July 20 First Horizon National Corp
posted a wider-than-expected second-quarter loss as it incurred
a pre-tax charge related to mortgage buyback demand from
government sponsored entities Fannie Mae and Freddie Mac.
Investors have been pressing U.S. banks to buy back
now-soured home loans made during the housing boom. The loans
were bundled into mortgage-backed securities and bought by
investors, who now allege the loans do not meet guarantees made
by the banks at the time they were sold.
The lender posted net loss attributable to common
shareholders of $124.8 million, 50 cents per share, compared
with net income of $42.6 million, or 16 cents per share a year
Analysts on average expected the bank to incur a loss of 49
cents per share, according to Thomson Reuters I/B/E/S.