The decline is mainly due to net losses associated with derivatives, hedged items, and financial instruments carried at fair value for the fourth quarter of 2011.
For the full year period ended 31 December 2011, the bank’s net income stood at $216, with a $183m decrease from $399m during the year-over-year period.
Weak US economic condition pertaining to the housing and home mortgage markets, which shortened member demand for advances and leading to a continued decline in advances balances, were the prime factors in the decline of the bank’s earning, said the bank.
Net interest income for the fourth quarter of 2011 was $245m, down from $270m during the same period a year ago.
US based bank’s full year net interest income was $1bn, fall $300m compared to $1.3bn during the last fiscal year.
Other income/(loss) for the quarter was a loss of $87m, compared to a loss of $38m for the fourth quarter of 2010, mainly contributed by the net loss associated with derivatives, hedged items and financial instruments.
