Freddie Mac, still recovering from a 2003 accounting scandal, on Friday said an estimate of the capital it held at year-end implied 2005 net income of $2.5 billion, down nearly 11 percent from 2004.
But profit will be cut by $200 million due to adjustments, and could change materially before the mortgage funding company posts final 2005 results in May. Freddie’s earnings have not been current since accounting problems in 2003 led to a $5 billion profit restatement and management overhaul.
