announced that it recorded $3 billion net income in the third quarter, a drop from the $3.2 billion net income earned in the second quarter. The government-sponsored enterprise (GSE) stated the decline was primarily caused by higher credit-related expenses, mostly from losses following the recent hurricanes, which was partially offset by a $975 million settlement over private mortgage-backed securities.
Fannie Mae also announced that it will pay a $3 billion dividend to the U.S. Treasury in December, bringing its total payments to $168.8 billion since it entered federal conservatorship in 2008.
“Fannie Mae is consistently delivering a steady stream of innovations to our customers,” said Timothy J. Mayopoulos, President and Chief Executive Officer. “We see their challenges as Fannie Mae’s challenges, and we are listening to their feedback to make our customer solutions better and smarter. As our third quarter results demonstrate, our performance and focus on customers have put us in a strong position to continue serving all parts of the market.