May 8th, 2009
12:05 PM ET
5 years ago

Fannie loses $23 billion, seeks more U.S. aid

NEW YORK (CNNMoney.com) - Fannie Mae, the troubled mortgage finance company, reported a first-quarter loss of $23.2 billion on Friday.

The mortgage giant also reported that it submitted a request for $19 billion from the Treasury Department to cover its losses. That followed a request earlier this year for $15.2 billion to cover 2008 losses.

It also said Treasury has doubled its support level to the company to $200 billion, as President Obama had authorized.

In its quarterly release, Fannie Mae said its entire mortgage portfolio was experiencing increases in delinquency and default rates. It blamed the rise in unemployment, falling home prices and the revaluation of homes in the wake of the economic downturn.

Full story


Filed under: Treasury
soundoff (31 Responses)
  1. mistake, break Fannie Mae up

    get the govt out of the loan business, break it up and regulate the hell out of it

    May 8, 2009 02:05 pm at 2:05 pm |
  2. single mom

    Ask the politicians for the donations back and stop paying the lobbyists. Start with Schumer and Dodd.
    NO MORE BAILOUTS!!!

    May 8, 2009 02:05 pm at 2:05 pm |
  3. yuri

    Say no to more bail outs to anybody. We are sick and tired of this panhandlings by bigger companies where scandals are almost the order ot the day, which they may deny vehemently.

    May 8, 2009 02:09 pm at 2:09 pm |
  4. Kevin in Ohio

    Ask Barney Frank and Chris Dodd to cover it with THEIR money........

    May 8, 2009 02:10 pm at 2:10 pm |
  5. obama/mama

    Hell to the no!!!!!

    May 8, 2009 02:12 pm at 2:12 pm |
  6. sandy

    ENOUGH IS ENOUGH. When we start seeing these hot-shots giving up their fancy lifestyles etc. then maybe, but not until.

    May 8, 2009 02:12 pm at 2:12 pm |
  7. Mississippi Mike

    It's mind-boggling how much money we keep throwing at this trash heap of a company. We need to just let it go bankrupt and be done with it.

    May 8, 2009 02:13 pm at 2:13 pm |
  8. Cowboy in West Texas

    Okay – so – we bail out Fannie and then comes Freddie - when do I as a tax payer get to live in one of the houses we as taxpayers will own.........Time to stop the bleeding!

    May 8, 2009 02:16 pm at 2:16 pm |
  9. 60's survivor

    I put a lot of blame on bad management and probably corruption thrown in for good measure.

    May 8, 2009 02:19 pm at 2:19 pm |
  10. Fair is Fair

    Thank you, Barney Frank and Christopher Dodd.

    May 8, 2009 02:21 pm at 2:21 pm |
  11. bk

    Ask Dodd and Franks for the money.

    May 8, 2009 02:23 pm at 2:23 pm |
  12. dominican mama 4 Obama

    You reap what you sow!! Don't come knocking on my door for more money. what needs to happen now is off with the head of their CEO! If he couldn't turn the company around maybe somebody else could. You mofos have a hell of a lot of nerve!

    May 8, 2009 02:42 pm at 2:42 pm |
  13. Southpa

    Crank up the printing presses, Tiny Tim needs more dough for his bros at Fannie.

    May 8, 2009 02:44 pm at 2:44 pm |
  14. bill

    If you think that I'm mad about Fannie Mae losing money last year, asking for taxpayer handouts, losing money this year, again asking for taxpayer handouts, while paying bonuses to it's executives who make tremendous salaries, you bet I am.

    My wife and I got pennies on the dollar for the Fannie Mae bonds that we had for our retirement and we are suffering in retirement now.

    In the words of Marie Antoinette, "Let them eat cake!"

    May 8, 2009 02:59 pm at 2:59 pm |
  15. Mia and Mike

    No more money Fannie!!

    May 8, 2009 03:09 pm at 3:09 pm |
  16. Proud DHS radical

    And lets not forget the hundreds of millions paid out in bonuses to the Fannie Mae executives the other month but there were no pubic outcry over this as there was with AIG.

    Instead of simply letting this poorly run company file bankruptcy, the government is only prolonging the inevitable, much like they did with GM. Look for Obama to be throwing more of our tax dollars down the proverbial drain. The money wasted by this administration since January would have easily paid for the liberals much desired health care plan.

    May 8, 2009 03:10 pm at 3:10 pm |
  17. Neil

    No more money for Fannie Mae or Freddie Mac until a complete criminal investigation. The government has to stop lining the pockets of criminals. These people took the risk, now they should be accountable for their actions.

    May 8, 2009 03:16 pm at 3:16 pm |
  18. mjm

    "In its quarterly release, Fannie Mae said its entire mortgage portfolio was experiencing increases in delinquency and default rates. It blamed the rise in unemployment, falling home prices and the revaluation of homes in the wake of the economic downturn."

    In short, Fannie blamed itself.

    May 8, 2009 03:26 pm at 3:26 pm |
  19. Shasta

    How much are the execs making?

    May 8, 2009 03:45 pm at 3:45 pm |
  20. joe smith

    now maybe we will find out the skinny on Mr. Kellerman, when his report on Freddie Mac is released..got to love those bonuses..

    May 8, 2009 03:49 pm at 3:49 pm |
  21. Mike in MN

    No more bailouts!
    It is clear that the bailouts are not helping. They do nothing to stop home mortgage defaults. The only thing that makes sense is for the banks to renegotiate the mortgages to interest rates and terms that the home owners can pay. The banks need to find a way to keep the home owners in their homes and making the mortgage payments. The banks might take some losses in regegotiating, but not as bad as having the mortgage default and getting stuck with hundreds or thousands of empty repossed homes and no one to sell them to. If the banks won't do that, then let them fail.

    May 8, 2009 03:53 pm at 3:53 pm |
  22. phoenix86

    Take savings from Barney Frank and Chris Dodd. They are the ones that prodded Fannie Mae into lending to unqualified buyers.

    May 8, 2009 03:56 pm at 3:56 pm |
  23. simon/Orlando

    Maybe they can borrow it from Barnie "let's give everybody a loan no matter if they can ever pay it back or not" Frank.

    May 8, 2009 03:57 pm at 3:57 pm |
  24. Fendell Crews

    Obama with unlimited monies will save you and never mind the mindless masses who will have all cost of living activities increase for years to come, but the income will not increase. Obama's "change" in action....

    May 8, 2009 04:03 pm at 4:03 pm |
  25. cookie-cutter liberal

    I feel it is absolutely imperative that we keep Fannie Mae going... after all, how else will low-income families be able to afford pricey homes? What, you mean actually pay for them.... maybe that was the case when white Republicans (I hate you so much!) and selfish white capitalists (I hate you even more!) ran this country, but this is the Obama Era, where reason, empathy, and progressivism dictate the direction of our country.

    May 8, 2009 04:12 pm at 4:12 pm |
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