Mortgage giant, Freddie Mac, posted their first profit in two years. The news sent shares soaring, up more than ninety percent at one point. In addition, Freddie Mac says they do not need more aid from the government, "at this time".
Net income, in the second quarter, for the company was at around $768 million. Most of the profit can be attributed to gains due to interest rates rising, lower funding and adjustments to their accounting. They further reduced future credit losses by nearly four billion dollars.
Chief executive officer, John Koskinen, said, 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.
-- Edited by TW on Monday 10th of August 2009 12:57:28 PM
