FANNIE AND FREDDIE FAILURE FOREVER

Subject: txt mny crpt libs -
Earlier in the week Sen. Chris Dodd (D-Conn.) told reporters about his financial regulation bill,

"We've ended the 'too big to fail' debate. So no longer do I expect any argument to be made that this bill exposes the American taxpayer."

Sen. Dodd's statements are inaccurate, says the Heritage Foundation:

• Freddie Mac announced this week that it lost another $6.7 billion in the first quarter of 2010 and therefore needed another $10.6 billion in cash from U.S. taxpayers.
• Since formally nationalizing Freddie in 2008, the federal government has already spent $50.7 billion bringing the Freddie bailout total to $61.3 billion so far.
• Combined with Fannie Mae's raid on the Treasury, the Congressional Budget Office estimates that the American people will spend $389 billion bailing out the two government sponsored entities by 2019.

So much for American taxpayers no longer being exposed to "too big to fail," says Heritage.

In fact, nothing in the Dodd bill does anything to reform Fannie Mae and Freddie Mac.

This despite the fact that Fannie and Freddie were the key components in causing the very financial crises Dodd claims his bill will forever prevent....

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