Posted on 02/26/2010 3:31:23 PM PST by OldDeckHand
WASHINGTON (Reuters) - Fannie Mae, the largest provider of residential mortgage funds, on Friday reported a loss of $16.3 billion for the fourth quarter of last year and said it requested $15.3 billion from the Treasury to keep its net worth in positive territory.
The government-controlled company said it would need additional taxpayer funds in the future to continue operations.
Fannie Mae said the quarterly loss came as rising defaults kept credit-related expenses elevated at $11.9 billion, though expenses were almost half the third quarter level of $22.0 billion.
Fannie Mae's quarterly loss was $15.2 billion before a $1.2 billion dividend payment on senior preferred stock owned by the Treasury, putting total 2009 losses at $74.4 billion, compared with $59.8 billion in 2008.
With the $15.3 billion request for funds from Treasury, Fannie has now asked for $76.2 billion from the Treasury's unlimited credit line.
Fannie Mae said the losses were likely to be ongoing.
(Excerpt) Read more at reuters.com ...
Freddie Mac Announces That It Will Cease Purchases of Interest Only Mortgages
http://freddiemac.com/news/archives/mbs/2010/20100226_initial_interest_mortgages.html
Exactly. I will personally join that revolution.
Look, just because the federal government can’t run a lending program, mass transit, or mail delivery without requiring constant bailouts by the taxpayer doesn’t mean it shouldn’t run health care. Thanks OldDeckHand.
Hey Barney! Your chickens are back!
Just like that.
"So sorry. We lost money. So PAY UP, or else."
Yeah but that would mean grand juries, long drawn-out trials... boring stuff like that.
Perhaps we can just drag them through the streets like the good ol' days. I'd pay the $15 billion to see THAT.
Gangsters running our government.
NO KIDDING!
TARP to the banks is being repaid in full or nearly so.
However, the taxpayer money poured into Fannie and Freddie we’ll never see again.
And there will be more dollars down this rathole to come.
Folks, pay close attention to Fannie and Freddie. This is EXACTLY how Obamacare will play out.
Providing health insurance under Obamacare regulation will not be an ordinary competitive activity for companies.
Over the first few years of Obamacare, there will be mergers, encouraged by the government, until there is only a handful of eligible national health insurance providers.
By necessity, these handful of companies will be very closely tied to the federal bureaucracy, as the most important business factor for each of them will be their relationship with their regulator.
Like Fannie and Freddie, the few national health insurance companies will be seen by the market as quasi-federal entities, with an implicit federal guarantee of their financing requirements.
At some point, there will be a dip in the market or some other event and the insolvency of these few companies will be made obvious.
Then, like Fannie and Freddie, the companies will be brought directly under the federal umbrella and we will thereby be at the single-payer system which was the object of Obamacare from the beginning.
I guess the “implied guarantee” was for real after all. Unwinding Fannie and Freddie through bankruptcy, and all the economic pain that will come with it, is inevitable, but this President and any President will spend whatever he can to keep that from happening on his watch.
Goldman Sachs
Yep. And Sachs just “buried” Greece.....for 300 million in commissions ;-)
“When does this **** stop?”
When the folks who are floating the money for it stop doing so.
Goldman Sachs
Actuallly, no.
In fact, it was DemocRat political hacks like Franklin Raines and James Johnson, among others.
Raines was Clinton's budget director before being given the plum job of CEO at Fannie.
Johnson was a politico under Mondale in the Carter administration before becoming CEO at Fannie.
These guys made mucho, mucho bucks as executives of these quasi-governmental entities.
If Obamacare passes, the few national health insurance companies will be the same way. DemocRat party hacks will be rewarded with the lucrative executive positions at these companies. They will run the companies into the ground, until the inevitable federal takeover.
CLOSE their DOORS ALREADY!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
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