Fannie Mae Posts Record Profit

[Nbadan]

Weren't they edging toward extinction just three short years ago?

Fannie Mae Posts Record Profit; Paid Taxpayers $11.6 Billion In 2012

Last edited Wed Apr 3, 2013, 12:46 AM USA/ET - Edit history (2)
Source: http://www.npr.org/blogs/thetwo-way/2013/04/02/176

The government-controlled mortgage giant Fannie Mae, which needed a $116 billion federal bailout after the housing bubble burst in 2007, said Tuesday that it earned a record $7.6 billion in fourth-quarter 2012 and $17.2 billion for the year.

That allowed it to pay $11.6 billion in dividends to the U.S. Treasury Department last year, Fannie Mae says. Since 2008, it has "paid taxpayers $35.6 billion in dividends." Looking ahead, "we expect our earnings to remain strong over the next few years," Timothy Mayopoulos, president and chief executive officer, said in a statement.

Read more: NPR


All up Fannie & Freddie have been a good investment

Fannie Mae Beats Wal-Mart and GE With Record Profit in 2012

Washington-based Fannie Mae and McLean, Virginia-based Freddie Mac (FMCC) buy mortgages from lenders and package them into securities on which they guarantee payments of principal and interest. Since they were taken into conservatorship in 2008, the two companies have drawn $187.5 billion from Treasury and have sent back $65.2 billion in dividends, which count as a return on the government’s investment and not as a repayment.

Freddie Mac reported in February that it earned $11 billion in 2012, compared with a loss of $5.3 billion in 2011
http://www.bloomberg.com/news/2013-0...-recovery.html

A Government-run program that provides stability to home ownership and pays taxpayers back? Say it ain't so...

[CosmicCowboy]

You really are stupid aren't you?

[Nbadan]

Since 2008, it has "paid taxpayers $35.6 billion in dividends.

35.6 billion on a $116 billion loan....that's a better return than solar panels...idiot...

[Wild Cobra]

35.6 billion on a $116 billion loan....that's a better return than solar panels...

LOL...

I have to agree with you on that one Dan.

[CosmicCowboy]

35.6 billion on a $116 billion loan....that's a better return than solar panels...idiot...

Not hardly.

ing Fed has spent trillions trying to keep interest rates artificially low plus bought trillions of toxic mortgage backed securities back from ing TBTF banks so that Fannie/Freddie don't have to honor their guarantee. You are just too ing stupid to see the relationship and how the actions of the fed have spoon fed "profits" to fannie and freddy. The government just moved the losses from the banks/fannie/freddy to the Fed which isn't subject to audit or normal profit/loss rules of business. Not saying I didn't take advantage of the low interest rates but I'm at least smart enough to realize they have been manipulated.

[Nbadan]

The big banks would have been bailed out with or without the Fannie Mae guarantees...

[TDMVPDPOY]

so what happen to the bad assets/securities on their books?

[CosmicCowboy]

so what happen to the bad assets/securities on their books?

Fed has already said they expect to lose big money on the securities they bought(and are still buying) from the banks, just don't know how big.

[CosmicCowboy]

The big banks would have been bailed out with or without the Fannie Mae guarantees...

Point is, the Fannie/Freddy "profits" are fake.

[TDMVPDPOY]

the govt controlled company fannie mae, all its doing is buying up all the bad assets of other companys to save them, while it only hurts one company if it falls, in other words any scenario will be taxpayer bailout

fannie mae = fed = printing monopoly money now....

[boutons_deux]

the simple summary on the Banksters Great Depression is that the taxpayers bailed out the banks (US and foreign), not the Real Economy of Human-Americans

[TeyshaBlue]

35.6 billion on a $116 billion loan....that's a better return than solar panels...idiot...

lol simpleton.

[CavsSuperFan]

Obama should just become the USA private sector King & teach business how to make a profit…

[coyotes_geek]

the simple summary on the Banksters Great Depression is that the taxpayers bailed out the banks (US and foreign), not the Real Economy of Human-Americans

True, but nbadan seems to be okay with it. Look at Fannie!