facebook
twitter
rss
account
search
search
 

Freddie Mac makes $4.6 billion profit in quarter

May 8, 2013 at 4:29 PM   |   Comments

WASHINGTON, May 8 (UPI) -- Bailed out U.S. mortgage giant Freddie Mac said Wednesday it earned $4.6 billion in the first quarter of the year due to a recovery in the housing market.

"Not surprisingly, the strong rebound in the housing market ... continued to be reflected in our excellent financial performance in the first quarter," said the financial firm's chief executive officer, Donald Layton.

Based on its first-quarter performance, Freddie Mac, which is the nickname for the Federal Home Loan Mortgage Corp., will pay the U.S. Treasury Department a $7 billion dividend payment, The Wall Street Journal reported.

The payment will bring the total the company has paid the Treasury in dividends to $34.7 billion.

The mortgage giant, however, has not yet reached financial targets that would allow it to write up tax assets that were written down during the financial crisis and the collapse of the housing market.

Although it could reach those targets in the next quarter, "We're sort of not even getting to first base yet," Layton said.

Topics: Freddie Mac
© 2013 United Press International, Inc. All Rights Reserved. Any reproduction, republication, redistribution and/or modification of any UPI content is expressly prohibited without UPI's prior written consent.
Recommended UPI Stories
Featured UPI Collection
trending
Celebrity Couples of 2014 [PHOTOS]

Celebrity Couples of 2014 [PHOTOS]

Most Popular
1
Apple in talks to launch iPhone wallet
2
Iran boasts of nuclear energy potential
3
Libya claims oil output growing
4
Build starts on Russia-China gas pipeline
5
Gazprom Neft exporting new Iraqi oil
Trending News
Video
x
Feedback