By Clea Benson and Jody Shenn | Bloomberg
Fannie Mae, the mortgage-finance company operating under U.S. conservatorship, will pay the Treasury Department $1.8 billion after reporting net income of $1.9 billion for the first quarter.
The company, which was seized along with smaller rival Freddie Mac during the credit crisis in 2008, will have returned $138.2 billion to the federal government after it makes the payment next month, according to a regulatory filing Thursday.
“This was another quarter of strong financial performance,” Timothy J. Mayopoulos, Fannie Mae’s chief executive officer, said in a statement. “While we experienced some interest rate volatility again this quarter, we expect to remain profitable on an annual basis for the foreseeable future.