|
|
Government-controlled mortgage company Fannie Mae is asking for $1.5 billion in additional taxpayer aid after posting a smaller loss in the second quarter.
Fannie Mae (FNMA) said Thursday that it lost $3.13 billion, or 55 cents a share, in the April-to-June period. The results were the best since the company was put under federal control in September 2008.
That takes into account $1.9 billion in dividends paid to the Treasury Department. It compares with a loss of $15.2 billion, or $2.67 a share, in the quarter a year ago.
"Across our industry, we are seeing a more realistic approach to housing and lending that bodes well for the future," Mike Williams, the company's chief executive, said in a statement.
The government rescued Fannie Mae and sibling company Freddie Mac from the brink of failure two years ago. The new request means they have needed nearly $147 billion to stay afloat.
Fannie and Freddie own or guarantee about half of all U.S. mortgages, or nearly 31 million home loans worth more than $5 trillion. They buy home loans from lenders, package them into bonds with a guarantee against default and sell them to investors.
Source: USA Today
