MORTGAGE PURCHASE PROGRAM ANNUAL REPORT. For the Period Ending December 31, 2011

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1 MORTGAGE PURCHASE PROGRAM ANNUAL REPORT For the Period Ending December 31, 211 The following financial information is submitted by Maine State Housing Authority ( MaineHousing ) pursuant to the Amended and Restated Master Continuing Disclosure Agreement, dated April 1, 212, by and between MaineHousing and U.S. Bank National Association (successor to State Street Bank and Trust Company), as trustee.

2 Summary of Statements of Revenues, Expenses, and Changes in Net Assets The following table represents annual revenues, expenses, and changes in net assets for the General Resolution audited from December 31, 27 through December 31, 211. Revenues, Expenses, and Changes in Net Assets (IN THOUSANDS OF DOLLARS) For the Year Ended December 31, Operating Revenues : Interest from mortgages and notes $ 68,885 $ 69,548 $ 67,875 $ 66,459 $ 64,337 Income from investments 5,418 5,592 1,383 17,744 34,698 Net increase (decrease) in the fair market value of investments 67 6 (3,432) 635 3,595 Fee income Other revenues Total Revenues $ 75,29 $ 76,244 $ 75,93 $ 85,831 $ 13,953 Operating Expenses : Operating expenses $ 2,721 $ 2,455 $ 2,391 $ 1,765 $ 1,99 Mortgage servicing fees 1,974 1,919 1,788 1,817 1,735 Provision for losses on loans 1,2 1, 1, 1,5 Losses on foreclosed real estate Interest expense 6,6 6,71 65,576 65,919 69,591 Loss on bond redemption 465 1, Excess arbitrage to be rebated (944) (858) (1,41) 588 4,83 Allocated operating costs 7,612 7,248 7,427 7,183 7,49 Total Expenses $ 73,243 $ 73,441 $ 77,737 $ 79,263 $ 84,793 Operating income (expense) $ 1,966 $ 2,83 $ (1,87) $ 6,568 $ 19,16 Transfers between funds , Change in net assets $ 1,966 $ 2,83 $ (1,84) $ 8,127 $ 2,31 Net assets at beginning of year 248,6 245,23 247,7 238,88 218,849 Net assets at end of period $ 249,972 $ 248,6 $ 245,23 $ 247,7 $ 238,88

3 Defaults and Delinquencies of Single-Family Mortgages At December 31, 211, MaineHousing s single-family Mortgage portfolio under the General Resolution consisted of 12,121 Mortgages with an approximate aggregate principal balance of $974,293,. The following tables show, as of December 31, 211, certain information with regard to delinquencies and foreclosures on single-family Mortgage Loans held under the General Resolution. Delinquency by Mortgage Type Mortgage Purchase Program December 31, Payments Past Due 3 Payments or More Past Due Type No. of Mortgages Approximate Outstanding Principal Amount % of Portfolio No. of Mortgages Approximate Outstanding Principal Amount % of Portfolio VA Guaranteed 12 $ 971,47.1% 27 $ 2,281,8.23% FHA Insured 6 4,184, ,39, RD Guaranteed 93 8,466, ,258, Privately Insured 3 2,29, ,859,782.5 Non-insured 38 1,865, ,139, Totals 233 $ 17,778,7 1.82% 471 $4,848, % Excludes Mortgages in foreclosure or assignment. In Foreclosure or Assignment Type No. of Mortgages Approximate Outstanding Principal Amount % of Portfolio VA Guaranteed 31 $ 2,587,525.27% FHA Insured 85 7,92, RD Guaranteed ,69, Privately Insured 47 4,155, Non-insured 42 2,416, Totals 362 $ 31,751, % Delinquencies on Multi-Family Mortgages As of December 31, 211, there were 14 multi-family Mortgage Loans held under the General Resolution in the aggregate principal amount of $4,714,5 more than ninety days delinquent.

4 APPENDIX C MULTI-FAMILY MORTGAGE PORTFOLIO Appendix C as of December 31, 211 Mortgage Purchase Program - Multifamily Portfolio Location Mortgagor Name Total # Units/ Bedrms Property Usage Orig Date Mortgage Amount Unamortized Balance 12/31/11 Series Term/ Months Rate/% Hap Exp Date I. Section 8 : ADDISON RIVER BEND APARTMENTS 12 ELDERLY 12/19/8 397, , B /8/2 ADDISON RIVER BEND APARTMENTS 12 ELDERLY 2/28/ 34,869 31,91 BP SURPLUS /8/2 ADDISON RIVER BEND APARTMENTS 12 ELDERLY 2/28/ 75,6 69,235 BP SURPLUS /8/2 ADDISON RIVER BEND APARTMENTS 12 ELDERLY 2/28/ 73,847 47,822 BP SURPLUS /8/2 AUBURN AUBURN COMMONS 24 FAMILY 1/17/83 951, , C /16/13 AUBURN AUBURN ESPLANADE 1 ELDERLY 12/11/91 3,767,884 2,387, C /28/3 AUBURN ROAK BLOCK 74 ELDERLY 1/11/1 2,918,38 2,3, B /12/21 AUBURN ROAK BLOCK 74 ELDERLY 1/11/1 243,98 224,22 BP SURPLUS /12/21 AUGUSTA GREENTREE APARTMENTS 83 FAM/ELD 8/24/9 844,98 844, C /31/14 AUGUSTA GREENTREE APARTMENTS 83 FAM/ELD 8/24/9 1,255,3 1,234, I 2/ /31/14 AUGUSTA GREENTREE APARTMENTS 83 FAM/ELD 8/24/9 298,88 298,88 26-I 2/ /31/14 AUGUSTA GREENTREE APARTMENTS 83 FAM/ELD 8/24/9 2,235,6 2,235,6 26-I 2/3 36 7/31/14 AUGUSTA GREENTREE APARTMENTS 83 FAM/ELD 8/26/9 863,7 962, I 2/ /31/14 AUGUSTA KENNEBEC PLAZA 67 ELDERLY 12/4/9 2,378,893 2,365, C /15/3 AUGUSTA KENNEBEC PLAZA 67 ELDERLY 12/4/9 337, , D /15/3 AUGUSTA KENNEBEC PLAZA 67 ELDERLY 12/4/9 1,651,96 1,624,15 21-D /15/3 AUGUSTA ORCHARD HILL APARTMENTS 36 FAMILY 12/18/98 1,242, ,1 28-E /11/19 AUGUSTA ORCHARD HILL APARTMENTS 36 FAMILY 12/18/98 633, , E /11/19 AUGUSTA SUMMER ST RESIDENCE 8 ELDERLY 3/22/82 183,598 7, C /23/12 AUGUSTA SUMMER ST RESIDENCE 8 ELDERLY 3/22/82 23,646 23, C1 36 3/23/12 BAILEYVILLE WOODLAND MANOR 24 ELDERLY 8/1/8 445, , C /1/13 BAILEYVILLE WOODLAND MANOR 24 ELDERLY 8/21/8 2, 196,674 BP SURPLUS /1/13 BANGOR AUTUMN PARK WEST 5 ELDERLY 1/24/1 5,1 423, C /31/12 BANGOR AUTUMN PARK WEST 5 ELDERLY 1/24/1 876, , B /31/12 BANGOR BANGOR HOUSE 12 ELDERLY 12/1/9 2,485,281 2,458,71 28-E /31/19 BANGOR BANGOR HOUSE 12 ELDERLY 12/9/9 3,132,572 3,99,68 BP SURPLUS /31/19 BANGOR CRESTWOOD PLACE 24 ELDERLY 12/11/95 684, , C /23/13 BANGOR CRESTWOOD PLACE 24 ELDERLY 12/11/95 18,496 13,85 25-A /23/13 BANGOR CRESTWOOD PLACE 24 ELDERLY 4/29/4 7, 11,873 BP SURPLUS /23/13 BANGOR CRESTWOOD PLACE 24 ELDERLY 4/29/4 7, 7, 211-C1 36 2/23/13 BANGOR KENDUSKEAG TERRACE 4 ELDERLY 3/31/79 1,44, , E /11/19 BANGOR SUNSET MEADOWS 4 FAMILY 7/1/1 478,39 472, C /17/13 BANGOR SUNSET MEADOWS 4 FAMILY 7/14/1 95, 943,949 BP SURPLUS /17/13 BANGOR THREE HUDSON ST 6 ELDERLY 3/19/84 135,36 24, C /18/14 BANGOR THREE HUDSON ST 6 ELDERLY 11/9/9 4, 23, E /18/14 BANGOR THREE HUDSON ST 6 ELDERLY 3/19/84 21,85 21, C1 36 3/18/14 BATH SEACLIFF & FAMILY 5 FAM/ELD 11/18/82 2,137,34 85, C /3/12 C-1

5 Location Mortgagor Name Total # Units/ Bedrms Property Usage Orig Date Mortgage Amount Unamortized Balance 12/31/11 Series Term/ Months Rate/% Hap Exp Date BATH SEACLIFF & FAMILY 5 FAM/ELD 11/18/82 272, , C1 36 9/3/12 BELFAST BAYVIEW APARTMENTS 24 FAMILY 9/22/78 92, ,27 28-E /27/19 BELFAST THE AMBASSADOR 24 ELDERLY 12/1/5 591,47 574, E /14/19 BELFAST THE AMBASSADOR 24 ELDERLY 12/1/5 39,556 34, G /14/19 BETHEL BETHEL HOUSE 2 ELDERLY 12/29/82 721,722 97, C /28/12 BIDDEFORD AVIGNON APARTMENTS 8 FAMILY 3/26/99 266,96 162, D /17/2 BIDDEFORD AVIGNON APARTMENTS 8 FAMILY 3/26/99 142, , D /17/2 BIDDEFORD FOREST GREEN 4 FAMILY 4/29/1 275, 283,25 21-D /2/15 BIDDEFORD FOREST GREEN 4 FAMILY 4/29/1 2,98, 2,98, 21-D /2/15 BIDDEFORD PIERSON LANE 68 FAMILY 5/19/3 4,, 3,748, A /26/23 BIDDEFORD PRESIDENTIAL APARTMENTS 45 ELDERLY 4/1/6 1,25,655 1,177, B /5/2 BIDDEFORD PRESIDENTIAL APARTMENTS 45 ELDERLY 4/1/6 533,214 52, E /5/2 BIDDEFORD PRESIDENTIAL APARTMENTS 45 ELDERLY 5/1/6 397,82 388, E /5/2 BIDDEFORD PROSPECT MANOR 5 ELDERLY 4/1/6 851, , E /3/17 BIDDEFORD PROSPECT MANOR 5 ELDERLY 4/1/6 94,47 91,422 25B /3/17 BIDDEFORD PROSPECT MANOR 5 ELDERLY 4/1/6 961, ,695 25B /3/17 BIDDEFORD SUMMER BLOCK 32 FAM/ELD 4/1/6 797,8 779, E /1/2 BIDDEFORD SUMMER BLOCK 32 FAM/ELD 5/1/6 33, , E /1/2 BIDDEFORD SUMMER BLOCK 32 FAM/ELD 4/1/6 249, , E /1/2 BRUNSWICK OLD GURNET HOUSING 24 FAMILY 12/1/8 86, , B /27/2 BRUNSWICK OLD GURNET HOUSING 24 FAMILY 8/25/99 42, 368, E /27/2 CALAIS GARFIELD ST APARTMENTS 2 FAMILY 6/1/6 34,714 33,31 28-E /26/13 CALAIS GARFIELD ST APARTMENTS 2 FAMILY 6/1/6 79,741 77, E /26/13 CARIBOU LYNDON HEIGHTS 37 ELDERLY 12/3/81 1,344,436 12, B /1/31 CARIBOU MILL PARK 2 FAMILY 1/1/6 578, , B /31/2 DIXFIELD DIXFIELD VILLAGE APARTMENTS 24 FAMILY 12/18/1 848, ,9 211-B /2/21 DIXFIELD DIXFIELD VILLAGE APARTMENTS 24 FAMILY 12/18/1 93,942 62,318 BP SURPLUS /2/21 DIXFIELD DIXFIELD VILLAGE APARTMENTS 24 FAMILY 12/18/1 227,482 26,696 BP SURPLUS /2/21 EASTPORT BOYNTON MANOR 22 ELDERLY 12/1/5 288, , D /1/19 EASTPORT BOYNTON MANOR 22 ELDERLY 12/1/5 514, , E /1/19 FAIRFIELD FAIRFIELD FAMILY APARTMENTS 16 FAMILY 12/22/92 72,283 56, G /8/17 FALMOUTH BLACKSTONE I 12 ELDERLY 6/4/76 357,148 4, E /4/13 FALMOUTH BLACKSTONE II 8 ELDERLY 1/4/77 25, 77, E /2/17 FARMINGTON M.C. SMITH/SHERWOOD 25 FAM/ELD 12/22/92 672, , D /31/12 FORT FAIRFIELD FIELDS LANE 16 ELDERLY 6/17/77 423, , E /15/17 FORT FAIRFIELD NORTHERN HOUSE 24 ELDERLY 11/23/5 893,99 829, B /17/31 FORT KENT BROOKSIDE PARK 24 FAMILY 5/1/6 727, , C /3/31 FORT KENT BROOKSIDE PARK 24 FAMILY 5/1/6 473, , G /3/31 FORT KENT PLEASANT HEIGHTS 16 ELDERLY 12/1/5 216, , G /3/18 FORT KENT PLEASANT HEIGHTS 16 ELDERLY 12/1/5 29, ,6 28-E /3/18 HALLOWELL COTTON MILL APARTMENTS 57 ELDERLY 2/11/1 2,644,31 2,618,621 BP SURPLUS /9/3 HOULTON KELLERAN COURT 2 FAMILY 1/21/83 816, , C /2/13 HOULTON RICKER PLAZA 41 ELDERLY 1/27/83 1,62, , C /26/13 HOWLAND BUCK APARTMENTS 12 FAM/ELD 6/1/77 31,99 124,59 28-E /31/17 KITTERY FOXWELL AT KITTERY 5 ELDERLY 3/27/6 1,1, , E /28/19 KITTERY FOXWELL AT KITTERY 5 ELDERLY 3/27/6 75, 726, G /28/19 LEWISTON OAK PARK APARTMENTS 91 ELDERLY 6/3/94 846, , G /31/19 C-2

6 Location Mortgagor Name Total # Units/ Bedrms Property Usage Orig Date Mortgage Amount Unamortized Balance 12/31/11 Series Term/ Months Rate/% Hap Exp Date LEWISTON OAK PARK APARTMENTS 91 ELDERLY 6/3/94 2,44,344 1,22, E /31/19 LEWISTON PLACE STE MARIE 4 FAMILY 1/16/2 1,24,64 835, E /6/2 LEWISTON PLACE STE MARIE 4 FAMILY 8/1/3 851, ,414 BP SURPLUS /6/2 LINCOLN LINCOLN MANOR 16 ELDERLY 7/1/7 239, , E /6/29 LINCOLN LINCOLN MANOR 16 ELDERLY 7/1/7 11,395 1, E /6/29 LINCOLN LINCOLN MANOR 16 ELDERLY 7/23/7 262,26 256,157 BP SURPLUS /6/29 LINCOLN LINCOLN MANOR 16 ELDERLY 7/1/7 86,391 84, E /6/29 LINCOLN LINCOLN MANOR WEST 16 ELDERLY 4/1/6 45, , B /24/2 LINCOLN LINCOLN MANOR WEST 16 ELDERLY 4/1/6 113,24 11, E /24/2 LINCOLN LINCOLN MANOR WEST 16 ELDERLY 4/1/6 271, , E /24/2 LUBEC BAYVIEW PARK 21 ELDERLY 1/13/78 672,877 33,43 28-E /25/19 MACHIAS RIVERSIDE APARTMENTS 16 ELDERLY 12/19/ 456, , F /3/15 MACHIAS SUNRISE VILLAGE APARTMENTS 24 FAMILY 2/18/83 1,16, , C /17/13 MACHIAS SUNRISE VILLAGE APARTMENTS 24 FAMILY 12/13/4 1,47, 2,84,641 BP SURPLUS /17/13 MACHIAS SUNRISE VILLAGE APARTMENTS 24 FAMILY 12/13/4 63, 63, 211-C /17/13 MADISON ONE MADISON AVE 27 ELDERLY 1/31/83 1,35,19 159,3 211-C /3/13 MARS HILL HILLSIDE MANOR 2 ELDERLY 4/1/6 432, , E /7/19 MARS HILL HILLSIDE MANOR 2 ELDERLY 4/1/6 27,257 22, E /7/19 MARS HILL HILLSIDE MANOR 2 ELDERLY 4/1/6 142, , E /7/19 MARS HILL MOUNTAIN VIEW APARTMENTS 1 FAMILY 4/1/6 18, , E /22/29 MARS HILL MOUNTAIN VIEW APARTMENTS 1 FAMILY 4/1/6 123,449 12, E /22/29 MILLINOCKET MAINE AVE MANOR 22 ELDERLY 11/19/4 8,15 8, C /19/12 MILLINOCKET MAINE AVE MANOR 22 ELDERLY 11/19/4 8,15 113,971 BP SURPLUS /19/12 MILLINOCKET MAINE AVE MANOR 22 ELDERLY 9/1/8 551, , C /19/12 MILO MILO HEIGHTS 3 FAM/ELD 9/17/81 1,63,622 8, C /15/31 NEWPORT NEWPORT INN 26 ELDERLY 11/23/5 1,5, 935,5 211-B /2/31 NORWAY RASPBERRY KNOLL 8 FAMILY 6/9/99 218,779 15, E /15/17 NORWAY RASPBERRY KNOLL 8 FAMILY 6/9/99 17,518 92,78 BP SURPLUS /15/17 NORWAY RASPBERRY KNOLL 8 FAMILY 6/9/99 3,32 14,659 BP SURPLUS /15/17 OLD ORCHARD BCH CENTENNIAL PLAZA 28 ELDERLY 7/19/83 1,287,64 228, C /18/13 OLD ORCHARD BCH PINE BROOK TERRACE 3 FAMILY 8/1/6 647,9 639, D /12/2 OLD ORCHARD BCH PINE BROOK TERRACE 3 FAMILY 8/1/6 979, , B /12/2 OLD ORCHARD BCH PLEASANTWOOD EST I 1 ELDERLY 8/6/9 26, 25, E /31/14 OLD ORCHARD BCH PLEASANTWOOD EST II 1 ELDERLY 8/1/9 278, 267, E /3/17 OLD ORCHARD BCH PLEASANTWOOD EST III 16 ELDERLY 8/1/9 471,61 454, B /3/2 OLD TOWN PENOBSCOT RIVER HSE 8 ELDERLY 1/29/2 2,37,652 1,793,533 25B /1/22 OLD TOWN PENOBSCOT RIVER HSE 8 ELDERLY 1/29/2 748, ,859 25B /1/22 ORONO HASBROUCK COURT 3 ELDERLY 6/1/6 59, , E /25/18 PATTEN HATHAWAY APARTMENTS 11 ELDERLY 9/16/77 273,152 36,16 28-E /5/14 PITTSFIELD PITTSFIELD GARDENS 15 FAM/ELD 12/22/92 38,66 295, D /31/12 PORTLAND CUMBERLAND PARK PL 43 ELDERLY 11/15/83 1,897, , C /9/13 PORTLAND NORTHFIELD GREEN 2 ELDERLY 12/1/8 5,595,29 5,492, E /28/12 PORTLAND NORTHFIELD GREEN 2 ELDERLY 12/1/8 9,195,688 9,195,688 BP SURPLUS /28/12 PORTLAND PARKSIDE COURT 5 FAMILY 3/17/83 244,67 35, C /15/13 PRESQUE ISLE ACADEMY PARK 3 ELDERLY 12/1/5 846, , D /5/2 PRESQUE ISLE ACADEMY PARK 3 ELDERLY 12/1/5 328, , G /5/2 RICHMOND RICHMOND SR CITIZENS 12 ELDERLY 12/22/92 562, , G /14/17 C-3

7 Location Mortgagor Name Total # Units/ Bedrms Property Usage Orig Date Mortgage Amount Unamortized Balance 12/31/11 Series Term/ Months Rate/% Hap Exp Date RICHMOND RICHMOND TERRACE 26 ELDERLY 12/1/99 767,312 8, B /3/11 RICHMOND RICHMOND TERRACE 26 ELDERLY 12/1/99 38,89 262,241 BP SURPLUS /3/11 ROCKLAND BROADWAY NORTH 8 ELDERLY 1/6/11 139, 131,364 BP SURPLUS /6/31 ROCKLAND COUGHLIN PARK 3 FAMILY 12/15/78 1,137, , E /23/19 ROCKLAND KNOX ST APARTMENTS 19 FAMILY 1/28/8 679,21 46, B /27/2 ROCKLAND RANKIN CENTER 5 ELDERLY 11/1/6 1,914,845 1,878,825 23F /18/2 ROCKLAND RANKIN CENTER 5 ELDERLY 11/21/6 425, 413,48 26-I /18/2 SACO LEDGEWOOD NORTH 24 FAMILY 12/29/94 95,7 161, C /19/13 SACO LEDGEWOOD NORTH 24 FAMILY 12/29/94 24, , D /19/13 SACO LEDGEWOOD TERRACE 3 FAMILY 8/1/6 998, , B /9/2 SACO LEDGEWOOD TERRACE 3 FAMILY 8/1/6 541,6 534, D /9/2 SACO LINCOLN ST APARTMENTS 21 FAMILY 3/12/3 1,335, 1,248, A /13/23 SACO LORD PEPPERELL 66 ELDERLY 4/24/8 2,429,388 1,281, E /2/2 SACO LORD PEPPERELL 66 ELDERLY 6/19/ 25, 156,64 21-F /2/2 SACO PLEASANT ST APARTMENTS 45 FAM/ELD 5/1/7 61, , D /6/12 SACO PLEASANT ST APARTMENTS 45 FAM/ELD 5/1/7 52,936 5, E /6/12 SACO PLEASANT ST APARTMENTS 45 FAM/ELD 5/1/7 158, , E /6/12 SACO PLEASANT ST APARTMENTS 45 FAM/ELD 8/15/98 48,117 48, E /6/12 SACO PLEASANT ST APARTMENTS 45 FAM/ELD 5/15/7 525, 497,777 BP SURPLUS /6/12 SCARBOROUGH VILLAGE AT OAK HILL 38 ELDERLY 7/22/81 1,282,285 12, B /1/31 SKOWHEGAN WEST FRONT RESIDENCE 3 FAMILY 3/31/94 1,121, , D /4/12 SKOWHEGAN WEST FRONT RESIDENCE 3 FAMILY 3/31/94 64, , D /4/12 SOUTH PARIS PARKVIEW APARTMENTS 1 ELDERLY 6/9/99 176,134 45, E /13/14 SOUTH PARIS PARKVIEW APARTMENTS 1 ELDERLY 6/9/99 54,118 44,284 BP SURPLUS /13/14 SOUTH PARIS PARKVIEW APARTMENTS 1 ELDERLY 6/9/99 95, 24,749 BP SURPLUS /13/14 SOUTH PARIS STRAWBERRY BLUFF 8 FAMILY 6/9/99 218,22 14, E /16/17 SOUTH PARIS STRAWBERRY BLUFF 8 FAMILY 6/9/99 148, ,88 BP SURPLUS /16/17 SOUTH PARIS STRAWBERRY BLUFF 8 FAMILY 6/9/99 15,738 7,541 BP SURPLUS /16/17 ST AGATHA MONTFORT HEIGHTS 2 ELDERLY 12/2/82 767,41 95, C /19/12 STONINGTON STONINGTON MANOR 24 FAM/ELD 1/17/5 1,, 925, B /22/12 THOMASTON KNOX HOTEL 29 ELDERLY 11/1/11 125, 125, 21-D /23/2 THOMASTON KNOX HOTEL 29 ELDERLY 11/1/11 1,77,215 1,77, D /23/2 THOMASTON KNOX HOTEL 29 ELDERLY 11/1/11 636, , D /23/2 WALDOBORO SPROUL BLOCK APARTMENTS 36 ELDERLY 6/1/1 435,951 43, C /13/13 WALDOBORO SPROUL BLOCK APARTMENTS 36 ELDERLY 6/7/1 358, ,611 BP SURPLUS /13/13 WATERVILLE DURBIN APARTMENTS 28 ELDERLY 6/4/4 364, 324,662 BP SURPLUS /29/2 WATERVILLE DURBIN APARTMENTS 28 ELDERLY 6/4/4 716, ,19 28-E /29/2 WESTBROOK LONGFELLOW PLACE 9 ELDERLY 4/1/6 1,98,194 1,924, E /31/19 WESTBROOK LONGFELLOW PLACE 9 ELDERLY 4/1/6 1,664,354 1,617,893 25B /31/19 WESTBROOK SCHOOLHOUSE COMMONS 8 FAMILY 12/18/98 175,175 36, E /2/14 WESTBROOK SCHOOLHOUSE COMMONS 8 FAMILY 12/18/98 13,731 84, E /2/14 WINSLOW FORT HALIFAX COMMONS 24 ELDERLY 9/27/94 773, , B /17/2 WINSLOW FORT HALIFAX COMMONS 24 ELDERLY 9/27/94 424,78 317, G /17/2 YORK YORKSHIRE COMMONS 32 ELDERLY 5/1/11 295, , C /12/13 YORK YORKSHIRE COMMONS 32 ELDERLY 5/1/11 158,96 158, C1 36 4/12/13 YORK YORKSHIRE COMMONS 32 ELDERLY 5/5/11 21,127 29,78 BP SURPLUS /12/13 YORK YORKSHIRE COMMONS 32 ELDERLY 5/5/11 143, ,81 BP SURPLUS /12/13 C-4

8 Location Mortgagor Name Total # Units/ Bedrms Property Usage Orig Date Mortgage Amount Unamortized Balance 12/31/11 Series Term/ Months Rate/% Hap Exp Date ,796,564 II. Conventional: ALFRED SHAKER POND COMMONS 2 FAMILY 3/24/1 41,815 41,815 25C ALFRED SHAKER POND COMMONS 2 FAMILY 3/24/1 1,321, 1,321, 25C 36 AUBURN COURT ST APARTMENTS 28 ELDERLY 1/1/7 28, 38, G 24 8 AUBURN WEBSTER SCHOOL APARTMENTS 28 FAMILY 12/13/1 3,557,811 2,921, D AUGUSTA WATER ST 12 FAMILY 2/17/98 161,28 11,273 BP SURPLUS 36 4 AUGUSTA 75 WASHINGTON ST 8 FAMILY 8/27/98 153,6 17,295 BP SURPLUS 36 4 AUGUSTA 8 CHAPEL ST 12 FAMILY 9/14/ 24, 181,75 BP SURPLUS 36 4 AUGUSTA CAPITAL VILLAGE APARTMENTS 3 FAMILY 4/24/7 135,76 128,935 BP SURPLUS AUGUSTA GLENRIDGE APARTMENTS 12 FAMILY 2/4/4 1,56, , E AUGUSTA GLENRIDGE APARTMENTS 12 FAMILY 2/4/4 4,1,71 4,1,71 28-E AUGUSTA INN AT CITY HALL 31 ELDERLY 3/5/2 85, 75,64 BP SURPLUS 36 8 AUGUSTA PINE VIEW ESTATES 72 FAMILY 12/1/8 1,48,855 1,7, G AUGUSTA WATER ST APARTMENTS 24 FAMILY 9/28/7 175, 175, 25-G AUGUSTA WATER ST APARTMENTS 24 FAMILY 9/28/7 157, , G 18 6 AUGUSTA WATER ST APARTMENTS 24 FAMILY 9/28/7 2,635, 2,635, 25-G 36 BANGOR 73 BROADWAY 9 FAMILY 5/15/1 211,2 163,647 BP SURPLUS 36 4 BANGOR 8-86 CENTER ST 6 FAMILY 7/28/99 93,487 76,436 BP SURPLUS 29 4 BANGOR BRADFORD COMMONS 194 ELDERLY 4/1/93 5,55, 5,31,468 23F /14/15 2 BANGOR BRADFORD COMMONS 194 ELDERLY 4/1/93 25, 25, BP SURPLUS 36 4/14/15 2 BANGOR FREESE BUILDING 34 ELDERLY 11/5/96 4, 4, BP SURPLUS 36 BANGOR GREENFIELD APARTMENTS 1 FAMILY 7/17/97 1,223,27 927, B BANGOR PENQUIS FAMILY HSG 16 FAMILY 4/25/5 145, 96, E BANGOR SCHOOLHOUSE APARTMENTS 6 FAMILY 6/1/9 317, , 1994D 36 7 BANGOR SCHOOLHOUSE APARTMENTS 6 FAMILY 9/1/96 1,784,76 1,784, D BANGOR SCHOOLHOUSE APARTMENTS 6 FAMILY 11/25/3 19, 166,767 BP SURPLUS 36 6 BANGOR THE WILLOWS 4 FAMILY 2/23/96 684, 679, E BANGOR THE WILLOWS 4 FAMILY 2/23/96 1,63 1,6 1998E 36 8 BANGOR VALLEY VIEW 32 FAMILY 1/31/95 664, ,397 23F 18 7 BATH MIDDLE ST 1 FAMILY 4/14/98 266,88 183,81 BP SURPLUS 36 4 BATH MARITIME APARTMENTS(NWOOD) 134 FAMILY 12/1/97 2,852,28 337,76 25B /31/25 2 BATH MARITIME APARTMENTS(NWOOD) 134 FAMILY 8/18/99 1,4,568 1,4,568 BP SURPLUS /31/25 2 BATH MARITIME APARTMENTS(NWOOD) 134 FAMILY 5/1/3 265, 454,163 BP SURPLUS /31/25 2 BELFAST SEASIDE HEIGHTS 38 FAMILY 2/29/8 982, ,925 BP SURPLUS BELGRADE ROUTE FAMILY 6/6/1 312, 242,432 BP SURPLUS 36 4 BELGRADE ROUTE FAMILY 3/3/5 44,515 39,319 BP SURPLUS BIDDEFORD 1 MT PLEASANT ST 13 FAMILY 11/9/99 41, ,882 BP SURPLUS 36 4 BIDDEFORD 25 GREEN ST 12 FAMILY 2/4/98 249,262 17,398 BP SURPLUS 36 4 BIDDEFORD 29 MAIN ST 8 FAMILY 3/1/94 11,45 5, E BIDDEFORD 82 GREEN ST 6 FAMILY 1/2/97 124,992 81,333 BP SURPLUS 36 4 BIDDEFORD 87 POOL ST 4 FAMILY 7/31/95 62,16 45, E BIDDEFORD ST ANDRE'S SR HSG 35 ELDERLY 8/5/98 38, 312, E BIDDEFORD THE MILL AT SACO FALLS 66 FAMILY 1/14/11 67, 67, BP SURPLUS 36 7 BIDDEFORD THE MILL AT SACO FALLS 66 FAMILY 1/14/11 3,245, 2,547,688 BP SURPLUS 6 5 BIDDEFORD YORK MANOR 45 ELDERLY 4/13/11 718,5 718,5 21-D C-5

9 Location Mortgagor Name Total # Units/ Bedrms Property Usage Orig Date Mortgage Amount Unamortized Balance 12/31/11 Series Term/ Months Rate/% Hap Exp Date BIDDEFORD YORK MANOR 45 ELDERLY 4/13/11 1,5, 1,5, 21-D BIDDEFORD YORK MANOR 45 ELDERLY 4/13/11 87,747 88,32 21-D BREWER ELLEN LEACH MEMORIAL 9 ELDERLY 5/9/95 1,619,311 1,596, G BREWER ELLEN LEACH MEMORIAL 9 ELDERLY 11/6/97 175, 175, 1998E 36 BREWER ELLEN LEACH MEMORIAL 9 ELDERLY 11/6/97 8, 644, E BREWER ELLEN LEACH MEMORIAL 9 ELDERLY 1/29/3 1,11, ,917 BP SURPLUS BRIDGTON KNIGHTS HILL RD 12 FAMILY 7/3/98 326,4 227,22 BP SURPLUS 36 4 BRUNSWICK CREEK SIDE VILLAGE 4 ELDERLY 11/2/7 14, 139, I 2/ BRUNSWICK RIVERSIDE ESTATES 49 FAMILY 1/1/1 1,572,5 1,54,993 25C BRUNSWICK RIVERSIDE ESTATES 49 FAMILY 12/17/1 1, 89,574 BP SURPLUS 36 8 CAMDEN APPLEWOOD APARTMENTS 3 FAMILY 9/28/11 548, ,227 BP SURPLUS 36 7 CAMDEN MERRY GARDEN EST 3 ASSTD LIVNG 2/25/98 5, 45, E CANTON WHITNEY BROOKSIDE 2 ELDERLY 11/15/2 1,88,265 1,22, C /3/3 2 CARIBOU CARIBOU GARDENS 2 ELDERLY 11/21/2 1,4,9 944,12 23-A /26/28 2 CARIBOU NORTH RIDGE APARTMENTS 33 FAMILY 7/9/96 5, 5, 1998E CORINNA CORUNDEL COMMONS 2 ELDERLY 3/29/6 1,46, 1,46, 28-E2 36 DAMARISCOTTA PIPER MILL 24 FAMILY 11/2/3 125, 117,83 23-A DENNYSVILLE DENNYSVILLE HGHTS 9 ELDERLY 5/19/ 266, , E /18/15 2 EDGECOMB DAVIS ISLAND/TWNHSES 26 FAM/ELD 12/18/7 124,58 118,43 BP SURPLUS ELLSWORTH ELLSWORTH CONGR HSG 32 ELDERLY 4/28/3 155,33 136,9 21-F FAIRFIELD 54 MOUNTAIN AVE 12 FAMILY 9/26/ 227, ,776 BP SURPLUS 36 4 FARMINGDALE ORCHARD PARK 48 FAMILY 12/21/95 529, 529, 21-D FARMINGDALE ORCHARD PARK 48 FAMILY 12/21/95 171, 171, 1998E 36 8 FARMINGDALE ORCHARD PARK 48 FAMILY 12/21/95 287, 285, D FARMINGTON 242 HIGH ST 11 FAM/ELD 2/9/94 97,365 48, E FARMINGTON 82 HIGH ST 31 FAMILY 7/29/88 266,71 226, E FORT FAIRFIELD SUNRISE TERRACE APARTMENTS 25 FAMILY 2/28/6 92, 849, G FORT KENT 3 HALL ST 14 FAMILY 8/12/98 192, 139,122 BP SURPLUS 36 4 FREEPORT 5 BOW ST 4 FAMILY 1/7/94 83,752 41,78 28-E FREEPORT BROOKSIDE VILLAGE 16 ELDERLY 5/22/1 683, ,41 21-F /4/3 2 FREEPORT MAPLEWOOD TERRACE 18 FAMILY 2/1/7 174, , E FREEPORT MAPLEWOOD TERRACE 18 FAMILY 2/6/7 191, 18, I FREEPORT VARNEY SQUARE APARTMENTS 3 FAMILY 2/14/6 312,447 33, E FREEPORT VARNEY SQUARE APARTMENTS 3 FAMILY 2/9/6 68, 651, A FREEPORT VARNEY SQUARE APARTMENTS 3 FAMILY 2/9/6 1,675, 1,675, 25-A2 36 FREEPORT VILLAGE VIEW TWNHSES 3 FAMILY 5/23/97 285, 285, 1997G 36 FREEPORT VILLAGE VIEW TWNHSES 3 FAMILY 5/23/97 28, 222, G FREEPORT VILLAGE VIEW TWNHSES 3 FAMILY 1/15/8 142, 134,896 BP SURPLUS GARDINER NEAL ST 16 FAM/ELD 1/2/98 37,2 216,85 BP SURPLUS 36 4 KENNEBUNK COUSENS SCHOOL APARTMENTS 28 FAM/ELD 11/21/8 1,1,958 1,1, I 2/3 36 KENNEBUNK ROSS CORNER WOODS 32 ELDERLY 1/17/2 11, 98,229 BP SURPLUS 36 8 KITTERY WOODLAND COMMONS 65 FAMILY 12/28/11 2,153,5 2,153,5 BP SURPLUS LEWISTON PIERCE ST 9 FAMILY 6/15/ 21,6 151,263 BP SURPLUS 36 4 LEWISTON ATKINSON APARTMENTS 47 FAMILY 8/8/95 55, 55, 1999-E LEWISTON ATKINSON APARTMENTS 47 FAMILY 8/8/95 35, 1999-E LEWISTON DOMINICAN COURT 45 ELDERLY 11/18/3 792, 745,13 28-E LEWISTON RIVER VALLEY VILLAGE 296 FAMILY 3/16/5 8,3, 7,937, E C-6

10 Location Mortgagor Name Total # Units/ Bedrms Property Usage Orig Date Mortgage Amount Unamortized Balance 12/31/11 Series Term/ Months Rate/% Hap Exp Date LEWISTON RIVER VALLEY VILLAGE 296 FAMILY 8/14/9 1,693,721 1,693, D LEWISTON ST. MARY'S RESIDENCE 128 ELDERLY 6/9/93 3,71,19 2,72,939 23F LINCOLN LAKEVIEW SENIOR HOUSING 24 ELDERLY 2/23/11 66, 66, BP SURPLUS LISBON 16 ANDREA ST 4 CHDO 1/19/99 1,375 8, D LISBON FALLS 646 LISBON ST 6 FAMILY 5/22/3 26, 211,659 BP SURPLUS LISBON FALLS FARWELL MILL 55 FAMILY 8/22/97 1,211,653 1,211, G 36 6 LISBON FALLS FARWELL MILL 27 FAMILY 9/8/98 97,887 78, E LIVERMORE FALLS 14 MILLETT ST 4 FAMILY 2/4/98 64,776 44,128 BP SURPLUS 36 4 LIVERMORE FALLS 2 WHEELER ST 4 FAMILY 12/18/98 48,745 34,45 BP SURPLUS 36 4 LIVERMORE FALLS 9 DEPOT ST 5 FAMILY 9/14/ 78,761 59,453 BP SURPLUS 36 4 MILBRIDGE BRIDGE ST 5 FAMILY 1/1/94 32,656 16,19 28-E NORTH BERWICK OLDE WOOLEN MILL APARTMENTS 4 FAMILY 4/12/1 1,545, 1,545, 28-J NORTH BERWICK OLDE WOOLEN MILL APARTMENTS 4 FAMILY 4/12/1 1,256,673 1,256, J 36 OAKLAND CASCADES 26 FAMILY 3/22/7 2,4, 2,4, 25C 36 OAKLAND CASCADES 26 FAMILY 3/22/7 225, 21,566 25C 36 6 OLD ORCHARD BCH PLEASANTWOOD SOUTH 3 ELDERLY 8/1/9 1,4,95 1,4, A OLD ORCHARD BCH PLEASANTWOOD SOUTH 3 ELDERLY 8/1/9 9,95 9, G 36 6 OLD ORCHARD BCH PLEASANTWOOD SOUTH 3 ELDERLY 8/1/9 475, , A OLD ORCHARD BCH THE BIRCHES 88 ELDERLY 3/27/96 2,8, 2,78, E PATTEN HOULTON RD 3 FAMILY 6/15/94 26,75 13, E POLAND RANGE POND APARTMENTS 12 FAMILY 5/3/2 411, ,43 BP SURPLUS 36 4 PORTLAND 129 GRANT ST 19 FAMILY 1/16/3 1,69, ,494 BP SURPLUS 36 3 PORTLAND 36 STATE ST 21 FAMILY 1/31/3 1,23,36 828,619 BP SURPLUS 36 3 PORTLAND 48-5 BRACKETT ST 5 FAMILY 1/17/91 25, 99, B PORTLAND 53 DANFORTH ST 43 FAMILY 9/18/9 94,984 94, J 36 PORTLAND 53 DANFORTH ST 43 FAMILY 9/18/9 1,448,69 1,389,18 28-J 36 PORTLAND 53 DANFORTH ST 43 FAMILY 9/18/9 2,982,259 2,982, J PORTLAND AUBURN TERRACE 164 FAMILY 12/3/98 3,75, 2,945, A PORTLAND BAYSIDE EAST 2 ELDERLY 1/2/8 1, 96,62 BP SURPLUS PORTLAND BELL ST 6 FAMILY 3/16/9 185, 6, E PORTLAND CASCO TERRACE 27 FAMILY 7/2/4 2,426,789 2,426, E PORTLAND CASCO TERRACE 27 FAMILY 7/2/4 1,816,616 1,816, E2 36 PORTLAND CONGRESS SQU. PLAZA 16 ELDERLY 6/5/7 1,25, 1,25, 25-G 36 7 PORTLAND DEERING PLACE 16 FAMILY 5/13/93 1,85, 1,616, C PORTLAND FLORENCE HOUSE APARTMENTS 25 FAMILY 6/3/1 173, ,629 BP SURPLUS 36 7 PORTLAND FLORENCE HOUSE APARTMENTS 25 FAMILY 6/3/1 181, 176,549 BP SURPLUS 36 7 PORTLAND FORE RIVER APARTMENTS 2 FAMILY 7/26/6 34, 318,453 BP SURPLUS 36 7 PORTLAND ISLAND VIEW APARTMENTS 7 FAMILY 9/25/2 7,949,31 7,949,31 21G PORTLAND ISLAND VIEW APARTMENTS 7 FAMILY 9/25/2 484, ,695 21G 36 PORTLAND LAFAYETTE SQUARE 97 FAMILY 1/16/96 3,12, 3,117, E PORTLAND LORING HOUSE 14 ELDERLY 3/24/4 3,337,19 3,142, E /29/12 2 PORTLAND LORING HOUSE 14 ELDERLY 3/24/4 1,663,594 1,663,594 25C /29/12 2 PORTLAND MEADOWBROOK APARTMENTS 44 FAMILY 11/14/1 1,9, 1,713, C PORTLAND MUNJOY COMMONS 39 FAMILY 1/14/11 85, 849,33 BP SURPLUS 36 7 PORTLAND MUNJOY SOUTH 14 FAMILY 9/8/97 3,429,916 2,715, F PORTLAND OAK STREET LOFTS 37 FAMILY 4/1/11 3,3, 2,42, D PORTLAND PROP FAM HSG PH III 2 FAMILY 8/3/6 676, 656,46 BP SURPLUS 36 7 C-7

11 Location Mortgagor Name Total # Units/ Bedrms Property Usage Orig Date Mortgage Amount Unamortized Balance 12/31/11 Series Term/ Months Rate/% Hap Exp Date PORTLAND PROP FAMILY HOUSING 12 FAMILY 3/1/4 339,356 31,57 BP SURPLUS 36 8 PORTLAND PROP PHASE II 16 FAMILY 12/2/5 4, 373,573 BP SURPLUS PORTLAND ROSA TRUE 8 FAMILY 1/28/93 112, 18, D PORTLAND TOWNHOMES AT OCEAN EAST 54 FAMILY 7/13/5 3,856,316 3,856, E2 36 PORTLAND TOWNHOMES AT OCEAN EAST 54 FAMILY 7/13/5 3,75,47 3,75,47 28-E PORTLAND TOWNHOMES AT OCEAN EAST 32 FAMILY 7/13/5 921,247 86,334 BP SURPLUS 36 8 PORTLAND UNITY VILLAGE AT BAY 33 FAMILY 11/8/1 493, 429,31 BP SURPLUS PORTLAND VALLEY STREET 24 FAMILY 12/2/6 3, 292,476 BP SURPLUS PORTLAND WALKER TERRACE 4 FAMILY 11/16/6 1,87, 1,87, 25-G 36 PORTLAND WALKER TERRACE 4 FAMILY 11/16/6 3,853, 3,853, 25-G PORTLAND WELLESLEY ESTATES 45 FAMILY 3/23/4 3,745,18 3,745,18 23-A PORTLAND WELLESLEY ESTATES 45 FAMILY 3/23/4 1,182,944 1,182, A2 36 PORTLAND YALE COURT 3 FAMILY 3/3/4 1,, 899,165 BP SURPLUS 36 7 PORTLAND YWCA APARTMENTS 32 FAM/ELD 5/3/6 2,7, 2,7, 28-E2 36 RANGELEY RANGELEY TOWNHOUSE 22 ELDERLY 8/6/4 1,445,972 1,385, A /1/23 2 ROCKLAND 5-52 SUMMER ST 1 FAMILY 2/1/94 68,675 33, E ROCKLAND MEADOW VIEW APARTMENTS 2 FAMILY 8/23/2 13,25 91,28 BP SURPLUS ROCKLAND STEVENS GREEN 26 FAMILY 1/18/5 2,58,822 2,58, E2 36 ROCKLAND STEVENS GREEN 26 FAMILY 1/18/5 162, , E SACO NOTTINGHAM WOODS 52 FAMILY 1/1/96 1,623,478 1,623, D 36 6 SACO NOTTINGHAM WOODS 52 FAMILY 1/1/96 292,11 26, D 3 6 SACO PINE LEDGE 48 FAMILY 12/29/94 1,445, 1,413,95 25C SACO RIVERVIEW APARTMENTS 61 ELDERLY 8/27/9 294, ,375 BP SURPLUS SACO RIVERVIEW APARTMENTS 61 ELDERLY 8/27/9 217, ,17 BP SURPLUS SACO RIVERVIEW APARTMENTS 61 FAMILY 8/31/95 1,3, 1,3, 1994D 34 6 SACO RIVERVIEW APARTMENTS 61 FAMILY 8/31/95 743,47 23, D 36 6 SACO RIVERVIEW APARTMENTS 61 FAMILY 8/31/95 412,525 12, E 36 6 SACO RIVERVIEW APARTMENTS 61 FAMILY 6/25/9 15, 174,96 BP SURPLUS SANFORD 19 SCHOOL ST 4 FAMILY 8/19/97 94,738 63,347 BP SURPLUS 36 4 SANFORD 836 MAIN ST 9 FAMILY 12/22/94 182, 97, E SANFORD PATRIOT PLACE 4 FAMILY 12/13/5 3,5, 3,5, 28-E2 36 SANFORD PATRIOT PLACE 4 FAMILY 12/13/5 21, 192, E SANFORD TIMBER RIDGE APARTMENTS 5 FAMILY 7/23/93 1,3, 1,26, D 36 8 SANFORD TIMBER RIDGE APARTMENTS 5 FAMILY 7/23/93 75, 75, BP SURPLUS 36 SCARBOROUGH MEADOW WOODS 37 FAMILY 1/1/96 1,355,117 1,355, D 36 6 SOUTH PARIS HILLCREST APARTMENTS 18 FAMILY 12/21/ 427,2 326,31 BP SURPLUS 36 4 SOUTH PORTLAND BRICK HILL 66 FAMILY 8/17/5 1,95, 1,861, E SOUTH PORTLAND BRICK HILL 66 FAMILY 8/17/5 4,944,7 4,944,7 28-E2 36 SOUTH PORTLAND BRICKHILL HEIGHTS 3 FAMILY 7/2/8 583, ,442 BP SURPLUS 36 7 SOUTH PORTLAND CORTLAND COURT 188 FAMILY 4/27/92 5,28, 4,759, C SOUTH PORTLAND PREBLE ST EXT 123 ASSTD LIVNG 2/8/1 6, 6, BP SURPLUS 3 SOUTH PORTLAND PREBLE ST EXT 123 ASSTD LIVNG 2/8/1 8,143,18 7,915,296 25B SPRINGVALE HAVEN COVE 27 FAMILY 1/9/95 557,5 55,731 25C UNION UNION APARTMENTS 8 FAMILY 1/6/97 169, ,794 BP SURPLUS 36 4 VAN BUREN SIROIS APARTMENTS 16 FAMILY 8/1/5 46, 27, E VEAZIE VEAZIE VILLAGE S HSG 24 ELDERLY 1/23/8 1, 96,626 BP SURPLUS 36 7 WATERVILLE 17 BOUTELLE AVE 7 FAMILY 5/5/94 49,85 25,143 BP SURPLUS C-8

12 Location Mortgagor Name Total # Units/ Bedrms Property Usage Orig Date Mortgage Amount Unamortized Balance 12/31/11 Series Term/ Months Rate/% Hap Exp Date WATERVILLE 5 SWAN ST 2 FAMILY 6/28/94 22, 11, E WEST BATH GREEN ACRES 48 FAMILY 11/17/93 1,274, 82, E WESTBROOK CLEARWATER BEND 23 FAMILY 8/4/8 141, ,522 BP SURPLUS WESTBROOK CLEARWATER BEND 23 FAMILY 8/4/8 26, 26, BP SURPLUS WESTBROOK EAST BRIDGE ST APARTMENTS 1 FAMILY 11/1/91 4,547,957 4,244, E WESTBROOK EAST BRIDGE ST APARTMENTS 1 FAMILY 12/29/ 3, 279, E WESTBROOK LAROSE GARDENS APARTMENTS 26 FAMILY 2/23/7 1,37, 1,37, 26-I 2/ WESTBROOK LAROSE GARDENS APARTMENTS 26 FAMILY 2/23/7 566, 566, 26-I 2/3 36 WESTBROOK OLD HIGH SCHOOL APARTMENTS 29 ELDERLY 8/19/3 35, 314,548 BP SURPLUS WESTBROOK SPRING CROSSING 34 ELDERLY 1/6/11 16, 159,869 BP SURPLUS 36 7 WESTBROOK STEEPLE SQUARE 73 ELDERLY 12/4/98 5, 5, BP SURPLUS 367 WESTBROOK STEEPLE SQUARE 73 ELDERLY 12/4/98 1,233,116 1,9, E WESTBROOK WESTBROOK POINTE 2 FAMILY 3/23/5 6,2, 5,487, A /3/25 2 WESTBROOK WESTBROOK POINTE 2 FAMILY 3/23/5 1,2, 421, A /3/25 2 WINDHAM UNITY GARDENS 24 ELDERLY 9/28/5 1,, 1,, 28-E2 36 YORK LONG SANDS RD 36 ELDERLY 11/25/2 376, ,26 21-F ,18,162 III. Supportive Housing : 1 ALFRED SHAKER HILL EM SHLELTER 35 SUPP 3/16/95 128,237 92, A AUBURN 41 FIFTH ST 6 SUPP 6/3/97 12, 64, 211-B-1 36 AUBURN 41 FIFTH ST 6 SUPP 6/3/97 35,968 28, B AUBURN 57 MARSTON ST 2 SUPP 9/11/8 248, ,488 BP SURPLUS 36 6 AUBURN DAVIS AVE RESIDENCE 8 SUPP 1/1/92 29,25 87,112 BP SURPLUS 36 2 AUGUSTA 2128 NO BELFAST AVE 5 SUPP 1/12/96 144,573 19, B AUGUSTA 4 STANLEY ST 6 SUPP 3/11/5 5, 45, I AUGUSTA 8 BANGOR LANE 3 SUPP 4/12/99 6, 6, 1999-E1 36 AUGUSTA 8 BANGOR LANE 3 SUPP 4/12/99 41,35 33, E AUGUSTA BOLTON HILL 9 SUPP 8/24/ 75, 591, B AUGUSTA EIGHT ROD RD 4 SUPP 1/6/95 135, 11,46 25-A AUGUSTA FLAGG ST 3 SUPP 1/12/6 1, 1, 26-I 1 36 AUGUSTA SEWALL ST 3 SUPP 5/2/5 15, 15, 25-A1 36 AUGUSTA VALLEY VIEW 9 SUPP 2/2/98 12, 95, D AUGUSTA VALLEY VIEW 9 SUPP 2/2/98 18, 18, 21-D-1 36 BANGOR 17 HUSSON AVE 8 SUPP 9/19/97 16, 16, 211-B-1 36 BANGOR 17 HUSSON AVE 8 SUPP 9/19/97 1, 79, B BANGOR 112 OHIO ST 6 SUPP 1/1/9 87,84 81, E BANGOR 12 GROVE ST 4 SUPP 7/3/96 99,778 75, B BANGOR 13 ALLEN ST 3 SUPP 11/19/1 1, 1, 211-C1 36 BANGOR 13 ALLEN ST 3 SUPP 11/19/1 44,812 38, C BANGOR 166 BROADWAY 8 SUPP 5/21/99 246,21 199, E BANGOR 175 MOOSEHEAD BLVD 4 SUPP 2/3/ 82, 67, B BANGOR 175 MOOSEHEAD BLVD 4 SUPP 2/3/ 76,2 76,2 211-B-1 36 BANGOR 18 RALPH ST 6 SUPP 2/5/99 12, 12, 21-D-1 36 BANGOR 18 RALPH ST 6 SUPP 2/5/99 162, , D BANGOR 18 RANDOLPH DR 4 SUPP 9/16/98 58, 46,72 21-D BANGOR 18 RANDOLPH DR 4 SUPP 9/16/98 92,5 92,5 21-D-1 36 C-9

13 Location Mortgagor Name Total # Units/ Bedrms Property Usage Orig Date Mortgage Amount Unamortized Balance 12/31/11 Series Term/ Months Rate/% Hap Exp Date BANGOR 215 FRENCH ST 6 SUPP 1/1/9 25,748 18, E1 8 8 BANGOR 28 HARLOW ST 7 SUPP 3/1/96 196,14 98,8 25-A1 36 BANGOR 289 OHIO ST 6 SUPP 12/7/1 152, , C BANGOR 289 OHIO ST 6 SUPP 12/7/1 125, 125, 211-C1 36 BANGOR 38 FERN ST 4 SUPP 12/18/1 54,5 46, C BANGOR 38 FERN ST 4 SUPP 12/18/1 87,857 87, C1 36 BANGOR 63 SUMMIT ST 8 SUPP 12/24/97 63,858 5, D BANGOR 63 SUMMIT ST 8 SUPP 12/24/97 16, 16, 21-D-1 36 BANGOR 726 FINSON RD 8 SUPP 8/28/98 117,959 9,19 28-E BANGOR GEORGINA'S HOUSE 6 SUPP 6/19/96 459,71 257, B BANGOR HAMMOND ST 9 SUPP 6/27/6 25, 25, 26-I 1 36 BANGOR HAMMOND ST 9 SUPP 6/27/6 15, 14, I BANGOR JANUS HOUSE (51 FOURTH ST) 6 SUPP 7/21/92 246,954 17,342 BP SURPLUS 36 2 BANGOR PROJECT ATRIUM 7 SUPP 11/15/96 17,15 82, B BANGOR PROJECT ATRIUM 7 SUPP 11/15/96 35, 17,5 211-B-1 36 BANGOR UNION ST 16 SUPP 4/13/98 335, , B-1 36 BATH 444 WASHINGTON ST 3 SUPP 9/21/9 155, 83,3 211-B BATH 55 OLIVER ST 8 SUPP 5/8/97 65,91 51, B BATH 55 OLIVER ST 8 SUPP 5/8/97 16, 16, 211-B-1 36 BATH EVERGREEN WOODS 6 SUPP 12/13/6 1, 1, 26-I 1 36 BATH MIDDLE ST 5 SUPP 2/17/5 15, 15, 25-A1 36 BIDDEFORD 14 CENTER ST 7 SUPP 5/14/8 144,91 139,64 BP SURPLUS BIDDEFORD 482 WEST ST 8 SUPP 2/1/6 135,35 135,35 26-I 1 36 BIDDEFORD 72 BACON ST 4 SUPP 9/27/91 169,842 62, B BIDDEFORD ADAMS ST 6 SUPP 7/13/6 194,56 16, I BIDDEFORD ROUND HILL 4 SUPP 8/1/97 8, 8, 211-B-1 36 BIDDEFORD ROUND HILL 4 SUPP 7/3/97 89,457 7, B BOWDOINHAM PERRY'S PLACE 6 SUPP 12/14/98 25, 165, D BOWDOINHAM PERRY'S PLACE 6 SUPP 6/25/3 131, , A BREWER ADAM HOUSE 6 SUPP 2/8/1 61, 61, 211-B-1 36 BREWER ADAM HOUSE 6 SUPP 2/8/1 227,517 2, B BREWER MAIN ST APARTMENTS 8 SUPP 6/8/5 12, 12, 25-A1 36 BREWER PENOBSCOT RIVERVIEW II 4 SUPP 6/29/5 1, 1, 25-A1 36 BRIDGTON INGALLS RD 2 SUPP 3/6/96 58, 43, B BRIDGTON THE BRIDGTON PROJECT 12 SUPP 1/29/96 83, 39,65 25-A BRIDGTON THE BRIDGTON PROJECT 12 SUPP 1/29/96 125, 94, C BRUNSWICK EVERETT APARTMENTS 8 SUPP 12/13/6 151, , I 1 36 BUCKSPORT 167 FRANKLIN ST 6 SUPP 3/1/92 289, ,358 BP SURPLUS 36 2 BUXTON 25 FOGG RD 4 SUPP 1/6/95 142, 16, A BUXTON 36 LONG PLAINS RD 8 SUPP 9/13/ 1, 1, 211-B-1 36 BUXTON 36 LONG PLAINS RD 8 SUPP 9/13/ 416,74 348, B BUXTON 61 FOGG RD 6 SUPP 3/3/ 8, 8, 1999-E1 36 BUXTON 61 FOGG RD 6 SUPP 3/3/ 235,57 193, E CASCO LOT#2, EDES FALLS RD 4 SUPP 6/28/94 131, 89, D CASCO LOT#3, EDES FALLS RD 4 SUPP 6/28/94 131, 89, D CHELSEA WELLMAN RD 8 SUPP 7/11/97 98,582 77, B DAMARISCOTTA HODGDON ST 16 SUPP 5/21/98 347,842 28,13 21-D C-1

14 Location Mortgagor Name Total # Units/ Bedrms Property Usage Orig Date Mortgage Amount Unamortized Balance 12/31/11 Series Term/ Months Rate/% Hap Exp Date DAYTON GORDON RD 3 SUPP 3/14/3 382,5 337, A DEXTER DEXTER GROUP HOME 6 SUPP 12/19/ 1, 1, 211-B-1 36 DEXTER DEXTER GROUP HOME 6 SUPP 12/19/ 225, 188, B DIXFIELD RUMFORD GROUP HOME 6 SUPP 4/16/92 143,461 71,148 BP SURPLUS 36 2 DIXFIELD RUMFORD GROUP HOME 6 SUPP 1/31/9 11, 72, B DOVER-FOXCROFT 37 HIGH ST 2 SUPP 11/28/95 74,237 55, B DOVER-FOXCROFT 7 PAUL ST 4 SUPP 2/11/97 8, 8, 211-B-1 36 DOVER-FOXCROFT DOVER SUPPORTED APARTMENTS 5 SUPP 1/2/91 17,845 64, B EDGECOMB EDDY SCHOOL 1 SUPP 7/9/4 75, 75, 25-A1 36 ELLSWORTH CINDY COOKSON HOUSE 8 SUPP 12/7/1 45, 45, BP SURPLUS 36 ELLSWORTH ELLSWORTH RES CTR 4 SUPP 2/2/96 19, 144, B FARMINGDALE 28 PUTNAM DR 4 SUPP 11/27/1 1, 1, BP SURPLUS 36 FARMINGDALE 28 PUTNAM DR 4 SUPP 11/27/1 28, , C FARMINGTON 147 PERHAM ST 2 SUPP 5/11/7 5, 5, BP SURPLUS 36 GORHAM 18 DEERING ROAD 3 SUPP 1/4/2 19, , E GORHAM 249 LIBBY AVE 4 SUPP 1/14/99 199, , E GORHAM DINGLEY SPRING RD 6 SUPP 11/16/1 49, , C GORHAM DINGLEY SPRING RD 6 SUPP 11/16/1 1, 1, 211-C1 36 GORHAM LONGFELLOW RD 3 SUPP 2/6/2 195,24 168, C GRAY REGION 1 CRISIS UNIT 2 SUPP 11/2/2 11, 11, 23-A1 36 GRAY REGION 1 CRISIS UNIT 2 SUPP 11/2/2 99,562 87, A GREENE WEST MAIN ST HOME 6 SUPP 2/28/95 27, 195,8 25-A HAMPDEN 25 MAYO RD 6 SUPP 7/31/92 36,113 13,324 BP SURPLUS 36 2 HAMPDEN CANAAN RD 2 SUPP 1/12/5 25, 25, 26-I 1 36 HAMPDEN KENNEBEC RD 8 SUPP 2/29/96 425, 233, B HINCKLEY HALL COTTAGE 8 SUPP 6/23/6 25, 25, 25-A1 36 HINCKLEY VICKERS DORMITORY 1 SUPP 1/1/91 88,75 33, B HOLDEN CHURCH RD 6 SUPP 1/22/99 195, , E1 36 HOLDEN CHURCH RD 6 SUPP 1/22/99 184, , E HOULTON 1 NORTH ST 4 SUPP 5/2/94 2, 98, D 36 2 HOULTON 14 NORTH ST 3 SUPP 3/9/95 61,563 44, A HOULTON LANE AVENUE APARTMENTS 4 SUPP 12/1/93 2, 94,57 23F 36 2 KITTERY COMING HOME 8 SUPP 7/7/5 5, 5, 25-A1 36 LEEDS LEEDS BRIDGE HOME 6 SUPP 9/27/ 47, 47, 211-B-1 36 LEEDS LEEDS BRIDGE HOME 6 SUPP 9/27/ 412,92 343, B LEWISTON 18 SABATTUS ST 4 SUPP 3/22/ 143, , B LEWISTON 16 SCRIBNER BLVD 2 SUPP 12/1/9 95,844 91, A LEWISTON 18 GERMAINE ST 4 SUPP 2/21/3 219,5 193, A LEWISTON 2 PAGOMA LN 4 SUPP 12/6/94 17, 121, A LEWISTON 244 CENTRAL AVE 2 SUPP 1/12/1 188,93 161, C LEWISTON 36 PINE ST 6 SUPP 8/29/89 143, 76, E LEWISTON 436 MAIN ST 4 SUPP 8/22/91 25, 89, C LEWISTON 45 PINEWOODS RD 3 SUPP 12/27/1 196, , C LEWISTON 47 POND RD 6 SUPP 9/28/99 275, 223, E LEWISTON 47 WOOD ST 6 SUPP 2/6/87 15, 2, E1 3 8 LEWISTON 98 RUSSELL ST 7 SUPP 2/28/92 247,5 15,369 BP SURPLUS 36 2 LEWISTON CENTRAL AVE 2 SUPP 1/21/4 194,14 176, A C-11

15 Location Mortgagor Name Total # Units/ Bedrms Property Usage Orig Date Mortgage Amount Unamortized Balance 12/31/11 Series Term/ Months Rate/% Hap Exp Date LIMINGTON 15 HOLLY WAY 1 SUPP 8/1/1 185, , C LISBON FALLS 15 VILLAGE ST 3 SUPP 11/9/98 1, 1, 21-D-1 36 LISBON FALLS 15 VILLAGE ST 3 SUPP 11/9/98 146, , D LISBON FALLS 17 SUMMER ST 3 SUPP 2/6/98 9, 71, D LISBON FALLS 17 SUMMER ST 3 SUPP 2/6/98 6, 6, 21-D-1 36 LISBON FALLS 18 PLUMMER ST 3 SUPP 9/11/98 13, 12, D LITCHFIELD 224 PINE TREE RD 8 SUPP 3/4/2 385, , C LITCHFIELD 7 HUNTINGTON HILL 3 SUPP 4/17/2 217, , A MACHIAS THE NEXT STEP 12 SUPP 4/1/99 13,591 7, B MADISON EAST MADISON RD 3 SUPP 5/21/1 177, 15, C MONMOUTH REGION II CRISIS 2 SUPP 11/2/2 14,245 91,44 23-A MONMOUTH REGION II CRISIS 2 SUPP 11/2/2 11, 11, 23-A1 36 NEW GLOUCESTER 1119 LEWISTON RD 2 SUPP 1/19/98 11,281 87, D NEW GLOUCESTER 385 PENNY RD 1 SUPP 6/19/1 148, , C NORRIDGEWOCK BECKET ACADEMY 8 SUPP 2/22/1 4, 337, B NORWAY 17 EDDIE KAHKONEN 3 SUPP 2/15/2 233,9 21,9 211-C OLD ORCHARD BCH 17 BIRCH LNE 3 SUPP 12/27/ 19, 159, C OLD TOWN THE MEADOWS 16 SUPP 5/8/98 632,286 59, B OLD TOWN THE MEADOWS 16 SUPP 5/8/98 1, 56, B-1 36 OWLS HEAD THE OWLS HEAD PRJ 6 SUPP 11/27/95 164, , B PORTLAND 18 WASHINGTON AVE 4 SUPP 5/31/91 152,881 54, C PORTLAND 18 WASHINGTON AVE 4 SUPP 5/3/ 11,563 7, B PORTLAND 13 PARK ST 8 SUPP 2/28/1 1, 1, 211-B-1 36 PORTLAND 253 ST JOHN ST 2 SUPP 6/26/2 2, 2, 23-A1 48 PORTLAND 253 ST JOHN ST 2 SUPP 6/26/2 64,849 56, A PORTLAND 28 HOLLY ST 2 SUPP 5/12/97 25, 19, B PORTLAND 284 CONGRESS ST 6 SUPP 4/25/97 1, 1, 211-B-1 36 PORTLAND 575 FOREST AVE 12 SUPP 3/12/2 1, 1, 23-A1 36 PORTLAND 575 FOREST AVE 12 SUPP 3/12/2 4, 347, A PORTLAND 64 GRAY ST 6 SUPP 6/22/99 218, , E PORTLAND 688 WASHINGTON AVE 5 SUPP 7/12/91 168,259 15, C PORTLAND 688 WASHINGTON AVE 5 SUPP 6/1/2 13, , A PORTLAND 7-72 EMERY ST 8 SUPP 11/4/97 311,28 246, B PORTLAND 823 CONGRESS ST 6 SUPP 7/13/ 1, 1, 211-B-1 36 PORTLAND 823 CONGRESS ST 6 SUPP 7/13/ 364,57 32, B PORTLAND 841 CONGRESS ST 8 SUPP 7/28/98 135,753 16, D PORTLAND 841 CONGRESS ST 8 SUPP 7/28/98 48,5 48,5 21-D-1 36 PORTLAND CASA V PINECREST 4 SUPP 7/1/94 85, 57, D PORTLAND FOREST AVE 6 SUPP 4/28/5 25, 25, 25-A1 36 PORTLAND GILMAN ST 6 SUPP 7/11/7 25, 25, 26-I 1 36 PORTLAND GILMAN ST 6 SUPP 7/11/7 149,52 141,655 BP SURPLUS 36 7 PORTLAND MAINESTAY 12 SUPP 4/3/96 491, ,36 25-A PORTLAND OBRION ST 6 SUPP 8/24/92 312,28 137,558 BP SURPLUS 36 2 PORTLAND PARK ST 8 SUPP 2/28/1 498,52 42, B PORTLAND RAY HOUSE 8 SUPP 8/3/91 162,77 6, E PORTLAND SHALOM APARTMENTS 21 SUPP 2/3/5 765,5 728, A PORTLAND SPRING ST 8 SUPP 11/23/88 143, 37,3 28-E C-12

16 Location Mortgagor Name Total # Units/ Bedrms Property Usage Orig Date Mortgage Amount Unamortized Balance 12/31/11 Series Term/ Months Rate/% Hap Exp Date PORTLAND THE BRIDGE II 12 SUPP 7/15/94 4, 22, D 36 2 PORTLAND VAUGHN ST 6 SUPP 4/5/91 141, 49, B PRESQUE ISLE 162 MAIN ST 4 SUPP 7/15/93 138,281 64,345 23F 36 2 RICHMOND THREE NORTH PLEASANT 12 SUPP 8/31/95 499, , A ROCKLAND 333 LIMEROCK ST 3 SUPP 3/14/97 4, 4, 211-B-1 36 ROCKLAND 333 LIMEROCK ST 3 SUPP 3/14/97 48,3 37, B ROCKLAND 47 GRACE ST 3 SUPP 4/1/97 6, 6, 211-B-1 36 ROCKLAND 47 GRACE ST 3 SUPP 4/1/97 55,3 43, B ROCKPORT 1152 ROCKLAND ST 8 SUPP 8/23/2 562, ,36 23-A ROCKPORT 1152 ROCKLAND ST 8 SUPP 8/23/2 1, 1, 23-A1 36 ROCKPORT 118 ROCKLAND ST 1 SUPP 6/5/ 35, 291, E ROCKPORT MEADOW ST 2 SUPP 6/13/97 18, 15, B ROCKPORT MID-COAST HOSPITALITY HOUSE 12 SUPP 3/28/9 14, 47, E RUMFORD FRANKLIN APARTMENTS 3 SUPP 11/16/5 5, 5, 25-A1 36 RUMFORD 346 PINE ST 12 SUPP 7/11/1 294,745 25, B RUMFORD 346 PINE ST 12 SUPP 7/11/1 8, 8, 211-B-1 36 RUMFORD COMMUNITY CONC, INC 19 SUPP 6/25/97 35, 35, BP SURPLUS 36 RUMFORD COMMUNITY CONC, INC 19 SUPP 6/25/97 342, 342, BP SURPLUS 36 RUMFORD RUMFORD RESIDENTIAL 5 SUPP 12/23/96 195, 112, B SABATTUS 46 KELLY DR 6 SUPP 1/28/ 16, 16, 211-B-1 36 SABATTUS 46 KELLY DR 6 SUPP 1/28/ 249,7 26, B SACO 15 NOTT ST 7 SUPP 9/29/93 284,86 196,781 23F SACO 18 LAWN AVE 6 SUPP 5/4/87 12, 4, E1 3 8 SACO 45 HEATH RD 5 SUPP 11/15/94 195, 136,13 25-A SACO 81 NORTH ST 4 SUPP 4/1/3 125, 125, 25-A1 36 SACO NORTH ST 4 SUPP 4/1/3 423, , A SACO SCHOOL ST 5 SUPP 6/27/3 169,92 147, A SACO THORNTON AVE 3 SUPP 1/26/6 15, 15, 25-A1 36 SANFORD 5 MOUSAM ST 13 SUPP 2/2/92 236,662 91, B SANFORD 57 LEBANON ST 2 SUPP 12/28/4 5, 5, 25-A1 36 SANFORD HIGH STREET 5 SUPP 3/2/6 15, 15, 26-I 1 36 SANFORD PERMANENT HOUSING FOR HOMELESS 7 SUPP 9/16/5 5, 5, 25-A1 36 FAM. SANFORD WITHIN 16 SUPP 3/17/89 147, 44, E SCARBOROUGH 64 MITCHELL RD 6 SUPP 6/7/1 376, , B SCARBOROUGH 64 MITCHELL RD 6 SUPP 6/7/1 15, 15, 211-B-1 36 SCARBOROUGH CASA 15 SUPP 7/28/92 1,185,511 72, B SCARBOROUGH CHOM/CASA 6 SUPP 3/27/8 533,78 533,78 BP SURPLUS 36 SCARBOROUGH CHOM/CASA 6 SUPP 3/27/8 65, 62,554 BP SURPLUS SIDNEY 3895 WEST RIVER RD 8 SUPP 1/22/99 116, , E1 36 SIDNEY 3895 WEST RIVER RD 8 SUPP 1/22/99 186,49 151, E SIDNEY ROUTE 23/27 12 SUPP 3/3/89 119, 32,37 28-E SOUTH PORTLAND 1329 BROADWAY 8 SUPP 7/28/99 67,14 49, D SOUTH PORTLAND 19 COLONY LN 6 SUPP 7/16/92 178,323 13, B SOUTH PORTLAND 49 ALBANY ST 2 SUPP 4/21/99 18, 144, E SOUTH PORTLAND 49 ALBANY ST 2 SUPP 4/26/1 2, 16, C SOUTH PORTLAND 81 OCEAN ST 4 SUPP 12/17/2 218, 182, B C-13

17 Location Mortgagor Name Total # Units/ Bedrms Property Usage Orig Date Mortgage Amount Unamortized Balance 12/31/11 Series Term/ Months Rate/% Hap Exp Date SOUTH PORTLAND GORDON GREEN 8 SUPP 6/11/96 24, 184, B SOUTH PORTLAND REARDON'S PLACE 7 SUPP 11/22/99 15, 15, 1999-E1 36 SOUTH PORTLAND REARDON'S PLACE 7 SUPP 11/22/99 517, , E SOUTH PORTLAND WILSON ST 6 SUPP 4/3/96 45, 249,8 211-B SOUTH PORTLAND WILSON ST 6 SUPP 4/3/96 15,5 15,5 BP SURPLUS 36 SPRINGVALE 49 A,B,C MAIN ST 3 SUPP 3/1/8 133, , B STANDISH 575 MIDDLE RD 3 SUPP 11/7/2 227, ,22 23-A STETSON 93 LAPOINTE RD 8 SUPP 8/17/99 174,3 14, E VASSALBORO CROSS HILL RD 4 SUPP 9/29/95 148, 11,88 25-A VEAZIE 18 HIGHVIEW TERRACE 4 SUPP 7/21/98 8, 8, 21-D-1 36 VEAZIE 18 HIGHVIEW TERRACE 4 SUPP 7/21/98 75,395 61,13 21-D WARREN ARBORETUM DR 4 SUPP 9/21/99 13,733 85, E WARREN MIDDLE RD 4 SUPP 7/15/97 65,13 51, B WARREN MIDDLE RD 4 SUPP 7/15/97 5, 5, 211-B-1 36 WATERBORO 254 ROBERTS RIDGE RD 3 SUPP 4/12/1 244,34 26, C WATERBORO 254 ROBERTS RIDGE RD 3 SUPP 4/12/1 8, 8, 211-C1 36 WATERVILLE 11 FIRST RANGEWAY 12 SUPP 7/7/98 144,5 113, D WATERVILLE 16 PLEASANT HILL DR 4 SUPP 1/22/2 87,857 87, C1 36 WATERVILLE 16 PLEASANT HILL DR 4 SUPP 1/22/2 14,189 89, C WATERVILLE 51 PLEASANT ST 5 SUPP 5/12/5 2, 2, 25-A1 36 WATERVILLE 73 PLEASANT ST 6 SUPP 2/19/92 262,838 11,328 BP SURPLUS 36 2 WATERVILLE KMHA - 1 SILVER ST 5 SUPP 3/28/91 148,15 51, B WATERVILLE KMHA - 14 UNION ST 7 SUPP 3/28/91 97,196 33, B WATERVILLE WATERVILLE RCU 3 SUPP 4/9/4 3, 3, 25-A1 36 WESTBROOK 2 CHESLEY ST 3 SUPP 4/14/98 97,218 78,12 21-D WESTBROOK 2 CHESLEY ST 3 SUPP 4/14/98 6, 6, 21-D-1 36 WESTBROOK 216 W VALENTINE ST 2 SUPP 4/18/97 77,51 6, B WESTBROOK 537 STROUDWATER ST 4 SUPP 4/29/99 192, 154, E WESTBROOK CHURCH ST 7 SUPP 8/1/98 187, 148, D WESTBROOK CHURCH ST 7 SUPP 8/1/98 14, 14, 21-D-1 36 WINDHAM 47 FORBES LANE 4 SUPP 1/7/98 175, 138, D WINDHAM 15 BILLABONG WAY 2 SUPP 1/28/98 179, , D WINSLOW 113 HALIFAX ST 5 SUPP 2/5/99 56,85 45, D WINSLOW 113 HALIFAX ST 5 SUPP 2/5/99 75, 75, 21-D-1 36 WINTERPORT 615 STREAM RD 2 SUPP 11/9/ 125, 14, B ,654, ,631,181 1 Many supportive housing projects rely on a funding stream from the State of Maine and the federal government. The funds are for the benefit of the residents and are subject to annual legislative appropriations. Typically, 51(c)(3) organizations own and operate the supportive housing projects. One unit may consist of a bed or bedroom without its own kitchen or sanitary facilities. 2 Only a portion of the units are covered by a HAP contract. C-14

18 BAKER NEWMANI NOYES c unta Maine State Housing Authority Basic Financial Statements and.. Management's Discussion and Analysis Year Ended December 31, 211 IN T E G R IT Y -51 E R v ICE SOL UTI N S

19 MAINE STATE HOUSING AUTHORITY FINANCIAL STATEMENTS For the Year Ended December 31, 211 TABLE OF CONTENTS Independent Auditors' Report Management's Discussion and Analysis Basic Financial Statements: Agency - Wide Financial Statements: Statement of Net Assets Statement of Activities Fund Financial Statements: Balance Sheet - Proprietary Funds Statement of Revenues, Expenses and Changes in Net Assets - Proprietary Funds Statement of Cash Flows - Proprietary Funds Balance Sheet - Governmental Funds Statement of Revenues, Expenses and Changes in Fund Balances - Governmental Funds Notes to Financial Statements

20 BAKE MAN NOY INDEPENDENT AUDITORS' REPORT The Board of Commissioners Maine State Housing Authority We have audited the accompanying financial statements of the business-type activities, the governmental activities, each major fund, and the aggregate remaining fund information of the Maine State Housing Authority (MaineHousing), a component unit of the State of Maine, as of and for the year ended December 31,211, which collectively comprise MaineHousing's basic financial statements as listed in the table of contents. These financial statements are the responsibility of MaineHousing's management. Our responsibility is to express opinions on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinions. In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of the business-type activities, the governmental activities, each major fund, and the aggregate remaining fund information of MaineHousing, as of December 31, 211, and the respective changes in financial position and cash flows, where applicable, thereof for the year then ended in conformity with accounting principles generally accepted in the United States of America. Accounting principles generally accepted in the United States of America require that the Management's Discussion and Analysis, as listed in the table of contents be presented to supplement the basic financial statements. Such information, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the required supplementary infonnation in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management's responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance. Portland, Maine March 27, 212 8~ k..w!jtwhafj4<\ ~ AJo1..t..A Limited Liability Company Baker Ncwnnn & Noyes, LLC

21 MAINE STATE HOUSING AUTHORITY MANAGEMENT'S DISCUSSION AND ANALYSIS December 31,211 This discussion and analysis provides an overview of the Maine State Housing Authority's (MaineHousing) financial activities for the year ended December 31, 211 and should be read in conjunction with the audited financial statements and accompanying notes. FINANCIAL HIGHLIGHTS As a result of program operations and financing activities, net operating income was $3.7 million and net assets increased 1.2% to $322.2 million. Profitability was again negatively impacted in 211 by volatile fmancial and mortgage loan markets and depressed short-term interest rates. Short-term interest rates continued to be near historically low levels throughout 211 resulting in a further reduction in non-mortgage investment earnings. Total federal program revenues decreased by $18.8 million or 9.4% to $18.7 million due principally to the completion of programs associated with the American Recovery and Reinvestment Act (ARRA). OVERVIEW OF MAINEHOUSING MaineHousing was created in 1969 by an Act of the Maine Legislature and is a public corporation and government instrumentality of the State of Maine. MaineHousing was established to assist in the fmancing, development, and rehabilitation of housing in Maine for persons and families of low and moderate income. In this capacity, MaineHousing is authorized to issue bonds for the purchase or origination of notes and mortgages on single-family and multi-family residential properties. MaineHousing also acts as an agent for the State of Maine in administering various federal housing and energy related programs. These programs are funded through various grants and program agreements with the federal government's departments of Housing and Urban Development, Energy, and Health and Human Services, as well as capital and operating subsidies from MaineHousing's own funds. MaineHousing is a component unit of the State of Maine and receives certain appropriations from the State legislature, all of which are used in connection with spedfied housing related programs. OVERVIEW OF THE FINANCIAL STATEMENTS MaineHousing's fmancial statements consist of two parts - management's discussion and analysis (this section) and the basic fmancial statements. The basic fmandal statements include agency-wide finandal statements, fund fmandal statements, and notes to the fmancial statements. Agency-wide fmandal statements provide information about MaineHousing's overall financial position and results of operations. These statements consist of the Statement of Net Assets and the Statement of Activities. The fund fmancial statements of MaineHousing include its major proprietary funds, which operate similarly to business activities and of MaineHousing's governmental funds, for which activities are funded from federal grants and state appropriations. The basic fmancial statements also include a "Notes to Financial Statements" section that provides additional information that is essential to a full understanding of the data provided in the agency-wide and fund fmancial statements. The remainder of this overview section of management's discussion and analysis explains the structure and contents of each of these statements. 2

22 MAINE STATE HOUSING AUTHORITY MANAGEMENT'S DISCUSSION AND ANALYSIS December 31, 211 Agency-wide Statements Agency-wide statements report information about MaineHousing as a whole using accounting methods similar to those used by private sector companies. The Statement of Net Assets includes all of MaineHousing's assets and liabilities. All of the current year's revenues and expenses are accounted for in the Statement of Activities regardless of when cash is received or paid. The two agency-wide statements report MaineHousing's net assets and how they changed. Net assets - the difference between MaineHousing's assets and liabilities - is one way to measure MaineHousing's financial position. Agency-wide financial statements are divided into two categories: Business-type activities - MaineHousing's business-type activities consist of providing mortgage f1!lancing on single-family and multi-family residential properties. These activities are funded primarily through the issuance of bonds. Governmental activities - MaineHousing administers various state and federal housing and energy related programs. These activities are fmanced by grant and program agreements with the federal government and appropriations from the State legislature. Fund Financial Statements The fund fmancial statements provide more detailed information about MaineHousing's most significant funds and not MaineHousing as a whole. A fund is a grouping of related accounts used to maintain control over resources that have been segregated for specific activities or objectives. MaineHousing has two kinds of funds: Proprietary funds - MaineHousing's business-type activities are in its proprietary funds and they are accounted for in a manner similar to businesses operating in the private sector. Funding has primarily arisen through the issuance of bonds, the proceeds of which are mainly used to make various types of loans to finance low and moderate-income housing. The net assets of these funds represent accumulated earnings since their inception and interest rate subsidy amounts contributed from governmental funds, and are generally restricted for program purposes. Governmental funds - MaineHousing has six governmental funds. MaineHousing is the administrator of these funds; the revenues of which are appropriated to MaineHousing for making housing and energy related grants and loans. These fund statements focus on how cash and other financial assets flowing into the funds have been used. A substantial portion of the fund balances for these funds consist of investments reserved for grants or making mortgage loans. 3

23 MAINE STATE HOUSING AUTHORITY MANAGEMENT'S DISCUSSION AND ANALYSIS December 31, 211 AN OVERVIEW OF MAINEHOUSING'S FINANCIAL POSITION AND OPERATIONS MaineHousing's overall financial position and operations are summarized below for the years ended December 31,211 and 21 based on the information included in the financial statements. Agency-wide Net Assets (in millions oj dollars) Total Business-type Governmental Percentage Activities Activities Total Change Cash and investments $355.9 $397.4 $66.8 $69.2 $422.7 $466.6 (9.4%) Mortgage and other notes receivable 1, , ,47.5 1, % Other assets % Total Assets 1, , ,94.7 1,93.6.1% Deferred income % Mortgage and other bonds payable 1,44.6 1, , ,473.9 (1.3%) Other liabilities % Total Liabilities 1, , , ,585.1 (.2%) Restricted net assets % Unrestricted net assets (1.2%) Total Net Assets $283.2 $281. $39. $37.5 $322.2 $ % MaineHousing's total assets at December 31, 211 were $1.9 billion, an increase of $1.1 million from December 31,21. The change in assets consisted primarily of a $43.9 million decrease in cash and investments and a $28.3 million increase in mortgage receivables. Other assets increased $16.7 million primarily as a result of a change in the fair value of hedging derivatives. MaineHousing's derivatives consist of interest rate swap agreements, which are recorded at their fair value. Changes in fair values are recorded as offsetting increases or decreases in other assets and other liabilities. MaineHousing's total liabilities at December 31, 211 were $1.58 billion, a decrease of $2.6 million or.2% from December 31, 21. The decrease in liabilities is due principally to the retirement of $129.5 million of bonds, which contributed to a $19.2 million net decrease in bonds payable. Deferred income increased primarily as a result of higher unearned federal grant income balances at December 31, 211. Other liabilities increased $13.3 million due primarily to an increase in the liability associated with interest rate swap derivative instruments. Cash and Investments Total cash and investments decreased by $43.9 million or 9.4% at December 31, 211 compared to December 31, 21. To manage the exposure associated with depressed short term rates on non-mortgage investments and interest expense, certain investments were used to retire outstanding debt in 211. MaineHousing's investment portfolio is comprised of securities of the U.S. Government, certain Federal agencies, the State of Maine, or repurchase agreements that are secured by such securities. MaineHousing's investments are carried at fair value and unrealized gains and losses due to fluctuations in market values are recognized in revenues. In 211, MaineHousing recognized $.6 million of unrealized gains compared with $.1 million of unrealized gains in 21. 4

24 Mortgage and Other Notes Receivable MAINE STATE HOUSING AUTHORITY MANAGEMENT'S DISCUSSION AND ANALYSIS December 31, 211 Total mortgages and other notes receivable, net, increased $28.3 million in 211 due primarily to mortgage revenue bond program loan purchases and originations, which amounted to $116.2 million. Singlefamily mortgage purchases were $96.4 million in 211 and multi-family originations amounted to $19.8 million. MaineHousing's combined allowance for losses of $11.3 million at December 31, 211 increased by $.5 million from 21 and remains at.8% of loans outstanding. Bonds PC!)able During the year, MaineHousing completed the issuance of bonds aggregating to $19.9 million. In 21, MaineHousing completed the issuance of $168.2 million in bonds. Debt retirements totaled $129.5 million in 211 and $25.6 million in 21. MaineHousing issues bonds or notes as capital is needed for program purposes and as opportunities for economic refunding occur. For additional details, see the Debt Activity section of the Management's Discussion and Analysis. Net Assets MaineHousing's net assets increased 1.2% during 211. Net assets continued to be unfavorably impacted by the volatile fmandal and mortgage loan markets and the historically low-interest rate environment that existed throughout the year. The net assets of MaineHousing's business activities increased by $2.2 million, while the net assets of MaineHousing's governmental activities increased by $1.5 million. MaineHousing's business activities are in the proprietary funds and are dissimilar from the activities in the governmental funds. The results of operations for both MaineHousing's proprietary and governmental funds are presented below for the years ended December 31,211 and 21: Agency-wide Changes in Net Assets (in millions oj dollars) Interest from mortgages and notes Income from investments Grants and subsidies Other Total revenues Operating and other program expenses Provision for losses on loans and foreclosed real estate Interest expense Grants and subsidies Total expenses Increase in net assets $69.6 $ $3.7 $1.3 Increase / {Decrease} Amount Percentage ($.5) (.7%).2 3.3% (13.8) (7.%).5 4.4% (13.6) (4.8%).2.9% %.7 1.1% ~17.42 (8.7%) ~16.2 (5.6%) $ % Changes in business-type and governmental activities are explained in the Results of Operations sections. 5

25 RESULTS OF OPERATIONS Proprietary Funds Results MAINE STATE HOUSING AUTHORITY MANAGEMENT'S DISCUSSION AND ANALYSIS December 31, 211 Net assets of MaineHousing's proprietary funds increased by $2.2 million to $283.2 million at December 31,211. The following table summarizes the Statement of Revenues, Expenses and Changes in Net Assets of MaineHousing's proprietary funds for the years ended December 31, 211 and December 31, 21: Proprietary Funds Statement of Revenues, Expenses and Changes in Net Assets (in millions of dollars) Increase / {Decrease} Amount Percentage Operating revenues: Interest from mortgages and notes $69.6 $7.1 ($.5) (.7%) Income from investments (.3) (5.2%) Net increase in the fair value of investments % Fee income.7 1. (.3) (3.%) Other revenue % Total revenues % Operating expenses: Salaries and related benefits % Other program and operating expenses % Mortgage servicing fees % Provision for losses on loans % Losses on foreclosed real estate.2.4 (.2) (5.%) Interest expense (.6) (1.%) Loss on bond redemption (.8) (61.5%) Excess arbitrage ~1.} (.9} (.1} 11.1% Total expenses (.4) (.5%) Operating income % Transfers out (.2}. (.22 Change in net assets % Net assets at beginning of year % Net assets at end of year $283.2 $281. $2.2.8% Operating revenues of MaineHousing's business-type activities are generated principally from earnings on mortgages and investments. In 211, MaineHousing's revenues for its business-type activities increased $.2 million and totaled $78 million. Of this total, $75.7 million or 97.1 % is from interest earned from mortgages and other notes and non-mortgage investments. Operating expenses of MaineHousing's business-type activities consist primarily of interest expense on debt incurred to fund its various lending programs. The total expenses for business-type activities totaled $75.6 million, of which $6.3 million or 79.8% was interest expense. 6

26 MAINE STATE HOUSING AUTHORITY MANAGEMENT'S DISCUSSION AND ANALYSIS December 31, 211 Change in net assets for the year ended December 31, 211 was a $2.2 million increase compared to $1.8 million for the year ended December 31, 21, an increase of $.4 million or 22.2%. Factors contributing to these results included: Interest earned on mortgages and notes decreased by $.5 million or.7% due to lower average yields. Income from investments decreased by $.3 million or 5.2% due to lower investment balances and low short-term earnings rates. Market fluctuations generated an unrealized gain of $.6 million in 211. This represents an increase of $.5 million compared with the unrealized gain of $.1 million that was recognized in 21. The unrealized gain was due to a mix of interest-sensitive investments held at 211 compared to 21. Interest expense decreased by $.6 million or 1.% as a result of lower average rates on debt issues and lower average debt balances outstanding during the year. Other revenues increased by $.8 million as a result of MaineHousing receiving $1.4 million as part of a settlement in connection with an investigation by the United States Securities and Exchange Commission into the bidding practices involving investment of bond proceeds by a banking and [mandai services company. Governmental Fund Results Fund balances of MaineHousing's governmental funds increased $.3 million or.8% to $37.9 million at December 31, 211. Capital assets are reported as expenditures in the governmental funds and as assets in the Agency-wide Changes in Net Assets. The following table summarizes the Statement of Revenues, Expenses and Changes in Fund Balances of MaineHousing's governmental funds for the years ended December 31, 211 and December 31, 21: Governmental Funds Statement of Revenues, Expenses and Changes in Fund Balances (in millions oj dollars) Increase L(Decrease) Amount Percentage Operating revenues: Income from investments $.1 $.1 $..% Fee income % Gran t income (19.9) (19.5%) Income from the State % Federal rent subsidy income % Total revenues (13.7) (6.6%) Operating expenses: Program administrative expenses % Provision for losses on loans.3..3.% Interest expense % Grant expense (2.5) (18.5%) Federal rent subsidy expense % Total expenses (14.4) (6.9%) Operating income (loss).2 (.5).7 14.% Transfers in.1..1.% Change in fund balances.3 (.5).8 16.% Fund balances at beginning of year {.52 (1.3%) Fund balances at end of year $37.9 $37.6 $.3.8% 7

27 MAINE STATE HOUSING AUTHORITY MANAGEJ\IENT'S DISCUSSION AND ANALYSTS December 31,211 MaineHousing's total revenues from governmental activities are generated primarily from federal grants and rent subsidy income. Revenues from governmental activities decreased in 211 by $13.7 million or 6.6% to $193.3 million. MaineHousing's governmental activities expenses consist primarily of federal grant and rent subsidy expenses. Total expenses decreased $14.4 million or 6.9% to $193.1 million for 211. MaineHousing earns fees for administering various federal programs. Typically fees earned provide MaineHousing with a revenue source adequate to recover direct and indirect costs of delivering related services. In 211, fee income for administering federal programs amounted to $9.5 million The 211 financial results of Mainel lousing's governmental funds were significantly affected by the following: Total grant income decreased by $19.9 million or 19.5% due primarily to the completion of rederal grants from The American Recovery & Reinvestment Act (ARRA). This Act was enacted by the United States Congress in 29 and provided for temporary federal spending provisions for housing and energy related programs. Total grant expense decreased as a result of the completion of federal ARRA programs and lower grant income. Total federal rent subsidy income increased by $2.1 million or 2.3% due to an increase in receipts from the Department of Housing and Urban Development for the Section 8 Housing Assistance Payments Programs. Total federal rent subsidy expense increased as a result of higher available program receipts. The Maine Energy Housing & Economic Recovery Fund was established at the end of 21 for the issuance of bonds and use of proceeds for affordable housing and energy efficiency improvement of housing. Bonds are repaid by a source of revenue from the State of l'viaine. Revenue from the state amounted to $4.3 million and bond interest expense was $1.6 million in 211. DEBT ACTIVITY MaineHousing is authorized to issue housing revenue bonds to purchase or originate mortgages or notes on single-family and multi-family residential properties. MaineHousing had $1.45 billion in bonds outstanding at December 31,211 - a decrease of $19.2 million or 1.3% from 21. MaineHousing's debt issuances for 211 totaled $19.9 million. Principal payments on bonds totaled $129.5 million in 211. MaineHousing redeemed $128.6 million of its outstanding bonds in 211 from reserve funds, mortgage prepayments, and surplus revenues. Of the total amount redeemed, $15.3 million were bonds that were scheduled for maturity in 211. Scheduled principal payments on bonds totaled SO.9 million in 211. MaineHousing issues some variable rate demand obligations and enters into interest rate swaps agreements to provide synthetically fixed interest rates on certain bonds. At December 31, 211, the total amount of variable rate debt outstanding was $289.4 million and represented 19.9% of the $1.45 billion total debt portfolio. Different interest rate swap agreements have been executed in connection with $235.8 million of these bonds to, in erfect, convert them to synthetic fixed rate bonds. In 211, bonds in MaineHousing's General Mortgage Purchase Bond Resolution were rated Aa1 and Ail\. + by Moody'S Investor Service and Standard & Poor's, respectively. For additional information about MaineHousing's mortgage bonds and notes payables, see Notes 5, 6, 8, 13, and 15 to the financial statements. 8

28 MAINE STATE HOUSING AUTHORITY STATEMENT OF NET ASSETS DECEMBER 31, 211 (in mo[jsands OF DOLLARS) ASSETS: Current Assets: Cash, principally time deposits (note 3) Investments (notes 3, 8, and 1) Accounts rccci\'able - "eueral Other assets Mortgage notes receivable, net (note 4) Other notes receivable, net (note 4) Total Current Assets Business-type Activities (),366 22,21 31, ,595 Governmental Activities $924 65,855 7,797 3, ,574 Total $1, ,221 7,797 25,932 31, ,169 Noncurrent Assets: Investments (notes 3, 8, and 1) Other assets (note 11) Mortgage notes receivable, net (note 4) Other notes receivable, net (note 4) Land, equiptnent and improycmcnts, net Other real estate owned Unamortized debt issuance expense Accumulated decrease in fair yaluc of hedging derivatives (note 6) Total Noncurrent Assets Total Assets 145, ,298, ,239 4,452 29,649 1,4R2, ,745,79 1,818 78, () () 1~1 8,352 $158, ,32(, 2,214 1,376, ,239 4,643 29,649 1,562,547 $1,94,716 LIABILITIES AND NET ASSETS: Current Liabilities: Accrued interest payable $7,465 Accounts payable - Federal Accounts payable and accrued liabilities 4,497 Deferred income 332 Tnterfund (note 12) (571) Mortgage and other bonds payahle, current (notes 5, 8, 13, and 15) ""'1,,,:,19"'5"-- Total Current Liabilities 18,918 $ ,757 3, ,71 59,25 $7, ,254 4,216 9,95 78,168 Noncurrent Liabilities: Excess arbitrage to be rebated (note 11) Deferred income Derivative lnstnl1nent - interest rate swaps (note 6) Mortgage and other bonds payable, net (notes 5, 8, 13, and 15) Total Noncurrent Liabilities Total Tiabilities 1,963 14/,34 29/,49 1,397,392 1,443,638 1,462,556 () 13,284 47,413 6, ,947 1,963 27,918 29,649 1,444,85 1,54,335 1,582,53 Net _Assets: Restricted Net Assets Unrestricted Net,\ssets Total Net "\ssets 2('(',898 16, ,734 38,979 o 38,979 35,877 16, ,213 Total Liabilities and Net Assets $1,745,79 $158,926 $1,94,716 See (/ccompanying notes to the financial statements 9

29 MAINE STATE HOUSING AUTHORITY STATEMENT OF ACTIVITIES FOR THE YEAR ENDED DECEMBER 31, 211 (IN mousands OF DOllARS) Functions/Programs Business-type activities: Mortgage Purchase Bond Program Housing Finance Bond Program Bondholder Reserve Fund General Administrative Fund Total business-type activities Governmental activities: HOME Fund - Section 8 Housing Programs Low Income Housing Energy Assistance Program American Recovery & Reinvestment Act Fund Maine Energy, Housing, Economic Recovery Program Other Federal and State Programs Total governmental activities Total MaineHousing Program Revenues Indirect Program Operating Expenses Charges for Investment Grants and E~enses Allocation Services Income Contributions $65,631 $7,612 $69,184 $6,25 $ ,184 (12,74) 2,397 8,188 (4,628) 71,887 6,48 4, ,22 94,362 2,32 6, ,156 46, , ,657 18, ,437 6, ,36 17, , ,88 187,363 4,628 9, ,584 $267,551 $ $81,488 $6,152 $183,584 Net and Changes in Net Assets Business-type Governmental Activities Activities Total $1,966 $ $1,966 (523) (523) (21) (21) ,375 2,375 1,267 1,267 1,878 1,878 (2) (2) (2,28) (2,28) (428) (428) 1,298 1,298 2,375 1,298 3,673 General Revenues: Unrestricted investment income Transfers Total general revenues and transfers Change in net assets Net assets at beginning of year Net assets at end of year 9 9 (146) 146 (13?) ,238 1,444 3,682 28,996 37, ,531 $283,234 $38,979 $322,213 See accompaf!j'ing notes to the financial statements

30 MAINE STATE HOUSING AUTHORITY BALANCE SHEET PROPRIETARY FUNDS DECEMBER 31,211 (IN THOUSANDS OF DOLLARS) Housing Mortgage Finance Bondholder General Purchase Revenue Reserve Administrative Fund Groul! Fund Groul! Fund Fund Total ASSETS; Current Assets: Cash, principally time deposits (note 3) $ 8 $ 32 $3 $ 89 $ 24 Investments (notes 3, 8, and 1) 182,7 6,589 7,938 13,769 21,366 Other assets 21, ,21 Mortgage notes receivable, net (note 4) 29, ,2 Other notes receivable, net (note 4) 2 2 Total Current Assets 233,995 7,442 7,954 14,24 263,595 Noncurrent Assets: Investments (notes 3, 8, and 1) 145, ,326 Other assets (note 11) Mortgage notes receivable, net (note 4) 1,29,145 2, ,421 1,298,132 Other notes receivable, net (note 4) 9 9 Land, equipment and improvements, net Other real estate owned 3, ,239 Unamortized debt issuance expense 4, ,452 Accumulated decrease in fair value of hedging derivatives (note 6) 29/649 29,649 Total Noncurrent Assets 1/473p4 2, ,541 1/482,195 Total Assets $1/77p35 $9,948 $8,62 $2,745 $1,745,79 LIABILITIES AND NET ASSETS; Current Liabilities: Accrued interest payable $7,45 $15 $ $ $7,465 Accounts payable and accrued liabilities ,298 4,497 Deferred income Interfund (note 12) (859) (571) Mortgage and other bonds payable, current (notes 5, 8, 13, and 15) 7,195 7/195 Total Current Liabilities 15, ,439 18,918 Noncurrent Liabilities: Excess arbitrage to be rebated (note 11) 1,963 1,963 Deferred income 14, ,634 Derivative instrument - interest rate swaps (note 6) 29,649 29,649 Mortgage and other bonds payable, net (notes 5, 8, 13, and 15) 1,395,882 1,51 1,397,392 Total Noncurrent Liabilities 1,441,776 1,862 1/443,638 Total Liabilities 1,457,63 2, ,439 1,462,556 Net Assets: Restricted Net Assets 249,972 7,913 8, ,898 Unrestricted Net Assets 16,336 16,336 Total Net Assets 249/972 7,913 8,43 17,36 283,234 Total Liabilities and Net Assets $1,77,35 $9,948 $8,62 $2,745 $1,745,79 See accompat!jiing notes to the financial statements 11

31 MAINE STATE HOUSING AUTHORITY STATEMENT OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS PROPRIETARY FUNDS FOR THE YEAR ENDED DECEMBER 31, 211 ~THOUSANDSOFDOLLARS) Housing Mortgage Finance Bondholder General Purchase Revenue Reserve Administrative Fund Grou~ Fund Grou~ Fund Fund OPERATING REVENUES: Interest from mortgages and notes $68,885 $292 $14 $379 Income from investments 5, Net increase in the fair value of investments 67 Fee income Other revenue 74 1,494 Total Revenues 75, ,46 OPERATING EXPENSES: Salaries and related benefits 1,89 Other program and operating expenses 2, ,12 Mortgage servicing fees 1, Provision for losses on loans (note 4) 1,2 (5) 257 Losses on foreclosed real estate 155 Interest expense 6,6 264 Loss on bond redemption (note 13) Excess arbitrage (944) (23) Allocated operating costs 7, (12,74) Total Expenses 73, ,444 Operating Income (Loss) 1,966 (523) (21) 962 Transfers between funds, net (note 12) (146) Change in net assets 1,966 (523) (21) 816 Net assets at beginning of year 248,6 8,436 8,64 16,49 Net assets at end of year $249,972 $7,913 $8,43 $17,36 Total $69,57 5, ,568 77,944 1,89 5,753 2,119 1, , (967) (4,628) 75,56 2,384 (146) 2,238 28,996 $283,234 See accompmrying notes to the financial statements 12

32 MAINE STATE HOUSING AUTHORITY STATEMENT OF CASH FLOWS PROPRIETARY FUNDS FOR THE YEAR ENDED DECEMBER 31, 211 (IN THOUSANDS OF DOLLARS) CASH FLOWS FROM OPERATING ACTIVITIES: Interest receipts frorn borrowers Principal receipts on mortgages and notes - scheduled Mortgage Purchase Fund GrouE Housing Finance Revenue Fund GrouE $68,54 $75 29, Principal receipts on mortgages and notes - prepayments 49, Payments for operating expenses (13,957) (595) Payments rccei'tj for operati ng expenses Payments to employees Investment in mortgages and other notes (116,17) (2) Other (1,784) 14 Net cash provided by operating activities 15, Bondholder Reserve Fund SI (45) (14) (5l 284 General Administrative Fund $ (3,12) 12,74 (1,89) 2,579 2,247 Total $68,99 $3, ,986 ($17,(,1)9) $12,74 (51,89) ($116,24) $84 18,816 CASH FLOWS FROM NON-CAPITAL FINANCING ACTIVITIES: Payment of bond issuance costs (669) Proceeds from sale of bonds and notes 18,957 Principal payments on bonds (123,19) (6,33) Interest payments on bonds (58,135) (319) Payments (to) from other funds (1,616) 6,339 Net cash provided by (used for) non-capital financing acti\~ities (74,653) (31) (3,51) (3,51) (669) 18,957 (129,52) (58,454) 1,986 (77,7) CASH FLOWS FROM INVESTING ACTIVITIES: Proceeds from disposition of foreclosed real estate 11,61 8 Purchase of in\-cstrnents (78,91) (189) Sales and maturity of in,"estlnents 12,127 Interest received on investments 5,82 13 Net cash provided by (used for) investing activities 58,899 (168) () (61) 11 (599) ,143 (78,15) 12,127 5,835 58,955 Net increase (decrease) in cash 78 (25) Cash at beginning of year 2 57 Cash at end of year $8 $32 (1) 4 $ $ $24 RECONCILIATION OF OPERATING INCOME (LOSS) TO NET CASH PROVIDED BY OPERATING ACTIVITIES: Operating income (loss) $1,966 ($523) (S21) Adjustments to reconcile operating income (loss) to net cash provided by (used for) operating activities: Depreciation and am()rtizarion Interest on bonds Provision for losses on loans Losses on foreclosed real estate Loss on bond redemption Interest income on investments Nct increase in fair value of investments Changes in operating assets and liabilities: Other assets Mortgage note interest receivable Accounts payable and accrued liabilities Deferred income and other liabilities Invcstn1cnt in ltiortgagc and other notes Mortgage & other note principal repayments Net cash provided by operating activities 1,669 58,391 1, (5,418) (67) (2,346) (345) (2,178) (153) (116,17) 79,23 $15,832 3 () 261 (5) 42 (13) (1) (19) (4) 1 1 (1 ) (218) (2) (14) S453 $284 $ (9) (333) (18) $2,247 52,384 $2, ,652 51,4U7 $155 $57 ($5,45) ($67) ($2,72) ($%2) (51,79) ($371) (SI16,24) $8,985 $18,816 SUPPLEMENTAL DISCLOSURE OF NON-CASH INFORMATION: Transfer from mortgage notes receivable to mortgage insurance claims receivable and other real estate owned $13,334 $ $ $9 $13,424 See a(companyi~~ notei to the jinancial.rtatemcnts 13

33 MAINE STATE HOUSING AUTHORITY BALANCE SHEET GOVERNMENTAL FUNDS DECEMBER 31, 211 (IN mousands OF DOILARS) American Maine Energy, Other Section 8 Low Income Recovery Housing & Federal Housing Home Energy & Reinvestment Economic and State Programs Assistance Program Act Fund Recovery Fund Programs ASSETS: Current Assets: Cash, principally time deposits (note 3) Investments (notes 3, 8, and 1) Accounts receivable - Federal Other assets Mortgage notes receivable, net (note 4) Total Current Assets HOME Fund $ 3,549 1, ,726 $8 $ $ $ $ 844 7, ,515 8, ,538 2, , ,59 1,84 3,559 46,785 13,155 Total $ ,855 7,797 3, ,574 Noncurrent Assets: Mortgage notes receivable, net (note 4) Other notes receivable, net (note 4) Other assets Other real estate owned Unamortized debt issuance expense Total Noncurrent Assets Total Assets 21,125 21,125 $25, ,897 44, , ,639 $8,632 $2,113 $15,456 $46,976 $58,794 78, ,248 $157,822 LIABILITIES AND FUND BALANCES: Current Labilities: Accrued interest payable Accounts payable - Federal Accounts payable and accrued liabilities Deferred income Prepaid Annual Contributions Interfund (note 12) Bonds payable, net (note 5 and 8) Total Current Labilities $ 378 (16) 218 $ $ $ $72 $ ,177 48, ,554 (1,768) (816) 2,167 2,71 (1,61) 1,739 3,538 1,966 53,39 $ ,757 3, ,71 59,25 Noncurrent Liabilities: Deferred income Bonds payable, net (note 5 and 8) Total Non Current Labilities Total Labilities ,897 1,387 47,413 11,897 47,413 1,387 (1,61) 1,739 15,435 49,379 54,777 13,284 47,413 6, ,947 Fund Balances: Nonspendable Restricted by program requirements Unassigned Total Fund Balances 25,633 25, , ,635 (2,594) 1, (2,43) 4, ,564 (2,594) 37,875 Total Liabilities and Fund Balances $25,851 $8,632 $2,113 $15,456 $46,976 $58,794 $157,822 RECONCILIATION OF THE BALANCE SHEET GOVERNMENTAL FUNDS TO THE STATEMENT OF NET ASSETS Total fund balances in goverrnental funds $ 37,875 Amounts reported for governmental activities in the statement of net assets different because: Capital assets used in governmental activities are not financial resources and therefore are not reported in the funds. Net assets of governmental activities 1,14 $38,979 See accompanying notes to the financial statements 14

34 MAINE STATE HOUSING AUTHORITY STATEMENT OF REVENUES, EXPENSES AND CHANGES IN FUND BALANCES GOVERNMENTAL FUNDS FOR THE YEAR ENDED DECEMBER 31, 211 (IN mousands OF DOllARS) American Maine Energy, Other Section 8 Low Income Recovery Housing & Federal HOME Housing Home Energy & Reinvestment Economic and State Fund Programs Assistance Proll:!!!m Act Fund Recove!I Fund Programs OPERATING REVENUES: Interest from mortgages and notes $59 $ $ $21 $ $ Income from investments Fee income 6,1 1, ,347 Grant income ,657 19,437 16,88 Income from State 4,845 4,36 Federal rent subsidy income 92,156 Total Revenues 5,285 98,272 46,832 2,359 4,38 18,161 OPERATING EXPENSES: Program administrative expenses 2, Provision for losses on loans (note 4) 3 Grant expense 3, ,657 19,437 4,52 16,89 Federal rent subsidy expense 92,76 Interest expense 1,595 Allocated operating costs 2, Total Expenses 4,18 96,51 47,111 2,338 6,48 18,719 Operating Income (Loss) 1,267 1,771 (279) 21 (2,28) (558) Transfers between funds, net (note 12) ( Change in fund balances 1,267 1,658 (279) 21 (2,28) (299} Fund balances at beginning of year 24,366 8, (375l 4,316 Fund balances at end of year $25,633 $1,233 $374 $21 ($2,43) $4,17 Total $8 14 9,521 82,277 9,151 92, ,289 4, ,222 92,76 1,595 4, , ,535 $37,875 RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENSES AND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS TO THE STATEMENT OF ACTIVITIES Net change in fund balances - total governmental funds $34 Amounts reported for governmental activities in the statement of activities are different because: Governmental funds report capital outlays as expenditures. However, in the statement of activities, the cost of those assets are capitalized and allocated over their useful lives as depreciation expense. This is the total amount of capital outlays, net of depreciation, for the year ended December 31, 211. Change in net assets of governmental activities 1,14 $1,444 See accompanying notes to the financial statements 15

35 (1.) ORGANIZATION AND NATURE OF OPERATIONS MAINE STATE HOUSING AUTHORITY NOTES TO FINANCIAL STATEMENTS - DECEMBER 31, 211 (IN THOUSANDS OF DOLLARS) Maine State Housing Authority (MaineHousing) was created by the Maine Housing Authorities Act, Title 3D-A, Chapter 21, of the Maine Revised Statutes, as amended, as a public body corporate and politic and an instrumentality of the State of Maine. MaineHousing is authorized to issue bonds for the purchase or origination of notes and mortgages on single-family and multi-family residential units for the purpose of providing housing for persons and families of low income in the State of Maine. In addition, MaineHousing presently acts as agent for the State of Maine in administering various housing and energy related federal programs and collects and disburses federal rent subsidies for low-income housing. For financial reporting purposes, MaineHousing is considered a component unit of the State of Maine. As such, the financial condition and results of operations of MaineHousing are included in the State's financial statements. (2.) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES MaineHousing's financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America as applied to governmental entities. The significant accounting policies of MaineHousing are described below: Basis of Accounting Business-type activities of MaineHousing are classified as proprietary funds. Proprietary funds are reported using the accrual basis of accounting and revenues are recorded when earned and expenses when incurred. Governmental activities of MaineHousing are classified as governmental funds. Governmental funds are reported using the modified accrual basis and revenues are recorded when they become available and measurable and expenses when incurred. Separate fund financial statements are provided for governmental and proprietary funds. Major individual governmental funds and all proprietary funds and fund groups are reported as separate columns in the fund financial statements. The Statement of Net Assets and the Statement of Activities display information about MaineHousing as a whole. These statements are prepared using the accrual basis of accounting. There were no material differences in the governmental funds between the accrual basis of accounting used in the Statement of Net Assets and Statement of Activities and the modified accrual method used in the governmental fund statements. As permitted by Governmental Accounting Standards Board (GASB) Statement No. 2, Accounting and Financial &portingfor Proprietary Funds and Other Governmental Entities that use Proprietary Fund Accounting, MaineHousing has elected not to comply with the Financial Accounting Standards Board Statements and Interpretations issued after November 3,1989. Fund Structure The following business-type activities of MaineHousing are classified as proprietary funds: MORTGAGE PURCHASE FUND GROUP This fund group consists of the funds and accounts established by the General Mortgage Purchase Bond Resolution. Pursuant to the Mortgage Purchase Program, MaineHousing is authorized to purchase or originate first lien mortgages on single-family and multi-family residential properties. HOUSING FINANCE REVENUE FUND GROUP This fund group consists of the funds and accounts established by the General Housing Finance Revenue Bond Resolution. Pursuant to the Housing Finance Revenue Program, MaineHousing is authorized to purchase mortgages or notes in connection with single-family and multi-family residential properties. BONDHOLDER RESERVE FUND This fund, which has been established by the General Authority Bondholder Reserve Fund Resolution, is pledged to replenish any deficiency in the debt service reserve fund of the General Mortgage Purchase Bond and General Housing Finance Revenue Bond resolutions. GENERAL ADMINISTRATIVE FUND This fund consists of account balances that are not directly pledged to or restricted by a particular bond resolution or program. The receipt of revenues not specifically pledged for the repayment of bonds or notes and the payment of expenses for the administration and operation of MaineHousing are recorded in this fund. The following governmental activities of MaineHousing are classified as governmental funds: HOME FUND The State Legislature authorized the creation of the Housing Opportunities for Maine ("HOME") Program to promote and create affordable housing. The program has been funded by a portion of the Real Estate Transfer Tax levied by the State of Maine and by appropriations. These funds may be used in conjunction with MaineHousing's other housing resources. MaineHousing also administers in this fund the Shelter Operating Subsidy Program, which is funded by or in conjunction with the State of Maine. SECTION 8 HOUSING PROGRAMS 16

36 This fund group consists of activity related to MaineHousing's administration of various Department of Housing and Urban Development (HUD) Section 8 programs. These are federal programs which provide rental subsidies to landlords to preserve low-income rental units and also provide funding to tenants to assist with rent payments. The program funding levels are established by the federal government annually. MaineHousing receives annual fees from HUD for the administration of these programs. These programs consist of the following: Moderate Rehabilitation New Construction Housing Choice Voucher Portability Performance Based Contract Administration Veterans Affairs Supportive Housing LOW INCOME HOME ENERGY ASSISTANCE PROGRAM MaineHousing is the designated administrator of the Low Income Home Energy Assistance Program for the State of Maine. This program is federally funded through the Department of Health and Human Services. Under this program, funds are provided to low income homeowners and renters to assist with the payment of heating costs. The funding level is established annually by the federal government and MaineHousing receives annual fees for the administration of this program. AMERICAN RECOVERY AND REINVESTMENT ACT FUND In 29, the American Recovery and Reinvestment Act (ARRA) was enacted by the United States Congress. This Act contains temporary federal spending provisions for housing and energy related programs. MaineHousing is the designated administrator for certain ARRA programs for the State of Maine. This fund records the activity and reflects the consolidation of these programs. Program administration is governed by applicable federal regulations. For certain programs, MaineHousing receives administration fees. These programs consist of the following: U.S. Department of Housing and Urban Development Homeless Prevention and Rapid Re-Housing Program Tax Credit Assistance Program U.S. Department of Energy Weatherization Program Weatherization Assistance Program Training Centers and Programs U.S. Department of Treasut:y Section 162 Tax Credit Exchange Program MAINE ENERGY, HOUSINGAND ECONOMIC RECOVERYFUND The purpose of the Maine Energy, Housing and Economic Recovery Fund (MEHER) is to create capital funding sources to provide affordable housing and to improve energy efficiency of residential housing in the State of Maine. The fund group consists of the funds and accounts established by the MEHER General Indenture. The revenue anticipation bonds issued under the MEHER General Indenture are liabilities of the fund and the debt service for these bonds is paid by a source of revenue from the State of Maine. The deficit in this fund is due to timing differences between the expending of capital funds on program activities and the receipt of revenues from the State of Maine. The deficit will be eliminated over time as capital funds available for programs are depleted. OTHER FEDERAL AND STATE PROGRAMS MaineHousing administers various other federal and state housing and energy related programs and grants. This fund group records the activity and reflects the consolidation of these programs and grants. Program administration is governed by the appropriate federal regulations or state laws. The annual program and grant funding levels are set by the appropriate federal or state government. MaineHousing receives annual fees for the program administration for most of the federal programs and grants. Federal and state programs consist of the following: U.S. Department of Housing and Urban Development Emergency Solutions Grant Program HOME Investment Partnership Program Lead Based Paint Hazard Control Program Homeless Management Information Strategies McKinney Act - Financing Adjustment Factor (F AF) Housing Counseling Program National Foreclosure Mitigation Counseling Program U.S. Department of Energy Weatherization Program U.S. Department of Health and Human Services Weatherization / Central Heating Improvement Program Residential Energy Assistance Challenge Program State of Maine Natural Disaster Housing Assistance Fund Mental Health Facilities Program Municipal Revolving Loan Fund Land Acquisition Program Maine Affordable Housing General Obligation Bonds Appliance Replacement Program Consumer Residential Opportunities Program Indian Housing Mortgage Insurance Program Foreclosure Prevention Counseling Grant-Bureau of Consumer Credit Shared Data Repository- Efficiency Maine Trust Quantification of Carbon Savings-Efficiency Maine Trust Neighborhood Stabilization Program 17

37 Private Robert Wood Johnson Foundation Low Income Assistance Plan Restriction of Net Assets and Fund Balances Net assets and fund balances are restricted by bond resolutions, state statutes, or various federal regulations and program agreements. Financial activities and resulting account balances which are not so restricted are generally recorded in the General Administrative Fund. The bond program assets are restricted for the acquisition of loans, payment of debt service, and payment of operating costs within each respective fund. Fund balances of the governmental funds are either in nonspendable form, restricted for the funding of housing and energy related programs, or unassigned to report any negative fund balance amounts. Capital Assets Capital assets consisting of land, equipment and leasehold improvements are stated at cost less accumulated depreciation and are reported in the agencywide and proprietary funds financial statements. Capital assets are reported as expenditures in the governmental funds statements. MaineHousing capitalizes assets with an initial cost of one thousand dollars or more. Depreciation on capital assets is computed using the straight line method over the estimated useful lives of the assets. Discount, Premium and Bond Issuance Costs Bond discount, bond premium and debt issuance expense are amortized over the lives of the bonds using a method that approximates the effective interest method. Also, gains and losses on debt refundings are deferred and amortized as a component of interest expense over the remaining life of the old debt or the life of the new debt, whichever is shorter. Investments Investments are carried at fair value based on quoted market prices. Unrealized gains and losses due to fluctuations in market values and gains and losses realized upon sale are reported as net increases or decreases in the fair value of investments. Interest received that is required by federal programs to be spent on program activities is recorded as an increase in accounts payable - Federal. Mortgage Notes Receivable Mortgage notes receivable are carried at their original par less principal collections and are reflected on the balance sheet net of the allowance for losses on loans. The recording of interest income on problem loans ceases when collectibility within a reasonable period of time becomes doubtful. Allowances For Losses On Loans MaineHousing has established allowances for losses on mortgages and other notes receivable. The allowances are established through provisions for losses on loans charged to operations. Losses are charged against the allowances when MaineHousing believes that collection of the loan principal is unlikely. The allowances are amounts that MaineHousing believes will be adequate to absorb losses based on evaluations of collectibility and prior loss experience. The evaluation takes into consideration such factors as the nature and volume of the portfolio, extent of available mortgage insurance, collateral, delinquencies and current economic conditions that may affect the borrowers' ability to pay. Funds received, including interest, for revolving loan programs are recorded as a liability in "accounts payable and accrued liabilities" on the balance sheet. Losses on loans in these programs are recognized by charging the amounts held under the revolving loan program liability accounts when the loans are forgiven or charged off. Loan Origination Fees and Costs MaineHousing pays origination costs and may receive a fee at the time it purchases single-family mortgage loans. Other program costs, including closing cost assistance to borrowers, may also be paid in connection with acquiring certain single-family loans. The fees received less the costs paid are deferred and recognized against interest income using the effective interest method over the life of the mortgages. When a loan is paid off prior to maturity, all unamortized deferred fees and costs are recognized immediately as a component of interest income. MaineHousing may charge a fee at the time that a commitment is made to originate a mortgage on a multi-family mortgage loan. These fees are recognized as interest income over the life of the mortgage on an accelerated basis approximating the interest method. The deferred fees are included in deferred income on the balance sheets. Other Real Estate Owned Other real estate owned consists of single-family and multi-family residential properties acquired through foreclosure, or acceptance of a deed in lieu of foreclosure. Other real estate owned is carried at the lower of cost or fair value less estimated costs to sell. Losses arising from the acquisition of other real estate owned are charged to the allowance for loan losses. Operating expenses, subsequent provisions to reduce the carrying value, and any gain or loss on disposition of the property are reflected in the Statement of Revenues, Expenses and Changes in Net Assets in the year incurred or realized. Grants Unrestricted grants are recorded as revenues when received. Restricted grants are recorded as revenues upon compliance with the restrictions. Amounts due from the federal government are accrued when due. Unearned grant income is included in deferred income. Statement of Cash Flows MaineHousing considers cash to include cash on hand and held by banks in demand deposit and savings accounts. Interest Rate Swap Agreements Interest rate swap agreements are recorded at fair value on the Statement of Net Assets and Balance Sheet. If the swap agreements are effective hedges, an offsetting deferred swap inflow or outflow of resources is recorded on the Statement of Net Assets and Balance Sheet. If the swap agreements are not effective hedges, the interest expense is increased or decreased by the change in the fair value of the swap agreements. Swap effectiveness is determined using the synthetic instrument or regression analysis methods in accordance with Governmental Accounting Standards Board (GASB) Statement No. 53, Accounting and Financial ReportingJor Derivative Instruments. The swap agreements are all effective hedges at December 31,

38 (3.) CASH AND INVESTMENTS At December 31, 211, the carrying amount of MaineHousing's deposits was $1,128 and the bank balance was $1,581. The difference between the carrying amount and the bank balance represents outstanding checks. Of the bank balance, $291 was covered by federal depository insurance and $1,29 was collateralized by repurchase agreements for which the securities are held by the bank's trustee in MaineHousing's name. The Mortgage Purchase Program and Housing Finance Revenue Program bond resolutions permit MaineHousing to invest in direct obligations of, or obligations guaranteed by, the United States of America, certain Government-sponsored enterprises and the State of Maine (permitted investments). These resolutions also permit MaineHousing to invest in certificates of deposit and repurchase agreements. MaineHousing has a formal Investment Policy that outlines its investment practices and policies. The primary purpose of the policy is to ensure safety of principal while managing liquidity to pay MaineHousing's financial obligations. MaineHousing's deposit policy is to have its deposits covered by insurance, collateralized or deposited in well capitalized institutions. MaineHousing's investment balances and stated maturities as of December 31, 211 are presented in the following table. Actual maturities may differ due to investments being called by the issuer. PROPRIETARY FUNDS MORTGAGE PURCHASE FUND GROUP Investment Maturities in Years Carrying Investment Amount Less than More than 1 Repurchase Agreements $182,7 $182,7 $ $ $ U.S. Government-sponsored enterprise obligations(rated AAA/ Aaa) 145,326 34,571 11,755 Total- Mortgage Purchase Fund Group 327, ,7 34,571 11,755 HOUSING FINANCE REVENUE FUND GROUP Repurchase Agreements 6,589 6,589 BONDHOLDERS RESERVE FUND Repurchase Agreements 7,938 7,938 GENERAL ADMINISTRATIVE FUND Repurchase Agreements 13,769 13,769 Total - Proprietary Funds $355,692 $21,366 $ $34,571 $11,755 GOVERNMENTAL FUNDS HOME FUND Repurchase Agreements $3,549 $3,549 $ $ $ SECTION 8 HOUSING PROGRAM Repurchase Agreements 7,479 7,479 LOW INCOME HOME ENERGY ASSISTANCE PROGRAM Repurchase Agreements MAINE ENERGY, HOUSING & ECONOMIC RECOVERY FUND Repurchase Agreements 46,515 46,515 OTHER FEDERAL AND STATE PROGRAMS Repurchase Agreements 8,67 8,67 Total - Governmental Funds $65,855 $65,855 $ $ $ Repurchase agreements are not credit rated and are continuously and fully secured by permitted investments. It is MaineHousing's policy to require that collateral be held by MaineHousing's trustee in MaineHousing's name or its bank's trustee in MaineHousing's name. MaineHousing generally invests in repurchase agreements for short-term investments. On December 31, 211, approximately $276 miiiion was invested in short-term repurchase agreements having maturity dates of less than one year, at rates ranging from.7% to.17%. Investments other than repurchase agreements are registered in MaineHousing's name. Investments issued by Federal Home Loan Mortgage Corporation (FHLMC), Federal National Mortgage Association (FNMA), Federal Farm Credit Bank (FFCB), and Federal Home Loan Bank (FHLB) make up 2%, 15%, 14%, and 14% of total investments, respectively, in the Mortgage Purchase Fund Group. 19

39 (4.) MORTGAGE AND OTHER NOTES RECEIVABLE: For financial statement presentation the allowance for losses on loans has been netted against the non-current portion of mortgage notes receivable and other notes receivable; however, where there is no non-current portion for other notes receivable, the allowance is netted against the current amount. A summary of mortgage notes receivable at December 31, 211 is as follows: Number Percent of of Notes Princi2al Balance Portfolio PROPRIETARY FUNDS MORTGAGE PURCHASE FUND GROUP - SINGLE-FAMILY: V A guaranteed 684 $56, % FHA insured 2, , % USDA/RD guaranteed 3, , % Privately insured 1, , % Non-insured 2, , % Total Mortgage Purchase Fund Group - single-family 12, ,293 1.% MORTGAGE PURCHASE FUND GROUP - MULTI-FAMILY: Federally assisted: Section , % Conventional , % Supportive Housing 25 34, % Total Mortgage Purchase Fund Group - multi-family ,631 1.% Less: Allowance for losses on loans (9,791) Total Mortgage Purchase Fund Group 12,75 1,32,133 HOUSING FINANCE REVENUE FUND GROUP - HOME IMPROVEMENT LOANS: Non-insured 914 3,672 1.% Less: Allowance for losses on loans (437) Total Housing Finance Revenue Fund 914 3,235 BONDHOLDER RESERVE FUND-MULTI-FAMILY: Non-insured 18 1.% GENERAL ADMINISTRATIVE FUND - SINGLE-FAMILY: V A guaranteed 1 8.1% Non-insured 159 5, % Privately insured % Total General Administrative Fund-Single Family 19 5,967 1.% Less: Allowance for losses on loans (39) Total General Administrative Fund 19 5,658 Total Proprietary Funds mortgage notes receivable 13,855 ;l!l,329,134 GOVERNMENTAL FUNDS HOME FUND SINGLE - FAMILY: Non-insured 326 $2, % HOME FUND MULTI - FAMILY: Non-insured 67 18, % Total HOME Fund ,863 1.% Less: Allowance for losses on loans (79) Total HOME Fund ,154 SECTION 8 HOUSING PROGRAMS - MUL TI-FAMIL Y: Non-insured % AMERICAN RECOVERY & REINVESTMENT ACT FUND-MULTI-FAMILY Non-insured 7 11,897 1.% 2

40 Number Percent of of Notes Principal Balance Portfolio OTI-IER FEDERAL AND STATE PROGRAMS HOME IMPROVEMENT LOANS Non-insured % OTI-IER FEDERAL AND STATE PROGRAMS MULTI-FAMILY Non-insured Total Other Federal and State Programs ,827 44,989 1.% Total Governmental Funds mortgage notes receivable 58 78,14 A summary of other notes receivable at December 31, 211, is as follows: Number of Principal Percent of PROPRIETARY FUNDS Notes Balance Portfolio HOUSING FINANCE REVENUE FUND GROUP: Non-insured 2 $11 1.% Total Proprietary Funds other notes receivable 2 11 GOVERNMENTAL FUNDS OTI-IER FEDERAL AND STATE PROGRAMS: Non-insured Non-insured - revolving notes Less: Allowance for losses on loans Total Other Federal and State Programs (27} % 89.5% 1.% Total Governmental Funds other notes receivable 9 j!326 A summary of the activity in the allowance for losses on loans is as follows: PROPRIETARY FUNDS GOVERNMENTAL FUNDS Other Housing Federal Mortgage Finance General and Purchase Revenue Administrative HOME State Fund Group Fund Group Fund Fund Programs Balance - December 31,21 $9,446 $54 $1 $679 $27 Provision 1,2 (5) Loans charged off (1,66) (61) (48) (27) Recoveries Balance - December 31, 211 $9,791 $437 $39 $79 $27 21

41 (5.) MORTGAGE BONDS PAYABLE MaineHousing issues both bonds that pay interest that is subject to Alternative Minimum Tax (AMT) and bonds tbat pay interest that is not subject to this tax (Non-AMT). For AMT bonds issued, interest paid is treated as a preference item in calculating the tax imposed on individuals and corporations under the Internal Revenue Service Code. MaineHousing's AMT, Non-AMT and federally taxable bonds are denoted for each series or sub-series below. The interest rates presented in the table below for variable rate bonds represent the rate at December 31, 211. The Single-Family (S/F), Multi-Family (M/F), and Home Improvement (HI) Mortgage Bonds Payable outstanding at December 31, 211 are as follows: Maturities/ Sinking Fund Original Installments Range of Required Amount Amount Interest on Bonds Annual Principal Payments PROPRIETARY FUNDS Issued Outstanding Rate(s2 Outstanding on Bonds MORTGAGE PURCHASE FUND GROUP 1998 SERIES A BONDS (S/F): 1998 Series A-1 (Non-AMT) Serial Bonds 7, % Term Bonds 6, % 1998 Series A-2 (AMT) Term Bonds 6,54 5.3% Term Bonds 7, 4.7% Term Bonds 5, % Term Bonds 11,85 9,3 5.33% ,8 Term Bonds 1 5.4% 1998 SERIES CBONDS (S/F): 1998 Series C-l (Non-AMT) 45, 9,3 Term Bonds 9, 5.15% 1998 Series C-2 (AMT) Serial Bonds 6, 4.9% Term Bonds 8,6 4.75% Term Bonds % Term Bonds 13,22 7, % ,6 Term Bonds 12, % 5, 7, SERIES F BONDS (S/F): 1998 Series F-l (Non-AMT) Term Bonds 8, 5.13% 1998 Series F-2 (AMT) Serial Bonds 1,79 4.5% Term Bonds 5, % Term Bonds 1, 8, % ,455 Term Bonds % Term Bonds 15,9 5, % 221-' ,12 4,5 14, SERIES A BONDS (M/F): 1999 Series A-I (Non-AMT) Term Bonds 3, % Term Bonds 3, % 1999 Series A-2 (AMT) Serial Bonds 2, % Term Bonds 5,15 5, % ,955 5, SERIES B BONDS (S/F): 1999 Series B-1 (Non-AMT) Term Bonds 7, 5.% 22

42 1999 Series B-2 (AMI) Maturities/ Sinking Fund Original Installments Range of Required Amount Amount Interest on Bonds Annual Principal Payments Issued Outstanding Rate(sl Outstanding on Bonds Serial Bonds 14,43 4.8% Term Bonds 11, % Term Bonds 16,96 4.7% Term Bonds % ,16 8, 8, SERIES B BONDS (S/F): 21 Series B (AM1) Serial Bonds 4, % Term Bonds 9,35 5.4% Term Bonds 3,66 4.6% Term Bonds 4,45 3,23 5.5% Term Bonds 8, % \65 21 SERIES C BONDS (S/F): 21 Series C (AM1) Serial Bonds 4,715 5.% Term Bonds 5, % Term Bonds 6, % Term Bonds 13,28 2, % ,11 1, , SERIES G BONDS (M/F): 21 Series G (AM1) Term Bonds 3,13 5.4% Term Bonds 5,35 3, % ,435 3, SERIES A BONDS (S/P): 22 Series A-1 (Non-AM1) Term Bonds 2, % 22 Series A-2 (AM1) Serial Bonds 6, % Term Bonds 2,46 2,46 5.3% Term Bonds 5,815 5, % ,58 Term Bonds 4,9 4.55% Term Bonds 8,28 5,69 5.4% ,41 3, 14, SERIES D BONDS (S/F): 22 Series D (AM1) Serial Bonds 6, % Term Bonds 15,725 8, % ,335 Term Bonds 18,2 9, % ,93 4, 18,21 22 SERIES F BONDS (S/F): 22 Series F-l (Non-AM1) Serial Bonds 1,43 4.% Term Bonds 5,79 5, % ,125 1, Series F-2 (AM1) Serial Bonds 13, % Term Bonds 17, % Term Bonds 1, 1, 5.5% ,61 Term Bonds 12,58 6, % ,43 Term Bonds 5, 5, 5.1% ,2 Term Bonds 1, % 85, 28,195 23

43 Maturities/ Sinking Fund Original Installments Range of Required Amount Amount Interest on Bonds Annual Principal Payments Issued Outstanding Rate(s} Outstanding on Bonds 22 SERIES G BONDS (S/F): 22 Series G-l (Non-AM1) Serial Bonds 2, 1, %-4.25% Series G-2 (AM1) Serial Bonds 4,15 4.% Term Bonds 8,1 4, % ,15 Term Bonds 1,815 4.% Term Bonds % Term Bonds 5,145 2, % , 8,93 23 SERIES A BONDS (M/F): 23 Series A-l (Non-AM1) Serial Bonds 1, % Term Bonds 1,735 1, % Term Bonds 2,785 1, % Series A-2 (AM1) Serial Bonds 7, % Term Bonds 1,755 1, % Term Bonds 1,975 1, % Term Bonds 3, 3, 5.% Term Bonds 3,1 3,1 5.% ,3 13,2 23 SERIES B BONDS (S/F): 23 Series B-1 (Non-AM1) Serial Bonds 1,885 1, %-4.5% Term Bonds 4,965 4, % ,85 23 Series B-2 (AM1) Serial Bonds 3, % Term Bonds 7, % Term Bonds % Term Bonds 7,965 6, % ,42 25,37 13,89 23 SERIES C BONDS (S/F): 23 Series C-l (Non-AM1) Serial Bonds 8,35 1, %-4.7% Series C-2 (AM1) Term Bonds 4, % Term Bonds 5,415 2, % ,185 4,79 23 SERIES D BONDS (S/F): 23 Series D-l (Non-AM1) Serial Bonds 21,49 9,46 4.%-4.5% ,74 2,55 23 Series D-2 (AM1) Term Bonds 4, 3, % Term Bonds 5,24 5,24 4.9% ,695 Term Bonds 9,1 1,9 5.% 224 1,9 Term Bonds 1,17 5,555 5.% ,515 5, 24,87 23 SERIES F BONDS (S/F - M/F): 23 Series F (Non-AM1) Serial Bonds 27,25 5, %-4.% ,745 4, Term Bonds 23,25 23,25 4.8% ,64 4,645 Term Bonds 21,97 21,97 4.8% ,385 72,425 5,92 24

44 Maturities/ Sinking Fund Original Installments Range of Required Amount Amount Interest on Bonds Annual Principal Payments Issued Outstanding Rate{s2 Outstanding on Bonds 24 SERIES A BONDS (S/F): 24 Series A-I (Non-AMI) Serial Bonds 13,385 5, %-4.% ,745 1, Series A-2 (AMT) Serial Bonds 3, % Term Bonds 13,42 2,255 5.% ,37 Term Bonds 5,65 5, % ,33 Term Bonds 5,6 5,6 4.75% ,86 Term Bonds 3,24 2,18 4.8% ,8 Term Bonds % SERIES B BONDS (S/F): 24 Series B-1 (Non-AMT) Serial Bonds 1, 2, %-4.% ,225 1,27 24 Series B-2 (AMT) Term Bonds 15, 12,35 5.2% , Series B-3 (AMT) Term Bonds 11, 11, Variable-.14% ,55 Term Bonds 9, 9, Variable-.14% ,62 Term Bonds Variable-.14% ,48 1, SERIES C BONDS (S/F): 24 Series C-l (Non-AMT) Serial Bonds 8, % Series C-2 (AMT) Term Bonds 5, 5, 4.8% ,625 1,71 Term Bonds 15, 14,7 5.% ,91 2,75 24 Series C-3 (AMT) Term Bonds Variable -.12% ,75 43pOO SERIES D BONDS (S /F): 24 Series D-l (Non-AMT) Serial Bonds 7, % Term Bonds 1,855 1,855 4.% Series D-2 (AMT) Term Bonds 6, 6, 4.7% ,955 2,5 Term Bonds 1, 9,65 4.9% ,42 1,8 24 Series D-3 (AMT) Term Bonds Variable -.14% , SERIES A BONDS (M/F): 25 Series A-I (Non-AMT) Serial Bonds 5,785 2,565 4.%-4.4% Term Bonds 5,425 5,1 4.9% ,16 25 Series A-2 (AMT) Term Bonds % , SERIES B BONDS (M/F): 25 Series B (Federally Taxable) Term Bonds Variable-.63% ,84 3, SERIES C BONDS (M/F): 25 Series C (AMTl Term Bonds Variable-.12% ,78 2,785 25

45 --~-~~~ Maturities/ Sinking ]<und Original J nstallnlents Range of Requin:d Amount,\ITICmnt Interest on Bonds Annual Principal Payments Issued ( )utstanding Rate~s) Outstanding on Bonds 25 SERIES D BONDS (S/F): 25 Series D-l (Non-AM1) Serial Bonds 3, 1,15 3.7%-3.9% Series D-2 (AM1) Term Bonds 15, 14, % ,75 1,52 25 Series D-3 (AM1) Term Bonds 2, 2, Variable-.14% ,485 2,19 38, 36, 25 SERIES E BONDS (S/l!): 25 Series E 1 (NOlL\:\IT) Serial Bonds 6,33 2,815 4.%-4.25% Series E-2 (,\\ri) Term Bonds 9,765 9, % ,2 Term Bonds 6,965 6, % ,26 1,53 Term Bonds 6,94 6, % ,61 1, SERIES G BONDS (M/F): 3, 26,23 25 Series G (AM1) Term Bonds 22,3 21,715 Variable-, 14% , SERIES A BONDS (S/F): 26 Series A-I ("Jon..,\;\fl) Serial Bonds 6,68 3, %-4.5% Series ;\.. 2 (.\!'vit) Term Bonds 16, 16, 4.65% ,68 2,36 Term Bonds 7,32 7, % , 26,41 26 SERIES B BONDS (S/F): 26 Series B (AM1) Term Bonds 5, 5, Variable-, 12% SERIES D BONDS (S/1'): 26 Series D-l (Non-AM1) Serial Bonds 6,97 2, %-4.5% Series D-2 (AMT) Term Bonds 7,17 7, % ,665 1,925 Term Bonds 1,915 1, % ,985 2,395 Term Bonds 7,75 6, % ,28 1,485 Term Bonds 12,87 12,87 4.9% ,13 3,69 26 Series D-3 (j\m'i) Term Bonds 5, 5, Variable,14% , 45,4 26 SERIES E BONDS (S/F): 26 Series E-1 (Non ;\M'I) Serial Bonds 6,895 2,79 3.9%-4.% Series E2 (AM'I) Term Bonds 5,535 5,365 4,75% ,725 1,845 Term Bonds 7,365 7, % ,36 1,59 Term Bonds 9,4 9,4 4.9% ,665 1,96 Term Bonds 11,165 11, % ,45 2,43 4, 35,725

46 Maturities/ Sinking Fund Original Installments Range of Required Amount Amount Interest on Bonds Annual Principal Payments Issued Outstanding Rate(s} Outstanding on Bonds 26 SERIES G BONDS (S/F): 26 SERIES G (AMI) Serial Bonds 6,17 2,99 4.5%-4.2% Term Bonds 15,295 15, % ,35 Term Bonds 7,25 7, % ,32 1,59 Term Bonds 11:285 11: % ,665 2,115 4: 36,82 26 SERIES I BONDS (M/F): 26 Series I-I (Non-AMT) Term Bonds 2,5 2,5 4.4% Series 1-2 (AMT) Term Bonds 9, 8,8 4.75% ,6 1,8 26 Series 1-3 (AMT) Term Bonds 7:5 Variable-.27% 19: 11:3 27 SERIES A BONDS (S/F): 27 Series A (AMI) Serial Bonds 4,84 3, %-4.45% ,5 Term Bonds 4,855 4, % ,7 Term Bonds 7,24 7, % ,35 1,65 Term Bonds 8:65 8: % ,45 1,78 25: 24: SERIES C BONDS (S/F): 27 Series C (AMT) Term Bonds 5, 5, 5.5% ,135 Term Bonds 8, 8, 5.13% ,1 1,9 Term Bonds 12: 12: 5.15% ,2 2,6 25: 25: 27 SERIES E BONDS (S/F): 27 Series E-l (AMI) Serial Bonds 2, % Term Bonds 1,45 1,45 4.8% Term Bonds 2,7 2,7 5.15% ,2 Term Bonds 1,1 1,1 5.3% ,81 4,3 27 Series E2 (AMT) Term Bonds 8: 8: Variable-.12% \ 22: SERIES A BONDS (S/F): 28 Series A-I (Non-AMT) Serial Bonds 6,5 6,5 3.35%-3.65% ,76 28 Series A-2 (AMI) Term Bonds 1,18 1,2 4.85% ,11 Term Bonds 1,985 1, % ,985 2,35 Term Bonds 7:785 7:52 5.2% ,94 35: 34, SERIES B BONDS (S/F): 28 Series B (AMT) Term Bonds 15: 15: Variable-l.5% ,25 1, SERIES C BONDS (S/F): 28 Series C-l (Non-AMT) Serial Bonds 12,26 12,26 3.3%-4.% ,38 5,4 28 Series C-2 (AMI) Term Bonds 1, % , 13,5 27

47 Maturities/ Sinking Fund Original Installments Range of Required Amount Amount Interest on Bonds Annual Principal Payments Issued Outstanding Rate{s} Outstanding on Bonds 28 SERIES D BONDS (S/F): 28 Series D (AM1) Term Bonds 2, 2, Variable-l.9% ,87 28 SERIES E BONDS (S/F - M/F): 28 Series E-1 (Non-AM1) Term Bonds 9,585 9,585 Variable-1.85% ,185 1,4 Term Bonds 3, 3, Variable-1.85% , 5, 28 Series E-2 (AM1) Term Bonds 25,415 25,415 Variable-l.9% ,415 4, Term Bonds 25,55 25,55 Variable-l.9% ,135 6,415 9,55 9,55 28 SERIES F BONDS (S/F): 28 Series F-l (Non-AM1) Serial Bonds 9,585 5, %-4.3% ,75 28 Series F-2 (Non-AM1) Term Bonds 5,58 5, % ,75 1,155 Term Bonds 7,1 7,1 5.15% ,37 1,46 Term Bonds 2,735 2,65 5.3% , 21,35 28 SERIES G BONDS (S/F): 28 Series G-1 (Non-AM1) Serial Bonds 2,425 15,23 4.5%-5.35% ,185 3,83 28 Series G-2 (Non-AM1) Serial Bonds 4,15 5.5% Term Bonds 5,2 6.% Term Bonds 7, % 37,7 15,23 28 SERIES H BONDS (S/F): 28 Series H (Non-AM1) Term Bonds 23, 23, Variable-.75% ,525 2,36 29 SERIES A BONDS (S/F): 29 Series A-l (Non-AM1) Serial Bonds 9,595 5, %-3.1% ,93 3,85 29 Series A-2 (Non-AM1) Serial Bonds 1,45 1,45 3.4%-4.13% ,45 Term Bonds 5, 5, 4.9% ,2 25, 2,42 29 SERIES B BONDS (S/F): 29 Series B (Non-AM1) Serial Bonds 11,15 8,33 2.2%-3.85% ,52 Term Bonds 5,365 5, % ,17 Term Bonds 13,485 13,485 5.% ,44 2,975 3, 27,18 29 SERIES C BONDS (S/F): 29 Series C (Non-AMT) Serial Bonds 8, 6,57 2.%-3.7% ,4 Term Bonds 2,885 2, % Term Bonds 11,795 11,795 5.% ,155 2,57 22,68 21,25 29 SERIES D BONDS (S/F): 29 Series D (Non-AM1) Serial Bonds 23,1 18,41 1.9%-4.1% ,575 2,75 Term Bonds 1,56 1, % Term Bonds 3,43 3,43 4.7% ,9 1,195 28, 23,4 28

48 Maturities/ Sinking Fund Original Installments Range of Required Amount Amount Interest on Bonds Annual Principal Payments Issued Outstanding Rate(s} Outstanding on Bonds 29 SERIES E BONDS (S/F): 29 Series E (Non-AMI') Term Bonds 42, 41, % ,22 3,68 42, 41,16 29 SERIES F-l BONDS (S/F): 29 Series F-l (Non-AMT) Term Bonds 36, 35, % ,96 3,17 36, 35,89 29 SERIES F-2 BONDS (S/F): 29 Series F-2 (Non-AMT) Term Bonds 21, 2, % ,11 1,67 21, 2,88 29 SERIES F-3 BONDS (S/F): 29 Series F-3 (Non-AMT) Term Bonds 24, 23,99 3.7% ,21 24, 23,99 29 SERIES F-4 BONDS (S/F): 29 Series F-4 (Non-AMT) Term Bonds 22, 22,.77% ,2 1,77 22, 22, 21 SERIES A BONDS (S/F): 21 Series A (Non-AMT) Serial Bonds 2,45 19,655 1.%-4.1% ,95 Term Bonds 3,595 3, % ,14 1,255 24, 23,25 21 SERIES B BONDS (S/F): 21 Series B-1 (Non-AMT) Serial Bonds 8,75 8, %-2.6% ,7 21 Series B-2 (Non-AMT) Term Bonds 9,495 9, % ,235 2, Series B-3 (Non-AMT) Serial Bonds 33,435 32,2 2.2%-4.6% ,74 51,68 5, SERIES C BONDS (S/F): 21 Series C (Non-AMT) Serial Bonds 13,2 13,2 1.1%-4.25% ,62 Term Bonds % , 14, 21 SERIES D BONDS (M/F): 21 Series D-l (Non-AMT) Serial Bonds 8,415 8, %-4.5% ,35 21 Series D-2 (Non-AMT) Serial Bonds 9,785 9, %-4.2% ,21 Term Bonds 8,46 8,46 5.5% ,2 Term Bonds 2,28 2, % ,94 28, SERIES A BONDS (S/F): 211 Series A (Non-AMT) Serial Bonds 12,65 12,65.65%-4.25% ,195 Term Bonds 3,35 3, % ,31 16, 16, 29

49 Maturities/ Sinking Fund Original Installments Range of Required Amount Amount Interest on Bonds Annual Principal Payments Issued Outstanding Rate(s} Outstanding on Bonds 211 SERIES B BONDS (M/F): 211 Series B-1 (Non-AMI) Serial Bonds 2,49 2,49 2.7%-3.75% ,425 4,735 Term Bonds 4,85 4,85 4.% , 3, Series B-2 (Non-AMI) Term Bonds 4,75 4, % , 2,75 29,325 29, SERIES C BONDS (M/F): 211 Series C-l (Non-AMI) Serial Bonds 27,32 27,32 2.%-3.75% ,25 5, Series C-2 (Non-AMI) Serial Bonds 6, 6, 3.88%-4.88% ,47 33,32 33, SERIES D BONDS (S/F): 211 Series D (Non-AMI) Serial Bonds 1,615 1, %-3.3% ,21 Term Bonds 7,385 7,385 4.% ,65 2,1 18, 18, 211 SERIES E BONDS (M/F): 211 Series E (Non-AMI) Serial Bonds 1,44 1,44.85%-1.7% ,48 Term Bonds 2,81 2, % ,25 13,25 1,416,26 Less: Unamortized Bond Discount (13,183} Total Mortgage Purchase Fund Group bonds payable 1,981,24 1,43,77 HOUSING FINANCE REVENUE FUND GROUP 1995 SERIES I BONDS (HI): 1995 Series I-I (Non-AMT) Serial Bonds 2,235 5.% Term Bonds 2, % 1995 Series 1-2 (AMT) Serial Bonds 2, 4.8% 1995 Series 1-4 (AMT) Serial Bonds 1,35 5.1% Term Bonds % Term Bonds 4,53 1, % , 1,53 1,53 Less: Unamortized Bond Discount (2} Total Housing Finance Revenue Fund Group bonds payable 15, 1,51 Total Proprietary Funds bonds payable 11,996,24 11,44,587 3

50 Maturities/ Sinking Fund Original Amount Issued Amount Outstanding Interest Rate(s) Installments on Bonds Outstanding Range of Required Annual Principal Payments on Bonds GOVERNMENTAL FUND MAINE ENERGY, HOUSING AND ECONOMIC RECOVERY FUND 21 Series 1 (Non-AMT) Serial Bonds $39,97 $39,97 2.5%-5.% 39,97 39,97 21 Series 2(Taxable) Serial Bonds 9,63 9, %-3.3% 9,63 9,63 49,6 Plus: Unamortized Bond Premium 523 Total Maine Energy, Housing & Recovery Fund Group bonds payable 49,6 5, ,8 1,345 2,82 Total Governmental Funds bonds payable $49,6 $5,123 The following table summarizes the debt activity for the period ended December 31, 211. Outstanding at Fund December 31, 21 Issuance Mortgage Purchase Fund Group $1,429,555 $19,895 Housing Finance Revenue Fund Group 7,86 Total Proprietary Funds 1,437,415 19,895 Maine Energy, Housing & Economic Recovery Fund 49,6 Total $1,487,15 $19,895 Retirement ($123,19) (6,332 (129,52) ($129,522 Outstanding at December 31, 211 $1,416,26 1,53 1,417,79 49,6 $1,467,39 31

51 Interest is payable semi-annually for the Mortgage Purchase Fund Group, Housing Finance Revenue Fund Group and the Maine Housing, Energy & Economic Recovery Fund. Scheduled principal payments on bonds are due November 15 for the Mortgage Purchase Fund Group, November 1 for the Housing Finance Revenue Fund Group and June 15 for the Maine Housing, Energy & Economic Recovery Fund. The interest calculations shown in the table below are based on the variable rate in effect at December 31,211 and may not be indicative of actual interest expense that will be incurred. As rates vary, variable rate bond interest payments and net swap payments will vary. The following table provides a summary of MaineHousing's debt service requirements and net interest rate swap payments through 216 and in five-year increments thereafter to maturity: Housing Finance Maine Energy, Housing & Economic Recovery Fund Mort~~ Purchase Fund GrouJ2 Revenue Fund GrouJ2 GrouE Fixed/Variable Variable Fixed Fixed Unswal2l2ed Swal2l2ed Interest Rate Unswal2l2ed Unswal2l2ed Year~sL PrinciEal Interest PrinciEal Interest SwaEs, Net PrinciEal Interest PrinciEal Interest 212 7,35 49, ,32 7, ,71 1, ,95 49, ,77 7, ,755 1, ,145 47, ,77 7, ,82 1, ,38 46, ,77 7, ,89 1, ,85 44,391 3,695 2,77 6, ,98 1, , ,554 18,25 1,75 25, ,265 5, ,33 13,926 26,3 9,527 15, ,18 2, ,735 75,664 61,67 6,28 8, ,255 3,928 72,165 2,66 2, ,27 7,335 51, ,55 2 Total $1,18,42 $674,741 $235,84 $39,519 $89,981 $1,53 $1,236 $49,6 $14,366 MaineHousing's bonds are a special obligation of MaineHousing and do not constitute a debt or liability of the State of Maine. The bonds are secured in accordance with the various resolutions. Security for bonds in the Proprietary Funds includes the mortgage loans made or purchased under the resolutions and all monies and investments in the funds and accounts pledged under the resolutions. Bonds in the Proprietary funds may be redeemed in excess of the annual maturities in accordance with the terms of the various resolutions. Bonds in the Maine Energy, Housing & Economic Recovery Fund are secured by a portion of the Real Estate Transfer Tax revenues collected by the State of Maine and the bonds may not be redeemed in excess of the annual maturities, until June 15,22. Moral Obligation Debt The reserve funds of the Mortgage Purchase Fund Group and Housing Finance Revenue Fund Group are secured by a non-binding obligation (moral obligation) from the State of Maine to replenish by appropriation any deficiency in such reserve funds. MaineHousing was authorized to have bonds outstanding for these programs in an aggregate amount not to exceed $2,15, as of December 31, 211. Of that amount, $1,467,39 was outstanding at December 31, 211. Other Debt MaineHousing had $24, of conduit debt outstanding at December 31,211. The conduit debt relates to revenue bonds issued by MaineHousing on behalf of a developer which will be paid solely from the revenues of the project, other assets of the developer, or an irrevocable direct pay letter of credit held by the Trustee. Therefore, these bonds are not a liability of MaineHousing and are not recognized in the accompanying fmancial statements. (6.) DERIVATIVES AND HEDGING INSTRUMENTS MaineHousing has entered into sixteen interest rate swap agreements with two counterparties as of December 31, 211. The objective of the agreements is to attain a synthetic fixed interest rate on the underlying bonds at a cost expected to be less than rates associated with fixed-rate debt. The swap agreement terms state MaineHousing is to make semi-annual fixed interest rate payments on a notional principal amount of bonds and in exchange receive semi-annual payments based upon either the thirty-day or ninety-day London InterBank Offered Rate (LIB OR) or the Securities Industry and Financial Markets Association Municipal Swap Index (SIFMA). Fair Value - The fair value amounts represent mid-market valuations that approximate the current economic value using market averages, reference rates, and/ or mathematical models. Actual trade prices may vary significantly from these estimates as a result of various factors, which may include portfolio composition, current trading intentions, prevailing credit spreads, market liquidity, hedging costs, and risk, position size, transaction and financing costs, and use of capital profit. If a swap is terminated, fair value represents the current amount required to settle the swap in the marketplace. A positive value represents money due to MaineHousing by the counterparty upon termination, while a negative value represents money payable by MaineHousing. The fair value of swap agreements are reflected as a Derivative investment - interest rate swaps liability and an offsetting asset Accumulated decrease in fair value of hedging derivatives in the Mortgage Purchase Fund Group in the accompanying financial statements. 32

52 The following table contains the terms, fair values, and credit ratings of the outstanding agreements as of December 31,211. The credit ratings were issued by Moody's Investor Services and Standard & Poor's respectively. Associated Debt Current Effective Maturities/ Fixed Variable Rate Fair Swap Counterparty Issuance Notional Date of Sinking Rate Received Value Termination Credit Rating Amount Swap Fund Paid Date Installments 24 Series B-3 $2, 8/24/4 11/15/ % 63% of3 day ($1,8) 11/15/223 2 Aal/A+ 11/15/35 LIBOR plus.2% 24 Series C-3 $15, 1/26/4 11/15/ % 63% of3 day ($1,219) 11/15/221 2 Aa3/A 11/15/39 LIBOR plus.2% 24 Series D-3 $15, 1/18/5 11/15/ % 65% of3 day ($1,267) 11/15/221 2 Aal/A+ 11/15/39 LIBOR plus.2% 25 Series B $15, 4/26/5 11/15/ % 1 % of 9 day ($2,291) 11/15/215 Aa3/A 11/15/2 LIBOR 25 Series C $11,125 8/23/5 11/1/ % 65% of9 day ($1,116) 11/15/232 3 Aa3/A 11/1/39 LIBOR plus.1% 25 Series D-3 $2, 8/2/5 11/15/ % 65% of3 day ($1,942) 11/15/2364 Aal/A+ 11/15/38 LIBOR plus.2% 25 Series G $21,715 2/1/6 11/15/ % 65% of3 day ($6,479) 11/15/237 Aal/A+ 11/15/37 LIBOR plus.2% 26 Series B $5, 3/14/6 11/15/ % 65% of9 day ($96) 11/15/219 Aa3/A 11/15/36 LIBOR plus.2% 26 Series D-3 $5, 7/11/6 11/15/ % 65% of9 day ($742) 11/15/216 Aal/A+ 11/15/35 LIBOR plus.2% 27 Series E-2 $8, 9/12/7 11/15/ % 65% of9 day ($1,131) 11/15/2275 Aa3/A 11/15/41 LIBOR plus.2% 28 Series B $15, 1/29/8 11/15/ % 1% of SIFMA ($2,691) 5/15/2235 Aal/A+ 11/15/41 plus.6% 28 Series D $2, 4/8/8 11/15/ % 7% of9 day ($2,239) 11/15/222 5 Aa3/A 11/15/42 LIBOR plus.2% 28 Series E-l, E- $17,5 4/22/8 11/15/ % 67% of 3 day ($2,46) 11/15/218 Aa3/A 2 11/15/3 LIBOR 28 Series E-l, E- $17,5 12/23/3 11/15/ % 67% of 3 day ($2,46) 11/15/218 Aal/A+ 2 11/15/3 LIBOR 28 Series E-l $15, 4/22/8 11/15/ % 67% of 3 day ($867) 11/15/232 1 Aa3/A 11/15/32 LIBOR 28 Series E-l $15, 12/23/3 11/15/ % 67% of 3 day ($867) 11/15/232 1 Aal/A+ 11/15/32 LIBOR Totals $235,84 ($29,649) 1 MaineHousing has the option of tennmation, with no Tennmation Payment on November 15, 213 and on each May 15 and November 15 thereafter. 2 MaineHousing has the option of tennmation, with no Termination Payment on November 15, 214 and on each May 15 and November 15 thereafter. 3 MaineHousing has the option of tennmation, with no Termination Payment on May 15, 215 and on each May 15 and November 15 thereafter. 4 MaineHousing has the option of termination, with no Tennmation Payment on November 15, 215 and on each May 15 and November 15 thereafter. 5 MaineHousing has the option of tennmation, with no Tennmation Payment on November 15, 217 and on each May 15 and November 15 thereafter. Credit Risk - As of December 31, 211, MaineHousing is not exposed to credit risk because all outstanding swaps have negative fair values. A positive fair value of the swaps would represent MaineHousing's credit exposure to the two counterparties. The swap agreements contain varying collateral agreements with the counterparties in order to mitigate the potential for credit risk. These requirements are met as of December 31, 211. Basis Risk - The floating rate payments provided by the counterparties are based upon either the SIFMA index or the LIBOR index. The LIBOR rate will be adjusted on a monthly basis, except for 25 Series B, which is adjusted on a quarterly basis. MaineHousing's floating rate bonds will have rates adjusted weekly. MaineHousing's bonds are expected to track with the SIFMA Index, which differs from the LIBOR index. If the floating rate tax exempt bonds, which should correspond to the SIFMA index, trade at a value significandy different than their historical relationship to LIBOR, the net cost to MaineHousing could increase or decrease. As of December 31, 211 the thirty day LIB OR rate was.3%,67% of the thirty-day LIBOR rate was.2%,63% of the thirty-day LIBOR rate plus.2% was.39% and 65% of the thirty-day LIBOR rate plus.2% was.39%. As of December 31,211 the ninety day LIBOR rate was.58% and 65% of the ninety-day LIBOR rate plus.1% was.48%, 65% of the ninety-day Libor rate plus.2% was.58% and 7% of the ninety-day LIBOR rate plus.2% was.61 %. The SIFMA rate was.12% at December 31, 211 and 1% of the SIFMA Rate plus.6% was.18%. Termination Risk - In addition to the optional terminations embedded in some of MaineHousing's Swap Agreements, Swap Agreements may be terminated in whole or in part prior to the respective maturities of the bonds under certain circumstances (including certain events of default with respect to MaineHousing or the Swap Providers). Following certain terminations of the Swap Agreements, either MaineHousing or the Swap Providers, as applicable, may owe a Termination Payment equal to the fair value of the swap to the other, depending upon market conditions and the events that caused such Swap Agreements to terminate. Under certain circumstances, this Termination Payment could be substantial. Such Termination Payment by MaineHousing would be payable on a basis subordinate to the Bonds. 33