Preferred Stock Investments

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A program under the Housing and Economic Recovery Act of 2008

2 recipients

$110.6 billion promised

$110.6 billion actually invested, loaned, or spent

More info from www.financialstability.gov

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Initiatives and Programs » Housing and Economic Recovery Act of 2008

Fannie and Freddie Bailout

On Sep. 7, 2008, Fannie and Freddie were essentially nationalized: placed under the conservatorship of the Federal Housing Finance Agency. Under the terms of the rescue, the Treasury has invested billions to cover the companies' losses.

Initially, Treasury Secretary Hank Paulson put a ceiling of $100 billion for investments in each company. In February of 2009, Tim Geithner raised it to $200 billion. In December, the Treasury removed any cap for the aid. The money was authorized by the Housing and Economic Recovery Act of 2008, passed in July, 2008.

Documents from the Treasury Department:
Freddie Mac Certificate
Freddie Mac Purchase Agreement and Amendments
Fannie Mae Certificate
Fannie Mae Purchase Agreement and Amendments

More info from www.financialstability.gov

Go to list of all initiatives and programs

For our blog, resources and more, see our main bailout page.

The following list shows the 2 recipients of Preferred Stock Investments.

Name	State	Date Entered	Amount Committed by PSI	Amount Returned to PSI	Total Bailout Commitment
Fannie Mae	D.C.	Nov 4, 2009	$59,900,000,000		$59,900,000,000
Freddie Mac	Va.	Sep 30, 2009	$50,700,000,000		$50,700,000,000

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