Freddie Mac: $21.6 BILLION loss for 2009

Freddie Mac Press Release (2/24/10):
Full-year 2009 net loss was $21.6 billion. After dividend payments of $4.1 billion during the year to Treasury on the senior preferred stock, net loss attributable to common stockholders was $25.7 billion, or $7.89 per diluted common share, for the full-year 2009.

Fourth quarter 2009 net loss was $6.5 billion. After the dividend payment of $1.3 billion to the U.S. Department of the Treasury (Treasury) on the senior preferred stock, net loss attributable to common stockholders was $7.8 billion, or $2.39 per diluted common share, for the fourth quarter of 2009.

"In a trying and turbulent year, Freddie Mac played a critical role in supporting the nation's housing recovery," said Freddie Mac Chief Executive Officer Charles E. Haldeman, Jr. "We provided a constant source of liquidity – purchasing one out of every four home loans originated last year – and our presence in the market helped keep mortgage rates at historic lows. We also helped approximately 1.8 million borrowers lower their mortgage payments, and more than a quarter million families avoid foreclosure.

"We start 2010 with some early signs of stabilization in the housing market, with house prices and home sales likely nearing the bottom sometime in 2010. We expect that low mortgage rates, relatively high affordability and the homebuyer tax credit will help continue to fuel the recovery.

Still, the housing recovery remains fragile, with significant downside risk posed by high unemployment and a potential large wave of foreclosures. That's why our commitment to help struggling homeowners is steadfast – and we will continue working to find ways to keep families in their homes through both our own programs and the Obama Administration's Making Home Affordable Program."

Since the government took over Fannie and Freddie, the incurred losses continue to be the burden of the taxpayer and we did not have a choice in the matter. Freddie losses $6.5 billion in a single quarter yet the CEO recently received the green light on a $6 million compensation package. What a SHAM!