Last week, we learned that Fannie Mae lost another $1.2 billion in the second quarter and crawled over to the Treasury to request another $1.5 billion. Today, we find out that Freddie Mac did even worse. It lost $4.71 billion and needs another $1.8 billion from the Treasury. The Wall Street Journal provides the detail:
Freddie posted a loss of $4.71 billion, compared with a prior-year profit of $302 million. Including preferred-dividend payments to the Treasury Department, the company's per-share loss widened to $1.85 from 26 cents. The company posted $3.84 billion worth of derivatives losses for the quarter, compared with gains of $2.36 billion a year earlier.
So things are getting worse, not better. The two GSEs combined bailout has now exceeded $150 billion.
Read the full story at the Wall Street Journal.