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43 » VISIT US ONLINE @ DSNEWS.COM CFPB DIRECTOR TO ADDRESS INDUSTRY LEADERS AT FIVE STAR GOVERNMENT FORUM On April 5, 2017, CFPB Director Richard Cordray will address a collection of industry and government leaders at Five Star Government Forum to provide an update on the mission of the CFPB and the Bureau's priorities in the years to come. e event, which will take place at the historic Newseum, brings together the private and public sectors to discuss the vital issues facing the housing and mortgage industries. "We are delighted to welcome Director Cordray to the Government Forum," said Ed Delgado, Five Star Institute President and CEO. "I'm looking forward to meeting with him regarding the current regulatory environment and the role CFPB will play in the growth and health of the housing industry." roughout the day, leading subject matter experts will discuss topics central to the future of the industry, including the business priorities of the GSEs in the coming year, a discussion on overcoming challenges presented by HUD's conveyance standards, and the future of loss mitigation. In addition to Director Cordray, James Lockhart III, Vice Chairman of WL Ross and Co. LLC, and David Lowman, the EVP Single-Family Business at Freddie Mac, will address the audience. "It's a pivotal time in our nation's history and for the future of our industry," said Delgado. "We look forward to hosting these leaders and fostering a better understanding of federal policy and regulatory priorities in the years ahead." U.S. BANCORP AND CITIGROUP SEE DIFFERING NUMBERS IN EARNINGS REPORTS Two large banks reported very different results for its mortgage sectors in their Q 4 earnings statements released on January 18. For U.S. Bancorp, the mortgage business is on the rise, reporting a 13.7 percent increase in mortgage banking revenue from $211 million in 2015 up to $240 million in 2016. Average residential loans for U.S. Bancorp in Q 4 totaled $56.71 billion, up from $52.97 billion for the year- earlier quarter. Overall, the bank finished 2016 with an all- time high net income of $5.88 billion for the full year ($1.47 billion for Q 4). "U.S. Bancorp delivered an outstanding performance in 2016 with record net income, EPS, and revenue," U.S. Bancorp Chairman and CEO Richard K. Davis said. "In a challenging year where the economic environment was often unpredictable, we delivered industry-leading returns, we made important investments in our long-term growth strategy, and we returned 79 percent of our earnings to shareholders through dividends and share buybacks." ings did not go so well for Citigroup's mortgage business in the fourth quarter, however. While the mortgage portfolios of most large U.S. banks were up in Q 4, the portfolio for Citigroup was down. e bank's loans were $624 billion, up 1 percent from the prior year, though it reported "continued reductions in the North America mortgage portfolio." Citigroup overall reported $3.6 billion in net income in Q 4, primarily driven by the lower operating expenses and cost of credit, and revenues of $17 billion. ose revenues represent a 9 percent decrease, driven by the absence of net gains on asset sales in Citi Holdings. Citigroup's operating expenses decreased 9 percent to $10.1 billion. Citicorp, within Citigroup, reported net income of $3.5 billion, up 25 percent from Q 4 of 2015. Citicorp revenues were $16.4 billion, up 6 percent. Citi Holdings revenues were way down from last year‒‒$657 million, a 79 percent decrease. e bank said the drop-off mainly reflects the absence of net gains from asset sales. Citi Holdings assets were $54 billion, down 33 percent from a year ago and down 11 percent from Q 3. As of Jan. 18, Citigroup had signed agreements to reduce Citi Holdings assets by an additional $9 billion. At its peak, Citi Holdings had more than $800 billion in assets. Citi Holdings net income was $87 million, compared to $667 million in the prior year period, reflecting the lower revenue, and partially offset by lower operating expenses and lower cost of credit. Citi CEO Michael Corbat maintained that the bank "had a strong finish to 2016, bringing momentum into this year. Our core businesses are beginning to produce the returns our investors expect and deserve."

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