7/31/2009

Federal Housing Finance Agency Director James Lockhart expressed doubt that Fannie Mae and Freddie Mac will ever be able to repay the $85 billion they received from the government. "Their book is so large," Lockhart said. "It's hard for me to see that they will be able to repay all of that." His comments are a public acknowledgment that taxpayers likely will lose billions of dollars from financial rescues despite claims that the funds were investments that would be regained.

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