Freddie Mac reports 2Q profit
Mortgage financier on Friday reported its first quarterly profit in two years causing its shares to surge 26 percent in after hours trading. as higher interest income and gains on its hedges offset still-lofty credit losses. For the latest quarter, Freddie Mac reported a profit of $768 million compared with a year-earlier loss of $821 million. The results include $2.2 billion of securities write-downs that were more than offset by $4.2 billion in gains on the company's derivative portfolio.
AIG to pay $1.1 billion to retain key staff
American International Group said Friday it would be spending $1.1 billion in bonuses to retain key staff members to help the troubled insurer wind down businesses and keep other parts of the company competitive, the Wall Street Journal said on Friday.
Delta to cut workforce
Delta Air Lines Inc. is planning to cut more management and administrative jobs as part of its cost cutting efforts. The airline announced a loss of $257 million for the second quarter last month. We do not expect our revenues to significantly improve through the remainder of the year, Anderson and President Ed Bastian said in a memo.