Fannie Mae Exec Says Losses To Worsen

Law360, New York (August 11, 2008, 12:00 AM EDT) -- The liquidity crisis continues to hammer major lender Fannie Mae, which has posted a whopping $2.3 billion second-quarter loss, and executives say the financial tailspin shows not signs of winding down.

Fannie Mae, which, along with fellow lender Freddie Mac owns or guarantees about half of the U.S.'s $5.2 trillion in mortgages, reported the losses on Friday.

The company is likely to incur more losses this year, Fannie Mae chief Daniel Mudd said, and he cannot pinpoint when the housing market will bottom out and begin...
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