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Freddie Mac Wants $10.6 Billions (More)

From a seemingly surprised Associated Press:

Freddie Mac Seeks Billions More After Big Loss

May 5, 2010

WASHINGTON (AP) — Freddie Mac is asking for $10.6 billion in additional federal aid after posting a big loss in the first three months of the year.

The new request will bring the total bill for rescuing Freddie Mac, which has been effectively owned by the government since nearly collapsing in September 2008, to $61.3 billion.

Freddie Mac said Wednesday that it lost $8 billion, or $2.45 a share, in its first quarter. The results compared with a loss of $10.4 billion a year earlier. The most recent quarter includes $1.3 billion in dividends paid to the Treasury Department.

The company, however, cautioned that new accounting standards made it difficult to compare the most recent quarter with the year-earlier period. In the first quarter of this year, Freddie Mac was forced to bring $1.5 trillion in assets and liabilities onto its balance sheet, causing the company’s net worth to fall by $11.7 billion

Mr. Haldeman cautioned, though, that the housing market “remains fragile with historically high delinquency and foreclosure levels” and high unemployment…

The total taxpayer bill for both [of the Congress created] Freddie Mac and its sibling company, Fannie Mae, is now about $136 billion.

Lest we forget, the financial reform bill now before Congress does nothing to address the problems at Freddie Mac and Fannie Mae.

Why is that?

This article was posted by Steve on Thursday, May 6th, 2010. Comments are currently closed.

6 Responses to “Freddie Mac Wants $10.6 Billions (More)”

  1. BigOil says:

    Fannie and Freddie are the ideal corporations as envisioned by Barry – operate in perpetuity without ever making any evil profits. Social justice par excellence.

  2. bill says:

    Weird that the financial reform bill doesn’t address the government made problem.

    How did you think the wall street types were able to trade these sub-prime mortgages as securities. Back by the full faith and credit, financial disaster made by the Congress, and now rigged fixed by congress.

  3. proreason says:

    Drooling Barney must be so proud.

    Destroying the country is a nice payback for being so perverted that even other perverts reject you.

  4. Right of the People says:

    Are Freddie and his ho Fannie too big to fail?

  5. Mae says:

    Love those yellow flowers out front around Freddie’s sign. Floral yellow is considered a symbol of purity, clarity, truth and intellect. And isn’t it sort of bizarre that they have a sign with the nickname of their corporation rather than the actual name. Who does that!

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