Freddie Mac , after having received $51 billion in taxpayer aid since last fall, reported its first quarterly profit in two years on Friday and said that it doesn't need any more government money for now.
In another sign of stabilization in the financial markets, the McLean mortgage-finance giant said it earned $768 million in the second quarter, compared with a loss of $821 million in the corresponding period last year , Washington Post reports.
However, Freddie Mac and its sibling Fannie Mae have received hundreds of billions of dollars as part of a virtual government takeover aimed at avoiding their collapse in the wake of the subprime mortgage crisis.
"We are pleased that our financial results allowed us to finish the quarter with a positive net worth, meaning we will not need to request any additional financial support from the government at this time," Koskinen said , AFP reports.
“We are pleased that our financial results allowed us to finish the quarter with a positive net worth, meaning we will not need to request any additional support from the government at this time,” said interim chief executive John Koskinen in a statement. “While we are seeing some early signs pointing to a housing recovery – including a modest uptick in housing prices in some markets – our outlook remains cautious due to rising foreclosures, growing unemployment, tight lending standards and buyers’ reluctance to re-enter the market.” , Bizjournals.com reports.