Freddie Mac Reports Net Income of $3.8 Billion for First Quarter 2022
Making Home Possible for Over 835,000 Households in First Quarter 2022
•Financed 691,000 mortgages, with 52% of eligible loans being affordable to low- to moderate-income families, and enabled 111,000 first-time homebuyers to purchase a home
•Financed 144,000 rental units, with 95% of eligible units being affordable to low- to moderate-income families
First Quarter 2022 Financial Results
| | | | | | | | | | | | | | | | | | | | |
Market Liquidity Provided - $223 Billion | | Homes and Rental Units Financed - 835,000 | |
Net Worth - $31.7 Billion
| | Total Mortgage Portfolio - $3.3 Trillion |
| | | | | | | | | | | | | | |
| Consolidated | | •Net income of $3.8 billion, an increase of 37% year-over-year, driven by higher net revenues and a credit reserve release in Single-Family •Net revenues of $5.8 billion, an increase of 11% year-over-year, primarily driven by higher net interest income and an increase in net investment gains •Benefit for credit losses of $0.8 billion, driven by a credit reserve release due to observed house price appreciation and higher forecasted house prices •New business activity of $207 billion, down 43% year-over-year, as refinance activity moderated •Mortgage portfolio of $2.9 trillion, up 17% year-over-year, driven by continued house price appreciation and strong home purchase activity •Serious delinquency rate of 0.92%, down from 1.12% at December 31, 2021 and 2.34% at March 31, 2021, driven by the decline of loans in forbearance •Completed approximately 49,000 loan workouts •55% of mortgage portfolio covered by credit enhancements •New business activity of $15 billion, up 7% year-over-year •Mortgage portfolio of $415 billion, up 5% year-over-year, driven by ongoing loan purchase and securitization activity •Delinquency rate of 0.08%, unchanged from December 31, 2021 and down from 0.17% at March 31, 2021 •94% of mortgage portfolio covered by credit enhancements | | “Freddie Mac delivered a strong first quarter performance, with net income exceeding both the first and fourth quarters of 2021. Single-Family serious delinquencies have declined to their lowest point in two years, and Multifamily delinquencies are at near pre-pandemic levels as well. We remain intensely focused on our expansive mission, with an emphasis on promoting greater equity and sustainability.”
Michael J. DeVito Chief Executive Officer |
| |
Net Revenues $5.8 Billion Net Income $3.8 Billion Comprehensive Income $3.7 Billion | | |
| | |
| Single-Family | | |
| |
Net Revenues $5.2 Billion Net Income $3.4 Billion Comprehensive Income $3.4 Billion | | |
| | |
| Multifamily | | |
| |
Net Revenues $0.6 Billion Net Income $0.4 Billion Comprehensive Income $0.3 Billion | | |
Freddie Mac First Quarter 2022 Financial Results
April 28, 2022
Page 2
McLean, VA — Freddie Mac (OTCQB: FMCC) today reported net income of $3.8 billion for the first quarter of 2022, an increase of 37% year-over-year, due to higher net revenues and a credit reserve release in Single-Family.
Net revenues increased 11% year-over-year to $5.8 billion, primarily driven by higher net interest income and an increase in net investment gains. Net interest income increased 13% year-over-year to $4.1 billion, primarily driven by continued mortgage portfolio growth and higher average portfolio guarantee fee rates in Single-Family. Net investment gains increased 25% year-over year to $1.5 billion, as higher gains in Single-Family offset a decline in Multifamily.
Benefit for credit losses increased $0.6 billion year-over-year to $0.8 billion, driven by a credit reserve release due to observed house price appreciation and higher forecasted house prices.
Summary of Consolidated Results of Operations
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
(Dollars in millions) | | 1Q 2022 | | 4Q 2021 | | Change | | 1Q 2021 | | Change |
| Net interest income | | $4,104 | | $4,756 | | ($652) | | $3,639 | | $465 |
| Guarantee income | | 70 | | 182 | | (112) | | 248 | | | (178) |
| Investment gains (losses), net | | 1,513 | | 519 | | 994 | | 1,208 | | | 305 |
| Other income (loss) | | 159 | | 108 | | 51 | | 178 | | | (19) |
| Net revenues | | 5,846 | | 5,565 | | 281 | | 5,273 | | | 573 |
| Benefit (provision) for credit losses | | 837 | | (138) | | 975 | | 196 | | | 641 |
| Salaries and employee benefits | | (356) | | (356) | | 0 | | (344) | | | (12) |
| Credit enhancement expense | | (459) | | (428) | | (31) | | (335) | | | (124) |
| Benefit for (decrease in) credit enhancement recoveries | | (17) | | (32) | | 15 | | (257) | | | 240 |
| Legislative assessments expense | | (759) | | (761) | | 2 | | (691) | | | (68) |
| Other expense | | (341) | | (415) | | 74 | | (361) | | | 20 |
| Non-interest expense | | (1,932) | | (1,992) | | 60 | | (1,988) | | 56 |
| Income (loss) before income tax (expense) benefit | | 4,751 | | 3,435 | | 1,316 | | 3,481 | | | 1,270 |
| Income tax (expense) benefit | | (953) | | (691) | | (262) | | (714) | | | (239) |
| Net income (loss) | | 3,798 | | 2,744 | | 1,054 | | 2,767 | | 1,031 |
| Other comprehensive income (loss), net of taxes and reclassification adjustments | | (120) | | (22) | | (98) | | (389) | | | 269 |
| Comprehensive income (loss) | | $3,678 | | $2,722 | | $956 | | $2,378 | | $1,300 |
|
| Conservatorship metrics (in billions) | | | | | | | | | | |
| Net worth | | $31.7 | | $28.0 | | $3.7 | | $18.8 | | $12.9 |
| Senior preferred stock liquidation preference | | 100.7 | | 98.0 | | 2.7 | | 89.1 | | 11.6 |
| Remaining Treasury funding commitment | | 140.2 | | 140.2 | | — | | 140.2 | | — |
| Cumulative dividend payments to Treasury | | 119.7 | | 119.7 | | — | | 119.7 | | — |
| Cumulative draws from Treasury | | 71.6 | | 71.6 | | — | | 71.6 | | — |
| | | | | | | | | | |
| | | | | | | | | | |
| | | | | | | | | | |
| | | | | | | | | | |
| | | | | | | | | | |
| | | | | | | | | | |
| | | | | | | | | | |
| | | | | | | | | | |
| | | | | | | | | | |
| | | | | | | | | | |
| | | | | | | | | | |
| | | | | | | | | | |
| | | | | | | | | | |
| | | | | | | | | | |
| | | | | | | | | | |
| | | | | | | | | | |
| | | | | | | | | | |
| | | | | | | | | | |
| | | | | | | | | | |
| | | | | | | | | | |
Freddie Mac First Quarter 2022 Financial Results
April 28, 2022
Page 3
| | |
| Single-Family Segment |
| Financial Results |
Net Revenues
(In millions)
Comprehensive Income
(In millions)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
(Dollars in millions) | | 1Q 2022 | | 4Q 2021 | | Change | | 1Q 2021 | | Change |
| Net interest income | | $3,806 | | $4,425 | | ($619) | | $3,308 | | $498 |
| Non-interest income | | 1,408 | | 277 | | 1,131 | | 541 | | 867 |
| Net revenues | | 5,214 | | 4,702 | | 512 | | 3,849 | | 1,365 |
| Benefit (provision) for credit losses | | 831 | | (157) | | 988 | | 146 | | 685 |
| Non-interest expense | | (1,778) | | (1,791) | | 13 | | (1,809) | | 31 |
| Income (loss) before income tax (expense) benefit | | 4,267 | | 2,754 | | 1,513 | | 2,186 | | 2,081 |
| Income tax (expense) benefit | | (856) | | (555) | | (301) | | (448) | | (408) |
| Net income (loss) | | 3,411 | | 2,199 | | 1,212 | | 1,738 | | 1,673 |
| Other comprehensive income (loss), net of taxes and reclassification adjustments | | (12) | | 5 | | (17) | | (328) | | 316 | |
| Comprehensive income (loss) | | $3,399 | | $2,204 | | $1,195 | | $1,410 | | $1,989 |
Key Drivers
Net income increased year-over-year, mainly driven by:
•Higher net interest income primarily due to continued mortgage portfolio growth and higher average portfolio guarantee fee rates.
•Higher non-interest income primarily due to higher net investment gains driven by mark-to-market gains on commitments to sell guaranteed mortgage-related securities used to economically hedge the securitization pipeline, as spreads on agency mortgage-related securities widened during the quarter.
•Higher benefit for credit losses driven by observed house price appreciation and higher forecasted house prices.
Freddie Mac First Quarter 2022 Financial Results
April 28, 2022
Page 4
| | |
| Single-Family Segment |
| Business Results |
New Business Activity
(UPB in billions)
Mortgage Portfolio
(UPB in billions)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | 1Q 2022 | | 4Q 2021 | | Change | | 1Q 2021 | | Change |
| New Business Statistics: | | | | | | | | | | |
| Single-Family homes funded (in thousands) | | 691 | | | 955 | | | (264) | | 1,231 | | (540) |
| Purchase borrowers (in thousands) | | 279 | | | 357 | | | (78) | | 291 | | (12) |
| Refinance borrowers (in thousands) | | 412 | | | 598 | | | (186) | | 940 | | (528) |
Affordable to low- to moderate-income families (%)(1) | | 52 | | | 54 | | | (2) | | | 49 | | | 3 | |
First-time homebuyers (%)(2) | | 48 | | | 46 | | | 2 | | | 46 | | | 2 | |
| Average guarantee fee rate charged (bps) | | 49 | | | 47 | | | 2 | | 50 | | (1) |
| Weighted average original loan-to-value (LTV) (%) | | 72 | | | 71 | | | 1 | | | 69 | | | 3 | |
| Weighted average original credit score | | 746 | | | 748 | | | (2) | | 759 | | (13) |
| UPB covered by new CRT issuance (in billions) | | $208 | | $242 | | ($34) | | $245 | | ($37) |
| Portfolio Statistics: | | | | | | | | | | |
| Average guarantee fee rate charged (bps) | | 47 | | 46 | | 1 | | 45 | | 2 |
| Weighted average current LTV (%) | | 54 | | | 55 | | | (1) | | | 58 | | | (4) | |
| Weighted average current credit score | | 756 | | 756 | | — | | 754 | | 2 |
| Loan count (in millions) | | 13.4 | | 13.1 | | 0.3 | | 12.3 | | 1.1 |
| Credit-Related Statistics: | | | | | | | | | | |
| Loan workout activity (in thousands) | | 49 | | 62 | | (13) | | 94 | | (45) |
| Credit enhancement coverage (%) | | 55 | | | 53 | | | 2 | | | 50 | | | 5 | |
(1) Eligible loans acquired affordable to families earning at or below 120% of area median income (AMI).
(2) Calculated as a percentage of purchase borrowers with loans secured by primary residences.
Business Highlights
•The company provided funding for approximately 691,000 single-family homes, more than 412,000 of which were refinance loans. First-time homebuyers represented 48% of new single-family home purchase loans.
•Single-Family loan workout activity decreased to 49,000, from 94,000 in the first quarter of 2021, as the overall forbearance population continues to decline.
•Credit enhancement coverage of the Single-Family mortgage portfolio increased to 55% from 50% in the first quarter of 2021, primarily due to the new business activity included in credit risk transfer (CRT) transactions.
Freddie Mac First Quarter 2022 Financial Results
April 28, 2022
Page 5
| | |
| Multifamily Segment |
| Financial Results |
Net Revenues
(In millions)
Net Income
(In millions)
Comprehensive Income
(In millions)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| (Dollars in millions) | | 1Q 2022 | | 4Q 2021 | | Change | | 1Q 2021 | | Change |
| Net interest income | | $298 | | $331 | | ($33) | | $331 | | ($33) |
| Guarantee income | | 40 | | 147 | | (107) | | 159 | | | (119) |
| Investment gains (losses), net | | 261 | | 348 | | (87) | | 908 | | | (647) |
| Other income (loss) | | 33 | | 37 | | (4) | | 26 | | | 7 |
| Net revenues | | 632 | | 863 | | (231) | | 1,424 | | | (792) |
| Benefit (provision) for credit losses | | 6 | | 19 | | (13) | | 50 | | | (44) |
| Non-interest expense | | (154) | | (201) | | 47 | | (179) | | | 25 |
| Income (loss) before income tax (expense) benefit | | 484 | | 681 | | (197) | | 1,295 | | | (811) |
| Income tax (expense) benefit | | (97) | | (136) | | 39 | | (266) | | | 169 |
| Net income (loss) | | 387 | | 545 | | (158) | | 1,029 | | | (642) |
| Other comprehensive income (loss), net of taxes and reclassification adjustments | | (108) | | (27) | | (81) | | (61) | | | (47) |
| Comprehensive income (loss) | | $279 | | $518 | | ($239) | | $968 | | ($689) |
Key Drivers
Net income decreased year-over-year, mainly driven by:
•Lower guarantee income as continued growth in the Multifamily guarantee portfolio was offset by the impact of rising interest rates on the fair values of guarantee assets.
•Lower net investment gains due to spread widening and lower initial pricing margins on new loan purchases.
Freddie Mac First Quarter 2022 Financial Results
April 28, 2022
Page 6
| | |
| Multifamily Segment |
| Business Results |
New Business Activity
(UPB in billions)
Mortgage Portfolio
(UPB in billions)
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | 1Q 2022 | | 4Q 2021 | | Change | | 1Q 2021 | | Change |
| New Business Statistics: | | | | | | | | | | |
| Number of rental units financed (in thousands) | | 144 | | 223 | | (79) | | 134 | | 10 |
Affordable to low-income families (%)(1) | | 72 | | | 57 | | | 15 | | | 77 | | | (5) | |
Affordable to low- to moderate-income families (%)(2) | | 95 | | | 91 | | | 4 | | | 97 | | | (2) | |
| Weighted average original LTV (%) | | 67 | | | 67 | | | — | | | 69 | | (2) | |
| Weighted average original debt service coverage ratio | | 1.33 | | 1.33 | | — | | 1.38 | | (0.05) |
| UPB covered by new CRT issuance (in billions) | | $14 | | $23 | | ($9) | | $26 | | ($12) |
| Portfolio Statistics: | | | | | | | | | | |
| Average guarantee fee rate charged (bps) | | 43 | | 42 | | 1 | | 41 | | 2 |
| Unit count (in thousands) | | 4,616 | | 4,652 | | (36) | | 4,613 | | 3 |
| Credit-Related Statistics: | | | | | | | | | | |
| Credit enhancement coverage (%) | | 94 | | | 94 | | | — | | | 92 | | | 2 | |
(1) Eligible units acquired affordable to families earning at or below 80% of AMI.
(2) Eligible units acquired affordable to families earning at or below 120% of AMI.
Business Highlights
•The company provided financing for more than 144,000 multifamily rental units. 72% of the eligible multifamily rental units financed were affordable to low-income families.
•UPB covered by new CRT issuance significantly decreased to $14 billion from $26 billion in the first quarter of 2021, primarily due to a smaller securitization pipeline and no Structured Credit Risk Trust note transactions in the first quarter of 2022.
•While the mortgage portfolio increased slightly as of March 31, 2022 compared to December 31, 2021, total portfolio unit count decreased, primarily driven by the impact of portfolio payoffs and higher per unit cost of newly financed multifamily properties as a result of property price appreciation.
•Credit enhancement coverage of the Multifamily mortgage portfolio increased to 94% from 92% in the first quarter of 2021.
Freddie Mac First Quarter 2022 Financial Results
April 28, 2022
Page 7
About Freddie Mac’s Conservatorship
Since September 2008, Freddie Mac has been operating under conservatorship with FHFA as Conservator. The support provided by Treasury pursuant to the Purchase Agreement enables the company to maintain access to the debt markets and have adequate liquidity to conduct its normal business operations. The amount of funding available to Freddie Mac under the Purchase Agreement was $140.2 billion at March 31, 2022.
Pursuant to the Purchase Agreement, Freddie Mac will not be required to pay a dividend to Treasury on the senior preferred stock until it has built sufficient capital to meet the capital requirements and buffers set forth in the Enterprise Regulatory Capital Framework. As a result, the company was not required to pay a dividend to Treasury on the senior preferred stock in March 2022. As the company builds capital during this period, the quarterly increases in its Net Worth Amount have been, or will be, added to the aggregate liquidation preference of the senior preferred stock. The liquidation preference of the senior preferred stock increased to $100.7 billion on March 31, 2022 based on the $2.7 billion increase in the Net Worth Amount during the fourth quarter of 2021, and will increase to $104.4 billion on June 30, 2022 based on the $3.7 billion increase in the Net Worth Amount during the first quarter of 2022.
Additional Information
For more information, including information related to Freddie Mac’s financial results, conservatorship, and related matters, see the company’s Quarterly Report on Form 10-Q for the quarter ended March 31, 2022 and the company’s First Quarter 2022 Financial Results Supplement. These documents are available on the Investor Relations page of the company’s website at www.FreddieMac.com.
Additional information about Freddie Mac and its business is also set forth in the company’s other filings with the SEC, which are available on the Investor Relations page of the company’s website at www.FreddieMac.com and the SEC’s website at www.sec.gov. Freddie Mac encourages all investors and interested members of the public to review these materials for a more complete understanding of the company’s financial results and related disclosures.
Webcast Announcement
Management will host a conference call at 9 a.m. Eastern Time on April 28, 2022 to share the company’s results with the media. The conference call will be concurrently webcast. To access the audio webcast, use the following link: https://edge.media-server.com/mmc/p/rippuc8p. The replay will be available on the company’s website at www.FreddieMac.com for approximately 30 days. All materials related to the call will be available on the Investor Relations page of the company’s website at www.FreddieMac.com.
| | | | | |
| |
| Media Contact: Frederick Solomon (703) 903-3861 | Investor Contact: Laurie Garthune (571) 382-4732 |
| |
* * * *
This press release contains forward-looking statements, which may include statements pertaining to the conservatorship, the company’s current expectations and objectives for its Single-Family and Multifamily segments, its efforts to assist the housing market, liquidity and capital management, economic and market conditions and trends, its market share, the effect of legislative and regulatory developments and new accounting guidance, the credit quality of loans the company owns or guarantees, the costs and benefits of the company’s CRT transactions, the effects of natural disasters, other catastrophic events, including the effects of the COVID-19 pandemic, and significant climate change effects and actions taken in response thereto on its business, results of operations, and financial condition. Forward-looking statements involve known and unknown risks and uncertainties, some of which are beyond the company’s control. Management’s expectations for the company’s future necessarily involve a number of assumptions, judgments, and estimates, and various factors, including changes in market conditions, liquidity, mortgage spreads, credit outlook, uncertainty about the duration, severity, and effects of the COVID-19 pandemic and actions taken in response thereto, actions by the U.S. government (including FHFA, Treasury, and Congress) and state and local governments, and the impacts of legislation or regulations and new or amended accounting guidance, could cause actual results to differ materially from these expectations. These assumptions, judgments, estimates, and factors are discussed in the company’s Annual Report on Form 10-K for the year ended December 31, 2021, Quarterly Report on Form 10-Q for the quarter ended March 31, 2022, and Current Reports on Form 8-K, which are available on the Investor Relations page of the company’s website at www.FreddieMac.com and the SEC’s website at www.sec.gov. The company undertakes
Freddie Mac First Quarter 2022 Financial Results
April 28, 2022
Page 8
no obligation to update forward-looking statements it makes to reflect events or circumstances occurring after the date of this press release.
Freddie Mac makes home possible for millions of families and individuals by providing mortgage capital to lenders. Since its creation by Congress in 1970, the company has made housing more accessible and affordable for homebuyers and renters in communities nationwide. The company is building a better housing finance system for homebuyers, renters, lenders, and taxpayers. Learn more at FreddieMac.com, Twitter @FreddieMac and Freddie Mac’s blog FreddieMac.com/blog.
Freddie Mac First Quarter 2022 Financial Results
April 28, 2022
Page 9
FREDDIE MAC
Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) (Unaudited)
| | | | | | | | | | | | | | | | | | | | |
| | |
(In millions, except share-related amounts) | | 1Q 2022 | | 4Q 2021 | | 1Q 2021 |
| Net interest income | | | | | | |
| Interest income | | $17,740 | | $16,604 | | $13,902 |
| Interest expense | | (13,636) | | | (11,848) | | | (10,263) | |
| Net interest income | | 4,104 | | | 4,756 | | | 3,639 | |
| Non-interest income (loss) | | | | | | |
| Guarantee income | | 70 | | | 182 | | | 248 | |
| Investment gains (losses), net | | 1,513 | | | 519 | | | 1,208 | |
| Other income (loss) | | 159 | | | 108 | | | 178 | |
| Non-interest income (loss) | | 1,742 | | | 809 | | | 1,634 | |
| Net revenues | | 5,846 | | | 5,565 | | | 5,273 | |
| Benefit (provision) for credit losses | | 837 | | | (138) | | | 196 | |
| Non-interest expense | | | | | | |
| Salaries and employee benefits | | (356) | | | (356) | | | (344) | |
| Credit enhancement expense | | (459) | | | (428) | | | (335) | |
| Benefit for (decrease in) credit enhancement recoveries | | (17) | | | (32) | | | (257) | |
| Legislative assessments expense | | (759) | | | (761) | | | (691) | |
| Other expense | | (341) | | | (415) | | | (361) | |
| Non-interest expense | | (1,932) | | | (1,992) | | | (1,988) | |
| Income (loss) before income tax (expense) benefit | | 4,751 | | | 3,435 | | | 3,481 | |
| Income tax (expense) benefit | | (953) | | | (691) | | | (714) | |
| Net income (loss) | | 3,798 | | | 2,744 | | | 2,767 | |
| Other comprehensive income (loss), net of taxes and reclassification adjustments | | (120) | | | (22) | | | (389) | |
| Comprehensive income (loss) | | $3,678 | | $2,722 | | $2,378 |
| Net income (loss) | | $3,798 | | $2,744 | | $2,767 |
| Future increase in senior preferred stock liquidation preference | | (3,678) | | (2,722) | | (2,378) |
| Net income (loss) attributable to common stockholders | | $120 | | $22 | | $389 |
| Net income (loss) per common share | | $0.04 | | $0.01 | | $0.12 |
| Weighted average common shares outstanding (in millions) | | 3,234 | | | 3,234 | | | 3,234 | |
Freddie Mac First Quarter 2022 Financial Results
April 28, 2022
Page 10
FREDDIE MAC
Condensed Consolidated Balance Sheets (Unaudited) | | | | | | | | | | | | | | |
| | March 31, | | December 31, |
(In millions, except share-related amounts) | | 2022 | | 2021 |
| Assets | | | | |
| Cash and cash equivalents (includes $957 and $1,695 of restricted cash and cash equivalents) | | $10,526 | | $10,150 |
| Securities purchased under agreements to resell | | 69,617 | | | 71,203 | |
| Investment securities, at fair value | | 53,244 | | | 53,015 | |
| Mortgage loans held-for-sale (includes $8,101 and $10,498 at fair value) | | 17,014 | | | 19,778 | |
| Mortgage loans held-for-investment (net of allowance for credit losses of $4,389 and $4,947) | | 2,915,915 | | | 2,828,331 | |
| Accrued interest receivable, net | | 7,675 | | | 7,474 | |
| Deferred tax assets, net | | 5,865 | | | 6,214 | |
| Other assets (includes $7,190 and $6,594 at fair value) | | 28,998 | | | 29,421 | |
| Total assets | | $3,108,854 | | $3,025,586 |
| Liabilities and equity | | | | |
| Liabilities | | | | |
| Accrued interest payable | | $6,266 | | $6,268 |
Debt (includes $5,038 and $2,478 at fair value) | | 3,059,125 | | | 2,980,185 | |
| Other liabilities (includes $722 and $287 at fair value) | | 11,752 | | | 11,100 | |
| Total liabilities | | 3,077,143 | | | 2,997,553 | |
| Commitments and contingencies | | | | |
| Equity | | | | |
Senior preferred stock (liquidation preference of $100,681 and $97,959) | | 72,648 | | | 72,648 | |
| Preferred stock, at redemption value | | 14,109 | | | 14,109 | |
| Common stock, $0.00 par value, 4,000,000,000 shares authorized, 725,863,886 shares issued and 650,059,553 shares outstanding | | — | | | — | |
| | | | |
| Retained earnings (accumulated deficit) | | (51,195) | | | (54,993) | |
| AOCI, net of taxes, related to: | | | | |
| Available-for-sale securities | | 174 | | | 297 | |
| Other | | (140) | | | (143) | |
| Total AOCI, net of taxes | | 34 | | | 154 | |
| Treasury stock, at cost, 75,804,333 shares | | (3,885) | | | (3,885) | |
| Total equity | | 31,711 | | | 28,033 | |
| Total liabilities and equity | | $3,108,854 | | $3,025,586 |
| The table below presents the carrying value and classification of the assets and liabilities of consolidated variable interest entities (VIEs) on the company's condensed consolidated balance sheets. |
| | March 31, | | December 31, |
| (In millions) | | 2022 | | 2021 |
| Assets: | | | | |
| Cash and cash equivalents (includes $773 and $1,595 of restricted cash and cash equivalents) | | $774 | | $1,596 | |
| Securities purchased under agreements to resell | | 28,705 | | 34,000 | |
| Investment securities, at fair value | | 1,099 | | 420 |
| Mortgage loans held-for-investment, net | | 2,877,320 | | 2,784,626 |
| Accrued interest receivable, net | | 7,223 | | 7,019 | |
| Other assets | | 9,570 | | | 11,265 | |
| Total assets of consolidated VIEs | | $2,924,691 | | $2,838,926 |
| Liabilities: | | | | |
| Accrued interest payable | | $5,993 | | $5,823 |
| Debt | | 2,899,226 | | 2,803,054 |
| | | | |
| | | | |
| Total liabilities of consolidated VIEs | | $2,905,219 | | $2,808,877 |
