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View Full Version : Fannie Mae asking the federal government for $7.8 billion in aid



pwaldo
11-18-2011, 04:26 PM
http://news.yahoo.com/fannie-mae-loss-widens-asks-taxpayers-7-8b-221752510.html


Mortgage giant Fannie Mae is asking the federal government for $7.8 billion in aid to cover its losses in the July-September quarter.

The government-controlled company said Tuesday that it lost $7.6 billion in the third quarter. Low mortgage rates reduced profits and declining home prices caused more defaults on loans it had guaranteed.

The government rescued Fannie Mae and sibling company Freddie Mac in September 2008 to cover their losses on soured mortgage loans. Since then, a federal regulator has controlled their financial decisions.

Taxpayers have spent about $169 billion to rescue Fannie and Freddie, the most expensive bailout of the 2008 financial crisis. The government estimates that figure could reach up $220 billion to support the companies through 2014 after subtracting dividend payments.

Fannie has received $112.6 billion so far from the Treasury Department, the most expensive bailout of a single company.

Hilfiger1975
11-18-2011, 04:30 PM
I guess better them than a foreign country...:rolleyes:

theonedru
11-18-2011, 05:44 PM
When a company amasses that much in loss and needs that much to stay afloat then its best to just let them go under. We will survive.

freethrowtommy
11-18-2011, 06:43 PM
When a company amasses that much in loss and needs that much to stay afloat then its best to just let them go under. We will survive.

Agreed! If the government doesn't tell them to get bent, that's crap.

I am sick of the socialized losses and privatized gains. You can bet if they had a surplus, the wouldn't be giving out interest free loans (or even low interest loans).

Let them fail.

INTIMADATOR2007
11-18-2011, 10:21 PM
Plus they are wanting 12 million in bonuses for the people who run these failed instituions .

duane1969
11-19-2011, 10:09 AM
It is kind of hard to comprehend the logic in giving bonuses to a CEO and executives who have overseen a company/corporation that had nearly $8 billion in losses in a single fiscal quarter.

pspstatus
11-19-2011, 06:52 PM
Maybe if we let these companies fail they will start doing more honest business. I say let Fannie and Freddie both wither away.

tylermckinzie
11-20-2011, 01:13 AM
Yeah, we'll see them go under any day now...... because politicians will let that happen.

The two entities spent over $170 million on political and lobbying operations in a 10-year period leading up to the financial crisis of 2008 when both were seized by the government as they teetered on the brink of failure, according to the Center for Responsive Politics.

http://www.reuters.com/article/2011/11/18/usa-campaign-freddie-idUSN1E7AG1S420111118

jimstone
11-21-2011, 04:37 AM
It's a different day in age... slowly but surely, it's starting to come around. Banks backtracking on their decisions to charge $5 a month in debit fees because of massive customer losses, and the...

duane1969
11-21-2011, 09:09 AM
You had me at $5, you lost me saying Ron Paul is a front runner...

Star_Cards
11-21-2011, 10:19 AM
When a company amasses that much in loss and needs that much to stay afloat then its best to just let them go under. We will survive.

I agree. if the product or service is needed, a company capable of doing the job and making a profit will step in.

Star_Cards
11-21-2011, 10:22 AM
It is kind of hard to comprehend the logic in giving bonuses to a CEO and executives who have overseen a company/corporation that had nearly $8 billion in losses in a single fiscal quarter.

it's very difficult to comprehend. We have a bonus plan at my office. We get the bonus if we hit the goals for the year. If not, no bonus. I don't see how a bonus can be received if a company loses money. I guess one could have incentives that aren't tied to finances, but seems that most would be.

Let the people that can't run the company successfully fail their way out and replace them with someone who can run it and make money.