Fifth Third Bancorp (NASDAQ: FITB) today announced that it has entered
into an agreement with Freddie Mac to resolve certain repurchase claims
associated with mortgage loans originated and sold prior to January 1,
2009. The Bank will make a cash payment of $25 million to Freddie Mac,
after paid claim credits and other adjustments.
As of September 30, 2013, Fifth Third’s mortgage representation and
warranty reserves associated with the loans covered by the agreement
were fully sufficient to cover the payment amount.
The agreement covers the loans Fifth Third originated and sold to
Freddie Mac prior to January 1, 2009, regardless of whether Freddie Mac
has made a repurchase demand on any particular loan to date.
Fifth Third Bancorp is a diversified financial services company
headquartered in Cincinnati, Ohio. The Company has $126 billion in
assets and operates 18 affiliates with 1,321 full-service Banking
Centers, including 102 Bank Mart® locations open seven days a week
inside select grocery stores and 2,453 ATMs in Ohio, Kentucky, Indiana,
Michigan, Illinois, Florida, Tennessee, West Virginia, Pennsylvania,
Missouri, Georgia and North Carolina. Fifth Third operates four main
businesses: Commercial Banking, Branch Banking, Consumer Lending, and
Investment Advisors. Fifth Third also has a 25% interest in Vantiv
Holding, LLC. Fifth Third is among the largest money managers in the
Midwest and, as of September 30, 2013, had $318 billion in assets under
care, of which it managed $27 billion for individuals, corporations and
not-for-profit organizations. Investor
information and press
releases can be viewed at www.53.com.
Fifth Third’s common stock is traded on the NASDAQ® Global Select Market
under the symbol “FITB.”
Copyright Business Wire 2013