12 U.S.C. § 635k : US Code - Section 635K: Apportionment of losses incurred on loans, guarantees, and insurance; reimbursement; contingent obligations

Search 12 U.S.C. § 635k : US Code - Section 635K: Apportionment of losses incurred on loans, guarantees, and insurance; reimbursement; contingent obligations

In the event of any losses, as determined by the Board of
Directors of the Bank, incurred on loans, guarantees, and insurance
extended under this subchapter, the first $100,000,000 of such
losses shall be borne by the Bank; the second $100,000,000 of such
losses shall be borne by the Secretary of the Treasury; and any
losses in excess thereof shall be borne by the Bank. Reimbursement
of the Bank by the Secretary of the Treasury of the amount of
losses which are to be borne by the Secretary of the Treasury as
aforesaid shall be from funds made available pursuant to section
635l of this title. All guarantees and insurance issued by the Bank
shall be considered contingent obligations backed by the full faith
and credit of the Government of the United States of America.