Freddie Mac Adopts Guidelines to Reduce Delinquent Loans (Reuters)  (22-02-2008)

New York -- (Reuters) - In an effort to minimize losses from delinquent loans, Freddie Mac is applying rules that expand criteria which have to be met for the purchase of loans in arrears from its mortgage securities.

 As the company’s bond guarantee obligations do not need as much backing as loans they own in their portfolio, Freddie Mac is expecting to reduce the need for extra capital.

 At the end of November the company had raised $6 billion through a preferred stock offering and had to raise further funds to meet its regulatory requirements, as it expects to see raised loan delinquencies during the running year.

 Source Reuters