On May, 6, 2011, Fannie Mae reported a net loss of $6.5 billion for the first quarter. It has posted losses for 14 out of the last 15 quarters. Fannie’s loss was related to the increase in loan-loss reserves after it revised down its homeprice forecast for 2011 and took bigger-than-expected losses on the sale of foreclosed properties. Fannie has around $206 billion in delinquent loans on its books.
Fannie announced that it would ask the US government for a fresh infusion of capital of $6.2 billion after paying dividends to the Treasury.
The government has so far provided 86 billion to Fannie (and $52 billion to /Freddie Mac). It receives preferred shares that pay a 10% dividend.