Freddie Mac 2005 Annual Report Download - page 6

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Please find page 6 of the 2005 Freddie Mac annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

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A MESSAGE FROM THE CHAIRMAN
to make the necessary investments to ensure that Freddie Mac has world-class controls,
reporting and accounting systems. Our goal is to reduce our expense ratio over time, so
that as the company grows, expenses become a diminishing share of our overall business.
Serving Our Mission
Freddie Mac’s statutory mission is a broad one: to provide stability, liquidity and affordability
to the nation’s housing finance markets. Our response to the Gulf Coast hurricanes was just
one example of our commitment to this mission.
Though the U.S. Secretary of Housing and Urban Development makes the final
determination, we reported that we met the toughest set of affordable housing goals in
the company’s history. Our affordable performance was strong — with well over half the
units financed by our mortgage purchases being affordable to low- and moderate-income
families. In addition, Single Family’s purchase of mortgages from underserved areas
increased, and our goal-rich Multifamily business set a new record for annual volume.
The next generation of homeowners will need trillions of dollars in mortgage capital,
and minorities and immigrants will be the source of most household growth. To meet
these growing needs, Freddie Mac has a central role to play. That’s why we are focused
on our mission. And why, more than ever, what’s good for our mission is good for
our business.
Focusing on the Future
Freddie Mac is better positioned to compete than it has been in years. We achieved
good growth in line with the overall market, increased our penetration of the secondary
conforming market that we serve and maintained a very strong balance sheet. We also
streamlined our business operations; reinforced corporate governance, ethics and
compliance; and added real strength and depth to our management team. These and
other developments — including trends in the market — give me confidence in Freddie
Mac’s long-term business prospects.