Freddie Mac 2012 Annual Report Download - page 53

control. Forward-looking statements are often accompanied by, and identified with, terms such as “objective,” “expect,”
“trend,” “forecast,” “anticipate,” “believe,” “intend,” “could,” “future,” “may,” “will,” and similar phrases. These statements
are not historical facts, but rather represent our expectations based on current information, plans, judgments, assumptions,
estimates, and projections. Actual results may differ significantly from those described in or implied by such forward-looking
statements due to various factors and uncertainties, including those described in the “RISK FACTORS” section of this
Form 10-K, and:
• the actions FHFA, Treasury, the Federal Reserve, the SEC, HUD, other federal agencies, the Administration,
Congress, and our management may take, including actions related to implementing FHFA’s strategic plan for
Freddie Mac and Fannie Mae’s conservatorships and the Conservatorship Scorecard;
• the effect of the restrictions and other terms of the conservatorship and the Treasury Agreements on our business,
including payment of our dividend obligation on the senior preferred stock;
• our ability to maintain adequate liquidity to fund our operations, including following any changes in the support
provided to us by Treasury or FHFA, a change in the credit ratings of our debt securities or a change in the credit
rating of the U.S. government;
• changes in our charter or applicable legislative or regulatory requirements (including any restructuring or
reorganization in the form of our company, whether we will remain a stockholder-owned company or continue to
exist and whether we will be wound down or placed under receivership), regulations under the GSE Act, the Reform
Act, or the Dodd-Frank Act, regulatory or legislative actions that require us to support non-mortgage market
initiatives, changes to affordable housing goals regulation, reinstatement of regulatory capital requirements, or the
exercise or assertion of additional regulatory or administrative authority;
• changes in the regulation of the mortgage, housing finance, and financial services industries, including changes
caused by the Dodd-Frank Act, or any other legislative, regulatory, or judicial action at the federal, state, or local
level;
• actions against mortgage originators and servicers, mortgage insurers, and other mortgage industry participants by
federal or state authorities;
• the scope of various initiatives designed to help in the housing recovery (including the extent to which borrowers
participate in HAMP, HARP, the non-HAMP standard loan modification initiative, and the new short sale initiative),
and the effect of such programs on our credit losses, expenses, and the size and composition of our mortgage-related
investments portfolio;
• the effect of any deficiencies in foreclosure documentation practices and related lengthening of the foreclosure
timeline;
• the ability of our financial, accounting, data processing, and other operating systems or infrastructure, and those of
our vendors to process the complexity and volume of our transactions;
• changes in accounting or tax guidance or in our accounting policies or estimates, and our ability to effectively
implement any such changes in guidance, policies, or estimates;
• changes in general regional, national, or international economic, business, or market conditions and competitive
pressures, including changes in employment rates and interest rates, and changes in the federal government’s fiscal
and monetary policy;
• changes in the U.S. residential mortgage market, including changes in the rate of growth in total outstanding U.S.
residential mortgage debt, the size of the U.S. residential mortgage market, and home prices;
• our ability to effectively implement our business strategies, including any efforts to improve the supply and liquidity
of, and demand for, our mortgage-related and debt securities, and restrictions on our ability to offer new products or
engage in new activities;
• our ability to recruit and retain executive officers and other key employees;
• our ability to effectively identify and manage credit, interest-rate, operational, and other risks in our business,
including changes to the credit environment and the levels and volatilities of interest rates, as well as the shape and
slope of the yield curves;
48 Freddie Mac