American Land Title Association
Print Friendly
Home  >  News Room
News Room

SoftPro is the nation's leading provider of Real Estate Closing and Title Insurance software

North American Title Insurance Company is a seasoned title insurance underwriter that has been helping customers achieve the American dream of homeownership for more than 50 years. In the past several years, we have become known as the “underwriter next door,� because our associates are always easy to reach and our processes are, at all times, quick and straightforward. Our agency application process is fast and transparent for qualified agents. NATIC offers a one-hour underwriting response guarantee that is unparallelled in our industry. In addition, we value our agents based on their title industry knowledge and experience, not just on profits alone.

Freddie Mac earnings down 60% in first half of year

September 1, 2005

Beleaguered mortgage giant's net income falls to $1.64 billion

Inman News

Freddie Mac's earnings dropped nearly 60 percent in the first half of the year as the mortgage giant emerged from its accounting crisis, the mortgage giant reported Wednesday.

The second-largest U.S. buyer of home mortgages reported that its net income fell to $1.64 billion, or $2.22 a share, in January through June 2005, from $4.07 billion, or $5.74 a share, in the same period last year.

The government-sponsored enterprise has been working to straighten out a $5 billion misstatement of earnings for 2000-2002. Freddie Mac had not turned in a quarterly financial report since it discovered the accounting problems in June 2003.

The earnings report was issued after the close of regular trading.

Freddie Mac said the earnings decline was due mainly to a drop in interest income and to losses from changes in the value of financial instruments, known as derivatives, that it uses to hedge against interest-rate and other risk.

Interest income is expected to continue to decline this year, the company said.

The earnings decline in the first six months had been expected by financial analysts.

"We are making excellent progress on improving the business in ways that will both advance our housing mission and reward our stockholders," Richard Syron, Freddie Mac's chairman and chief executive officer, said in a statement.

Both the White House and Federal Reserve Chairman Alan Greenspan say Fannie Mae and Freddie Mac pose a risk to the economy because they have grown too large. Legislation to curb the companies' mortgage holdings is currently under consideration in Congress.

In December 2004, Fannie Mae replaced Franklin Raines, its chairman and CEO, who announced he was taking early retirement, and Fannie Mae's chief financial officer, Timothy Howard, resigned Dec. 21.

Fannie Mae's financial accounting troubles have drawn shareholder lawsuits and investigations by the Justice Department and the Securities and Exchange Commission.

Copyright 2005 Inman News

Print Friendly

How To Find Us:
American Land Title Association
1800 M Street, NW, Suite 300S
Washington, D.C. 20036-5828
P. 202.296.3671 F. 202.223.5843
Copyright © 2004-2016 American Land Title Association. All rights reserved.
SecurityMetrics for PCI Compliance, QSA, IDS, Penetration Testing, Forensics, and Vulnerability Assessment