(Bloomberg) — Freddie Mac, the U.S.-owned mortgage financier, will send $746 million to the Treasury Department next month after reporting first-quarter net income of $524 million.
The new payment by McLean, Va.-based Freddie Mac, which has been under conservatorship since 2008, will bring total returns to $92.6 billion, according to a regulatory filing Tuesday, far beyond what the company received in federal aid to stay afloat during the credit crisis.
The company again avoided a quarterly loss even while suffering sizable expenses from derivatives — totaling $2.4 billion in the period that ended March 31 — that under generally accepted accounting principles aren't offset by gains on the assets being hedged. Losses in any period that reduce its net worth, which is steadily declining under its bailout agreement, below zero would require the company to take more U.S. funds, potentially drawing unwanted attention from policy makers.
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