Company: FMCCN
Filing Date: 2025-02-13
Form Type: 10-K
Source: 0001026214-25-000040
Chunk: 116

Company: FEDERAL HOME LOAN MORTGAGE CORP
Filing Date: 2025-02-13
Form: 10-K
Item: Item 15
Chunk 116
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itization Products.

Debt of consolidated trusts represents our liability to third parties that hold beneficial interests in our consolidated securitization trusts. Debt of consolidated trusts is principally repaid from the cash flows of the mortgage loans held by the securitization trusts that issued the debt. In circumstances when the cash flows of the mortgage loans are not sufficient to repay the debt, we make up the shortfall because we have guaranteed the payment of principal and interest on the debt. In certain circumstances, we have the right and/or obligation to purchase the loan from the trust prior to its contractual maturity. For additional information on our purchases of loans from trusts, see Our Business Segments - Single-Family - Business Overview.

At December 31, 2024, our estimated net exposure to this type of debt (including the amounts that are due to Freddie Mac for debt of consolidated trusts that we purchased) is recognized as the allowance for credit losses on mortgage loans held by consolidated trusts. See Note 6 for details on our allowance for credit losses.

The table below shows the issuance and extinguishment activity for the debt of our consolidated trusts.

Table 50 - Debt of Consolidated Trusts ActivityYear Ended December 31,(In millions)20242023Beginning balance$2,999,893 $2,929,567 Issuances483,680 423,303 Repayments and extinguishments(397,592)(352,977)Ending balance3,085,981 2,999,893 Unamortized premiums and discounts36,960 42,034 Debt of consolidated trusts$3,122,941 $3,041,927 

FREDDIE MAC  |  2024 Form 10-K88

Management's Discussion and AnalysisLiquidity and Capital Resources 

Credit Ratings

Our ability to access the capital markets and other sources of funding, as well as our cost of funds, may be affected by our credit ratings. The table below indicates our credit ratings as of January 31, 2025.

Table 51 - Freddie Mac Credit RatingsNationally Recognized Statistical Rating OrganizationS&PMoody'sFitchSenior long-term debtAA+AaaAA+Short-term debtA-1+P-1F-1+Preferred stock(1)DCaCOutlookStableNegativeStable

(1)Does not include senior preferred stock issued to Treasury.

Our credit ratings and outlooks are primarily based on the support we receive from Treasury and, therefore,