REVENUES AND EXPENSES	1996	1995
	(unaudited)	(for comparative purposes)
Revenues
Interest, Non-Federal	$ 506,341	$ 82,931
Interest, Federal	915,999	847,844
Other Revenue	4,068	316
Total Revenues	1,426,408	931,091
Expenses
Direct Loan Subsidy Expense	495,189	436,132
Guaranteed Loan Subsidy Expense	4,564,504	2,651,988
Elementary and Secondary Education Grants	9,421,680	9,324,757
Postsecondary Education Grants	7,635,721	8,149,761
Special Education and Rehabilitative Services Grants	5,741,667	5,580,045
Other Grants	1,485,292	2,035,320
Interest Expense	1,516,150	1,036,332
Salaries and Administrative Expenses	452,495	401,932
Contractual Program Expenses	645,060	667,261
Bad Debt and Write-offs	(26,592)	2,919
Other Expenses, Net	--	559
Total Expenses	31,931,166	30,287,006
Net Operating Activity	$ (30,504,758)	$ (29,355,915)
CHANGES IN NET POSITION
Net Position, Beginning of Year	$25,743,645	$22,665,748
Net Operating Activity	(30,504,758)	(29,355,915)
Plus (Minus) Non-Operating Changes
Appropriated Funds Received	29,378,082	33,274,634
Appropriated Funds Returned	(1,295,524)	(875,040)
Appropriations Transferred (To) From Others	(25,113)	34,218
Net Position, End of Year	$ 23,296,332	$ 25,743,645

[Consolidated Statement of Financial Position]

[Consolidated Statement of Cash Flows]