WASHINGTON (AP) – Mortgage giant Freddie Mac reported net income of $1 billion for the second quarter, down from the same period of 2015.
The company said Tuesday its income from fees received from lenders for guaranteeing mortgages increased in the April-through-June period, but it sustained losses on investments because of the decline in interest rates.
McLean, Virginia-based Freddie will pay a dividend of $933 million to the U.S. Treasury next month. Freddie will have paid $99.1 billion in dividends, exceeding its government bailout of $71 billion.
The government rescued Freddie and larger sibling Fannie Mae at the height of the financial crisis in September 2008, after they suffered huge losses from risky mortgages in the housing market bust.