(from www.sec.gov)
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Fannie Mae |
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| '96 (in $ 000s) | '95 (in $ 000s) | |
| Assets | 351,041,000 | 316,550,000 |
| Net Income | 2,725,000 | 2,144,000 |
Description:
Fannie Mae is a government-
sponsored enterprise chartered by Congress to ensure that money for home mortgages is available to consumers across the country. The company purchases mortgages from banks and packages them for sale to investors, mostly big institutions. Fannie Mae is owned by stockholders but operates with property tax breaks—courtesy of Congress—that have made it the subject of controversy.
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Fannie Mae had its 10th consecutive year of record earnings, one in which its stock reached record highs. The company's net mortgage portfolio grew by $34 billion in 1996, to $286 billion, an increase of 13 percent. In addition, its total capital increased by $1.8 billion, to $13.5 billion. In 1996 the company used excess cash to buy back 48 million shares of preferred stock and issued $1 billion worth of common stock. The stock repurchasing plan was credited with helping the company boost its earnings per share.
The company also stayed on track with its commitment to provide financing for 10 million low- and moderate-income homeowners by the end of the decade. The company said that 66 percent of its total business in 1996 met the goal of helping these targeted populations.
The company received some unwelcome news in December when a D.C. jury found Fannie Mae guilty of gender discrimination and ordered the company to pay $6.9 million in damages to a former manager.
