjustment of the 2002 Annual Report Disclosure Threshold for 2001 CEO Compensation

Farm Credit Administration regulation at § 620.5(i)(2)(i)(A) establishes the threshold for determining when CEO compensation must be disclosed in the annual report. The threshold is adjusted annually to reflect changes in the Consumer Price Index (CPI). The 2001 threshold is determined by the increase in the average CPI over the prior year:

2001 threshold = 2000 threshold * (Average 2001 CPI/ Average 2000 CPI)

1. Average 2001 CPI1

= 177.1

2. Average 2000 COI = 172.2

3. 2001 Threshold = $174,292 * (177.1/172.2)

The threshold for disclosure of fiscal year 2001 CEO compensation in annual reports released in 2002 is $179,252

If you have any questions regarding the annual adjustment process, please call William Dunn, Risk Analysis Division, (703) 883-4489.

___________________

Based on the annual average Cnsumer Price Index for all Urban Consumers (CPI-U), U.S. City Average, All Items, 1982-84 = 100. Unadjusted series CUUR0000SAO, U.S. Bureau of Labor Statistics.

22000 CEO compensation disclosure threshold of $174,292 * 1.028456, rounded to the nearest whole dollar. This is an increase of $4,960 or 2.84555 percent.