Fannie Mae Requests Another $1.5 Billion in Aid After 2Q Loss
The extra funds would raise the total assistance to Fannie Mae to $86.1 billion, the company said in its earnings report. Federal assistance has helped keep Fannie Mae afloat, but also created a large dividend obligation.
"The company does not expect to earn profits in excess of its annual dividend obligation to Treasury for the indefinite future," Fannie Mae said.
The company reported a net loss of $1.2 billion for the second quarter, compared with a loss of $11.5 billion in the first quarter. Net revenue rose to $4.5 billion, from $3 billion in the first three months of the year.
Credit-related expenses fell by $7 billion to $4.9 billion as the rate of seriously delinquent loans fell.