Freddie Mac Turning a Corner?

Freddie Mac reported a net income of $676 million during the first quarter of 2011. This was the finance agency's best performance since 2008 when the government stepped in a took it over. The Wall Street Journal reported that Freddie Mac paid $1.6 billion to the US government and did not make any new requests to the US Treasury for additional aid. New mortgage defaults have declined and mortgage modifications have begun to prove to be relatively more successful than initially thought which has helped bolster revenues. WSJ's article also listed positive momentum in the US job market and tightened lending guidelines by Freddie Mac and Fannie Mae as having a positive impacts on the agencies' bottom lines. Ross Kari, Freddie Mac's CFO, was quoted as saying that "we're encouraged by the trends" He later added, "we're not putting up a 'mission accomplished' sign on the front of the building either."

You can read the entire Wall Street Journal article here:
http://online.wsj.com/article/SB10001424052748704322804576303563366140154.html?mod=WSJ_RealEstate_LeftTopNews